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3 years ago

Interest expense is not:

Business

1 answer:

Veseljchak [2.6K]3 years ago

7 0

Answer:

The correct answer is letter "C": Likely to fluctuate when sales change.

Explanation:

Interest Expense is the cost of borrowing money. Usually, interest is paid on a credit card for some form of debt through a bank loan, mortgage, credit line or outstanding balance. The amount charged is equal to the interest rate times the outstanding balance. Interest payments are reported on an income statement as non-operating expenses.

Sales changes do not influence the interest expense.

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zecola is a beverage manufacturer. it presents wyb, a zero-calorie drink to compete with we fresh's shire, a low-calorie drink.

xenn [34]

The answer to this question is Response
Response is the action that taken by company after experiencing a certain stimulus from the situation in the market.
In this case, zecola response the action taken by its competitor in order to maintain it's positioning in the market

8 0

2 years ago

Trio Company reports the following information for the current year, which is its first year of operations.

Contact [7]

Answer:

Instructions are below.

Explanation:

Giving the following information:

Direct materials $15 per unit

Direct labor $15 per unit

Overhead costs for the year

Variable overhead $3 per unit

Fixed overhead $120,000 per year

Units produced this year 20,000 units

Units sold this year 14,000 units

Ending finished goods inventory in

units 6,000 units

The absorption costing method includes all costs related to production, both fixed and variable. The unit product cost is calculated using direct material, direct labor, and total unitary manufacturing overhead.

The variable costing method incorporates all variable production costs (direct material, direct labor, and variable overhead).

1) Absorption costing method:

Unitary fixed overhead= 120,000/20,000= 6

Unit product cost= direct material + direct labor + total unitary overhead

Unit product cost= 15 + 15 + 3 + 6= 39

Variable costing:

Unit product cost= direct material + direct labor + variable overhead

Unit product cost= 33

2) Ending inventory:

Absorption costing= 6,000*39= $234,000

Variable costing= 6,000*33= $198,000

3) Cost of goods sold:

Absorption costing= 14,000*39= 546,000

Variable costing= 14,000*33= 462,000

7 0

3 years ago

Assume the following information. You have $1,000,000 to invest. Current spot rate of pound = $1.30 90-day forward rate of pound

Softa [21]

Answer:

$ 1,024,000

Explanation:

Spot Rate : 1 Pound = $ 1.30

3 Months Forward Rate = $ 1.28

3 Months Deposit rate in US = 2.25%

3 Months Deposit rate in Great Britain = 4%

Total Amount of Investment = $ 1,000,000.

Step 1:

Convert $ 1,000,000 into Pounds using Spot rate (i.e., 1 Pound = $ 1.30).

We will get,

= $1000,000 ÷ 1.30

= 769230.76923 Pounds.

Step 2:

Invest 769230.76923 Pounds in great Britain for 3 months at an interest rate of 4%.

Therefore, we have an interest of 30769.23076 Pounds.

Hence, the total realizable value after 3 months:

= 769230.76923 + 30769.23076

= 800,000 Pounds

Step 3:

Convert 800,000 Pounds into Dollars using Forward rate (i.e., 1 Pound = $ 1.28).

Therefore, the total amount in Dollars:

= 800,000 Pounds × $ 1.28

= $ 1,024,000

4 0

3 years ago

How are banks able to attract small savers if small savers can usually receive a higher interest rate from money market mutual f

oee [108]

Answer: Federal deposit insurance covers deposit in bank savings while money market mutual fund shares are not covered

Explanation:

There is what is called Federal deposit insurance, it covers deposit in bank savings while money market mutual fund shares are not covered. Money market mutual funds restrict savers savers to writing checks only above a specified amount such as $500, this shows that money market savings aren't as liquid as bank deposits

4 0

2 years ago

Fillia, inc. worked on three jobs this period: job 14c, which cost $15,000; job 23a, which cost $28,000, and job 45b, which cost

mafiozo [28]

The cost of goods manufactured during the period would be the $15000 + $28000 + $23000 is $66000. In other words, the costs are the total amount of costs added up for all three of the projects since goods were presumably produced by all three projects.

7 0

3 years ago