The transaction effect on the global cleaning service's accounting equation is to increase both assets and equity by $180.
An asset is a property or an equipment that is purchased for the purpose of business activities, examples of business assets include cash, equipment, buildings and inventory to vehicles and office furniture. In this case assets worth $180 increased (may be cash or bank, depending on the means of payment) and also an increase in equity.
Answer 5,000 is the maximum dividend that can be paid to shareholders.
Explanation:
The answer is: C. government should become involved in markets when those markets fail to produce efficient or fair outcomes.
When left without regulations, many companies decided to do unfair business practice such as putting materials that dangerous for the consumers or giving their employees with unfair wages.
Because of this, government need to step in and make regulations to watch over the companies. (such as determining which materials would be safe as ingredients or creating legislation that regulate the minimum wages in the state)
Answer:
$39,000
Explanation:
Down payment refers to the amount that Mr. Coffey paid upfront at the time of purchasing the house. It is usually a percentage of the total cost and is paid in a lump sum.
In this case, Mr. Coffey 20 % of the cost of the house
i.e., 20% of $195,000
=20/100 x $195,000
=0.2x$195,000
=$39,000
<u>Solution and Explanation:</u>
The number of units that must be sold in order to achieve a target pretax income of $218,000
![$=$ [Fixed cost + Required pre-tax income]/Contribution Margin per unit](https://tex.z-dn.net/?f=%24%3D%24%20%5BFixed%20cost%20%2B%20Required%20pre-tax%20income%5D%2FContribution%20Margin%20per%20unit)
<u>Calculation of contribution Margin per unit </u> Selling price [$986000 divided by58000 units] $17.00
Less : Variable cost - Direct Materials = $2.77
- Direct Labor = $4.15
- Variable Factory overheads = $2.60
- Variable Marketing cost = $0.88
Contribution Margin per unit = $6.60 <u>
Total Fixed cost </u>
Fixed factory overhead = $104,000.00
Fixed marketing costs = $110,800.00
Total Fixed cost = $214,800.00 The number of units that must be sold in order to achieve a target pretax income of $218,000
= 65576 units.