Jeremy may want to sit down with his marketing team or hirer a team devoted to promotions and advertisement. You can only be successful if people know you exist and when they don't, making sales is almost obsolete. To keep your business running, making sure the marketing team is doing their job to keep consumers coming back and your product/service relevant is a must.
Answer:
Judy may deduct $54,000 of the net losses.
Explanation:
2018 Passive Activity Limitations $39,500
Passive Income ($33,500) – loss allowed to the extent of passive income
Suspended Passive Activity Limitations $6,000
2019 Passive Activity Limitations $69,500
Passive Income ($21,500) – loss allowed to the extent of passive income
Suspended Passive Activity Limitations $48,000
$54,000 Suspended Passive Activity Limitations
Answer:
Vaughn should produce Plain as it makes greater profit.
Explanation:
Vaughn Manufacturing can sell all the units it can produce of either Plain or Fancy but not both.
Plain has a unit contribution margin of $86 and takes two machine hours to make and Fancy has a unit contribution margin of $111 and takes three machine hours to make.
There are 2400 machine hours available to manufacture a product.
Profit per machine hour for Plain
= 
= $43
Profit per machine hour for Fancy
= 
= $37
The difference in profit
= $43 - $37
= $6
Plain makes $6 more profit per machine hour than Fancy.
Answer:
a. The common stockholders.
Explanation:
A company's retained earnings have a financing cost associated with them because retained earnings belong to the common stockholders.
Retained earnings can be defined as the accumulated profits or net income generated by an organization but are not distributed or given as dividends to the stockholders, rather are reinvested in to the business.
Generally, retained earnings are used to pay off debts, used for capital expenditures and working capitals.
Retained earnings represents the total stockholders' equity reinvested back into the company.
