Answer:
Option D. Shut down because staying open would be more expensive.
Explanation:
The reason is that the total variable cost is lower than the total revenue which means the company can not reduce its variable cost so it is meaningless to produce the product. So the best option left is not to generate loss by simply shutting down the business.
Answer:
Software solutions was hired to install and update software.
When job was completed,
Total revenue paid by Jones company = $1,800
As of December 31,
software installation completed = 1/2
Service revenue = 0.5 × $1,800
= $900
Therefore, the adjusted journal entry for the revenue is as follows:
On 31st December,
Accounts receivable A/c Dr. $900
To Service revenue $900
(To record revenue earned)
A. 6%
Calculator entries are N = 10, PV = -1,055.84, PMT = 60, FV = 1,100, CPT I/Y 6