Answer:
--Correct Answer = $ 2,000
Explanation:
the step by step Workings can be seen below
Beginning Inventory $512,000
Add: Purchases $53,000
Less: Cost of goods Sold $48,000
Ending Inventory as per perpetual method $517,000
Less: Ending Inventory as per physical count $515,000
Shrinkage amount $2,000
The correct option is A. The effect of tax cut is reduction in the amount of money that the government is generating and increase in the amount of money available to those whose taxes are reduced. Government usually cut taxes in order to boost the economy through increased spending.
<em>Answer</em>:
<u>$52,000</u>
Explanation:
Remember, the FIFO inventory costing method records the inventory value based on the cost of the earliest (first) purchased or in hand balance.
The effective tax rate would usually be applied after the sales, however using FIFO we assume the first value of the inventory prior to the tax deduction.
= 4000 x $13
= $52,000
Therefore, the gross profit for the period is $52,000.
Answer: The tax on capital gains is deferred until the gain is realized
Explanation:
The TAX DIFFERENTIAL VIEW of DIVIDEND POLICY is a notion that states that shareholders generally prefer capital gains fo dividend payouts because capital gains are taxed at a lower rate than dividend payouts.
Therefore they would like to pay less tax on dividends and instead wait until they make a capital gain as the taxes on that are less and are only charged after the gain is realized.
This translates to less dividends being paid by companies that follow this logic therefore the 4th option is correct.
Answer:
C. consumers make their purchase decisions based on perceived value.
Explanation:
Consumer perceived value is the benefit of a product that the consumer receives by buying any specific goods or services. Perceived value is the satisfaction level of consumer that customer look in the product, rather than just paying for the product, therefore, the company need to work and develop their brand and value in the market. Cost does not define the value of the product, rather it is a satisfactory level of consumer that defines the value and price of product. Example; Customer does not pay for the software, however, they pay for the solution.
