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3 years ago

The purpose of a flexible budget is to:

Business

1 answer:

Ksenya-84 [330]3 years ago

8 0

Answer:

c. update the static planning budget to reflect the actual level of activity for the period

Explanation:

A flexible budget is a financial plan of expenses and revenues based on the actual level of output. A flexible budget adapts to changes in prices and company needs. Because the budget varies with the market condition, it is called a variable cost.

Due to their variable nature, flexible budgets are used to update the static estimates at the end of a period. The company compares the actual result in the flexible budget with that of a static budget. The management uses a flexible budget to evaluate the business performance for the period. Specific areas of success and failures are highlighted. Decisions on areas that need improvement can then be made.

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Sapana and Jim are discussing American beer. Sapana says that most American beers are of the bock beer type. Jim disagrees and s

Sonbull [250]

The correct option is B, that is Jim is correct.
The most common type of beer produced by big breweries in America is LAGER BEER. Small breweries, most of which came into existence after 1980 produce different kinds of beer such as Amber ale, Cream ale, California common, etc.<span />

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3 years ago

Read 2 more answers

The supplies account had a beginning balance of $1,823. Supplies purchased during the period totaled $4,344. At the end of the p

Keith_Richards [23]

Answer and Explanation:

The adjusting entry is as follows:

Supplies expense ($1,823 + $4,344 - $286) $5,881

To supplies payable $5,881

(being the supplies expense is recorded)

Here the supplies expense is debited as it increased the expense and supply payable is credited as it also increased the liabilities

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3 years ago

Winners of the Georgia Lotto drawing are given the choice of receiving the winning amount divided equally over 2222 years or as

Wewaii [24]

Answer:

0 i.e. zero

Explanation:

The formula we will us to calculate the cash option payout for formula for calculating the present value (PV) .

Present value (PV) can simply be described as the current value of a future amount or future stream of cash flows given a certain return rate.

To calculate the PV of a future cash flow, we will discount it by using the discount rate.

The formula is provided as follows:

PV = FV/(1 + r)^n ............................................ (1)

Where,

PV = Present Value = ?

r = discount rate = 66% = 0.66

FV = annual future value = $863,636.36

n = number of years = 2222 years

Note that the annual future value calculated by diving the $1919 million by 2222 years and this give us $863,636.36 (i.e. 1,919,000,000 ÷ 2222 = $863,636.36).

Substituting the figures above into equation (1), we obtain:

PV = 863,636.36/(1 + 0.66)^2222

= 863,636.36/(1.66)^2222

= 863,636.36/∞

PV = 0

This is because, the division of any number by infinity is equal to zero. And if we multiply by zero by 2222, it will still give us zero PV.

Therefore, the cash option payout will be zero. It is better the winner take the option of collecting $863,636.36.

5 0

3 years ago

When a monopolistically competitive firm raises its price,

Bas_tet [7]

B, because monopolistic market sells homogeneous goods.When a firm raises its price,it loses all of the customers

4 0

3 years ago

What is the ending balance on the statement of changes in owner's equity for this data?

creativ13 [48]

The Owner's Equity statement illustrates the capital account changes due to contributions, withdrawals, net income, or a net loss. So Ending Balance of the statement of changes in Owner's equity will be; Opening capital + Capital Added + Net Income - Owner's Withdrawals.

A one-page report titled a "statement of owner's equity" compares all assets and liabilities to determine the owner's equity's overall value. The snapshot, which is tracked over a predetermined time period or accounting period, depicts the flow of cash through a company.

Owner's equity is simply the difference between the owner's initial investment in the business and any withdrawals made by the owner. For instance: A real estate project with a value of $500,000 and a loan balance of $400,000 would have $100,000 in owner's equity.

Learn more about owner's equity here

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4 0

2 years ago