Broker Janet just finished a direct e-mailing campaign. How should Janet follow-up on direct e-mail advertising?

What is characteristic of an organization in which salespeople do most or all of their own marketing?

Pavel [41]

Answer:

private

Explanation:

people are doing private marketing to earn money for themselves

5 0

3 years ago

Suppose a perfectly competitive firm is producing 37 units output, and the marginal cost of the 37th unit is $3. If the firm can

sesenic [268]

Answer:

C) increase production.

Explanation:

Competitive firms maximize their accounting profits when marginal revenue (MR) = marginal cost (MC).

In a perfectly competitive market, all the producers and the consumers are price takers, so they cannot change the price of the goods. So changing the sales price is not possible. Since the marginal revenue is greater than the marginal cost, the firm should increase its production output until MR = MC.

6 0

2 years ago

A cash-basis individual taxpayer owns 55% of Stone, a C-corporation. Stone uses the accrual method of accounting and owes the ta

Strike441 [17]

Answer: $2,250

Explanation:

The Tax-Payer uses a cash-basis. This means that they recognize revenue or expenses only when they are actually paid as opposed to an Accrual basis entity that recognizes revenue or expenses when it is incurred.

As the Cash-Basis taxpayer is the majority shareholder of the company, Stone may not deduct the amount from income until they have paid the tax payer because tax regulations state that when an Accrual Basis entity owes a majority owner who uses the Cash basis, they may not recognize the deduction until they have paid the owner.

In year 2 they paid ½ of the rent which is,

= 4,500/2

= $2,250

They can therefore only deduct $2,250 in Year 2.

7 0

3 years ago

JV, a corporation, was formed in 2013 to design and manufacture electric cars. JV is 60 percent owned by AutoCo (a car manufactu

RoseWind [281]

Answer:

a. Is JV a variable interest entity (VIE)?

Yes, JV should be considered a variable interest entity. Basically both AutoCo and ElectricCo share JV's board, but ElectricCo didn't have the money to start a company or even be part of a joint venture. ElectricCo's equity is financed by AutoCo, so ElectricCo has basically no no equity at risk. Even the debt acquired by JV is backed by AutoCo, but AutoCo does not control JV on its own.

Basically ElectricCo's contribution is technology, and AutoCo provides everything else, but both control the company with one side (ElectricCo) not having enough money to invest but doing so through financing.

b. Which entity, if any, should consolidate JV?

AutoCo must include JV in its consolidated balance sheet since it owns 60% of the company and the products manufactured by JV are sold under AutoCo's brand.

3 0

3 years ago

A company uses straight line depreciation for an item of equipment that cost $12000, had a salvage value of $2,000 and a five ye

timurjin [86]

Answer:

option (d) 2400

Explanation:

Data provided in the question:

Initial book value = $12,000

Salvage value = $2000

Useful life = 5 years

Thus,

Using the straight line method of depreciation

Annual depreciation = [Cost - Salvage value] ÷ Useful life

= [ $12,000 - $2,000 ] ÷ 5

= $2,000

Accumulated Depreciation for 3 years

= Annual depreciation × Time

= $2,000 × 3

= $6,000

Book value after 3 years = Cost - Accumulated depreciation

= $12,000 - $6,000

= $6,000

Remaining useful life = 2 years

Reduced Salvage value after 3 years = $1,200

Therefore,

Depreciable value of the Asset = Book value - Reduced salvage value

= $6,000 - $1,200

= $4,800

Revised depreciation to be charged every year

= Depreciable value of the Asset ÷ (Remaining useful life)

= $4,800 ÷ 2

= $2,400

Hence,

The correct answer is option (d) 2400

4 0

3 years ago