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4 years ago

2. Someone looking to buy a franchise needs to consider the brand's failure rate. For

Business

1 answer:

sdas [7]4 years ago

6 0

Answer:

One possible explanation is that the Blimpie franchisor is working properly since the franchisees are not receiving proper training and support in order to operate the franchise.

Another reason is that the Blimpie franchise model is simply not efficient (i.e. bad) and it is really hard to operate properly.

On the side of the franchisees, they might not have sufficient working capital since they budgeted higher revenues or lower costs. The franchisor shares the blame for this situation, since before establishing the franchise, the franchisor should request that the franchisee has enough enough working capital to operate the business properly.

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llini Inc. incurred a material loss that was unusual in character. This loss should be reported as: a. a line item between incom

Savatey [412]

Answer:

The correct answer is letter "B": a line item within income from continuing operations.

Explanation:

Unusual items are those not inherent in the operations of a business. Examples of unusual in character items are plant shutdown costs, costs from acquiring other businesses, or losses due to ti natural disasters. Unusual items according to the Generally Accepted Accounting Principles (GAAP) must appear in the income statement. Though, they appear in separate lines like items to give a better idea of the transactions a company incurs given a period.

Thus, <em>losses incurred as an unusual character will have to be registered in the income statement in the operating income section.</em>

8 0

3 years ago

Askew Company uses a periodic inventory system. The June 30, 2018, year-end trial balance for the company contained the followin

Taya2010 [7]

Answer:

Askew Company

1. Cost of goods sold $243,000

2. Adjusting Journal Entries:

Debit Cost of Goods Sold $243,000

Debit Purchases discounts $7,000

Credit Freight-in $19,000

Credit Inventory $231,000

To record the cost of goods sold.

Explanation:

a) Data and Calculations:

Account Debit Credit

Merchandise inventory, 7/1/17 33,000

Sales 390,000

Sales returns 13,000

Purchases 250,000

Purchase discounts 7,000

Purchase returns 11,000

Freight-in 19,000

Merchandise inventory, 7/1/17 $33,000

Purchases 250,000

Purchase discounts (7,000)

Purchase returns (11,000)

Freight-in 19,000

Cost of goods available for sale $284,000

June 30, 2018, inventory balance $41,000

Cost of goods sold $243,000

Adjusting Entry:

Debit Cost of Goods Sold $243,000

Debit Purchases discounts $7,000

Credit Freight-in $19,000

Credit Inventory $231,000

To record the cost of goods sold.

3 0

3 years ago

What amount of money was loaned if the borrower paid $950 in interest at the end of 6 months and was charged 7% annual interest?

Ronch [10]

Answer:

The loan amount was $27,142.86

Explanation:

Data provided in the question:

Total interest paid for the loan amount = $950

Time for which interest is charged = 6 months = 0.5 year

Annual interest rate = 7% = 0.07

Now,

Interest = Principle × Rate × Time

$950 = Principle × 0.07 × 0.5

Principle = $950 ÷ 0.035

Principle = $27,142.86

Hence,

The loan amount was $27,142.86

4 0

3 years ago

Proceeds from the sale of bonds represent a.the amount of the debit to Cash in the journal entry recording the sale. b.the face

insens350 [35]

Answer:

d.All of these choices are correct.

Explanation:

a) when we sale the bonds cash will be debited for the journal entry.

b) the value will be the face value times quoted value

face value of $1,000,000 quoted at 98

example $1,000,000 x 98/100 = $980,000

c) we compare the face value against the proceeds to determinate the gain or loss

4 0

3 years ago

All other variables held constant, investments paying simple interest have to pay significantly higher interest rates to earn th

Ksju [112]

Answer: True

Explanation: Hyderali230 is wrong according to Cengage Unlimited. He tries to explain that the principle you keep putting in makes compound interest not grow as quickly. However, It's all things being held equal, meaning, no other principal payments are being made.

6 0

4 years ago