Answer:
Option (B) is correct.
Explanation:
If there is an increase in the income of the consumer then as a result there is a parallel shift in the budget line. This increase in income will increase the real purchasing power of the consumers and hence, this would increase the quantity of two goods consumed in an equal proportion.
Other factors remains the same, an increase in the income level of the consumer will increase the consumption of both the goods because the prices of both the goods are constant.
Answer:
Debit finished goods inventory
Credit Work in Process Inventory
Explanation:
The journal entry that is required to transfer the completed products from the production stage to finished goods inventory which is the amount of goods in the inventory that have been produced and as well is available and ready for customer to buy will includes to Debit finished goods inventory and to Credit Work in Process. Inventory
Debit finished goods inventory
Credit Work in Process Inventory
(Being to record finished goods inventory)
Answer:
Voidable Contract
Explanation:
Voidable Contract
This is a type of contract or legal agreement in which any of the parties involved or the both parties may chose to render it unenforceable for a given number of reasons. This type us different from a void contract in that, it is a valid contract which may either be affirmed or rejected by both or either parties.
Some reasons that may lead to the withdrawal of the contract are misinterpretation, coercion and fraud etc.
It is a valid contract that can be declared invalid. It is different from VOID as earlier pointed out as a void contract cannot be enforced by either party. Examples of voidable contract are found in real estate contract, lawyer contract and so on.
The question is incomplete as it is missing the figures. The complete question is,
Mercer, Inc. provides the following data for 2019:
Net Sales Revenue 598000
Cost of Goods Sold 350000
The gross profit as a percentage of net sales is ________. (Round your answer to two decimal places.)
Answer:
Gross profit as a percentage of net sales = 0.4147 or 41.47%
Explanation:
The gross profit is a profit earned by a business through its trading activity. It is calculated by deducting the cost of goods sold from the net sales revenue and it is the profit earned by a business before deducting any operating and non operating expenses of the business.
Gross profit = Net Sales - Cost of goods sold
Gross Profit = 598000 - 350000 = $248000
The gross profit as a percentage of net sales is,
Gross profit as a percentage of net sales = Gross profit / Net Sales
Gross profit as a percentage of net sales = 248000 / 598000
Gross profit as a percentage of net sales = 0.4147 or 41.47%
