All categories

3 years ago

Nu Company reported the following pretax data for its first year of operations.

Business

1 answer:

irakobra [83]3 years ago

8 0

Answer:

b.$144

Explanation:

Calculation for Nu's net income if it elects LIFO

Net sales$2,800

Less Cost of goods sold ($1,680)

($2,500 - 820)

Gross profit $1,120

($2,800-$1,680)

Less Operating expenses ($880)

Income before taxes$240

($1,120-$880)

Less Income tax ($96)

($240 x 40%)

Net income$ 144

($240-$96)

Therefore Nu's net income if it elects LIFO will be $144

You might be interested in

You live near the beach and want to give snorkeling lessonsYou estimate that after expenses , you can earn $10 per lesson. Each

Maurinko [17]

Answer:

Thats 700 a week

Explanation:

10 per lesson- 60 mins-weekly

6 0

3 years ago

Suppose that a 6.250% semi-annual coupon paying bond is priced at 105.500 per 100 of par value. The tenor of the bond is 13 year

zaharov [31]

Answer:

5.70%

Explanation:

In this question, we applied the RATE formula that is shown on the attachment below:

Provided that,

Present value = $1,000 × 105% = $1,050

Assuming figure - Future value or Face value = $1,000

PMT = 1,000 × 6.250% ÷ 2 = $31.25

NPER = 13 years × 2 = 26 years

The formula is shown below:

= Rate(NPER;PMT;-PV;FV;type)

The present value come in negative

So, after solving this, the yield to maturity is 5.70%

We assume the semi annual basis is followed so we half the interest rate and the coupon rate and doubles the time period

8 0

3 years ago

Blue Spruce Manufacturing has an annual capacity of 80,200 units per year. Currently, the company is making and selling 78,000 u

Aliun [14]

Answer:

The annual capacity is 85000 units. If order is accepted of 12000 units the company will be able to sell only 73000 units (instead of 78000).

Explanation:

Current Net Income calculation and New Net Income calculation are atteched in the archive.

Increase in income = new income – old income = 370000 – 340000 = $30000

Marston’s Net Income will INCREASE by $30,000 if it accepts the special order.

The above increase can be also understood as---

Contribution gain on special order – 12000 units x ($105-$90) = $180,000

(-) Contribution lost of normal sale – (78000 units – 73000 units) x ($120-$90) = $150000

Net INCREASE = 180000 – 150000 = $30,000

Download xlsx

3 0

3 years ago

Which example BEST illustrates that GDP (gross domestic product) is not always a good indicator of economic health?

Vaselesa [24]

Which example BEST illustrates that GDP (gross domestic product) is not always a good indicator of economic health? A)The GDP falls when consumer spending declines.
B)Money spent repairing hurricane damage helps raise the GDP.
C)Goods produced for infrastructure projects help raise the GDP.
D)The GDP falls because scarcity of materials slows the rate of production.

6 0

4 years ago

Read 2 more answers

Activities common to all businesses such as sales, operations (also called production), accounting, finance, and human resources

lidiya [134]

Answer: Key Business Functions.

Explanation:

The key business functions are the basic activities carried out in a business to ensure that the business is successful. The key business functions include: sales, marketing, accurate accounting, human resource, finance, market research etc.

3 0

3 years ago