Answer:
A) Year 1 cost of goods sold
B) Year 2 cost of goods sold
D) Year 2 beginning inventory
Explanation:
A) Year 1 expense of merchandise sold : The Current year cost of Goods Sold is processed by deducting finishing stock from Opening Inventory and Purchases made during the year. So in the event that the completion stock isn't right, at that point the result of above calculation will not be right so the Year 1 expense of merchandise sold for example (Current year cost of Goods Sold) will be inaccurate.
D) Year 2 starting stock: year 2 starting stock is equivalent to year 1 completion stock. So on the off chance that off-base stock estimation is made at end of earlier year, at that point current year opening worth will be carried on as off-base.
B) Year 2 expense of merchandise sold: The explanation is same as ans q(i.e. Year 1 expense of merchandise sold) as off-base convey forward opening stock worth will bring about wrong calculation of cost of products sold for year 2.
The advantages of primarily cash pay are the following:
1. It motivates the owner to expand the business.
2. The desirable increase in the level of services.
The disadvantages are the following:
1. There was a little incentive to the owner.
2. There was potential to lose sight to the customers.
In the context of business management, the purpose of budgeting includes the following three aspects:
•A forecast of income and expenditure (and thereby profitability)
•A tool for decision making
•A means to monitor business performance
Answer:
0.09 or 9%
Explanation:
This question has some irregularities. The correct question should be :
Elinore is asked to invest $4,900 in a friend's business with the promise that the friend will repay $5,390 in one year's time. Elinore finds her best alternative to this investment, with similar risk, is one that will pay her $ 5,341 in one year's time. U.S. securities of similar term offer a rate of return of 7%. What is the opportunity cost of capital in this case?
Solution
Given from the question
Investment (I) = $4,900
Return on investment (ROI) in one year = $5,341
Rate or opportunity cost of capital r is given by
ROI = I × (1 + r)
input the given data
$5,341 = $4,900 (1 + r)
$5,341 = $4,900 + $4,900r
$5,341 - $4,900 = $4,900r
r = ($5,341 - $4,900) / $4,900
r = 0.09
Or 9% in percentage
Answer:
$120
Explanation:
The computation of the cost is shown below:
= Cost per month flat for 1,000 units + extra cost if exceeded 1,000 minutes
where,
Cost per month flat for 1,000 units = $50
And, the extra cost is
= $0.35 × 200 minutes
= $70
So, the total cost is
= $50 + $70
= $120
The 200 minutes is come from
= 1,200 minutes - 1,000 minutes
