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3 years ago

Which of the following terms is correct?

Business

1 answer:

slega [8]3 years ago

3 0

Answer:

a. Economic profit takes into account all costs involved in producing a product.

Explanation:

Numeral A is the only correct option in the question.

Economic profit takes into account all costs: explicit costs and implicit costs. Explicit costs are the monetary costs that we incurr when we run a business, such as wages, rent, and utilities.

Implicit costs are the opportunity costs that we incurr, in other words, what we gave up to run the business. For example, if you had a job, and quit to set up the business, your implic cost is the salary that you used to earn.

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When is VAT added to a product’s price?

Sophie [7]

VAT added to the products price at the stage of sale.

Answer: Option B

Explanation:

VAT stands for value added tax. VAT system is like a GST. The VAT has to be paid by the consumer or a business concern must pay the cost of goods and services and has to be subtracted material cost of previous year if any.

At the exact and each time value is added when a sale is made. Each and every seller in the production chain as to be charges VAT tax to the buyer, which it's remitted to the government.

3 0

3 years ago

On January 1, 2009, a U.S. firm made an investment in Germany that will generate $5 million annually in depreciation, converted

Afina-wow [57]

Answer:

The expected real value (in terms of January 1, 2009, dollars) of the depreciation charge in year 2013 will be $1,958,815.416.

Explanation:

It is expected that the value of the dollar in the German market will fall at the same rate as that of the real market value of the dollar when we envisage the exchange rate will remain the same. Thus the depreciation of the tax write-off in terms of its real value in dollars will fall at 5% every year from 2009 to 2013.

Therefore, at a tax rate of 50% in Germany, a $2.5 million charge on depreciation on the investment of $5 million will result in 2013.

To calculate the real value of the dollar at an inflation of 5% yearly in 2013

When the tax rate in German is 50%, then charges of depreciation of $5 million will equal4$2.5 million in 2013 dollars. When the dollar's real value of this write-off is declining due to the inflation at 5% annually, the real value in 2013 will be calculated as:

Given: $2,500,000 (P/F , 5%, 5years) ; 0.78356 (factor for calculating the amount to be recieved after 5years)

= $2,500,000 * 0.78356

= $1,958,815.416

8 0

3 years ago

On September 1, 2020, Vaughn Manufacturing issued a note payable to National Bank in the amount of $1440000, bearing interest at

Vilka [71]

Answer:

$28,800

Explanation:

I will just assume that there are three equal annual principal payments of $480,000. If we use $550,000, the total principal would = $1,650,000.

accrued interests from September to December = principal x (9%/12) x 4 months

principal = $480,000 x 2 = $960,000

accrued interest payable = $960,000 x 0.75% x 4 = $28,800

3 0

3 years ago

The process of transferring the debits and credits from the journal entries to the accounts is called a.journalizing b.sliding c

Rudiy27

Answer:

d. posting

Explanation:

There are various steps to prepare the financial statements. These are as follows:

1. Journalizing: It is a recording of business transaction with a narration in which the one account is debited and the other account is credited. It can be more transactions debited and credit that is depending upon the nature of the transaction.

2. Ledger posting: After recording the journal entries, the next step is to make the number of ledger i.e posting of the amount and the accounts to their respective ledger i.e sales ledger, purchase ledger, etc

3. Trial balance

4. Income statement

5. Statement of owners equity

6. Balance sheet

7. Cash flow statement

4 0

3 years ago

Mr. wilkes has difficulty hearing sounds in the range of 20 to 40 decibels, but he has no difficulty hearing sounds above that r

Ede4ka [16]

Answer:

more audible

Explanation:

Note that decibels means the level of volume or loudness of sound. Therefore sounds higher than 20 to 40 decibels would be louder for Mr Wilkes.

It is important to note also that today's Hearing aids are used to correct hearing loss in patients. A device that could assist Mr Wilkes is a customized In the ear aids (ITE) device fitted to his outer ear bowl.

6 0

3 years ago