In accounting, cash receipts refer to the record of the sales made in a form of cash, therefore, credit sales are not included in this record. When we say sales made on account, this refers to credit sales. Therefore, the answer to the given statement above is FALSE.
Answer:
WACC= 17.95%
Explanation:
Weighted average cost of capital is the average cost of all of the long-term types of finance used by a company weighted according to the that amount of finance used in relation to the total pool of fund.
It is calculated using the formula below:
WACC = (We×Ke) + (Wd×Kd)
Ke-cost of equity- 22%
We- equity weight- 100% - 45% = 55%
Kd-After tax cost of debt-10.3%
Wd- 45%
After tax cost of debt = Before tax ×× (1- tax rate)
After tax cost of debt = 13%× (1-0.21) = 10.3%
Cost of equity = 22%
WACC =(0.55× 22%) + (0.45× 13%)=17.95%
WACC= 17.95%
Answer:
a. $3,520.
Explanation:
The computation of the amount of maintenance cost allocated to the Cutting Department is given below:
= maintenance cost ÷ total floor space excluding maintenance cost
= $20,000 ÷ 6,250 × 1,100
= $3,520.
hence, the option is A.$3,520.
The 6,250 comes from
= 1,100 + 2,100 + 3,050
= 6,250
Answer: C) Technical selling
Explanation:
Technical selling or technical sales is an act in which a sales person helps to address customer's needs by understanding what they needs which is a determinant of what product to buy.
Technical selling involves the sales personnel addressing the need of customers, explaining the type and features of the product they needs, network with them and make sure they are satisfied.
A technical sales person must have the ability for effective communication and have good interpersonal skills so as to maintain a good relationship with customers.
