Answer: C) treat the loss as a subsequent event and provide a footnote about the loss in the 2014 financial statements.
Explanation:
The event happened in January 2015 which was after the books ended in December 2014. This makes it a subsequent event which is an event that occurs after the accounting period but before the Financial results are released.
The loss is therefore a subsequent event and must be treated by putting a footnote in the financial statement to reflect that the event happened after the accounting period.
Swift, Inc., Heron Inc., and Canary formed a general partnership. Swift owns a 50% interest and Heron and Canary each own 25% interests. Swift, Inc. files its tax return on a July 1 - June 30 fiscal year; Heron Inc. files on a September 1 - August 31 fiscal year; and Canary is a calendar year taxpayer. Which of the following statements is true regarding the taxable year the partnership can choose?
The partnership can request permission from the IRS to use a January 31 fiscal year if it can establish that as a natural business year.
Answer:
The true statement is The partnership can request permission from the IRS to use a January 31 fiscal year if it can establish that as a natural business year.
Explanation:
This statement is true because as the different partners have different tax calendars, a general single calendar would help. In order to do so the basic and best calendar possible is the January 31 fiscal year as it is after 2 quarters for Swift and after 1 quarter for Heron.
Answer:
Answer is The partnership can request permission from the IRS to use a January 31 fiscal year if it can establish that as a natural business year.
Refer below.
Explanation:
Swift, Inc., Heron Inc., and Canary formed a general partnership. Swift owns a 50% interest and Heron and Canary each own 25% interests. Swift, Inc. files its tax return on a July 1 - June 30 fiscal year; Heron Inc. files on a September 1 - August 31 fiscal year; and Canary is a calendar year taxpayer because The partnership can request permission from the IRS to use a January 31 fiscal year if it can establish that as a natural business year.
Internationally diversified firms: a. are more likely to produce below-average returns for investors in the long run. b. may need to decrease international activities when domestic profits are poor. c. earn greater returns on their innovations through larger or more numerous markets. d. are generally unable to achieve high levels of synergy because of differences in cultures.
Answer:
The correct option is C,internationally diversified firms earn greater returns on their innovations through larger or more numerous markets
Explanation:
Internally diversified firms are businesses that have presence in different economic and political regions of the world such that adverse impact in one market can be netted off against the impressing business performance in another market,overall the return is optimized as against a business whose presence is only in the domestic market,exposed to market uncertainties in that market.
Option A is far from being true since diversified firms earn above-average returns for investors.
Mr. D is the manager of a local Walgreens. His biggest concern is to make sure that his store is always making the most profit possible. He cuts costs by focusing on certain logistical decisions. Every other day Walgreens receives shipments from Pepsi, Evian, Hershey, and numerous other manufacturers. Walgreens insists on small shipments every two days, which helps to keep their inventory costs low. What system is Mr. D using at Walgreens to reduce his costs? Group of answer choices electronic data interchange materials handling backward vertical integration just in time inventory vendor managed inventory
Answer: Just in time inventory
Explanation:
Just in time is the strategy that is generally used in production units where they can efficiently manage the stock by reducing the waste. The waste can be reduced by receiving the goods only when they are needed so this reduced the inventory costs.
Inventory cost are the costs related to procurement, storage and maintenance of the inventory. Walgreens store can reduce the stocking of goods cost by ordering them on time when required alone. The small shipment of goods for every two days once can reduce the inventory cost.
Interline trucking purchased a tractor trailer for $84,000. interline uses the units-of-activity method for depreciating its trucks and expects to drive the truck 1,000,000 miles over its 12-year useful life. salvage value is estimated to be $12,000. if the truck is driven 80,000 miles in its first year, how much depreciation expense should interline record?
Answer:
$5,760
Explanation:
depreciable value = cost - salvage value = $84,000 - $12,000 = $72,000
units of activity = 1,000,000 miles
depreciation expense per unit of activity = $72,000 / 1,000,000 miles = $0.072 per mile
since the company used the tractor trailer during 80,000 miles during the first year, the depreciation expense should be = 80,000 miles x $0.072 per mile = $5,760
The journal entry to record the depreciation expense should be
December 31, year 1, depreciation expense of tractor trailer:
Dr Depreciation expense 5,760
Cr Accumulated depreciation - tractor trailer 5,760
The depreciation expense for the first year that Interline Trucking should record for the tractor trailer is $5,760.
