Answer:
c. in a sales-type lease, the profit is recognized immediately. In a direct financing lease, the profit is deferred and recognized over the life of the lease.
Explanation:
In the case of sales type lease, the profit is recorded instantly while on the other hand the financial lease in this there is a deferred profit and the same would be recorded over the lease life
Therefore according to the given situation, the option c is correct
And the rest of the options are wrong
Inflation is the situation money is losses some of its value due to general process levels rises in the economy.
- Hence it can be best be defined as the increase in the amount of money and credit in the economy related to the supply of services and goods.
- Thus its an upward, general trend of prices in the economy. Hence the option D is correct.
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Answer: $40,000 incremental profit
Explanation:
Total Revenue if they sell the chickens as is to a slaughter house is,
= 60,000 * 1
= $60,000
If they decide to slaughter the chickens themselves then we have the following revenue
= 2.75 (selling price) * 60,000 chickens - 65,000 ( cost to turn into meat)
= $100,000
That's the profit if they process further. To get the Incremental Profit we subtract the profit if they just sell to the Slaughter house.
= 100,000 - 60,000
= $40,000
The Incremental profit if Paola Slaughters chickens is, $40,000
Answer:
131,250= number of units
Explanation:
Giving the following information:
<u>We need to calculate the number of units to be sold to maintain a profit of $175,000.</u>
Unitary variable cost= $3
Fixed expenses= $350,000
Selling price= $7
Net income= total contribution margin - fixed cost
175,000= number of units*(7 - 3) - 350,000
525,000 = number of units*4
525,000 / 4= number of units
131,250= number of units
Answer:
The company produce during June 5,745 units
Explanation:
Units the company produce during June = Units sold during June + Units in ending inventory - Units in beginning inventory
The company plans to sell 5,700 units in June and has 855 units in beginning inventory, has a target of 900 ending inventory
Units the company produce during June = 5,700 + 900 - 855 = 5,745 units