Answer:
$140,000
Explanation:
The difference between operating incomes under absorption costing and variable costing based on fixed expenses is shown below:
Variable costing:
Fixed manufacturing overhead in production $750,000
Absorption costing:
The Fixed cost would be
= Beginning fixed manufacturing overhead in inventory + Fixed manufacturing overhead in production - Ending fixed manufacturing overhead in inventory
= $190,000 + $750,000 - $50,000
= $890,000
So, the difference would be
= $890,000 - $750,000
= $140,000
Answer: verifiable
Explanation:
A financial information is verifiable when the independent measurers get similar results when using the same accounting measurement methods.
In this scenario, the independent measures use thesame method but do their work separately without them knowing the results gotten by the other person. When there's similarity in the results, it shows that the results are verifiable.
Answer:
The correct answer is letter "D": must be long-lived and used by the company in its normal operations.
Explanation:
Fixed assets are tangible resources used by a corporation to produce profits. To qualify as a fixed asset, the item can not be consumed or sold in less than one year and be part of the daily operations of the business. Fixed assets are listed on the balance sheet of the company and are subject to depreciation.
Examples of fixed assets include <em>buildings, factories, leasehold improvements, computers, electronic hardware, furniture, automobiles, </em>and <em>construction equipment.</em>
Answer:
Total $1,271.0564
Explanation:
We have bond of 10 years ago, so the bond is left with 5 years of life
<u>we need to calculate the present value ofthe cuopon payment:</u>
C 50 (1,000 x 5%)
time 10 (5 years 2 payment a year)
rate 0.02 (4% annual divide by 2 to get semiannually)
PV $449.1293
<u>and the present value of the principal</u>
Maturity 1000
time 5
rate 0.04
PV $821.9271
<u>We add both to get the present value ofthe bond</u>
PV c $449.1293
PV m $821.9271
Total $1,271.0564
The principle of mercantilism views trade as a zero-sum game.
Mercantilism, an economic theory, is believing in the benefits of profitable trading.
Zero-sum is describing a trade where one side of the trade benefits, but the other does not.