Answer: The newly created firms is able to take advantage of economies of scale.
Explanation:
A merger is an agreement whereby two companies come together and pool their resources together in order to form one company and achieve same organizational goals.
One main reason why companies merge together is in order to achieve economies of scale. This is the reduction in cost as a result of the expansion and increase in production level.
Answer:
Option (B) is correct.
Explanation:
Total cash collections in June:
= Cash sales + (62 percent of June credit sales) + (30 percent of May credit sales) + (5 percent of April credit sales)
= $60,000 + ($51,000 × 0.62) + ($37,000 × 0.30) + ($11,000 × 0.05)
= $103,270
Therefore, the total cash collections in June at Feeney Furniture is $103,270.
Answer:
d) credit to Paid-in Capital from Treasury Stock for $30,000
Explanation:
The entry for profit in sale of treasury stock is as computed below
Account Details Debit Credit
Cash (5000*20) $100,000
To treasury stock (5000*14) $70,000
To Additional paid in capital (5000*6) $30,000
Answer:
- <u><em>$19,591.63</em></u>
Explanation:
<u />
<u>1. Calculate the price of the car in a year from now.</u>
This is add the 4% on the current price:
<u />
<u>2. Calculate the amount of money that must be put aside to have $20,800 in a year:</u>
<u />
Use the formula of monthly compound interest, with 6% annual interest
- r = 6% / 12 = 0.06/12 = 0.05
- P = $20,800 / (1 + 0.005)¹² = $19,591.63
Answer:
84.29%
Explanation:
Quarterly tax revenue collected = $70 billion
Thus,
annual tax revenue collected = $70 billion × 4
= $280 billion
Total amount allocated = $15 billion + $29 billion
= $44 billion
Therefore,
Percentage of annual tax revenue allocated
= [ $44 billion ÷ $280 billion ] × 100%
= 15.71%
Hence,
Percentage of its total annual tax revenue is left for allocation to the remaining categories of government spending
= 100% - 15.71%
= 84.29%