Answer:
Because of the existence of advanced forecasting techniques, capital budgeting is based on precise estimates of future events.
Explanation:
Capital budgeting is the process of identifying, evaluating, selecting, and controlling long-term investment projects and it involves estimating the revenues and costs of each proposed project, evaluating their merits, and choosing those worthy of investment.
Capital budgeting uses after-tax cash flows in the analysis of proposed investments.
Thus, the basic objective underlying capital budgeting is to select assets that will earn a satisfactory return.
Answer:
COGS= $81,770
Explanation:
Giving the following information:
Beginning inventory= 477 units that cost $65 each.
Purchases:
715 units at $68 each
364 units at $70 each.
Units sold= 1,197
<u>To calculate the cost of goods sold under the LIFO (last-in, first-out) method, we need to use the cost of the lasts units incorporated into inventory:</u>
COGS= 364*70 + 715*68 + 118*65
COGS= $81,770
A study of supply and demand conditions in the market for orange juice lies primarily within the realm of microeconomics.
<h3><u>
Explanation:</u></h3>
Micro economics is the field of study that deals with the choices that are made by individuals. It deals with study of how the decisions are made by individuals, household and companies regarding the utilization of resources. It always deals with the markets that are associated with the good and services and also with the economic issues associated with individuals.
Adam Smith is the father of micro economics. In the examples given, A study of supply and demand conditions in the market for orange juice is an example of the micro economics. This is because, it deals with the supply and demand conditions in the market of the orange juice that are consumed by individuals.
Answer:
<u>Spotlighter Inc.</u>
<u>Classified Balance Sheet as at January 31</u>
ASSETS
Equipment $2,600
Supplies ($1,100 + $1,500) $2,600
Cash ($5,540 + $6,230 - $1,000 - $1,100) $9,670
TOTAL ASSETS $14,870
EQUITY AND LIABILITIES
LIABILITIES
Accounts Payable $1,500
Bank note $5,540
Note Payable $1,600
TOTAL LIABILITIES $8,640
EQUITY
Common Stock $6,230
TOTAL EQUITY $6,230
TOTAL EQUITY AND LIABILITIES $14,870
Explanation:
A Balance Sheet shows the Assets, Liabilities and Equity existing at the Reporting Date.
The balance sheet above was prepared through the following steps
Step 1 : Identify the Accounts Affected by the transactions
Step 2: Classify the Accounts Affected in into Assets, Liabilities and Equity
Step 3: Record in the classified balance sheet
Answer:
The correct option is C
Explanation:
Closed end fund is the fund which is of pooled assets and increases or raise the fixed amount of capital by the procedure of IPO (stands for Initial Public Offering) and then the shares are listed for the purpose of trade on the stock exchange.
When the investors wish to liquidate (means cash), the holdings in fund which is closed end, might sell the shares on the secondary market or open market.