Answer:
Varga should recognize $50,000 revenue in 2018.
Explanation:
Revenue = $75,000 × 8/12 months
= $50,000
Therefore, Varga should recognize $50,000 revenue in 2018.
When in the statement of cashflows, the cash inflows and the outflows are added, the result is the <u>change </u><u>in the </u><u>cash balance. </u>
The statement of cashflows shows the movement of cash in a company and how much cash the company is left with at the end of the period.
The statement includes:
- Cash outflows which are deductions
- Cash inflows which bring in money
Cash outflows are denoted in negatives and when added to cash inflows, show the change in the cash that the company has / its balance.
In conclusion, adding the cash inflows and outflows shows the change in cash.
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Answer:
Capital budgeting
Capital Structure
Working Capital Management
Explanation:
When a company wants to introduce any new product in the market it will do the cost benefit analysis and will involve the capital budgeting decisions.
When any kind of bonds are sold, shares are issued, debentures are sold, then that is about creating source of capital that is about, capital structure decision.
When the decision is made relating to any current assets or current liabilities, it is refer to working capital decisions as the working capital includes decision of current assets and current liabilities.
Answer and Explanation:
The computation is shown below;
Particulars Reject Order Accept Order Net Income
Revenues $0 $126,280 $126,280
(4,510 units × $28)
Variable manufacturing $0 $76,670 -$76,670
(4,510 units × $17)
Shipping $0 $18,040 -$18,040
(4,510 units × $4)
Net Income $0 $31,570 $31,570
Hence, the net income is in positive value so the special order would be accepted
<span>The most likely effect of a write-down of inventory to net realizable on a firm's total asset turnover is an increase.
</span>A write-down of inventory to net realizable value is typically recognized as an increase in cost of goods sold in the period of the write-down, according the <span>inventory equation:
</span><span>ending inv</span>entory = beginning inventory + purchases - cost of goods sold
