Purdum Farms borrowed $10 million by signing a five-year note on December 31, 2015. Repayments of the principal are payable annually in installments of $2 million each. Purdum Farms makes the first payment on December 31, 2016 and then prepares its balance sheet. What amount will be reported as current and long-term liabilities, respectively, in connection with the note at December 31, 2016, after the first payment is made

Answers

Answer 1

Answer:The amount of $2 million will be reported as current liabilities  on 31 December 2017 while the amount of $6 million will be reported as long term liabilities.

Explanation:

Current liabilities are the short term liabilities  expected by businesses  to fund  within a year's time period.

while

Long term liabilities, , are the liabilities which businesses can fund  after a year elapses.

To that effect , The outstanding amount on 31 December 2016 after the first repayment will be

10- 2= $8 million

From  $8 million outstanding, $2 million will be paid on 31 December 2017 which is  within a year.

Therefore,  this amount of $2 million will be reported as a current liability since it is payable within a one year period.

The remaining amount which is

8 - 2 = $6million  will now be reported as a Long term  liability since it would  be payable after more than a year.

Answer 2

The amount of $2 million will be reported as current liabilities on 31 December 2017 while the amount of $6 million will be reported as long term liabilities.

Current liabilities are the short term liabilities  expected by businesses  to fund within a year's time period.

While,

Long term liabilities, , are the liabilities which businesses can fund  after a year elapses.

To that effect ,

The outstanding amount on 31 December 2016 after the first repayment will be: 10- 2= $8 million

From,

$8 million outstanding

$2 million will be paid on 31 December, 2017 which is within a year.

Therefore,

This amount of $2 million will be reported as a current liability since it is payable within a one year period.

The remaining amount ,

8 - 2 = $6million will now be reported as a Long term liability since it would  be payable after more than a year.

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Related Questions

Search to find any summary about the company that mentions funds for starting the business.
Look to see what kinds of products or services will be involved with the business.

Step 2. Search to find any summary about the company that mentions funds for starting the business. Try to find any information containing employee data in this section. Step 3. Find the section where the product or service is detailed. Look to see what kinds of products or services will be involved with the business. Compare this with what other similar business plans are offering.

Record the information you found for steps 2 and 3. Make sure you discuss how the company got money to start the business, employee data, and what products or services the company provides in comparison with what other similar business plans are offering.

Answers

After conducting research on the internet, a summary about a company that mentions funds for starting the business, employee data, and products or services that the company provides compared to other similar business plans has been found.

The company’s name is K-12 Business Education Services and they specialize in providing online business courses to K-12 schools. Their courses are designed to help students learn about business principles such as marketing, finance, accounting, and entrepreneurship. The company’s business plan indicates that they have received funding from several sources including angel investors, venture capitalists, and bank loans. They also have a team of experienced employees who have been in the business education industry for many years. According to the company’s website, they offer a wide range of courses that are designed to be engaging and interactive. Students can learn at their own pace and can complete their coursework from anywhere with an internet connection. The courses are also designed to be affordable, which makes them accessible to a wider range of students. In comparison to other similar business plans, K-12 Business Education Services is unique in that they offer a comprehensive range of courses that are designed specifically for K-12 students. Other similar business plans tend to focus on providing courses for adult learners or students who are already enrolled in college. Additionally, K-12 Business Education Services has received funding from several sources, which indicates that they are a promising start-up that has the potential to grow and expand in the future.

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Assuming that turkey chicken pork and beef are substitues supppose that the price of turkey had fallen. This will, other things being equal

Answers

wait where did the turkey fall?

what is business and training???​

Answers

Answer:

I did not .ñunderstand a da.mn.

Explanation:

traducelo

Answer:

skills, abilities, and knowledge to improve employee performance.

Explanation:

Business training is a learning and development process that refers to  specific skills, abilities, and knowledge to improve employee performance.

AK Inc. is paying 5% coupon rate for its bondholders over the next 8 years. Your required rate of return is 7 percent, how much this bond worth?

Answers

Answer: $880.57

Explanation:

Assuming Par value of bond is $1,000.

