Answer:
132,000$ will be recorded by west as amortization expense for the year.
Explanation:
Depreciation/amortization is systematic allocation of cost of asset over its useful life. In this case asset cost is not given so we assume that PV of lease payment is equal to market value (660,000 dollars) of asset.
In case of leased asset the useful life taken for calculation of depreciation is lower of 1) Useful life 2) Lease term as per applicable accounting standards.
So we have taken 5 years to charge depreciation on Straight line method.
Hence by dividing 660000 by five we get our answer.
Answer:
$307,300
Explanation:
Total cost of Job 179:
= Direct material for Job 179 + Direct labor cost for Job 179 + Overhead cost for Job 179
= $30,500 + $45,000 + (2,000 × $25)
= $30,500 + $45,000 + $50,000
= $125,500
Total cost of Job 177 and Job 179:
= Total cost of Job 179 + cost of Job 177
= $125,500 + $94,000
= $219,500
Sales revenue for February:
= Total cost of Job 177 and Job 179 × Markup percentage
= $219,500 + ($219,500 × 40%)
= $219,500 + $87,800
= $307,300
Answer:
The material wealth of society is determined by the economy's productive capacity, which is a function of the economy's real assets.
Explanation:
Production capacity or <em>productive capacity</em> is the maximum level of activity that can be achieved with a given productive structure. The study of capacity is essential for business management in that it allows analyzing the degree of use made of each of the resources in the organization and thus have the opportunity to improve them.
<em>Real assets</em> are physical assets that have value due to their substance and properties. Real assets include precious metals, raw materials, real estate, agricultural land, machinery and oil. They are appropriate for inclusion in more diversified portfolios due to their relatively low correlation with financial assets such as stocks and bonds.
Answer:
Word of Mouth.
Explanation:
As Magnira Inc. is trying to promote its cosmetics. It offers discounts to customers who post about its products' benefits in their social media accounts. This enables others to know about the company's products. In this case, customers of Magnira Inc. are involved in word of mouth. Word of mouth is considered as more authentic, valid and reliable source of information for the customers. Customers truly believe that its more genuine kind of information which is coming from the customers not the company itself, therefore, customer pay more attention to it and give more weightage to it. Customers do not believe much on the advertisement because they know that ads are being aired by the company itself and it is the paid from but word of mouth are the true and genuine comments and feedback of the customers who have used the brand by themselves.
Answer:
$31,500
Explanation:
On November 1, 2019, Kate leased out a buliding for $4,500 per month.
On the same day( November 1, 2019) she received seven months payment for the building. Which means she received $31,500 (4,500* 7 months).
Accural taxpayers must be able to include all amount they are to receive for payments of services, once they earn it.
Since Kate is an accural taxpayer, and she receive the $31,500 payment on November 1, 2019, she must include the whole $31,500 on her 2019 tax return as a result of this transaction.
