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solong [7]
3 years ago
12

When he became the president of Jem Incorporated, John Smith changed the date of the weekly payday from the end of the day on Mo

nday to the end of the day on Friday. The company has a weekly payroll of $10 million, and the cost of short-term funds was 13%. If this change delayed check clearing by 1 week, what annual savings were realized
Business
1 answer:
vladimir2022 [97]3 years ago
6 0

Answer: $1.3 million

Explanation:

Based on the information given in the question, if this change delayed check clearing by 1 week, then the annual savings that were realized will be:

= Weekly payroll × Cost of short term funds

= $10 million × 13%

= $10 million × 0.13

= $1.3 million

Annual savings realized is $1.3 million.

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Sally is in the business of purchasing accounts receivable. Last year Sally purchased an account receivable with a face value of
Simora [160]

Answer:

Shally will not having any amount of bad debt deduction for the present year.

Explanation:

In the present year, Shally will not having any amount of bad debt deduction because she has a gain or income of $5,000. As, last year she has account receivable of $60,000 but this year she settled the account by receiving the $65,000 amount. So, she has received more amount than the basis in the receivable. Therefore, she will not have any bad debt deduction this year.

8 0
4 years ago
Rayburn owns all the shares of Newcastle Corporation, which operates as an S corporation. Rayburn's basis in the stock is $15,00
maksim [4K]

Answer:

$7,000 $-0-

Explanation:

For Rayburn to know what to record from the cash distribution, he will need to subtract his basis in the stock from the cash distribution he receives

Therefore $22 000 - $15 000 = $7 000.

And Newcastle has no income =$-0-

7 0
3 years ago
The costs of services charged to a profit center on the basis of its use of those services are:__________a. support department a
Aleonysh [2.5K]

Answer:

a. support department allocations

Explanation:

These costs are known as support department allocations or service department charges. Every company tends to have these costs since this applies to any department or third party which provides the company with a service. Many times this mainly refers to manufacturing departments and production departments since both provide a service that every company needs in order to obtain their desired product.

4 0
3 years ago
Suppose the world price of cotton rises substantially. The demand for labor among cotton-producing Texas will firms in Texas wil
never [62]

Answer:

The correct answer is "option B".

Improving a widely used job-search website so that it matches workers to job vacancies more effectively

Explanation:

The demand for labor among cotton-producing Texas will firms in Texas will <u>increase.</u> This will happen because of the increase in world price leads to increment in wages.

The demand for labor among textile-producing firms in South Carolina, for which cotton is an input, will <u>decrease</u>. This is because cotton is an input. The increase in price of cotton increases the cost which reduces the profits which leads to less hiring of workers.

The temporary unemployment resulting from such sectoral shifts in the economy is best described as <u>frictional</u> unemployment.

Government measures to reduce frictional unemployment is:

<em>Improving a widely used job-search website so that it matches workers to job vacancies more effectively</em>

The option C is not correct, because, another measure that the government uses is to withdraw benefits to short-term unemployed. There would be a greater incentive for workers to find work quickly.

7 0
4 years ago
True or False: The end result of individual choices may be different from what one individual intends. This is
sattari [20]

Answer:

true

Explanation:

the answer to this question is true

4 0
3 years ago
Read 2 more answers
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