Answer:
entrepreneur
Explanation:
Rob can be classified as an entrepreneur.
Reason :The reason behind this is that he takes a shot at his very own and is planning to develop and procure individuals who can work for him. He is likewise ready to have accomplices which implies he is considering extending the business.
These all are the qualities of an entrepreneur i.e. thinking of doing something on their own
Final answer:
Rob is currently a sole proprietor but looking to expand his business to include partners and bookkeepers, indicating that he may transition to a partnership structure in the future.
Explanation:
Rob, a Certified Public Accountant (CPA) running 'Friendly Accounting Services' from his home, is currently classified as a sole proprietor. As a sole proprietor, Rob is the exclusive owner of his business, meaning he receives all the firm's revenues and is personally liable for all of the incurred costs. Since he is the only owner, Rob's business or personal assets may be at risk to cover any debts should the business fail to meet its financial obligations.
However, Rob's aim to grow his business to include partners and bookkeepers indicates that he may be considering transitioning to a partnership. Partnerships allow multiple individuals to own the business jointly, share profits, and contribute to covering losses. This business structure is commonly adopted by firms like legal and accounting practices where trust is a vital component, as partners often invest their own wealth, providing the firm with additional credibility.
In a partnership, raising capital becomes more feasible due to the combined assets of the partners, which helps in business expansion. Each partner in a partnership pays taxes on their share of the income, offering a tax advantage since the business itself isn't taxed.
Crucially, in this shared business structure, all partners are jointly responsible for the firm's liabilities. If Rob is indeed considering this 'growth' path, he would become an 'entrepreneur' with employees, transitioning from solo work to a collaborative business endeavor dedicated to maximizing profit and expanding service reach.
A sunk cost is described as which of the following? A. An outlay expected to be incurred in the future B. One that is relevant to a decision because it changes depending on the alternative course of action selected C. A historical cost that is always irrelevant D. A historical cost that may be relevant
Answer: Option C
Explanation: In simple words, sunk cost refers to the cost that a company has already incurred and cannot recover it in future in any way for example- market research cost before introducing a product in the market.
No matter whether the organisation takes the prospective project or not these costs are not recoverable, hence they are considered to be irrelevant with respect to decision making.
Hence we can conclude that the correct option is C.
A sunk cost is a historical cost that is always irrelevant for future decisions. These costs have already been incurred and cannot be recovered, no matter what future actions or decisions a company takes.
Explanation:In business terms, a sunk cost is most accurately described as a historical cost that is always irrelevant to future business decisions, option C. The main characteristic that distinguishes a sunk cost from other types of cost is that it has already been incurred and cannot be recovered, no matter what future action is taken.
For instance, if a company has invested in a piece of equipment that is no longer useful or efficient, that investment is a sunk cost because the capital spent cannot be retrieved or adjusted, regardless of future actions or decisions.
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A cell phone manufacturing firm produced 1,000 cell phones a day but believed that it could reasonably top up production to 2,000 cell phones a day. Consequently, it built a larger plant and installed efficient machineries and work arrangements to realize the projected output. Which of the following can most likely be inferred from this information?
a. the unit cost of producing 2,000 cell phones per day would be twice that of the unit cost of producing 1,000 units per dayb. a production plant with the capacity of producing 5,000 cell phones a day would be most efficientc. the unit cost of producing 2,000 cell phones per day would be lower than the unit cost of producing 1,000 units per dayd. a 2,000-capacity production plant would be less efficient because of increasing diseconomies of scalee. the fixed costs of the firm are more likely to increase with the increase in output
Answer:
the unit cost of producing 2,000 cell phones per day would be lower than the unit cost of producing 1,000 units per day.
Explanation:
The costs of producing the 2000 units per day will be lower due to the following reason:
Economies of scale. The company will enjoy the benefits associated with large scale productions. When purchasing raw materials, the company will be a position to bargain for better discounts. The production cost is spread among finished products. A large production keeps the cost per item low.
Some fixed costs may not change. By adding a new plant, the company will increase production activities. Variable costs will increase, but some fixed costs are likely to remain the same. Administrative cost, top management salaries will not be affected. It means a larger number of finished used will absorb the fixed cost.
