Answer:
The options for this question are the following:
a. Star
b. Cash Cow
c. Question Mark
d. Dog
e. None of these
The correct answer is b. Cash Cow
.
Explanation:
The cash cow is a metaphor for a cash cow that produces milk throughout its life and requires little maintenance. A cash cow is an example of a cash cow, since after the initial capital outlay has been paid, the cow continues to produce milk for many years. These cash generators can also use their money to repurchase shares in the market or pay dividends to shareholders.
A cash cow is a company or business unit in a mature, slow-growing industry. Milk cows have a large market share and require little investment. For example, Apple (NASDAQ: AAPL) is considered a cash cow because it has established a well-defined niche in wireless gadgets. The different Apple product lines generate cash for other business lines at the beginning of their life cycle. On the contrary, a star is a company or business unit that operates in a high-growth industry. Question marks are the problematic son of the BCG shared growth matrix. They operate in high-growth markets and require capital to grow, but the probability of success is unknown. Dogs do not require much cash, but due to age, they tend to absorb large portions of capital.
Answer:
Book value 2020= $18,000
Explanation:
Giving the following information:
Purchasing price= $55,000
Residual value= $5,000
Useful life= 5 years
First, we need to determine the depreciation expense for 2018 and 2019. We will use the following formula:
Annual depreciation= 2*[(book value)/estimated life (years)]
2018= 2*[(55,000 - 5,000)/5]= 20,000
2019= 2*[(50,000 - 20,000)/5]= 12,000
Book value 2020= 30,000 - 12,000
Book value 2020= $18,000
Explanation:
LIFO stands for “Last-In, First-Out”. It is a method used for cost flow assumption purposes in the cost of goods sold calculation. The LIFO method assumes that the most recent products added to a company's inventory have been sold first. The costs paid for those recent products are the ones used in the calculation.
This could depend on the person who caused the collision. However, it would most likely be false because very rarely will the person want to accept the consequences.
The correct option is C - Increase assets and increase liabilities
<u>Explanation:</u>
When anorganization purchases office supplies on account then it becomes essential to record such supplies as supplies on hand. Generally, in a business organization, the supllies on hand are used up within the span period of one year which means that they are to be recorded as current asset in the financial statement ( balance sheet). As no cash has been paid to merchandise, so it increases the liabilities also.
Therefore, it will increase the current assets and current liabilities.
