Answer:
17 times
Explanation:
Data provided in the given question :-
Net Sales = $1,250,000
Average account Receivable = $73,500
Net Income = $53,150
So, the accounts receivable turnover ratio is given below :-
Accounts receivable turnover ratio = Net sales ÷ Average accounts receivable
= $1,250,000 ÷ $73,500
= 17 times
Hence the net income is ignored for calculating the account receivable turnover ratio.
False it is not a true statement.
Answer:
$7,500
Explanation:
Taxable income:
= Income from operations + Dividends received - Expenses from operations
= $200,000 + $15,000 - 140,000
= $75,000
Deductions is allowed only to the maximum extent of 10% of the taxable income of the corporation.
Therefore,
Kingbird's charitable contribution deduction:
= 10% of Taxable income
= 0.1 × $75,000
= $7,500
Yes, this encourages the buyer to pay more for an item especially if it is by a well known branded. This gives them to opportunity to brag and boast with their purchase. Also when the product is well known consumers are going to try their absolute best to buy it, this is going to make the product scare, hence increasing its price.
Answer:
keep producing in the short run but exit the industry or go out of business in the long run
Explanation:
A perfect competition is characterised by many buyers and sellers of homogeneous goods and services. Market prices are set by the forces of demand and supply. There are no barriers to entry or exit of firms into the industry.
In the long run, firms earn zero economic profit. If in the short run firms are earning economic profit, in the long run firms would enter into the industry. This would drive economic profit to zero.
Also, if in the short run, firms are earning economic loss, in the long run, firms would exit the industry until economic profit falls to zero.
A firm should shut down in the short run if price is less than average variable cost. But since the diner's price is greater than average variable cost, it should continue production.
A firm should exit the industry in the long run if price is less than average total cost. the diner's price is less than average total cost, so it should shut down in the long run
