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yarga [219]
3 years ago
7

A,B,C, or D on 8-10__________

Business
1 answer:
JulijaS [17]3 years ago
3 0

Answer:

8.C.)

9.A.)

10. Not sure.

Explanation:

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Riya has recently started a restaurant in a commercial area that already has many other establishedrestaurants and popular fast-
STatiana [176]

Answer:

Option 4 Building is the most valuable asset owned by Riya

Explanation:

The reason is that the asset lowers the breakeven point and also helps to increase the profit by offering at lower prices than the competitor to increase the product demand and earn more by increased demand (Demand and price relationship application). So the most valuable asset from the business perspective is building owned by Riya.

3 0
3 years ago
On September 1, Year 1 Western Company loaned $36,000 cash to Eastern Company. The one-year note carried a 5% rate of interest.
alukav5142 [94]

Answer:

Option (C) is correct.

Explanation:

Given that,

Cash amount loaned = $36,000

Rate of interest on note = 5%

Time period: From September 1, Year 1 to December 31, Year 1 = 4 months

Amount of Interest revenue:

= Cash amount loaned × Interest rate × Time period

= $36,000 × 0.05 × (4/12)

= $36,000 × 0.05 × (1/3)

= $599.9 or $600

There is no cash flow from operating activity in respect of loan given to another company and interest revenue accrued on loan amount.

8 0
3 years ago
Vaughn Manufacturing's prepaid insurance was $197000 at December 31, 2021 and $90300 at December 31, 2020. Insurance expense was
Zina [86]

Answer:

Cash disbursements for insurance would be $ 168,700.

Explanation:

In accrual based accounting expenses are recorded when they are incurred. The payment against item purchased does not make it qualified to be recorded as expense. Any advance payment made is recognize as asset untill performance obligation has been completed. So in order to determine amount of payment we will use following accounting equation.

Payments = Prepaid current period + expenses - opening prepaid balance

Payments = 197,000 + 62,000 - 90,300 = $ 168,700

8 0
3 years ago
(Learning Outcome 2) Watson Plumbing performed plumbing services for ABC Daycare on account for $565. How will this transaction
Strike441 [17]

Answer:

ABC Daycare

Effect of Performing Plumbing Services on account on the Accounting Equation:

Assets (Accounts receivable) will increase by $565 and Equity (Retained Earnings) will equally increase by $565

Explanation:

a) Data and Analysis:

Accounts receivable $565 Service Revenue $565

The accounting equation that equals assets to liabilities and equity is always true at all times and with every correctly posted transaction.  It implies that assets are financed through the contributions made by either the owners (equity) or the creditors (debts), or a combination of the two.  This equation forms the basis for the double-entry system of financial accounting.

7 0
3 years ago
Dividends-R-Us, Corp. is paying a dividend of $3 a share today. It is expected that the company will continue its policy of incr
leonid [27]

Answer:

Amount for each stock to be paid at maximum = $54

Explanation:

Using Dividend growth model, we have,

P_0 = \frac{D_1}{K_e - g}

Where P_0 = Expected price of share today

D_1 = Dividend to be paid at this year end

= D_0 + g

K_e = Required return on investment

g = Growth rate

Therefore,

D_1 = = $3 + 8% = $3.24

P_0 = \frac{3.24}{0.14-0.08}

P_0 = $54

Therefore, current price for this share or sock to be paid = $54 per share.

5 0
3 years ago
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