Value of bond = (Coupon * Present value interest factor of annuity, no. years, required return) + Par Value/ (1 + required return)^ no. of years

Coupon = 5% * 1,000 = $50

Value of bond = (50 * 5.9713) + 1,000 / (1 + 7%)⁸

= ‭298.565‬ + 582

= $880.57

AK Inc. is paying 5% coupon rate for its bondholders over the next 8 years. Your required rate of return

Unbanked Partner #1
1. I've had terrible customer service at the banks I've been into, so I don't like them and I
don't trust them. I'm certainly not leaving my money with them,

Answers

Being unbanked has become an increasingly common situation for many individuals in recent years. An unbanked person is someone who has no financial account with any institution. Individuals may choose to be unbanked for a variety of reasons, including a lack of trust in banks due to poor customer service or a negative experience.

A person may have experienced a bad encounter with a bank employee and choose to leave the bank and seek other banking options. They may also be unable to maintain a minimum balance in their bank account, and banks may impose fees for accounts that fall below a certain amount. It can be inconvenient to have to travel to a bank to withdraw money, especially if the nearest bank is far away. Additionally, the time spent waiting in line at a bank can be tedious, and it can be difficult to fit into a busy schedule.

There are alternatives to traditional banks that may be more convenient and better suit the needs of unbanked individuals. Credit unions, for example, offer similar services as banks but are often smaller and more focused on serving the community. Mobile banking apps have also become increasingly popular, offering services such as depositing checks and transferring money.

The use of prepaid debit cards is another option that allows for the convenience of a card without the need for a traditional bank account. The unbanked may also benefit from budgeting tools and financial literacy resources, which can help them make informed financial decisions and take control of their finances. Overall, being unbanked does not mean that an individual cannot access financial services or manage their money effectively.

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Mandatory spending refers to programs in the U.S. federal budget that

Answers

Answer:

Mandatory spending is simply all spending that does not take place through appropriations legislation. Mandatory spending includes entitlement programs, such as Social Security, Medicare, and required interest spending on the federal debt. Mandatory spending accounts for about two-thirds of all federal spending.

Explanation:

Hope it helps

See if you can match the design approaches Kate uses to the messages she applied them to.
Click to select each message design approach, then click the blank space for the message it
matches to move it.
"I know you're on deadline, but I also know that the project is very important for all of us. May
I ask you a question about it..."
"We've just experienced three problems with the ABC product. The problems are... I see three
simple solutions, and they are... I'll go ahead and implement these solutions on Thursday
unless I hear otherwise from you before then..."
"Given your announcement that customer service is our #1 priority for the month, I would like
your approval to hire a temp to help Bill this month so he can focus on service enhancements."
"Have you seen this quarter's revenue figures? They're 30 percent higher than last quarter.
Would you like to increase the budget for the XYZ product?"
Select one
Select one
Select one
Select one

Answers

The design approaches to the messages as observed are Emotional appeal, Problem-solution approach, Persuasive approach based on shared values, and Data-driven approach.

What are the appropriate matching of the approaches?

Matching each message with its corresponding design approach are as follows:

1. "I know you're on deadline, but I also know that the project is very important for all of us. May I ask you a question about it..."

Design approach: Emotional appeal

2. "We've just experienced three problems with the ABC product. The problems are... I see three simple solutions, and they are... I'll go ahead and implement these solutions on Thursday unless I hear otherwise from you before then..."

Design approach: Problem-solution approach

3. "Given your announcement that customer service is our #1 priority for the month, I would like your approval to hire a temp to help Bill this month so he can focus on service enhancements."

Design approach: Persuasive approach based on shared values

4. "Have you seen this quarter's revenue figures? They're 30 percent higher than last quarter. Would you like to increase the budget for the XYZ product?"

Design approach: Data-driven approach

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After the price of a Wall Street Journal subscription increases by 5%, subscriptions among
people working in the technology sector declined by 10%, while subscriptions among people
working in the banking sector declined by 2%.
a. Calculate the price elasticity of demand for tech workers and bankers separately

Answers

Subscriptions among people working in the technology sector declined by 10%, After the price of a Wall Street Journal subscription increases by 5%. The price elasticity can be counted by the percentage change in quantity divided by the percentage change in price.

