E. You can send a presentation via email instead of having to fly to a customer.
Answer:
Explanation:
For computing the retained earning ending balance, first, we have to compute the net income. So, the calculation is shown below:
= Service revenue - salaries expense - property tax expense - utilities expense - miscellaneous expense - rent expense
= $154,600 - $65,000 - $2,200 - $7,200 - $3,800 - $23,000
= $53,400
So, the net income would be $53,400
Now, we have to find the ending retained earning balance which equals to
= Beginning retained earning balance + net income - dividend paid
= $39,000 + $53,400 - $57,000
= $35,400
The preparation of the statement of retained earning is presented in the spreadsheet. Kindly find the attachment below:
Answer: Option (D) is correct.
Explanation:
Production possibility curve is a curve which depicts all the combination of goods that a firm can produce with the given resources. This curve shifts if there is any changes in the technology, skills and in the factor of production such as coal, oil, etc. So, if there is any improvement in the technology then as a result more goods can be produced with the same level of resources. This is due to the improvement in the farmers productivity which results from advanced technology.
Answer:
Explanation:
Because land never depreciates, Western Bank & Trust wanted to distribute a higher percentage of the purchase price to the building, rather than the land. By allocating 90% of the purchase price to the building, rather than a more accurate 70%, Western Bank & Trust increases the depreciation amount of the building each year. For tax purposes, the IRS requires that the Modified Accelerated Cost Recovery System (MACRS) be used as the depreciation method used by companies. Under this method, the IRS specifies the useful life for a specific asset. MACRS also ignores residual value of an asset at the end of its useful life. By stating that the building was worth 90% of the total purchase price, Western Bank is attempting to increase its tax deduction from the IRS, because only the building depreciates, not the land. This improper allocation of the total purchase amount violates GAAP principles, which require that accounting information be “relevant and have faithful representation.” The information must be “complete, neutral, and free from error” (Nobles, Mattison, & Matsumura, 2014). For Western Bank to provide complete, neutral, and free from error information, it should record the transaction honestly: 70% to the building, 30% to the land. This dishonest representation is harmful to the federal government in that it is allowing Western Bank to take more money than what it is owed. If these kinds of situations happen on a large scale, it could have a huge impact on the economy in general. Source: Nobles, T., Mattison, B., & Matsumura, E. M. (2014). Horngren's Accounting, 10th Edition. Pearson Education, Inc. Student 2
a. revenue tariff----------------a 6% tariff on oranges to provide money for the government.
Revenue tariff alludes to a set of rates planned for expanding public revenue. It can likewise be said as a tax exacted on import and fare to fund-raise for the government. Revenue tariff is any schedule or arrangement of rates or changes that are proposed to create income for the government.
b. protective tariff---------a 50% tariff on oranges to shield domestic orange growers from international competition.
Protective tariffs are tariffs that are established with the point of ensuring a domestic industry. Tariffs are likewise forced keeping in mind the end goal to raise government income, or to decrease a bothersome action. In spite of the fact that a tariff can all the while secure household industry and procure government income, the objectives of assurance and income augmentation recommend distinctive duty rates, involving a trade off between the two points.
c. retaliatory tariff-----------a 200% tariff on oranges to reply to a high tariff imposed by another country.
Retaliatory tariff refers to a tariff imposed as a methods for constraining a foreign government and expected to urge the give of correspondence benefits.
Retaliatory tariff is a tariff imposed to pressure another nation into evacuating its own tariffs or making exchange concessions.
