Answer:
1. A company had net sales of $760,200 and cost of goods sold of $547,400. Its net income was $19,340. The company's gross margin ratio equals:______
c. 28.0%.
2. The monetary unit assumption means that all companies doing business in the United States must express transactions and events in US dollars.
A. True
3. Paid-in capital is the total amount of cash and other assets the corporation receives from its stockholders in exchange for its stock.
A. True
Explanation:
Gross profit margin is calculated by dividing the gross profit by the sales and multiplying by 100. In this case, the gross profit is $212,800 ($760,200 - $547,400). The amount, $212,800, then divided by $760,200 and multiplied by 100 to obtain approximately 28%.
The dollar is the monetary unit for all business transactions conducted in the United States. The accounting assumption behind the monetary unit means that all transactions conducted in the United STates are reported in dollars.
Answer:
The U.S. Small Business Administration (SBA) is a United States government agency that provides support to entrepreneurs and small businesses. The mission of the Small Business Administration is "to maintain and strengthen the nation's economy by enabling the establishment and viability of small businesses and by assisting in the economic recovery of communities after disasters". The agency's activities are summarised as the "3 Cs" of capital, contracts and counselling.
SBA loans are made through banks, credit unions and other lenders who partner with the SBA. The SBA provides a government-backed guarantee on part of the loan. Under the Recovery Act and the Small Business Jobs Act, SBA loans were enhanced to provide up to a 90 percent guarantee in order to strengthen access to capital for small businesses after credit froze in 2008. The agency had record lending volumes in late 2010.
SBA helps lead the federal government's efforts to deliver 23 percent of prime federal contracts to small businesses. Small business contracting programs include efforts to ensure that certain federal contracts reach woman-owned and service-disabled veteran-owned small businesses as well as businesses participating in programs such as 8(a) and HUB Zone. Another resource the SBA launched earlier this year is the SBA Franchise Directory, aimed to connect entrepreneurs to lines of credit and capital in order to grow a business.
SBA has at least one office in each U.S. state. In addition, the agency provides grants to support counselling partners, including approximately 900 Small Business Development Centers (often located at colleges and universities), 110 Women's Business Centers, and SCORE, a volunteer mentor corps of retired and experienced business leaders with approximately 350 chapters. These counselling services provide services to over 1 million entrepreneurs and small business owners annually. President Obama announced in January 2012 that he would elevate the SBA into the Cabinet, a position it last held during the Clinton administration,thus making the Administrator of the Small Business Administration a cabinet-level position.
Explanation:
Answer:
He is acting as a sub-agent. The sub-agent, just like the representative of the buyer, is an agent and owes a duty to care and act as an agent for the buyer representive.
Answer:
Earning per share for the year 2016 is $2.68
Explanation:
For computing the earning per share, we have to use the formula of earning per share which is shown below:
= Net income ÷ total number of outstanding shares
where,
Net income is $937,500
And, the total number of outstanding shares equals to
= 2015 shares + 2016 shares
= 300,000 + 50,000
= 350,000
Now put these values to the above formula
So, the earning per share would be equals to
= $937,500 ÷ 350,000 shares
= $2.68
The earning after tax is not considered. Thus, it is ignored.
Hence, earning per share for the year 2016 is $2.68
Answer: The investment is written down to fair value, and only the credit loss component of the impairment loss is recognized in net income.
Explanation: The fair value of the debt is simply its value if you adjust the price of the debt so that a buyer would be earning the market rate of interest. If the fair value of a debt investment that is classified as an available-for-sale investment declines for a reason that is viewed as "other than temporary" because the company has incurred a credit loss on the investment then the investment is written down to fair value, and only the credit loss component of the impairment loss is recognized in net income.
