Well, based on the problem, it seems that after that one year of having a large volume of sales, you probably became complacent and noticed that you have less orders. So I would say that you probably failed to continue your marketing efforts. it is very important for a company to always continue their marketing efforts because it is through the marketing efforts that they will be able to bring in sales. if you stop your marketing efforts even for a bit, you will see that there is a decline in sales.
Process costing is an accounting methodology that traces and accumulates direct costs, and allocates indirect costs of a manufacturing process. Costs are assigned to products, usually in a large batch, which might include an entire month's production.
Answer:
Cash flow from operating activities = $1,000
Explanation:
Statement of Cash flow
<u>Cash from Operating activities</u>
Net Income $3,000
+ Depreciation $2,000
+ Loss from sales of PPE $1,000
<u><em>Adjustment on Working capital</em></u>
Increase in accounts receivables -$4,000
(1,000 - 5,000)
Decrease in Inventory $1,000
(5,000 - 4,000)
Decrease in Account payable -$1,000
(4,000 - 5,000)
Decrease in unearned revenue <u>-$1,000</u>
(1,000 - 2,000)
Cash flow from operating activities <u>$1,000</u>
Answer:
a. .938 If the exchange rate is less than this, it costs more dollars to buy a tall latte in the U.S. than in the Euro area.
Explanation:
We can see in the example that the Euro is cheaper than the dollar in purchasing-power parity. More specifically, the exchange rate is .938 euros per dollar.
This is why it is more expensive to buy a tall latte in the U.S. than in Europe. The Euro is cheaper.
