Assume that two individuals agree to form a partnership. Partner A is contributing an operating business that reports the following balance sheet: Cash $14,000 Accounts payable $42,000 Receivables 28,000 Accrued liabilities $28,000 Inventories 56,000 Total liabilities $70,000 Total assets $98,000 Net assets $28,000 Partner B is contributing cash of $77,000. The partners agree that the initial capital of the partnership should be shared equally. Prepare the journal entry to record the capital contributions of the partners using both the Bonus Method and the Goodwill Method.

Answers

Answer 1

Answer:

Explanation:

By using the Bonus method for the initial investment:

The overall total capital contributed that can be identified as:

= $28,000 + $77,000

= $105,000

If the unidentifiable assets are not registered, each partner will begin with:

=[tex]\dfrac{ \$ 105,000}{2}[/tex]

= $52,500

Journal Entry: For Bonus Method

Description  Debit  Credit

Cash   91,000  

Receivables  28,000  

Inventories  56,000  

Accounts Payable    42,000

Accrued Liabilities    28,000

Capital for Partner A,   52,500

Capital for Partner B,    52,500

[The business began with a small initial investment]

 

Using the Goodwill method for the initial investment:

The value of A's unrecognizable assets is calculated using B's allocation (50 percent)

Total partnership capital  [tex]=(\$77000 \times \dfrac{100}{50}) - ( 28000 + 77000)[/tex]

= $49,000

Thus, Goodwill = $49,000

Journal Entry : For Goodwill Method

Description  Debit   Credit

Cash   91,000  

Receivables  28,000  

Inventories  56,000  

Goodwill   49,000  

Accounts Payable     42,000

Accrued Liabilities     28,000

Capital for Partner A,    77,000

Capital for Partner A,    77,000

[The business began with a small initial investment]  


Related Questions

Demand for stereo headphones and MP3 players for joggers has caused Nina Industries to grow almost 50 percent over the past year. The number of joggers continues to expand, so Nina expects demand for headsets to also expand, because, as yet, no safety laws have been passed to prevent joggers from wearing them. Demand for the players for last year was as follows:

MONTH DEMAND (UNITS)
January 4,130
February 4,230
March 3,930
April 4,330
May 4,930
June 4,630
July 5,230
August 4,830
September 5,330
October 5,630
November 6,230
December 5,930

Required:
Using linear regression technique, what would you estimate demand to be for each month next year?

Answers

Answer:

First month of next month ( x = 13)   = 6170

second month ( x = 14 ) = 6389

Explanation:

Determine the estimate demand for each month next year ( use Linear regression )

Linear regression equation: y = a + bx

a = intercept between regression line and y-axis

b = slope of regression

x = month

y = demand

Using excel table attached below

∑x = 78

∑xy = 413340

∑y = 59360

∑(x)^2 = 650

N = 12

(∑x )^2 = 6084

next we will calculate the slope and intercept value

b ( slope ) = ( 12 * 413340 ) - ( 78 * 59360 ) / ( 12 * 650 - 6084 )

                = 330,000 / 1716 = 192.31

intercept ( a ) = 59360 - ( 192.31 * 78 ) / 12 = 3696.65

Back to equation 1 :

Linear regression equation = Y = 3696.65 + 192.31 x

where x = number of month ( i.e. 13 , 14 ….. 24 )

To determine the estimate demand for each month next month

Linear regression equation : Y = 3696.65 + 192.31 x

first month of next month ( x = 13)  = 3696.65 + 192.31 * ( 13 )

second month ( x = 14 ) = 3696.65 + 192.31 * ( 14 )

Note : apply same equation to every month ( i.e. from x = 15 to 24 ) to determine the estimate demand for each month

