Answer:
The unrealized profit is $6000
Explanation:
From the question,it is clear that Script still has in inventory at year end $30,000 worth of inventory from the $90,000 worth of purchased from Post,
invariably the unrealized profit recognizable should be to the tune of the unsold inventory.
In addition,the fact that mark up is 25% which that sales figure is made up of 100% cost plus 25% markup,hence sales is 125%.
unrealized profit=unsold inventory*markup/sales in percentage
unrealized profit =$30,000*25/125
unrealized profit is $6,000
Answer:
initial cash flow is 2,929,000
Explanation:
Attached is the table
I am pretty sure that it's D. Tell me if it's correct or not!
Rony as the managing director of a fabric manufacturing company enjoys an employee benefit called <u>perquisites</u><u> (D)</u>.
Let's discuss each employee benefit option we have:
Novated lease is an employee benefit that allows an employer pays for its employee car lease and car runnit costs out of its employee's salary package. An employee will choose a car he wants and a novated lease arrangement is set up between the employee, employeer, and car agent. The employer then will pay directly to the car agent from the employee's salary. The employee may save tax and running costs using this kind of leasing.
Fiscal Incidence is the combined overall economic impact of both government taxation and expenditure on the real economic income of individuals. Fiscal incidence happens when the econonmic incidence of taxation is combined with the economic incidence of government expenditure. Fiscal incidence is the overall increase or decrease in welfare that individual enjoys from the state's taxing and spending policies.
Swaps is a derivative contract which stated that the two parties will exchange the cash flows or liabilities from two different financial instruments. Swaps usually are based on a notional principal amount. The most common kind of swap is an interest rate swap.
Perquisites or fringe benefits are benefits an employee received over and above his standard salary. Some of these components are taxed separately and someother are tax-exempted. Perquisites may be classified into 3 different types:
- Taxable perquisites
- Tax-exempted perquisites
- Perquisites taxable only by employee
By offering perquisites to its employee, a company may increase its employee productivity, loyalty and retention. Prequisites could also be used as an attraction for top talent.
Learn more about Employee Benefit here: brainly.com/question/12143528
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Complete Question:
Rony is the managing director of a fabric manufacturing company. In order to limit the profit of the company and therefore, the txes on the business the management pays a hefty amount to Rony as year-end bonuses. The company also pays for his family cavations and foreign trips. The benefits enjoyed by Rony are called ____
a. Novated leases
b. Fiscal incidences
c. Swaps
d. Perquisites
Answer:
The following applies:
1. expenses when incurred to generate revenue.
2. expenses even when cash has not yet been paid
3. revenue even when cash has not been collected
4. revenue when earned
Explanation:
Accrual basis is an accounting concept that recognizes revenue when earned when if the collection of cash will be done later.
It also recognizes expenses when incurred even though the cash has not been spent.
Accrual basis matches a transaction with when it happened.
It is different from cash basis which recognizes revenues only when the cash is received and expenses only when the cash has been spent.