Answer:
A.recognizes revenue and gross profit each period based upon progress.
Explanation:
The percentage of completion approach is an accounting technique used to recognize revenue in ongoing projects. Revenue from long term contracts is calculated based on the percentage of work completed in a period. This method is applied when payments are assured, and the percentage of work done can be estimated with some degree of accuracy.
The percentage of completion is mostly used in construction industries, but the concept can be used in many projects. The method compares the revenues and expenses of a project against the percentage of work completed in the financial period. The percentage of completion method contrasts with the completed contract method that recognizes income upon completion of a project.
Answer:
Actual Operating costs $231,250
Planned Operating Costs budgeted = $ 235058
Planned Operating Costs at actual level = $ 232430
Explanation:
The Planned costs are the costs estimated at the planned level of activity.
The actual costs are costs that actually occur.
But flexible costs are those which are planned ( determined) at actual level of activity.
Canniff Air
Actual Planned
Operating costs $231,250
The cost formula for plane operating costs is $56,960 per month plus $2,634 per flight plus $6 per passenger.
Planned Operating Costs= $56,960+ 2634 *67 flights + 6*270 passengers
= $ 56960 + 176478+ 1620
= $ 235058
Actual Operating Costs = $56,960+ 2634 *66 flights + 6*271 passengers
= $ 56960 + 173844+ 1626
= $ 232430
We put the values in the given formula to obtains these costs both planned and actual.
Answer and Explanation:
The computation of the amount is shown below:
a. For FOB destination
= Merchandise price - Returns and allowances - discount
= $6,700 - $1,750 - ($6,700 - $1,750 )× 2%
= $6,700 - $1,750 - $99
= $4,851
b. For FOB shipping point
= Merchandise price - Returns and allowances - discount + Freight In
= $3,300 - $1,200 - ($3,300 - $1,200) × 1% + $200
= $3,300 - $1,200 - $21 + $200
= $2,279
The rate of interest that Khalil Hamid Ali paid for borrowing $12,000 and paying $1,890 as interest expense for 1.5 years is <em>10.5%.</em>
Data and Calculations:
Amount borrowed = $12,000
Interest paid = $1,890
Time period = 1.5 years
Rate of interest = 10.5% ($1,890/$12,000 x 1/1.5)
Thus, the rate of interest that Khalil Hamid Ali paid for borrowing $12,000 and paying $1,890 as interest expense for 1.5 years is <em>10.5%.</em>
Learn more about rate of interest here: brainly.com/question/25545513
Answer:
d more centralized planning in economic decision making
Explanation:
A command economy is where the government makes all the economic decisions and owns factors of production.
A market economy is where production decisions are made by the forces of demand and supply. There is consumer sovereignty to make production decisions in this type of economy.
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