1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
xxMikexx [17]
3 years ago
15

Q 4.35: McGinnis Construction is a cash-basis company with a fiscal year-end of June 30. McGinnis’ employees earn a normal weekl

y wage of $12,500 during a five-day work week. June 30 falls on a Thursday for the current year. McGinnis also performed services of $40,900 during the last four days of June, but they are not paid in full until July 8. As a result of operations, there will be an ________ of McGinnis’ net income for the most recent fiscal year of
Business
1 answer:
hjlf3 years ago
4 0

Answer: Understatement, $30,900

Explanation:

There will be an UNDERSTATEMENT of McGinnis' net income for the most recent fiscal year of $30,900.

The Understatement arises because as of year end which is June 30th, McGinnis were not paid for their services that cost $40,900 and instead will only be paid on the 8th of the next month so it was not accounted for in the net income.

The reason the net income understatement is $30,900 and not $40,900 is because McGinnis will still have to account for the payment to it's employees. If in a five day week they earn $12,500, that would mean that they earn $2,500 a day (12,500/5). Seeing as June ended on a Thursday, that is a 4 day week which means $2,500*4= $10,000.

That $10,000 will reduce the net income by that amount.

The net effect is a $30,900 UNDERSTATEMENT.

You might be interested in
Who can cheer me up i have seizures
AlekseyPX

Answer:

I got a joke for you :)

Why do we tell actors to “break a leg?”

Because every play has a cast.

3 0
2 years ago
Read 2 more answers
Consider the case of the Henderson Company.
sashaice [31]

Answer:

I) Days sales outstanding (DSO) for all customers?      48.7days

= (53*0.9)+(10*0.1) = 48.7 days

II) Net sales?                                                                  $166.600

The Net sales = Gross sales - sales allowance  

The discount amount due for the 10% discount customers = 2% of the 10% of 170 mn ==>  0.02 * 0.1 * 170 ===> 0.34 mn

∴ The Net sales = 17 - 0.34 mn = 16.66 mn

   Amount paid by discount customers?                     $13.600

Explanation:

I. General Credit Policy Information

  Credit stamps                                                               2/10 Net 30

  Days sales outstanding (DSO) for all customers    48.7days

  DSO for customers who take the discount (10%)      10days

  DSO for customers who forgo the discount (90%)    53days

II. Annual Credit Sales and Costs ($ millions)

  Gross sales                                                                 $170.000

  Net sales?                                                                   $166.600

  Amount paid by discount customers                      $13.600

  Amount paid by non discounted customers           $153.000

 Variable operating costs (82% of gross sales)         $139.40

 Bad debts                                                                    $0.0

 Credit evaluation & collection costs (10% of gross sales) $17.00

7 0
3 years ago
Read 2 more answers
Infrastructure is the basic structure used to support an entire __________. A. city B. economy C. government D. population asap
Dvinal [7]

The answer that best fits the blank space in the question is (A) city.

Infrastructure generally refers to <em>the essential facilities and systems that serve an area, which can apply to a city, country, or even smaller regions such as a village</em>.

Infrastructure does not only apply to physical structures such as roads and water supplies, but also to things such as educational programs and emergency services.

3 0
3 years ago
Read 2 more answers
Which of the following is the best way to measure who read the company's public relations message and what they thought about it
algol [13]

Answer:

a. Ask consumers for relevant feedback after the campaign

Explanation:

  • The company's public messages in order to establish a relationship with the clients or its costumes have to be essentially exposed through the mediums like campaigns and the media to get relevant feedback form them and helps in the analysis if its future scope.
  • These messages target the key audiences and use all mediums of communication like PR events.
6 0
3 years ago
Once a firm has gained insights from doing qualitative research, it is likely to engage in ______ research, which are structured
Allushta [10]

Answer:

Quantitative

Explanation:

The reason is that a good research report includes qualitative and quantitative research. Qualitative research is non numerical data and it give information which helps in meaning making whereas the quantitative research is a research in which the researcher tries to find the numerical relation using quantifiable data, which is investigated through number of means which includes use of mathematics, principles, etc techniques to extract data. So the qualitative research is done here and the only thing the company requires is quantitative data.

3 0
3 years ago
Other questions:
  • How does tourism benefit the economy
    14·1 answer
  • Blue Spruce Architects incorporated as licensed architects on April 1, 2022. During the first month of the operation of the busi
    6·1 answer
  • Moose Industries has a corporate tax rate of 25%. Last year the company realized $14,000,000 in operating income (EBIT). Its ann
    14·1 answer
  • On January 1, 2021, Laramie Inc. acquired land for $6.2 million. Laramie paid $1.2 in cash and signed a 6% note requiring the co
    14·1 answer
  • Oucation 6 of 25
    7·1 answer
  • Which YuGiOh! number xyz monster do you think is the most powerful?
    5·2 answers
  • The following information is available for Ethtridge Manufacturing Company for the month ending July 31:
    8·1 answer
  • Blue Ridge Crafters is a co-operative that distributes traditional household furnishings, such as home-spun textiles, hand-throw
    8·1 answer
  • A schedule or curve that shows the amount of a nation's output (real GDP) that buyers collectively desire to purchase at each po
    15·1 answer
  • Nighthawk theaters has 15,000 shares of stock outstanding and projected annual free cash flows of $48,200, $57,900, $71,300, and
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!