Answer:
False.
Explanation:
Profit can be defined as the financial benefit received by a business organization when the total revenue exceeds the total costs. Revenues are as result of the sales while the total costs include; costs of running the business, expenditures and taxes. Profit can be calculated using the formula below;
P=R-C
where;
P=profits
R=total revenue
C=total costs
This can also be expressed as;
Profits=Total revenue-total costs.
In the case above, even if the two firms have identical sales, operating costs, employee competence, assets, and financing policies, they don't have identical tax liability. Tax liability can be defined as the amount of tax that is owed to an authority usually the government. Firms usually differ in the amount of tax they are to pay with regard to numerous factors. One factor is that whether the firm is registered as an S corporation or not. An S corporation is a company that does not pay corporate tax. The taxes in an S corporation are filed on individual incomes thus avoiding double taxation.
Explanation:
The purchase decision process on the Internet or on mobile devices compared to purchases in a physical store, differ according to the characteristics of each of the shopping environments.
According to Kotler and Keller, the consumer purchase decision process goes through 5 stages:
- problem or need recognition,
- information search,
- evaluation of alternatives,
- purchase,
- post-purchase behavior.
Therefore the consumer will determine which are the essential attributes when making a purchase and which ones will bring the greatest benefits.
Currently the online shopping market has grown substantially, since most individuals have access to the internet, which makes companies look for a greater online presence, which guarantees the possibility of also offering consumers greater benefits, such as greater discounts and promotions. , since, there is a reduction in systemic and physical costs when the company sells over the internet.
Therefore, online stores compared to physical stores are more likely to offer purchase and post-purchase benefits, in addition to a greater variety of products and brands available, increasing consumer choice.
Answer:
interest expense 3,000 debit
interest payable 3000 credit
Explanation:
We will recognize the accrued interest for the period Nov 1st to Dec 31th
principal x rate x time
120,000 x 11%/12 x 3 months = 3,000
We divide the rate by 12 as there is express as annual rate and we need to match with time, which is months.
The entry will recognize interest expense for 3,000
and interest payable for 3,000
Answer:
YTM is 7.46%
Explanation:
Given:
Face value of bond (FV) = $1,000
Years to maturity (nper) = 10
Coupon rate = 10%
Coupon payment (pmt) = $100 (0.1×1,000)
Price of bond (PV) = $1,175
If the bonds are held till maturity, then yield to maturity is calculated using excel function =Rate(nper,pmt,PV,FV)
Yield of bond if held till maturity is 7.46%
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