Answer:
The correct option is B that is 0.45
Explanation:
Computing the Current Ratio with the formula which is as:
Current Ratio (CR) = Current Assets (CA) / Current Liabilities (CL)
where
Current Ratio (CA) is $477.50
Current Liabilities (CL) is $1075
Putting the values in the above formula of Current Ratio (CR):
= $477.50 / $1075
= 0.444 or 0.45
Note 1: Inventory will not be included while computing the current ratio, as it is already been added in the current assets. Therefore, there is no need of adding it twice in the Assets.
Note 2: This is the correct formula for computing the current ratio and I computed the same with the given information, so it 0.45 is the correct answer.
Answer:
a. Product X = 3.50 years
Product Y = 3.25 years
b. Product Y
Explanation:
The cash flows for the two products as well as the balance at the end of each year is given as follows:
For both products, the payback period is reached between the third and fourth year.
Product X:
Product Y:
Under the payback method, the alternative that presents the shortest payback period should be selected. Therefore, Product Y should be selected.
The answer that best fits the blank provided above is this: A COMPETITIVE ADVANTAGE. When we say competitive advantage, this is when this fast food restaurant gains that position that is ahead of the rest. This is because of their low prices for larger quantities. Hope this helps.
Answer:
The correct answer is letter "D": improves efficiency, increases output, and provides for growth.
Explanation:
In general, capital refers to financial resources. Capital includes financial assets used in manufacturing, as well as the machinery and equipment businesses. Investors purchase stocks or mutual funds using capital. Companies raise capital from a bond or stock sales to fund their operations. Although capital may be cash or currency, it is not the same as money.
<em>While talking about production, capital allows firms to hire qualified personnel that improves the company's efficiency which is likely to increase production or improve the quality of the output. Eventually, both an increase in efficiency and output contributes to the growth of an institution in the form of more profits.</em>
Answer:
$13,000
Explanation:
Given that:
Jeremy operates a business as a sole proprietorship which uses a cash method of accounting. Now he is planning transfer them into a new corporation in exchange for its stock.
The assets are :
$10,000 of accounts receivable with a zero basis
have a basis of $20,000 and an FMV of $40,000
Liabilities
payable of $12,000
The note payable on medical equipment is $7,000.
Therefore , Jeremy's basis for his stock is : $20,000 -$7,000 = $13,000
since that will reduce the basis by amount of the note payable.
The liabilities payable will be deducted and taken care of by the corporation.
