1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Allushta [10]
3 years ago
12

M8-1 Evaluating the Decision to Extend Credit [LO 8-1 Nutty Productions Inc. generated service revenue of $48,000 and income fro

m operations of $19,000. The company estimates that, had it extended credit it would have instead generated $87,000 of service revenue, but it would have incurred $34,000 of additional expenses for wages and bad debts. 1-a. Using these estimates, calculate the amount by which Income from Operations would increase (decrease) Income from Operations by 1-b. Should the company extend credit? Yes No
Business
1 answer:
emmasim [6.3K]3 years ago
7 0

Answer:

Yes

Explanation:

In this question, we have to compare the total income based on credit extended The computation is shown below:

If credit is not extended, then the total income would be

= Service revenue + income from operations

= $48,000 + $19,000

= $67,000

If credit is extended, then the total income would be

= Service revenue + income from operations - additional expenses for wages and bad debts

= $87,000 + $19,000 - $34,000

= $72,000

Yes the company extend credit as the total income is increased by $5,000

You might be interested in
Quantitative Problem: You need $11,000 to purchase a used car. Your wealthy uncle is willing to lend you the money as an amortiz
Ratling [72]

Answer:

The annual loan payments are closest to  $3,395.36  

Explanation:

The annual payment on the amortized loan can be ascertained using the pmt formula in excel :

=pmt(rate,nper,-pv,fv)

rate is the 9% annual return expected by the uncle

nper is the length of repayment which is 4 years

pv is the amount borrowed which is $11,000

fv is the future worth of the loan which is unknown

=pmt(9%,4,-11000,0)=$3,395.36  

3 0
3 years ago
Match each of the follwoing terms with their descriptions Total Liabilities.
Darya [45]

Answer and Explanation:

The matching is as follows:

a. 2. Shareholder equity as it shows the difference between the assets and liabilities of the firm

b. 4. Total debt it represent the short and long term interest i.e. note payable + long term debt etc

c. 3. Total assets it is a sum of shareholder equity and the total liabilities

d.1. Total liabilities it shows the obligations or the amount owed to creditors

8 0
3 years ago
The government should extend the duration of unemployment benefits to those workers who lost their jobs due to outsourcing. This
kvv77 [185]

This is a value assessment in the form of a subjective statement. According to this viewpoint, the period of jobless benefits should be increased. It cannot be verified by the evidence at hand. Therefore, it is a declaration of norm. In the case of a positive assertion, the statement is factual and can be put to the test using the information at hand. However, this claim is subjective and dependent on opinion.

<h3>What is unemployment?</h3>

When someone actively searches for work but is unsuccessful, they are said to be unemployed. It is regarded as one of the important indicators of the health of the economy. The most popular technique for calculating a nation's unemployment rate is the unemployment rate. This may be calculated by simply dividing the entire population that makes up a country's work force by the number of unemployed persons. Governments at the federal, state, and municipal levels frequently work to provide job opportunities to those who fit the requirements they have established. Typically, work is made available to groups of people for a set minimum wage that is sufficient for basic survival and gives them more opportunities to find permanent jobs.

To know more about unemployment, visit;

brainly.com/question/14227610

#SPJ4

7 0
9 months ago
5. A garden plant that has been passed down within a food family and is generally not commercially grown is called a/an _______
madreJ [45]

Answer:

The correct option is D, Heirloom.

Explanation:

A garden Plant that has been passed down within a food family and is generally not commercially grown is called a Heirloom Product. Such garden plants are planted by the gardeners for their own and family use. Such plants are not sold commercially. Generally they are planted to be used within the house. Family members use such plants to make foods.

4 0
3 years ago
When a restaurant prices pizza at $10 per slice they sell 100 slices in a night. If they sell pizza for $5 per slice, they sell
Helga [31]

slope of this demand curve for pizza = <u>-1/40</u>

<h3>Briefly explained</h3>

Slope = changes in y/ changes in x

The shop sells 200 more pizzas if the price drops by $5 ($10 to $5). (100 to 300 pizzas) A good's quantity is always on the x-axis and its price is always on the y-axis. According to our justification, the cost is REDUCED by $5 (a reduction of -$5) and the quantity of pizzas sold rises by 200. The slope is therefore <u>-5/200 or -1/40.</u>

<h3>What is demand curve?</h3>

The demand curve is a graphical depiction of the connection between the cost of a commodity or service and the quantity required over a specific time period.

The price will often be shown on the left vertical axis in a representation, and the amount needed will typically be shown on the horizontal axis.

Learn more about demand curve

brainly.com/question/1139186

#SPJ4

5 0
1 year ago
Other questions:
  • Jim wants to buy some new shoes. a local shoe shop has a pair for $59.95 with a 10% discount. another shop has the same pair for
    6·1 answer
  • What is most likely the author's purpose when writing an article on the history of cell phones?
    6·2 answers
  • Events that occur after the December 31, 2021 balance sheet date, but before the balance sheet is issued, and provide additional
    6·1 answer
  • Pinewood Company purchased two buildings on four acres of land. The lump-sum purchase price was $2,000,000. According to indepen
    5·1 answer
  • It costs $60 of variable and $40 of fixed costs to produce rocking chair which normally sells for $150. A wholesaler offers to p
    13·1 answer
  • Assume you just deposited $1,000 into a bank account. The current real interest rate is 2%, and inflation is expected to be 6% o
    5·1 answer
  • Tara westmont, the proprietor of tiptoe shoes, had annual revenues of $205,000, expenses of $113,700, and withdrew $26,000 from
    12·2 answers
  • Help me please.. there is no option on here for Human Resources principals, so I jus clicked business as the subject..
    13·1 answer
  • Trickle irrigation can be used to reduce
    5·1 answer
  • Features of wealth definition <br><br> 10
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!