Answer:
profit margin 7.77%
<em><u>Interpretation: </u></em> from evey dollar of sales the firm achieves almost 8 cent of net income
inventory turnover ratio 3.45
<em><u>Interpretation: </u></em>the inventory is sold 3 and a half times during the year
Explanation:
the profit margin is the quotient between net income and sales.
127,500 / 1,640,000 = 7.77%
the inventory turnover wil be the cost of good sold over the average inventory during the year
(312,500 + 257,500)/ 2 = 285,000
982,500 / 285,000 = 3,447368421
Answer and Explanation:
The computation is shown below;
But before that the depreciation expense per year is
Depreciation per year = (Cost - Residual value) ÷ Useful life
= ($38,080 - $2,800) ÷ 6 years
= $5,880
1.Net book value as on disposal date is
= $38,080 - ($5,880 × 3)
= $20,440
2.
We know that
Gain on sales = (Sales - Book value)
Gain = $(20,400 - 20,400) = 0
a. Loss = $13,000 - $20,440 = -$7,440
b. Loss = $10,000 - $20,440 = -$10,440
Answer:
Journal Entry
Explanation:
The Journal Entry is shown below:-
Cash Dr, (1,600 shares × $13 per share) $
20,800
To Common Stock (1,600 shares × $ 0.01 par) $16
To Additional Paid in Capital in excess of par-Common Stock $20,784
(Being Issuance of common stock is recorded)
Therefore for recording the issuance of common stock we debited cash and credited common stock and additional Paid in Capital in excess of par common stock
Answer:
$4
Explanation:
A geometric distribution is commonly known as a probability distribution that is used for the total number of Bernoulli trials computed till there is a successful trial. Therefore:
If X is the toss with the first head, then, it is a geometric distribution with p = 0.5. The payable amount (A) will be:
= (1+0.5)/(0.5)^2 = 1.5/0.25 = 6
If $10 is used to play the game, the loss will be 10-6 = $4 per game.
Answer:
1. The Fed is an independent government agency ⇒ C. A government agency should not have so much control over the economy because politicians are always going to do anything to win the next election.
The Fed is an independent government agency that pursues the best economic policy for the nation independent of what politicians want.
2. The Fed is overseen by the federal government ⇒ A. The Federal Reserve lacks accountability because no one audits the Fed. There is no way to know what really goes on behind the scenes.
The Federal government however, gets to oversee the Fed to ensure accountability and best practices.
3. The Fed conducts monetary policy through open market operations ⇒ B. The Federal Reserve just prints more money when the economy needs it and gives it to link.
The Fed does not only oversee the printing of money by the Treasury, they also conduct monetary policy through the use of OMO by buying securities when they want money supply to increase and selling when they want a decrease.
