Available Options:
a. an expired contract when Neil said that he had changed his mind.
b. a bilateral contract when Neil said that he would pay for certain work.
c. a unilateral contract as soon as Outdoor began to perform.
d. no contract.
Answer:
Option C. A unilateral contract as soon as Outdoor began to perform.
Explanation:
In a unilateral contract, the acceptance of the contract is only based on the performing of the contract.
The term of the offer includes that the acceptance would be considered if the other party completes the contract which in this case, we can see that the Outdoor Inc has started performing the contract and by the end of Friday, would probably finish its task. If Neil breaches the contract here, then he would be liable to compensate Outdoor as the contract was unilateral.
Answer:
1. Yes; Journal entry
2. Debit- Printing & Stationery Expense $160 (value for 8 boxes)
Credit- Cost of goods sold or Trading account A/c $160
3. Leaves to the cost of goods sold account
Explanation to:
1. Mackalaya used inventory. Remember, inventory is a term used to refer to all the merchandise (goods or products) a company has at the moment in stock.
2. The Journal entry to be made would be
Debit- Printing & Stationery Expense $160 and Credit this value to Cost of goods sold or Trading account A/c section of the Journal entry.
3. Remember, the cost of goods sold cares for all inventory sales, therefore it would be credited with value of the inventory item sold by the company.
Answer: See explanation
Explanation:
a. The actual direct labor rate per hour will be:
= Standard direct labor rate per hour - favorable labor rate variance
= $11 - $0.40
= $10.60
Then, the actual direct labor hours worked during July will be calculated as:
= (5910 × $11) - $350 / $10.6
= ($65010 - $350) / $10.6
= $64660 / $10.6
= 6100
b. The direct labor rate variance will be:
= (Actual rate per hour - standard rate per hour) × Actual labor hours
= (10.60 - 11.00) × 6100
= 2440F
Direct labor efficiency variance will be:
= (6900 - 5910) × $11
= 2090U
The direct labor rate variance that was favorable shows that the manager paid a lower rate to its staffs while the direct labor efficiency variance that was unfavorable implies that the manager used less efficient workers. This indicates that a trade-off took place.
= (6900
Answer: D. Tim’s income level increases the more he works.
Explanation:
Tim's income for the year = Salary from working + Welfare
Lets say Tim works <u>200 hours</u> in a year.
His salary will be:
= 8 * 200 hours
= $1,600
Welfare:
70 cents off for every $1 so the amount they will deduct from Welfare is:
= 0.7 * 1,600
= $1,120
They will deduct this amount from the welfare of $15,000 and give Tim the rest.
Total income = 1,600 + (15,000 - 1,120)
= $15,480
Lets say Tim works <u>500 hours</u> a year.
Salary is:
= 500 * 8
= $4,000
Amount to be deducted for welfare:
= 0.7 * 4,000
= $2,800
Total income:
= 4,000 + (15,000 - 4,000)
= $16,200
Notice how the income goes up as Tim works more. This policy therefore provides a monetary incentive to work harder.
To find the price, a monopolist looks at the price demanded at the chosen quantity.<span>Monopolist tend already obtained a complete control on a certain type of product in the market. Because of this, in order to seek a price for their product, they just need to see how much customers are able to pay without considering other factors such as competitors and cash reserves</span>