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sattari [20]
3 years ago
13

On June 1, 2020, Smith sold equipment to Landing Inc. in exchange for a zero-interest bearing note with a face value of $110,000

, with payment due in 12 months. The fair value of the equipment on the date of sale was $100,000.
(a) The amount of revenue to be recognized on this transaction in 2020 is ___________.
Business
1 answer:
Levart [38]3 years ago
5 0

Answer:

$100,000 sales revenue and $5,833 interest revenue

Explanation:

The computation is shown below:

For interest revenue

= (Face value - fair value of the equipment) × number of months ÷ total number of months in a year

= ($110,000 - $100,000) × 7 months ÷ 12 months

= $5,833

The seven months is calculated from June 1 to December 31

And, the fair value of the equipment on the sale date i.e $100,000 is also recognized

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Keystone Foods, which invented the individual quick freeze process for beef, provides McDonald's with millions of pounds of chic
garik1379 [7]

Answer:

industrial

Explanation:

Generally companies can focus on producing goods and services for final consumers (B2C market), for other businesses (B2B market) or for the different government levels (public contracts).

In this case, Keystone Foods focuses on business-to-business (B2B) markets since it provides intermediate goods to other companies that later processes them into final goods that are purchased by final consumers.

5 0
3 years ago
Neon Electronics Inc. sourced touch screens required for its tablet computers, cell phones, and televisions from a manufacturer
Nataly_w [17]

Answer:

C. backward vertical integration

Explanation:

Vertical integration is one in which the supply chain of a clothe producing company is owned by the

Backward integration is a type of vertical integration in which a firms starts to fill in the role it once designated to another in the manufacturing of its product. Backward vertical integration would see a company buying another to fulfill its needs as regarding production.

From the above question, it can be seen that due to the inability of the china firm to meet up with Neon Electronics Inc; it started to produce the touchscreens needed for the tablet computers.

Cheers.

3 0
3 years ago
This graph shows the market for pollution when permits are issued to firms and traded in the marketplace. The equilibrium number
DiKsa [7]
Please attach the graph if you can. Otherwise, I cannot answer this question
8 0
3 years ago
Which of these options for saving money offers the lost liquidity?
daser333 [38]

The option of saving money that offers the most liquidity is a piggy bank. (option C)

<h3>What is liquidity?</h3>

Liquidity can be described as the ease with which an asset can easily be converted to cash. Paper currency and coins is the most liquid assets. Real estate is illiquid because it takes a long time for a real estate asset (e.g a house) to be sold and proceeds converted to cash.

Liquid assets earn less returns when compared with assets that are less liquid. This is because illiquid assets earn an illiquidity premium. An illiquidity premium compensates holders for holding an illiquid asset.

Money in a piggy bank is already in cash or coins and there is no need to convert it to cash again. Also, money in a piggybank is more accessible than the other options.

To learn more about liquidity, please check: brainly.com/question/15691477

#SPJ1

8 0
2 years ago
By 2015, the foreclosure rate was down by 20%. The metropolitan statistical areas showing the highest percentage of improvement
sweet-ann [11.9K]

The correct option is C) Washington, D.C.

By 2015, the foreclosure rate was down by 20%. The metropolitan statistical areas showing the highest percentage of improvement included all of the following except "Washington, D.C".

<h3>What is foreclosure rate?</h3>

The process of foreclosure starts when a borrower is unable to make their mortgage payments. When a mortgage is foreclosed, the lender normally seizes the property and makes an effort to sell it. This occurs when real estate is utilised as security for mortgage loans, making your house a form of security.

The given are the ways to avoid Foreclosure-

  • Ask For Forbearance: As you may remember, forbearance enables borrowers to temporarily suspend mortgage payments while they recover their savings, boost their income, or pay down debt in the wake of financial troubles.
  • Apply For A Refinance: Refinancing into a more manageable payment can prevent you from going into default on the loan if you're worried about going through with a foreclosure. This regrettably isn't a possibility for everyone since it can only really be done if you haven't missed a payment.
  • Ask For A Mortgage Reinstatement: If you experienced temporary financial issues that have subsequently disappeared, speak with your servicer to learn about your alternatives.
  • Apply For A Short Sale: Selling your house for less than what is owed on the mortgage is known as a short sale. This requires the lender's approval, and all of the sale's proceeds will go to the lender.

To know more about fastest-growing foreclosure rates, here

brainly.com/question/22474347

#SPJ4

The complete question is -

By 2015, the foreclosure rate was down by 20%. The metropolitan statistical areas showing the highest percentage of improvement included all of the following EXCEPT

A) Los Angeles.

B) Miami.

C) Washington, D.C.

D) Atlanta.

Washington, D.C.

6 0
1 year ago
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