What is Wall Street?

Wall Street is used as an umbrella term to describe the financial markets and the companies that trade publicly on exchanges throughout the U.S. Wall Street has been the historic headquarters of some of the largest U.S. brokerages and investment banks, and is also the home of the New York Stock Exchange.

You'll find most major finance corporations on Wall Street and within the Financial District in Manhattan. Well-known companies include Goldman Sachs, Morgan Stanley, Deloitte, BlackRock.

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A borrower questions the amount of the "Notary/Signing Fee" appearing on the settlement statement.

Answers

A borrower questions the amount of the "Notary/Signing Fee" appearing on the settlement statement. The Notary Signing Agent should: Recommend that the borrower contact the lender's representative before signing the documents.

What is a Notary Signing fee?

A notary signing fee is a fee paid to a notary public for their services in overseeing the signing of important documents.

Notary publics are required to be impartial witnesses to the signings of important legal documents. Their services are often necessary in real estate transactions, loan closings, and other legal matters.

Therefore, The Notary Signing Agent should recommend that the borrower contact the lender's representative before signing the documents if gotten questions on the amount on the notary documents.

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The complete question goes thus:

A borrower questions the amount of the "Notary/Signing Fee" appearing on the settlement statement. The Notary Signing Agent should:

What is the Earned Income Credit (EIC) and how does it work? How does one qualify for this credit?

Answers

The Earned Income Credit (EIC) is a tax credit that could lessen your federal tax liability or give you money back at tax time. No matter if you're single, married, or have kids, you are still eligible for the credit.

The primary prerequisite is that you must have a job that pays money

What is the Earned Income Credit (EIC)?

Working low-income families receive assistance through the earned income tax credit. From the first dollar of earnings until the credit is fully repaid, the credit is equal to a fixed percentage of earnings.

Therefore, Any federal taxes you owe at tax time may be cancelled out by the credit. You receive the difference in your tax refund if the amount of the EITC is greater than what you owe in taxes. Even if you don't owe income tax, you may still be eligible for a refund provided you meet the requirements.

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How can a companies sales people help with product development?

Answers

A company's sales people can help with product development as they can be a source of ideas. The right answer is B.

Product development, is the process of conceptualising, designing, developing, and selling freshly produced or recently relaunched goods and services. The entire process of creating a product, from conception through market launch, is referred to as product development. Salespeople represent their companies by adding value for the clients of their companies.

They also help by taking charge of relationships, returning to their organisations the knowledge of their markets and customers. Sales provide vital customer and market analysis data for the needs of the product, as well as supplementary data like product feedback and potential improvement suggestions to product development.

The correct answer is option B.

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The question seems incomplete. The complete question is:

How can a company's salespeople help with product development?

A.They do not have a role in product development.

B.They can be a source of ideas.

C.They can sell new products.

D.They can create a prototype.

Would the cars made in this country by a BMW company be included in Thailand's GDP? Why or why not?

Answers

Answer:

no

Explanation:

no in Thailand it's not

Summarize chaleff’s courageous followership? I need help!!

Answers

Chaleff's courageous followership emphasizes the importance of active and engaged followers who possess the courage to speak up, take initiative, act ethically, and influence their leaders and organizations positively.

Chaleff's courageous followership is a concept that highlights the significance of followers who possess the courage and willingness to actively engage in their roles and influence their leaders and organizations in a positive manner. It challenges the traditional notion that followers should simply obey and conform to their leaders without question.

According to Chaleff, courageous followership involves followers who are willing to speak up, take initiative, and provide constructive feedback to their leaders. These followers are not afraid to express their opinions, voice concerns, and offer alternative viewpoints, even when it goes against the prevailing norms or authority. They understand that their active participation is crucial for the success and growth of the organization.

