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quester [9]
4 years ago
5

Bergeron is a local manufacturer of off-shore drilling platforms. In 2020, Bergeron entered into a contract to construct a drill

ing platform, which will be placed in the North Atlantic Ocean. The total contract price is $5,000,000, and Bergeron estimates the total construction cost at $2,000,000. Actual costs incurred in 2020 are $600,000. If Bergeron uses the completed contract method, the gross profit for 2020 is
Business
1 answer:
forsale [732]4 years ago
6 0

Answer:

$900,000

Explanation:

The first step is to calculate the percentage completed

= 600,000/2,000,000

= 0.3

The revenue can be calculated as follows

= 5,000,000 × 0.3

= 1,500,000

Therefore the gross profit for 2020 can be calculated as follows

=1,500,000 -600,000

= $900,000

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Jose wants to be sure he maintains a high credit score as he is planning to buy a new car soon. What should he do to ensure his
Firlakuza [10]
D: Pay off his credit card balance each month


7 0
3 years ago
Financial statements should be useful. Which of the following is not one of the qualities of useful financial representation.
AlexFokin [52]

Answer:

A. Expand-ability Relevance

Explanation:

Financial statements does not need expansion, therefore expand-ability relevance is not one of the qualities of financial statements.

A. Faithful representation- financial statements must be a faithful representation of the state of the entity. it should represent the correct position of the entity.

B. Comparability - The financial statements must be prepared in accordance with acceptable standard to ensure comparison within and without the entity.

C. Consistency and Verifiability - The numbers must be verifiable and methods choosing in treating certain items must be consistent over time.

8 0
3 years ago
You would like to combine a risky stock with a beta of 1.87 with U.S. Treasury bills in such a way that the risk level of the po
Paul [167]

Answer:

46.5%

Explanation:

The treasury bills have zero beta as they have no systematic risk. Beta is used in the Capital asset pricing Model to demonstrate a relationship between systematic risk and rate of return.

Expected Return = Rf + Beta * Rp

The percentage that should be invested in the risky portfolio will be,

1 - 1 / Beta

1 - 1 / 1.87

= 46.5%

8 0
4 years ago
When it comes to pension reform, which of the following are key to reducing the disproportionate poverty levels among minorities
Inessa [10]

Answer:

C.

Explanation:

Based on the information provided within the question it can be said that all of the options available will help get rid of this problem except for ending racial discrimination. Although it is something that should be fought, it will have little to no effect on the poverty level in comparison to the other options available. Since racial discrimination affects minorities in a variety of ways.

6 0
3 years ago
Economies of scale:
gregori [183]

Answer:

are achieved when a firm reduces its average cost of production as it produces more. 

Explanation:

Economies of scale is reduction in the average cost as production increases due to the large size of the firm which makes it more efficient.

It is large firms that enjoy economies of scale.

Economies of scale can be achieved by buying supplies in large quantities. When firms buy in large quantities, they enjoy discounts which reduces their average cost. This is a form of internal economies of scale.

I hope my answer helps you.

5 0
3 years ago
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