The contract must be very detailed and should include all the contingencies spelled out in it.
<u>Explanation:</u>
Contract is a document that is made between two or more than two parties who have come in to an agreement with each other over a particular thing. The contract might be a business contract that the parties make which should have the proportion of profit and liabilities of the business that is to be shared among the partners.
Since the profit and losses are to be shared between the business partners on the basis of this contract, the contract should have very detailed information in it and all the contingencies should be spelled out in it.
Answer:
D : $600,000 loss
Explanation:
In the income statement, the total revenues and the total expenses are recorded.
If the total revenues are more than the total expenditure then the company earns net income
And, If the total revenues are less than the total expenditure then the company have a net loss
This net income or net loss would reflect in the statement of the retained earning account.
So,The net income or net loss would be
= Net income - research and development costs
= $2,400,000 - $3,000,000
= $600,000 loss
Answer:
$311,100
Explanation:
Solution
Recall that:
Assume Chester corp downsized the size of their workforce by = %
The exit interviews cost estimated = 100
Additional normal costs of separation = $5000
Now,
The Total Employee = 305
The Down Sizing = 20%
Thus,
The Total Employee = 305 x 20% = 61 employees
so,
The Separation cost per employees = $5000
The Exit interview cost = $100
Total cost = $5,100
Now,
The total overall cost of separation = 61 employees x total cost of separation per employees
Which is,
= 61 x 5100 = = $311,100
Answer:
$59,000
Explanation:
We will first determine the variable cost per unit
= $24,000/300
= $80
Contribution margin percentage =
$280 - ($80 - $1.10)/$280
= 0.72
= 72%
New break even point = $18,000/72%
= 25,000
Old break even point =
($280 - $80)/280
= 0.71
= 71%
= $18,000/71%
= $25,352
Margin of safety = $84,000 - $25,000
= $59,000
Answer:
The current weekly wage rate in the labor market is:
$453.20
Explanation:
a) Data and Calculations:
The average hourly earnings of all employees in the United States stands at 11.33 U.S. dollars.
For 8 hours a day, this will translate to $90.64 ($11.33 * 8)
For 5 days a week, the wage rate will be $453.20 ($90.64 * 5) or ($11.33 * 40).
b) The above rate is for wage workers, who are usually paid per day or per week. For salaried workers, the rate will be much higher and with some ranges, since salaries are not based on the factor of hourly or weekly rates.