Efficient machines: The company has invested in new and more efficient machines. Efficiency implies the use of less labor, less power, and faster production. The result is a lower cost of production.
This text appears on the economics page of the local newspaper. One of the sentences is incorrect. Which corrected sentence would make the passage accurate?
A) Prices are rising as investments and lending increase.
B) Prices are stabilizing as investments increase and lending decreases.
C) Expand the money supply by halting the sale of government securities
D) Expand the money supply by lowering discount rates and reserve requirements.
Answer:
D) Expand the money supply by lowering discount rates and reserve requirements.
Explanation:
By lowering discount rates, the Fed pushes the costs of borrowing money lower. The discount rate is the rate that the Fed applies when it lends money to banks. It has similar effects on interest rates as the fed funds rate. Lowering the discount rate will discourage banks from holding excess reserves. They will want to lend out to households and businesses to earn interests. As they loan out, they are increasing the money supply in the economy.
The Fed instructs banks to maintain a certain percentage of deposits as reserves. Banks cannot loan out the reverse amount. Should the fed lower reserve requirements, banks will have a higher proposition of deposits to loan out. The availability of more credit increases the money supply in the economy.
The corrected sentence that would make the passage accurate is Prices are rising as investments and lending increase is incorrect. The correct option is A.
Explanation:To identify the corrected sentence in the given passage, we need to examine each option. Option A states that prices are rising as investments and lending increase, which could be a plausible explanation for rising prices. Option B claims that prices are stabilizing as investments increase and lending decreases, which doesn't explain the rising prices. Option C suggests expanding the money supply by halting the sale of government securities, which isn't related to the topic of rising prices. Option D suggests expanding the money supply by lowering discount rates and reserve requirements, which is more relevant to managing inflation rather than explaining rising prices. Therefore, the corrected sentence that would make the passage accurate is option A).
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What is the correct way to feed a resident that is unable to feed themself?
A. Talk quietly to the resident about their day.
B. Sit silently and they will let you know when they are ready for another bite.
C. The cooler the food, the better, you do not want to burn them.
D. You will never need gloves for feeding someone.
Answer: The cooler the food the better, you don't want to burn them.
Explanation: as used in the question a resident is someone unable perform some basic functions by themselves, either as a result of advanced age or illness.
The residents should be properly taken care of, and shown care at all times. When feeding them temperature of food shouldn't be too hot to avoid burning them.
Clint's salary increased from $22 comma 000 to $35 comma 200 over a three-year period. Helen's salary increased from $28 comma 000 to $44 comma 800 over the same period. Whose salary increased more in absolute terms? In relative terms? Explain. Whose salary increased more in absolute terms? Select the correct choice below and fill in the answer box(es) to complete your choice. A. Helen's salary increased more, because her salary increased by $ nothing. This is more than $ nothing, the amount that Clint's salary increased.B. Clint's salary increased more, because his salary increased by $ nothing. This is more than $ nothing, the amount that Helen's salary increased.C. Neither person's salary increased more, because both of their salaries increased by $ nothing.
Answer:
a
Explanation:
Helen salary increased more, because her salary increased by 16,800 dollars this is more than 13,200 dollars ,the amount Clint's salary increased.
Relevant information for Product A follows: Actual variable overhead cost per hour $8.00 Standard variable overhead cost per hour $7.50 Actual hours 4,500 Standard hours 5,000 What was the variable overhead spending variance for Product A?
Answer:
variable overhead spending variance = $2,250
Explanation:
given data
Actual variable overhead cost per hour = $8.00
Standard variable overhead cost per hour = $7.50
Actual hours = 4,500
Standard hours = 5,000
to find out
variable overhead spending variance
solution
we know Actual hours and Application rate
so Total actual will be here = Actual hours × Application rate ..............1
Total actual = 4,500 × $8
Total actual = $36000
and
Total actual Standard will be = Standard variable × Actual hours .......2
Total actual for Standard will be = 4,500 × $7.50
Total actual for Standard = $33750
so
variable overhead spending variance = Total actual - Total actual for Standard .........3
variable overhead spending variance = $36000 - $33750
variable overhead spending variance = $2,250
The variable overhead spending variance for Product A is calculated by subtracting the standard variable overhead cost from the actual variable overhead cost, and multiplying the difference by actual hours. Here, the variance is $2,250 unfavorable.
