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Burka [1]
4 years ago
13

You work for a fabric company that sources unique materials from around the world. In the past, you have focused solely on the b

usiness of supplying fashion designers with fabric they make into dresses. However, you've recently recognized an opportunity to expand the business by supplying stores like Jo-Ann Fabrics that sell sewing and craft goods to consumers who sew at home.
If you pursue this opportunity, in which direction would your company be expanding?
a. From one reseller market to another.
b. From a commercial market into a reseller market.
c. From a materials market to a reseller market.
d. From a business market to a consumer market.
e. From a fabric market into a home goods market.
Business
1 answer:
Kay [80]4 years ago
5 0

Answer:

b. From a commercial market into a reseller market.

Explanation:

It is a commercial marketing following the fact that the marketing organization defines success primarily in terms of financial gain.

This financial gain is the same reason for expansion.

Supplying to other stores who will in turn sell to others makes it a reseller market.

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Answer:

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Explanation:

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What is the theory that tax cuts can raise supply called
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The theory that tax cuts can raise supply is called "supply side economics" or "trickle down economics." These policies were strongly supported by the Reagan Administration in the United States during the 1980s in the hopes of promoting economic growth. The theory functions that the cutting of taxes will help to promote economic growth and development. 
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Read 2 more answers
The following data (in thousands of dollars) have been taken from the accounting records of Karmint Corporation for the just com
Fittoniya [83]

Answer:

B) $420

Explanation:

Raw materials inventory, beginning - $50

<em>add:</em> purchases of raw materials - $150

<em>less: </em>raw materials inventory, ending - $40

equals: raw materials used - $160

<em>add:</em> direct labor - $140

<em>add: </em>manufacturing overhead - $160

equals: Total Manufacturing Cost - $460

<em>add</em>: work in process inventory, beginning - $30

equals: Cost of Goods Put into Process = $490

<em>less: </em>work in process inventory, ending - $50

equals: Cost of Goods Manufacture - $440

<em>add:</em> finished goods inventory, beginning - $80

equals: Cost of Goods Available for Sale - $520

<em>less: </em>finished goods inventory, ending - $100

equals: <u>Cost of Goods Sold - $420</u>

Cost of goods sold (COGS) refers to the direct costs attributable to the production of the goods sold in a company.

This amount includes the cost of the materials used in creating the good along with the direct labor costs used to produce the good.

It excludes indirect expenses, such as distribution costs and general and selling expenses.

8 0
4 years ago
Rogers, Inc., acquires 15% of Procter Corporation on January 1, 2020, for $70,000. During 2020, Procter reported net income of $
ioda

Answer:

a) <u>Investment Value as at December 31, 2020 / Jan 1, 2021        $64,000</u>

<u>b) Value of Equity Investment Dec 31, 2021                                 $491, 000</u>

Explanation:

First Part is to calculate the January 1, 2021 entry to adjust the Equity account based on additional acquisition on that date

It should be noted that the investment balance as at 31st December 2020, will also be the value of the investment balance for the start of the next year January 1st 2021.

Therefore,

Step 1: Calculate the Investment Balance as at 31st Dec, 2020

Acquisition Cost of 15% Investment (Procter Corporation Jan 1)   $70,000

Subtract: The dividend received 31st Dec, 2020 ($40,000 x .15)    <u>($6,000)</u>

<u>Investment Value as at December 31, 2020                                     $64,000</u>

Step 2: Calculate the Investment Gain (Equity Investment)

The formula= Market value of Equity (year end) - Carrying Value (calculated in step 1)

= $68,000 - $64,000

= $4,000

Step 3: The journal entry to adjust the equity investment account

Date                   Particulars                               Debit                       Credit

Dec, 31, 2020     Equity Investment                 $4,000

                                Gain Unrealized on Equity Investment            $4,000

being the journal record adjusting equity investment at the time of new acquisition

Part B: Balance of the Equity Investment Account Dec 31, 2021

The value of the Investment as at 31, Dec, 2020              $64,000

Add: The additional investment in Procter (Jan 1, 2021)   $310,000

Add: Net Income Share for Rogers (45% x $300,000)      $135,000

(45% because the initial 15% and the 30% additional)

Subtract: Dividend received (45% x $40,000)                   <u>  ($18,000)</u>

<u>Value of Equity Investment Dec 31, 2021                           $491, 000</u>

7 0
3 years ago
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