Answer:
b. 30%
Explanation:
The computation of the percentage increased in sales from the previous year to the current year is shown below:
= (Current year Sale - Preceding year Sale) ÷ (Preceding year Sale
)
= ($325,000 - $250,000) ÷ ($250,000)
= ($75,000) ÷ ($250,000)
= 30%
Hence, the correct option is b. 30%
We simply applied the above formula to determine the percentage increased in sales
Answer:
w-2, Form 1040, and possibly Schedule (1... etc. )
Explanation:
Answer:
Recognize an income/loan repayment of $1,300, and cancel the debt of $200 from the earlier recognition of income
Explanation:
Swan would only recognize an income/loan repayment of $1,300 having already recognized an initial income of $200 of the $1,500 owed before the death of the customer.
Accounting entries would be as follows.
Debit Bank account: $1,500
Credit income/loan repayment account: :1,300
Credit receivables: $200.
The credit of $200 in receivables would be treated as shown above due to the income of $200 already recognised and which would have been treated as follows when it was recognized,
Dr: receivables $200
Cr. interest earned $200,
Answer: 14%
Explanation:
To calculate the Annual Rate of Return on such a project, you divide the Average net profit that the project is expected to make by the Average investment value.
This in effect compares future income to the investment in the project and so is a very useful tool in analysis.
Annual Rate of Return = Average Net Profit / Average Investment
Average Net Profit.
A new salon will normally generate annual revenues of $64,160, with annual expenses (including depreciation) of $40,500.
The net profit is revenue less expenses so,
= 64,160 - 40,500
= $23,660
Average Investment
The Average Investment is calculated by taking the average of the Initial Value of the project and it's ending value.
Initial value is $262,000 as that was the cost.
The Ending Value is the salvage value of $76,000.
= (262,000 + 76,000) / 2
= $169,000
The Annual Rate of Return is,
= 23,660 / 169,000
= 0.14
= <u>14%</u>