Answer: Please refer to Explanation
Explanation:
We shall do the accounting entries as follows,
Purchase of the stock
January 2
DR Investment in Fain Stock $600,000
CR Cash $600,000
The share of Fain income
December 31
DR Investment in Fain Stock $56,000
CR Revenue from Investment (40% * $140,000 income) $56,000
The dividends received from Fain Company.
December 31
DR Cash (40% * $50,000 dividend payout) $20,000
CR Investment in Fain Stock $20,000
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Answer:
43.57 %
Explanation:
The computation of the gross margin for the cat condos is given below:
Total Manufacturing Cost per unit is
= Direct materials + Direct labor + Manufacturing overhead
= $22 + $15 + ( 280% of $15)
= $79
Now
Gross Profit is
= Selling price per unit - Total Manufacturing Cost per unit
= $140 - $79
= $61
And finally
Gross Profit Margin is
= (Gross Profit ÷ Selling Price ) × 100
= ($61 ÷ $140) × 100
= 43.57 %
Answer: The Matching Principle says that we should recognize expenses in the same period that it has helped generate revenue. Thus, recognizing an allowance for doubtful debts for the year resulting from sales would satisfy that principle.
Explanation:
Answer: Option C
Explanation: Environmental circumstances refers to the threats and opportunities that arise from political and economical unstability. These are highly fluctuating factors and can affect the business highly.
In the given case, the business of Ben and Chris slowed down due to the economic breakdown in the country. These factors are inescapable and affect all the businesses in the economy.
Thus, from the above we can conclude that the correct option is C.
Answer:
Corporate cultures can hinder individuals in making the "right" decisions.-c.
