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Yuki888 [10]
3 years ago
8

1-9 Automobile repair shops typically recommend that their customers change their oil and oil filter every 3,000 miles. Your aut

omobile user's manual suggests changing your oil every 5,000–7,000 miles. If you drive your car 15,000 miles each year and an oil and filter change costs $30, how much money would you save each year if you had this service performed every 5,000 miles?
Business
1 answer:
blagie [28]3 years ago
8 0

Answer:

$60 per year

Explanation:

Calculation for how much money would you save each year

First step is to calculate for the cost of Changing the oil every 3,000 miles

Cost of Changing oil every 3,000 miles:

Cost = (15,000/3,000)*$30

Cost =5*$30

Cost = $150 per year

Second step is to calculate for the cost of Changing the oil every 5,000 miles

Cost of Changing oil every 5,000 miles:

Cost = (15,000/5,000)*$30

Cost =3*$30

Cost = $90 per year

Last step is to calculate how much money would you save each year using this formula

Savings =Cost of Changing oil every 3,000 miles-Cost of Changing oil every 5,000 miles

Let plug in the formula

Savings= $150 per year-$90 per year

Savung=$60 per year

Therefore the amount of money you would save each year will be $60 per year

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3 years ago
A company has advance subscription sales totaling $45,000 for the upcoming year when four quarterly journals will mailed to cust
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Answer:

A.

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Credit Sales $11,250

Explanation:

B. It is an income for the company. Prepaid subscription is an expense for the company. Therefore, it is incorrect.

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D. According to the revenue recognition, revenue is recognized when they are earned. Therefore, the company acquired the cash when the company received last year. So, it is incorrect.

E. Again, cash cannot be credit. Therefore, it is incorrect.

A is the correct answer. As, when the company received the payment, unearned revenue was credit. As the income is now recorded for the first quarter, $(45,000/4) = $11,250 of unearned revenue becomes earned. So, it is debit. Since it is a sale of a company, the sale becomes credit.

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A major disadvantage of the payback period method is that it:_____.
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Answer:

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Explanation:

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