Answer: B. reduces reported net income of the period but does not involve an outflow of cash for that period.
Explanation:
Depreciation is the wear and tear of an asset due to the use of the asset. When an asset is depreciated, such an asset is eventually sold at a scrap value.
The statement of cash flows (indirect method) reports depreciation expense as an addition to net income because depreciation reduces reported net income of the period but does not involve an outflow of cash for that period.
The devision agrees a transfer price between themselves. This price may not reflect opportunity cost by producing and selling products. Reflects bargaining prowess of individual mangers.
Answer:
a. Many countries in Europe and Asia were devastated after World War II and had to be rebuilt.
Explanation:
a) after WWII the US emerge as world leader taking the place of the UK and trade betwene Europe and Asia making post in the US improved global trade.
b) The postwar boom increased demand for product.
c) The cultural traditions did changge but not in that direction the world divided into Communinst and Capitalism
d) No, they weren't at all. Even Britain who didn't suffer land invasion has the south coast in ruins as a resutl of the aereal battle of brittian.
Answer:
1. $31,000
2. $40,000
Explanation:
1. Computation of bad debt expenses for the year
Bad debt expenses = Credit sales × Bad debts expenses
= $1,550,000 × 2%
= $31,000
2. Computation of year end balance
Year end balance = Beginning balance + Bad debt expense - Written off
= $31,000 + $31,000 - $22,000
= $40,000
Therefore for computing the bad debt expenses and year end balance we simply applied the above formula.
The answer is Inelastic Demand. Hope this helps!!!
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