Answer: Option b
Explanation: In simple words, it refers to an arrangement under which one entity allows the other entity to use its procedures and brand name for the business in return of any loyalty or other such benefits.
In the given case, Gerald wants to operate his business globally and not eager to control all of it.
Hence from the above we can conclude that franchising is the best option for Gerald.
Answer:
A factor
Explanation:
A factor is the cost per thousand that is required to create the principal and interest payment necessary to pay off a loan.
Answer:
e. None of these.
Explanation:
John's expenses on the trip;
Air fare = $3,200
Lodging = $900
Meals = $800
Entertainment = $600
Of all the expenses incurred by John, only the expense on entertainment is a non-deductible expense. A such,
Total deductible expense = $3,200 + $900 + $800
= $4,900
Hence, the right option is e. None of these.
Answer:
15 July Debit Bank $10,000; Credit Sales revenue $9,600 and Credit Sales tax payable $400
15 July Debit Cost of goods sold $5,000; Credit Inventory $5,000
1 August Debit Sales tax payable $400; Credit Bank $400
Explanation:
15 July Debit Bank $10,000; Credit Sales revenue $9,600 and Credit Sales tax payable $400
15 July Debit Cost of goods sold $5,000; Credit Inventory $5,000
1 August Debit Sales tax payable $400; Credit Bank $400
The sales tax expense of $400 ($10,000 * 4%) is a liability to the company as it has to pay it over to government thus it cannot be recorded as sales revenue income. At the date of sale we recognize a sales tax payable liability of the amount that we would have to pay over to the government for that particular sale
Answer:
A. 0.684
Explanation:
A seasonal index refers to an index that is used to compare the value for a particular period with the average value of all periods.
The purpose of using a seasonal index is to show the relationship between the two values, and the degree to which the two values are different.
The seasonal index can be calculated as the latest value for a period divided by the average of all periods. Therefore, we have:
Seasonal index for July = Latest value for July / Average demand over all months = 130 / 190 = 0.684.
Therefore, he approximate seasonal index for July is 0.684.