Answer:
a.capital gains
Explanation:
Capital gains income -
It refers to the increase in the amount of the capital asset , where the amount received from selling the asset is more than the amount at the time of purchase , is referred to as capital gains income.
This gain can be long term as well as short term , and the amount of the asset can not be estimated , until and unless the asset is sold in the market.
Hence, from the given scenario of the question,
Trevor is practicing , capital gains income.
Answer: Producing new models would require lots of money to set up before the revenue builds
Explanation:
This company must endeavor to have enough cash at hand because production of motor bike are very expensive to produce and launch in to the market, they'll have to be excess in their reserves for this operations.
Answer:
Crisis Panning
Explanation:
The crisis planning involves the management of the company risk associated with catastrophic events which will completely destroy the firm and their will no essence of the company to start it again. So to insure businesses from such risks heading, the company plans about it to tackle such risks and this planning is known as crisis planning.
Answer:
True
Explanation:
When you have an amount of money allotted to you its good to come up with a plan on how to spend it efficiently.
Answer:
$294,600
Explanation:
Given that,
September sales = $303,000
October sales = $289,000
Monthly sales are 80% credit and 20% cash.
Of the credit sales, 50% are collected in the month of sale, and 50% are collected in the following month.
Cash collections for the month of October:
= 20% of October sales + 50% of the credit sales in October + 50% of the credit sales in September
= (0.2 × $289,0000 + (0.5 × 0.8 × $289,000) + (0.5 × 0.8 × $303,000)
= $57,800 + $115,600 + $121,200
= $294,600