Explanation:
The variable overhead spending variance for Product A is determined by analyzing the difference between the actual variable overhead cost incurred and the standard variable overhead cost that should have been incurred for the actual hours worked.
To calculate this, we subtract the standard cost from the actual cost and multiply the difference by actual hours worked. In this scenario, it would be:
Variance = (Actual variable overhead cost per hour - Standard variable overhead cost per hour) x Actual hours
Thus using the data given:
Variance = (($8 - $7.50) x 4500) = $2,250 unfavorable (because the actual variable overhead cost was more than the standard).
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Is the process of an economy’s increasing industrialization
Answer:
Economic development
Explanation:
Economic development is the process of an economy increasing industrialization, the standard of living of its citizens and overall economic wealth.
This process starts to take place when a poor country starts an industrialization process. The second level is called developing economy, since the economy has not been fully industrialized yet, but the standard of living and the economic wealth are improving.
The third level would be when a country becomes a developed economy , since it has reached full industrialization, its citizens' standard of living is high and the overall economic wealth is also high.
A product's life cycle is divided into four stages, which are: A. introduction, growth, maturity, and decline. B. introduction, growth, saturation, and maturity. C. introduction, maturity, saturation, and decline. D. introduction, growth, stability, and decline. E. incubation, growth, maturity, and decline.
Answer:
A. introduction, growth, maturity, and decline.
Explanation:
The four stages of a product life cycle are
Introduction: is when the product is launched to the market. The focus at this moment is to create awareness of among consumers. Companies may choose to use a low price as a way of attracting customers. A lot of finances and resources are used to gain market share and create a brand name. Profits are not a concern at this level.
Growth: the product starts to record high volume of sales. Customers are becoming more aware of the product. The product qualities are recognized, and word about the product is spreading. More resources are used in marketing to target a bigger audience.
Maturity: At maturity, demand for the product is high. The product can withstand competition from rivals. The sales are at a peak stage. The business may differentiate the product to make standout it from the rest and to prolong this stage.
Decline; At this last stage, the product reaches its saturation point. Sales begin to decline. The company need to decide on whether to withdraw or to make significant changes to the product.
Under which of these market classifications does each of the following most accurately fit?
i. A supermarket in your hometown.
ii. The steel industry.
iii. A Kansas wheat farm.
iv. The commercial bank in which you or your family has an account.
v. The automobile industry.
Answer: i. A supermarket in your hometown. - fits more precisely to the market structure of oligopoly.
ii. The steel industry. - fits more precisely to the market structure of oligopoly.
iii. A Kansas wheat farm. - fits more precisely to the market structure of perfect competition.
iv. The commercial bank in which you or your family has an account. - fits more precisely to the market structure of perfect competition.
v. The automobile industry. - fits more precisely to the market structure of oligopoly.
Answer:
Pure Competition: A very huge number of firms; uniform products; no rent controls: price takers; no entry barriers; no un-price competition.
Oligopoly: Few companies; uniform or distinguished goods; price controls constricted by mutual interdependence: a great deal of anti-price competition, especially product difference.
i. Supermarkets in hometown - Oligopoly - Supermarkets in every area are few in the total amount.
ii. Steel industry - Oligopoly - Companies are few; their goods are somewhat standardized.
iii. Kansas wheat farm - Pure Competition - there is no price control; there is no non-price competition.
iv. Commercial bank - Oligopoly - the facilities are as distinct as the bank can help them look.
v. Automobile industry - Oligopoly - Imports made the industry more competitive in the past 2 years, dramatically increasing American automakers' market power.
One idea for reducing cyberloafing is to develop software that recognizes and categorizes Internet sites into sites that employees can always visit, sometimes visit, and never visit.
1) True
2) False
In a certain economy in 2005, the value of imports amounted to 80 percent of the value of exports. Consumption, investment, and government purchases added up to $5,000. The market value of all final goods and services produced within the economy was $5,500. It follows that the economy exported_________.
a. $500 worth of goods and services.
b. $1,000 worth of goods and services.
c. $1,500 worth of goods and services.
d. $2,500 worth of goods and services.
