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Inga [223]
3 years ago
14

Motor Sales sold its old office furniture for $ 8 comma 500. The original cost was $ 18 comma 000​, and at the time of​ sale, ac

cumulated depreciation was $ 10 comma 000. What is the effect of this​ transaction?
Business
1 answer:
Vladimir79 [104]3 years ago
7 0

Answer:

$1,500

Explanation:

For the computation of effect of the transaction first we need to find out the book value sold for which is shown below:-

Book Value sold for = Original cost of the furniture - Accumulated depreciation

= $18,000 - $10,000

= $8,000

Gain = $9,500 - $8,000

= $1,500

Therefore for computing the effect of the transaction we simply applied the above formula and as we can see that there is gain of $1,500

You might be interested in
Emma owns a flower shop in Tampa. She pays $3,091 per month to lease her building, $2,208 in wages, $1,887 for flowers and other
Arturiano [62]

Answer:

$6.18

Explanation:

Data provided in the question:

Lease payment = $3,091 per month

Wages = $2,208

Amount for Flowers and other supplies = $1,887

Number of flower arrangements produced per month = 662

Now,

The Variable cost are Wages and Amount for Flowers and other supplies

therefore,

Total variable cost = $2,208 + $1,887

= $4,095

Hence,

Emma’s average variable cost of production

= [ Total variable cost ] ÷ [ Number of flower arrangements produced ]

= $4,095 ÷ 662

= $6.18

5 0
3 years ago
In ideal situations, the goal of communication is to: a. provide valuable feedback. b. reach mutual understanding. c. commend ot
Elodia [21]

Answer:

<u>a. provide valuable feedback.</u>

Explanation:

Communication has often been defined as a two-way process of sending and then receiving information. So what comes first or the goal based on this definition is getting valuable feedback.

Hence, in ideal situations reaching mutual understanding isn't the goal, neither is commending others or self-advancement, but a conscious satisfaction that comes from having received valuable feedback.

For example, if there's no feedback, then the question about mutual understanding isn't relevant.  

7 0
3 years ago
The records of Lohse Stores included the following data: Inventory, May 1, at retail, $14,500; at cost, $10,440 Purchases during
bulgar [2K]

Answer:

$9,3

Explanation:

                             COST    RETAIL    RATIO

Inventory, May 1 $10,440        $14,500 .72

Purchases           31,550            42,900

Freight-in          2,000

Purchase discounts

                          (250)

Net markups                                  3,400

Net markdowns                           (1,300)

Totals excluding beginning inventory

                        33,300                45,000   .74

Goods available $43,740          59,500

Sales                                          (46,500)

Inventory, May 31                         $13,000

Estimated inventory, May 31

($13,000 × .72) $ 9,360

3 0
3 years ago
Torque corporation is expected to pay a dividend of $1 in the upcoming year. dividends are expected to grow at a rate of 6% per
Novay_Z [31]

Answer:

The required rate of return on stock is 14.6% and option b is the correct answer.

Explanation:

The required rate of return is the minimum return that investors demand/expect on a stock based on the systematic risk of the stock as given by the beta. The expected or required rate of return on a stock can be calculated using the CAPM equation.

The equation is,

r = rRF + Beta * (rM - rRF)

Where,

  • rRF is the risk free rate
  • rM is the return on market

r = 0.05 + 1.2 * (0.13 - 0.05)

r = 0.146 or 14.6%

4 0
2 years ago
In terms of innovation streams, what ____ occurred when customers purchased flat-screen computer monitors to replace the older,
Novay_Z [31]

Answer:

Technological substitution.

Explanation:

Technological substitution is basically the substitute to another option product of technology.

4 0
3 years ago
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