Forsyth Company manufactures one product, it does not maintain any beginning or ending inventories, and its uses a standard cost system. During the year, the company produced and sold 10,000 units at a price of $135 per unit. Its standard cost per unit produced is $105 and its selling and administrative expenses totaled $235,000. Forsyth does not have any variable manufacturing overhead costs and it recorded the following variances during the year:
Materials price variance . . . . . . . . . . . . . . . . . . . . . . . . . . . . $6,500 F
Materials quantity variance . . . . . . . . . . . . . . . . . . . . . . . . $10,200 U
Labor rate variance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,500 U
Labor efficiency variance . . . . . . . . . . . . . . . . . . . . . . . . . . $4,400 F
Fixed overhead budget variance . . . . . . . . . . . . . . . . . . . . . $2,500 F
Fixed overhead volume variance . . . . . . . . . . . . . . . . . . . . $12,000 F
Required:
1. When Forsyth closes its standard cost variances, the cost of goods sold will increase (decrease) by how much?
2. Prepare an income statement for the year.

Answers

Answer:

See below

Explanation:

1. Computation of cost of goods sold

Particulars Amount

Materials Price Variance

$6,500F

Materials Quantity Variance

$10,200U

Labor Rate Variance

$3,500U

Labour Efficiency Variance

$4,400F

Fixed overhead budget variance $2,500F

Fixed overhead volume variance $12,000F

Cost of goods sold

$11,700

Cost of goods sold would increase by $11,700

2. Income statement for the year

Particulars

Sales

($135 × 10,000) $1,350,000

Less:

Cost of goods sold

Cost of goods sold at standard

($105 × 10,000)

$1,050,000

Add:

Variance adjustment

$11,700

Cost of goods sold

$1,061,700

Gross profit

$288,300

Less:

Selling and administrative expenses

($235,000)

Net operating income

$53,300

Onslow Co. purchased a used machine for $240,000 cash on January 2. On January 3, Onslow paid $8,000 to wire electricity to the machine and an additional $1,600 to secure it in place. The machine will be used for six years and have a $28,800 salvage value. Straight-line depreciation is used. On December 31, at the end of its fifth year in operations, it is disposed of sed machine. Prepare journal entries to record the machine’s disposal under each separate situation: (a) it is sold for $24,500 cash; (b) it is sold for $98,000 cash; and (c) it is destroyed in a fire and the insurance company pays $35,000 cash to settle the loss claim.

Answers

Answer and Explanation:

The journal entries are shown below:

Cash $24,500  

Accumulated dep (36800 × 5) $184,000  

loss on sale of machine $41,100

         To Machine $249,600

(being the sale of the machine is recorded)

Cash $98,000

Accumulated dep (36800 × 5) $184,000    

         To Machine $249,600

         To gain on sale of machine $32,400

(being the sale of the machine is recorded)

Cash $35,000

Accumulated dep (36800 × 5) $184,000  

loss on sale of machine $30,600

         To Machine $249,600

(being the sale of the machine is recorded)  

Working note:

Accumulated depreciation

= ($240,000 + $8,000 + $1,600 - $28,800) ÷6 years

= $36,800

what is the different between book-keeping and accounting​

Answers

Answer:

Bookkeeping is a transactional and administrative function that records financial transactions such as orders, refunds, sales, and transfers on a daily basis. Accounting is more subjective, offering accounting insights to company managers based on facts gleaned from their bookkeeping records.

Explanation:

Income Statement, Retained Earnings Statement, and Balance Sheet The following information relates to Ashton Appliances for 2019.

Accounts payable $16,800
Income tax expense $16,650
Accounts receivable 69,900
Income taxes payable 12,000
Accumulated depreciation (building) 104,800
Insurance expense 36,610
Accumulated depreciation (furniture) 27,600
Interest expense 15,500
Bonds payable (due in 7 years) 192,000
Inventory 59,850
Building 300,000
Other assets 92,800
Cash 41,450
Rent expense (store equipment) 80,800
Common shares 243,610
Retained earnings, 12/31/2018 54,000
Cost of goods sold 511,350
Salaries expense 228,710
Depreciation expense (building) 11,050
Salaries payable 7,190
Depreciation expense (furniture) 12,000
Sales revenue 948,670
Furniture 130,000

Required:
Prepare a single-step income statement for 2019.

