All categories

3 years ago

Why is it important to write a business plan?

2 answers:

7 0

A business plan is a very important strategic tool for entrepreneurs. A good business plan not only helps entrepreneurs to focus on the specific steps necessary for their to make business ideas succeed, but it also helps them to achieve both their short-term and long-term objectives.

sdas [7]3 years ago

4 0

to keep all things sorted :)

You might be interested in

Froya Fabrikker A/S of Bergen, Norway, Is a small company that manufactures specialty heavy equipment for use In North Sea oil f

solmaris [256]

Answer:

1) JOURNAL ENTRIES

a) Debit Material Account $290,000 Credit Accounts Payable $290,000

b) Debit Work in process $ 275,000 Credit Material Account $275000

c) Debit Factory overheads $69300, Debit Selling and admin (utility expense) $7,700 Credit Accounts Payable $77,000

d) Debit Work in process $320,000 Debit Factory overheads $108,000

Credit Salary and wages Payable $428,000

e) Debit Factory overheads $72,000 Credit Accounts payable $72,000

f) Debit Selling and admin expense (Advertising) $154,000 Credit Accounts payable $154,000

g) Debit Debit depreciation expense $90000 Credit Accumulated depreciation on Factory equipment $67,500 Credit Accumulated depreciation on selling and admin facilities $22,500

h)Debit Factory rent $92000 Debit selling and admin rent $23000 Credit Accounts payable $115000

i) Debit Work in process $417,100 Credit Manufacturing overhead costs $417,100

j) Debit Finished goods $950,000 Credit work in process $950,000

k) Debit Accounts receivables $2,100,000 Credit Revenue $2,100,000

Debit cost of sales $980,000 Credit Finished goods $980000

2) DR Raw materials CR

opening bal 48000 work in process 275000

Accounts payable 290000 balance c/d 63000

338000 338000

work in process

opening balance 39000 finished goods 950000

Raw materials 275000 balance c/d 101100

salaries payable 320000

applied overheads 417100

1051100 1051100

finished goods

opening balance 78000 cost of sales 980000

work in process 950000 balance c/d 48000

1028000 1028000

Manufacturing overheads

accounts payable 69300 work in process 417100

salaries payable 108000

accounts payable 72000

depreciation 67500

Accounts payable 92000

cost of sales (over) 8300

417100 417100

selling and admin overheads

Accounts payable 7700 Profit and loss account 207200

Accounts payable 154000

Depreciation 22500

Accounts payable 23000

207200 207200

Accumulated depreciation on Factory equipment

balance c/d 67500 depreciation 67500

Accumulated Depreciation on selling and admin facilities

balance c/d 22500 depreciation 22500

Accounts payable

balance c/d 638700 raw materials 290000

accounts payable 69300

accounts payable 72000

Accounts payable 92000

Accounts payable 7700

Accounts payable 154000

Accounts payable 23000

638700 638700

cost of sale

Finished goods 980000 manufacturing overheads 8300

trading account 971700

980000 980000

sales

trading account 2100000 Accounts receivable 2100000

trading account

cost of sales 971700 sales 2100000

gross profit 1128300

3) cost of goods manufactured

direct material 275000

Direct labor 320000

applied overheads 417100

cost of goods manufactured 1012100

4a) Debit Manufacturing overhead 8300 Credit cost of sales 8300

4b) finished goods

opening 78000

work in process 950000

closing goods 48000

Cost of goods sold 980000

5)INCOME STATEMENT

SALES 2100000

COST OF SALES -971700

gross profit 1128300

selling and admin costs -207200

Net income $921100

Explanation:

5 0

3 years ago

List three pieces of information listed in a credit card agreement that you believe are important to review before

andrew-mc [135]

I have the same question

4 0

3 years ago

Read 2 more answers

The developing country of alpha had a rule that none of its factories could be owned by companies from the developed country of

hjlf

When the developing country alpha breaks the rule of factories not being owned by the companies of developed country beta would imply that alpha is in a vulnerable position in its trade. So this means this would be an example of decline in trade and investment barriers.

4 0

4 years ago

What are the goals when a government uses expansionary monetary policy?

Ainat [17]

Answer:

stimulating economic growth

Explanation:

Expansionary monetary policies are the action by the Fed that aims at stimulating economic growth. They aim at increasing the money supply in the economy. Examples of expansionary monetary policies are open market purchases, reduction of the discount rate, and reduction in the reserve requirement ratio.

Expansionary monetary policies stimulate economic growth by encouraging investments and consumption spending. When the discount rate is reduced, interest rates reduce automatically. Banks will loan out more when they a lot of money in their custody. Expansionary monetary policies are applied when there is a slowdown in economic growth.

5 0

3 years ago

1. A small-scale businessman deposits money at the beginning of each year into his savings account, depending on the level of th

quester [9]

Answer:

The value of the investment at the time of his first deposit is $1,000.

At the end of the first year, the investment will be worth $1,070.

Explanation:

The value of a deposit investment is determined by the interest rate and time. Time affects the value of an investment by this small-scale businessman in many ways. The passage of time increases the value of his investment. However, the total increase may not be due to the interest rate, but inflation also affects asset's value. For this businessman to make a gain in the investment, the interest rate must be higher than the inflation rate. Otherwise, the investment loses money due to the effects of inflation, which reduces the real value of an asset over time.

7 0

3 years ago