In an acquisition, the firm being purchased is the target firm, and the firm which is purchasing the other firm is the acquiring firm.
Answer:
d. $2.10 per unit
Explanation:
Calculation for What is the company's unit contribution margin
First step is to calculate the Variable cost using this formula
Variable cost = Variable Manufacturing Expenses + Variable Selling & Administrative Expenses
Let plug in the formula
Variable cost = $297,000 + $165,000
Variable cost = $462,000
Second step is to calculate Total Contributiom Margin using this formula
Total Contributiom Margin=Sales – Variable Cost
Let plug in the formula
Total Contributiom Margin= $924,000 - $462,000
Total Contributiom Margin= $462,000
Now let calculate Unit Contribution Margin using this formula
Unit Contribution Margin= Total Contribution Margin/Total number produced and sold cement
Let plug in the formula
Unit Contribution Margin = $462,000 / 220,000 Unit Contribution Margin= $2.10 per unit
Therefore the Unit Contribution Margin will be $2.10 per unit
Answer:
Asset exchange transaction
Explanation:
Prepaid rent is an asset exchange transaction because cash (asset) is credited while prepaid rent (also an asset) is debited.
Rent paid in advance is recorded as follows:
Dr Prepaid rent
Cr Cash
As the months go by, the prepaid rent is credited and rent expenses is debited.
Dr Rent expense month 1
Cr Prepaid rent month 1
Answer:
d) He earned a lower interest rate than he expected
Explanation:
Data provided in the question
Invested amount ten years ago = $1,000
Expected amount = $1,800
Today amount = $1,680
Based on the above information,
Since the bond is based on the floating rate not the fixed rate that results in the value of the investment to $1,800
And, the today amount is $1,680 i.e. less than the expected amount so the internet rate should be less as compared with the expected rate
hence, correct option is d.
