Answer:
EBT= $5,000
Explanation:
<u>We need to calculate the earnings before taxes:</u>
Sales= 500*15= 7,500
COGS= 500*2= (1,000)
Gross profit= 6,500
Depreciation= (500)
Interest= (1,000)
EBT= 5,000
<u>Now, if we want to continue and calculate the net income:</u>
EBT= 5,000
Tax= (5,000*0.35)= (1,750)
Depreciation= 500
Net income= 3,750
Requiring a signed contract prior to acquisition of assets is an example of a high-level business policy
<u>Explanation:
</u>
An asset purchase agreement (APA) is an understanding between a purchaser and a dealer that finishes terms and conditions identified with the buy and closeout of an organization's advantages.
It's essential to note in an APA exchange, it isn't fundamental for the purchaser to buy the entirety of the advantages of the organization. Truth be told, it's basic for a purchaser to bar certain benefits in an APA.
Arrangements of an APA may incorporate installment of price tag, regularly scheduled payments, liens and encumbrances on the benefits, condition point of reference for the end, and so on.
An APA contrasts from a stock buy understanding (SPA) where organization shares, title to resources, and title to liabilities are likewise sold. In an APA, the purchaser must choose explicit resources and keep away from repetitive resources.
These benefits are organized in a timetable to the APA. The purchaser in a SPA is acquiring portions of the organization. For this situation, order isn't essential because of move of organization's possession happens in its present condition. The APA is the lawful system for executing a corporate merger or obtaining.
The oil and gas industry doesn't recognize a benefit and stock buy in naming its related buy understanding. In this industry, in the case of buying resources or stock, the conclusive understanding is alluded to as the Purchase and Sale Agreement (PSA).
Answer:
The answer is letter C.
Explanation:
Revenues of the blended component unit.
Answer:
Present value = $45,185,606
Explanation:
Data:
number of periods(n) = 17 years
First-year profit = $5 million
Growth rate = 2%
Interest rate = 10%
Present value = ?
Solution:
The present value of the growing annuity can be calculated as follows
Formula:
Let's denote
annual interest rate = x
annual growth rate = y
Present value = First-year profit x
Present value = $5,000,000 x
Present value = $5,000,000 x 9.03
Present value = $45,185,606
Answer:
The answer is C. Kristin, Lindsey, and Mobile
Explanation:
In partnership, there is no distinct difference between the partners(Kristin and Lindsey) and their firm(Mobile Devise). Any contract either of the partners signs on behalf of Mobile Devise is binding on the partners and their firm.
Also in partnership, their liabilities are unlimited. Whatever loss Mobile devise incurs will be their loss unlike in corporation firms.