Goodwell will recognize 3 months (Oct 1 - Dec 31) of rent revenue earned, and will reduce (debit) the unearned rent revenue for those 3 months.
2,500 x 3 months = 7,500
Journal Entry, Dec 31:
Unearned Rent Revenue: 7,500
Rent Revenue: 7,500
The new Unearned Rent Revenue Account balance will be:
12,500 - 7,500 = 5,000
Answer:
Sparrow Co's automobiles are premium brands that command premium prices
Explanation:
The fact that both automobile makers incurs the same cost of $9,000 is just one of many factors to consider because the processes involved in manufacturing are not necessarily the same.
Besides,the level of workforce efficiency and the state of technology deployed are not necessarily the same.
It could also be that Sparrow Co. was able to achieve same level of cost with Bison Autos because it adopted modern cost reductions techniques such as Just-In Time which eliminates the need to keep inventory, thereby eliminating excessive costs of holding inventory.
All in all,Sparrow Co,could project itself as a maker of high-end brands and increase prices as appropriate.
The Watergate scandal is what changed the laws in the US about companies bribing officials.
A tagline is a catchphrase or slogan used to advertise a brand. It is a short phrase or a series of phrases,often presented in conjunction with a brand logo,that is intended to add meaning to a brand
The question is incomplete. The complete question is :
A manufacturer of mountain bikes has the following marginal cost function:
where q is the quantity of bicycles produced.
When calculating the marginal revenue and marginal profit in this problem, use the approach given for the marginal cost and marginal revenue in the discussions in your textbook.
a) If the fixed cost in producing the bicycles is $2800, find the total cost to produce 30 bicycles?
b) If the bikes are sold for $200 each, what is the profit (or loss) on the first 30 bikes?
Solution :
Given :
a). Fixed cost, FC = $ 2800
Total cost to produce 30 bicycles is :
![$= 2800+700\left[\frac{\ln (0.7q+8)}{0.7}\right]^{30}_0$](https://tex.z-dn.net/?f=%24%3D%202800%2B700%5Cleft%5B%5Cfrac%7B%5Cln%20%280.7q%2B8%29%7D%7B0.7%7D%5Cright%5D%5E%7B30%7D_0%24)
![$=2800+1000[\ln ((0.7 \times 30)+8)- \ln 8 ]$](https://tex.z-dn.net/?f=%24%3D2800%2B1000%5B%5Cln%20%28%280.7%20%5Ctimes%2030%29%2B8%29-%20%5Cln%208%20%5D%24)
![$= 2800 +1000 [\ln 29 - \ln 8]$](https://tex.z-dn.net/?f=%24%3D%202800%20%2B1000%20%5B%5Cln%2029%20-%20%5Cln%208%5D%24)
= 2800 + 1287.85
= $ 4087.85
b). Total selling price = $ (200 x 30)
= $ 6000
Profit = 6000 - 4087.85
= $ 1912.15
