Answer:
$12,000
Explanation:
According to the accrual accounting method, the reporting of the transactions should be performed on an accrual basis which means whether or not the payment is paid but it is reported in the account books.
The revenue should be recorded when it is earned or realized and the expenses are recorded when it is incurred
So, in the given scenario, the amount based on accrual basis sales would be
= Goliath sold goods to customers on account + Goliath also sold goods to customers for cash
= $10,000 + $2,000
= $12,000
Answer:
ARR=15.82%
Explanation:
Joe's Hardware
Cash flow 1,540,000
Average Cash flow =305,000+265,000+(6×230,000)/8
Average Cash flow =305,000+265,000+1,380,000/8
=1,950,000/8
=243,750
ARR= Average Annual Operating Income/ Initial investment
=243,750/1,540,000
ARR=15.82%
Answer and Explanation:
The preparation of the multiple-step income statement is shown below:
Net Sales $2,415,700
Less: Cost of goods sold $1,314,300
Gross profit $1,101,400
Less: Operating expense -$736070
Operating income $365,330
Other revenue
Add: Interest revenue $31,590
Other expense
Interest expense $74,650
Loss on disposal of plant assets $18,990 $93,640 -$62,050
Net income $303,280
Answer:
"Net Present Value" is the right approach.
Explanation:
A method used to determining or calculating the gaps between the current valuation of initial investment as well as the outputs of something like development or possible expenditure is termed as net present value.
The formula which is used to find the NPV is given below:
⇒ 
here,
- i = Return required
- t = No. of periods
<span>The answer is option "c". When performing vertical analysis of a balance sheet, the base amount is "total assets".
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Total assets alludes to the aggregate sum of benefits possessed by a person or entity. Assets are things of financial value, which are consumed after some time to yield an advantage for the proprietor. In the event that the proprietor is a business, these benefits are normally recorded in the bookkeeping records and show up to be balance sheet of the business.