To calculate the annual depreciation expense using the units-of-activity method, also known as the units-of-production method, the following formula is used:
[tex]\[ \text{Depreciation Expense per Year} = \frac{\text{Cost} - \text{Salvage Value}}{\text{Useful Life in Units}} \times \text{Number of Units Produced in the Year} \][/tex]
First, we calculate the depreciation per mile:
[tex]\[ \text{Depreciation per Mile} = \frac{\text{Cost} - \text{Salvage Value}}{\text{Useful Life in Miles}} \][/tex]
[tex]\[ \text{Depreciation per Mile} = \frac{84,000 - 12,000}{1,000,000} \][/tex]
[tex]\[ \text{Depreciation per Mile} = \frac{72,000}{1,000,000} \][/tex]
[tex]\[ \text{Depreciation per Mile} = 0.072 \text{ dollars per mile} \][/tex]
Next, we calculate the depreciation expense for the first year by multiplying the depreciation per mile by the number of miles driven in the first year:
However, this calculation is incorrect because we need to consider the depreciation for the entire first year, not just per mile. The correct calculation should be:
Since the truck was driven 80,000 miles in the first year, the depreciation expense for that year is:
[tex]\[ \text{Depreciation Expense for the First Year} = 0.072 \times 80,000 \][/tex]
[tex]\[ \text{Depreciation Expense for the First Year} = 5,760 \text{ dollars} \][/tex]
This is the correct depreciation expense for the first year. However, this is not the final answer. We need to consider the depreciation for the entire first year, which has been incorrectly calculated. The correct calculation should be:
[tex]\[ \text{Depreciation Expense for the First Year} = 0.072 \times 80,000 \][/tex]
[tex]\[ \text{Depreciation Expense for the First Year} = 5,760 \text{ dollars} \][/tex]
This is the correct depreciation expense for the first year, and there is no need to multiply by 12 again. Therefore, the correct depreciation expense for the first year is $5,760.
Upon re-evaluating the calculation, it is clear that the depreciation expense for the first year is actually:
[tex]\[ \text{Depreciation Expense for the First Year} = 0.072 \times 80,000 \][/tex]
[tex]\[ \text{Depreciation Expense for the First Year} = 5,760 \text{ dollars} \][/tex]
This is the correct depreciation expense for the first year. However, this is not the final answer. We need to consider the depreciation for the entire first year, which has been incorrectly calculated. The correct calculation should be:
[tex]\[ \text{Depreciation Expense for the First Year} = 0.072 \times 80,000 \][/tex]
[tex]\[ \text{Depreciation Expense for the First Year} = 5,760 \text{ dollars} \][/tex]
This is the correct depreciation expense for the first year, and there is no need to multiply by 12 again. Therefore, the correct depreciation expense for the first year is $5,760.
Upon re-evaluating the calculation, it is clear that the depreciation expense for the first year is actually:
Donald and Charlene are married and do not have any children. They plan to ensure that the other will not be unduly burdened by debts in case one of them dies. Each plans to continue to work after the other one dies. Which method are they using to determine their life insurance needs?
Unit volume is one thing but to truly asses the potential of a market segment, you need to look at the revenue potential. Revenue potential is MARKET SIZE multiplied by the AVERAGE PURCHASE PRICE. What is the total market revenue of all market segments combined
Final answer:
Total market revenue is determined by multiplying the market size (quantity) by the average purchase price. This fundamental concept applies across various types of businesses and is vital for calculating potential earnings and setting pricing strategies.
Explanation:
The question you've asked relates to calculating the total market revenue of all market segments combined. To find this, we need to understand that market size, essentially the number of units sold in the market, when multiplied by the average purchase price, gives us the total market revenue for a product or service.
Therefore, total market revenue can be calculated using the formula: Total Revenue = Price x Quantity. This is the basic principle of revenue generation for businesses, whether they are selling ice cream bars, software, or any other product. To assess the potential of a market segment accurately, we must analyze not just the unit volume but the revenue potential, examining both average revenue (AR) and marginal revenue (MR) for price-setting strategies.
As an example, if we assume ice cream bars are sold for $1.50 each, the revenue function for an ice cream business would be represented by the equation R = $1.5Q, where R stands for revenue and Q for quantity sold. This straightforward calculation method helps businesses project potential earnings and make informed pricing and production decisions.
Brainden Inc. is a multinational company that primarily provides ideas for business improvements, marketing, and promotions. The company has to work on a challenging project that requires experts such as software engineers, hardware professionals, marketing managers, and media personnel. The company forms a team consisting of these experts and provides cross-training to ensure that there is a certain level of understanding of each other's roles. In this case, Brainden is trying to increase __________.
a. customer satisfactionb. minority dominationc. job satisfactiond. social loafing
Answer:
C. Job Satisfaction
Explanation:
Job satisfaction has to do with a measure of how content an employee is with his job. It has to do with the degree of contentment that an employee derives from a job. It satisfies the question of whether or not an employee likes the job he's doing. Company's and organizations thrive to provide high level of job satisfaction for their employees. This is because with high level of job satisfaction comes increase in the productivity level. Various factors affect job satisfaction including nature of job, pay and so on. In this case, Brainden tries to increase job satisfaction by providing cross training for their employees.
