Answer:
$28,000
Explanation:
When closing inventory is understated during an year, it would lead to understated profits during the year i.e understated net income for the year 2018.
So, correct pre tax income for 2018 would be,
= reported pre tax income + the amount by which closing inventory was understated
= $25,000 + $2000 = $27000
Now, since the same closing inventory would become the opening inventory for 2019, this means, the opening inventory for 2019 was understated.
When opening inventory is understated, it would lead to inflated net income for the year 2019. Thus, the extent by which the inventory has been understated has to be reduced from the reported pre tax profits for the year 2019.
Hence, correct pre tax income for 2019 would be,
= $30,000 - $2000 = $28000
Answer:
micropreneur
Explanation:
Based on the information provided within the question it is apparent that Allison Logue is an example of a micropreneur. This term refers to any entrepreneur that decides to create and manage a very small business as well as undertaking all the benefits and risk associated with it. These small businesses allow the owner to follow a very strict design and also have a balanced life outside business as it does not require as much time investment as bigger business'.
I hope this answered your question. If you have any more questions feel free to ask away at Brainly.
Debit withdrawals; credit cash is the correct answer.
<h3>What are drawings in accounting?</h3>
- A drawing bank is not in and of itself a bank account.
- Drawing in accounts are the records kept by a company owner or auditor that show how much cash has been taken by business owners.
- These are transfers made for personal use rather than for the profit of the business, yet they are governed in a way that employee earnings are not.
- Because these transfers must be offset against the owner's equity, accurate records must be maintained.
- A separate drawings directly deals with it simpler to keep track of these actions and balance the books at the conclusion of every fiscal year when you need to know how to end your drawings account.
learn more about drawing account refer:
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Answer:
$100,000
Explanation:
The computation of the amount of dollars that suggested for free up the cash management system is shown below:
= Average collection period × current average collections per day
= 2 days × $50,000
= $100,000
We simply applied the above formula so that the correct amount could come and the same is to be applied
Answer:
Marginal product
Explanation:
There would be an increase in the marginal product of labour. more workers would result in more specialization in skilled areas. As workers increase, it is expected that work done would rise also.
Such that a time would come when the workers would be enough and no more gains would be accrued from specialization. We refer to this as the point of diminishing marginal product. capital would be fixed such that as more workers are used capital declines for each worker.
