Answer:
The correct option is C
Explanation:
Horizontal merger is the one where the merger of the two companies who are competing in the same industry and offering or providing the same kind of goods. Whereas the Vertical merger is the one where the merger of the two companies involve in producing the same good but at different stages of the production.
So, in this case, merger between Kooky Cookies Corporation and Crazy Cookie Company will be horizontal merger because both companies offering similar products to same customers. And Kooky Cookies purchases baking product, it will be a vertical merger as it involve in the production of cookies but at different levels.
Answer:
Bloomington Inc.
Indication of Liability Amount on the Balance Sheet at December 31, 2019:
Situation Liability Amount
a. $220,000
b. $0
c. $3,100
d. $0
Explanation:
For Bloomington to recognize a liability or record it in its financial statements, the probability that an outflow of economic resources will occur in the future must be established. Bloomington must also be able to reliably measure the amount of the liability. These two conditions are satisfied in situations A and C. For situation B, the contract is not in force as at December 31, 2019, since the drill press will be purchased in January, 2020. Lastly, for situation D, the amount of the profit-sharing bonus cannot be reasonably and reliably ascertained because the amount to apply the 5% is not clear or known.
Answer: Capital investment in new machinery
Capital investment in new machinery enables a company to produce more over a given period of time as compared to the old machine.
It also helps the company to take advantage of new orders in the markets and helps it increase its share in catering to the demand for its products
Answer:0.63; rises
Explanation:
As the price of good X rises from $1.50 to $1.75 the result is a decrease in the quantity demanded of good X from 650 units to 590 units. The price elasticity of demand for good X is _____0.63________ and total revenue _____rises_____ as the price of good X rises from $1.50 to $1.75.
Answer:
Total cost= $350,400
Explanation:
Giving the following information:
For Gundy Company, units to be produced are 5,280 in quarter 1 and 6,400 in quarter 2. It takes 2.0 hours to make a finished unit, and the expected hourly wage rate is $15 per hour.
Quarter 1:
Direct labor cost= 5,280*2= 10,560 hours
Quarter 2:
Direct labor cost= 6,400*2= 12,800 hours
Total cost= (10,560 + 12,800)*15= $350,400