Courageous followers also exhibit ethical behavior and take responsibility for their actions. They hold themselves accountable for their decisions and actions, aligning their behaviors with their values and the organization's values. They are willing to stand up against unethical practices and unethical leadership when necessary, with the aim of promoting integrity and ethical decision-making within the organization.

Chaleff's courageous followership promotes a collaborative and mutually beneficial relationship between leaders and followers. It encourages leaders to create an environment where followers feel safe and empowered to express their ideas and concerns. By fostering open communication and embracing diverse perspectives, leaders can tap into the full potential of their followers and create a culture of innovation and adaptability.

In summary, Chaleff's courageous followership emphasizes the importance of active and engaged followers who possess the courage to speak up, take initiative, act ethically, and influence their leaders and organizations positively. It advocates for a dynamic and collaborative relationship between leaders and followers, ultimately aiming to enhance organizational effectiveness, ethical decision-making, and overall success.

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What is defined as the human response to overstimulation?​

Answers

Answer:

In essence, stress is the human body's response to overstress.

Explanation:

During stress, the human body produces the hormone adrenaline, which makes you look for a way out. Stress in small amounts is necessary for everyone, because it makes us think, look for a way out of the problem, and in this case it has a positive value. But on the other hand, if stress becomes too much, the body becomes weaker, loses strength, the ability to solve problems and can cause serious illness.

Answer:

What is the definition of overstimulation?

English Language Learners Definition of overstimulate

: to cause (someone or something) to become too active or excited : to stimulate (someone or something) too much. See the full definition for overstimulate in the English Language Learners Dictionary. More from Merriam-Webster on overstimulate

The difference between the lower class limits of adjacent classes provides?

Answers

Answer:

C

Explanation:

20 POINTS!
I need help with putting my two weeks in….
Need to sound professional!
I am currently an intern at a construction office job. I want to say that I have decided to go to esthetician school but appreciate being able to work here as a intern and learn a lot of things these last 6 months.
Thank you!!

Answers

I’m grateful for the opportunity I had here but it’s time for me to go.

QUESTION 11
Whether targeting consumers or resellers, marketers need to focus on:
O Buying center synergy.
O Corporate profit sharing
O Reducing derived demand
O Creating value for their customers

Answers

Marketers need to focus on creating value for their customers. The Option D.

Why is creating value for customers crucial for marketers?

Creating value for customers is crucial for marketers as it directly impacts customer satisfaction and loyalty. When marketers prioritize creating value, they focus on understanding customer needs and preferences, developing products or services that meet those needs and delivering exceptional customer experiences.

By doing so, they differentiate themselves from competitors, build strong customer relationships and drive business growth. When customers perceive value in what a company offers, they are more likely to make repeat purchases.

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Peter has just paid $100 for a comic book, not because he thinks it is worth $100 or because he likes comic books, but because he thinks he can sell it for $200 next month. Peter is:

Answers

Answer:

investing

Explanation:

buying somthing to sell later because of the profit

Horace Company manufactures a professional-grade vacuum cleaner and began operations in 2020. For 2020, Horace budgeted to produce and sell 25,000 units. The company had no price, spending, or efficiency variances and writes off production-volume variance to cost of goods sold. Actual data for 2020 are as follows:_______.
Data: Units produced 21,000 Units sold 18,500 Selling price $432 Variable cost: Manufacturing cost per unit produced: Direct materials $33 Direct manufacturing labor $23 Manufacturing Overhead $62 Marketing cost per unit sold $46 Fixed cost: Manufacturing costs $1,550,000 Administrative costs $906,000 Marketing costs $1,479,000
Requirements:
1. Prepare a 2020 income statement for Horace Company using variable costing.
2. Prepare a 2020 income statement for Horace Company using absorption costing.
3. Explain the differences in operating incomes obtained in requirements 1 and 2.
4. Horace​'s management is considering implementing a bonus for the supervisors based on gross margin under absorption costing. What incentives will this bonus plan create for the​ supervisors? What modifications could Horace management make to improve such a​plan? Explain briefly.

