Answer:
b. a market penetration strategy
Explanation:
Market penetration means that it offered a greater products range at the lower price in order to outplayed the competitors and the customers for purchasing the product from the new company
Since in the given situation, it is mentioned that the free delivery is to be provided when purchase is more than $49.97 also the wider range is available
So the option b is correct
Answer:
A sunk cost is the correct answer to this question.
Explanation:
Sunk cost:- Sunk costs are those expenses that have been accumulated in the past and are thus in some way unrelated to judgment-making.
In the question referred to above, the company has already made $14 to produce. This cost will be inconsequential even if the company makes the units as it is or procedures them further.
As a result, $14 is a sunk expense.
Other options are incorrect because they are not related to the given scenario.
Answer:
Bad debts expenses Debit $ 11,750
Allowance for uncollectible receivables Credit $ 11,750
Explanation:
The allowance for uncollectible accounts receivables balances are calculated as a percentage of the receivable balance.
The receivable balances as at December 31, 2018 is
Services provided on account $ 154,000
Cash collections received <u>$ 107,000</u>
Receivables from services uncollected <u>$ 47,000</u>
Estimated percentage considered uncollectible 25 %
Allowance for uncollectible accounts $ 47,000 * 25 % = $ 11,750
Answer:
The answer is: Obligation that has a distant due date exceeding company's operating cycle.
Explanation:
A current liability is a financial obligation due within one year (or one normal operation cycle).
So a financial obligation that has a due date that exceeds a company´s operating cycle should have been directly classified as a long term liability (or a non current liability) in the first place. It simply is not a current liability that is changed into a long term liability, it always was a long term liability.
The other options represent the steps necessary for turning a current liability into a long term liability.
- Intend to refinance the obligation on a long-term basis.
- Demonstrate the ability to complete the refinancing.
- Subsequently refinance the obligation on a long-term basis.
