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3 years ago

8. Shelby owns a small gift shop in a tourist town in Devon. She has the following costs in the

Business

1 answer:

Fed [463]3 years ago

7 0

Answer:

£3,725

Explanation:

Fixed costs do not change throughout a financial period. They remain constant regardless of the level business output. A business must incur fixed costs as long as it remains open.

From the list provided, fixed costs are

Rent £2,225
Salaries £,1,500

Total fixed costs will be £2,225 +£,1,500

= £3,725

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The following is a list of items for Witts Company's 2016 statement of cash flows:

chubhunter [2.5K]

Answer and Explanation:

The preparation of the statement of cash flows is presented below:

Cash flows from operating activities

Net income $13,500

Add: depreciation expense $8,700

Add: loss on sale of equipment $2,200

Less: increase in inventory $3,900

Less: increase in prepaid expense -$800

Add: decrease in account receivable $1,700

Net cash provided by operating activities $19,900

Cash flows from investing activities

receipt from sale of equipment, $2,700

Less: payment for purchase of building, $29,000

Net cash used by investing activities -$26,300

Cash flows from financing activities

receipt from issuance of bonds, $8,000

Less: payment of dividends, $5,200

Net cash provided by financing activities $2,800

Net decrease in cash -$3,600

Add: opening cash balance $10,200

Ending cash balance $6,600

3 0

3 years ago

Monopolies often charge prices that exceed their marginal cost, which allows them to earn profits. Among monopolies though, the

ololo11 [35]

Answer:

the price elasticity of demand for the firm's output

Explanation:

A monopoly is a single firm operating an industry.

The degree to which monopolies can mark up prices depends on the price elasticity of demand of consumers.

Price elasticity of demand measures the rate at which quantity demanded changes when price changes.

If the demand for the product of a monopoly firm is inelastic, firms can mark up their prices to any degree in the absence of government regulation.

If the demand for the product of a monopoly firm is elastic, it limits the degree to which the firm can mark up prices because if price is increased to a certain level, quantity demanded falls.

7 0

3 years ago

A company has the following budget information: Sales: $118,800; COGS: $48,500; Depreciation expense: $1,500; Interest expense:

olga_2 [115]

Answer: <em>Amount of budgeted income tax expense = $10,668</em>

Explanation:

Given:

Sales = $118,800

COGS = $48,500

Depreciation expense = $1,500

Interest expense = $250

Other expenses = $41,880

We'll compute the amount of budgeted income tax expense using the following formula:

Amount of budgeted income tax expense = 40% of (Sales - COGS - Depreciation expense - Interest expense - Other expenses)

= $118,800 - $48,500 - $1,500 - $250 - $41,880

= 40% x $26,670

= $10,668

7 0

3 years ago

Darren runs a barbershop with fixed costs equal to $100 per day and a total output of 50 haircuts per day. what is his weekly to

salantis [7]

3,600 becuase if you multiply 50 by 7 it equals 3,500 plus 100 which is the fixed cost

7 0

3 years ago

How can customer reviews and testing rating services help you when you are comparison shopping?

Vikki [24]

Reviews give you word-of-mouth accounts of how other customers used a product or experienced a service so you can evaluate how it fits with your purchase goals better.

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3 years ago