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Levart [38]
3 years ago
7

Sands Company purchased mining rights for $500,000.

Business
1 answer:
Ivanshal [37]3 years ago
5 0

Answer:

b) a debit to Depletion Expense for $175,000

Explanation:

The computation of the depletion expense is shown below:

Depletion expense = (Purchase of mining rights × current year mined tons of ore) ÷ (expected harvested tons of ore)

= ($500,000 × 350,000 tons) ÷ (1,000,000 tons)

= $175,000

So the journal entry would be

Depletion Expense A/c Dr $175,000

           To Accumulated Depletion A/c $175,000

(Being the depletion expense is recorded)

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Alison incurs the following research expenditures. In-house wages $125,000 In-house supplies 12,500 Paid to ABC, Inc., for resea
Rom4ik [11]

a. The amount of Alison's qualified research expenditures for the tax year is $251,250.

b.  Alison's incremental research activities credit is $20,250.

a. Alison's qualified research expenditures:

Qualified research expenditures=In-house wages+ In-house supplies+ (Research services× 65%)

Qualified research expenditures=$125,000+$12,500+ ($175,000×65%)

Qualified research expenditures=$125,000+$12,500+$113,750

Qualified research expenditures=$251,250

b.  Alison's incremental research activities credit:

Incremental research activities credit=(Qualified research expenditures-Base amount)×20%

Incremental research activities credit=($251,250-$150,000)×20%

Incremental research activities credit=$101,250×20%

Incremental research activities credit=$20,250

Inconclusion  the amount of Alison's qualified research expenditures for the tax year is $251,250 and Alison's incremental research activities credit is $20,250.

Learn more about qualified research expenditures here:brainly.com/question/8174418

4 0
3 years ago
Splashdown Corporation manufactures water toys. It plans to grow by producing highminusquality water slides at a low cost that a
Ket [755]

Answer:

D. number of process improvements.

Explanation:

The balance score card is the score card which demonstrates the level of performance through which the organisation will be able to take the correct actions, decisions.

As in the given situation, the company wants to increase its sales so for that the company should improves its number of processes which results in the innovation made by the company that represented the different product as compare with the competitors

5 0
3 years ago
Item 4Item 4 You’ve collected the following information from your favorite financial website. 52-Week Price Stock (Div) Div Yld
Leona [35]

Answer:

P₀ = $106.96

Explanation:

the current dividend paid by IBM was $6.30 per stock

Div₀ = $6.30

Div₁ = $6.615

Div₂ = $6.94575

Div₃ = $7.2930375

Div₄ = $7.657689375

Div₅ = $8.040573844

Div₆ = $8.321993928

we must first determine the terminal value at year 5 = Div₆ / (rrr - g) = $8.321993928 / (10% - 3.5%) = $128.0306758

now we must discount the future values using the 10% discount rate:

P₀ = $6.615/1.1 + $6.94575/1.1² + $7.2930375/1.1³ + $7.657689375/1.1⁴ + $8.040573844/1.1⁵ + $128.0306758/1.1⁵ = $6.013 + $5.740 + $5.479 + $5.230 + $4.993 + $79.50 = $106.96

7 0
3 years ago
Suppose that preferences over private consumption C and public goods G are such that these two goods are perfect substitutes, th
Temka [501]

Answer:

Please see explanation below.

Explanation:

Public goods are goods consumed collectively, they are provided for all members of a community,

no one can be excluded from their consumption. The consumption by one person does not decrease the consumption possibilities for others. Public goods are available for everybody without paying, and these goods cannot be rationed: they are either provided for the whole community, or for no one. Examples of public goods include the public lighting system, public roads, radio broadcasts, national defence, lighthouses, town pavements, etc.

Private goods, on the other hand, are goods consumed individually, and if a unit has been consumed by

someone, then no one else can also consume the same unit. Private goods are scarcely available, and consuming a unit will decrease the amount available for further consumption. Therefore consumers compete for private goods, i.e. private goods are rival in consumption. Consumers can consume them if they pay the price, non-payers are excluded from consumption.

In the first scenario, given that both the private good and public good are perfect substitutes, the optimum quantity produced by the government is at the point where marginal social cost is equal to the marginal social benefit. This optimum output is lower than that of the private firm because the price of public good is higher than price of private good (since marginal social cost > marginal private cost).

If b increases, that means consumers are willing to give up more units of public goods for one unit of the private good. Therefore, the quantity produced by the government will reduce.

For the second part of the question: C = aG, where a > 0.

This implies that equal or more units of the private good is consumed with a particular units of public good. The optimum output still remain at the point where marginal social cost is equal to marginal social benefit but this output level is lower than if the two goods were to be perfect substitutes.

7 0
3 years ago
Suggest the appropriate functional forms for the relationships between the following variables, and explain your reasoning, keep
Evgesh-ka [11]

Answer:

B is you answer

Explanation:

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3 years ago
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