Answer: 1. Goodwill
2. a. Record no entry in the books
b. Record a loss in the books
Explanation:
1. The Special asset created by Heartland Telecom's acquisition of Surety Wireless is Goodwill.
Goodwill is the difference between what the company was worth and what it was purchased for if the purchase price was higher than the worth (market value).
2. a. Goodwill should be accounted for by recoding it in the Long term Assets under Intangible Assets in the balance sheet. It should not be amotrized. If Goodwill increases, there should be no recording this <u>gain</u> on the books.
b. If the value of the asset has decreased, Heartland should record a loss in the books to represent the loss on this account.
Answer:
Web brosers are not considered a company's resource.
Explanation:
The reasons behind this answer are that in the first place, the company does own the hardware or office equipment the employee uses to send the e-mails. Also, they own the time because they have the arrangement to acquire the employees' time and skills to develop certain tasks. Furthermore, the company's also own the software they paid for. However, web browsers are free to use and they don't require licenses to be used. Therefore, web browsers are not copay's resources.
Answer:
$6618 annual payment
Explanation:
Employer's annual contribution = $1500 until trust fund distribution
trust fund distribution = $25000
years to trust fund distribution = 20 years
To calculate the amount she must deposit to make up the amount ( future required amount ) she will pay the difference between the required value and the contribution from her employer + trust fund distribution
future value = 1500 FVIFA(8%,30) + 2500 FVIFA( 8%,10)
= 169924( 1500*113.28) + 53973 = 223897
therefore the required total of what she should deposit = 973633 - 223897 = 749735
the amount she must deposit annually is calculated as
749735 ( total payment ) = annuity * FVIFA(8%,30 )
ANNUITY = 749735 / 113.28
= $6618
NOTE : FVIFA (8%,30) and FVIFA( 8%,10) values are gotten from the FVIFA table
Answer:
its long-run average total costs will fall
Explanation:
Economies of Scale is a term used in business operation or production manufacturing to describe the cost benefits a company or firm acquired when it expands its quantity or number of output. This often leads to a decrease in average variable cost.
Hence, the right answer is this situation is If a firm is experiencing economies of scale in its production process, "its long-run average total costs will fall"
Answer:
flat rate copay
Explanation:
Copay is generally a fixed amount or a fixed percentage of the medical expense that an insured must pay in order to receive medical attention or services. For example, every time I go to a doctor I pay $40, but if I need other specialized services it ranges from $80 - $120. In this case, this copay is fixed (always $20), so it is considered a flat rate copay.
