All categories

2 years ago

Briefly explain the following with examples:

Business

1 answer:

Orlov [11]2 years ago

3 0

Answer:

Any transaction in cash, either paid or received eg. bought goods from supplier on cash.

Some time supplier offers customer the credit so he can pay later. Bought goods from supplier which are payable in 30 days.

Revenue expenditure is short-term expenditure used to run daily operations eg. Rent, Salaries. These are treated as expense in SOCI.

Where as capital expenditure is one-time large expenditure which generate revenue for company in future. eg Plant and Machinery, Equipment, Furniture. These are capitalized as in SOFP as they meet the definition of Asset (ie Future economic benefits will flow to entity).

You might be interested in

Competitive advantage refers to:

True [87]

Answer:

d. refers to how a firm does something unique to create added value.

Explanation:

The competitive advantage is the advantage that is gained by the company over its competitors. It can be gained through various things like - reasonable product, best quality, and quantity, great services through which the customers of competitors could be the shift to the company.

The motive of this is to create some value added to the company products by considering the innovative ideas to attract the customers and maximize customer satisfaction that results to accomplish the company goals and objectives.

7 0

3 years ago

Dean has earned $70,000 annually for the past five years working as an architect for WCC Inc. Under WCC's defined benefit plan (

nadya68 [22]

Answer:

A. $7,350

Explanation:

The computation of the vested benefit is shown below:

= Average salary × given percentage × five years × vesting percentage

= $70,000 × 3.5% × 5 years × 60%

= $7,350

Hence, the correct option is A.

8 0

2 years ago

How you can predict the way your current health decisions will affect your health in the future?

daser333 [38]

In my case, I know from experience and heredity that for example my father died of a second heart attack at least partly because of his high cholesterol. The high cholesterol was related to his high metabolism so that he ate a lot of eggs and bacon when young so that probably produced a lot of bad cholesterol. Myself I also have a tendency to high cholesterol and was warned by my dad's doctor to watch it so consequently I mostly avoid dairy products and egg yolk and beef (red meat) and am mostly able to control it that way with diet so haven't had a heart attack yet.

7 0

2 years ago

Byrd Company decided to analyze certain costs for June of the current year. Units started into production equaled 14,000 and end

Molodets [167]

Answer: Option (C) is correct.

Explanation:

Units Started into the production = 14,000 Units

Ending work in process = 2,000 units

Transferred Units = Units in the starting - Ending work in process

= 14,000 units - 2,000 Units

= 12,000 Units

Equivalent units = Transferred units + Ending work in process in units × % of Completion

= 12,000 Units + 2,000 Units × 25% complete

= 12,000 + 2,000 × 0.25

= 12,000 units + 500 units

= 12,500 units

Total Conversion cost = $52,500

$Conversion\ cost\ per\ Equivalent\ unit=\frac{Total\ Conversion\ cost}{Equivalent\ Units}$

$Conversion\ cost\ per\ Equivalent\ unit=\frac{52,500}{12,500}$

= $4.2

5 0

3 years ago

Today, you have two coins each of which is valued at $100. One coin is expected to appreciate by 5.2 percent annually while the

ziro4ka [17]

Answer:

=$337.43

Explanation:

The value of each of the coins after 50 years is the future value after 50 years at their respective interest rate.

The formula for future value is FV = PV × (1+r)n

For the first coin at 5.2 percent,

Fv = 100 x ( 1 + 5.2/100 ) 50

Fv =100 x (1+ 0.052) 50

Fv = 100 x 12. 61208795

Fv = $1,261. 21

For the second coin at 5.7 percent,

Fv = 100 x (1 + 5.7 /100)50

Fv =100 x (1 + 0.057 )50

Fv = 100 x 15.98

Fv = 1, 598. 64

the difference in value will be

=$1598.64 - $1,261.21

=$337.43

6 0

3 years ago