Answer:
$66,000
$304,000
Explanation:
The computation is shown below:
Total implicit cost is
= Job left cost + forgone the return on investment
= $60,000 + $100,000 × 6%
= $60,000 + $6,000
= $66,000
And, the total cost is
= explicit cost + implicit cost
= $50,000 + $180,000 + $8,000 + $66,000
= $304,000
We simply applied the above formulas so that the correct values could come
Answer: The income statement should reflect $15,000.
Explanation: The reason is because accounting procedures are always guided by certain principles or concepts. One of such concepts is the Realization Concept. This simply states that income is considered to have been earned when the goods/services have been dispatched /rendered to the client and the client has incurred liability for such (or has accepted his/her indebtedness). The Accrual Concept is also applicable in the above instance because this concept/principle states that revenues and expenses are recognized as soon as they are earned and incurred and not when money is expended or received. So basically, XYZ Law firm has provided services for two clients. One of them has paid while the other will pay sometime later. Both of them are already recognized as revenue and the current income statement will reflect revenue transactions to the tune of $15,000.
Answer:
33,000
Explanation:
The number of units included in the production budget is given by dividing the budgeted value by the cost per unit.
The cost per unit is:
The number of budgeted units is:
33,000 units are included in the production budget for next year
Answer:
c. makes trades less costly.
Explanation:
Payments system are means through which goods and services rendered are been paid for.
Payments system can also be defined as systems or mechanism that have been put in place in order to be able to effectively settle or pay back financial transactions for services rendered.
Example of Payment systems include:
a) Payments system based on barter: This is one of the old methods of payments for goods and services rendered by a particular party. This method involves an exchange or transfer of goods and services for another goods and services that matches the value of the goods and services been paid for. It is important to note that money is not used in a trade by barter system.
b) Payments system based on money: After currency was invented by countries of the world, payment systems evolved and money was used to settle any form of transactional activities. Payment system based on money is a means whereby goods and services been rendered by a particulars body is paid for using currency also know as money.
One of the major advantages of using payments system based on money over the payment system based on trade by barter is because payment system based on money, makes trading amongst people less costly.
Answer:
The rise of railroad industry led to the prosperity of cities like Chicago as they became railroad hubs.
Explanation:
The rise in railroad industry made the emergence of industries in the Northeast region. The railroad improved the transport system and made it cheaper to move goods from the point of manufacturing to the market thereby making businesses to flourish. Consequently, Chicago became an attractive destination for establishing businesses which made its population to grow significantly.
