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3 years ago

The sales and profits of an individual product may not follow the life cycle pattern.A. TrueB. False

Business

1 answer:

Nat2105 [25]3 years ago

8 0

Answer:

A. True

Explanation:

The product life cycle is a term that describes a form of structure or arrangement of sales and profits of a product in a given time.

However, due to volatile marketing conditions, it is TRUE, that the sales and profits of an individual product may or may not follow the life cycle of the general pattern.

Hence, the correct answer in this situations is absolutely TRUE

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Gross billings for merchandise sold by Crane Company to its customers last year amounted to $12730000; sales returns and allowan

Brilliant_brown [7]

Answer:

None of the above

Explanation:

Net sales is the difference between the total sales and the sum of the sales returns, sales discounts and allowances.

Selling and distribution cost or freight-out is a part of the company's operating expense and will not be used to determine a company's net sales.

Hence,

Net sales = $12,730,000 - $366,000 - $175,000

= $12,189,000

This is not part of the options given.

3 0

3 years ago

Req. 23: The budgeted data for the year did not include employment benefits, such as paid time off, company-paid health insuranc

stich3 [128]

Answer:

These costs should be reported on the income statement in the profit and loss section under selling and administrative expenses. Any liability arising from the employment benefits should be shown in the balance sheet under liabilities.

Explanation:

7 0

3 years ago

If the current price of a product is above the market equilibrium price, there is ________ of this product.

lana [24]

Answer:

Excess supply

Explanation:

Equilibrium price is the price where the demand curve equals the supply curve.

When price is above the equilibrium price, quantity supplied increases.

According to the law of supply, the higher the price, the higher the quantity supplied and the lower the price, the lower the quantity supplied.

If price is below the equilibrium price, there would be excess demand.

I hope my answer helps you

5 0

3 years ago

A customer purchases on credit for $1,250 worth of merchandise, terms 4/15, n/30. If the customer pays within the discount windo

PolarNik [594]

They will remit in $1200 to the seller.

<h3>Credit Sales</h3>

Credit sales are transactions in which the debt will be paid in full at a later time. In other words, credit sales are transactions when the consumer does not pay in whole, in cash, at the time of the transaction.

Cash sales, credit sales, and advance payment sales are the three basic types of sales transactions. The timing of when cash is received is the only distinction between these sales transactions.

1. Sales made in cash: When a transaction is made and the customer receives their goods or services, cash is collected.

2. Credit sales: After the sale is made, the customer has a certain amount of time to pay the vendor.

3. Sales involving advance payments: Buyers pay the vendor in full before closing the deal.

Learn more about Credit Sales here:

brainly.com/question/12269231

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4 0

2 years ago

TPW, a calendar year taxpayer, sold land with a $549,000 tax basis for $820,000 in February. The purchaser paid $89,000 cash at

Lena [83]

Answer:

a. Difference between book income and tax income = $229,505.73

b. The difference between book income and tax income is favorable.

c. Deferred tax liability = $48,196.20

Explanation:

a. Compute the difference between TPW's book and tax income resulting from the installment sale method.

This can be computed as follows:

Amount realized on sale of land = Cash paid by purchaser + Value of interest- bearing note given by the purchaser = $89,000 + $731,000 = $820,000

Adjusted tax basis in land = $549,000

Book income = Amount realized on sale of land - adjusted tax basis in hand = $820,000 - $549,000 = $271,000

Gross profit percent = Book income / Amount realized on sale of land = $271,000 / $820,000 = 0.3305, or 33.05%

Cash received on sale of land = Cash paid by purchaser + Principal payment received in August = $89,000 + $36,550 = $125,550

Tax income =Cash received on sale of land * Gross profit percent = $125,550 * 33.05% = $41,494.28

Difference between book income and tax income = Book income - Tax income = $271,000 - $41,494.28 = $229,505.73

b. Is this difference favorable or unfavorable?

Since the book income greater than the tax income, this implies that the difference between book income and tax income is favorable.

c. Using a 21 percent tax rate, compute PTR's deferred tax asset or liability (identify which) resulting from the book/tax difference.

Deferred tax liability = Difference between book income and tax income * 21% = $229,505.73 * 21% = $48,196.20

4 0

2 years ago