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3 years ago

How is the Sole Trading formed?

Business

1 answer:

daser333 [38]3 years ago

4 0

Answer:

A sole proprietorship is established when an owner begins operating their business.

Explanation:

There are no separate licenses to obtain to form a sole proprietorship. The sole proprietorship will be maintained so long as the owner keeps doing business.

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Which of the following statements is CORRECT?

stealth61 [152]

Answer:

Explanation:

As the capital asset pricing model dictates, assest's systematic risk is captured by beta parameter. If we have beta value of asset then we can calculate expected return.

expected return = risk free rate + beta * market risk premium

As both A and B have same beta hence they have same expected returns.

7 0

4 years ago

A researcher administers a survey on issues related to the U.S. health care system to a sample consisting of 60% medical doctors

Leno4ka [110]

Answer:

Option B William is probably a doctor

Explanation:

The reason is that he is specifically pointing out the health care system with no specific judgement and hasn't based his views on authentic information neither he has used any numerical values in his statement. The doctors might think that the expenses are high enough but the economist compares the government spending on health care with a number of different countries and considers its value generation on a number of variables. For example, the statistical data that the economist uses are based on the spending of US to recover a unit patient from accidents, etc. So William is most likely a doctor.

6 0

3 years ago

Read 2 more answers

A company’s activities for Year 2 included the following: Gross sales $3,600,000 Cost of goods sold 1,200,000 Selling and admini

hichkok12 [17]

Answer: Option (B) is correct.

Explanation:

Net sales = Gross sales - Sale return

= $3,600,000 - 34,000

= $3,566,000

Gross profit = Net sales - COGS

= $3,566,000 - $1,200,000

= $2,366,000

Total Income = Gross profit - S& A expense - Prior period expense + Gain on sale of securities + Gain on disposal of business segment

= $2,366,000 - $500,000 - $59,000 + $8,000 + $4,000

= $1,819,000

Net Income for Year 2 = Total Income - [email protected]%

= $1,819,000 - $545,700

= $1,273,300

3 0

3 years ago

Advertising Costs $ 12 comma 000 Indirect Labor 7 comma 000 CEO's Salary 460 comma 000 Direct Labor 54 comma 000 Indirect Mater

sineoko [7]

Answer:

$510,130

Explanation:

Costs can be classified into two categories: Product Costs and Period Costs. Product costs are the manufacturing costs that are incurred in the production of goods and services. Under absorption costing, product costs include direct materials, direct labor, indirect materials, indirect labor, and other factory overhead. These costs are capitalized and expensed out when related goods and services are sold out.

On the other hand, period costs are selling & administrative expenses. These costs are never capitalized and expensed out in the statement of profit or loss as soon as incurred. Examples of period costs are advertisement expenses, depreciation expenses (not related to factory), sales commissions, administrative salaries and wages.

Calculation of Period Costs

Advertising costs $12,000

CEO's salary 460,000

Delivery vehicle depreciation 1,230

Administrative wages and salaries 36,900

Total Period Costs $510,130

4 0

4 years ago

Read 2 more answers

Information on Kimble Company's direct labor costs for the month of January is as follows:________. Actual direct labor hours 34

Ierofanga [76]

Answer:

Direct labor rate variance= $26,100 unfavorable

Explanation:

To calculate the direct labor rate variance, we need to use the following formula:

Direct labor rate variance= (Standard Rate - Actual Rate)*Actual Quantity

Actual rate= 269,700/34,800= $7.75

First, we need to calculate the standard rate:

Direct labor time (efficiency) variance= (Standard Quantity - Actual Quantity)*standard rate

5,600 = (35,600 - 34,800)*standard rate

5,600/800= standard rate

$7= standard rate

Now, the direct labor rate variance:

Direct labor rate variance= (7 - 7.75)*34,800

Direct labor rate variance= $26,100 unfavorable

6 0

3 years ago