Answer: PLease see answer below
Explanation:
Date Account title and explanation Debit Credit
Dec 31 Interest receivable $168
2021 Interest revenue $168
Calculation
Interest =Principal x time x rate
= 7,200 x 8% x 3.5 /12(15th september to 31st December)
=$168
Answer:
b. Investors buy products in other countries.
Explanation:
Inflation causes higher cost of production for manufacturer which then charge high cost for the products. Thus, if there is inflation in US, product cost will skyrocket thus companies will buy products from other countries where the product might be at a cheaper cost.
Answer: Will report a liability of $5000 for judgement debt and a claim of $11,000
Explanation:
The liability refers to the obligations of the firm which are certain is going to make payment as compensation.
The $5000 liability, although payment has not been made it's already Incurred by the company under the acural concept.
The claim of $11,000 is only probable and not certain even though amount and time of execution can be estimated, since it's not certain it will only be recorded as a claim in the goverments fund balance sheet.
Answer:
a) attached below
b) P( profit ) = TR(q) - TC(q)
c) attached below
d) -$5000 ( loss )
Explanation:
Given data:
Fixed Cost = $10,000
Material cost per unit = $0.15
Labor cost per unit = $0.10
Revenue per unit = $0.65
<u>a) Influence diagram to calculate profit </u>
attached below
<u>b) derive a mathematical model for calculating profit.</u>
VC = variable cost per unit , LC = per unit labor cost , MC = per unit marginal cost, TC = Total cost of manufacturing , FC = Fixed cost, q = quantity, TR = Total revenue, R = revenue per unit
VC = LC + MC
TC (q) = FC + ( VC * q )
TR (q) = R * q
P( profit ) = TR(q) - TC(q) ------------ ( 1 )
c) attached below
<u>d) If Cox Electrics makes 12,000 units of the new product </u>
The resulting profit = -$5000
q = 12
P = TR ( q ) - TC ( q )
= ( R * q ) - ( Fc + ( Vc * q ) )
= ( 0.65 * 12000 ) - ( 10,000 + ( 0.25 * 12000 )
= -$5200
Answer: A. N = 12; 1 = 8/4; PV = 25,000; FV = 0; CPT PMT
Explanation:
A is the correct option because,
N = 12
The period is 3 years but the payments are quaterly so the actual period is;
= 3 years * 4
= 12 quarters/ periods.
I = 8/4
The interest rate is 8% but this is stated as a Yearly value which needs to be adjusted to a quarterly value by dividing it by 4.
PV = 25,000
The Present Value of the loan is $25,000 because this is the amount that Art's Market was given in the present.
When all of this is inputted into the calculator, the answer will be; PMT = $2,363.99.
