Net income is also called net profit. Its formula is: Net income= Total Revenue-Total expensesTotal revenue: 1,000,000Total expenses and taxes: 500,000Net income= 1,000,000-500,000Net income= $500,000
Answer:
a)Decrease, No Change, Decrease
b) -Correct Answer is Option 'B' $ 403,900
--Workings
Accounts receivables, gross $475,000
Less:
Allowance account unadjusted balance $30,600
Bad Debt Expenses [2700000 x 1.5%] $40,500
Adjusted balance of Allowance account $71,100
Net Realizable value of Accounts receivables [475000 - 71100] $403,900
The answer to this question is Activity-Based Costing<span> (ABC)
</span>Activity-Based Costing<span> (ABC) is being done by assigning the manufacturing cost in a more structural and logical manner.
By doing this, The company will be able to provide a more accurate asessment on the cost that incurred by providing a certain product/services.</span>
Answer:
d. investors corporations and governments raise funds by issuing new securities
Explanation:
The primary market is the market where for the first time the new securities such as shares, stocks, etc. are being sold to the public at large or we can refer initial public offer. The initial public offer is an illustration of the primary market.
In the other hand, the secondary market is that market in which the shares are bought or sold through the investors after selling to the general public. Like - New York Stock Exchange (NYSE), etc.
Answer:
The ending inventory is
Units Unit Cost Total
6 $6,35 $38,1
Explanation:
AVCO Perpetual chart is attached.
AVCO Perpetual chart shows purchases , sales and balance of each period. Highlighted you will find the balance at the end of every purchase or sale.
When you have a purchase: Use the following formula to get the weighted-average cost by unit:
(P₁*Q₁)+(P₂*Q₂)/(Q₁+Q₂)
P₁ and Q₁ are the balance from operation that you made before.
P₂ and Q₂ is the data of the new operation (new purchase)
When you have a sale: you only discount the Quantity and use the average cost by unit to get the final inventory.
The balance at the end of June is:
Units Unit Cost Total
6 $6,35 $38,1