I think the explanation of this manner is that the concession items have a high-profit margin. It has more sales than the theater tickets. So to avoid the possible losses of income, the theater decides to make the prices of each item of concession stand must be the same to a different group of people.
Answer: C. It is an important basis for effective communication
Explanation:
Credibility is the quality of being able to be trusted. Can people trust the things you say or promise. That is credibility. It is very important in communication because for one to get their ideas across, the people being communicated to must trust and believe what you are saying. For communication to work, utterances must be able to have an impact and if the person communicating does not have credibility, chances are that the people listening will simply ignore what the communicator is saying simply because they don't believe it to be true.
Answer and Explanation:
The computation is shown below:
a. The manufacturing overhead is
= factory utilities + depreciation on factory equipment + indirect factory labor + indirect material + factory manager salary + property tax + factory repairs
= $16,500 + $12,650 + $48,900 + $70,800 + $8,000 + $2,500 + $2,000
= $161,350
b. The product cost is
= Direct material used + direct labor + total manufacturing overhead
= $157,600 + $79,100 + $161,350
= $398,050
c. The period cost is
= Depreciation on delivery truck + sales salaries + repairs to office equipment + advertising + office supplies used
= $3,800 + $48,400 + $1,300 + $23,000 + $4,640
= $81,140
Answer and Explanation:
The Journal entries are shown below:-
1. Cash Dr, $19,200,000
To Deferred revenue $19,800,000
(Being receipt of cash for gift cards is recorded)
2. Deferred revenue Dr, $12,200,000
To Sales revenue $12,800,000
(Being revenue recognized from the redemption of gift cards is recorded)
3. The computation of ending balance in Deferred revenue is shown below:-
Ending balance in Deferred revenue = Sold apples - Redeem amount of the gifts
= $19,200,000 - $12,200,000
= $7,000,000
