Answer:
This leads to a reduction in net income
Explanation:
Manufacturing overheads refer to those costs which indirectly relate to a good's production. Examples of manufacturing overheads would include depreciation charged on equipments used for production, rent of the factory wherein production takes place.
The effect of recognition of $400 of estimated manufacturing overheads would be reduction in net income since their recognition raises the cost of production which reduces gross profit. Consequently this would reduce the net income.
The fast burger is not an example of mechanistic
organization, therefore, it is false. It is because a mechanistic organization
should provide rules and tasks that are provided to each employee and the authority
should be centralized—in the given scenario, the mechanistic organization is
not seen above.
Answer:
D : Cultural relativism
Explanation:
Cultural relativism is an idea that an action should be viewed in the context of the socio-cultural environment in question. If child labor is permitted in Country X, it implies that rival companies and competitors who use child labor will experience cheaper production cost and unless the multinational company does same, it may face the need to pul out of the market.
Answer:
B. Wal-Mart and Texaco.
Explanation:
When labors or workers believe that they treated unfair they can react by leaving the organization or in an extreme case filing a lawsuit. Corporations have to spend millions of dollars for settlement of discrimination lawsuits. An average settlement for such lawsuit can be $45,000 and in greater cases it could reach to $1 million. Wal-Mart and Texaco companies have also faced such lawsuits and spent millions of dollars for the settlement.
Answer: $5510
Explanation:
For organizations cost up to $50,000, there'll be a deduction of $5000. The remaining non deductible expense will then be spread out for 180 months. Here, the non deductible cost will be:
= ($13200 + $7100) - $5000
= $20300 - $5000
= $15300
The capitalized cost will then be:
= $15300 / 180
= $85 per month.
Since there's an ammortization of 6 months from July, then the capitalized cost will be:
= $85 × 6
= $510
Therefore, the amount that should be deducted on its first tax return will be:
= $5000 + $510
= $5510
