Answer:
Expense must be recognized in July
Explanation:
The reason is that the expense must be recognized in the month in which the supplies are used because the accrual concept says that the expenses must be realized when they are incurred. Incurred means that the consideration received has been used. For example if I pay the telecommunication network in June to give 4G internet and the services are delivered in the month July then the expenses will be realized in the month in which the services were used and that is July for internet facilities. So in this case the supplies are used in the month of July which is in-accordance with the accrual concept.
Answer:$0
Explanation:
Because because Black must actually grant a bonus to Hewlett and Martin
Answer:
A. population sizes, income levels and cultural influences, the current state of the infrastructure and distribution and retail networks available.
Explanation:
The reason is that the foreign markets are affected by the cultural differences for example if US clothing brand enters Suadia Arabia then it can not sell its brands here because in the Suadia Arabian culture girls wear full sleeves and are not skin tight fits. This means that the culture have an influence over the foreign markets. Likewise the income level tells about how much the customer can spend on luxury items, population of customers available is also an attractive part that the investors see to move in the markets. The infrastructure of a country and the regional importance of the state are also the motivators for the foreign companies to move in to the market.
These factors are the ecosystem of the country that gives insight of the market size and market growth of a particular market.
Answer:
7.85%
Explanation:
Face value of bond =$2000
Price of current bond= face value× 106.5% = $2130
Term= 25 years×2= 50 period
Coupon rate= 7%×1/2= 3.5%
Coupon amount= coupon rate×face value = $2000×3.5/100
=$70 for a period
YTM of bond= [coupon amount+ (maturity value-current price)/Term]/0.6×current price+0.4×maturity value]
YTM of bond= 6.487% per annum
Total market value of bond= 8,400bonds× $2130= $17,892,000
Market value of common stock= 275,000shares × 62.50= $18012500
Weight of common stock= 0.490009385
Weight of preferred stock= 0.023259294
WACC= Wd* Kd + Wc*Kc + Wp*Kp
= 0.486731321× 4.86525% +
0.490009385× 10.9624275+
0.023259294× 4.7368421%
=7.849%
= 7.85%(rounded)
Thus, WACC is 7.85%
Answer:
$210,000.
Explanation:
Given:
Cost of goods sold = $420,000
Sales revenue = $800,000
Operating expenses = $170,000
Question asked:
What amount will the company report for operating income ?
Solution:
As we know, Operating Income = Gross Profit- Operating Expenses
First of all we will find gross profit,
Gross Profit = Net Sales – Cost of goods sold
= $800,000 - $420,000
= $380,000
Now, Operating Income = Gross Profit- Operating Expenses
= $380,000 - $170,000
= $210,000
Therefore, consider the following year-end information for a company, its Operating Income is $210,000.
