Answer:
a. Profit(loss) = Total revenue - Total expenses
= 131,000 - 90,500
= $41,000
The company did in fact generate<u> profit of $41,000 </u>and this can be shown from the Income Statement which is where profit or loss is calculated.
b. A company uses its assets to pay off its liabilities so if the liabilities are less than the assets then the company is capable of paying off its liabilities:
Assets = Cash + Accounts Receivable + Supplies
= 30,800 + 25,300 + 40,700
= $96,800
Liabilities are just the Accounts Payable of $25,700.
<em>Liabilities are less than Assets so Miami Music does indeed have sufficient resources to pay its liabilities. </em>
This information comes from the <u>Balance Sheet</u> which is where assets and liabilities are shown.
I believe it would require one year in the military.
Answer:
A: $1,475,000
Explanation:
The computation of the overhead applied is shown below:
But before that first determine the predetermined overhead rate which is
= Estimated annual overhead cost ÷ Estimated machine hours
= $1,500,000 ÷ 300,000
= $5
Now the applied overhead is
= Predetermined overhead rate × Actual machine hours
= $5 × 295,000
= $1,475,000
Answer:
58,333.33
Explanation:
Opportunity cost is the value of the next best alternative. It is the forgone benefits as a result of choosing one option over the others. Opportunity cost occurs due to the scarcity of resources that forces people to make choices. The value of the sacrificed option is the opportunity cost.
If the cost of constructing a new home is 120,000, the opportunity cost of one house equals the next best alternative of spending the 120,000. With a budget of 7 billion, the opportunity cost of spending 7 billion will be 7 billion divided by 120,000.
=7,000,000,000/120,000
=58,333.33