Answer:
d. $2,500 worth of goods and services.
Explanation:
The national income identity is given by:
GDP = C + I + G + EX − IM.
Market value of all final goods and services produced within the economy was $5,500 => GDP = $5,500
Consumption (C), investment (I), and government purchases (G) added up to $5,000 => C + I + G = $5,000
=> EX - IM = GDP - (C + I + G) = $500
Imports amounted to 80 percent of the value of exports => IM = 0.8EX
=> EX - 0.8 EX = $500
=> EX = $2,500
When a company issues 33,000 shares of $4 par value common stock for $40 per share, the journal entry for this issuance would include__________.
Answer:
Debit Cash or Bank Account $1,320,000
Credit Share Capital Account $132,000
Credit Share Premium Account $1,188,000
Explanation:
The journal entry to record issue of common stock for more than its par value will be as follows:
Debit Cash or Bank Account
(33,000 shares × $40 per share) $1,320,000
Credit Share Capital Account
(33,000 shares × $4 par value per share) $132,000
Credit Share Premium Account
(33,000 shares × ($40 - $4)per share) $1,188,000
Share capital account is always credited for issuance of shares at par value and the difference between par value and issuance value is taken to the share premium account. Here, the company issued its shares at $36 per share premium.
Final answer:
The journal entry for the issuance of 33,000 shares at $40 per share includes a debit to Cash for the total amount received, a credit to Common Stock for the par value, and a credit to Additional Paid-In Capital for the excess over par value.
Explanation:
When a company issues 33,000 shares of $4 par value common stock for $40 per share, the journal entry would include a debit to Cash for $1,320,000 (33,000 shares x $40 per share), a credit to Common Stock for $132,000 (33,000 shares x $4 par value), and a credit to Additional Paid-In Capital (or Paid-In Capital in Excess of Par) for $1,188,000 (the difference between the cash received and the par value of the stock, which is the amount received ($1,320,000) minus the par value amount ($132,000)). This transaction reflects the inflow of cash and the issuance of common stock, as well as the distinction between the stock's par value and the excess amount paid by shareholders, which represents additional capital for the company.
Al works in the warehouse for his company and receives $12.75/hour. He occasionally works in the Quality Assurance (QA) department as a receiving clerk and earns a 15% differential for hours worked there. During a two-week pay period, he worked 72 hours in the warehouse and 12 hours in the QA department. He worked all overtime hours in the warehouse. Standard workweek has 40 hours. What is his gross pay for the pay period?
A) $1,071.00
B) $1,096.50
C) $1,042.95
D) $1,119.45
Answer:
The answer is D) $1,119.45
Explanation:
Summary of pay-rate per hour of AI is as followed:
- Normal working-time at warehouse: $12.75
- Normal working-time at QA: 12.75 x 1.15 = $14.66
- Overtime at warehouse: 12.75 x 1.5 = $19.125
During the two-week pay period, AI has work 84 hours ( 72 +12), in which overtime working is 4 hours ( 84 - 40 x 2) at warehouse.
Thus, total payment to Al is as followed:
Payment from 68 working-hour at warehouse in normal working time + Payment from 12 working-hour at warehouse in normal working time + Payment from 4 working-hour at warehouse in overtime working = 68 x 12.75 + 12 x 14.66 + 4 x 19.125 = $1,119.45
Al's gross pay is calculated by adding his standard warehouse earnings and the earnings from his QA department work with a 15% differential. The total gross pay is $1,093.95, which is rounded to B) $1,096.50.
To calculate Al's gross pay for the pay period, we need to separate his earnings from warehouse work and from the Quality Assurance (QA) department, including the differentials and any overtime pay.
Al's regular hourly wage in the warehouse is $12.75. For a two-week period, the standard workweek is 40 hours, so he works a total of 80 hours standard time. Al worked 72 hours in the warehouse, all of which is within the standard work time, with no overtime calculation needed for the warehouse hours.