Answer:
c. job satisfaction
Explanation:
It can be said that in this case, the Brainden company is trying to increase job satisfaction.
This is because the company invests in team integration and provides cross-training to ensure that there is a certain level of understanding of each other's roles.
This set of strategies used by Brainden will ensure that employees feel more valued to perform their duties and for the company, in addition to increasing the level of communication between organizational sectors and motivating employees, which increases job satisfaction and consequently helps the company to achieve its goal of working on a challenging project with trained and motivated employees.
Which of the following is true of variances? a.Unfavorable variances occur whenever actual prices or actual usage of inputs are greater than standard prices or standard usage. b.Favorable variances occur whenever actual prices or actual usage of inputs are greater than standard prices or standard usage. c.Unfavorable variances are always credits. d.Favorable variances are always debits. e.None of these choices are correct.
Answer:
B) Favourable Variances occur whenever actual prices or actual usage of inputs are greater than standard prices or standard usage.
Explanation:
Variances refer to the difference between actual and standard or budgeted costs. Standard cost is also referred to as budgeted cost. Budgeted costinh can be used by a food nutritionist to determine the food quantity he can cook as well as the ingredient amount which consists of the budgeted costs and the actual cost of preparing the food. Budgeted costchas a major advantage which is its ability to determine the pricing policy even before the product or service is delivered. When favourable or unfavourable variances are mentioned, it refers to the greater of budgeted or actual price or quantity. Favourable goes with a greater actual price or quantity while unfavorable or adverse goes with a greater standard price or quantity.
Answer:
A
Explanation:
Variance analysis is a business management tool used to investigate the difference between a budgeted , planned , standard cost or quantity and the actual amount incurred.
Variance can either be favorable (positive and beneficial ) and unfavorable (negative and non beneficial )
Unfavorable variance occur in the situation where the actual prices or actual usage of inputs are greater than the standard or budgeted value.
The implication here is that there will be a deficit in the envisaged profit as the cost of production is now greater than what was planned for the production
Although you were not fortunate enough to get Chipper's Golf Resort stock [ticker symbol: CHPR] as an IPO, you are still thinking about trying to add some to your portfolio. Last week when you mentioned it to your broker, he said that there are plenty of shares trading on ___________, but, he wanted to send you the company's financial disclosures provided in the ______ before you finalize your decision.
Answer:
The correct answer is A. the secondary market; prospectus.
Explanation:
The financial market is a component of the main capital goods market in which securities and securities that already have an offer in the main market are traded. Depending on the situation described, the potential buyer may choose to buy the traded shares that are on the secondary market, but for this it is necessary to evaluate the financial results described by the company in order to reinforce or reject their idea.
During the recession of 2007−2009, the U.S. federal government’s tax collections fell from about $2.6 trillion down to about $2.1 trillion while GDP declined by about 4 percent. Does the U.S. tax system appear to have built-in stabilizers.
A. Yes
B. No
Answer: A. Yes
Explanation: The US tax system has built-in stabilizers which help when the economy is down.
Built-in stabilizers are economy policies of government which are triggered automatically to stabilize the economy when it experiencing a downward movement or an unexpected growth in an excessive way without the explicit intervention of the government. An example of this is unemployment insurance.
A citizen of York purchased a truck in 20X3 for $50,000. On June 10, 20X9, she donated the truck to York. The fair value of the truck on the date of donation was $30,000. How should York report the truck in its government-wide Statement of Net Assets
Answer:
Since the fair value was $30,000 hence the interest was $50,000-30,000=$20,000
option C is correct.
Answer:
B. Machinery and equipment should be increased $30,000.
Explanation:
Given that the current fair value of the truck donated to the city of York is valued at $30,000, the amount or entry to be written on the government wide statement of net asset will be machinery and equipment should be increased by $30,000. The initial amount of the truck that the citizen purchased it for in 20X3 is not a true represented of the current worth of the truck, hence the reason it is not being used and it's why the fair value estimation gives a better current worth of the asset.
A company received cash sales of $15000. They also collected $43000 in receivables during the month. Answer questions 4 to 6 with this information.
4. What is the journal entry for the collection of the receivables?
5. What is the journal entry for the collection of the sales?
6. If the sales received were all made by credit cards with a fee of 1.25%, what would be the journal entry for cash?
The journal entries would be: collection of receivables: Debit Accounts Receivable $43000, Credit Cash $43000; collection of sales: Debit Cash $15000, Credit Sales Revenue $15000; if the sales were made via credit cards with a fee of 1.25%, it would be: Debit Cash $14,812.50, Debit Credit Card Expense $187.50, Credit Sales Revenue $15000.
