The entry for this transaction would be this:
Land 1,827,000
Ordinary shares 1,827,000
#
<span>The market value of the shares on </span>this transaction<span> does not affect the recording of this transaction. If the share has no par value, the stated value should be used. Stated value is a value assigned by the company to its stock for the purpose of accounting and it does not have any relation with the market value of the shares. Since stated value is not given in this problem, we should record the entire amount of the land exchanged in this transaction to the "Ordinary shares" account.</span>
Answer:
24 units
Explanation:
safety stock = z-score 99% x √lead time x standard deviation of demand
safety stock = 2.576 x √3 x 2 = 8.92 units ≈ 9 units
reorder point = lead time demand + safety stock
lead time demand = 3 days x 5 = 15 units
reorder point = 15 + 9 = 24 units
A Deliverable-Based Work Breakdown Structure clearly demonstrates the relationship between the project deliverables (i.e., products, services or results) and the scope (i.e., work to be executed). Figure 1 is an example of a Deliverable-Based WBS for building a house. Figure 2 is an example of a Phase-Based WBS for the same project.
wbs chart, work break down structure, deliverable based
Figure 1 – Deliverable Based Work Breakdown Structure
In Figure 1, the Level 1 Elements are summary deliverable descriptions. The Level 2 Elements in each Leg of the WBS are all the unique deliverables required to create the respective Level 1 deliverable.
Answer:
Interest= $1000000
Explanation:
The general structure of an income statement proceeds as follow:
Revenue/Sales (+)
Cost of Goods Sold (COGS) (-)
=Gross Profit
Marketing, Advertising, and Promotion Expenses (-)
General and Administrative (G&A) Expenses (-)
=EBITDA
Depreciation & Amortization Expense (-)
=Operating Income or EBIT
Interest (-)
Other Expenses (-)
=EBT (Pre-Tax Income)
Income Taxes (-)
=Net Income
<u>In this exercise:</u>
EBIT= $6000000
interest= ?
tax=? (0,40)
EBITDA=$3000000
interest= [EBITDA/(1-t)]-EBIT
interest=3000000/0,60-6000000=-$1000000
EBIT= 6million
Interest= 1million
Tax=2million (EBIT-interest)*0,40
Net income=3million
