Answer:
False
Explanation:
Currently the company is working at full capacity and they are selling their total production at $25 per unit. If they accepted the special order, they would be receiving less money per unit sold: normal price per unit - special order price = $25 - $13 = $12, so they would be losing $12 per unit sold. The only way that they could accept this special order is if they can work overtime and produce 31,000 units instead or 30,000.
The answer is (A) It competes with private business and (C) It acts as an employer.
In a way, the United States government already has direct role in the economy right now, since it has businesses such as the US Postal Service – which competes with private businesses that provide logistics support for customers, such as FedEx. Since it has businesses, the government automatically also plays the role of an employer.
Answer:
The annual financial disadvantage of eliminating the division is $30,000.
Explanation:
contribution margin = revenue - variable costs = $200,000
fixed expenses = $500,000
net loss = $300,000.
If the division is eliminated, only $170,000 of the fixed expenses can be avoided, therefore the company's fixed expenses will remain at $330,000.
Therefore, eliminating the children's division will result in a $30,000 (= $330,000 - $300,000) decrease in net income.
Answer:
2:1
Explanation:
A firm has a current assets of $300,000
A current liabilities of $100,000
An inventory of $100,000
The quick ratio of the firm can be calculated as follows
Quick ratio= Current assets-inventory/Current liabilities
= $300,000-$100,000/$100,000
= $200,000/$100,000
= 2:1
Hence the quick ratio of the firm is 2:1
Explanation:
a)
Mid-month MACRS convention is applicable here because real property is placed in service in the middle of the month in which acquired.
b)
The life of the asset following MACRS is 39 years.
c)
Cost recovery deduction:
The building is listed as the non-residential real property holding 39 years lifetime
Cost recovery deduction for 2015:
= $3,800,000 x 0.535%
= $20,330
Cost recovery deduction for 2019:
= $3,800,000 x 2.564% x (6.5/12 months)
= $52,776
