Answer:
Inflation;National Banking Act ;Panic of 1907
Explanation:
What economic challenge did the newly formed American federal government face? Inflation
Which act created nationally chartered banks and circulated notes backed by the federal government? National Banking Act was pass during the Civil War, it was created so as to provide for nationally chartered banks, whose circulating notes had to be backed by U.S. government
What economic event led to the creation of the Federal Reserve? Panic of 1907 resulted in the creation of Federal Reserve by the Congress due the wreaked havoc on the fragile banking system at that time
Answer: $300,000
Explanation:
Total expected costs = cost incurred to date + estimated cost to complete
= 1,200,000 + 3,600,000
= 4,800,000
= 0.25
= 25%
Profit = contract revenue - Total expected costs
= $6,000,000 - 4,800,000
= $1,200,000
Cumulative gross profit = Profit × Percentage of completion
= $1,200,000 × 0.25
= $300,000
Therefore, Red Builders should have recognized profit at the end of year 1 in the amount of $300,000.
Answer:
Yes, because the corporation remains liable to the owner under the contract
Explanation:
The above answer is true because in this case, there is no limit to the assignment of the contractual rights between the two parties, hence this assignment of a contract would be treated as both an assignment of rights and a delegation of duties.
Therefore, while the corporation in this case has delegated its duties and assigned its rights under the contract to the developer by assigning the contract to the developer, the corporation is still considered to be liable to the owner for payment of the purchase price.
And given the fact that the developer is not as creditworthy as the corporation, and thus there is a greater chance that the developer will be unable to pay the purchase price, the owner has the rights under the contract arrangement to contractually compel the corporation to do so.
Answer:
The correct answer is B
Explanation:
The company’s cash flow from operating activities for the year 2019 is computed as follows;
Net income $200,000
Add:
Depreciation 35,000
Amortization of patent 10,000
loss on the sale of equipment 5,000
Total cash provided by operating activities $250,000
*Depreciation expense, amortization expense and loss on sale on equipment are all non cash transaction which cause a decrease on net income. Thus if we want to know the actual cash activities for the year, we have to add it back to the Net income to arrive the correct answer.
