If a firm, best computer buys, requires its customers to buy software from it whenever the customers purchase a computer, the company's policy is called a tying arrangement.
A tying arrangement occurs while, thru a technological or contractual requirement, a dealer conditions the sale or hire of one service or product on the purchaser's settlement to take a second service or product.
Tying under U.S. law has been defined as "a settlement with the aid of a party to sell one product however best on the situation that the purchaser also purchases a distinctive (or tied) product, or at least is of the same opinion that he'll not purchase that product from another provider."
When a seller requires buyers to purchase second products or services as a situation of acquiring first services or products, it could run afoul of the federal antitrust legal guidelines. This is called a tying association or tying agreement.
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Answer:
$267,400
Explanation:
Calculation to determine What amount should Stallman report as its December 31 inventory?
Using this formula
December 31 inventory=Goods costing on hand+Goods purchased+FOB shipping point
Let plug in the formula
December 31 inventory=$225,000+$20,400+$22,000
December 31 inventory=$267,400
Therefore the amount that Stallman should report as its December 31 inventory is $267,400
Answer:
matching principle
Explanation:
The matching principle in accounting basically states that you must record expenses or costs in the same period as you record revenues associated to them. I.e. the use of assets generates revenue, therefore, you must expense that use at the same time when you record revenues.
US GAAP accepts 4 depreciation methods:
- Straight line method
- Declining balance method
- Units of production method
- Sum of years' digits
Answer:
$44,325.
Explanation:
In this question we use the future value formula which is shown below:
Future value = Present value × (1 + interest rate)^number of years
= $22,500 × (1 + 0.07)^10
= $22,500 × 1.97
= $44,325
We simply applied the future value by considering the present value, interest rate and the number of years
Answer:
Answer for the question:
Patton Company purchased $900,000 of 10% bonds of Scott Company on January 1, 2015, paying $846,225. The bonds mature January 1, 2025; interest is payable each July 1 and January 1. The discount of $53,775 provides an effective yield of 11%. Patton Company uses the effective-interest method and plans to hold these bonds to maturity. On July 1, 2015, Patton Company should increase its Debt Investments account for the Scott Company bonds by :
$5,382.
$1,542.
$3,084.
$2,691
Is given in the attachment.
Explanation: