Answer:
Results are below.
Explanation:
<u>To calculate the fixed cost under the high-low method, we need to use the following formulas:</u>
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (110,000 - 87,500) / (4,000 - 2,500)
Variable cost per unit= $15
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 110,000 - (15*4,000)
Fixed costs= $50,000
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 87,500 - (2,500*15)
Fixed costs= $50,000
Answer & Explanation :
Bank Reconciliation Statement is prepared to reconcile (match) the differences between bank balance as per cash book & bank balance as per pass book, at end of an accounting period.
The differences may arise because of following reasons :
- Errors committed by firm or bank
- Cheques paid but not collected, upto the last date (added in cash book, but not in bank balance)
- Cheques issued but not yet presented for payment, upto last date (subtracted in cash book, but not in bank balance)
- Direct expenses & direct incomes settled by bank (done in bank balance, but not in cash book)
BRS involves starting with balance as per any book - cash book or passbook. Then, the adjustments for mismatch are done, to arrive at correct balance as per the other book.
it contains four elements:<span>
<span>the product or service </span>
<span>the customer </span>
the benefit
<span>the distribution</span></span>
Answer:
Yes, a negative free cash flow can be viewed optimistically by some investors depending on what they are looking for.
Explanation:
A negative free cash flow refers to inability of the business to generate enough cash flow.
This could be seen at face value as a disadvantage but an investor will check the books to know why and that will help to make a more informed decision.
Some companies start out acquiring infrastructure, setting up internal structures, human resources and internal workings of the organization years before proper sales that attract consistent cash flow starts to trickle in.
This pre-operating and initial operating expenses does not reflect well on paper thereby giving a negative free cash flow.
An investor would be optimistic about investing in a company of this sort that has put in place the right conduit to generate and sustain massive cash flow in the nearest future.
B. False
As the market value of a public trade bond that has a broad market with frequent trading is determined by multiplying no of bonds by the bond's market price.
Finance is a wide time period that describes sports associated with banking, leverage or debt, credit, capital markets, money, and investments. basically, finance represents cash control and the procedure of acquiring wished budget.
The bond market—frequently referred to as the debt marketplace, constant-profits market, or credit marketplace—is the collective call given to all trades and troubles of debt securities. Governments commonly difficulty bonds so that they will increase capital to pay down money owed or fund infrastructural upgrades.
Learn more about The bond market here
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