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3 years ago

‘A person starts a business venture because he lost his job’. Which form of entrepreneur is he.

Business

2 answers:

kirza4 [7]3 years ago

7 0

Because the because the because then the

irakobra [83]3 years ago

3 0

Answer:

sole trader

Explanation:

couse he is running as well as managing his business..i hope that's it..

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.Variety is the spice of life. application

lara [203]

Answer:

What? Sorry, but what is your question?

Explanation:

3 0

3 years ago

Master Hatter's demand for hats is 25,000 per year. The order cost is $425 and the carrying cost is $4.50 per unit. The cost pai

laiz [17]

Answer with its Explanation:

Part A. Economic order quantity Computation

Economic order quantity can be calculated by using the following formula:

EOQ = Squaroot of (2* D * S / H)

Here

Ordering cost per order is $425 which is S

Annual Holding cost per unit per year is $4.5 which is H

Annual Demand is 25000 Units

By putting values, we have:

EOQ = (2 * 25000 * $425 / $4.5) ^(1 / 2) = 2173 Hats

Part B.

Total Cost at EOQ = Purchasing Cost + Total Ordering cost + Holding Cost

By putting values, we have:

Total Cost = 25,000 Units * $25 per unit + ($25,000 / 2173 Hats) * $425 + (2173 Hats / 2) * $4.5 = $634,778 Annual Cost

Part C.

For ordering at-least 2000 units per order, the total cost would be:

Total Cost under 2000 order quantity = 25,000 * $25 per unit + (25000/2000) * $425 + (2000/2) * $4.5

Total Cost under 2000 order quantity = $634,813

By ordering at least 2000 hats will bring a loss of $35 ($634,778 - $634,813), hence Master Hatter must only order in EOQ.

6 0

3 years ago

Doyle Company issued $226,000 of 10-year, 5 percent bonds on January 1, Year 1. The bonds were issued at face value. Interest is

Thepotemich [5.8K]

Answer:

Dr cash $226,000

Cr Bonds payable $226,000

31st December year 1

Dr cash $74,000

Cr Lease revenue $74,000

Dr interest expense $11,300

Cr Cash $11,300

31st December year 2

Dr cash $74,000

Cr Lease revenue $74,000

Dr interest expense $11,300

Cr Cash $11,300

Explanation:

Upon the receipt of $226,000 from bond issue,cash acount would be debited with $226,000 and bonds payable account would be credited with the same amount.

When land purchased,the land account is debited with $226,000 and cash is credited with $226,000.

The receipt of $74,000 from lease rental means that cash is debited and the lease revenue is credited.

The coupon interest on the bonds=$226,000*5%=$11,300

The coupon interest is debited to interest expense and credited to cash in each of the two years.

find attached t accounts.

Download xlsx

7 0

3 years ago

Lansbury Inc. had the following balance sheet at December 31, 2019.

timofeeve [1]

Answer:

See explanation

Explanation:

Requirement A

See the image Below:

Requirement B

LANSBURY INC.

BALANCE SHEET

As at December 31, 2020

Assets

Cash $37,000

Accounts receivable $41,600

Investment $20,400 (Note - 1)

Plant asset $81,000

Less: Accumulated depreciation ($11,000)

Book value of Plant asset $70,000

Land $53,000

Total assets $222,000

Liabilities and Stockholders' Equity

Liabilities

Accounts payable $30,000

Notes payable $25,000

Total liabilities $55,000

Stockholders' Equity

Common Stock $120,000

Retained earnings $ 47,000 (Note - 2)

Total stockholders' equity = $167,000

Total liabilities & Stockholders' Equity = $222,000

Note - 1:

Sold investment's cost value calculation -

Selling price = $15,000

Less: Gain on sale = ($3,400)

Cost price = $11,600

Investment during 2019 = $32,000

Sale of Investment (book value) $11,600

Remaining value of Investment = $20,400

Note - 2:

Beginning $23,200

Add: Net Income $32,000

Less: Dividend ($8,200)

Ending retained earnings = $47,000

Requirement C

1. Cash flow to net income ratio:

It shows how much cash flows from operating activities during the year over a specific net income.

We know, Cash flow to net income ratio = $\frac{Cash flow from operating activities}{Net Income}$

Cash flow to net income ratio = $\frac{19,200}{32,000}$

Cash flow to net income ratio = 60%

2. Operating cash flow ratio:

It shows how much cash flows from operating activities during the year from the use of current liabilities.

We know, Operating Cash flow ratio = $\frac{Cash flow from operating activities}{Current liabilities}$

Operating Cash flow ratio = $\frac{19,200}{30,000}$

Operating Cash flow ratio = 64%

Note: Here, accounts payable is the only current liabilities as notes payable has a long-term value.

8 0

4 years ago

Select all the reasons to keep your money in a financial institution.

mr_godi [17]

All of them :) All those reasons.

5 0

3 years ago

Read 2 more answers