Answer:
9.4%
Explanation:
Initial investment=$22,000+$22,000=$44,000
number of shares bought=$44,000/$110(the investor paid $55 out of every $110)
number of shares bought=400
Increase in share in one year=$110*8%=$8.80
loan interest on each share=$55*6.6%=$3.63
rate of return=(increase in share price-loan interest)/initial amount invested
rate of return=($8.80-$3.63)/$55
rate of return=9.4%
A change in depreciation method is treated as a change in estimate that is achieved by a change in accounting principle, and is accounted for prospectively in the current and future periods.
The rules and regulations that businesses and other organizations must abide by when reporting financial data are known as accounting principles. These regulations standardize the terminology and procedures that accountants must employ, making it simpler to analyze financial data.
A unified set of accounting guidelines, methods, and standards known as generally accepted accounting principles (GAAP) were released by the Financial Accounting Standards Board (FASB).
The consistency that accounting principles establish enables more accurate and effective viewing of financial statements and reporting for businesses.
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Answer:
Sales= $3,000,000
Explanation:
Giving the following information:
It expects to sell 10,000 mattresses in the current year and had 1,000 mattresses in finished goods inventory at the end of the previous year. Armando would like to complete operations in the current year with at least 1,250 completed mattresses in inventory. There is no ending work-in-process inventory. The mattresses sell for $300 each.
Production:
Sales= 10,000
Ending inventory= 1,250
Beginning inventory= (1,000)
Total= 10,250
Sales= 10,000*300= $3,000,000
The term which describes the shipping who directly supplies from the supplier to the end consumer rather than from the seller, saving both time and reshipping costs is "Drop Shipping."
<h3>What is drop shipping?</h3>
When a vendor creates a website & sells items that they do not maintain in stock, this practice is known as drop-shipping.
Some key features of drop shipping are-
- A third party, such as a manufacturer, another store, or a wholesaler, receives an order from the seller and ships the products straight to the customer.
- A rapidly spreading trend involves online middlemen who charge you more money by keeping the difference between both the wholesale and prices.
- Although drop-shipping is not prohibited, there is a lot of potential for issues and abuse on the part of both customers and sellers.
- Following an online purchase, the drop-shipping company sends the ordered item directly to the consumer.
- It provides both big and small businesses with a way to source goods, earn some extra cash, and free up some storage space.
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