Answers

Answer:

Ashton Appliances

Single-step income statement for the year ended 2019

Sales revenue                                                             948,670

Less Cost of goods sold                                            (511,350)

Gross Profit                                                                  437,320

Less Expenses

Income tax expense                                16,650

Insurance expense                                  36,610

Interest expense                                      15,500

Rent expense                                          80,800

Salaries expense                                    228,710

Depreciation expense (building)             11,050

Depreciation expense (furniture)           12,000      (401,320)

Net Income / Loss                                                     $36,000

Explanation:

A single-step income statement does not separate expenses from Primary Activities and Secondary Activities. It also does not calculate Operating Income. Instead it calculates Net Income/loss.

Remember only Income and expenses are accounted  in an income statement.

You’ve had a good run as manager for a leading brand of leave-in conditioner. The product performs better than competition in taming frizzy hair, and has long commanded a premium price based on an attribute-based positioning. But now you’re nervous. There’s been a gradual but steady decline in sales over the past three quarters. Denise, a new member on the marketing research team, has presented you with information that suggests two possible causes. - First, beauty magazines and salon publications wrote repeatedly last year about a shift to free-flowing, natural styles. These styles work best with products that don’t leave residue on hair. You know that secondary data isn’t always ideal, but these stories were consistent and voluminous. - Second, recent focus groups run by Denise complained that your price is too high. Like all focus groups, these included only a small number of people, but the participants were loyal customers. Neither source is perfect, and the information you have is far from conclusive. But there’s nothing else to go on for now. Top management is under pressure from investors and anxious to take action, but wants to make sure the company is set up for long-term success. You can’t effectively address both issues at once, so you must decide which one is more likely to be causing the sales decrease.
A) Styling change.
B) Price.

Answers

Answer:

The issue that is more likely to be causing the sales decrease is:

Styling change.

This is the issue that should be addressed immediately.  In addressing this issue, consideration should be paid to the price issue since any production shift to meet customers' styling change will reduce the production of the leave-in conditioner.

Explanation:

Identified Problem:

Steady declining sales

Causes;

Styling change

High price

For Year 1, Nnabue Company's year-end balance sheet lists $3,286,421 in ending Retained Earnings. During Year 1, Nnabue's net income exceeded its dividend declarations by $175,819. Nnabue's dividend declarations in Year 1 were $38,602. Nnabue also sold $32,000 of stock in Year 1. Dividend payments were $14,000. How much was Nnabue's beginning retained earnings

Answers

Answer:

See below

Explanation:

Statement showing the beginning retained earnings

Ending retained earnings balance

$3,286,421

Add:

Dividend declared

$38,602

Less;.

Income during the year

($175,819 + $38,602)

($214,421)

Beginning retained earnings

$3,110,602

Therefore, Nnabue's beginning retained earnings is $3,110,602

Morris is a software engineer for a manufacturer. He wrote a program for the accounting department. During the testing phase, he noticed that the software would occasionally return an erroneous result, but he decided not to make modifications to the program because there were concerns about the project going over budget. He decided that it was better for him to be seen as someone who could stay within budget, and rationalized that the error was minor, and would not affect financial performance.Which principle of the Software Engineering Code of Ethics has Morris violated

Answers

Answer:

The principle of the Software Engineering Code of Ethics that Morris has violated is:

the Product principle.

Explanation:

The Product principle requires that Morris' program (product and related modifications) should meet the highest professional standards.  Staying within budget and rationalizing an error as minor are not requirements of the Software Engineering Code of Ethics that Morris subscribed to.

Other requirements of the code include acting in the best interest of the public, client, and employer; maintaining high product standards; integrity and independence in professional judgment; using an ethical approach; maintaining professional integrity and independence; being fair and supportive to colleagues; and ensuring participation in lifelong learning.

The principle of the Software Engineering Code of Ethics which Morris has violated is:

The Product principle.

Based on the given scenario, we can see that Morris who is a software engineer was running a program which he had written for the accounting department when he discovered that there was a bug.

However, he decided not to report this bug which was discovered and decided to keep the app, as he was already over budget and thought it would not be a huge hindrance.

This type of negligence goes against the principle of the product principle which entails that any given program must be of the highest standard available.

