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2 years ago

When making financial decisions, it is important that you critically evaluate the source.

2 answers:

7 0

Hello,

Here is your answer:

The proper answer is option A "true". It is extremely important to find the source of the information because the source could not be verified (which means its giving false information).

Your answer is A.

If you need anymore help feel free to ask me!

Hope this helps!

algol132 years ago

3 0

Answer:

True

Explanation:

If you are planning on making financial decisions based on information you obtain from different media (e.g. online publications, financial magazines, TV analysts, etc.) you must first verify how reliable that information is.

Remember that anyone can post an article on the internet, but you are responsible for checking his/her personal background and previous experience. Has he/she done it in the past and how good or bad were the results.

You must also consider how relevant the information is, and remember that many the same as news media is always biased, financial information is always biased also.

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Charlie Chairs Inc., manufactures plastic moldings for car seats. Its costing system utilizes two cost categories, direct materi

yan [13]

Answer: $3,250

Explanation:

DATA FOR DEPARTMENT A for February 2015 are:

WIP, beginning inventory, 40% completed 200 units

Units started during February 800 units

WIP, ending inventory, 50% completed 100 units

COST FOR DEPARTMENT A for Feburary 2015 are:

WIP, beginning inventory:

Direct Materials $150,000

Conversion Costs 200,000

Direct Materials costs added during February 600,000

Conversion costs added during February 425,000

THE UNIT COST PER EQUIVALENT UNIT of beginning inventory in Department A is:

---------------------------------mat----conv--------total

No of physical unit-----200 - - 200

% completed - - - - - - -100% - -40%

Equivalent unit Beg.

Inventory - - - - - - - - - 200------ 80

Total cost of Beg.

Inventory - - - - - -150,000--- 200,000

Cost per equivalent

Unit - - - - - - - - - - - $750 - - - - $2500 - - $3,250

7 0

2 years ago

Louis Vuitton decides to invest $80,000,000 into a shoe factory in Milan from its money market account. The money market account

Nataly [62]

Answer:

d. $800,000

Explanation:

In opportunity cost parlance, we talk about the cost/benefit forgone of the next best alternative, not for all alternatives forgone.

The benefit forgone of the next best alternative is the $800,000 that could have been earned if the funds have been invested in the money market account, in other words, $800,000.

7 0

3 years ago

The before-tax income for Ivanhoe Co. for 2020 was $104,000 and $81,200 for 2021. However, the accountant noted that the followi

Brilliant_brown [7]

Answer:

Corrected Income for 2020 is $ 86540 and for 2021 is $160,610

Explanation:

Ivanhoe Co.

Correction of Income for 2020 2021

The before-tax income $104,000 $81,200

1) Sales (39,000) 39000

2) Inventory (9,400) 9,400

3) Entry wrongly made 14,400 14,400

4) Correct Entry 15,680 15,680

5) Add Depreciation 860 930

Corrected Income $ 86540 $ 160,610

1) Sales are included when the purchaser gets the title . They are the liability of the seller so they will be deducted from 2020 sales and added to 2021.

2) Ending inventory is deducted from COGS as it is understated it will be deducted from 2020 income and added to the 2021 income when it becomes the opening inventory.

3) Interest was received not given so the it will be treated as revenue not expense and added to the income statement.

4) Actual interest received was ($ 240,000- $16,000)* 7% = $ 15680. So an entry for actual interest will be made.

5) Additional amount of depreciation was charged to 2020 and 2021 income statement which will be added back. 10 % of $ 8600= $ 860 for 2020 and 10% of $ 9,300= $ 930 for 2021

5 0

3 years ago

You are a newspaper publisher. You are in the middle of a one-year rental contract for your factory that requires you to pay $60

Anika [276]

Answer:

If sales fall by 20 percent from 1,000,000 papers per month to 800,000 papers per month, Average Fixed Costs will increase from $1.85 per paper to $2.31 per paper.

Explanation:

The fixed costs mentioned add up to 600,000 + 1,250,000 = $1,850,000 per month

The other costs mentioned (printing cost and delivery cost) are variable with output (per paper).

As fixed costs are the same regardless of output, falling sales will reduce the quantity on which fixed cost are spread (to calculate fixed cost) and thus make average fixed cost increases.

In this case, it increases from 1,850,000/1,000,000 (= $1.85 per paper) to 1,850,000/800,000 (= $2.31 per paper)

4 0

3 years ago

The following financial information is presented for three different companies. Determine the missing amounts.

Leto [7]

Answer:

Note: The organized question is attached

d. Net income = Income from operating - Other expenses and losses

Net income = $15,000 - $4,000

Net income = $11.000

f. Gross profit - Sales - Cost of goods sold

$38,000 = $95,000 - Cost of goods sold

Cost of goods sold = $95,000 - $38,000

Cost of goods sold = $57,000

h. Income from operations = Net income - Other expenses and losses

Income from operations = $11,000 + $7,000

Income from operations = $18,000

g. Income from operations = Gross profit - Operating expenses

$18,000 = $38,000 - Operating expenses

Operating expenses = $38,000 - $18,000

Operating expenses = $20,000

7 0

2 years ago