TRUE
<u>Explanation:</u>
The correct answer is true as the independent projects are selected based on the net present worth and the rate of return and do nothing alternative. In the independent projects, there is no need for the incremental B/C analysis. Simple B/C ratio will do it. If the B/C > 1, benefits outweigh the costs and the project is selected provided that there is no budget limitation. Thus, the given statement is absolutely the true one.
Answer:
a. $6468
Explanation:
Calculation for the amount of the check
Based on the information given we were told that Oriole Company sells merchandise on account for the amount of $7800 to Sunland Company with credit terms of 2/13, n/30 in which Sunland Company returns the amount of $1200 of merchandise that was damaged which means that the amount of the check will be calculated as:
Amount of the check=[($7,800 - $1,200) *(100%-2%) ]
Amount of the check=$6,600*0.98
Amount of the check=$6,468
Therefore the Amount of the check will be $6,468
Answer:
$38,500
Explanation:
Sheridan's ending cash balance can be calculated as;
= Beginning cash balance + cash provided by operating activities + cash provided by financing activities - cash used by investing activities
= $5,500 + $30,500 + $13,500 - $11,000
= $38,500
Therefore, the ending cash balance is $38,500
Answer:
Net profit is more important to consider because it accounts for all the costs associated with making and selling the product and it includes the operating expenses that are excluded from gross profit. Gross profit is the profit made after deducting costs associated with making and selling its products, or the costs associated with providing its services.
