Answer:a credit to Interest revenue for $200
Explanation:
Interest = Principal x rate x time ( period )
= $10,000 x 6% x 120/360
=$200
Account titles and explanation Debit Credit
Cash $10,200
Note receivable $10,000
Interest revenue $200
Therefore, The journal entry that Teal would make to record payment of this note would include a credit to Interest revenue for $200
Answer:
It is more profitable to sell the product as it is.
Explanation:
Giving the following information:
McPupper Steel has products that can be sold for $13,000, or could be reworked at a cost of $3,400 and sold for $16,000.
To calculate the convenience of continue processing the product, we need to deduct from the final selling price the rework costs and compare it to the original price.
Effect on income= 16,000 - 3,400= $12,600
It is more profitable to sell the product as it is.
Answer:
$4,186
Explanation:
(90 ×$90) + (155 ×$94) + [(255 -245) ×$98]
=$8,100+$14,570+$10×$98
=$22,670+$980
=$23,650
[(255 ×$126) - $23,650]
=$32,130-$23,650 =$8,480
Assuming that a periodic inventory system is used, and operating expenses of $2,500
($8,480-$2,500)×0.70
=$5,980×0.70= $4,186
Therefore the company’s after-tax income is $4,186
The correct option is - 3 ( "Money spent last month repairing a damaged front fender" )
<u>Explanation:</u>
Sunk cost means the cost that has been already incurred in the past and cannot be recovered. This implies that sunk costs should be not be considered in future decision making of the project, because these are the cost that can not be changed with under taking the project or not. The significant aspect about this costs is that they shouldn't be allowed to influence subsequent decisions.
With the theatre ticket example, there's an opportunity to leave the theatre at the intermission and spend the rest of your evening doing something else more enjoyable. If you don't like the play then you might decide to leave, but the sunk cost of the ticket shouldn't influence your decision to stay or leave.
Answer:
It is an undifferentiated marketing
Explanation:
Under undifferentiated marketing strategy, seller is not focusing on any segment of the market as its target customers. This product is produced without having a particular segment of customer in mind i.e a one size fits all type of product.
This type of strategy is not sustainable and it is probably going to get stalk in the middle because according to Michael Porter, you can either compete using cost-leadership , differentiated or focused strategy.
As a producer of undifferentiated product, you are neither using cost-leadership strategy nor differentiated strategy.