The answer is C, The method by which the business can be dissolved
The simplest way to explain what continuity factor is it's the assumption that a business organization will always able to operate.
But in the real world, businesses went down all the time, that's why the partners have to find out the method to dissolve the business if somehow the business goes under
Answer: ambiguous
Explanation:
The profit will be calculated by subtracting the total cost from the total revenue. i.e. Profit = Total revenue - Total cost.
To know the value of the economic profit, the price is required but based on the information given in the question, the price was not given as we were given only the cost. There, in this case, the answer will be "ambiguous" as we do not have all the information required to solve the question.
Answer:
Nancy will be able to deduct $70 points.
Explanation:
the deduction is allowed in the year of payment if the following requirements are met:
- your main home is the security for your loan
- cash method of accounting is used
- points are not paid out of borrowed funds.
if Nancy does not fulfill the requirements, then the points will be allowed to be deducted over the life of the loan..
Therefore, $3600 will be spread over 30 years, Nancy will be able to deduct $70 points.
Answer:
Variable manufacturing overhead spending variance= $2,000 favorable
Explanation:
<u>First, we need to calculate the predetermined overhead rate:</u>
<u></u>
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= 2,400,000 / 240,000
Predetermined manufacturing overhead rate= $10 per machine hour
<u>To calculate the variable overhead spending variance, we need to use the following formula:</u>
<u></u>
Variable manufacturing overhead spending variance= (standard rate - actual rate)* actual quantity
Variable manufacturing overhead spending variance= (15 - 214,000/21,600)*21,600
Variable manufacturing overhead spending variance= $2,000 favorable
Answer:
Expenditures-2020 in the amount of $200
Explanation:
General fund supplies made last year were an estimated amount of $2000 was spent. So for last year there would have been a debit and credit leg for this transaction as.
In the present year 2020 it was received at an actual cost of $2,200. The excess cost (2,200-2,000= $200) must be recognised.
So the debit is passed into expenditures for this year 2020 for amount $200.
