Answer:
The correct answer is:
Debit: Account receivable $5,800
Credit: Sales revenue $5,800
Debit: Cost of goods sold $4,000
Credit: Merchandise inventory $4,000
Explanation:
On 1st May
Upon sale of inventory on credit
Debit: Account receivable $5,800
Credit: Sales revenue $5,800
On 1st May
To record cost of goods sold of merchandise inventory:
Debit: Cost of goods sold $4,000
Credit: Merchandise inventory $4,000
Answer:
The incremental manufacturing cost that the company will incur if it increases production from 10,500 to 10,501 units is closest to $11.40
Explanation:
It is important to note that the question requires The incremental manufacturing cost that the company will incur if it increases production from 10,500 to 10,501 units
From Production of 10500 units to 10501 units, there is an increment of 1 unit.
<u>Lets find the incremental cost of 1 unit.</u>
1.To do this we only consider variable manufacturing costs only.
2.Since increase is within the relevant range, the fixed manufacturing overheads do not change.
3.Also Ignore all non- manufacturing overhead as they do not form part of manufacturing costs.
Extra 1 Unit
Direct materials $6.70
Direct labor $3.50
Variable manufacturing overhead $1.20
Total Cost $11.40
Answer:
Explanation:
1. Shareholder's Equity = 4 billion
shares outstanding = 60 million
Book value/ share = 4000/60 = $66.66/ share
Market value / Book Value = 1.7
Market value of stock = 1.7*66.6=$113.22
2. EBITDA or earnings before interest, taxes, depreciation and amortization
Enterprise value (EV) = Market value of equity . + Market value of debt. - Cash
=4bill + 8bill - 320million
=12 billion -320 million
=1.168 billion
I had to look up the term "bear market" because I was unaware of what it meant.
Bear Market = a market where prices are falling. This type of market encourages selling.
Answer: I think that because it stated in the problem stable companies were still affected, that means that Bellwether Company will be affected by the bear market falling prices. Therefore, I hypothesize that because the stock market it experiencing a bear market Bellwether's prices will continue to fall.
Did that make sense?
Answer:
<u><em>No, Trade deficits occur when a country's investment spending is higher than its level of saving</em></u>
Explanation:
As sad above trade deficits occur when a country's investment spending is higher than its level of saving but it is not a serious problem .
Trade deficit is that in which the imports are more than the export.Trade deficit can cause problem like balance of payment which affects the shortage of foreign exchange and this situation can hurt the countries. Trade deficits not only affects foreign exchange but it also affects the economic stability and growth process.
The trade balance can corrected by consuming less and by saving more , and even by depreciate the exchange rate.
