Answer:
Final Value= $61,037.04
Explanation:
Giving the following information:
Investment= $2,378 in a bank at the end of every year for 10 years.
The company makes no deposits during the subsequent 5 years.
Interest rate= 10%
First, we need to calculate the first 10 years.
FV= {A*[(1+i)^n-1]}/i
A= annual deposit
FV= {2,378*[(1.1^10)-1]} / 0.1
FV= $37,899.20
Now, the 5 years:
FV= PV*(1+i)^n
FV= 37,899.2*(1.1^5)
FV= $61,037.04
Answer:
The correct answer is ending inventory and cost of goods sold
Explanation:
Cost of goods available for sale is defined as the maximum amount of the inventory or the goods which the company could possibly sell during the fiscal or accounting period.
The cost of goods which are available for sale need to be allocated among the cost of goods sold and the ending inventory at the end of the year, where the cost of goods equals to the cost of goods available for sale subtract the ending inventory.
Answer:
E) Market Exchange
Explanation:
Market exchange refers to at least two people or firms trading one good or service for another. In this case, the theater group is trading a free show and other promotional activities (standup comedy nights, and volunteer work) in exchange for higher membership to their group or higher attendance to their shows.
A trade does not necessarily imply a money exchange, it can also include goods or services that provide utility for the other party. For example, an increase in group membership will help the theater group perform better.
Answer:
A home improvement store that just began business last year and had $2.7 million in gross receipts.
Explanation:
The IRS allows only a limited number of businesses to use cash basis accounting and in order to do so, the business must be:
- Partnership or C corporation with less than $5 million in total sales revenue per year
- Sole proprietorship or S corporation with less than $1 million in total sales revenue
- Cannot be a publicly traded corporation
- Personal service businesses with more than 95% of revenue specifically related to services.
- Family owned farms with total annual sales revenue less than $25 million.