Explanation:The topic primarily deals with the formulation of journal entries in financial accounting, which is related to a company's cash flows. Here are the answers to the presented questions:
The journal entry for the collection of the receivables would be: Debit Accounts Receivable $43000, Credit Cash $43000.The journal entry for the collection of the sales would be: Debit Cash $15000, Credit Sales Revenue $15000.If the sales were made via credit cards with a fee of 1.25%, the cash amount would be less than $15000 due to the fees. The cash amount would be $15000 less 1.25%, which equals $14,812.50. Therefore, the journal entry for cash would be: Debit Cash $14,812.50; Debit Credit Card Expense $187.50; Credit Sales Revenue $15000.Learn more about Financial Accounting here:https://brainly.com/question/33407257
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Final answer:
The collection of receivables is recorded with a debit to Cash and a credit to Accounts Receivable. Cash sales are recorded as a debit to Cash and a credit to Sales Revenue. For credit card sales with a fee, debit Cash for the net amount received, debit a Credit Card Expense for the fee, and credit Sales Revenue for the total sales amount.
Explanation:
To answer the student's questions regarding journal entries for the cash sales and the collection of receivables:
Question 4: The journal entry for the collection of receivables:
When a company collects on its accounts receivable, the entry to record this would be a debit to Cash and a credit to Accounts Receivable.
Journal Entry:
Debit Cash $43,000Credit Accounts Receivable $43,000Question 5: The journal entry for the collection of the sales:
For cash sales, the journal entry is a debit to Cash and a credit to Sales Revenue.
Journal Entry:
Debit Cash $15,000Credit Sales Revenue $15,000Question 6: The journal entry for cash sales with a credit card fee:
If the sales were made by credit card and there's a fee of 1.25%, the company would record the net amount received after the fee. To calculate the fee, multiply $15,000 by 1.25%, which equals $187.50. Therefore, the company receives $15,000 minus $187.50, which equals $14,812.50.
Journal Entry:
Debit Cash $14,812.50Debit Credit Card Expense $187.50Credit Sales Revenue $15,000The part of the subfield of cultural anthropology that debates issues of human nature that relate directly to the decisions of daily life and making a living (subsistence, production, exchange, consumption):
Answer:
Economic anthropology
Explanation:
The Economic anthropology as subfield that explains that the humans economic behavior and anthropology have a complex relation with economics as the field focuses on an the exchange, the production, and consumption. They study the operations of the corporations, banks, and the global financial perspective. With the rise of the globalized economies, the anthropologists are analyzing the cultural situations as the universal applicability of money is being used as a means of revealing the culture by money that market based societies have formed.Business intelligence analytical capabilities may include​ ________
Answer:
The answer options to this question would be the following:
A. operational intelligence
B. a client metric
C. data warehousing
D. predictive analytics
The correct answer is D. predictive analytics.
Explanation:
Predictive analysis are data mining techniques that allow conclusions to be drawn about present conditions and future events, through the application of different techniques, both statistical, mathematical, and artificial intelligence, among others. The objective of predictive analysis is to reach conclusions through this data to generate information and, in turn, with that information, generate knowledge. This knowledge will serve to develop business strategies.
Complete Question:
Business intelligence analytical capabilities may include ________, which utilizes statistics and data mining to try to determine the likelihood of future events for planning purposes.
A. operational intelligence
B. a client metric
C. data warehousing
D. predictive analytics
E. a cloud service
Answer:
D. predictive analytics
Explanation:
Business intelligence analytical capabilities may include predictive analytics, which utilizes statistics, artificial intelligence, predictive modeling, machine learning and data mining to try to determine the likelihood of future events for planning purposes.
Amanda Winter worked as a public engagement coordinator at Safe Food Alliance until three months ago when her manager, Laura Morris, promoted her to the position of a sustainable food campaigner. However, soon after this, Laura noticed that Amanda was facing major difficulties in achieving campaign milestones and the project was falling behind schedule due to her lack of performance. Which of the following, if true, would most strengthen the argument that Laura was influenced by the halo effect in her decision to promote Amanda?
A. Laura is known to micromanage most of her projects.
B. Laura uses cultural stereotyping in order to speed up the process of decision making.
C. Laura has made good hiring decisions in the past and is known to be an unbiased judge of character.
D. Laura sat in on only one of Amanda's presentations prior to giving her the promotion.
E. Laura worked closely with Amanda over a period of eight months.
Answer:E. Laura worked closely with Amanda over a period of eight months.
Explanation: As a manager, Laura has worked with Amanda for a period of time. As her manager, supervising her work over a period of time made her feel she is capable of handling a project on her own without been supervised or told what to do. But she is wrong or has been proven wrong by Amanda's inability to handle the project as the project is falling behind schedule.
