All categories

2 years ago

How do flexible expenses differ from fixed expenses?

1 answer:

3 0

Fixed expenses are expenses incurred within a given period of time e.g a month and remain constant and are not easily changed. They include monthly bills and expenses such as health insurance and life insurance. On the other hand, flexible expenses also called variable expenses include daily spending such as spending on food tea, which differ and change time to time .<span />

You might be interested in

Ford Motor Corporation is considering purchasing new technology that will increase productivity by twenty percent. If Ford Motor

Alborosie

Answer:

E. The demand for loanable funds increases.

5 0

3 years ago

Riverbed Company designated Jill Holland as petty cash custodian and established a petty cash fund of $236. The fund is reimburs

11Alexandr11 [23.1K]

Answer:

The journal entry is shown below:

Explanation:

According to the scenario, the journal entries for the given data are as follows:

Petty cash A/c Dr $236

To Cash A/c $236

(Being establishment of the fund is recorded )

Office supplies A/c Dr $94

Misc. Expense A/c Dr $89

Cash Over / Short Dr $22 ( $236 - $31 - $89 - $94)

To Cash A/c $205 ( $236 - $31)

(Being Reimbursement of the fund is recorded)

5 0

2 years ago

Bell’s Shop can make 1000 units of a necessary component with the following costs: Direct Materials $24000 Direct Labor 6000 Var

Korolek [52]

Answer:

8,000= fixed overhead

Explanation:

Giving the following information:

Bell’s Shop can make 1000 units of a necessary component with the following costs:

Direct Materials $24000

Direct Labor 6000

Variable Overhead 3000

Fixed Overhead ?

The company can purchase the 1000 units externally for $39000. The unavoidable fixed costs are $2000 if the units are purchased externally.

Buy= 41,000/1,000= $41

Total Unitary cost= 24,000 + 6,000 + 3,000 + fixed overhead

41,000= 33,000 + fixed overhead

8,000= fixed overhead

3 0

2 years ago

Ambrin Corp. expects to receive $2,000 per year for 10 years and $3,500 per year for the next 10 years. What is the present valu

sineoko [7]

Answer:

A. $19,034

Explanation:

The computation of the present value for 20 years cash flow is shown below:

For the First 10 years

Given that

Payment for first 10 years = $2,000

Discount rate = 11%

Now the present value is

= $2000 ÷ 1.11 + $2,000 ÷ 1.11^2 +...........+ $2,000 ÷1.11^10

= 11,778.46402 ..............(1)

For the Next 10 years

Given that

Payment for next 10 years = 3,500

Discount rate = 11%

Now the present value is

= $3,500 ÷ 1.11 + $3,500 ÷ 1.11^2 +...........+ $3,500 ÷ 1.11^10

= 20,612.312

So, today present value is

= $20,612.312 ÷ 1.1110

= 7,259.339 ...........................(2)

Now

Total present value is

= $7,259.339 + $11,778.46402

= $19,034

3 0

2 years ago

Melanie is very concerned with avoiding late fees. The table shows her choices for paying her bills. Method Bill Payment Methods

sp2606 [1]

<span>The answer is 3 Set up automatic payments. Automatic payments can be done through direct access to ATM that receives the salary or bank account. This can help people like Melanie to avoid having trouble with late payments that would incur penalties. Paying by check would not be a good option because you should make sure there is enough money to pay for that purchase if not there could be more trouble. Paying through phone or online payments are sometimes delayed before it reaches the concerned company.

</span>

3 0

3 years ago

Read 2 more answers