Answer:
Journal Entry
Explanation:
The Journal Entry is shown below:-
Cash Dr, $150,000
To Unearned sales revenue $150,000
(Being receipt of cash in advance is recorded)
Therefore to record the inflow funds we debited cash and to record the liability/obligation to deliver such goods we credited unearned sales revenue.
What to produce
who for
how much to produce
Answer:
Accept the offer because it will generate incremental net income of $12,600
Explanation:
If Oak accepts the offer, its incremental revenue would be;
4,200 × $70 = $294,000
Its incremental cost would be ;
4,200 × $67 = $281,400
Incremental net net income for the order would be ;
$294,000 - $281,400 = $12,600. Accept the offer.
Answer:
I guess all of the above..Hope it helps:)