Answer:
Explanation:
Accounting profit
Revenue Pizza- 400000
Revenue beverage 190000
Total revenue 590000
Cost of sales
Wages (55000*2) 110000
Pizza ingredients 50000
Manager 75,000
Pizza baker (60000*3) 180000
Equipment 10000
Finance cost (50000*6%) 3000
Tuition fee 2000
Total expenses 430000
Accounting Profit 160000
Implicit cost
Salary forgone 80000
Rent forgone 12000
Interest on savings (110000*5%) 5500
Total 97,500
Economic profit =(160000-97500) =62500
I will advise John to return to the teaching Job as he earns more in salary than the economic profit of doing business.
An increase in cash would definitely placed in debit because it considered an asset and we need to place the increase of sales on the credit side.
So, in this case, the entry would be
Cash $ 30,250
Sales $ 30.250
In the scenario in which the segmentation of the customer base is in two categories: high wealth and retirement. A system administrator can make the differentiation high wealth accounts to be visible to high wealth sales team members and retirement accounts should be visible to all sales user, by setting the organization-wide default sharing to private and create a sharing rule to share Retirement accounts with all Sales users.
To complete the statement above:<span>
Dynamic pricing is particularly suitable for Internet-based companies like Amazon who want to be responsive to shoppers' desires and marketplace changes.
Dynamic pricing is a way to deal with setting the cost for an item or administration that is exceedingly adaptable. The objective of dynamic valuing is to permit an organization that pitches merchandise or administrations over the Internet to modify costs on the fly because of market requests.
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Answer:
- Gain = $271,310
- Net reduction in retained earnings = $105,690
Explanation:
Gain = (Ivanhoe market price - Purchase price) * Number of shares issued as property dividend
Purchase price = 130,000 / 16,000
= $8.13
Number of shares issued as property dividend = 130,000 shares of Concord / 10
= 13,000 Ivanhoe shares
Gain = (29 - 8.13) * 13,000
= $271,310
Net reduction in retained earnings:
= Dividends payable - Gain
= (13,000 * 29) - 271,310
= $105,690
