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4 years ago

Which are examples of free enterprise?

Business

1 answer:

iVinArrow [24]4 years ago

7 0

Answer:

It's because limited powers of government ensures that there is no misuse of power for profit making business because it will not help them achieve economic goals and community property distributes the equal shares among workers and economic freedom provides the company to have freedom to expand its community business so that profit making businesses can stop

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Playtown Corporation purchased 75 percent of Sandbox Corporation common stock and 40 percent of its preferred stock on January 1

Nesterboy [21]

Answer:

Elimination Journal.

Retained Earnings $210,000 (debit)

Common Stock $ 150,000 (debit)

Investment in Sandbox Corporation $270,000 (credit)

Non-Controlling Interest $90,000 (credit)

Explanation:

When dealing with consolidation of Financial Statements, the Equity and Retained Earning in the Subsidiary has to be eliminated from the records whilst the Investment in Subsidiary and the Non-Controlling Interest in Subsidiary are recognized.

Elimination of the common items in consolidation is done by the use of Pro-forma Journals.

Goodwill or Gain on Bargain Purchase are also recognized on the date of acquisition of subsidiary.

Goodwill is the excess of Purchase Price and Non-Controlling interest over the Net Assets Acquired.While Gain on Bargain Purchase is the excess of Net Assets Acquired over Purchase Price and Non-Controlling interest.

Elimination Journal.

Retained Earnings $210,000 (debit)

Common Stock $ 150,000 (debit)

Investment in Sandbox Corporation $270,000 (credit)

Non-Controlling Interest $90,000 (credit)

8 0

4 years ago

Redwood Corporation is considering two alternative investment proposals with the following data: Proposal X Proposal Y Investme

frez [133]

Answer :

Accounting rate of return = 0.0432 = 4.32%

Explanation :

As per the data given in the question,

Depreciation per year = (Cost - Salvage) ÷ Useful life

= ($810,000 - $10,000) ÷ 8 years

= $100,000

Annual Net income = Annual net cash flow - Depreciation

= $135,000 - $100,000

= $35,000

Accounting rate of return = Annual net income ÷ investment

= $35,000 ÷ $810,000

= 0.0432

= 4.32%

We simply applied the above formula

4 0

3 years ago

A company purchased factory equipment on April 1, 2022 for $128,000. It is esti salvage value at the end of its 10-year useful l

just olya [345]

Answer:

Depreciation expense= $9,600

Explanation:

Giving the following information:

A company purchased factory equipment on April 1, 2022 for $128,000. 10-year useful life.

We weren't provided with the salvage value.

First, we need to calculate the annual depreciation:

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= 128,000/10= 12,800

Now, for 9 months:

Depreciation expense= (12,800/12)*9= $9,600

8 0

3 years ago

The sales statt at Mocmoo Real Estate is compensated primarily based on the value of the properties thay call. However, in order

Nikolay [14]

Answer:

A real estate transaction would generate a high commission for an agent but would associate the agency with the destruction of a beloved local landmark.

Explanation:

there would be a conflict of interest between the organisation and the sales person when the interests of both parties do not align.

The goal of the sales person is to earn the highest possible commission. While, the goal of the firm would be to earn profit and a have a positive image.

If the agent makes the sale, he earns a high commission but this would cost the firm its positive image. thus, the interest of both parties are at odds. this would generate a conflict of interest

5 0

3 years ago

Justin is a sales executive at a manufacturing company. One of his clients who purchases products from him at a higher price tha

Dafna11 [192]

Answer:

The correct answer is option D.

Explanation:

An ethical dilemma can be defined as a situation in the decision-making process in which whatever decision is chosen some ethical principle is being compromised.

Out of two moral choices, neither one is unambiguously preferable or acceptable. The situation becomes complex as choosing one alternative will lead to transgression of another.

6 0

3 years ago