Answer:
Option (d) is correct.
Explanation:
Initial price of perfume three years ago = $75
New price of perfume = $100
Therefore,
Percentage change in the perfume price:
= [(New price of perfume - Initial price of perfume) ÷ (Initial price of perfume)] × 100
= [($100 - $75) ÷ ($75)] × 100
= 33.33%(approx)
Hence, the percentage change in the perfume price is 33.33%.
Answer:
Present Value= $142
Explanation:
Giving the following information:
In 40 years, you will receive a gold watch valued at $1,000. The interest rate is 5%.
<u>We have to calculate the value today of $1,000. To do this, we need to use the following formula:</u>
PV= FV/ (1+i)^n
PV= 1,000 / (1.05)^40
PV= $142
Answer:
Explanation:
A. John’s basis in the 1,000 shares of Intel stock is $45,750.
is the purchase price of $30,000 (i.e., 44 × $1,000) plus the $750 commission paid to the broker.
b.On the sale, John realizes $62500. This is the sales price of $63500 (i.e., 1,000 × $63.50)minus the transaction fee of $1,000.
c.John’s gain on the sale is $16,750 which is the amount realized minus his adjusted basis (i.e., $62500 – 45,750). The gain is a long-term capital gain because John held the stock for more than a year before selling
Answer:
FIFO method of inventory valuation produced the lowest of goods sold at $2000
Explanation:
The implication of FIFO producing the lowest costs of good sold is that profit under FIFO method will be much higher since a lower costs of good sold is deducted from sales revenue to arrive at gross profit for the period
In addition, higher gross profit is also a pointer to higher net income and higher tax expense overall.
In order to manage tax exposure effectively,the LIFO method of valuation would be the best option as it has the highest costs of good sold,hence lower profit figure and lower tax liability
A basic concept in economics is that all resources are scarce.
<h3><u>
Explanation:</u></h3>
There are wants, needs and desires that are unlimited in nature with respect to humans. Resources are very essential for the survival of human beings. The distribution of these scare resources is studied by the Economics. Free goods refer to those goods that come without any cost associated with that.
The resources that are available naturally is scarce because there are only finite quantity available for the utilisation. Some of the examples of scarce resources include raw materials, workers, etc that are very essential for the production of the scarce goods.
