1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Olin [163]
3 years ago
15

When estimating income, it is better to be:

Business
1 answer:
eimsori [14]3 years ago
5 0

Answer:

When estimating income according to the prudency concept, we are to underestimate income or revenue and over estimate cost or expenses

Explanation:

You might be interested in
The truck was the only asset purchased during the year. Which of the following statements is correct regarding the depreciation
quester [9]

The following statements is correct regarding the depreciation that can be taken on the truck is the business will deduct one-half of a full year's depreciation on the truck in the current year.

Depreciation is the system of deducting the fee of a enterprise asset over a protracted length of time, in place of over the direction of 1 year. There are 4 principal techniques of depreciation: immediately line, double declining, sum of the years' digits and gadgets of production.

An enterprise is described as an enterprise or enterprising entity engaged in commercial, industrial, or expert activities. Businesses may be for-earnings entities or non-earnings organizations. Business sorts variety from restrained legal responsibility groups to sole proprietorships, corporations, and partnerships.

Learn more about Depreciation here:

brainly.com/question/29524602

#SPJ4

4 0
1 year ago
Cor-Eng Partnership was formed on January 2, 20X1. Under the partnership agreement, each partner has an equal initial capital ba
hjlf

Answer:

$20,000

Explanation:

The problem simply asks for Eng's initial capital balance in Cor-Eng partnership and it is just Eng's <u>contributed cash of $2,000</u> to form the partnership.

No need to dwell on the other amounts. Just focus on what was being asked and you'll not get lost ^_^

8 0
3 years ago
Ram Company's after-tax net income was $120. Their interest paid was $50. Assuming the corporate tax is 40%, what is Ram Company
Nataliya [291]

Answer:

5

Explanation:

The formula to compute the interest coverage ratio is shown below:

= (Earning before tax + interest expense) ÷ (interest expense)

where,

Earning before tax equal to

= Net income ÷ (1 - tax rate)

= $120 ÷ (1 - 0.40)

= $200

And interest expense is $50

So, the interest coverage ratio equal to

= ($200 + $50) ÷ ($50)

= 5

4 0
3 years ago
On july 1, rainbow painting service borrows money from eighth national bank on a 8-month, $40,000, 5% note. interest and princip
Kobotan [32]
Given:
July 1 borrowed money from eight national bank on 8-month, 40,000, 5% note.
Interest and principal is all due on February 28 
No journal entries were made. 

Recognizing cash and notes payable.
                               Debit     Credit
Cash                      40,000
  Notes Payable                   40,000

Interest on Notes payable
Interest Expense      1,333
   Interest Payable                   1,333

Recognizing interest owed but not yet paid.

40,000 * 5% * 8/12 = 1,333

On February:
Notes Payable       40,000
Interest Payable       1,333
    Cash                                 41,333
4 0
3 years ago
The Nelson Company's radio division currently is purchasing transistors from the Charlotte Co. for $3.50 each. The total number
8_murik_8 [283]

Answer:

The correct answer is C.

Explanation:

Giving the following information:

The Nelson Company's radio division currently is purchasing transistors from the Charlotte Co. for $3.50 each. The total number of transistors needed is 8,000 per month. Nelson Company's electronics division can produce the transistors for a cost of $4.00 each and they have plenty of capacity to manufacture the units. The $4 is made up of $3.25 in variable costs, and $0.75 in allocated fixed costs.

Because there is unused capacity, we will not have into account the fixed costs.

Unitary cost= $3.25

It is more convenient to produce in house. The indifference price is $3.50.

6 0
3 years ago
Other questions:
  • "Wouldn't it be great if we could get food delivered?" is an example of coming up with a business idea based on what?
    14·2 answers
  • Which would you trade on a stock exchange?<br> A) shares<br> B) bonds<br> C) annuities
    12·2 answers
  • A monopolist's profits with price discrimination will be Select one: a. lower than if the firm charged a single, profit-maximizi
    8·1 answer
  • The Plastics Division of Weston Company manufactures plastic molds and then sells them for $70 per unit. Its variable cost is $3
    9·1 answer
  • The calculation of WACC involves calculating the weighted average of the required rates of return on debt, preferred stock, and
    13·1 answer
  • Miranda Company borrowed $125,000 cash on September 1, 2019, and signed a one-year 5%, interest-bearing note payable. Assume no
    11·1 answer
  • Glubert Corp., an adhesive manufacturing company, makes a deal with an insurance company to provide its employees with life insu
    13·1 answer
  • Once you graduate from a college or university, you have to pay a fee to take advantage of their career services. False True
    14·1 answer
  • On May 20, White Repan Service extended an offer of $108,000 for land that had been priced for sale at $140,000 On May 30 White
    7·1 answer
  • Schedule of cash payments for a service company Horizon Financial Inc. was organized on February 28. Projected selling and admin
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!