Answer:
D. Estimated Warranty Payable 1,500
Merchandise Inventory 1,500
When the Warranty is honored, the Estimated Warranty account is debited to show the claiming of the expense.
The relevant asset account which in this case is Merchandise inventory is credited to show that it's reduction.
Pricing discrimination is a strategy in pricing which
charges customers with different prices for the same service or product. The
seller charges every customer with the maximum price the customer is willing to
pay. The seller groups its customers basing on their attributes and
characteristics as buyers.
The variable cost for a company that makes bread is : Bread ingredients.
The answer would be : <span>disbursement float.
Hope this helps !
Photon</span>
Answer:
$9,240
Explanation:
Calculation to Estimate the company's net operating income for May, assuming that the fixed monthly expenses do not change
Using this formula
Net operating income = (CM ratio × Sales) - Fixed expenses
Let plug in the formula
Net operating income= (0.58× $178,000) - $94,000
Net operating income= $103,240 - $94,000
Net operating income= $9,240
Therefore the company's net operating income for May, assuming that the fixed monthly expenses do not change is $9,240