Therefore, the correct answer is product principle.

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Heavy​ Products, Inc.​ (HPI) developed standard costs for direct material and direct labor. In​ 2020, HPI estimated the following standard costs for one of their major​ products, the​ 10-gallon plastic container.
Budgeted quantity Budgeted price
Direct materials 0.1 pounds $90 per pound
Direct labor 0.2 hours $30 per hour
During​ June, Heavy Products produced and sold 21,000 containers using 2,400 pounds of direct materials at an average cost per pound of $93 and 2,100 direct manufacturing​ labor-hours at an average wage of $30.50 per hour. June's direct material flexible-budget variance is:_____.
A) $18,720 favorable.
B) $880,000 unfavorable.
C) $100,000 favorable.
D) $60,000 unfavorable.

Answers

Answer:

$34,200

Explanation:

Calculation to determine what June's direct material flexible-budget variance is

Flexible-budget variance = (2,400 × $93) − (21,000 × 0.1 × $90)

Flexible-budget variance =$223,200-$189,000

Flexible-budget variance =$34,200 U

Bogart Company is considering two alternatives. Alternative A will have revenues of $160,000 and costs of $100,000. Alternative B will have revenues of $180,000 and costs of $125,000. Compare Alternative A to Alternative B showing incremental revenues, costs, and net income. What is the net income increase or decrease if you chose Alternative B instead of Alternative A

Answers

Answer and Explanation:

The computation of the increase or decrease in the net income when Alternative B should be selected rather Alternative A is given below:

Particulars                Alternative A            Alternative B

Revenue                   $160,000                 $180,000

Less cost                 -$100,000                 $125,000

Net income                 $60,000                $55,000

If we choose alternative B so there would be decrease in the net income by $5,000

Identify which are goals of monetary policy, and which are not. Goals of monetary policy Not goals of monetary policy Answer Bank financial market stability increasing the size of the financial sector economic growth high inflation improving banks' profits high employment price stability Which two goals are often called the dual mandate of the Federal Reserve

Answers

Answer:

goals of monetary policy

financial market stability

economic growth

high employment

price stability

Not goals of monetary policy

increasing the size of the financial market

high inflation

improving banks' profits

Dual mandate :  high employment

price stability

Explanation:

Monetary policy are policies taken by the central bank of a country to increase or reduce aggregate demand.

There are two types of monetary policy :

Expansionary monetary policy : these are polices taken in order to increase money supply. When money supply increases, aggregate demand increases. reducing interest rate and open market purchase are ways of carrying out expansionary monetary policy

Contractionary monetary policy : these are policies taken to reduce money supply. When money supply decreases, aggregate demand falls. Increasing interest rate and open market sales are ways of carrying out contractionary monetary policy

Goals of monetary policy include

financial market stability economic growth high employment price stability

The dual mandate of the Federal Reserve was birthed as a result of the stagflation of the 1970s. Stagflation is a period of high unemployment and high inflation levels

The dual mandate are : high employment, stable prices and moderate long-term interest rates.

. It is important to conserve fossil fuels because

Answers

Answer:

Non-renewable resources (energy).

Explanation:

Renewable energy is also known as clean energy and it can be defined as a type of energy that are generated through natural sources or technology-based processes that are replenished constantly. Some examples of these natural sources are water (hydropower), wind (wind energy), sun (solar power), geothermal, biomass, waves etc.

Basically, a renewable energy source is sustainable and as such can not be exhausted.

On the other hand, a non-renewable energy refers to an energy source such as fossil fuels that takes a very long time to be created or their creation happened long ago and isn't likely to happen again e.g uranium. Fossil fuels, such as coal, oil, and natural gas, come from deep inside the Earth where they formed over millions of years ago.

Hence, it is very important to conserve fossil fuels because they are non-renewable resources (energy), unstainable and can be exhausted.

