When you want to start a business, what is the first step

Presented below is information available for Crane Company.

JulsSmile [24]

Answer:

the acid-test ratio is 1.5 times

Explanation:

The computation of the acid-test ratio is as follows:

Acid test Ratio = Quick assets ÷ current liabilities

where,

Quick Assets is

= Cash + short tern investments + Account receivable

= $3,500 + $50,000 + $56,000

= $109,500

And, the current liabilities is $73,000

So, the acid-test ratio is

= $109,500 ÷ $73,000

= 1.5 times

Hence, the acid-test ratio is 1.5 times

3 0

3 years ago

On January 2, 2015, Roth, Inc. purchased a laser cutting machine to be used in the fabrication of a part for one of its key prod

Irina18 [472]

Answer:

Explanation:

Depreciation is the systematic allocation of the cost of a machine over its useful lifetime.

There are different types of depreciation like the straight line , double declining and the units of production method.

<u>Workings</u>

Depreciable amount = 120,000-5000 = 115,000

Useful life = 4 years

Depreciation rate = 115000/4 = 25% = 28,750

2015 2016 2017 2018

Straight line depreciation 28,750 28,750 28,750 28,750

Double declining

Double declining rate = 25%*2 = 50%

2015 = 50% * 115,000= 57,500

2016

Opening book value = 115,000-57,500 = 57500

Depreciation = 57,500*50% = 28,750

2017

Opening book value = 57500-28,750 =28750

Depreciation = 50%*28,750 =14,375

2018

Opening book value 28750-14375 = 14375

Depreciation = 14375*50% = 7188

Units of production

2015 = 280000/1150,000*115,000 = 28,000

2016 =430,000/1150000*115000 = 43,000

2017= 360000/1150000*115000 = 36,000

2018 = 80,000/1150000*115000 = 8000

B

IF the machine was bought on July 1, 2015

Straight line depreciation

2015 = (25%*115000 ) /2 = 14,375

2016 =25%* 115,000 = 28,750

2017 = 25%*115000 = 28750

2018 = 25%*115,000 =28750

2019 =(25%*115000)/2 = 14,375

Double declining method

2015

(115,000*50,000)/2 =28750

2016

Opening book value =115,000-28750 =86250

Depreciation = 50%*86250 = 43,125

2017

Opening book value =86250-43125 =43125

Depreciation = 43,125*50% = 21,563

2018

Opening book value

43125-21563 =21562

Depreciation = 21562*50% =10,781

2019

Opening book value = 21562-10781 =10781

Depreciation = 50%*10781 = 5391

3 0

3 years ago

A stock sells for $12.36 a share and has a required return of 9 percent. Dividends are paid annually and increase at a constant

jenyasd209 [6]

Answer:

$0.72

Explanation:

The computation of the amount of the last dividend paid is shown below:

Market price of a stock = Last dividend × (1 + growth rate) ÷ Required rate of return - growth rate

$12.36 = Last dividend × ( 1 + 0.03) ÷ 0.09 - 0.03

$12.36 = Last dividend × (1.03) ÷ 0.06

$12.36 × 0.06 = 1.03 × last dividend

$0.7416 = 1.03 × last dividend

So,

last dividend is

= $0.7416 ÷ 1.03

= $0.72

7 0

3 years ago

Lewis and Associates has been in the termite inspection and treatment business for five years. The following is a list of accoun

astraxan [27]

Answer:

Lewis and Associates

1. Identification and Analysis of the items of additional information:

a. Rent Expense $400 Prepaid Rent $400

b. Depreciation Expense $150 Accumulated Depreciation $150

c.Cost of Chemical Used $8,100 Chemical Inventory $8,100

d. Wages and Salary Expense $1,080 Wages and Salary Payable $1,080.

e. Income Tax Expense $1,905 Income Tax Payable $1,905

2. On the basis of the information, Lewis and Associates appears to be a profitable business, making a margin of 11% in after-tax income.

Explanation:

a) Additional Data and Analysis:

a. Rent Expense $400 Prepaid Rent $400

b. Depreciation Expense $150 Accumulated Depreciation $150

c.Cost of Chemical Used $8,100 Chemical Inventory $8,100

d. Wages and Salary Expense $1,080 Wages and Salary Payable $1,080.

e. Income Tax Expense $1,905 Income Tax Payable $1,905

30% of the income for the month.

Income Statement for the Month Ended June 30

Treatment Revenue $40,600

Cost of Treatment Chemical 8,100

Gross profit $32,500

Expenses:

Wages and Salary $23,500

Utilities 1,240

Advertising 860

Depreciation 150

Rent 400

Total expenses $26,150

Income before taxes $6,350

Income taxes 1,905

Net income $4,445

7 0

3 years ago

A ________ helps a potential buyer move through the purchasing process without having to make an immediate decision; a ________

MissTica

A <u>marketing message</u> helps a potential buyer move through the purchasing process without having to make an immediate decision; a <u>sales message</u> encourages a potential buyer to make a purchase decision immediately.

<h3>What is marketing message?</h3>

The value of a business's products are emphasized through marketing message, which is how a brand interacts with its audience. In addition to the actual words and phrases a company uses in its advertising, "messages" also refers to the thoughts and sentiments evoked by what the brand says.

<h3>What is sales message?</h3>

Your sales message is your elevator speech, in which you present your case to prospective clients and persuade them to purchase your goods. Various variables, such as the product, audience, season, or any time-sensitive promotions you may be running, may influence the sales messaging you use.

To know more about marketing visit:

brainly.com/question/13414268

#SPJ4

I understand that the question you are looking for is :

A ________ helps a potential buyer move through the purchasing process without having to

make an immediate decision; a ________ encourages a potential buyer to make a purchase

decision immediately.

A) marketing message; product push

B) measured response; content quotient

C) persuasive appeal; purchase message

D) marketing message; sales message

E) persuasive message; marketing message

7 0

1 year ago