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
ikadub [295]
3 years ago
8

Based on the following information, calculate net income for Dana's Dress Shop using the traditional format. Sales $360,000 Gros

s Margin $140,000 Contribution Margin $110,000 Total Selling & Administrative Exp. $60,000
Business
1 answer:
stich3 [128]3 years ago
7 0

Answer:

$80,000

Explanation:

Calculation for the net income for Dana's Dress Shop using the traditional format

NET INCOME USING TRADITIONAL FORMAT

Using this formula

NET INCOME=Gross Margin -Total Selling & Administrative Expenses

Where,

Gross Margin =$140,000

Total Selling & Administrative Expenses=$60,000

Let plug in the formula

NET INCOME=$140,000-$60,000

NET INCOME=$80,000

Therefore the NET INCOME will be $80,000.

You might be interested in
On january 2, fafnir co. purchased a franchise with a finite useful life of 10 years for $50,000. an additional franchise fee of
skelet666 [1.2K]

The amount should Fafnir report as intangible asset - franchise is -

Purchase value of Franchise = $ 50,000

Life of Franchise = 10 years

Salvage value = $ 0 ( not given)

Since, no other methods of amortization are specifically mentioned, straight line method will be used.

Book value of Franchise = Purchase price - Amortization expenses

Book value of Franchise = $ 50,000 - [ ( $ 50,000 - $ 0) / 10 Years ]

Straight-line depreciation = ( Purchase price - Salvage value) / Number of years

Book value of Franchise = $ 50,000 - $ 5,000 = $ 45,000

The amount should Fafnir report as intangible asset - franchise is = $ 45,000

7 0
3 years ago
For the current year temporary differences existed between the financial statement carrying amounts and the tax basis of the fol
Veseljchak [2.6K]

Answer:

Income Tax Expense (Dr.) $49,080,000

Deferred Tax Liability (Cr.) $49,080,000

Explanation:

Income tax expense = ( Taxable Income for the year + building and equipment taxable amount + Prepaid Insurance - Liability or contingency Loss ) * Tax rate

Income Tax expense = ( $117,000,000 + $14,700,000 + $2,300,000 - $11,300,000) * 40%

Income Tax expense = $49,080,000

8 0
3 years ago
Cherokee Inc. is a merchandiser that provided the following information: Number of units sold 20,000 Selling price per unit $ 30
xenn [34]

In order to find Net Income as per traditional income statement, we will first require to calculate cost of goods sold as below:

Beginning Merchandise Inventory................................................24000

Add: Purchases..................................................................................180000

Less: Ending Merchandise Inventory...........................................(44000)

Cost of Goods Sold............................................................................160000

Traditional Income Statement

Sales................................................................................................................600000

Less: Cost of Goods Sold..........................................................................(160000)

Gross Profit....................................................................................................440000

Less: Selling and Administrative Expenses

Variable Selling Expense.........................................................80000

Variable Admin Expense............................................................40000

Fixed Selling Expense.................................................................40000

Fixed Admin Expense...................................................................30000

Total .......................................................................................................................(190000)

Net Income.............................................................................................................250000

3 0
3 years ago
Read 2 more answers
In a department meeting, javier shares some research on new software he thinks the company should purchase. roger agrees with ja
katovenus [111]

In this scenario, Roger's behaviour would best be classified as an elaborator.

While working in a group each individual contributes in their own ways.

Benne and Sheats defined roles in a group and classified them in three categories. These categories are

1. Task roles : relate to actually achieving the task goals.

2. Personal Roles : relate to the interpersonal relationships between team members. A highly qualified team, when all team members with a high ego will not be able to achieve the desired goal within the deadline.

3.Dysfunctional Roles: do not contribute in any way to a group. They are only interested in serving their own interests and more often than not, are responsible for disruptions and discord within the group.

The right combination of various roles in a group goes a long way in achieving a goal.

The Elaborator is a task role. The Elaborator takes up an idea and gives his views on how that idea might turn out if it is implemented in the given suggestion.

3 0
3 years ago
Government purchases are spending by the government on​ goods, services, and factors of production. Government expenditures repr
Law Incorporation [45]

Answer: A. there has been a major increase in the amount of transfer payments the government makes through programs such as Social Security and unemployment insurance.

Explanation:

Since the 1950s, the US government budget for Transfer Payments to Social Security Programs and Unemployment benefits has increased tremendously.

The main transfer payments are Disability and Pension/ Retirement payments and they have been on the rise since the 50s.

These Transfer Payments are both a show of Humanitarianism as well as a form of Economic Investment as they help stimulate the Economy during times or Economic Distress by pouring money into it.

A typical example would be the $1,200 that Congress voted to provide direct cash payments of which totaled around $250 billion in March this year to help Americans who were hit hard by the lockdowns that have crippled much of the American economy.

6 0
3 years ago
Other questions:
  • A customer paying $100 for a service with a credit card would be a debit to which account?
    13·2 answers
  • Monica graduated from high school this year and has a steady job. She feels ready to move into her own space and has $1,200 in s
    11·2 answers
  • What was the main goal of the Farmers’ Alliance?
    8·2 answers
  • Jeep launched the new Jeep Liberty several years ago. The Liberty is intended to compete with other moderately-sized SUVs. The m
    5·1 answer
  • Benefits offered to encourage people to make a specific economic decision
    12·2 answers
  • Mention four things to consider before starting a business
    12·1 answer
  • "The spot price of the market index is $900. A 3-month forward contract on this index is priced at $930. What is the profit or l
    15·1 answer
  • Personal finances-- multiple choice!
    10·2 answers
  • If you have a choice to earn simple interest on $10,000 for three years at 8% or annually compounded interest at 7% for three ye
    14·1 answer
  • Sppose that the total beneft and total cost from a cntinous activiy are, reptetlel given by the following equations: B(Q)= 100 +
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!