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Rama09 [41]
3 years ago
7

Coleman Luggage has liabilities of $870,000 that the company must pay back by the end of the month. It currently has a cash bala

nce of $175,000 and inventories totaling $220,000. Other short-term assets equal $85,000. This information helps in understanding that Coleman Luggage has solvency.
Business
1 answer:
Troyanec [42]3 years ago
4 0

Answer:

The answer is low

Explanation:

Liquidity or Solvency is the ability of a business to pay its debt(both in short term and long term).

In the question, Coleman Luggage has a liability of 879,000 and the total current assets(which can be used to offset the liability) are cash balance of $175,000 + inventories of $220,000 + Other short-term assets of $85,000 = $480,000.

To know its solvency (net working capital) = Asset - liability

$480,000-870,000

= -$390,000.

Coleman Luggage has a low solvency because his asset cannot cover all his liabilities. His asset is less than his liabilities

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Answer:

Explanation:

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time 5 years

rate 0.1% = 10/100 = 0.10

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C  $ 32,759.496  

The installment will generate 10% interest overtime and provide with a 200,000 dollar count after six years

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3 years ago
Riverboat Adventures pays $310,000 plus $15,000 in closing costs to buy out a competitor. The real estate consists of land appra
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Answer:

Land 32,500

Explanation:

\left[\begin{array}{cccc}&fair \: value&percent&accounting\\land&35,000&0.1&32,500\\bulding&105,000&0.3&97,500\\paddleboats&210,000&0.6&195,000\\&350000&&325000\\\\\end{array}\right]

We will first calcualte the percent of each component of the real state.

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This is the amount we should enter the assets into accounting

3 0
4 years ago
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capital gain tax liability

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3 years ago
Question 5 of 10
kogti [31]

Answer:

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8 0
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Average fixed cost
MrRa [10]

Answer:

d. declines continually as output increases.

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3 years ago
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