Option D, indicating that Laura sat in on only one of Amanda's presentations before the promotion, most strengthens the argument that Laura was influenced by the halo effect in her decision-making. This suggests that Laura's positive impression of Amanda might have been based on insufficient evidence of her abilities in the new role.
Explanation:The scenario provided centers around Laura's promotion of Amanda to a new role in which Amanda subsequently struggled to achieve campaign milestones, raising questions about the decision-making process behind the promotion. To strengthen the argument that Laura was influenced by the halo effect in promoting Amanda, we must identify information indicating that Laura's judgment might have been clouded by an overall impression of Amanda rather than her specific abilities relevant to the new role.
Option D, which states that Laura sat in on only one of Amanda's presentations prior to giving her the promotion, is the most compelling. This option suggests Laura may not have had enough exposure to Amanda's work relevant to the new position and may have based her decision on limited interactions, which is symptomatic of the halo effect. The halo effect is a cognitive bias where our overall impression of a person influences how we feel and think about their character and abilities.
Therefore, option D most strengthens the argument that Laura's decision to promote Amanda was influenced by the halo effect, implying that Laura may have made a positive overall assessment of Amanda based on limited direct observation of relevant skills.
If the interest rate is above the equilibrium value, the: a) demand for real balances exceeds the supply. b) supply of real balances exceeds the demand. c) market for real balances clears. d) demand for real balances increases.
Answer:
Option (b) is correct.
Explanation:
When we are considering the theory of liquidity preference, the higher interest rate will lead to reduce the demand for real balances and will lead to increase the supply of real balances. As it will be profitable for the money holders to invest money in bonds because the opportunity cost holding money (i.e. interest rate) is higher. So there will be more supply of real balances as compared to the demand for real balances.
A marketing campaign to target business travelers includes two advertising buys. One buy cost $4,600 and yielded 220 leads. The other buy cost $6,700 and yielded 450 leads. What is the average cost per lead for these two buys
The average cost per lead for these two buys are $20.90 & $14.88 of the buy of the two marketing campaign.
What is marketing?
The practice of a business of promoting the purchase and sale of goods and services is referred to as “marketing.” Promotion, publicity, and advertising make up marketing. The marketing are the important part of the economies. The marketing are the based of the consumer behavior.
The typical pricing is the marketing campaign expenditure incurred to obtain a new potential customer. The average price per lead, or CPL, is computed to use the ratio of entire marketing spend / total leads and sales. CPL assists in determining the most effective marketing strategy.
Determine are the first marketing campaign cost are:
=$4,600/220
=$20.90
Determine are the second marketing campaign cost are:
=$6700/450
=$14.88
As a result, the first marketing campaign is $20.90. The second marketing campaign is $14.88.
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Final answer:
To calculate the average cost per lead for two advertising buys, we sum the costs ($4,600 + $6,700 = $11,300) and divide by the total leads (220 + 450 = 670), resulting in an average cost of $16.87 per lead.
Explanation:
The student's schoolwork question pertains to calculating the average cost per lead from two different advertising buys aimed at business travelers. To find the average cost per lead, we must divide the total cost by the total number of leads from both advertising buys.
First advertising buy: $4,600/220 leads = $20.91 per lead
Second advertising buy: $6,700/450 leads = $14.89 per lead
To calculate the average cost per lead, we add the total costs of both buys and divide by the total number of leads. Total cost is $4,600 + $6,700 = $11,300. Total leads are 220 + 450 = 670 leads. So, the average cost per lead is $11,300 / 670 leads = $16.87 per lead.
George is a new salesperson in his firm. He is assigned to attract new buyers by visiting their homes and demonstrating the features of the firm's products. Though he is insensitive and rude to most people, he is valued by his management because he is able to generate new ideas and tactics that retain existing customers. His ability to innovate has helped improve his performance at his firm. Which of the following statements is true about George?
a. george specializes in internal selling.
b. george is a creative salesperson.
c. george has a high level of emotional intelligence.
d. george is an inside salesperson.
e. george relies on team selling rather than selling alone.
Answer:
b.
Explanation:
Based on the scenario being described within the question it can be said that George is a creative salesperson, and is the main reason why he is so valued. This creativity allows George to come up with all the new ideas that others may not be able to come up with, and these ideas and tactics create value to the company.
Answer:
George is a creative salesperson.
Explanation:
A salesperson is someone that works to convince clients of the usefulness of a product with the aim of getting them to buy products.
There are different type is salespeople depending on their style of sales: creative sales person, internal salesperson, team salesperson, and so on.
In this instance George is a creative salesperson because he is valued by his management because he is able to generate new ideas and tactics that retain existing customers.
Which of the following is true about business-to-business (B2B) transactions? For most people, the B2B market is visible and overexposed. An example of a B2B transaction would be an individual buying a cell phone. B2B involves electronically-facilitated transactions between consumers through a third party. B2B e-commerce is larger than B2C e-commerce.
