Answer:
Option (a) is correct.
Explanation:
Given that,
Sales = $700,000
Beginning total assets = $240,000
Ending total assets = $280,000
The asset turnover ratio refers to the ratio of sales to the average total assets.
Average total assets:
= (Beginning total assets + Ending total assets) ÷ 2
= ($240,000 + $280,000) ÷ 2
= $260,000
Therefore, the asset turnover ratio is as follows:
= Sales ÷ Average total assets
= $700,000 ÷ $260,000
= 2.69
Answer:
The special order should be : Accepted
Explanation:
<u>Analysis of whether or not to accept special order</u>
Revenues (3,000 x $25) $75,000
Less Variable expenses :
Costs - Manufacturing (3,000 x $20) ($60,000)
Shipping (3,000 x $3) ($9,000)
Net Income $6,000
Conclusion :
Since Net Income has increased by $6,000 as a result of special order, it should be accepted
Answer:
Please refer to the below for the appropriate journal entry
Explanation:
Accounts receivable Dr $726,700
($676,000 + $50,700)
Sales revenue account Cr $676,000
Sale taxes payable account Cr $50,700
{(6% + 1.5%) × $676,000
Answer:
c. identification of the basic appeal for markets
Explanation:
As John is an inexperienced businessman and wants to sell his Zulu doll product, a toy for children who have less than 8 years in every part of the world and want to keep the cost low
So first thing he should do is feasible study whether his product is feasible or not and then identify the market with respect to the price, quality, competitors, etc so that he get a good idea
