Answer:
The net income for Year 2 is $ 114,482
Explanation:
Accounting Equation is used in order to calculate the closing capital figure of Year 1 and Year 2:
Assets=Liabilities + Equity.
we can rearrange the formula as Assets-Liabilities = Equity
- So in Year 1. the closing capital is: $910,049-$274,794 = $635,255.
- In Year 2. the closing capital is : $988,160-$234,792 = $ 753,368
Now we can construct an equation to drive net income of year to by means of balancing figure:
Opening capital year 1: $635,255
+ Additional Capital in Year 2: $28,651
-Drawing in year 2: $(25,020)
Net Income(Balancing figure) <u>$114,482</u>
Closing Capital Year 2: $ 753,368
Answer:
The correct answer is Decrease by $5,500.
Explanation:
According to the scenario, the computation of the given data are as follows:
First we calculate the previous operating income, by using following formula:
Previous operating income = ($8.5 - $5.25) × 10,000 units - $22,000
= $10,500
Now, we will calculate the current operating income by using following formula:
New operating income = ($7.5 - $5.25) 12,000 units - $22,000
= $5,000
So, the change in operating income can be calculated as
Change in operating income = New operating income - Previous operating income
= $5,000 - $10,500
= -$5,500 ( Negative shows Decrease)
= Decrease by $5,500.
Callable Certificate of Deposit is a type of savings account that a financial institution can terminate.
Answer:
GDP is likely to remain same as a result of this conversion.
Explanation:
GDP is the total value of goods & services, produced by an economy, during a given year.
It can be calculated by 2 methods
- By Expenditure method : GDP = Private Final Capital Expenditure + Govt. Final Consumption Expenditure + Gross Domestic Capital Formation + Net Exports
- By Income method : NDP = Compensation of Employees + Operating Surplus (Rent + Profit + Income) + Mixed Income
Given case - Converting a rented apartment into a resident owned condominium , with value of housing services = rent formerly paid :
This brings no change in the GDP, as : The apartment 'rent' previously paid was included in 'operating surplus' of national income, by Income method. And, the equal condominium value is now included in investment addition i.e 'Gross domestic capital formation' , by Income method.
The appropriate response is Information Systems Planning. It is the procedure whereby a senior chief, a business gathering, an IS administrator or a controlling board distinguishes and evaluates every single conceivable framework improvement extends that an association could embrace.
