Answer:
Under the installment sales method, the total contract price is $85,000
gain on the sale is $58,800 ( 85,000 + 15,000 - 40,000 - 1,200)
and the amount of gain reported in 2018 is $3,459.
Explanation:
The formula to compute the current ratio is shown below:
Current ratio = Total Current assets ÷ total current liabilities
where,
Total current assets = $4,315 million
And, the total current liabilities is $2,453 million
So, the current ratio is
= $4,315 million ÷ $2,453 million
= 1.76 times
Since the current ratio is greater than the 1.76 times that reflects that company have a liquidity position and it is able to pay its short term obligations
Answer:
$ 11, 978,133.75
Explanation:
The grand prize of 15,000,000 is worth the present value of the prize at an 8% interest. The prize is paid every year, meaning its an annuity case.
The present value of an annuity is calculated using the formula
PV = P × <u> 1 − (1+r)−n </u>
r
Where
P $3,000,000
r is 8% 0r 0.08
n is 5
PV = $3,000,000 x <u>1-(1+0.08) - 5</u>
0.08
PV =$3,000,000 x<u> 1 - 0. 6805831</u>
0.08
PV = $ 3,000, 000 x 3.99271
PV = 11, 978,133.75
Answer:
(D) private goods.
Explanation:
Goods is a material that, in economic theory, satisfies people's wishes and provides usefulness. Goods and services are different. In economic theory all goods are considered material, but in reality such goods as information (or information) are non-material goods. For example, although Apple is a tangible asset among other commodities, news is related to non-material class goods and can only be perceived through tools such as Computer and Printing. Material goods such as apples differ from non-material goods as information in terms of the impossibility of a person to keep the other physically, while the former occupies a certain physical area. Intangible goods differ from services in the sense that they are transferable or sold. Price elasticity also differentiates the types of goods. Elastic goods are commodities where there are major changes in quantities due to small changes in the price and, therefore, relate to the family of substitute goods; For example, consumers will prefer to buy pencils, such as pencil shields. Intangible goods are few and no substitutes, such as racing tickets, artist's original work, and medical supplies such as insulin. Complementary goods are more elastic than substitutes. It depends on which commodity is substituting or complementary to other goods.
Private goods are both excludable and rival in consumption. Most goods in the economy are private goods. A private commodity or goods is a product to be purchased for consumption and prevents the consumption of another by one person. In other words, when there is competition between people for the sake of good, good is something special or private, and consuming good prevents one from consuming it.
Answer:
Calculate Recline’s contribution margin ratio.
Contribution Margin RATIO 34%
Calculate the break-even point in sales dollars for Recline.
Break-Even Point $1.030.556
Explanation:
- The contribution margin it's determined by the total amount of Gross Profit divided by the total value of sales. To this case $405,000/$1,192,500 = 34%
Income Statement
11.250 Quantities
$106 Unit Price
$1,192,500 Sales
-$787,500 Cost of goods sold
$405,000 Contribution Margin 34%
-$281,250 Fixed Cost
$123,750 Operating Income
- The Break Even point it's when the Operating Income is equal to zero, it means the lowest level of sales the company can afford and not loss money.
BREAK EVEN POINT
9.722 Quantities
$106 Unit Price
$1,030,556 Sales
-$787,500 Cost of goods sold
$243,056 Contribution Margin
-$243,056 Fixed Cost
$0 Operating Income
