Answer:
d. a $10,000 decrease.
Explanation:
The computation of the impact on the income is given below:
In case of making the product
= Direct material + direct labor + variable manufacturing overhead + rented
= $100,000 + $160,000 + $60,000 + $10,000
= $330,000
And, in case of buying the product
= 20,000 × $17
= $340,000
So there is a decrease of $10,000
Answer:
The correct answer is C. loyalty.
Explanation:
The segmentation on basis of customer loyalty is done on following grounds
• The most valuable market, channel, product and customer segments
• Key decision makers and influencers
• Critical needs and wants for each segment
• Future needs
• Measures of customer satisfaction and loyalty
• Brand and competitive equity benchmarking
• Value proposition alternatives for each segment
• A trade-off analysis for features vs. price
Answer:
1. 20Y3 20Y2
A Sales on account $5,637,500 $4,687,500
B Beginning Accounts receivables $650,000 $600,000
C Ending accounts receivables $725,000 $650,000
Average accounts receivables $687,500 $625,000 [D=(B+C) / 2[
Accounts receivables Turnover 8.2 7.5 [E=A/D]
No of days in sales receivables 44.5 48.7 [F=365 / E]
2. The collection of account receivables has <u>INCREASED</u>. This can be seen in both the <u>INCREASE </u>in accounts receivables turnover and the <u>DECREASE </u>in collection period.
Answer:
The preparation is shown below:
Explanation:
The preparation of the month of June income statement for Crane Company is shown below:
Crane company
Income statement
Revenue
Service revenue $7,900
Total revenues $7,900 (A)
Less: Expenses
Supplies expense $1,155
Maintenance and repairs expense $690
Advertising expense $400
Utilities expense $210
Salaries and wages expense $1,100
Total revenues $3,555 (B)
Net income $4,345 (A- B)
And, the preparation of the retained earning statement is presented below
Crane company
Retained Earning statement
For the month of June
Beginning balance of retained earning $0
Add: Net income $4,345
Less: Cash Dividend paid -$1,738
Ending balance of retained earning $2,607
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