Answer: d. 2.27
Explanation:
Asset Turnover = Total sales / Average Assets
Last years turnover ratio was 2.0 so assume Sales were $20 and Assets were $10 which would give the turnover of 2.0
The new turnover would be;
= (20 * 1.25)/(10 * 1.1)
= 25/11
= 2.27
Answer: $22,000
Explanation:
The total revenue to be recognized by Italian Fine Dinning Inc. is the standalone selling price for the franchise services which is $88,000.
As this contract is for a four year period, Italian Fine Dinning Inc will have to recognize the above revenue over a period of 4 years.
Revenue in December 2020 will therefore:
= 88,000 / 4
= $22,000
Answer:
$4,269,950
Explanation:
The Cost of an asset include Purchase Cost and other costs directly incurred to put the asset in the location and condition intended for use by management.
Calculation of Cost of the Building :
Architect’s fees $46,800
Insurance $3,600
liability insurance $3,900
Excavation $15,660
Contractor $4,200,000
Total $4,269,950
Therefore,
The cost of the building that should be recorded by Wilson Co. is $4,269,950
Answer:
the decreases in the real value of money held by the public caused by inflation
Explanation:
The inflation tax refers to the penalty on the cash when the inflation rise is increased. In the case when the inflation increase so the cash would become less valuable
So as per the given situation when there is a reduction in the real value of the money so it would be held by the public that can result by the inflation
Therefore the same is considered
Answer:
The correct option is E
Explanation:
A discretionary fixed cost is an expenditure for a period specific cost or a fixed asset which can be eliminated or reduced without affecting the reported profitability of a business. Advertising campaigns, charitable contributions, Employee training can all be classified as discretionary fixed cost.