The following is a partially completed lower section of a departmental expense allocation spreadsheet for Brickland. It reports the total amounts of direct and indirect expenses for the four departments. Purchasing department expenses are allocated to the operating departments on the basis of purchase orders. Maintenance department expenses are allocated based on square footage. Compute the amount of Purchasing department expense to be allocated to Fabrication. Purchasing Maintenance Fabrication Assembly Operating costs $ 42,000 $ 24,000 $ 106,000 $ 72,000 No. of purchase orders 15 5 Sq. ft. of space 3,800 2,200

Answers

Answer:

The amount of Purchasing department expense to be allocated to Fabrication is $31,500.

Explanation:

Note: The data in this question are merged together. They are therefore sorted before answering the question as follows:

                                          Purchasing    Maintenance    Fabrication   Assembly

Operating costs                     $42,000         $24,000       $106,000     $72,000

No. of purchase orders                                                               15                  5

Sq. ft. of space                                                                          3,800         2,200

The explanation of the answer is now given as follows:

Amount allocated to Fabrication = Purchasing department expense * (No. of purchase orders by Fabrication  / (No. of purchase orders by Fabrication + No. of purchase orders by Assembly)) = $42,000 * (15 / (15 + 5)) = $31,500

Therefore, the amount of Purchasing department expense to be allocated to Fabrication is $31,500.

Currently, Forever Flowers Inc. has a capital structure consisting of 20% debt and 80% equity. Forever's debt currently has an 7% yield to maturity. The risk-free rate (rRF) is 3%, and the market risk premium (rM - rRF) is 8%. Using the CAPM, Forever estimates that its cost of equity is currently 13.5%. The company has a 40% tax rate. What is Forever's current WACC

Answers

Answer:

WACC = 11.6%

Explanation:

The weighted average cost of capital (WACC) is the average cost of all the various sources of long-term finance used by a business weighted according to the proportion which each source of finance bears to the the entire pool of fund.

To calculate the weighted average cost of capital, follow the steps below:  

Step 1: Calculate cost of individual source of finance

Cost of Equity= 13.5%  

After-tax cost of debt:

= (1- T) × before-tax cost of debt  

= 7%× (1-0.4)= 4.2%  

Step 2 : calculate the proportion or weight of the individual source of finance . (This already given)

Equity = 80%  

Debt= 20%

Step 3:Work out weighted average cost of capital (WACC)

WACC = ( 13.5%× 80%) + ( 4.2%× 20%) = 11.64%  

WACC = 11.6%  

Consider a hypothetical economy where there are no taxes and no international trade. Households spend $0.50 of each additional dollar they earn and save the remaining $0.50. If there are no taxes and no international trade, the oversimplified multiplier for this economy is __________

Suppose that the price level in our economy remains the same and that there is still no international trade. Now, however, the government decides to implement an income tax of 5% on each dollar of income. The MPC and MPS, however, remain the same as before. In this case, after accounting for the impact of taxes, the multiplier in this economy is ___________, and a $200 billion decrease in investment spending will lead to a billion in output.

Answers

Answer:

i) 2

ii) 1.9

iii) $200 billion decrease in investment will lead to a $380 billion decrease in output

Explanation:

i) Determine the oversimplified multiplier for this economy

MPC value of the economy = 0.5

spending multiplier = 1 - / 1 - MPC VALUE )

∴ oversimplified multiplier = 1 / 0.5  =  2

ii) Given that the Government implement an income tax of 5%

The Multiplier of the economy = 1 / [ 1 - MPC (1-t) ]

                                                   = 1 / [ 1 - 0.5(1-0.05 )]

                                                   = 1 / ( 1 - 0.475 )  = 1.9

iii) $200 billion decrease in investment will lead to a $380 billion decrease in output

total change in output = 1.9 * 200 =$ 380

Lexigraphic Printing Company is considering replacing a machine that has been used in its factory for four years. Relevant data associated with the operations of the old machine and the new machine, neither of which has any estimated residual value, are as follows:
Old Machine
Cost of machine, 10-year life $89,000
Annual depreciation (straight-line) 8,900
Annual manufacturing costs, excluding depreciation 23,600
Annual nonmanufacturing operating expenses 6,100
Annual revenue 74,200
Current estimated selling price of machine 29,700
New Machine
Purchase price of machine, six-year life $119,700
Annual depreciation (straight-line) 19,950
Estimated annual manufacturing costs, excluding depreciation 6,900
Annual non-manufacturing operating expenses and revenue are not expected to be affected by purchase of the new machine.
Required:
1. Prepare a differential analysis as of April 30 comparing operations using the present machine (Alternative 1) with operations using the new machine (Alternative 2). The analysis should indicate the total differential income that would result over the six-year period if the new machine is acquired.
2. Choices of what other factors should be considered
A. Was the purchase price of the old machine too high?
B. What effect does the federal income tax have on the decision?
C. What opportunities are available for the use of the $90,000 of funds ($119,700 less $29,700 proceeds from the old machine) that are required to purchase the new machine?
D. Should management have purchased a different model of the old machine?
E. Are there any improvements in the quality of work turned out by the new machine?

Answers

Answer:

Lexigraphic Printing Company

1. Differential Analysis as of April 30:

                                                 Old Machine   New Machine    Difference

Annual revenue                              $74,200          $74,200

Annual depreciation (straight-line)    8,900             19,950  

Annual manufacturing

costs, excluding depreciation        23,600              6,900

Annual nonmanufacturing

operating expenses                         6,100                6,100

Total expenses                            $38,600           $32,950

Annual net income                      $35,600           $41,250         $5,650

Net income for 6 six years        $213,600        $247,500       $33,900

2. Other factors that should be considered are:

B. What effect does the federal income tax have on the decision?

C. What opportunities are available for the use of the $90,000 of funds ($119,700 less $29,700 proceeds from the old machine) that are required to purchase the new machine?

E. Are there any improvements in the quality of work turned out by the new machine?

Explanation:

a) Dat and Calculations:

Old Machine

Cost of machine, 10-year life $89,000

Annual depreciation (straight-line) 8,900

Annual manufacturing costs, excluding depreciation 23,600

Annual nonmanufacturing operating expenses 6,100

Annual revenue 74,200

Current estimated selling price of machine 29,700

New Machine

Purchase price of machine, six-year life $119,700

Annual depreciation (straight-line) 19,950

Estimated annual manufacturing costs, excluding depreciation 6,900

Annual nonmanufacturing operating expenses 6,100

Annual revenue 74,200

Differential Analysis as of April 30:

                                                 Old Machine   New Machine    Difference

Annual revenue                              $74,200          $74,200

Annual depreciation (straight-line)    8,900             19,950  

Annual manufacturing

costs, excluding depreciation        23,600              6,900

Annual nonmanufacturing

operating expenses                         6,100                6,100

Total expenses                            $38,600           $32,950

Annual net income                      $35,600           $41,250         $5,650

Net income for 6 six years        $213,600        $247,500       $33,900

In your opinion, what's the best strategy
Select one:
a. E-tailing
b. Depends
O c. Both E-tailing and Bricks and Mortar
O d. Bricks and mortar

Answers

Answer:

o both e-talling and bricks and mortar

The best strategy depends on the specific business, target market and industry that is "Both E-tailing and Bricks and Mortar". The correct option is C.

Combining E-tailing (online retailing) and bricks-and-mortar (physical stores) offers a comprehensive approach to reach a broader customer base and cater to diverse shopping preferences.

The E-tailing provides convenience, global reach, and cost-effectiveness, enabling businesses to tap into the growing online market.

On the other hand, bricks-and-mortar stores offer a tactile experience, face-to-face customer interactions, and immediate fulfillment and enhancing customer engagement and brand loyalty.

Therefore, the correct option is C.

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You are considering two different methods for constructing a new warehouse site. The first method would use prefabricated building segments, would have an initial cost of $6.5 million, would have annual maintenance costs of $150,000, and would last for 25 years. The second alternative would employ a new carbon-fibre panel technology, would have an initial cost of $8.2 million, would have maintenance costs of $650,000 every ten years, and is expected to last 40 years. Both buildings would be in CCA Class 1 (at a rate of 4 percent) and it is expected that each would have a salvage value equivalent to 25 percent of its construction cost at the end of its useful life. The discount rate the firm uses in evaluating projects is 11 percent. The tax rate is 35 percent. What is the annual cost for each option? (Enter the answers in dollars. Do not round your intermediate calculations. Round the final answers to 2 decimal places. Negative answers should be indicated by a minus sign.)

Answers

Answer:

The first method would use prefabricated building segments, would have an initial cost of $6.5 million.

You are a lobbyist hired by a less developed country to try to prevent a developed country from increasing trade barriers against labor-intensive manufactured imports such as textiles. Make your case, arguing from both developed and developing country perspectives, in terms of who gains and who loses.

Answers

Answer:

The answer is explained below in separate headings.

Explanation:

Resources available such as land, labour, capital and entrepreneurship are different for each country. Some may have more while others might have less. The large (developed) countries tend to be more resourceful than those small (developing) countries.

Developed Country

In this case, the capital available at the developed country's disposal helps them export manufactured goods and import labour-intensive goods from developing country with relative ease in order to produce and profit from the market.

Developing Country

From their point of view, the potential to trade outward results in the enhancement in the country's growth and efficiency. This ultimately creates an opportunity for the consumers to benefit from the variety of goods available to choose from and workers of higher incomes.

Hence, if the trade barriers are increased then it would affect both the country's in terms of profit. However, the effect would be more adverse for developing country rather than for a developed country.

If, at the present output level, marginal revenue is $50 and marginal cost is $35, the purely competitive firm Group of answer choices should increase output to maximize its profit or minimize its loss. should reduce output to maximize its profit or minimize its loss. should increase its price to maximize its profit or minimize its loss. should stay at its current output to maximize its profit or minimize its loss.

Answers

Answer: should reduce output to maximize its profit or minimize its loss

Explanation:

Since we are given the information that at the present output level, the marginal revenue is $50 and the marginal cost is $35, this implies that the marginal revenue is more than the marginal cost, which simply means that there'll be a positive marginal profit.

In such scenario, therefore, the purely competitive firm should reduce output to maximize its profit or minimize its loss.

Ergo industries, which manufactures automotive parts, had taken carious measures to improve the quality of the products. The product-line mangers at the company had the authority to stop production if they found the components to be defective without the approval of the senior management in the company and to take measures to resolve the issue. This authority motivated the mangers to perform their jobs better. According to hackman and oldham work design model, which of the following core job characteristics is influencing the performance of managers in the above scenario?

a. Skill variety
b. Autonomy
c. Task identity
d. Task significance

Answers

Answer:

b. Autonomy

Explanation:

Since in the question it is mentioned that the industries would take measures so that the products quality could be improved. The product line managers has the authority to stop the production in the case when there is a defective components without taking the approval of the senior management

So here the characteristics that impact the performance of the manager is autonomy as it means the freedom of an employee to finish the work so that they are able to do better work

Data related to the inventories of Kimzey Medical Supply are presented below: Surgical Surgical Rehab Rehab Equipment Supplies Equipment Supplies Selling price $ 325 $ 185 $ 405 $ 230 Cost 235 155 315 227 Replacement cost 305 145 300 223 Costs to sell 56 18 38 36 Normal gross profit ratio 20 % 20 % 20 % 30 % In applying the lower of cost or market rule, the inventory of surgical equipment would be valued at:

Answers

Answer:

The inventory of surgical equipment would be valued at $204.

Explanation:

The data given in the question are first sorted as follows:

                                               Surgical      Surgical      Rehab          Rehab

                                             Equipment   Supplies   Equipment   Supplies

Selling price                             $ 325        $ 185            $ 405         $ 230

Cost                                             235           155                 315            227

Replacement cost                      305           145                 300           223

Costs to sell                                  56             18                   38              36

Normal gross profit ratio          20 %         20 %              20 %           30 %

The value of the inventory of surgical equipment can now be calculated as follows:

Ceiling = Net realizable value = Selling price - Costs to sell = $325 - $56 = $269

Floor = Net realizable value - Normal gross profit ratio = $269 - (325 * 20%) = $204

Replacement cost = $305

Market is the middle value of ceiling, floor and replacement cost.

Market value = Flor $204

Cost = $235

Lower of cost or market = $204

Therefore, the inventory of surgical equipment would be valued at $204.

what is a market failure

Answers

When a market fails like pretty obvious

what are the marketing strategies of netflix please help!​

Answers

Answer:7 Modern Marketing Strategy Lessons from the Netflix Business Model

Use Multi-channel Marketing to Connect with People Online and Offline.

Make Emails Memorable and People Will Talk.

Offer Personalized Content to Keep People Hooked.

Let Data Show You the Secrets to Better Customer Service.

Explanation:

Black Co. acquired 100% of Blue, Inc. on January 1, 2020. On that date, Blue had land with a book value of $38,000 and a fair value of $49,000. Also, on the date of acquisition, Blue had a building with a book value of $250,000 and a fair value of $460,000. Blue had equipment with a book value of $340,000 and a fair value of $280,000. The building had a 10-year remaining useful life and the equipment had a 5-year remaining useful life. How much total expense will be in the consolidated financial statements for the year ended December 31, 2020 related to the acquisition allocations of Blue

Answers

Answer:

Black Co.

Total expenses for the year ended December 31, 2020 related to the acquisition allocations of Blue are:

= $102,000

Explanation:

a) Data and Calculations:

Assets of Blue Corporation:

                            Book Value         Fair Value   Depreciation Expense

Land                      $38,000               $49,000         $0

Building                250,000               460,000         46,000

Equipment            340,000              280,000         56,000

Total                   $628,000            $789,000      $102,000

Remaining useful life:

Building = 10 years

Equipment = 5 years

Straight-line Depreciation:

Building = $46,000 ($460,000/10)

Equipment = $56,000 ($280,000/5)      

_is any place where goods are produced or distributed or services areproduced​

Answers

A factory is any place where goods are produced or distributed or services are produced.

Fees earned $942,135 Office expense 216,690 Miscellaneous expense 18,845 Wages expense 452,225 Accounts payable 23,555 Accounts receivable 65,950 Cash 252,875 Common stock 135,000 Land 301,000 Supplies 11,305 Cash dividends of $35,800 were paid during the year. Retained earnings as of June 1, 20Y5, were $254,000. Prepare the balance sheet as of May 31, 20Y6. When entering assets, enter them in order of liquidity.

Answers

Answer and Explanation:

The preparation of the balance sheet as on May 31, 20Y6 is as follows:

Assets

Cash $252,875

Accounts receivable $65,950

Supplies $11,305

Land    $301,000

Total Assets $631,130

Liabilities  

Accounts payable $23,555

Common Stock $135,000

Retained earnings (see working below) $472,575

Total Liabilities $631,130

Working note

For retained earnings first determine the net loss or net income as the case may be

= Fees earned - office expense - miscellaneous expense - wages expense

= $942,135 - $216,690 - $18,845 - $452,225

= $254,375

Now the ending retained earning balance is

= opening retained earning balance + net income - dividend paid

= $254,000 + $254,375 - $35,800

= $472,575

Is a business cycle a type of recession?
yes or no?

Answers

Answer:

The Answer is gonna be Yes

After successfully completing your corporate finance class, you feel the next challenge ahead is to serve on the board of directors of Schenkel Enterprises. Unfortunately, you will be the only individual voting for you. a.If the company has 430,000 shares outstanding and the stock currently sells for $45, how much will it cost you to buy a seat if the company uses straight voting

Answers

Answer:

$9,675,045

Explanation:

In order to win the election of the board of directors, voting powers should have half a of the voting power and one vote.

Calculating the cost incurred to buy the voting power:

Total cost = [Number of shares / 2 + 1] * Stock price

Total cost = [430,000/2 + 1] * $45

Total cost = 215,001 * $45

Total cost = $9,675,045

So, it will cost one $9,675,045 to buy a seat if the company uses straight voting.

Which of the following would be determined as a social force in an environmental scan?

Answers

Answer:

an increase in Asian immigration

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