Is this for free points ?
Answer:
The correct answer is C. Common fixed costs.
Explanation:
A fixed cost is an expense that the company must incur, even if the company operates at medium speed, or does not, which is why they are so important in the financial structure of any company.
This is the case, for example, of payments such as leasing, since this, if nothing is sold, must be paid. It also happens with almost all labor payments, public services, insurance, etc.
Perhaps the main component of fixed costs is labor, therefore, it is not surprising that companies struggle every day for greater labor flexibility that allows them to convert those fixed costs into variables.
That is a job description
Answer:
The residual value of the building is $19000
Explanation:
depreciation expense=cost-residual value/useful life
cost is $67,000
useful life is 8 years
residual value is unknown
$6000=$67,000-x/8 years
$6000* 8 years=$67,000-x
$48,000=$67,000-x
x=$67,000-$48,000$
x=$19,0000
The residual value of the asset is $19,000
Answer:
The correct answer is $13,325.
Explanation:
According to the scenario, the given data are as follows:
Total sales = $487,000
Cost of goods sold = $394,500
Depreciation expense = $43,800
Interest paid = $18,200
dividends paid = $6,500
Tax rate = 35%
so, first we calculate net income.
Net income = ( Total sales - Cost of goods sold - Depreciation expense - Interest paid ) - 35%
= ($487,000 - $394,000 - $43,800 - $18200 ) - 35%
= $30,500 - $10,675
= $19,825
Addition to retained earnings = Net income - Dividends Paid
= $19,825 - $6,500
= $13,325
Hence, the correct answer is $13,325.