Answer:
in the Other Expenses and Losses section of the income statement.
Explanation:
Firstly, A loss on disposal of a plant asset is an expense.
therefore,
A loss on disposal of a plant asset is reported in the financial statements in the Other Expenses and Losses section of the income statement.
Answer:
See Explanation.
Explanation:
The company is incurring a relevant loss on purchase of Q rather than manufacturing it as,
When there is spare capacity only the relevant costs are identified to see if the decision to buy or make is worth it.
Since the factory fixed overhead is to be paid regardless of manufacturing Q, it should not be included in the estimations and the total cost of manufacturing Q should be
Direct Material + Direct Labor + Variable overheads
So Direct costs = 11.5 + 4.5 + 1.12 = $17.12
So the loss the company is incurring by purchasing Q = $19.20 - 17.12
Loss = $2.08/Q
Differential effect on the income is $2.08/ purchase of Q.
This can be avoided and thus Snipe should consider manufacturing Q rather than purchasing it as relevant direct costs give it an opportunity to make savings as there are no planned increases in production anyway.
Hope that helps.
Answer:
$23,153
Explanation:
Given that,
Current annual sales = $350,000
Net profit margin = 6%
Sales are expected to increase by 5% annually.
Sales two years from now:
= Sales in year 0 × (1 + Growth of year 1) × (1 + Growth of year 2)
= $350,000 × (1 + 5%) × (1 + 5%)
= $350,000 × 1.05 × 1.05
= $385,875
Profit margin = 6% of sales two years from now
= 0.06 × $385,875
= $23,153
Answer:
d. All of these are correct.
Explanation:
In the case when the supply and demand model is used so the rent of the land set, and the economist draw the supply curve in a vertical line as the land supply is in fixed in nature, also it is perfectly inelastic, the quantity supplied does not rise in the case when the rent increased
These all reasons should be there as it is correlated with the price and the amount of the land
Hence, the correct option is d.
Answer:
Spread
Explanation:
Spread is the difference between bid and ask price quoted by dealer to purchase and sell a security.
Spread is the excess amount which is asked by the dealer for a security over the bid amount at which he is willing to buy the security.
