Answer:
d) Debit Expenses $50,000 and Claims payable $100,000; Credit Cash $150,000.
Explanation:
As for the information provided,
There was this law suit against the company from past several years. Where the lawyers already estimated that liability on the company will arise amounting $100,000.
Thus, on the provisional basis such claims of $100,000 would have been provided ideally.
Now, after final judgement the court had cleared about the claim which is $150,000.
Thus, entry to record such claim of $150,000 will be:
Expenses A/c Dr. $50,000
Claims Payable A/c Dr. $100,000
To Cash A/c $150,000
Answer:
10.52 years
Explanation:
We can work out the number of years using this relationship
V =P× (1+r)^n
V= tribe valeu = 3×3.5 = 10.5
r-growth rate -11%
n- number of years- ?
10.5 = 3.5× (1.11)^n
<em>dividing both sides by 1.11^n</em>
1.11^n = 10.5/3.5
<em>taking the log of both sides</em>
n log 1.11 = log 3
n = log 3/log 1.11
n =10.52
Answer:
b. False
Explanation:
The difference between absorption costing net operating income and variable costing net operating income lies in the <em>fixed costs deferred in closing inventory</em>.
If Production is greater than Sales - <u>Increase in Finished Goods Inventory</u>, Absorption costing net operating income will typically be greater than Variable costing net operating income.
However, If Production is less than Sales - <u>Decrease in Finished Goods Inventory</u>, Absorption costing net operating income will typically be less than Variable costing net operating income.
Refiners are in the secondary sector of the market because they are taking inputs and making them into products for consumption.
Answer
Option C
Decrease in cost $132,672
Explanation:
T<em>o determine the increase or decrease in costs associated with making, we will compare the relevant costs of the two options as follows</em>
<em> $</em>
Variable cost of making 10
Variable cost buying <u>14</u>
Savings in cost per from making 4
Total cost savings (decrease) 4 × 33,168 = $132,672
Decrease in cost as result of making =$132,672