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3 years ago

One of the major disadvantages of a sole proprietorship is

Business

1 answer:

stepladder [879]3 years ago

3 0

Answer:

One of the major disadvantages of a sole proprietorship is Unlimited Liability The Owner Has For The Debts Of The Firm.

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The Levi Company issued $100,000 of 12% bonds on January 1 of the current year at face value. The bonds pay interest semiannuall

lesya [120]

Answer:

$120

Explanation:

Interest Expense on the Bonds payable is the coupon payment plus any amortized discount. As in this question there is no amortized discount because the bonds are issued on the par value.

As er given data

Face Value = $100,000

Coupon payment = $100,000 x 12% = $120 annually = $60 semiannually

Interest Expense for the year = Interest Paid on June 30 + Interest Paid on December 31

Interest Expense for the year = $60 + $60 = $120

7 0

3 years ago

Aces Inc., a manufacturer of tennis rackets, began operations this year. The company produced 6,000 rackets and sold 4,900. Each

BigorU [14]

Answer:

Refer To The attached screen shot. It contains the Income Statement Prepared under Absorption Costing.

Explanation:

Absorption Costing assumes that the Manufacturing Costs include Direct Material, Direct Labor, Variable Overhead, and Fixed Overhead. Whereas, Selling and Administrative Expenses are classified as period Costs. These period costs are recognized in the period in which they are incurred. On the other hand, the manufacturing costs are recognized when the goods on which the costs were incurred are sold. That's why we don't recognize $78,000 as a Fixed Overhead because these overhead costs were incurred to produce 6,000 rackets. We have to calculate the fixed overhead cost per unit and multiply it with the units sold.

I hope I made it clear. If you have any queries, feel free to contact me.

Thanks.

7 0

3 years ago

A semiconductor company has established a plant overseas in South Africa, where the power grid is somewhat unreliable. Which of

Leya [2.2K]

Answer:

A. Infrastructure

Explanation:

Economic risks refers to the likelihood of a country's macroeconomic conditions affecting investments or domestic/foreign businesses prospect. There are various forms of economic risks. In this case, Infrastructure is the main economic risk affecting the semi-conductor company. Due to the fact that the power grid of south Africa is somewhat reliable and the company needs it for continuous manufacturing process, by moving to south Africa, they bear the risks of infrastructure (economic risks)

3 0

3 years ago

Read 2 more answers

An investor must decide between putting $2,000 into a regular retirement plan or putting $1,440 into a Roth retirement plan. If

Novosadov [1.4K]

Answer:

They both produced the same cash amount

Explanation:

The regular retirement would have its deducted after withdrawal from the plan while Roth retirement plan's tax would have been deducted prior to investing funds in the plan

The future value of the $2000 is computed thus:

FV=PV*(1+r)^n

PV is the amount saved in the plan which is $2000

r is the growth rate of the funds in the plan which is 12%

n is the number of years the amount would be left in the plan

FV=$2000*(1+12%)^20=$ 19,292.59

After tax amount=$ 19,292.59*(1-28%)=$ 13,890.66

The future value of the $1,440 is computed thus:

FV=$1,440*(1+12%)^20=$ 13,890.66

The Roth plan has not tax implication thereafter as tax was paid before savings.

7 0

3 years ago

A company offered employees a defined-benefit retirement plan, in which retirees received benefits calculated on the basis of th

kozerog [31]

Answer: C. The employees will receive a share of profits as part of the company's ESOP.

Explanation:

The retirees can still get a portion of profits if they are part of an Employee Stock Ownership Plan.

ESOP is a pretty standard thing these days with companies where they reward their employees with shares in the company.

Seeing as the company is making too little to be able to keep paying Retirement benefits, the retirees being owners of Stock can still partake in the earnings that the company makes when they distribute dividends.

7 0

3 years ago