All categories

3 years ago

An expenditure made in connection with a machine being used by an enterprise should be:

Business

1 answer:

GarryVolchara [31]3 years ago

6 0

Answer:

The correct answer is D

Explanation:

Expenditure is the funds which is used by organizations, firms or the corporations in order to attain the improve existing ones, new assets or the decrease the liability. In short, it is the use of the resource in the business operations.

So, when the expenditure is made on machine which is used by an enterprise need to be capitalized if it increase the quantity produced by the machine.

You might be interested in

Top Sound International designs and sells high-end stereo equipment for auto and home use. Engineers notified management in Dece

Angelina_Jolie [31]

Answer:

Yes

Explanation:

Since in the question it is mentioned that the product recall is probable and predicted that the cost to the company is $2.8 million so this represent the contingent liability as it is probable & estimated

So the same should be disclosed and reported

Hence, the answer should be yes

The same is to considered relevant

4 0

3 years ago

Suppose that there is only one provider of a service in a state. Because this provider experiences economies of scale, the gover

Radda [10]

Answer:

The correct answer is A

Explanation:

Monopoly is the market structure in which there is a single seller of the product and service. And the seller enjoys the freedom and does not have any competition in the market.

So, this is the case of a monopoly market structure as there is only single seller in the state. And the government regulate the monopolies so that could protect the interest of customers and adopt the policies such as merger regulations, competition in market and breaking down the monopoly.

Therefore, the government could control the prices by price capping, in which the government set the limit on the prices of the service. And in the case of monopolies have the power set the prices above the equilibrium level. Hence, it is required to regulate the price.

3 0

3 years ago

Morin Company's bonds mature in 10 years, have a par value of $1,000, and make an annual coupon interest payment of $60. The mar

m_a_m_a [10]

Answer:

= $865.79

Explanation:

The value of the bond is the present value (PV) of the future cash receipts expected from the bond. The value is equal to present values of interest payment plus the redemption value (RV).

Value of Bond = PV of interest + PV of RV

The value of bond of Morin Company can be worked out as follows:

Step 1

PV of interest payment

PV = A × (1-(1+r)^(-n))/r

r- 8%, n- 10, A- interest payment = 60

PV of interest

= 60× (1- (1+0.08)^(-10)/0.08

= 402.60

Step 2

PV of Redemption Value

PV = RV × (1+r)^(-n)

= 1,000 × (1.08)^(-10)

= $463.193

Step 3

Price of bond

= $536.80 + 463.19

= $865.79

7 0

4 years ago

In the former Soviet Union, the quantities of output and prices to be charged by key firms were determined by

lukranit [14]

Answer: Gosplan

Explanation:

8 0

3 years ago

You are in talks to settle a potential lawsuit. The defendant has offered to make annual payments of $35,000, $39,000, $80,000,

storchak [24]

Answer:

The value of the settlement today = $231,897.79

Explanation:

The value of the settlement today is the sum of the present value (PV) of cash inflows discounted at the discount rate of 5.7 %.

Year PV

1 35,000 × 1.057^(-1) = 33112.58

2 39,000× 1.057^(-2) = 34907.16

3. 80,000× 1.057^(-3) = 67743.09

4 120,000 × 1.057^(-4) =96134.94

The Pv of the total cash in flow =33,112.58 + 34,907.17 + 67,743.09 + 96,134.95 = 231,897.79

The value of the settlement today = $231,897.79

7 0

3 years ago