Answer:
Explanation:
Computation A:
Product Cost Markup = Desire to Earn Profit + Total Selling
Desired to Earn profit = $960,000 × 12%
Desired to Earn profit = $115,200
Product Cost Markup = Desire to Earn Profit + Total Selling
Product Cost Markup = $115200 + $105000
Product Cost Markup = $220,200
Percentage Markup = Product Cost Markup / Incur Total Manufacturing Cost
Percentage Markup = $220200 / $2600000
Percentage Markup = 8.5%
Computation B:
Per Unit Cost = $2,600,000 / 80000
Per Unit Cost = $32.5
Price of Product = $32.5 + ($32.5 × 8.5%)
Price of Product = $35.26
Answer:
B) increase the risk a bank faces.
Explanation:
Off-balance sheet activities include all the bank's activities regarding assets, debts or other financing activities that are not presented in the bank's balance sheet, e.g. issuance of guarantees, commitments to make loans, etc.
Banks incur in this type of activities because generally they charge fees for them (increase revenue) without affecting measures of indebtedness like debt to equity ratio.
Answer:
Leslie studies how individuals go about purchasing products for their personal consumption and what factors influence these decisions. Leslie studies Consumer Buying Behavior.
Answer:
1.Quinlan distribution has realized a loss of
$214,480 of which $0 is recognized.
2. The shareholder received property with a basis of $321,720
Explanation:
1.
When property is been said to be distributed to shareholders the amount of dividend equal to the fair value of the said property which is $321,720 on the date of the distribution. Therefore the amount of taxable dividend is $321,720 which is before the dividends received deduction.
Therefore;
Net loss which shall not be allowed ($536,200-$321,720)
=$214,480
Quinlan distribution has realized a loss of
$214,480 which is not allowed to be recognized
2. Adjusted basis of the property distributed is $321,720
Answer:
Free rider problem
Explanation:
A popular term that describes a situation when those who benefit from resources, or services offered to the community do not pay for them.
The free-rider problem usually occurs with goods or services which are non-restrictive like radio services.
Since Janet does not pay for the radio services and yet benefits from it, she is a free rider.
