Answer:
$143,600
Explanation:
Calculation for What is net income for 20X1 assuming the investment is short-term
Using this formula
Net income for 20X1 = Sales – Expenses + Unrealized gain on short-term investments
Let plug in the formula
Net income for 20X1 = $1,670,200 - $1,536,600 + $10,000
Net income for 20X1= $143,600
Therefore the net income for 20X1 assuming the investment is short-term will be $143,600
Answer:
Journal entry recording the interest
Debit Credit
Interest Expense $7,350
Cash $7,000
Interest Payable $350
As $7,000 is paid from the total expense of $7,350. Remaining interest of $350 is recorded as liability in interest payable account.
Answer:
The correct option is B: Decentralized decision making allows for greater flexibility in meeting customer needs.
Explanation:
The fact is that as organization tend to be more organic, the chain of command also become organic, and the decision making of such company becomes decentralized, which then allows for much more flexibility in meeting the needs of customers. Option A is wrong because centralized decision making involves placing stringent controls on the methods of doing work with a purpose of achieving economies of scale.
Answer: d. Liza faces economies of scale; Sam faces diseconomies of scale; Tina faces constant returns to scale
Explanation:
Economies of scale occurs when the increase in production by companies brings about a reduction in cost. Diseconomies of scale is when a rise in production leads to an increase in cost as well. For a constant return to scale, the cost remains the same.
Therefore, the answer will be option D "Liza faces economies of scale; Sam faces diseconomies of scale; Tina faces constant returns to scale".
1168000 + 50000 = 1218000
1218000 will be his estimated profit margin for the upcoming year.
I hope it helped you!
