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2 years ago

Sales revenue

Business

1 answer:

Ne4ueva [31]2 years ago

4 0

Answer:

may be recorded before cash is collected.

Explanation:

Sales revenue "may be recorded before cash is collected."

This is according to Accrual accounting, which unlike the cash model that requires payments to be made before sales revenue is recorded.

In the Accrual accounting model, sales revenue recording is not based on cash collection before it is recorded. Here, the revenue is recorded in as much the transferred goods are made and collection of payment is determined or expected.

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Assume that the labor market for barbers is competitive and that it is differentiated into two groups:

ehidna [41]

Answer and Explanation:

I will go through each and every option explaining the reasons and what option would be the best:

The (a) part says 'difference in wages will eventually disappear since a haircut is a homogeneous good' - This is not true because even though it is an homogeneous product, some customers do have a strong preference for barbers who are not going bald. Therefore, they know their worth and they would want to capitalize on that and get paid just a bit more than bald barbers.

The (b) part says 'barbershops that hire barbers with hair will be able to charge a higher price for a haircut to those consumers who have a strong preference for barbers with hair'. - If the barbershop charges higher price for barbers that have hair then the customers will prefer bald barbers as the questions mentions that there is high competition and since it is an homogeneous, customers would be willing to save money and get their haircut from some other barber.

The (c) part says 'barbershops that hire bald barbers will always be much more profitable' - Not necessarily. The reason is that some customers have a strong preference for barbers who are not bald and therefore, that would help barbershops who have barbers with hair to be a bit more profitable as some additional customers would want their services.

The (d) part says 'barbershops that hire barbers with hair will always be much more profitable' - This is the best option and the reason for it is because some customers have a strong preference for barbers with hair and that would help the barbershop to earn more. They would have the customers who already indifferent to whoever cuts their hair and in addition to that, they would also have the customers who have their preference.

Hence the answer is D.

4 0

3 years ago

Buying a new building increases business <br><br> Land/capital

Marysya12 [62]

Answer:

land

Explanation:

why because buying a capital we'll be to much

8 0

2 years ago

Read 2 more answers

You are given the following information about equipment that is required for your business. Assume that the equipment will be re

s2008m [1.1K]

Answer:

Machine B EAC is $17,705.78 more than Machine A EAC.

Explanation:

First find the present values of the cost of both machines.

Machine A:

= 200,000 + (15,000 * Present value of annuity interest factor, 15%, 8 years)

= 200,000 + ( 15,000 * 4.4873)

= $‭267,309.5‬0

Machine B

= 300,000 + (17,500 * Present value of annuity interest factor, 15%, 10 years)

= 300,000 + 17,500 * 5.0188

= $‭387,829‬

Equivalent Annual cost Machine A:

= [(NPV * Required return) / 1 - (1 + Required return) ^–Number of Periods

=[(267,309.50 * 15%) / 1 - 1.15⁻⁸

= $59,569.95

Equivalent Annual cost Machine B:

= (387,829 * 15%) / (1 - 1.15⁻¹⁰)

= $77,275.73

Difference:

= 77,275.73 - 59,569.95

= $‭17,705.78‬

4 0

2 years ago

Jeff, a local traffic engineer, has designed a new pedestrian foot bridge that is capable of handling the current traffic rate

Delicious77 [7]

Answer:

a. How long will the current bridge system work before a new bracing system is required?: 64.18 years or 64 years and 2 months.

b. What if the annual traffic rate increases at 8 % annually: The bracing system will last for 24.65 years or 24 years and 7 months.

c. At what traffic increase rate will the current system last only 12 years: 17.13%

Explanation:

a. Denote x is the time taken for the number of pedestrian to grow from 300 to 2000. The current pedestrian is 300, the grow rate per year is 3% or 1.03 times a year. Thus, to reach 2,000, we have the equation: 300 x 1.03^x = 2000. Show the equate, we have 1.03^x = 6.67 <=> x = 64.18

b. Denote x is the time taken for the number of pedestrian to grow from 300 to 2000. The current pedestrian is 300, the grow rate per year is 8% or 1.08 times a year. Thus, to reach 2,000, we have the equation: 300 x 1.08^x = 2000. Show the equate, we have 1.08^x = 6.67 <=> x = 24.65.

c. Denote x as traffic increase rate. The current pedestrian is 300, the grow rate per year is (1+x) times a year. Thus, to reach 2,000 after 12 years and thus a new bracing system to be in place, we have the equation: 300 x (1+x)^12 = 2000. Show the equate, we have (1+x)^12 = 6.67 <=> 1+x = 1.1713 <=> x = 17.13%.

8 0

2 years ago

The loan-to-value ratio is 80%. a buyer wants to acquire a property with a purchase price of $116,000. calculate the required do

blondinia [14]

116,000 divided by 80% is $145,000

6 0

3 years ago