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3 years ago

If a budgetary reporting system provides adequate reports, but the reports are not analyzed and acted upon:

Business

1 answer:

dalvyx [7]3 years ago

6 0

Answer:

The control has been implemented but is not operating effectively.

Explanation:

Budgetary control in finance can be regarded as the management of income as well as expenditure. It involves comparison of actual income/ expenditure with the planned income/ expenditure on regular basis so that it will be easier to know if there is need for corrective action. It should be noted that if a budgetary reporting system provides adequate reports, but the reports are not analyzed and acted upon, then there is implementation of control already but there is no effective operation.

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Coast-to-Coast Inc. is considering the purchase of an additional delivery vehicle for $70,000 on January 1, 20Y1. The truck is e

NARA [144]

Answer:

First year: 19,000

Second year: 17,000

Third year: 15,000

Forth year: 13,000

Fifth year: 30,000

Explanation:

We need to subtract from the expected revenue the expected cost for Cash revenue 65,000

Driver Cost: (40,000)

Operating cost: (6,000)

Net cash flow: 19,000

This value stand for the first year

Then this will decrease by 2,000 each year as the driver wages increase over time.

Second year: 19,000 - 2,000 = 17,000

Third year: 17,000 - 2,000 = 15,000

Forth year: 15,000 - 2,000 = 13,000

In the last year we must also include the residual value of the equipment:

Fifth year: 13,000 - 2.000 + 15,000 = 30,000

4 0

4 years ago

You sell short 600 shares of Microsoft that are currently selling at $25 per share. You post the 40% margin required on the shor

svet-max [94.6K]

Answer: 10%

Explanation:

Short sale of 600 shares at $25 will yield:

= 600 * 25

= $15,000

You posted 40% of this:

= 40% * 15,000

= $6,000

The profit in a year seeing as the price fell is:

= (25 - 24) * 600 shares

= $600

Rate of return is:

= Profit / Margin posted

= 600 / 6,000 * 100%

= 10%

8 0

3 years ago

On January 1, 2018, Moore, a fast-food company, had a balance in its Cash account of $54,000. During the 2018 accounting period,

7nadin3 [17]

Answer:

Net cash flow as at the year end= $22,100

Explanation:

The statement of cash flows for Moore shall be calculated as follows:

Cash balance as at January 1, 2018= $54,000

Cash inflow from operating activities= $35,600

Cash outflow from investing activities= ($43,000)

Cash outflow from financing activities= ($24,500)

Net cash flow as at the year end= $22,100

4 0

4 years ago

Many substandard condo developments have been built by small corporations that declare bankruptcy or go out of business when leg

xenn [34]

Answer:

required these builders to post a surety bond.

Explanation:-

A protection bond is described as just a three-party deal that technically bonds a contractor in need of the security, an obligatory in need of the bond and a security firm that markets the security. The contract promises that the trustee must behave according to certain legislation.

Therefore, a protection guarantee would be provided in the statutory remedy that just might minimize specific incentives for small condo-building companies.

If I'm considering purchasing a house in such a new facility, a few of the developer 's features would make purchasing more probable are his credibility on the industry as well as his regulatory compliance the specifics of the apartment.

3 0

3 years ago

The information content of a dividend increase generally signals that:_________ a) the payer has few, if any, net present value

mars1129 [50]

Answer:Option C

Explanation:

Dividend means the portion of profit which the company plans to distribute it to the shareholders of the company. When there is a dividend increase it signals that the company will have future positive results. The dividend increase is a forecast of the company's future profitability.

The shareholders will also know that company will have positive performance in the future. The information is useful for the investors as this also indicate a positive cash flow in the company's financial statements.

6 0

3 years ago