Which account is used with a periodic inventory system?

After graduating from high school, Shawn took out a loan to help pay for college. Now, four years later, Shawn has graduated fro

Serhud [2]

Answer:

D. Student loan repayments will not cost as much in real dollars

Explanation:

Inflation refers to the general increase in price of goods and decrease in the purchasing power of money. During inflation, the value of money usually fall, that is because for instance, what $100 can buy before inflation, $100 will not be able to buy it again during inflation. Thus, the student loan that was given to Shawn was of more value than the money he will repay during the inflation.

4 0

3 years ago

Read 2 more answers

A piece of equipment is purchased by Great Notch Corporation on January 1 for $46,200. It is expected to have a useful life of f

malfutka [58]

Answer:

gain of $6,350.

Explanation:

Depreciation expense each year = (cost of asset - residual value) / useful life

($46,200 - $6,300) / 4 = $9,975

Depreciation expense after two years = $9,975 x 2 = $19,950

Value of the equipment in two years = $46,200 - $19,950 = $26,250

If the equipment is sold for $32,600, the equipment would be sold at a profit

Profit = $32,600 - $26,250 = $6350

5 0

3 years ago

Decision makers and analysts look deeply into profitability ratios to identify trends in a company’s profitability. Profitabilit

ahrayia [7]

Answer:

If a company has a profit margin of 10%, it means that the company earned a net income of $0.10 for each dollar of sales. A 10% PROFIT MARGIN MEANS THAT THE COMPANY EARNED 10 CENTS FOR EVERY DOLLAR OF REVENUE.
If a company's operating margin increases but its profit margin decreases, it could mean that the company paid more in interest or taxes. OPERATING PROFIT = GROSS PROFIT - FIXED COSTS, NET PROFIT = OPERATING PROFIT - (INTERESTS AND TAXES). IF TAXES OR INTERESTS INCREASE, NET PROFITS DECREASE

Explanation:

there are several profitability ratios, the most important ones are:

profit margin = net profit / total revenue
gross profit margin = gross profit / total revenue
return on equity = net income / total shareholder equity
return on assets = net income / total assets

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4 years ago

The government of the United States borrows most of the money it needs by __________.

Anastasy [175]

government of the United is federal government and it borrows most of the money it needs by <span>selling Treasury Bills and Treasury bonds
so the correct option is B
because through taxes it cannot borrow and through issuing stocks not because its related to companies and of course govt don't take loan
hope it helps</span>

5 0

3 years ago

Piper Corporation, which manufactures dog toys, is developing direct labor standards. The basic direct labor rate is $ 12.68$1

NeTakaya

Answer:

option (D) $21.66

Explanation:

Data provided in the question:

Basic direct labor rate per hour = $12.68

Payroll taxes = 13% of basic direct labor rate

Fringe benefits per hour = $7.33

Now,

The standard rate per direct labor hour

= Basic direct labor rate per hour + Payroll taxes + Fringe benefits per hour

= $12.68 + ( 13% of $12.68 ) + $7.33

= $12.68 + $1.6484 + $7.33

= $21.6584 or $21.66

Hence,

The correct answer is option (D) $21.66

4 0

3 years ago