Answers

Answer:

Horace Company

1. 2020 Income Statement using variable costing

Sales revenue                      $7,992,000

Variable Cost of goods sold:

Manufacturing costs            $2,183,000

Marketing cost per unit sold  $851,000

Contribution margin           $4,958,000

Fixed Costs:

Manufacturing costs $1,550,000

Administrative costs   $906,000

Marketing costs        $1,479,000

Total fixed costs =            $3,935,000

Net income =                     $1,023,000

2. 2020 Income Statement using absorption costing:

2. Sales revenue                      $7,992,000

Cost of goods sold:

Variable Manufacturing costs $2,478,000 ($118 * 21,000)

Fixed Manufacturing costs        1,550,000

Total cost of production         $4,028,000

Less Ending Inventory                 479,525

Cost of goods sold                 $3,548,475

Gross profit                            $4,443,525

Period costs:

Variable marketing costs $851,000

Fixed marketing costs     1,479,000

Administrative costs         906,000

Total period costs                $3,236,000

Net income                           $1,207,525

3. The differences that Horace obtains in the operating incomes under variable costing and absorption costing are due to the fixed manufacturing costs that are included in the ending inventory under absorption costing, making the cost of goods sold to be less and resulting in more profits. Under variable costing, the ending inventory does not include the fixed manufacturing costs.  So the cost of goods sold is higher, resulting in reduced profits.

4. A bonus for Horace's supervisors based on gross margin under absorption costing will entice supervisors to produce more and  sell less products so that the fixed costs can be carried forward.  Many products will be left in inventory at the end of the period, which is then carried forward to the following period, thus, enhancing the period's gross profit for maximum bonus for the supervisors.

Modifications that Horace management could make to improve the bonus plan is ensuring that production units do not exceed the budgeted sales units by a large margin and ensuring that ending inventory does not exceed an established limit.  This will entice the supervisors to produce according to market demand.

Explanation:

a) Data and Calculations:

Budgeted production and sales units for 2020 = 25,000

Actual production units for 2020 = 21,000

Actual sales unit for 2020 = 18,500

Ending inventory units for 2020 = 2,500

Selling price per unit = $432

Sales revenue = $7,992,000 ($432 * 18,500)

Variable cost:

Manufacturing cost per unit produced:

Direct materials                        $33

Direct manufacturing labor     $23

Manufacturing Overhead       $62 $118

Marketing cost per unit sold  $46

Total variable costs per unit $164

Fixed cost:

Manufacturing costs $1,550,000

Administrative costs   $906,000

Marketing costs        $1,479,000

Total fixed costs =   $3,935,000

1. 2020 Income Statement using variable costing

Sales revenue                      $7,992,000 ($432 * 18,500)

Variable Cost of goods sold:

Manufacturing costs            $2,183,000 ($118 * 18,500)

Marketing cost per unit sold  $851,000 ($46 * 18,500)

Contribution margin           $4,958,000 ($268 * 18,500)

Fixed Costs:

Manufacturing costs $1,550,000

Administrative costs   $906,000

Marketing costs        $1,479,000

Total fixed costs =            $3,935,000

Net income =                     $1,023,000

2. Sales revenue                      $7,992,000

Cost of goods sold:

Variable Manufacturing costs $2,478,000 ($118 * 21,000)

Fixed Manufacturing costs        1,550,000

Total cost of production         $4,028,000 (per unit = $191.81)

Less Ending Inventory                 479,525 ($191.81 * 2,500)

Cost of goods sold                 $3,548,475

Gross profit                            $4,443,525

Period costs:

Variable marketing costs $851,000

Fixed marketing costs     1,479,000

Administrative costs         906,000

Total period costs                $3,236,000

Net income                           $1,207,525

What is revising?

please help ur gurl out

Answers

Revising is the process of reviewing and changing a piece of writing to improve its overall clarity, coherence, and effectiveness. This can include making changes to the structure, organization, tone, word choice, and grammar of a piece of writing. The goal of revising is to ensure that the message of the writing is clear, concise, and effective in communicating the intended meaning to the reader.

stock price for vinyl record player?