Al also worked in the QA department, where he receives a 15% differential. To find the rate for QA work, calculate 15% of his warehouse rate:
QA Rate = Warehouse Rate + (15% of Warehouse Rate)QA Rate = $12.75 + ($12.75 * 0.15)QA Rate = $12.75 + $1.9125QA Rate = $14.6625Now, let's calculate Al's earnings for the pay period:
Warehouse earnings = Warehouse hours * Warehouse rateWarehouse earnings = 72 hours * $12.75Warehouse earnings = $918QA earnings = QA hours * QA rateQA earnings = 12 hours * $14.6625QA earnings = $175.95Thus, Al's total gross pay is the sum of his warehouse and QA earnings:
Gross pay = Warehouse earnings + QA earningsGross pay = $918 + $175.95Gross pay = $1,093.95Therefore, the correct answer is B) $1,096.50.
Cox Footwear pays a constant annual dividend. Last year, the dividend yield was 3.2 percent when the stock was selling for $35a share. What is the current price of the stock if the current dividend yield is 2.9 percent?a $18.92 b $38.62 c $25.20 d $26.87 e $27.40
Answer:
The current price of the stock is b. $38.62
Explanation:
Hi, in order to find the current price of the stock, first we need to find the amount paid as a constant dividend, the formula is as follows.
[tex]DivYield=\frac{Dividend}{Price}[/tex]
So, things should look like this
[tex]0.032=\frac{Dividend}{35}[/tex]
[tex]Dividend=0.032*35=1.12[/tex]
So the amount of constant dividend tha this company is paying is $1.12/share
Now we can find the current price using the same equation and solving for "Price",
[tex]0.029=\frac{1.12}{Price}[/tex]
[tex]Price=\frac{1.12}{0.029} =38.62[/tex]
Therefore, the current price of the stock is $38.62, that would be option b.
Best of luck:
Kaldon, Inc. acquired 2,500 of its own shares at $30 per share. The shares are to be held in treasury. The par value of Kaldon’s common stock is $4 per share. If Kaldon were to resell all its treasury stock at $32 per share, what journal entry would Kaldon make?
Answer:
The journal entries Kaldon, Inc. needs to make are as followed:
Dr Cash 80,000
Cr Common share 75,000
Cr Paid-in capital 5,000
(to record the sale of repurchase share)
Explanation:
Calculation notes:
As Kaldon, Inc. sell 2,500 shares at $32, the cash proceed the company gets is 2,500 x 32 = $80,000.
As Kaldon, Inc. had previously repurchased the shares at $30, the value of common shares should be recorded at $30 per share in the sell of repurchased shares transaction. Thus, total value of common share repurchased is 30 x 2,500 = $75,000.
The difference amount between Cash Receipt and Value of common share recorded will be recorded in Paid-in capital account : 80K - 75K = 5,000.
In an open economy, gross domestic product equals $3,500 billion, consumption expenditure equals $2100 billion, government expenditure equals $400 billion, investment equals $800 billion, and net exports equals $200 billion. What is national savings? Group of answer choices
a.$200 billion
b.$600 billion
c.$800 billion
d.$1,000 billion
Answer:
option (d) $1,000 billion
Explanation:
Data provided in the question:
Gross domestic product = $3,500 billion
Consumption expenditure = $2,100 billion
Government expenditure = $400 billion
Investment = $800 billion
Net exports = $200 billion
Now,
National savings
= GDP - (Consumption expenditure + Government consumption)
= $3,500 billion - ( $2,100 billion + $400 billion )
= $1,000 billion
Hence,
The answer is option (d) $1,000 billion
A lawnmower assembly plant uses a variety of nuts, bolts, screws, and other fasteners in its operation. Its supplier delivers these items directly to the point of use on the assembly line and ensures that there are always sufficient quantities of fasteners to maintain the production schedule. This is an example of
A. e-procurement.
B. vendor-managed inventory.
C. postponement.
D. single stage control of replenishment.
Answer:
B. vendor-managed inventory.
Explanation:
A simplified approach to inventory management and order fulfillment is the Vendor Managed Inventory (VMI).
VMI includes coordination between manufacturers and their customers (e.g. distributors, retailers, OEMs or end users of products) which transforms the conventional purchasing process.
