Answer: True
There is sufficient consideration for a valid contract to be developed if need be
Answer: C. They choose channels that specialize in the kinds of goods they make.
Explanation:
In selling their goods to the consumers, Manufacturers have to identify the characteristics of various Distribution channels and then pick the one that they fell aligns most to their company.
The specializations of the various Distribution channels determine how the company will sell it's products because they operate in different ways. For example, Direct distribution channels use wholsealers and retail shops whilst Indirect uses online sales for the most part. Some might use Select distribution channels where their goods at only marketed in stores that are known for the type of goods the company sells such as clothes and handbags.
It pays to use a distribution channel that is related to their type of good.
Answer:
$25,000
Explanation:
The surplus or deficit in cash for any financing activity is the net between the opening cash balance and the desired cash ending balance.
This represents the amount that the company can afford to lose and still maintain the desired ending cash balance.
As such, the surplus (or shortage) of cash before considering any financing activities (that is, borrowings or repayments) during in April would be
= $50,000 - $25,000
= $25,000
Answer:
$44,083.72
Explanation:
Given:
Debt ratio = 57%
Asset turnover = 1.12
Profit margin = 4.9%
Total equity = $511,640
Find the total debt:
Debt = debt ratio × total equity
= 0.57 * 511640
Debt = $291,634.80
Find the total assets:
Total assets = Total debt + Total equity = $291,634.80 + $511,640
Total assets = $803,274.80
Find total turnover:
Turnover = Total assets * Total asset turnover ratio
= $803,274.80 * 1.12
= $899,667.78
Now find the amout of net income:
Net Income = Turnover * Profit margin
Net Income = $899,667.78 * 4.9%
= $44,083.72
The amount of net income is $44,083.72
Answer: A. Controlling inflation
Explanation: It controls inflation to avoid a recession.