Answers

To give you an idea the stock price, beginner to advanced record player installations can range from $50 to $450, depending on a number of variables.

What is current stock price?It is the latest trading price for a share of stock or any other security. The present price serves as the starting point in an open market. It shows the price that a buyer and seller would be prepared to accept for a later transaction involving that security.The current price is only an indication and not a promise. The future sale price on an exchange is not determined by the present price. The security's price will fluctuate over time as supply and demand factors change.Using the current value accounting method, assets are valued at their replacement cost rather than their initial cost.Cash price is the same as current price because it refers to the most recent quoted price on an exchange.

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You are a supplier of peanuts. your research department estimates that the price elasticity of demand for peanuts is 2.5. by what percentage will quantity demanded rise if you lower price from $4 to $2?​

Answers

Here's link to the answer:

tinyurl.com/wpazsebu

In 2019, Alliant Corporation acquired Centerpoint Inc. for $422 million, of which $62 million was allocated to goodwill. At the end of 2021, management has provided the following information for a required goodwill impairment test: Fair value of Centerpoint Inc. $ 330 million Book value of Centerpoint’s net assets (excluding goodwill) 298 million Book value of Centerpoint’s net assets (including goodwill) 360 million Required: 1. Determine the amount of the impairment loss. (Negative amount should be indicated by a minus sign. Enter your answer in millions (i.e., 10,000,000 should be entered as 10)). 2. Determine the amount of the impairment loss assuming that the fair value of Centerpoint is $392 million. (Enter your answer in millions (i.e., 10,000,000 should be entered as 10)).
1 Impairment Loss ... million
2 Impairment Loss ... million

Answers

the answer of the first point is Impairment loss = $ 32 Million and the for the second point is no Impairment loss.

When an asset's book value exceeds its recoverable value, an impairment cost must be recorded as an expense. Asset impairment refers to a decline in an asset's quality, strength, or value. Long-lived assets like buildings, land, machinery, and equipment are considered fixed assets, also referred to as PPE (Property, Plant & Equipment). These assets are more prone to face impairment, which can be brought on by a variety of circumstances. The International Accounting Standards Board (IASB) first addressed asset impairment in IAS 16, which went into effect in 1983.  IAS 36 took its position as of July 1999.

The Financial Accounting Standards Board (FASB) introduced the idea in United States GAAP in 1995 with the publication of SFAS 121.

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If somebody have all the modules let me know please, I don’t want fail the year

If somebody have all the modules let me know please, I dont want fail the year

Answers

We can match the terms with their definitions by using our knowledge of different types of companies in terms of ownership and responsibilities, as below:

Partnership: Owned and run by more than one person, where all owners are responsible for all the profits, losses and debts.Sole proprietorship: Owned by one individual who is responsible for all profits, losses, and debts.Public company: Owned by many investors, who are only liable up to their investment.

Types of companies

Partnership is a type of business structure in which two or more individuals or entities come together to operate a business. In a partnership, each partner contributes resources, such as capital or expertise, and shares in the profits and losses of the business. Partnerships can be either general or limited. In a general partnership, all partners share in the management of the business and are jointly and severally liable for the debts and obligations of the partnership. In a limited partnership, there are both general partners who manage the business and are personally liable for its debts, and limited partners who contribute capital but have limited liability.

A sole proprietorship is a type of business in which one person owns and operates the business. The owner is personally responsible for all debts and obligations of the business, and all profits and losses are also attributed to the owner. This business structure is simple and easy to set up, but it can be difficult to raise capital and can pose risks to the owner's personal assets.

A public company is a type of business in which ownership is divided among many investors who purchase shares of stock. These investors are not personally liable for the debts and obligations of the company beyond their investment. Public companies are often larger and more complex than other types of businesses and must comply with regulations and reporting requirements

Having those definitions in mind, we can conclude our answer is correct.

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Promotion is defined as a business activity that does not encourage the sale of a product or service.


True
False

Answers

Answer:

False

Explanation:

Promotion is promoting a product or service so that someone can buy it.

what was the economic and managerial legacy of the industrial revolution? what were the challenges?

