The acronym for the formula to find the inflation rate, [(New Price - Original Price)/Original Price] (100) is <u>B. NOO</u>.
<h3>What is the inflation rate?</h3>
The inflation rate is the rate of increase in prices from one period of time to the next.
In the United States, the Consumer Price Index (CPI) is often used to gauge inflation.
Thus, the acronym for the formula to find the inflation rate, [(New Price - Original Price)/Original Price] (100) is <u>B. NOO</u>.
Learn more about inflation at brainly.com/question/1082634
Answer and Explanation:
The journal entries are shown below:
On Oct 1
Rent expense Dr $30,000
to cash $30,000
(being cash paid)
Here rent expense is debited as it increased the expense and credited the cash as it decreased the assets
On Dec 31
Rent expense Dr ($30,000 × 9 ÷ 12) $22,500
To prepaid rent $22,500
(being rent expense is recorded)
Here ent expense is debited as it increased the expense and credited the prepaid rent as it decreased the assets
Answer and Explanation:
The computation is shown below:
a. The receivables Turnover Ratio and Inventory Turnover Ratio is
receivables Turnover Ratio is
= Net credit sales ÷ average account receivable
= $86,000 ÷ ($6,500 + $6,900) ÷ 2
= $86,000 ÷ $6700
= 12.84 times
Inventory turnover ratio is
= Cost of goods sold ÷ average account receivable
= ($86,000 × (1 - 49.8%) ÷ ($7,280 + $7,300) ÷ 2
= $43,172 ÷ $7,290
= 5.92 times
b. The average days to collect receivables and inventory is
For receivables
= 365 ÷ 12.84 times
= 28.43 days
For inventory
= 365 ÷ 5.92
= 61.66 days
Answer:
enter into a joint venture.
Explanation:
Based on the information provided within the question it can be said that the company's best option in this scenario would be to enter into a joint venture. This term refers to a business arrangement where various parties agree to combine all of their resources (including personnel) in order to achieve the same goal. Which would benefit the metal fabrication company since the partner company would provide the knowledge and experience of the host country market and they would in term provide more resources to the partnership.
Answer:
See below
Explanation:
<u>1. How revenue affects Profits</u>
Revenue is income that a business receives selling its products or from the services it provides. Income from other sources such as win in lawsuits is also revenue.
A business with high revenue is more profitable than a company with low income. For a business to make profits, its revenues must exceed its total expenditure. Profit is total income minus expenses. After the breakeven, extra sales contribute to profits. The more the sales, the higher the profits. Low revenue makes low profits.
<u>2. How do expenses affect profit?</u>
Expenses are costs incurred by a business in its productions and sales processes. Service providers incur expenses as they provide services to customers.
Expenses have a direct impact on profits. High costs may result in losses. Profits are realized after deducting expenses from revenues.
If the expenses are high, then profits will be minimal. Low expenses will result in high profits.
