Answer:
intermediate goods or consumer goods
Explanation:
Answer:
The answer is
Dr Warranty Expense $3,520
Cr Estimated Warranty Liability $3,520
Explanation:
Warranty expense is a contingent liability and it is defined as liabilities that may be incurred by a firm or business depending on the outcome of an uncertain future circumstance.
Current sales = $176,000
Warranty expense = $3,520(2% of $176,000).
The rule: Debit increases assets and expenses while credit reduces it.
Credit increases equity(stock), sales(revenue) and liabilities while debit reduces it.
Therefore the period entry is
Dr Warranty Expense $3,520
Cr Estimated Warranty Liability $3,520
Answer:
A) $50
Explanation:
The computation of the intrinsic value of the stock is shown below:
But before that the required rate of return is computed by using CAPM
Required rate of return = Risk-free rate of return + Beta × (Market rate of return - risk-free rate of return)
= 5% + 0.5 × (13% - 5%)
= 5% + 0.5 × 8%
= 5% + 4%
= 9%
Now the intrisinc value is
= Dividend ÷ (required rate of return - growth rate)
= $6 ÷ (9% - (-3%)
= $6 ÷ 12%
= $50
Hence, the intrinsic value of the stock is $50
Therefore the correct option is A.
<span>In the product development process, the stage of concept testing is followed by product development. The product must actually be in existence before market testing can be conducted. So, in this process, product development is in between concept testing and market testing.</span>
The correct answer would be 81