Answers

During the Industrial Revolution, an agrarian economy gave way to an industrial one in which machines as well as humans were used to make goods.

As a result, there was an increase in productivity and efficiency, a rise in the production of products and services, a decline in prices, greater incomes, and a migration of people from rural to urban areas.

The Industrial Revolution brought about significant changes in social and economic structure. Among these changes were a wider income distribution and an increase in international trade. Hierarchies in management also developed to regulate the division of labor.

Poor workers were occasionally confined in cramped, appallingly inadequate settings. Employees endured risky working conditions, including cramped offices with poor ventilation, injuries from machinery, and exposure to toxic substances.

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in order to examine the relationship between the selling price of a used car and its age, an analyst uses data from 20 recent transactions and estimates price

Answers

So that it will study the connection between the promoting charge of a used car and its age, an analyst uses statistics from 20 recent transactions and estimates fee = β0 + β1Age + ε. A portion of the regression effects is shown in the accompanying table. [You may find it useful to reference the t table.]

 Coefficients StandardError         t Stat p-value

Intercept          21,228.95 738.41 28.750 1.70E-16

Age −1,206.23  129.97  2.78E-08

a.Specify the competing hypotheses so that you can determine whether or not the promoting price of a used automobile and its age are linearly associated.

multiple choice 1

H0: β1 ≥ 0; HA: β1 < 0

H0: β1 = 0; HA: β1 ≠ 0

H0: β1 ≤ 0; HA: β1 > 0

selling price:-We enjoy distinctive conditions every day when we want to calculate or evaluate matters. specifically, situations involving the sale or buying of products. The selling price is used to promote the object at a sure value and may be calculated by the usage of the promoting fee formulation. the amount that the client pays to shop for the product is known as the selling charge. The actual promoting rate is the charge the client pays to buy a product or service.

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Suppose that you have two processes A and B for producing a widget. Process A has a fixed cost of $10,000 and per unit variable cost of $80.00. Process B has a fixed cost of $30,000 and the per unit variable cost is $40.00. The widget sells for $100 regardless of production process used. During the next three years (your planning horizon for the widgets) you expect the economy to be pretty good with sales of widgets to be at least 700 units per year. You will
A: be indifferent between choosing Process A and B , because they both have the same break-even point.
B: choose Process A since it has a low fixed cost.
C: choose Process B, since it has low variable cost.
D: choose Process B, since it will have higher net profit than process A in the next three years.

Answers

Pick Process B because, over the following three years, its net profit will be higher than Process A's. 700x100-700x80-10000 = 4,000; 700x100-700x40-30000 = 12,000

How are net profits determined?

Net profit is gross profit less taxes and operating costs. You might also consider it as total income less all outgoing costs.

What distinguishes gross profit from net profit?

Net profit is the difference between gross profit (revenue less cost of goods sold) and all other costs, such as taxes and loan interest. Although it might seem more difficult, net profit is computed for us and shown as net income on the income statement.

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Which of the following is NOT a reason why strategy matters to businesses?
Strategy defines a company’s current and future goals and objectives
Tying financial models to strategies of a business helps generate more insightful analyses
Understanding a company’s strategies allows financial analysts to make reasonable assumptions in performing forecasting
Having a strategic plan helps reduce uncertainty about the future and prepare to explore new opportunities

Answers

A, strategy does not define those

There are other reasons that strategy matters in business, but tying financial models to business strategies does not help to generate more insightful analyses. Option B is correct.

Why the strategies are important for the business?

Strategy assistance us in shaping our business by furnishing it with a set of values and a sense of purpose. It enables us to comprehend what success entails.

A company's strategy defines its underway and upcoming ends. It is used in to enables financial analysts to make common, sensible forecasting assumptions.

Therefore, option B is correct.

