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Neporo4naja [7]
3 years ago
7

A company’s activities for Year 2 included the following: Gross sales $3,600,000 Cost of goods sold 1,200,000 Selling and admini

strative expense 500,000 Adjustment for a prior-year understatement of amortization expense 59,000 Sales returns 34,000 Gain on sale of available-for-sale securities 8,000 Gain on disposal of a discontinued business segment 4,000 Unrealized gain on available-for-sale securities 2,000 The company has a 30% effective income tax rate. What is the company’s net income for Year 2?
A. $1,267,700
B. $1,273,300
C. $1,314,600
D. $1,316,000
Business
1 answer:
hichkok12 [17]3 years ago
3 0

Answer: Option (B) is correct.

Explanation:

Net sales = Gross sales - Sale return

                = $3,600,000 - 34,000

                = $3,566,000

Gross profit = Net sales - COGS

                    = $3,566,000 - $1,200,000

                    = $2,366,000

Total Income = Gross profit  - S& A expense - Prior period expense + Gain on sale of securities + Gain on disposal of business segment

                      = $2,366,000  - $500,000 - $59,000 + $8,000 + $4,000

                      = $1,819,000

Net Income for Year 2 = Total Income - [email protected]%

                                      = $1,819,000 - $545,700

                                      = $1,273,300

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Answer:

The correct answer is predatory pricing.

Explanation:

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3 years ago
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Besides their own team accounts, sales managers at Universal Containers need to have READ access to all accounts of the same seg
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<u>Available Options Are:</u>

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C. Create criteria-based sharing rules to grant access to account records that have the same segment to all sales manager roles.

D. Create a public group and include all accounts of the same segment and grant access through a permission set.

Answer:

Option A. Create an owner-based sharing rule to grant access to account records that have the same segment to all sales manager roles

Explanation:

This owner based sharing will allow the sales manager to access information but he will not be able to alter information which gives a right to access information only. This sharing of information will resolve the sales manager concern and will also him and other sales manager to use this information to make informed decisions. Hence Option A is correct.

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Option C is also incorrect because allowing access on meeting certain criteria would result in restriction of data. Thus it is not the solution.

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The Journal entry is given below:

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