Answer:
The correct answer is E)
Explanation:
Capital budgeting is an accounting method that corporations use to decide which planned acquisitions of fixed assets will be approved and which should be refused.
Some examples of Capital Expenditures include:
- Construction of an additional building
- Procurement of delivery vehicles
- Procurement of new equipment
- Rehabilitation of existing equipment
If one of the criteria for classification under Capital Expenditure is that it must be in the plan, then none of the above items mentioned in the question will fly.
Monies have already been expended on the options A, B, and C.
Option D is an offer to purchase an existing asset, not a planned investment. Therefore it also does not qualify.
Hence the correct answer is E.
Cheers!
Answer:
The debt to equity mix = 74.65% - 25.35%
Explanation:
The computation of the debt to equity mix is shown below:
Debt is
= Mortgages + Bond
= $18 + $35
= $53 million
And, the Equity is
= Retained earnings + Cash in hand
= $5 + $13
= $18 million
Now
Percentage of debt financing
= $53 ÷ ($53 + $18)
= 74.65%
And, percentage of equity financing is
= $18 ÷ ($53 + $18)
= 25.35%
And, finally
The debt to equity mix = 74.65% - 25.35%
Answer:
b) $1,950,000
Explanation:
Value of gift cards redeemed with those whose date of redemption has passed, will both have the amount to revenue out of $2,000,000 of the gift cards sold.
Total gift card revenue to be recognized in 2016 = $1,800,000 + $150,000
Total gift card revenue to be recognized in 2016 = $1,950,000
Answer:
Strategic sourcing
Explanation:
Strategic sourcing is a process that is part of the supply chain management in which the organization analyzes and reviews its procurement activities and from that, makes improvements to these activities to add more value. According to this, the answer is that strategic sourcing involves an increased focus on identifying and using data internally and across a supply chain so that a company can consolidate its purchasing power for enhanced value.
