The target income refers to the income planned for the future. The answer is letter C. This type of income is expected by the management at a given specified accounting period. This now would direct the key functions of the management in relation to the action that it will do to achieve the certain income.
Answer:
the correct answer is
A) make the part, as this would save $14 per unit
The following journal entry will be passed in the books of accounts and the interest expense is calculated to an amount of $9600
<u>Explanation:</u>
Given data:
amount of note: $200000, annual principal payments to be made each year at December 31st = $40000, interest amount to be charged = 6 percent, duration of note = 5 years
the following calculation is made in order to find out the amount of interest:
Amount of note minus principal payment multiply with rate of interest
now, putting the figures in formula:
interest = 200000 minus 40000 = $160000 multiply with .06 = $9600
Thus, the interest amount = $9600
The interest expense will be debited with an amount of $9600 in the books of accounts.
The answer in this question is the foot-in-the-door phenomenon which is the first one in the choices. The results of this experiment that the researchers conducted support the foot-in-the-door phenomenon. The foot-in-the-door phenomenon is one that is supported by the result of this experiment.
