This consideration is related to the socio cultural environment:
a.) A new business decides to begin with the city its owners live in
since they are familiar with the local geography and tax issues.
Explanation:
The socio cultural environment one is familiar with influences them in many ways.
This also includes their choice of place for where they will start the business simply because they know that domain much more and it will be easier to be effective in there.
This is the reason that people are often told to be in their familiar turf.
The new business will be able to use its full contacts and have an insight on what works and what doesn't because they operate from their own area.
For the answer to the question above, i<span>n macroeconomics, the guns versus butter model is a simple example of the production possibility frontier. It models the relationship between a nation's investment in defense and civilian goods.
I hope my answer helped you.</span>
Answer:
Net income from special order = $56,400
Blowing Sand Company should accept the order because it will increase net income by $56,400
Explanation:
In order to carry out an incremental analysis, only relevant cash flows should be considered.
The relevant cash flows from accepting the special order are the variable costs and the sales revenue.
Please, note that the fixed costs are not relevant for this decision. Simply because they would be incurred either way.
1. The sales revenue from the order- $30 × 9400 = $282,000
2. the variable cost of production $24 per unit × 9,400 = $225,600
The contribution from the special order would be determined as follows:
Contribution from special order = sales revenue - variable cost
= $282,000 - $225,600
= $56,400
Blowing Sand Company should accept the order
Answer:
Debit Advertising expense $916.67
Credit Prepaid Advertising $916.67
Being entries to recognize advertising expense incurred for 5 months.
Explanation:
When an amount is paid in advance, the entries posted are
Debit Prepaid Advertising
Credit Cash account (with the amount prepaid)
As the expense is incurred, entries required would be
Debit Advertising expense
Credit Prepaid Advertising (with the amount incurred)
Expense incurred in 5 months
= 5/6 × $1100
= $916.67
Hence the entries required will be
Debit Advertising expense $916.67
Credit Prepaid Advertising $916.67
Being entries to recognize advertising expense incurred for 5 months.
Answer:
The correct answer is Sarbanes-Oxley Act.
Explanation:
The Sarbanes-Oxley Act is a federal law of the United States that has generated a lot of controversy, since this Law is in response to the financial scandals of some large corporations, including cases that affect Enron, Tyco International, WorldCom and Peregrine Systems. These scandals brought down public confidence in accounting and auditing systems.
The Law takes the name of Senator Paul Sarbanes (Democrat) and Congressman Michael G. Oxley (Republican), and was approved by a large majority, both in Congress and the Senate. The legislation covers and sets new standards for the board of directors and management and accounting mechanisms of all publicly traded companies in the United States. It introduces criminal responsibilities for the board of directors and establishes some requirements on the part of the SEC (Securities and Exchanges Commission), that is, the regulatory commission of the United States stock market.
