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3 years ago

This problem has been solved!

Business

1 answer:

andreyandreev [35.5K]3 years ago

4 0

Answer:

Explanation:

In the income statement, the total revenues and the total expenses are recorded.

If the total revenues are more than the total expenditure then the company earns net income

And, If the total revenues are less than the total expenditure then the company have a net loss

This net income or net loss would reflect in the statement of the retained earning account.

The net sales would be = Sales revenue - sales discount - sales return and allowances

= $39,000 - $1,950 - $1,755

= $35,295

The preparation of the income statement is presented in the spreadsheet. Kindly find the attachment below:

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All else the same, if a bank's liabilities are more sensitive to interest rate fluctuations than are its assets, then ________ i

Bad White [126]

Answer:

A) an increase; reduce

Explanation:

All else the same ,if a bank liabilities are more sensitive to interest rate fluctuations than are its assets, then an increase in interest rates will reduce bank profits.

A bank is said to be sensitive towards to interest rates means that the bank revalue its liabilities on the basis of the change in the interest rates. Thus if the interest rates increases it means the liabilities of the bank has increased on which the bank is liable to pay higher interest which will automatically reduce the bank profits as the interest payable by the bank is an expense for the bank.

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3 years ago

Target profit a.are when sales and costs are exactly equal. b.can be calculated by modifying the break-even equation. c.equals d

Irina-Kira [14]

Answer:

b. can be calculated by modifying the break-even equation.

Explanation:

As the name implies, target profit can be explained to be the certain amount a business enterprise or a business organisation targets to hit at the end of its sales or at the end of her business dealings.

It can be easily seen in a cash flow planning as it is once modified to approximate cash flow, and also used for revealing expected results to investors and lenders. In all that it is been used for, in the scenario above, it also can be calculated by modifying the break-even equation, and deriving more conservative budgeting packages in business development too.

Adjust the contribution margin per unit and units sold based on an expected sales promotion.

Alter the fixed cost total and the contribution margin per unit for the effects of outsourcing production.

Alter the contribution margin for the effects of changing to a just-in-time production system.

If there is continually a large unfavorable variance between the target and actual profit, it may be necessary to examine the system used to derive the target profit,

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3 years ago

Garcia Co. owns equipment that cost $81,600, with accumulated depreciation of $43,200. Garcia sells the equipment for cash. Reco

Tema [17]

Answer:

1. Cash Debit $ 47,000

Accumulated Depreciation equipment Debit $ 40,800

Gain on sale of equipment Credit $ 11,000

Equipment Credit $ 76,800

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2. Cash Debit $ 36,000

Accumulated Depreciation equipment Debit $ 40,800

Equipment Credit $ 76,800

To record sale of equipment for $ 36,000

3. Cash Debit $ 31,000

Accumulated Depreciation equipment Debit $ 40,800

Loss on sale of equipment Debit $ 5,000

Equipment Credit $ 76,800

To record sale of equipment for $ 31,000 and loss on sale of $ 5,000

Explanation:

Computation of net book value

Cost of equipment $ 76,800

Less: Accumulated depreciation $ 40,800

Net book value $ 36,000

In first step where the equipment is sold of $ 47,000, the differential between the sale value and the net book value is the gain on sale and is credited in the accounting entry.

In the second step, where the equipment is sold for $ 36,000, the sale proceeds is exactly equal to the net book value and no gain or loss is recorded.

In the third step, the equipment is sold for $ 31,000 and the differential between the net book value and the sale proceeds is a loss and recorded as a debit in the accounting entry

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3 years ago

Brian is a 25% partner in the BC Partnership. On January 1, BC distributes $20,000 cash and land with a $16,000 fair value (insi

pentagon [3]

Answer:

The amount is $4,000 and Brain character reflects the capital gain.

Explanation:

Partnership: In partnership, there are two or more partners who are ready to share the profit or losses in their profit-loss sharing ratio.

The computation is shown below:

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Since the brain basis show excess amount than inside basis which reflects the capital gain .

The inside basis is not relevant in the computation part. Hence, it is ignored.

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3 years ago

3. Using the business idea you chose in Assignment 6, write a mission statement, vision statement, and list of 3-5 company value

shusha [124]

Answer:

<em>A mission statement is usually disseminated internally. While the company vision is future-focused, the mission combines forward thinking with present goals.</em>

Explanation:

1. Life is Good: To spread the power of optimism

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3 years ago