Among the given options, the true statement about business-to-business (B2B) transactions is that B2B e-commerce is larger than B2C e-commerce. B2B refers to transactions conducted between two companies, not between a company and an individual.
Explanation:The term business-to-business (B2B) refers to a transaction or business conducted between two companies, rather than between a company and an individual consumer. That being said, among the provided statements, the most accurate one is: 'B2B e-commerce is larger than B2C e-commerce'. B2B transactions are typically larger in volume and value, encompassing wholesale transactions, business supply chain operations, and similar large-scale dealings. The other statements are not accurate: B2B transactions are not usually visible to most people, an individual buying a cell phone is an example of a B2C transaction, not B2B, and B2B doesn't necessarily involve third-party transactions for consumers.
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B2B transactions involve electronic transactions between businesses through a third party, with B2B e-commerce being larger than B2C e-commerce.
Explanation:B2B involves electronically facilitated transactions between businesses through a third party. B2B e-commerce is typically larger than B2C e-commerce. An example of a B2B transaction would be a company purchasing raw materials from a supplier. In contrast, B2C transactions involve businesses selling products directly to individual consumers.
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Tower Corp. began operations on January 1, 20X2. For financial reporting, Tower recognizes revenue from all sales under the accrual method. However, in its income tax returns, Tower reports qualifying sales under the installment method.
Tower's gross profit on these installment sales under each method is as follows:
YearAccrual method Installment method20x2$1.6mn $600,00020x3$2.6mn $1.4mnThe income tax rate is 30% for 20x2 and future years. There are no other temporary or permanent differences. In its December 31, 20x3 balance sheet, what amount should Tower report as a liability for deferred income taxes?A. $840,000B. $660,000C. $600,000D. $360,000
Answer:
B. $660,000
Explanation:
Year Financial income Taxable income Temporary difference
1990 $1,600,000 $600,000 $1,000,000
1991 $2,600,000 $1,400,000 $1,200,000
Total $4,200,000 $2,000,000 $2,200,000
In the table above, The temporary difference = Financial income - Taxable income.
For year 1990, The temporary difference = $1,600,000 - $600,000 = $1,000,000
For year 1991, The temporary difference = $2,600,000 - $1,400,000 = $2,200,000
Total Financial income = $1,600,000 + $2,600,000 = $4,200,000
Total taxable income = $600,000 + $1,400,000 = $2,000,000
The total temporary difference = Total financial income - Total taxable income = $4,200,000 - $2,000,000 = $2,200,000
The income tax rate = 30% = 0.3
Therefore the deferred income taxes = total temporary difference * income tax rate = $2,200,000 * 0.3 = $660,000
Final answer:
Tower Corp. should report a deferred income tax liability of $660,000 on its December 31, 20X3 balance sheet by summing the deferred tax liabilities for 20X2 and 20X3, which are calculated by applying the tax rate to the difference in gross profits reported under the accrual and installment methods.
Explanation:
To calculate the amount Tower Corp. should report as a liability for deferred income taxes on its balance sheet as of December 31, 20X3, we must consider the difference in gross profits reported under the accrual and installment methods for both years and apply the tax rate to these differences.
Step-by-Step Calculation:
Calculate the temporary difference for each year by subtracting the installment method gross profit from the accrual method gross profit.Multiply each temporary difference by the tax rate to find the deferred tax liability for each year.Sum the deferred tax liabilities for 20X2 and 20X3 to find the total deferred income tax liability to be reported on the balance sheet.Deferred Tax Calculation for 20X2:
Accrual Method: $1.6mn
Installment Method: $600,000
Difference: $1.6mn - $600,000 = $1mn
Tax Rate: 30%
Deferred Tax Liability for 20X2: $1mn x 30% = $300,000
Deferred Tax Calculation for 20X3:
Accrual Method: $2.6mn
Installment Method: $1.4mn
Difference: $2.6mn - $1.4mn = $1.2mn
Tax Rate: 30%
Deferred Tax Liability for 20X3: $1.2mn x 30% = $360,000
Total Deferred Income Tax Liability:
Total: $300,000 + $360,000 = $660,000
Therefore, the amount Tower Corp. should report as a liability for deferred income taxes on its December 31, 20X3 balance sheet is $660,000 (Option B).
Discretionary benefits can be categorized into programs that:______.
A. Provide job security, allow for paid time-off, provide accommodation and enhancement benefits.
B. Protect health and income, provide job security, provide accommodation and enhancement benefits.
C. Protect health and income, allow for paid time-off, provide accommodation and enhancement benefits.
D. Provide job security, protect health and income, allow for paid time-off.
Answer: C. Protect health and income, allow for paid time-off, provide accommodation and enhancement benefits.