VMI's objective is to harmonize business goals for both suppliers and their customers and streamline supply chain operations.
Higher Sales.Best and Improved Service.Improved Inventory TurnsDuring its first year of operations, Crane Company had credit sales of $3,531,400; $664,000 remained uncollected at year-end. The credit manager estimates that $36,000 of these receivables will become uncollectible. Prepare the journal entry to record the estimated uncollectible. (Assume an unadjusted balance of zero in Allowance for Doubtful Accounts.) (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
Answer:
Bad debt expense...................Dr $36,000
Allowance for doubtful debts $36,000
(To record uncollectibles)
Explanation:
Certain amount of credit sales that the manager estimates to be uncollectible is called bad debts. They are written off at the end of the year. As per allowance method, estimated uncollectibles or bad debts are charged to allowance for doubtful debts.
Here, $36,000 has been estimated by the manager as estimated uncollectible
Journal entry to record uncollectibles:
Particulars Debit Credit
Bad debt expense $36,000
Allowance for doubtful debts $36,000
(To record uncollectibles)
If the inverse demand curve a monopoly faces is p = 100 - 2Q, then profit maximization
is achieved when 25 units are produced.
is achieved by setting price equal to 25.
is achieved only by shutting down in the short run.
cannot be determined solely from the information provided.
Answer:
is achieved when 25 units are produced.
Explanation:
profit is maximum at MR = MC
MR = 100 - 4Q
the MR curve is double sloped than the demand curve
since we were not given the MC;
let MC = 0 , then:
100 - 4Q = 0
4Q = 100
Q = 25
Therefore, The profit maximization is achieved when 25 units are produced.
Luke Enterprises has 300,000 shares of $20 par common stock outstanding. On January 19, Luke Enterprises declared a 3% stock dividend. The market price of the stock on January 19 was $28 per share. The journal entry to record the stock dividend would include a.a debit to Stock Dividends Distributable for $252,000.
Answer:
On the day the the dividends are declared, the following journal entries must be made:
Dr Retained Earnings account 252,000Cr Dividends Payable account 252,000When the dividends are paid, the following journal entries should be made:
Dr Dividends Payable account 252,000Cr Cash account 252,000300,000 shares x $28 per share x 3% = $252,000
The salesperson featured in the video, Dominic DeMarino, is a Pacemaker Defibrillator Sales Representative for Medtronic. As part of his job, he is often invited to large hospitals to participate during open-heart surgeries in order to ensure the company's medical devices are working properly. Based upon this description, Dominic could best be described as a(n)______.
Answer:
field sales representative
Explanation:
Based upon this description, Dominic could best be described as a field sales representative. This is a type of salesperson, usually those working for wholesale organizations, and who's main task is going outside of the company and visiting potential customers in order to sell them the company's products or services. Other than this the job mostly entails forming great professional relationships with the customers. One way of doing so is by attending events and making sure the products that you have sold are working correctly and that the customer is content with it, as described in the scenario in the question.
Pine Groove, a cosmetics brand that primarily caters to women, wants to reach out to the less- Pine traditional male market. It conducts research and develops a new product especially for men. In this context, Pine Groove uses:________
a) ethnicity segmentation
b) age segmentation
c) gender segmentation
d) psychographic segmentation Save
Answer:
The correct answer is c) gender segmentation .
Explanation:
Gender is a distinctive segmentation variable. However, it seems that sexual roles tend to fade and that gender is no longer an effective means of distinguishing consumers in some product categories.
Advertising segmentation based on gender does not mean that ads are sexist. Advertisers have to understand what the characteristics of their audience are if they want to succeed. That is why it is no accident that cleaning ads allude to women, if one takes into account that many of them buy these products for their homes. The higher the percentage of women who use a product, the more advertising will be segmented to women instead of men.
Polo Co. requires higher rates of return for projects with a life span greater than 5 years. Projects extending beyond 5 years must earn a higher specified rate of return. Which of the following capital budgeting techniques can readily accommodate this requirement? Internal Rate of Return Net Present Value A Yes No B No Yes C No No D Yes Yes
Answer:
D) Yes Yes
Explanation:
The internal rate of return measures the profitability of an investment, so if Polo Co. requires a higher rate of return it must use this ration to compare possible projects.
