4 pressures to your income (financial)

On January 1, Year 1, Gemstone Mining Company (GMC) paid $10,500,000 cash to purchase a stone pit estimated to hold 50,000 tons

Varvara68 [4.7K]

Answer:

Cost of Mining Stone pit = $10,500,000

Salvage value at the end of third year = $500,000

Total expected mining during the life = 50,000 tonnes

Depletion per tonne = (cost - salvage) ÷ total expected mining

= (10,500,000 - 500,000) ÷ 50,000

= $200 per tonne

Stone extracted during the year = 10,000 tonnes

Depletion expense of Year 1 = 10,000 tonnes @ 200 per tonne

= $2,000,000

JOURNAL ENTRY:

Depletion expense A/c Dr. $2,000,000

To Accumulated Depletion- Mining rights $ 2,000,000

(To record depletion expense for Year 1)

6 0

3 years ago

Yard Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix and unit contribution margin are as follows.

Firlakuza [10]

Answer:

Lawnmowers= 45,726

Weed-trimmers= 114,314

Chainsaws= 68,589

Explanation:

Giving the following information:

Sales Mix - Unit Contribution Margin

Lawnmowers 20 % $34

Weed-trimmers 50 % $24

Chainsaws 30 % $37

Yard total has fixed cost of $6,836,000

Based on the weighted average sales participation and the unit contribution margin, we can calculate the weighted average contribution margin for the whole company. We need it to calculate the break-even point in units.

Break-even point (units)= Total fixed costs / (weighted average selling price - weighted average variable expense)

Weighted average contribution margin= sales participation per product* unitary contribution margin

Weighted average contribution margin= (0.20*34) + (0.5*24) + (0.3*37)= 29.9

Break-even point (units)= 6,836,000/ 29.9= 228,629 units

<u>Now, we can calculate the required units for each product:</u>

Lawnmowers= 0.20*228,629= 45,726

Weed-trimmers= 0.50*228,629= 114,314

Chainsaws= 0.3*228,629= 68,589

4 0

4 years ago

A ________ provides information to coordinate all of the business processes that deal with customers in sales, marketing, and se

Kay [80]

Answer:

A. Customer relationship management systems (CRM)

Explanation:

CRM is a technology that manages an organization's interaction with current market and future markets by organizing and coordinating sales, marketing, and service to optimize revenue, customer satisfaction, and customer retention. It aims at providing better technical support along with better customer services in order to improve business relationships. CRM enhances an organization ability to create and improve customer relationships.

6 0

3 years ago

The news headline "american airlines pilot talks fail to produce dealsamerican airlines pilot talks fail to produce deals" dea

Arisa [49]

I think the answer is what and for whom.
In order to produce deals, there are 2 components need to be considered by every companies. The suitable product to sell (which answer the 'what' part of the economic question) and other parties that are willing to buy the product that they sell (which answer the 'for whom' part of the economic question)

8 0

4 years ago

Examples of business transactions that are measurable in dollars are a.borrowing money b.selling goods and services c.buying goo

PtichkaEL [24]

Answer:

D

Explanation:

When a business borrows money, the amount borrowed is measured in dollar. For example, a business can borrow $10,000. Another business can borrow $1 million.

When goods are sold, money is received in exchange for the sale of the good.

When goods are bought, money is given to the seller in exchange for the good.

7 0

3 years ago