Answer:
d.) discretionary expenses
Explanation:
We can explain going further into what is each item.
<u>A and B are your income </u>(for this question don’t sweat about the difference between gross and realized). They will constitute all the money you have in that period (the period will depend on the regularity of your income, it could be weekly, monthly, etc.).
Your fixed expenses are the things you will expend money on which, no matter what happens, will not change (it could be your rent, tax, health insurance, etc.).
Discretionary expenses, however, are costs that are things that you WANT, not NEED. It could go anywhere from a new shoe to a new boat (if you´re feeling rich, that is lol). That kind of expense will impact your available money (hey, nothing is free) but is not part of your budget as it is not a planned cost.
However, is important to note that if you wanna be super Monica Geller with your money you should forecast your discretionary expenses. Using your history as a base for calculating will eliminate most of the margin error.
Answer:
None of the choices are correct
Explanation:
We use the par value of stock to determine the dividend instead of the market value of stock.
<u><em>Dividend Calculation :</em></u>
Dividend = 35,000,000 shares x $1 x 1%
= $350,000
<u><em>Journal :</em></u>
Debit : Dividend $350,000
Credit : Cash $350,000
Answer: A. maximizes the profits from money management.
Explanation:
The optimal average level of money is indeed the amount that maximises profit from money management.
Money management is essentially taking charge of your money and ensuring that you manage it in such a way as to limit unnecessary expenses whilst growing money through measures such as budgeting, investing and expenses tracking.
With Mr Peabody's income and other financial constraints, the optimal average level of money will be the most he can maximise from managing his money.
Answer:
C)Increase Net Cash from Operations on the Cash Flow Statement
Explanation:
If there is an increase in depreciation so this declines the net profit as the depreciation is an expense and shown in the debit side of the income statement. Ultimately it fall the earnings of the company. In the cash flow statement, this depreciation expense is added back to the net profit to determine the net cash flow from operating activities also it is a non cash expense
Therefore the option C is correct