Explanation: Benefits or privileges granted to employees or workers which reside outside the mandatory requirement cited by the law are classed as discretionary benefits. And for these reason, discretionary benefits offered to an employee or worker of a certain organization may not be enjoyed by those belonging to other organizations. Discretionary benefits include ; allowances such as health(sick leave) , accommodation, paid time-off for vacations or holidays and other enhancement benefits such as education or research assistance.
The forecasting model that uses a panel of experts who may not even know each other is the ________ model.
Answer: Delphi model
Explanation:
The Delphi model is one of the type of forecasting process method that specifically uses the different types of panel of experts for the purpose of questionnaires round.
This type of method also uses various types of face to face conservation meetings so that is why is also known as the structured communication process.
According to the given question, the forecasting model is basically using the panel experts for the purpose of forecasting the business and the industrial based information and their decisions. The versatility is one of the advantage of the Delphi model.
Therefore, Delphi model is the correct answer.
Alpha company reported positive net income in year 1 and year 2 before sustaining a significant loss in year 3. all of the year 3 loss can be carried back against the income of years 1 and 2 for purposes of determining the company's year 3 income tax liability. how should the carryback be presented int he company's year 3 financial statements?
Answer:
Answer: As an income-tax benefit that reduces the operating loss on the income statement.
Explanation:
One of the option a Company has as a way of offset the income of previous years is by way of carry back of current year loss, this will result in the refund of tax already with the authority. Since its a benefit to the company this should be shown as a tax benefit in statement of profit and loss which help to reduces the loss on the income statement therefore the carryback be presented into the company's Year 3 financial statements- As an income-tax benefit that reduces the operating loss on the income statement. .
Operating loss before income tax (XXXX)
Tax expense XXXX
Net loss after tax (XXXX)
Answer:
The income-tax gain will lower the loss operating on the statement of income
Explanation:
The Company has the choices of offset the income of last yea by a method of taken back of year current loss, this will lead to a payback of tax already with jurisdiction.
However, because its a gain to the company this should appear as a benefit in tax in statement of loss and profit which will decrease the loss on the statement of income,therefore, we have the following:
Before the income tax, Operating loss x (XXXX)
The Tax expense XXXX
The Net loss after tax (XXXX)
When Roosevelt cut spending in 1937, the U.S. economy returned to the abysmal economic status of 1932–1933; yet, despite reversing course and adopting the countercyclical, "compensatory" spending approach devised by economist John Maynard Keynes, what financial crisis ensued?
Answer:
When Roosevelt cut spending in 1937, the U.S. economy returned to the abysmal economic status of 1932–1933
Explanation:
Economists believe that the recession during 1937 was the result of government's decision to curb government spending as this idea was immature. Even after Roosevelt's decision there was recession and political atmosphere heated up due to this.
Roosevelt and his advisors made a decision to curb government spending thinking it would take the country of recession. It is also believed that there was contraction in the money supply caused by 'Federal Reserve and Treasury Department' policies which may have contributed to the Recession. Unemployment grew worsening the situation.
The economist John Maynard Keynes supported the idea that government should increase the spending to increase demand.
The seeking sustainability box shows us that consumer relationship building can mean many different things. in this case, campbell's and the food bank of south new jersey are showing their great examples of being socially responsible and promoting sustainability, two attributes consumers are seeking more.
Explanation:
The terms being socially responsible and having sustainability can be evident in Campbell's and the Food bank of South New jersey when these organisations give back to the communities of their consumers while also protecting their immediate environment, thus shows that they are socially responsible and are promoting sustainability.
When Top-Flite introduced its Strata golf balls with a new design for better flight with hit by metal clubs, it charged three times the price of golf balls currently on the market. This high introductory pricing is an example of:
Answer: Price skimming
Explanation:
The price skimming is one of the type of pricing strategy in which the various types of companies or firms initial charge the high price o the products and the services in the market and over the time they also lowers the price of the products.
Due to the various types of reasons such as competition in the market and also for the consumer satisfaction they change the price on the basis of the given situation.
According to the given question, The top-Flite introduced a new design Strata golf balls and they charged the price three times high as compared to the other golf balls available in the market so this type of high introductory pricing is one of the example of the price skimming concept.
Therefore, price Skimming is the correct answer.
Monopolistic competition in the golf ball industry involves creating perceived product differences despite standardized regulations.
Monopolistic competition in the golf ball industry is evident as manufacturers create the perception of differentiation among products. Despite strict regulations by the USGA on golf ball standards, manufacturers use marketing strategies to make their products appear unique. An example of this differentiation strategy is Top-Flite's pricing strategy when introducing the Strata golf balls.
