Answer:
The closing process is necessary in order to confirm that net income or net loss and owner withdrawals for the period are closed into the owner's capital account.
Explanation:
Most economies around the world follow a specific accounting period which is commonly referred to as financial year or tax year. Before a new financial year begins, the accounts from the ongoing financial year have to be closed legitimately through a process called the 'closing process'. This process culminates in confirming that the net income secured or the net loss bore by the owner is included in no other account than the owner's capital account.
In order to carry out the closing process, the accountant has to commence with identifying the accounts that are required to be closed with or before the ending of the predefined financial period. He then has to record the last entries in these accounts as 'closing entries'. Once the accounts are closed, he has to calculate the trial balance and interpret the outcome. Closing of temporary accounts through a valid closing process dispenses the ease of calculating profit and loss in any given financial period coming to end.
Answer:
$13,290.89 and $15,734.26
Explanation:
In this question we have to use the Present value function which is shown on the attachment below:
In the first case
Provided that
Future value = $0
Rate of interest = 12% ÷ 12 months = 1%
NPER = 48 months
PMT = $350
The formula is shown below:
= PV(Rate;NPER;PMT;FV;type)
So, after solving this, the present value is $13,290.89
In the second case
Provided that
Future value = $0
Rate of interest = 12% ÷ 12 months = 1%
NPER = 60 months
PMT = $350
The formula is shown below:
= PV(Rate;NPER;PMT;FV;type)
So, after solving this, the present value is $15,734.26
Answer:
Variable Expenses
Desk $115,520
Chairs $19,040
Fixed cost
Budgeted $40,000
Under absorbed $1,800
Explanation:
Variable costs are those will vary will the change in sale or activity level e.g material cost, labor cost etc.
Fixed costs are those which remains fix and does not vary with the change in sale or activity level.
Answer:
Market Targeting
Explanation:
This is a process of identifying different segments of a market's attractiveness and identifying a particular one to enter.
It guides towards making the best decision at market selection stage ,that will be of a great value to the organization..
The two basic stages involved are evaluating the market and selecting market target segments and targeting strategy.
Size and growth , attractiveness ,income , accessibility and availability of resources are factors to be considered during the process
Answer:
An example of a product going through scarcity is when heavy rainfall and flooding destroy crops because of which their supply is decreased, and because of this shortage their prices sky rocket or increase very fast.
Explanation:
