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miv72 [106K]
3 years ago
5

Limerick, Inc. has budgeted total sales for January, February, and March of $800,000, $900,000, and $950,000 respectively. Cash

sales are normally 25% of total sales. Of the credit sales, 40% are collected in the same month as the sale, and 60% are collected during the first month after the sale. Compute the amount of cash received from sales during the month of February.
Business
1 answer:
Naya [18.7K]3 years ago
7 0

Answer:

$905,000

Explanation:

February Collection will be as follows :

<em>February Collection = Cash Sales + Credit Sales </em>

                                  =  $900,000 x 25 % + $900,000 x 40 % + $800,000 x 60 %

                                  = $905,000

the amount of cash received from sales during the month of February is $905,000.

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The Engine Division of MurphyMotor Corporation uses 5,000 carburetors per month in its production of automotive engines. It pres
r-ruslan [8.4K]

Answer:

The correct option is d. rise by $20,000 per month.

Explanation:

Since it is assumed that the Carburetor Division would not incur any variable selling costs on units that are transferred internally, this implies that the variable selling costs is NOT relevant to the determination of the transfer price per unit to be used in calculating corporate profit. Therefore, the transfer price per unit can be calculated as follows:

Transfer price per unit = Price to foreign car manufacturer per unit = Price to foreign car manufacturer per unit - Variable selling costs per unit = $106 - $10 = $96

Rise in corporate profit per month = (Average cost per unit from the two outside suppliers - Transfer price per unit) * Number of carburetors used per month = ($100 - $96) * 5,000 = $20,000

This shows that if the two divisions agree to transact with one another, corporate profits will: <u>rise by $20,000 per month</u>.

Therefore, the correct option is d. rise by $20,000 per month.

3 0
3 years ago
James, a store manager, works at Fresco LLC. His store is located in the traditional downtown financial business area in the cit
34kurt

Answer:

Central Business District

Explanation:

Even though no answers are listed for this question I can say that based on the information provided within the question that James' store is located in the Central Business District classification of retail locations. This refers to the city's main place of business and commerce. Which is is described in this situation as the traditional downtown financial business area in the city.

I hope this answered your question. If you have any more questions feel free to ask away at Brainly.

4 0
3 years ago
Kordel Inc. acquired 75% of the outstanding common stock of Raxston Corp. Raxston currently owes Kordel $500,000 for inventory a
Nady [450]

Answer:

what amount of Raxston’s liability should be eliminated? d.$500,000

Explanation:

At different levels of the consolidation, certain intercompany payables and receivables balances must be eliminated. Eliminations are only required in the context of a consolidation where the trading parties are both included in a given consolidation.

8 0
3 years ago
Globalization can create more opportunities for marketers but along with that comes more pressure because they must take into ac
blondinia [14]

Globalization can create more opportunities for marketers but along with that comes more pressure because they must take into account T<u>hey will standardize them whenever possible.</u>

<h3>What is Globalization?</h3>

The contact and integration of people, businesses, and governments around the globe is known as globalization (Commonwealth English; see spelling variations). Since the 18th century, globalization has accelerated due to advancements in communications and transportation technologies. The expansion of international trade and the sharing of ideas, beliefs, and cultures are both results of the increase in global relationships. The main function of globalization is an economic process of connection and integration that has social and cultural components. However, the history of globalization and contemporary globalization both include significant amounts of disagreements and international diplomacy.

Globalization affects the economy in terms of commodities, services, information, technology, and financial resources. The opening up of international marketplaces has a liberating effect on trade in products and money.

To learn more bout Globalization from the given link:\

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8 0
2 years ago
On December 31, 2020, Grand Company had $1,232,000 of short-term debt in the form of notes payable due February 2, 2021. On Janu
VikaD [51]

Answer:

Current liabilities:

Notes payable   $8,000

Non-current/long-term liabilities:

Notes payable     $1,224,000

Explanation:

The actual amount of notes payable at 31st December is the difference between the short-term debt and the amount of cash realized from the issue of common stock whose proceeds are meant to be used in liquidating the short-term debt.

The actual amount of notes payable=$1,232,000-$1,224,000=$8,000

By issuing common stock of $1,224,000 to repay the short-term debt,the $1,224,000 is effectively converted to funding of long-term nature,hence classified as long-term liabilities

7 0
3 years ago
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