If price is less than the average variable cost of a representative firm in a competitive industry in short-run:________

Torres Company uses the gross method and a perpetual inventory system. Assuming the following entries, compute the amount that T

Karo-lina-s [1.5K]

Answer:

Torres Company received $4,800 on May 12.

Explanation:

When The Sale was made, the following entries apply :

J1

Trade Receivable $5,000 (debit)

Sales Revenue $5,000 (credit)

J2

Cost of Sales $3,000 (debit)

Merchandise $3,000 (credit)

J3

Freight Expenses $110 (debit)

Cash $110 (credit)

When Campbell Company returned Merchandise :

J1

Sales Revenue $200 (debit)

Trade Receivable $200 (credit)

When Campbell Company pays for the goods

The payment is made 2 days out of the discount period, therefore not eligible for discount.

Settle amount in full less Return Allowance of $200

Trade Receivable $4,800 (debit)

Cash $4,800 (credit)

Conclusion :

Torres Company received $4,800 on May 12.

6 0

3 years ago

On october 1, goodwell company rented warehouse space to a tenant for $2,500 per month and received $12,500 for five months' ren

Nina [5.8K]

Goodwell will recognize 3 months (Oct 1 - Dec 31) of rent revenue earned, and will reduce (debit) the unearned rent revenue for those 3 months.
2,500 x 3 months = 7,500

Journal Entry, Dec 31:
Unearned Rent Revenue: 7,500
Rent Revenue: 7,500

The new Unearned Rent Revenue Account balance will be:
12,500 - 7,500 = 5,000

4 0

3 years ago

A stock has a beta of 1.12 and an expected return of 10.8 percent. A risk-free asset currently earns 2.7 percent. a. What is the

love history [14]

Answer:

6.75%

Explanation:

Data provided in the question:

Beta of the stock = 1.12

Expected return = 10.8% = 0.108

Return of risk free asset = 2.7% = 0.027

Now,

Since it is equally invested in two assets

Therefore,

both will have equal weight = $\frac{1}{2}$ = 0.5

Thus,

Expected return on a portfolio = ∑(Weight × Return)

= [ 0.5 × 10.8% ] + [ 0.5 × 2.7% ]

= 5.4% + 1.35%

= 6.75%

8 0

4 years ago

According to business process management, identify the management's next step after developing a vision for the organization.

elena55 [62]

Answer:

They should identify the critical processes that are to be redesigned.

Explanation:

Business process management focuses mainly on activities which is directed toward improving the company performance. It involves critically analysing, evaluating and improving various business processes.

Examples of business management tools include: Zoho creator, Pega platform, Bonita Bpm, Processmaker. These various tools helps to cut down different costs, build a stronger customer interaction, helps to develop an edge against competitors, reduce inefficiency among enployees, ensure smooth running of the organisation.

8 0

3 years ago

The two viking spacecraft did not find convincing evidence of life on mars, nor did the phoenix lander. do these results imply t

belka [17]

They don't. Water was found and there are actually implications that if it doesn't exist nowadays, it might have historically existed long before there was even life on earth. There are theories that there was life on Mars millions of years ago way before earth had life.

5 0

3 years ago

If price is less than the average variable cost of a representative firm in a competitive industry in short-run:_________