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Concrete Consulting Co. has the following accounts in its ledger: Cash; Accounts Receivable: Supplies; Office Equipment; Accounts Capital; Jason Payne, Drawing: Fees Earned; Rent Expense; Advertising Expense; Utilities Expense; Miscellaneous Expense.
Oct. 1 Paid rent for the month, $3,600
3 Paid advertising expense, $1,200.
5 Paid cash for supplies, $750
6 Purchased office equipment on account, $8,000
10 Received cash from customers on account, $14,800
15 Paid creditors on account, $7,110
27 Paid cash for miscellaneous expenses, $400.
30 Paid telephone bill (utility expense) for the month, $250
31 Fees earned and billed to customers for the month, $33,100
31 Paid electricity bill (utility expense) for the month, $1,050.
31 Withdrew cash for personal use, $2,500
Journalize the transactions for October 2019

Answers

Answer:

                 Journal entries for October 2019

Date    Accounts Titles and Explanation    Debit      Credit

Oct 1    Rent expense                                      $3,600

              Cash                                                               $3,600

            (To record entry for payment of rent for month)

Oct 3    Advertising expenses                        $1,200

                 Cash                                                              $1,200

            (To record entry for Advertising expenses)  

Oct 5     Supplies                                                $750

                    Cash                                                             $1750  

            (To record entry for purchase of supplies)  

Oct 6     Office equipment                                  $8,000

                     Accounts Payable                                        $8,000

             (To record purchase of office equipment on account)

Oct 10     Cash                                                      $14,800

                    Accounts Receivable                                     $14,800

              (To record cash received from customers on account)

Oct 15    Accounts payable                                    $7,110

                    Cash                                                                 $7,110

             (To record payment made to creditors)

Oct 27   Miscellaneous expenses                         $400

                   Cash                                                                 $400

          (To record repair expense of office equipment)

Oct 30    Telephone expense                                $250

                    Cash                                                                $250

            (To record payment made for telephone bill)

Oct 31      Accounts receivables                              $33,100

                      Service fees                                                    $33,100

             (To record fees earned)

Oct 31     Utility expense                                          $1,050

                    Cash                                                                  $1,050  

            (To record payment made for electricity bill)

Oct 31     Personal use                                             $2,500

                    Cash                                                                   $2,500

              (To record payment of dividend)

The Journal Entries are mentioned below.

What are Journal Entries?

A journal entry is the first step—and an essential function—of the accounting process. They are the record of monetary transaction of a business.

                Journal  Entries in the books of Concrete Consulting Co.

                                             for October 2019

Date    Accounts Titles and Explanation                           Debit      Credit

Oct 1    Rent expense  A/c                       Dr.                       $3,600

                           To Cash A/c                                                             $3,600

         (Being rent paid)

Oct 3    Advertising expenses A/c         Dr                          $1,200

                     To Cash A/c                                                                     $1,200

          (Being Advertising expenses paid)  

Oct 5     Supplies A/c                               Dr                            $750

                   To Cash A/c                                                                        $750  

          (Being payment for purchase of supplies)  

Oct 6     Office equipment A/c                 Dr                       $8,000

                    To Accounts Payable A/c                                             $8,000

            (Being office equipment purchased)

Oct 10     Cash A/c                                      Dr                    $14,800

                        To  Accounts Receivable A/c                                  $14,800

             (Being cash received from customers)

Oct 15    Accounts payable A/c                  Dr                    $7,110

                         To Cash A/c                                                                $7,110

            (Being payment made to creditors)

Oct 27   Miscellaneous expenses A/c        Dr                   $400

                          To Cash A/c                                                               $400

         (Being expense made for repair of office equipment)

Oct 30    Telephone expense   A/c             Dr                    $250

                          To Cash A/c                                                               $250

           (Being payment made for telephone bill)

Oct 31      Accounts receivables A/c          Dr                  $33,100

                          To Service fees A/c                                                 $33,100

            (Being fees earned)

Oct 31     Utility expense A/c                     Dr                    $1,050

                           To Cash A/c                                                             $1,050  

           (Being electricity bill paid)

Oct 31     Personal use A/c                        Dr                     $2,500

                           To Cash A/c                                                           $2,500

             (Being cash withdrawn for personal use)

Therefore the above Journal  Entries captures all the transactions.

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