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4 years ago

When a business message provides the rationale for a request before making the specific request, the message is said to be?

1 answer:

4 0

When a business message provides the rationale for a request before making the specific request, the message is said to be indirect. Indirect provide the rationale for a request before making the specific request. I hope the answer will help you.

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Five months ago Wilson opened up a health club. Which of the following is an implicit cost related to the health club A. Wilson

Leto [7]

Answer:

Option "A" is the correct answer to the following statement.

Explanation:

Implicit cost is a special type of opportunity cost, its generate when an organization or a business has to pay his cost and does not necessary to show it. for example, a businessman gets a salary from his organization.

In this situation, Wilson owns a club and works as an accountant in it.

This type of cost defines an Implicit cost for Wilson's health club.

5 0

4 years ago

What is the opportunity cost?

Svetllana [295]

Opportunity costs represent the potential benefits an individual, investor, or business misses out on when choosing one alternative over another. The idea of opportunity costs is a major concept in economics. Because by definition they are unseen, opportunity costs can be easily overlooked if one is not careful.

Examples of Opportunity Cost. Someone gives up going to see a movie to study for a test in order to get a good grade. The opportunity cost is the cost of the movie and the enjoyment of seeing it. ... The opportunity cost of taking a vacation instead of spending the money on a new car is not getting a new car.

8 0

3 years ago

Blossom, Inc. decided to establish a petty cash fund to help ensure internal control over its small cash expenditures. The follo

Crazy boy [7]

Answer:

The Journal entry with their narrations shown below:-

Explanation:

The Journal Entry is shown below:-

1. Petty cash Dr, $271

To Cash $271

(Being establishment of petty cash fund is recorded)

2. Freight-in Expenses(delivery charges) Dr, $76

Supplies expenses Dr, $41

Postage expenses Dr, $49

Loan to employees (Accounts receivable) Dr, $33

Miscellaneous expenses Dr, $52

Cash short and over Dr, $8

To Cash $259

($271 - $12)

(Being disbursement of cash is recorded)

3. Petty cash Dr, $116

To cash $116

(Being increase in petty cash is recorded)

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4 years ago

Nash Company purchases equipment on January 1, Year 1, at a cost of $480,000. The asset is expected to have a service life of 12

kati45 [8]

Explanation:

The computation is shown below:

1. Under the straight line method

= (Purchase value of an equipment - salvage value) ÷ (service life)

= ($480,000 - $43,200) ÷ (12 years)

= ($436,800) ÷ (12 years)

= $36,400

In this method, the depreciation is same for all the remaining useful life

Year 1 = $36,400

Year 2 = $36,400

Year 3 = $36,400

2. Under the sum of the years digit method

Depreciation factor is

= n × (n + 1) ÷ 2

= 12 × (12 + 1) ÷ 2

= 78

Now the depreciation expense is

Year 1

= ($480,000 - $43,200) × (12 years) ÷ (78 years)

= $67,200

Year 2

= ($480,000 - $43,200) × (11 years) ÷ (78 years)

= $61,600

Year 3

= ($480,000 - $43,200) × (10 years) ÷ (78 years)

= $56,000

4 0

3 years ago

Project A had an initial investment of $4 million, out of which $2 million has already been spent. A new Project B needs $1.5 mi

andrey2020 [161]

Answer:

Decision: Project A should be selected.

NPV =$40,909.09

Explanation

Since the two projects would achieve the same objectives, the project with the lowest initial cost should be selected.

Kindly note that the $2 million already spend on project A is not a relevant cash flow because it is sunk cost. Hence, the initial cos outlay of project A will be $2 million which will be spent should the project be undertaken.

Project B on the other hand would cost $1.5 million in initial cost which is $500,000 cheaper than project A.

Decision: Project A should be selected.

The NPV is the difference between the PV of cash inflows and the PV of cash outflows. A positive NPV implies a good investment decision and a negative figure implies the opposite.

NPV of an investment:

NPV = PV of Cash inflows - PV of cash outflow

Initial cost = 50,000

The NPV of the savings

NPV = 100,000× 1.1^(-1) - 50,000= 40,909.09

NPV =$40,909.09

8 0

3 years ago