Why is it important for the government to achieve these five objectives?

Cash $ 8,600 Accounts receivable 16,500 Office supplies 2,000 Trucks 173,000 Accumulated depreciation—Trucks $ 35,638 Land 75,00

True [87]

Answer:

Net Income $23,588

Retained Earnings $140,088

Explanation:

To calculate the value of the retained earning at the end of the next year it's necessary to find the income of the current year and then deduct the dividends paid during the year, the remaining value adds to the retained earnings.

This value that we get of retained earnings at the end of the year, it's the value missing at the end of the year to explain the accounting equation of Assets = Liabilitites + Equity

Income Statement Blink

Trucking fees earned $ 135,000

Depreciation expenses -$ 22,987

Salaries expenses -$ 63,315

Office Supllies expenses -$ 13,500

Repair expenses -$ 11,610

Income $ 23,588

Retained Earnings Report

Opening retained earnings $ 135,500

Add: Net Income $ 23,588

Subtotal $ 159,088

Less: Dividens -$ 19,000

Total $ 140,088

BALANCE SHEETS Dec 31

Cash $ 8,600

Accounts Receivable $ 16,500

Office Supplies $ 2,000

TOTAL CURRENT ASSETS $ 27,100

Equipment $ 173,000

Accum Depreciation Truck -$ 35,638

Land $ 75,000

TOTAL NONCURRENT ASSETS $ 212,362

TOTAL ASSETS $ 239,462

Accounts Payable $ 12,600

Interest Payable $ 3,000

TOTAL CURRENT LIABILITIES $ 15,600

Long Term Notes Payable $ 52,000

TOTAL NONCURRENT LIABILITIES $ 52,000

TOTAL LIABILITIES $ 67,600

Common Stock $ 31,774

Retained Earnings $ 140,088

TOTAL EQUITY $ 171,862

7 0

3 years ago

In which instance will total revenues decline? Multiple Choice price increases and Ed equals -.41 price increases and demand is

liraira [26]

Answer:

price increases and Ed equals -2.47

Explanation:

Elasticity of demand measures the responsiveness of quantity demanded to changes in price.

Demand is inelastic if a change in price has little or no effect on quantity demanded. The absolute value of the coefficient for inelastic demand is less than 1.

If price increases and demand is inelastic, total revenue would increase because there would-be little or no change in quantity demanded as a result of the price increase.

Demand is elastic if a small change in price has a greater effect on the quantity demanded.

The absolute value of the coefficient for elastic demand is greater than 1.

If demand is elastic and price is increased, revenue would fall because of the decease in quantity demanded.

If demand is elastic and price is deceased, revenue would rise because of the increase in Quanitity demanded as a result of the fall in price.

Demand is unit elastic if a change in price has the same proportional effect on quantity demanded. The absolute value of the coefficient for unit elastic demand is one.

I hope my answer helps you

8 0

3 years ago

According to the demand-pull theory, inflation is caused by:

Aliun [14]

Answer:

Understanding Demand-Pull Inflation

Demand-pull inflation is a tenet of Keynesian economics that describes the effects of an imbalance in aggregate supply and demand. When the aggregate demand in an economy strongly outweighs the aggregate supply, prices go up. This is the most common cause of inflation.

Explanation:

hope it helps you

6 0

3 years ago

Daniel Franco, a free-lance gaming consultant and blogger, needed a new gaming system for his business. After some lengthy revie

Law Incorporation [45]

Answer:

Explanation:

Issue: Will the court rule in support of Daniel’s argument that Nintendo breached the warranty based on reasonable expectation on the performance of an expensive system and statements made while selling the gaming system?

Rule: There is a creation of express warranty when a seller makes a description of the statement quality, condition or performance of goods sold. This warranty is created by the statement of facts and if the seller uses words to designate the value of the supposed goods, it will only be considered as an opinion that does not create any express warranty.

The customer’s reasonable expectation of the existence of the gaming system based on the price leads to implied warranty. The goods sold should be logically fit for the general purpose for which it is sold. It should be of proper quality to satisfy the implied warranty of merchantability and the goods should fit the particular purpose for which the buyer will use the goods to satisfy the implied warranty of fitness for a particular purpose.

Analysis: Here, the argument of Daniel that Nintendo’s description of the gaming system as “most reliable”, and “durable” asserted that the quality and performance of the gaming system will not stay because these words create general statements that are made as part of sale or seller’s opinion about the goods. These words would be considered as puffery and do not create any express warranty. The higher price of the gaming system would create an implied warranty about the performance of the system, but the switch failed only after the warranty period. When the seller has expressly stated the warranty period as one year, any defects that occur after the warranty period will not breach the implied warranty.

Moreover, the gaming system was reasonably fit for Daniel’s business purpose and worked well during the warranty period. Hence Daniel’s arguments will not stay in front of the court.

Conclusion: The court will not rule in favor of Daniel and Daniel will not be able to recover against Nintendo because no breach of warranty had occurred.

8 0

3 years ago

Express the following comparative income statements in common-size percents. (Round your percentage answers to 1 decimal place.)

Mila [183]

Answer: Cost of Goods sold

Explanation:

Common size analysis refers to making all entries in the income statement, a percentage of sales for that year.

Current Year Prior Year

Sales 100% 100%

Cost of Goods sold 75.7% 46.5%

Gross Profit 24.3% 53.5%

Operating expenses 17.3% 35%

Net Income 7.0% 18.5%

Looking at the percentages above, one can see that the COGS increased the most from the previous year by going from 46.5% to 75.7% representing an increase of 29.2%.

This had the most impact on Net income as it substantially reduced Gross profit.

8 0

3 years ago