Answer:
c. debit to Manufacturing Overhead of $87,000
Explanation:
Account Titles and Explanation Debit Credit
Manufacturing overhead $87,000
Accounts payable $87,000
(Being manufacturing overhead incurred)
Therefore, journal entry for actual manufacturing overhead costs would include a debit to manufacturing overhead of $87,000.
Manufacturing overhead is debited with $87,000 to record actual manufacturing overhead.
Answer:
The advertising spend would reduce income taxes by $2.8 million
Explanation:
The advertising expense since it is allowable expense from profits made in the year would reduce income taxes next year by $2.8 million ($8 million *35%)
This means that because of its tax deductibility,it would make a business sense to incur the advertising cost of $8 million coupled with the fact the it has the potential to increase sales revenue over and above the current level of $280 million
Answer: conflicts that arise in corporations should be addressed in the legal realm(A)
Explanation:
The principal-agent problem is an important part of the agency theory, the principal-agent problem views the firm as a connection of legal contracts.
In this perspective, corporations are seen merely as set of legal contracts that exists between the different parties. The conflicts that may take place are to be addressed in the legal realm.
False I think ..................................................................
