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marshall27 [118]
3 years ago
7

What makes buying a foreclosed property risk

Business
1 answer:
navik [9.2K]3 years ago
4 0

Answer:

You can not check the property beforehand for damages, which is a risk.

Explanation:

A foreclosure property is that property which is being sold off by a lender in order to payoff default.

There are a number of risks involved in buying such property. The process of buying is lengthy and complicated.

Buyers are not allowed to check the property before auction. Often these properties are damaged because the owners can not afford to manage. Or the angry owners may damage the property purposely in order to punish the lenders.

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The Alpha Division of the Carlson Company manufactures product X at a variable cost of $40 per unit. Alpha Division's fixed cost
zheka24 [161]

Answer:

$70 per unit.

Explanation:

Based on the information given we were been told that the market price of X costs the amount of $70 per unit which simply means that market price exists, based on this the transfer price of X in a situation were each division is been treated as a profit making center will be the market price of $70 per unit.

8 0
3 years ago
Pharoah Warehouse distributes hardback books to retail stores and extends credit terms of 2/10, n/30 to all of its customers. Du
Alinara [238K]

Answer:

Pharoah Warehouse

Journal Entries:

June 1: Debit Inventory $2,490

Credit Accounts Payable (Catlin Publishers) $2,490

To record the purchase of inventory on account, terms 2/10, n/30.

June 3: Debit Accounts Receivable (Garfunkel Bookstore) $1,300

Credit Sales Revenue $1,300

To record the sale of goods on account with usual credit terms.

Debit Cost of Goods Sold $900

Credit Inventory $900

To record the cost of goods sold.

June 6: Debit Accounts Payable (Catlin Publishers) $90

Credit Inventory $90

To record the return of inventory.

June 9: Debit Accounts Payable (Catlin Publishers) $2,400

Credit Cash $2,352

Credit Cash Discount $48

To record the payment on account.

June 15: Debit Cash $1,300

Credit Accounts Receivable (Garfunkel Bookstore) $1,300

To record the cash collection on account.

June 17: Debit Accounts Receivable (Bell Tower) $1,700

Credit Sales Revenue $1,700

To record the sale of goods on account.

Debit Cost of Goods Sold $800

Credit Inventory $800

To record the cost of goods sold.

June 20: Debit Inventory $800

Credit Accounts Payable (Priceless Book Publishers) $800

To record the purchase of goods on account, terms 2/15, n/30.

June 24: Debit Cash $1,666

Debit Cash Discounts $34

Credit Accounts Receivable (Bell Tower) $1,700

To record the collection of cash on account.

June 26: Debit Accounts Payable (Priceless Book Publishers) $800

Credit Cash $784

Credit Cash Discounts $16

To record payment on account.

June 28: Debit Accounts Receivable (General Bookstore) $2,650

Credit Sales Revenue $2,650

To record the sale of goods on account.

Debit Cost of Goods Sold $850

Credit Inventory $850

To record the cost of goods sold.

June 30: Debit Sales Returns $260

Credit Accounts Receivable (General Bookstore) $260

To record sales returns on account.

Debit Inventory $90

Credit Cost of Goods Sold $90

To record the cost of goods returned by a customer.

Explanation:

a) Data and Analysis:

Credit terms to all customers = 2/10, n/30.  This means that 2% discount is granted to customers who pay within 10 days.  Customers are expected to settle their accounts within 30 days after which, interest is charged on their accounts.

b) June 1: Inventory $2,490 Accounts Payable (Catlin Publishers) $2,490,  terms 2/10, n/30.

June 3: Accounts Receivable (Garfunkel Bookstore) $1,300 Sales Revenue $1,300

Cost of Goods Sold $900 Inventory $900

June 6: Accounts Payable (Catlin Publishers) $90 Inventory $90

June 9: Accounts Payable (Catlin Publishers) $2,400 Cash $2,352 Cash Discount $48

June 15: Cash $1,300 Accounts Receivable (Garfunkel Bookstore) $1,300

June 17: Accounts Receivable (Bell Tower) $1,700 Sales Revenue $1,700

Cost of Goods Sold $800 Inventory $800

June 20: Inventory $800 Accounts Payable (Priceless Book Publishers) $800, terms 2/15, n/30.

June 24: Cash $1,666 Cash Discounts $34 Accounts Receivable (Bell Tower) $1,700

June 26: Accounts Payable (Priceless Book Publishers) $800 Cash $784 Cash Discounts $16

June 28: Accounts Receivable (General Bookstore) $2,650 Sales Revenue $2,650

Cost of Goods Sold $850 Inventory $850

June 30: Sales Returns $260 Accounts Receivable (General Bookstore) $260

Inventory $90 Cost of Goods Sold $90

6 0
3 years ago
Exercise 4-15A Calculate net cash flows (LO4-7) Below are several transactions for Meyers Corporation for 2021. Issue common sto
Maru [420]

Answer:

$12,600

Explanation:

Particulars                                                              Amount

a. Issue common stock for cash                            $40,000

b. Purchase building and land with cash,            -$25,000

c. Provide services to customers on account       $6,000

d. Pay utilities on building                                      -$500

e. Collect $4,000 on account from customers     $4,000

f. Pay employee salaries                                        -$8,000

g. Pay dividends to stockholders                          -<u>$3,900</u>

   Net Cash Flow                                                    <u>$12,600</u>

7 0
3 years ago
The town of Fairness has a law that says that wages should be high enough to ensure that all people can afford to buy enough foo
Angelina_Jolie [31]

Answer:

Price ceiling

Explanation:

The price ceiling means the maximum price that is charged by the supplier to the consumer. If is not affected so it is above equilibrium price and in case when it is below than the demand is greater than the supply.

So in the given question, it is mentioned that the prices of food are set low that are sufficient to meet the requirement represent the price ceiling example

8 0
3 years ago
An individual works from a generalization to a specific conclusion when creating logical appeal with​ __________.
emmainna [20.7K]
Deductive Reasoning.


((:
6 0
3 years ago
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