Answer:
Leverage factor will be 1.344
Explanation:
We have given operating income = $29000
And variable expenses is 65 5 of the sales
And fixed expenses = $10000
So contribution margin = $29000+$10000 = $39000
We have to find the leverage factor
Leverage factor is given by
Leverage factor 
So leverage factor will be 1.344
Answer:
$106 million
Explanation:
allowance for doubtful accounts
debit credit
beg. balance 426
bad debt 85
ending balance <u>405 </u>
106
Since you need $106 million to balance the account, that should be the amount of bad debt written off during the current year. Allowance for doubtful accounts is a contra asset account, any debit balance increases accounts receivable while a credit balance decreases it.
Answer:
A. Intangible assets
Explanation:
Intangible assets: They refers to assets that are not physical in nature. They are identifiable, non-monetary assets without physical substance such as brand recognition, intellectual property. Intellectual property includes patent right, copyright, and trademarks.
Intangible assets lice brand names are non physical in nature unlike tangible assets that are phsysical. Examples of tangible assets are building, vehicle, land, machineries and furnitures. They are assets that is expected to generate economic return in the future.
There are two classes of intangible assets
1. Identifiable intangible assets: These are intangible assets that can be separated from other assets such as copyright, trademarks and patent.
2. Unidentifiable intangible assets: They are assets that cannot be separated from other assets such as Goodwill.
Answer:
The correct answer is B. $1,800.00
Explanation:
LIFO Perpetual table is attached.
The table shows purchases, sales and balance of each period.
As the final inventory is 120 units, we suppose the sales of the year. Applying LIFO, our ending inventory cost is 120 units, each one at $15
So, total cost is $1800 (120* 15)
Answer: True
Explanation:
Variable selling and administrative expenses increase with the number of sales so in order to get them, one needs to multiply the number of sales by the variable and administrative expenses.
This also goes for the budgeted variable selling expenses. To find out these costs, multiply the expected variable and admin expenses by the budgeted number of sales. The amount you get will show the amount of variable expenses to budget based on the sales you budgeted.
