Answer:
Technician A says a fleet shop is usually connected with either a business that runs multiple vehicles or with equipment that is maintained and repaired in house.
Answer:
$1,583
Explanation:
Accounts receivables as at 31/12/2021 = $236,000
A/R as at 31/12/2022 :
= Accounts receivables as at 31/12/2021 + increase in AR
= $236,000 + $22,300
= $258,300
Uncollectible accounts = 1% of accounts receivables
= 1% × $258,300
= $2,583
Allowance 31/12/2021 = $8,400
Writes off = $7,400
Therefore,
Allowance = Allowance 31/12/2021 - writes ofd
= $8,400 - $7,400
= $1,000
Hence,
Bad debt expense for 2021 = Uncollectible accounts - Allowance
= $2,583 - $1,000
= $1,583
Answer:
$19,356
Explanation:
July
1 Beg. Inventory 54 $122
5 Purchases 306 $114
14 Sale 204
21 Purchases 153 $117
31 Sale 143
Number of units left = (54+306-204+153-143)= 166
On LIFO(Last-in, first-out) basis, these 166 units of ending inventory cost;
= (54*122) + (166-54)*114 <em> (Note:166-54 is to find the balance after the first 54)</em>
= $6,588 + $12,768
= $19,356
Answer:
The stock market tends to value diversified companies at less than their break-up value.
Explanation:
Conglomerate discount is only applicable to large, highly diversified business entities and it basically arises as a result of business analysts having difficulty finding an appropriate way to value group of businesses with complex financial statements.
Simply stated, the expression "conglomerate discount" means that the stock market tends to value diversified companies at less than their break-up value.
Hence, when a vast array of businesses aren't performing optimally as the overall conglomerate or there are issues with respect to its core values and financial statements, business analyst may have to apply the conglomerate discount concept.
In order to calculate the conglomerate discount, business experts add up various estimations of the intrinsic values associated with the respective subsidiary firms in a conglomerate and lastly, the market capitalization of the conglomerate is subtracted from that sum. Intrinsic value refers to a measure of the underlying value of a firm and its cash inflow.
Also, it's worthy of note that the sum of the various estimations is typically greater than the conglomerate stock values.
Answer: D. the procyclical behavior of labor productivity occurs due to firms' labor hoarding practices.
Explanation:
Keynesian Economists argue that firms practice labor hoarding which is the practice of keeping workers when they should not such as when there is a Recession. They should not keep these workers because demand has slowed so keeping them means that they will not be producing to meet the demand.
The procyclical behavior of labor productivity means that labor productivity goes by the Business Cycle in that it is high when the Economy is booming and low when it is in a Recession.
Productivity is calculated by dividing goods produced by the number of labor producing them.
By refusing to fire workers during a Recession, there will be too many workers producing too few goods which will decrease labor productivity which is why according to Keynesian Economists, the productivity is low in Recessions.