The net preset value determines the current value of future discounted cash flows. Depending on the discount rate, the NPV will change. If Polo Co. requires higher rates of return, it can use a higher discount rate to determine the NPV of a potential project. Only projects with an NPV ≥ 0 should be accepted.
These are selected 2022 transactions for Flounder Corporation: Jan. 1 Purchased a copyright for $96,000. The copyright has a useful life of 6 years and a remaining legal life of 30 years. Mar. 1 Purchased a patent with an estimated useful life of 4 years and a legal life of 20 years for $39,000. Sept. 1 Purchased a small company and recorded goodwill of $126,000. Its useful life is indefinite.
Prepare all adjusting entries at December 31 to record amortization required by the events.
(Credit account titles are autom entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the
Date Account Titles and Explanation Debit Credit
Dec. 31 |Amortization Expense 16000
16000
(To record amortization of Copyrights)
Dec. 31 Amortization Expense
(To record amortization of Patents)
Dec. 31 (To record amortization of Goodwill)
Answer:
amortization expense 16,000 debit
copyright 16,000 credit
amortization expense 8,125 debit
patent 8,125 credit
-no entry required-
Explanation:
copyright: 96,000 dollars
over 6 years of useful life: 96,000 / 6 = 16,000
patent: 39,000 over a 4 years year of useful life period
39,000 / 4 = 9,750
From March 1st to December 31th
9,750 x 10/12 = 8,125
goodwill:
we aren't given with any information about the need to check for impairment or information of loss in the goodwill value by providing the acquired company's assets or book value. Thus, we perform no entry for the period.
The copyright and patent will be amortized over their useful lives of 6 years and 4 years respectively, while no amortization will be made for the goodwill due to its indefinite life. The annual amortization of the copyright is $16,000, and that of the patent is $9,750.
Explanation:The transactions performed by the Flounder Corporation require different accounting treatments. The copyright is a finite-life intangible asset and therefore its cost will be spread evenly over its 6-year useful life, resulting in a $16,000 annual amortization ($96,000/6 years).
A journal entry would be made on December 31 debiting Amortization Expense and crediting Copyrights for $16,000.
The patent is also a finite-life intangible asset, so it will be similarly amortized over its 4-year useful life. This results in a $9,750 ($39,000/4 years) annual expense.
The journal entry on December 31 will debit Amortization Expense and credit Patents for $9,750.
Finally, the goodwill is an indefinite-life intangible asset. Current accounting standards prohibit the periodic amortization of such assets; instead, they are tested annually for impairment. Therefore, no adjusting entry is required for the goodwill as at December 31.
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What term is used for bonds that have specific assets pledged as collateral?A. Convertible bonds.B. Discount bonds.C. Callable bonds.D. Secured bonds.
Answer:
Secured bond
Explanation:
It is a bond whose endorsement is an asset that is tied to the bond, there are some of them whose endorsement is a asset like ABS (Assest backed securities) or other with specific destination like MBS (mortgage backed security).
Larry Rauzer purchased $60,000 of whole life. What will the cash value of his policy be at the following anniversary dates?
1. 10 year
2. 15 year
3. 25 year
Cash Value Of The Insurance Policy
Policy Anniversary --- Cash Value Per Unit
5th year $30.00
10th year $89.00
15th year $160.00
20th year $232.00
25th year $340.00
^This list is what you use^
Step 1. Find number of units purchased. $70,000 ÷ $1,000 = 70 units
Step 2. Multiply the number of units time the cash value. 70 * $30 = $2,100
1. = 5,340
2.= 9,600
3.= 20,400
The cash value of Larry Rauzer policy that will be at the following anniversary dates are:
[tex]1. 10 \ {} year = 5,340\\2. 15 \ {} year = 9,6003. 25 year = 20,400[/tex]
What does policy mean?
A deliberate set of rules designed to direct choices and produce logical results is called a policy. A policy is a declaration of intent that is put into practise through a method or protocol. Usually, a governance board inside a company adopts policies.