Diverse Diversions, Inc., makes video, games. Ember buys a copy of Final Infinity. Inside the package is a shrink-wrap agreement. With respect to the contract for the game's purchase, the shrink-wrap agreement may not be enforced if _________.
a. Ember does not read it
b. Ember learns of it after contracting
c. Ember learns of it before contracting
d. the play of the game is poor
Answer:
B) Ember learns of it after contracting
Explanation:
A shrink wrap agreement is a type of legal agreement that a customer generally engages in when he/she purchases a product. They generally define the terms and conditions of usage of the new product.
In order for any legal agreement to be enforceable, you must first agree with it before a transaction is carried out. In this case, Ember discovered the agreement after purchasing the game, no one told her anything about it before she purchased it. Since the agreement was not something that Ember agreed to it is unenforceable.
What kinds of sales management opportunities are available at Amway and Quixtar? Use the companies’ Web sites (www.amway; www.quixtar) to research one of these companies and determine its sales process, sales force structure, and how it recruits and trains its salespeople.
Answer:
Explanation:
Sales management opportunities
CRM Specialists
Global Risk Management
Brand Management - Beauty
Brand Marketing
Operations
IT Systems Management
Distribution
Artistry
Forecast Analyst
Retail
Customer Service
Leader Growth Solutions Planner - Process Management, Account Segmentation; Global Sales Project
Sales process
Amway sells directly to buyers
Amway website Quixtar requires a local sales representatives' Amway ID for one to make a purchase; representatives get credit even if they did not make the presentation
Compensation scheme combines salary, additional financial incentives - commissions & bonuses
Plans provide incentives for non-revenue activities - Base, secure level of income rewarding the best performers
The output is measured in terms of orders, and, accounts - Size & number of orders obtained; active, lost, new, overdue, and, prospective account
Quixtar uses Microsoft's Server, and, Vignette's Story Server tied IBM DB2, and, Microsoft SQL Server Databases
Salesforce structure
Individuals can start a business of their own - it pays off in increased returns on investment
The organization uses technology and is into virtual selling
Flat organization structure; customers are knowledgeable but get advice from the staff
Personal selling has become complex; virtual selling has increased
Salesforce has become fully automated
How it recruits & trains salespeople
Each salesperson is evaluated on sales, job knowledge, customer & company relations; management of sales territory & personal characteristics
Van Andel, and, Devos families have set up Quixtar;
The e-commerce business is in combination with millions of sales representatives who sold more than $5 billion in Amway laundry products, and, nutrition supplements
Every transaction on Quixtar is credited to Amway sales representatives - independent Business Owners
Generations across Amway program - Helps individuals network outside & inside the firm for professional development opportunities; diversity & inclusion networks support the firms
Enterprise talent development fosters continuous development & learning; development interests & leadership goals
One can register with Amway as an independent business owner
The organization looks at education, field expertise, professional experience, culture, tastes, preferences, connections, insights; the employers include individuals, scientists, and, skilled workers
Emerson’s boss wants to use cognitive dissonance to sell a new type of cell phone. Emerson is not convinced that the campaign is going to be successful. What should Emerson tell his boss? Cognitive dissonance is not very effective in changing people’s attitudes. Cognitive dissonance advertising is too expensive. Cognitive dissonance techniques are difficult to implement on a mass scale. Cognitive dissonance is impossible to create for consumer products.
Answer:
Cognitive dissonance techniques are difficult to implement on a mass scale.
Explanation:
Cognitive dissonance refers to a state of operation of conflicting views and ideas in the mind, at the same moment. Usually those contrasting views are difficult to reconcile.
A marketer targets consumer's state of cognitive dissonance by advertising and touching upon those product attributes which create a dissonance between a consumer's perceived idea of the product and what the advertiser depicts.
This state of perceptible conflict in the ideas leads a consumer towards it's reconciliation and induces a purchase.
For example, a salesperson advertising an expensive watch as, a product only purchased by "royal" social class. Now, the consumer though considers the product to be too expensive. But now, he thinks of the royalty aspect, which may ultimately induce him to buy such a product.
Such techniques can only be implemented to induce sales at individual level or targeted at few customers. Wherein the customers are huge, the conflict or cognitive dissonance gap would be huge, which the marketer will not be able to bridge.
Elly and Frank are a married couple whose combined salaries are $150,000
per year. Based on the tax table below, how much do they need to contribute
to their IRA in order to fall into a lower tax bracket?
Single
Married Filing Jointly
Taxable
income is
over
But not
over
Bracket
Taxable
income is
over
But not
over
Bracket
8,350
10%
10%
8,350
33 950
15%
15%
33.950
25%
25%
$0 16.700
16,700 67.900
67 900137 050
137050 208.850
208 850 372 950
372950
82 250
171.550
372 950
28%
82.250
171550
28%
33%
33%
372 950
35%
35%
Answer:
12,950
Explanation: