Answer:
Option (b) is correct.
Explanation:
Given that
Amount of merchandise purchased = $5,800
Credit terms = 2/10 and n/10
Using a perpetual system and gross method,
Therefore, the Journal entry is as follows:
On May 1,
Merchandise inventory A/c Dr. $5,800
To accounts payable $5,800
(To record the purchase of merchandise on account at May 1)
Answer:
The correct answer is letter "B": The differences between costs incurred under alternative courses of action.
Explanation:
Incremental Cost is the added cost of one more unit of production. Also referred to as marginal cost, is the cost incurred by the company when it makes one more unit. These costs would not have existed if production had not increased.
Incremental costs are usually lower than the average unit cost of production. <em>Incremental costs are always comprised of variable costs. The latter is the reason why incremental costs can also be described as the result of computing the differences of the alternative paths the firm could have chosen for its production process.</em>
Answer:
Stockholder wealth growth should continuously be supposed of long term goal. It is in notice of shareholder or depositor that his prosperity continues to grow with smallest risk. Action which keeps stock at 20$ for numerous year and then increased to 40$ in year 5 is desirable as the wealth of the stockholder increases.
Sometime company capitalize in building dimensions so that it can yield more units of its product thus growing the sale. When the corporation is doing capex, stock price will remain stationary and as soon as its capex ends stock price will rise at fast pace.
Answer:
Explanation:
Cost = 68500
Date = January 1, 2017
December 31, 2019
Cost = 68500
Acc. Depreiciation = -34,250 (68500/6)*3
book Value = 34,250
Exchanged asset cost = 35000
Trade in gain = 750
Accounting Entries
Asset 35000
Accumulated depriciation 34250
Asset 68500
Gain on Exchange 750
Answer:
Equivalent Units 14,380
Explanation:
Beginning units 850 x (1-.6) = 340
Started Units during July 15,000
Ending Inventory 1,600(1-.4) (960)
Equivalent Units 14,380
<u>Reasoning</u>
We have to complete the beginning WIP which are laking 40% (1-0.6)
We start doing 15,000 units.
We left 1,600 units at 60% undone (1-0.4)
