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Mekhanik [1.2K]
4 years ago
5

Sally’s Dress Shop, Inc. reports operating income of $200,000 and interest expense of $18,000. The average common stockholders’

equity during the year was $20,000. The beginning assets balance is $80,000 and ending assets balance is $120,000. What is the leverage ratio? (Round y
Business
1 answer:
Sphinxa [80]4 years ago
7 0

Answer:

5

Explanation:

Given that,

Beginning assets = $80,000

Ending asset = $120,000

Operating income = $200,000

Interest expense = $18,000

Average common stockholders’ equity = $20,000

Average total assets:

= (Beginning assets + ending asset) ÷ 2

= ($80,000 + $120,000) ÷ 2

= $100,000

Leverage ratio:

= Average total assets ÷ Average common stockholders' equity

= $100,000  ÷ $20,000

= 5

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During June, Buttrey Corporation incurred $73,000 of direct labor costs and $13,000 of indirect labor costs. The journal entry t
QveST [7]

Answer:

                                                            Dr.             Cr.

Work in process                             $73,000

Manufacturing overhead                $13,000

Account Payable                                              $86,000

Explanation:

The Direct cost are those which are directly attributable to the product or service under consideration. Indirect cost are those which cannot be directly assigned to product or service cost. All the direct cost is added to the work in process account and indirect cost are included in the manufacturing overhead account.

4 0
3 years ago
Sue bought a copy of her credit report, and found incorrect information in it. she can:________
Helen [10]

Sue bought a copy of her credit report and found incorrect information in it. she can request that the credit bureau correct her credit report

A credit report is a statement that provides information about your credit activity and current credit situation, such as: B. Loan payment history and credit account status. Sep 1, 2020

Loan repayments, available credit, monthly debt amounts, and other types of information help prospective lenders determine whether credit risk is high or low.

credit report is a record of a borrower's responsible debt repayment. A credit report is a record of a borrower's credit history from various sources such as banks, credit card companies, collection agencies, and governments.

Learn more about credit reports here: brainly.com/question/9913263

#SPJ4

8 0
1 year ago
Sellers of a good bear the larger share of the tax burden when a tax is placed on a product for whicha.the supply is more elasti
Roman55 [17]

Answer:

B. The demand is more elastic than supply .

Explanation:

Demand & supply are buyers & sellers ability , willingness to buy & sell respectively .

Elasticity means responsiveness of demand & supply to prices.

'Tax burden' can be forwarded / shared only in case of Indirect taxes , whose burden & incidence lie on different people.

The burden falls on the party (consumers / suppliers) whose market element (demand / supply) is inelastic i.e less responsive to prices.

So , if sellers are bearing larger burden : It means demand is relatively elastic & supply is relatively inelastic.

6 0
3 years ago
The diagram shows the three-step process by which economic policy is created.
kifflom [539]
In building a sustainable economy, there are three-step process that should be followed :

First , Shift towards a new business model that generate a shared value

Second,  Create Assets' ownership structures

Third,  involves indicators that indicate progress, such as social and health indicators
8 0
3 years ago
Suppose the market for smoothies is supplied by 11 competitors. Their respective market shares are 40%, 20%, 10%, 5%, 5%, 5%, 4%
S_A_V [24]

Answer:

0.75

Explanation:

Four firm concentration: Share of four firms / Total market share

Four firm share: 40 + 20+10+5

= 75

CR = 75/100

= 0.75 or 75 %

6 0
4 years ago
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