Answer: $150,000
Explanation:
Seeing as the litigation expense will only be paid in 2018, it should be added back to income for 2015.
= 900,000 + 100,000
= $1,000,000
As the depreciation will reverse evenly over the next three years and with future income probable, it should be removed from income.;
= 1,000,000 - 300,000
= $700,000
Municipal Bonds have the advantage of being Tax-exempt so their interest income should be removed to calculate how much tax should be paid.
= 700,000 - 200,000
= $500,000
2015 Income Tax Payable = 500,000 * 30%
= $150,000
Answer:
He will forego 'job at a large well-established financial services company'
Explanation:
Pete's opportunity cost of 'joining band' is - 'job at huge financial service company'.
Opportunity cost is the cost of next best alternative foregone while choosing an alternative.
Eg: If I like rice & noodles, opportunity cost of eating rice is the other best option i.e noodles.
Similarly: Pete having 2 options of following Music or Finance; deciding to join band - has opportunity cost as the other option i.e 'job at huge financial service company'
Answer:
Evans Company
General Journal
Part a.
Debit : Cash $645
Debit : Cost of goods sold $375
Credit : Sales Revenue $645
Credit : Merchandise $375
Part b.
Debit : Cash $432
Debit : Cost of goods sold $195
Credit : Sales Revenue $432
Credit : Merchandise $195
Part c.
Debit : Accounts Receivable $670
Debit : Cost of goods sold $438
Credit : Sales Revenue $670
Credit : Merchandise $438
Part d.
Debit : Credit Card fees $85
Credit : Cash $85
Explanation:
The Perpetual inventory system calculates the cost of sale and inventory balance on each and every sale made hence the journals above.
Answer:
Letter E is correct. <u><em>Market segmentation.</em></u>
Explanation:
Market segmentation is an effective marketing tool in identifying the target audience. In this process, the potential customers market is divided into groups according to individual characteristics and similarities in preferences, interests, needs, location and others. Segmentation is also performed according to the response to the marketing strategies used.
There are several added benefits for an organization that uses market segmentation, such as the ability to customize marketing campaigns according to the characteristics of each group, reducing costs, time and risks.