Answer:
2. marginal revenue.
Explanation:
Marginal cost is the extra expense incurred as a result of or producing or selling an additional unit. For a profit-maximizing firm, marginal cost is important as it indicates the point at which production should stop.
Marginal revenue is the income generated by the sale of an extra unit. If the marginal revenue is greater than the marginal cost, a firm will make profits if it produces and sells an extra unit.
A profit-maximizing firm should continue production until the marginal cost equal to marginal revenue. The cost associated with producing the last item should match the income from that item. Further production will result in a loss.
Answer:
D. Debit to Dividends Payable.
Explanation:
The first thing we have to keep in mind is that dividends are liabilities, that is, they represent cash outflows for the corporation. In the example, we can distinguish two moments: the declaration of a cash dividend and its effective distribution. Next, we will analyze them from an accounting point of view:
- On July 15, 2014, Benson Company declared a cash dividend. In accounting terms, on that day the “Retained Earnings” account was debited. Remember that this account is the one that records the profits that the company has obtained to date. So, what was done was to <em>subtract</em> that part that is to be distributed among stockholders. This amount is then transferred to a current liability account called “Dividends Payable”. In this case, money was <em>added</em>, therefore, the account was credited.
- On August 15 dividends were distributed. That day, the "Dividends Payable" account was debited, or, in other words, its money was <em>discounted</em>, because it is now in the hands of shareholders.
Answer:
None of these choices are correct.
Explanation:
The required rate of return is the minimum return an investor expects to achieve by investing in a project, or in other words,
The required rate of return on a bond is the return that a bond issuer must offer in order to entice investors to purchase the asset.
They are predominantly set by market forces and determined by the price at which issuers and investors agree.
I believe the answer is: Start time
This term define how a next phase of a certain plan could be started even before the previous phase is finished. Negative lag time typically would reduce the amount of time needed by the team to complete their projects, but it increase the likelihood of mistakes from occuring.
Answer:
$4,908,000
Explanation:
The computation of accumulated depreciation expense for this purchase is shown below:-
Depreciation expense = ((Cost of machine - Salvage) ÷ Estimated useful life of machine)
= (($40,900,000 - $4,090,000) ÷ 15) × 2
= $36,810,000 ÷ 15 × 2
= $4,908,000
Therefore for computing the depreciation expense we simply applied the above formula.
