Answer:
$4,350
Explanation:
Calculation to determine your net profit or loss on this investment
Net profit = (-$0.60 - $42.70 + $52) × 100 × 5
Net profit= $4,350
Therefore your net profit or loss on this investment is $4,350
Answer:
the bad debt expense that reported in the income statement is $2,300
Explanation:
The computation of the bad debt expense that reported in the income statement is as follows;
= Total estimated uncollectible accounts - unused balance
= $3,200 - $900
= $2,300
Hence, the bad debt expense that reported in the income statement is $2,300
Answer:
Implied agency
Explanation:
Agency
This is simply known as a form of
relationship between two parties in that the principal hires another person to represent him or her.
An agency relationship can be created with 2 types of agreements between the parties. They are
1. Express agency
2. Implied agency
Express agency
This is simply known as a formal contractural agreement. It can be in an oral or written format.
Implied agency
This is often regarded as an implied agreement. It is an agency which is created through the actions of the parties, instead of an express agreement. It is also called Ostensible agency.
Listing Agreement
This is simply defined as written employment contract which gives right to the broker to find a buyer or a tenant for the owner's property.
Answer:
LJM Corporation
1. The Maximum price that Patty Division should be willing to pay for the filters is: $45.
2. Minimum price that Shay Division should be willing to accept is: $52.
Explanation:
a) Data and Calculations:
Shay Division Patty Division
Costs:
Variable costs $16
Fixed costs 20
Sales/purchase price 52 $45
Capacity/requirement 20,000 8,000
Maximum price that Patty Division should be willing to pay for the filters is: $45.
Minimum price that Shay Division should be willing to accept is: $52.
b) The minimum transfer price should be determined based on the variable costs and the opportunity costs. The opportunity cost for Shay Division is $36 ($52 - $16). For Patty Division, the maximum price it should be willing to pay is the opportunity cost, which is the price Patty pays when it buys the filters from the market.