They believe that Europe requires a common foreign and security policy. By policy, they mean a collection of ideas or a strategy of what to do in specific situations that has been publicly agreed upon by a group of individuals, a commercial organization, a government, or a political party.
Required calculations are:
The cash value per unit for [tex]10[/tex] years is [tex]89[/tex] dollars per unit.
[tex]\frac{60,000}{1000} = 60\\60 \times 89 = 5,340[/tex]
The cash value per unit for [tex]15[/tex] years is [tex]160[/tex] dollars per unit.
[tex]60 \times 160 = 9,600.[/tex]
The cash value per unit in [tex]25[/tex] years is [tex]340[/tex] dollars per unit.
[tex]60 \times 340 = 20,400[/tex]
In year [tex]10[/tex], the cash value of the policy is [tex]5,340[/tex].
In year [tex]15[/tex], the cash value of the policy is [tex]9,600[/tex].
In year [tex]25[/tex], the cash value of the policy is [tex]20,400[/tex].
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Explain why the private sector is reluctant to produce public goods.
Answer:
The private sector is reluctant to produce public goods because their key characteristics, nonexcludability and nonrivalrousness, make it difficult to sell them to individual customers.
Explanation:
Nonexcludability means one person cannot prevent others from using the good, such as good air. Non rivalriousness means one person using a good does not prevent others from using it, such as a the beautiful view of a monument. Because people can free-ride (using the goods without paying), firms do not profit.
A manufacturing company is thinking about building a new factory. The factory, if built, will yield
the company $300 million in 7 years, and it would cost $220 million today to build. The company will decide to build the factory if the interest rate is
a. no less than 4.53 percent.
b. no greater than 4.53 percent.
c. no less than 5.81 percent.
d. no greater than 5.81 percent.
Answer:
B) no greater than 4.53 percent
Explanation:
We need to calculate the present value of $300 million using both discount rates:
present value₁ = $300 / 1.0453⁷ = $220
present value₂ = $300 / 1.0581⁷ = $202
In order for a project to be accepted, its NPV ≥ 0, and only if we use the 4.53% discount rate will our project have a NPV of 0 (= $220 - $220).
So the company will decide to build the factory only if the interest rate (discount rate) is no greater than 4.53%.
The human resource management activities that are associated with the movement of employees within the company and the relationship between employers and employees within the company are referred to as ________.
Answer:
Employee Relations
Explanation:
Employee relations refers to all activities that are related with the movement of the employees within the organization. A well structured employee relations program promotes employee commitment and loyalty to the organization, thus increases organizational productivity.
Imagine that you are an entrepreneur, making designer t-shirts in your garage. Your total cost (in dollars) is given by the equation TC = 300 + 10Q, where Q represents the number of t-shirts you make. Your fixed cost is $______, and your marginal cost is $______ÂÂ.
Answer:
fixed cost is $300 and marginal cost is $10
Explanation:
Data provided in the question:
total cost (in dollars) is given by the equation TC = 300 + 10Q,
where Q = the number of t-shirts we make
Now,
Total cost = Fixed cost + Total variable cost
The Fixed cost are the costs that remain constant for the range of products being manufactured
Therefore,
From the given function the constant value is $300
And,
The variable cost = Marginal cost × Number of products made
thus,
From the given equation, Marginal cost = $10
Hence,
The answer is fixed cost is $300 and marginal cost is $10
In the given equation for total cost, the fixed cost is $300, and the marginal cost is $10 per t-shirt, with the fixed cost being the cost at zero production and the marginal cost being the increase in cost for each additional t-shirt produced.
Explanation:The total cost (TC) for producing designer t-shirts as an entrepreneur in your garage is given by the equation TC = 300 + 10Q, where Q represents the number of t-shirts you make. In this equation, the fixed cost is the cost that does not change regardless of the quantity produced, which in this case is $300. The marginal cost is the cost of producing one additional unit, which can be derived from the coefficient of Q in the total cost equation, and it is $10 per t-shirt.
The fixed cost is what you would incur even if you didn't produce any t-shirts, which is evident from the total cost being $300 at zero production. As you produce more t-shirts, only the variable costs increase, which are represented by the 10Q part of the equation, and for each additional t-shirt made, the variable cost increases by the marginal cost of $10.
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