The most important information needed to determine if companies can pay their current obligations is the

Could someone help me with these questions?! I need help fast

marysya [2.9K]

9 - f
10 - b
11 - d
12 - e
13 - c
14 - a

3 0

3 years ago

A company that makes shopping carts for supermarkets and other stores recently purchased some new equipment that reduces the lab

Semmy [17]

Answer:

A. Compute labor productivity under each system. Use carts per worker per hour as the measure of labor productivity.

old system = 70 carts / 6 workers = 11.67 carts per worker
new system = 76 carts / 5 workers = 15.2 carts per worker

B. Compute the multifactor productivity under each system. Use carts per dollar cost (labor plus equipment) as the measure.

old system = 70 carts / ($108 + $30) = 0.51 carts per dollar
new system = 76 carts / ($90 + $41) = 0.58 carts per dollar

C. Comment on the changes in productivity according to the two measures.

The new system is more productive and efficient since it uses less workers to produce a higher output. The additional costs of implementing the new system are lower than the cost of employing more workers.

Explanation:

Multi factor productivity = total output / (cost of wages + material cost + overhead cost)

8 0

4 years ago

A mutual fund in which shares are issued only when the fund is organized is called a(n) __________ fund.

nadezda [96]

The answer is closed-end.

7 0

3 years ago

The 2014 balance sheet of Jordan’s Golf Shop, Inc., showed long-term debt of $2.7 million, and the 2015 balance sheet showed lon

Gwar [14]

Answer:

$1,311,000

Explanation:

The computation of the operating cash flow is shown below:

As we know that

Operating cash flow = Cash flow from assets + capital spending - change in net working capital

where,

Cashflow from Assets = Cashflow to Creditors + Cashflow to Stakeholders

Cashflow to Creditors = Interest paid - Change in long term debt

= $140,000 - ($2,950,000 - $2,700,000)

= -$110,000

Now

Cashflow to Stakeholders

= Dividends paid - New issuance of the equity

= $500,000 - (($500,000 + $3,500,000) - ($460,000 + $3,200,000))

= $160,000

So,

Cashflow from Assets is

= -$110,000 + $160,000

= $50,000

Now

Operating cashflow is

= $50,000 + $1,320,000 + (-$59,000)

= $1,311,000

7 0

3 years ago

Jones operates an upscale restaurant and he pays experienced cooks $35,000 per year. This year he hired his son as an apprentice

Novay_Z [31]

Answer:

E. None of these - Jones can only deduct reasonable compensation.

Explanation:

Jones would be allowed to deduct less than $ 35,000 (this is the reasonable compensation) under the conditions established by tax legislation. Let us see why none of the other options is correct.

A. Jones will be allowed to deduct $ 40,000 only if his son eventually develops into an expert cook

When a company pays an employee an exaggeratedly high salary considering the services performed (as an apprentice cook, this person is earning more than an experienced cook), the excessively high part of the salary is not subject to deduction. Even if Jones' son became an experienced cook, he would be unreasonably earning more than the others. Therefore, Jones would not be allowed to fully deduct $ 40,000. On the other hand, only the services actually provided during the current period are taken into account, not the eventualities.

B. Jones will be allowed to accrue $40,000 only if he pays his son in cash.

In no case Jones can accrue $ 40,000, as it is an excessively high amount, for the same conditions we saw in the previous point.

C. Jones will be allowed to deduct $35,000 as compensation and another $5,000 can be deducted as an employee gift.

Awards must meet the following requirements in order to be deducted: they must be personal tangible property of the employer, they must be given to an employee for years of service or safety achievement, they must be delivered in recognition of a significant achievement, and they must be given under strict conditions, in order to completely eliminate the possibility that it is really a disguised payment.

In this case, it seems that it is a disguised pay, therefore, no deduction can be made.

D. Jones can only deduct $20,000 because an apprentice cook is only worth half as much as an experienced cook

That is not a valid reason to apply for a tax deduction. Recall that the payments to the worker are considered tax-deductible expenses if they meet the following characteristics: they are ordinary and necessary expenses, reasonable in quantity, paid for services actually provided, and paid during the current year.

4 0

4 years ago