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2 years ago

Discuss which financial management practices are least effective in creating and monitoring an operating budget.

1 answer:

6 0

Top down/bottom up budgets, lack of control, poor inventorying, lack of staff investment, over control are the least effective financial management practices in creating and monitoring an operating budget.

The operating budget includes the expenditures and revenues generated by the company's daily business functions. The operating budget focuses on operating expenses, such as the cost of goods sold in the market, also known as the cost of sold goods (COGS), and revenue or income. COGS is the cost of direct labor and direct materials used in the production process.

The operating budget also includes overhead and administration costs that are directly related to manufacturing goods and providing services. However, capital expenditures and long-term loans will not be included in the operating budget. Budgets for sales, production process or manufacturing, labor, overhead, and administration are a few examples of frequently utilized operating budgets.

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The notes receivable account of a business should include both the notes that haven't matured and the dishonored notes.

den301095 [7]

This statement is false. The notes receivable account should only include those notes which can still be collected. Notes that have not matured yet is still included in the notes receivable account because there is still the probability of collection. Dishonored notes should not anymore be included because there is no more probability of collection.

6 0

3 years ago

FILL IN THE BLANK. the___process originates in the sales department and ends in the accounting department.

k0ka [10]

The fulfillment process originates in the sales department and ends in the accounting department.

<h3>What conditions must a sales department meet?</h3>

To link a product or service with potential customers or clients, a sales department must create and implement a protocol that is appropriate to the nature of the product or service. For instance, some goods or services necessitate direct communication between a salesperson and a customer in order to close a deal.

<h3>What function does the department of accounting and finance serve?</h3>

The core of any corporation is its accounting and finance division, which is in charge of maintaining the effective financial management and financial controls required to support all corporate operations.

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5 0

1 year ago

Your store sales average 190000 per month your triple net lease has tbe following monthly terms: rent is 5% of sales insurance i

maks197457 [2]

The next year's annual lease payment is $129,240. The term “Lease Payment” is analogous to the rental payment. It refers to the payment created between the owner and renter, per the contract.

A Lease payment refers to the amount that's adequate for the monthly rent prearranged in an exceedingly contract by 2 parties.

Step 1: Verify next year's regular payment.

Since next year, the sales regular payment can have increased by seven-membered, we can verify next year's annual sales as shown:

F=P(1+R)

where;

Next year regular payment

This year's regular payment

R=salary increase rate

In our case;

F=unknown, to be determined

P=190,000 per month

P=(190,000×12)=$2,280,000 annually

R=5%=5/100=0.05

replacing;

F=2,280,000(1+0.05)=$2,394,000

Step 2: Verify next year's rent.

Next years rent=0.05×2,394,000=$119,700

Step 3: Verify insurance, maintenance, utilities and total annual taxes.

Total=annual insurance payments+annual maintenance payments+annual utilities payments+annual taxes

Total=(300×12)+(75×12)+(300×12)+(120×12)=$9,540

Step 4: Verify next year's annual lease payments.

Next year's annual lease payments=next year's rent payment+ insurance+maintenance+utilities+annual taxes

where;

Next year's rent payment=$119,700

Insurance+maintenance+utilities+annual taxes=$9,540

replacing;

Next years annual lease payments=(119,700+9,540)=$129,240

Next year's annual lease payments=$129,24

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4 0

1 year ago

Karen owns City of Richmond bonds with a face value of $10,000. She purchased the bonds on January 1, 2018, for $11,000. The mat

Ainat [17]

Answer:

amount of taxable interest income that Karen report for 2018 = 0

Amortization per year = $100

Adjusted basis = $ 10,900

Explanation:

given data

face value = $10,000

purchased the bond = $11,000

interest rate = 4%

solution

we know here that City of Richmond bonds that is tax exempted

so that amount of taxable interest income that Karen report for 2018 = 0

and

as Premium on the bond is

Premium on the bond = purchased the bond - face value

Premium on the bond = 11,000 - 10,000 = 1,000

and here time Period = 10 years ( January 1, 2018 to December 31, 2027 )

so Amortization per year is

Amortization per year = $\frac{1000}{10}$

Amortization per year = $100

Adjusted basis will be = Purchase price - Premium amortized

Adjusted basis = 11,000 - 100

Adjusted basis = $ 10,900

8 0

3 years ago

What two things should Zara keep in mind to make sure that the food her restaurant serves is free of chemical contaminants?

aivan3 [116]

Don’t keep food near cleaning liquids

Don’t spray sanitizer near any food items

(May be wrong, don’t hate)

6 0

2 years ago