Answer:
1. Journalize the transactions for Rose's investment in Sprouts' stock:
<u>March 1 2018</u>
Dr Trading securities - Sprouts's stock 12,000
Cr Cash 12,000
(to record the purchase of Sprout's stock)
<u>October 1 2018</u>
Dr Cash 350
Cr Dividend Income 350
(to record the dividend receipt from Sprout's stock)
<u>October 31 2018</u>
Dr Cash 12,250
Cr Gain on disposal of short-term investment 250
Cr Trading securities - Sprouts's stock 12,000
(to record disposal of Sprout's stock)
2. Net effect of the investment on Rose's net income for the year ended December 31, 2018: $600.
Explanation:
1. As this investment is short-term investment and is held for sell, fair value methodology should be applied to record this transaction. The detailed journal entries are as in answer part.
2. As fair value methodology is applied, the net income of Rose will include: dividend income + gain on disposal of short-term investment = $350 + $250 = $600.
I'd recommend a "rain check", suggesting that as soon that specific product is replenished, you'll reserve one for them so this wouldn't happen again. I would also apologize for not having been prepared, and offer a small coupon or two as a form of compensation for the inconvenience. (That is, if you're able to offer coupons.) Another thing that would be important is to display professionalism in a stressful situation. That will show your higher ups that you are an asset to the business. Hope I helped! :)
I am not sure so sport but ikr
We answer this question by bringing about the following supposition:
<span>The corrective tax policy and the number of pollution permits available do not change in spite of this demand shift.</span>
Answer:
Juanita should purchase the skirt at the store across town because the total economic cost will be lowest.
Explanation:
three options:
- local store 15 minutes away and a price of $103
- across town 30 minutes away and a price of $89
- neighboring city 1 hour away and a price of $63
Juanita makes $16 per hour at her work, and her purchase decision includes the opportunity cost of lost wages:
total economic cost:
- local store = $103 + [1/4 hours x 2 (round trip) x $16] = $111
- across town = $89 + [1/2 hours x 2 (round trip) x $16] = $105
- neighboring city = $63 + [1 hour x 2 (round trip) x $16] = $95
Juanita should purchase the skirt at the store across town because the total economic cost will be lowest ($105)
Opportunity costs are the benefits lost or extra costs incurred for choosing one activity or investment over another alternative. Economic costs include both accounting costs and opportunity costs.
