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VashaNatasha [74]
3 years ago
6

Ariana withdrew $400,000 out of her personal savings account and used it to start her new Internet cafe. The savings account pay

s 3% interest per year. During the first year of her business, Adriana sold 2,000 cups of coffee for $2.50 per cup and 4,000 hours of Internet time, also at $2.50 per hour. During the first year, the business made monetary outlays of $9,000. You may assume that there is no opportunity cost to Ariana's time. Ariana's accounting profit for the year was
Business
1 answer:
Vikki [24]3 years ago
7 0

Answer:

The Ariana's accounting profit for the year was $6,000

Explanation:  

Accounting Profit : The accounting profit is that profit which records the difference of total revenues and total direct cost.

Where,

Total revenues includes sales revenues

And total cost includes monetary cost, etc.

So,

Accounting profit = Total revenues - Total cost

where

Total revenues = 2,000 × $2.5 + 4,000 ×$2.5 = $15,000

Monetary cost = $9,000

So,

Accounting profit = $15000 - $9000 = $6,000

Hence, the Ariana's accounting profit for the year was $6,000

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David borrowed $120,000 for his business to be repaid in six equal annual installment. The lender charges 6.5 percent interest o
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Answer: c, it is the sixth year

Explanation:

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3 years ago
On December 31, 2017, Extreme Fitness has adjusted balances of $800,000 in Accounts Receivable and $55,000 in Allowance for Doub
Anastaziya [24]

Answer:

Accounts receivable is $745,000

Explanation:

The company would report as net receivable, the total amount on accounts receivable minus total amount on the Allowance for uncollectible Accounts, which implies that the balance represent the amount of credit that will not be possible to collect again hence, the value represent balance on net accounts receivable.

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6 0
3 years ago
1. How business driven MIS, value driven business, E-business, and information security relate to each other. 2. Please provide
KATRIN_1 [288]

Answer:

2. Google is an example for this type of business.

Explanation:

These terms (MIS, Value driven business, E-Business, and information security) are interlinked in today technological era of businesses.

As the example is given above about google, it is being explained right here.

As we all know google is a technology based organization which is working on the concept of Management information system. Its recent case study shows that how this organization is a value driven business.

Google actually, takes really care about its employees, it has all necessary facilities to offer for its employees such as on-site doctors, cafeteria led by famous chefs, so that means they are value driven business too.

it is also providing E-business facilities to other businesses. And its information security is one of the top on list.

8 0
3 years ago
Please help! <br><br>How can easy access to credit lead to Financial Mistakes and Bankruptcy?
zvonat [6]

Answer: over-borrowing.

Explanation:

credit cards function like this: you can "buy" a lot of things with it, including very very expensive things. this is because instead of really buying that product, you borrow money from the bank to buy it. you then have to pay it off in slower amounts of money over time until youve paid off the original cost of the product and more because the bank will most likely charge interest.

sounds great, right?

it is, until you cant afford to pay those smaller amounts of money. then, it starts to build up and if you still cant afford to pay the bank, they will begin to liquidize your physical assets (they take your stuff as payment, really anything, even your house can be taken.)

3 0
3 years ago
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