Answer:
$15,000 Increase
Explanation:
Calculation to determine what the effect on net income will be :
Effect on net income = (15,000 x $3.50) – ($2.50x 15,000)
Effect on net income = $52,500-$37,500
Effect on net income = $15,000 Increase
Therefore If Bluebird accepts this additional business , the effect on net income will be :$15,000 Increase
<span>how much of their company's merchandise is being sold, how much of it has been damaged, how much has gone out of style or is out of season. Once the inventory is taken, Pristine products should be able to project how much product needs to be manufactured and sold going forward so that they do not work at a loss of profits.</span>
Answer:
The annual amortization expense for 2019 will be $35000.
Explanation:
The amortization expense for the patent calculated based on the useful life of patent. The purchase of value of $235000 plus $10000 gives the total value of $245000 while use the patent of 7 years.
The formula for amortization expense = (Cost of patent - Residual value ) / Useful life of patent)
amortization expense = ($245000-0)/7 = $35000
The legal life would not count due patent in business use for limited life compare to legal life of patent.
Answer:
The value of a firm's final product is the selling price whereas value added refers to the addition of value to the raw material (intermediate products).
Explanation:
The term "value added" describes the enhancement a company gives to its product before offering it to the customer. It can be considered as an extra special feature added by a company to increase the value of a final product.
