Answer:
B)Payment of employees' salaries
Explanation:
Operating cycle: The operating cycle is that cycle in which the firm makes the collection of cash with respect to the sales and make the payment with respect to the purchase of the inventory
The cycle start from days of inventory outstanding, days of sales outstanding, and days of payable outstanding
In mathematically,
Operating cycle = days of inventory outstanding + days of sales outstanding - days of payable outstanding
Thus, option B is correct.
Answer:
lol I pushed my brother he was annoying me
Answer:
$218,514
Explanation:
The projected net income shall be calculated as follows:
Projected sales $585,000
Less:Variable costs(44%*585,000) ($257,400)
Less:Fixed costs ($187,000)
Less: Depreciation ($57,000)
Income before tax $83,600
Less tax(83,600*21%) ($17,556)
Net income $66,044
Answer:
The amount of uncollectible accounts is calculated as follows:
Amount of uncollectible accounts to be adjusted = 6% * Account receivables
= 6% * $138,500
=$8,310
Therefore, amount of uncollectible accounts is $8,310.
Bad debt Expenses = Opening balance of allowance for doubtful account (Credit balance) - Uncollectible account
Bad debt Expenses = $8,310 - $1,005
Bad debt Expenses = $7,305
The journal entry to record allowance for bad debts is as follows:
Account Titles and Explanation Debit Credit
Bad debt Expenses $7,305
Allowance for doubtful account $7,305
(To record adjusting entry for bad debt)
Answer:
Chancellor Merkel's proposed stimulus consisted of two parts:
- a financial rescue package worth €500 billion (which I personally believe only helped bankers but didn't increase labor supply)
- tax breaks and investment measures worth €50 billion
The only part of the stimulus package that would actually help to increase labor supply is the last part, which also is the smallest part, since it should have increased investments. When investment increases, the interest rates decrease and aggregate demand increases. As aggregator demand increases, the demand for labor also increases. An increase in the demand for labor results in higher wages, which in turn increases labor supply until an equilibrium is reached.
Governments generally rescue financial institutions arguing that they are really important to the economy, but what is really amazing and repeats itself all over the world is that the same governments favor free markets. When small businesses fail, governments do not care, and small businesses represent 99% of America's companies. Governments only start caring when rich people lose money, since free market rules only apply to them when they favor them. If free market rules do not favor the rich, they are bad and governments intervene.