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mash [69]
3 years ago
11

On January 1, 2015, Fullbright Company sold goods to Blue Dirt Company for $400,000 in exchange for a 4-year, zero-interest-bear

ing note with a face amount of $629,406 (imputed rate of 12%). The goods have an inventory cost on Fullbright’s books of $240,000. What amount of Interest Revenue should Fullbright recognize in 2015?
$ 57,352
$229,406
$ 75,529
$ 48,000
Business
1 answer:
icang [17]3 years ago
7 0

Answer:

correct option is $ 48,000

Explanation:

given data

sold good = $400,000

time = 4 year

face amount = $629,406

rate = 12%

inventory cost = $240,000

to find out

amount of Interest Revenue

solution

we find interest revenue that is express as

interest revenue = good cost × rate

interest revenue = 400,000 × 12%

interest revenue  = $48000

so correct option is $ 48,000

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Most colleges and universities have a campus activity board that brings entertainers and special events to campuses. To locate a
Ratling [72]

Answer:

(C)

Explanation:

Premiums is something given as a reward, prize, or incentive.

In this case, the college entertainers offered an incentive or reward (premiums) to the people who came to see them perform.

The shirts would encourage the people who came to see them perform to be present some other time.

For example, a grocery store may give free sweets to children who accompany their parents to the store.

3 0
3 years ago
Employees and customers are treated like a family at State Street Coffee House. Jason and Jill, the owners, work to encourage un
Anna007 [38]

Answer:

Clan culture

Explanation:

The word "clan" refers to a group of people who belong to the same family.

Clan culture in organizational context, refers to treating employees and customers as if they form part of a family.

Such a culture is driven by common agreement and goals and carrying on similar values and beliefs.

In the given case, at the coffee house, the owners aim for group unity and employees customers alike are treated as if they represent one family. This indicates clan culture being followed at State Street Coffee.  

4 0
3 years ago
The type of control that managers typically use in the input stage of the process of transforming raw materials into finished go
Mashutka [201]
The correct answer would be feedforward control. It is a control type where the process flows in the direction from the input or the raw materials to the output or the products. It regulates the input ensuring that the product meets the requirements or the standard.
3 0
4 years ago
Katherine Potter knew a good thing when she saw it. At least, it seemed so at first. She was traveling in Italy when she spotted
lilavasa [31]
  • Katherine had to rush to the bank every few months to borrow more money. She didn't really talk to her banker about her financial situation because she had no trouble getting larger loans. You see, she was always on time with her payments. Katherine always took trade discounts to save money on her purchases. That is, she paid all of her bills within 10 days in order to save the 2% discount offered by her suppliers for paying so quickly.
  • Katherine's products were mostly purchased on credit. They'd buy a few lamps and a pot, and Katherine would let them pay overtime. Some were extremely slow to pay her, taking six months or more.
  • Katherine noticed a small drop in her business after three years. The local economy was struggling, and many people were losing their jobs. Nonetheless, Katherine's business remained steady. Katherine received a phone call from the bank one day, informing her that she was behind on her payments. She explained that she had been so preoccupied that she had missed the bills. The issue was that Katherine did not have enough money to pay the bank. She frantically called several customers for payment, but none of them could pay her. Katherine had a classic cash flow problem.
<h3>How is it possible to have high sales and high profits and run out of cash while running a business?</h3>

It is entirely possible if you have a high level of accounts receivables and inventory and a low level of accounts payables. A sale is recorded when an invoice is raised, and a shipment is delivered; this does not always imply that you received cash and that it is recorded in your accounts receivable. Similarly, if you keep a lot of inventory, a lot of your money is locked up until the inventory is sold. On the contrary, if your payment terms with your suppliers are less favorable, you will end up paying before your receivables convert to cash. As a result, high sales and profits do not always imply a strong cash position.

Learn more about profit:

brainly.com/question/13050157

#SPJ4

4 0
2 years ago
Blockbuster Inc. just paid a dividend of​ $2 per share. Dividends are expected to grow at a rate of minus​ 50% annually over the
Anton [14]

Answer:

E) $1.47

Explanation:

Hi, first we need to estimate the value of all future dividends, since last dividend was $2 and it´s going to grow at -50% every year, for 3 years and then stop paying dividends, the cash flows that we need to bring to present value are.

D(1)= $2*(1-0.5)=$1

D(2)=$1*(1-0.5)=$0.50

D(3)=$0.50*(1-0.5)=$0.25

And no dividends from then on.

Now, we need to bring them to present value in order to find the pair market price of this share, that is:

Price=\frac{1}{(1+0.12)^{1} } +\frac{0.50}{(1+0.12)^{2} } +\frac{0.25}{(1+0.12)^{3} }

Price=0.893+0.399+0.178=1.47

So, the price of this share is $1.47, that is E)

Best of luck

5 0
3 years ago
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