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3 years ago

Shelhorse Corporation produces and sells a single product. Data concerning that product appear below:

Business

1 answer:

zloy xaker [14]3 years ago

5 0

Answer:

See explanation section.

Explanation:

Requirement 1

At first we have to find the original net income.

Shelhorse Corporation

Contribution format income statement

For the year ended, December 31, 20YY

Sales Revenue (6,100 × $260) = $1,586,000

Less: Variable expense (6,100 × $91) = $555,100

Contribution Margin = $1,030,900

Less: Fixed Expense $366,000

Net Operating Income = $664,900

Requirement 2

As the marketing manager believes that a $23,000 increase in the monthly advertising budget would result in a 150 unit increase in monthly sales, the new sales volume = 6,100 + 150 = 6,250 and new fixed expense = $366,000 + $23,000 = $389,000

Shelhorse Corporation

Contribution format income statement

For the year ended, December 31, 20YY

Sales Revenue (6,250 × $260) = $1,625,000

Less: Variable expense (6,250 × $91) = $568,750

Contribution Margin = $1,056,250

Less: Fixed Expense = $389,000

Net Operating Income = $667,250

The effect on the company's monthly net operating income of this change = $667,250 - $664,900 = $2,350

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As a server you earn $30000 per year, including tips. Someone offers you a new job as an economic consultant, which pays $100,00

Murljashka [212]

Answer:

(B) If the explicit cost for the consulting job is $25,000 per year, your economic profit is equal to $45000.

Explanation:

Economic profit is obtained by substracting explicit (monetary) costs, and implicit (opportunity) costs, from total earnings.

In this case, the earnings for working as an economic consultant are $100,000. The implicit, opportunity cost is the $30,000 that are given up because of quitting the serving job. If the explicit cost of renting an office, purchasing supplies and buying a computer is $25,000, then, we have the following equation:

Economic profit = earnings - explicit costs - implicit costs

= $100,000 - $25,000 - $30,000

= $45,000

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4 years ago

Freedom Company had 450,000 shares of common stock issued as of December 31, 2020. 350,000 had been issued and outstanding as of

Stels [109]

Answer:

$3.03

Explanation:

Calculation for What should be Freedom Company's 2020 earnings per common share,

Earnings per common share =$1,160,000/ [$350,000 + ($100,000 × 4/12 )]

Earnings per common share=$1,160,000/($350,000+$33,333)

Earnings per common share=$1,160,000/$383,333

Earnings per common share= $3.03

Therefore What should be Freedom Company's 2020 earnings per common share is $3.03

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3 years ago

References that employers trust for the most accurate reporting include

Aliun [14]

Answer: counselors

Explanation:

References that employers trust for the most accurate reporting include counselors. Employers don't trust the friends, relatives and parents of the prospective employees or employees for an accurate report because employers believe that they're not professional enough and due to their closeness to the employee, they may give false information in order to put the employee at an advantage. Employers see counselors as being more professional and will give the right informations.

It should be noted that in a case whereby a candidate performs well in his or her job tests and interviews and has a positive recommendation from his or her references together, the person has a high chance of being employed.

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3 years ago

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Which stage is arguably the most formal and structured opportunity for organizational change?a. Data gatheringb. Diagnosisc. Int

Stella [2.4K]

Answer:

Intervention

Explanation:

Structural change is defined as a change to corporate structure that can be as a result of internal or external factors and affects the mode of operation of the company.

Intervention are measures taken to improve organisation structure and processes.

It seeks to minimise negative effects and maximise effectiveness of the organisation.

This is the ideal stage for formal and organisational change to occur.

New systems can be put in place that will remove inefficiency in the business.

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4 years ago

The following transactions for King Maponga Traders transpired during the month of July 2021 Date Details of transactions 1 3 6

NNADVOKAT [17]

Recording Journal Entries of transactions for the month of July 2021 in the books of King Maponga Traders are as follows:

Journal Entries:

July 1 Debit Delivery Vehicle R65,200

Credit Common Stock R65,200

To record the issuance of Journal voucher JV 012.

July 3 Debit Drawings, King Maponga R1,000

Credit Inventory R1,000

To record the issuance of Journal voucher JV 013.

July 6 Debit Interest Receivable (Mr. Settler) R1,800

Credit Interest Revenue R1,800

To record the issuance of Journal voucher JV 014.

July 12 Debit Discounts Allowed R650

Credit Accounts Receivable (C. Zama) R650

To record the issuance of Journal voucher JV 015.

July 20 Debit Motor Vehicle R67,000

Credit Office Equipment R67,000

To record the issuance of Journal voucher JV 016.

July 26 Debit Bad Debts Expense R16,000

Credit Accounts Receivable (Mr. Dodger) R16,000

To record the issuance of Journal voucher JV 017

Data Analysis:

July 1 Delivery Vehicle R65,200 Common Stock R65,200

July 3 Drawings, King Maponga R1,000 Inventory R1,000

July 6 Interest Receivable (Mr. Settler) R1,800 Interest Revenue R1,800

July 12 Discounts Allowed R650 Accounts Receivable (C. Zama) R650

July 20 Motor Vehicle R67,000 Office Equipment R67,000

July 26 Bad Debts Expense R16,000 Accounts Receivable (Mr. Dodger) R16,000

Read more about recording journal entries at brainly.com/question/17201601

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3 years ago