Answer:
The correct answer is D. When the product is sold and delivered to a customer.
Explanation:
It is recognized at the time of the sale, because the company receives an income as a result of the recovery of its cost plus the established profit margin. When the sale has not been made, it remains within the product inventories until the sale occurs and becomes an operational income.
Answer:
heading
Explanation:
our contact information—which includes your name, address, phone number, and email address—should always appear at the top of your resume, regardless of which resume format you are using.
Answer:
Operating income will decrease.
Explanation:
The company's operating income is dependent on the production lines and in the short run the company might be cutting its expenses and losses by shutting down the production line but cutting a part of the company which can produce revenue is never a solution rather the company checks how they can cut down their expenses as they have unavoidable fixed expenses by this action it will seem that they will cut $21000 rental expense only and how much revenue will they will actually loose? a lot.
The company can even adjust on the space they rent or move t a cheaper cost and also work on the expenses that are unavoidable to decrease them and maximize on getting more revenue.
Answer:
correct answer is American Tire is currently operating at its full capacity
Explanation:
given data
firm's sales increase by = 10 percent
growth in sales and fixed assets = 10 percent
solution
correct answer is American Tire is currently operating at its full capacity because here it is a currently operating at full capacity that is increase in the sales that is require similar increase in the fixed asset
and when it is a operating at the excess capacity then lower increase in the fixed asset is require
and when it retains all income then lower increases in the fix asset is require.
so correct answer is is American Tire is currently operating at its full capacity
Answer:
Cost of preferred stock=7.41
%
Explanation:
<em>A preferred stock entitles its investor to a fixed amount of dividend for the foreseeable future. The dividend payable by a preferred stock is similar to a perpetuity. Hence, the price of the stock would be the same as the present value of the dividend payable for the foreseeable future.
</em>
<em>A preferred stock entitles its owner to a fixed amount of dividend. It is calculated as follows: </em>
Cost of preferred stock = D/P(1-f) × 100
D- Preference dividend
P- stock price
F- flotation cost
Preference dividend = Coupon rate × Nominal value
DATA
Nominal value = $65
Stock price = $58.63
Dividend rate=6.25%
Flotation cost = 6.5%
Preference dividend = 6.25%× 65 = 4.063
Cost of preferred stock =(4.063
/58.63×(1-0.065) × 100 = 7.41 %
Cost of preferred stock=7.41
%
