Answer:
C) partnership
Explanation:
In partnership the partner share the profit / loss of a business and can also participate in the operation of the business. Corporation is is a form of large company they work for the common interest and sole proprietorship does not share the profit or operations of the company with others.
Answer:
$200,000
Explanation:
Given that
Commission = 15% of the sales price
Sales price of the goods = $200,000
So by considering the above information, the revenue should be recognized of $200,000 as it represents the sale price of the goods i.e revenue and the same is to be recorded in the books of accounts
Therefore, the commission percentage is ignored in this case
Answer:
weighted-average cost of capital is 11.57 %
Explanation:
Weighted Average Cost of Capital (WACC) is the return that is required by providers of long term permanent sources of capital.
WACC = Weight of Equity × Cost of Equity + Weight of Debt × After tax cost of debt.
where,
After tax cost of debt = interest × ( 1 - tax rate)
= 8% × (1 - 0.35)
= 5.20 %
Therefore,
WACC = 0.65 × 15% + 0.35 × 5.20 %
= 11.57 %
This is a depreciation method based on units of production.
The formula for this method is:
(original cost of equipment - salvage value) / number of units expected during useful life