Answer:
Gross profit = net sales revenue - cost of goods sold. But what happens when your company doesn't sell any goods, specially if they only sell services and it is impossible to determine the COGS.
This is basically an accounting issue since the <u>IRS</u> defines COGS as:
- <em>The cost of products or raw materials, including freight </em>
- <em>Storage
</em>
- <em>Direct labor costs (including contributions to pensions or annuity plans) for workers who produce the products
</em>
- <em>Factory overhead the cost of inventory items sold </em>
So if your company doesn't sell any items from inventory, the IRS will not consider that your company incurred in COGS.
Reporting COGS is very useful for deducting business expenses, but it is not mandatory. Also, any expenses deducted as COGS cannot be deducted again as any other type of cost. So it is simply an accounting practice that helps certain industries to report their business expenses more clearly and in an orderly manner. But if it is too complicated to determine your company's COGS, then you can report your expenses in other ways and reduce your problems.
Answer:
standard price= $5
Explanation:
Giving the following information:
Quantity of direct materials used 3,000 lbs. Actual unit price of direct materials $5.50 per lb. Units of finished product manufactured 1,400 units Standard direct materials per unit of finished product 2 lbs.Direct materials quantity variance-unfavorable $1,000Direct materials price variance-unfavorable $1,500.
Direct material price variance= (standard price - actual price)*actual quantity
-1,500= (SP - 5.5)*3,000
15,000=3,000SP
5= standard price
Direct material quantity variance= (standard quantity - actual quantity)*standard price
Direct material quantity variance= (1400*2 - 3,000)*5
Direct material quantity variance= 1,000 unfavorable
Answer:
interest rate = 9.01%
Explanation:
given data
real risk-free rate = 2%
maturity risk premium = zero
year 1 Treasury bond yield r1 = 7%
year 2 Treasury bond yield r2 = 8%
solution
we get here year 1 interest rate expected for year 2 is that is express as
interest rate = 
interest rate = 
interest rate = 1.090093 - 1
interest rate = 9.01%
Answer:
The options for this question are the following:
A. faulty expression
B. information overload
C. selective perception
D. filtering
E. jargon
The correct answer is B. information overload
.
Explanation:
Information overload is a term coined in 1970 by Alvin Toffler, an American writer and scientist whose work focuses on the changes that occur in society as a result of certain technological advances. Information overload occurs when you are faced with more information than you are capable of processing and, as a consequence, you either postpone some of the decisions you have to make or you make wrong decisions.
In the current Information Age, practically everyone has access to the Internet, the sending of emails has exponential growth every year and social networks have opened new channels of communication. The cost of storing and duplicating information tends to zero, which means that each time our computers have higher capacity hard drives that, in any case, we did not take long to fill with a multitude of videos, e-books, music, photographs, etc.
it will rest lightly on the pinky finger on the right hand
