Question: Supermarkets often offer a great deal on milk, beef,
or eggs to get customers into their stores, knowing many customers will then
purchase other items that have higher markups for the store. These supermarkets
are using a _______________ pricing tactic.
The answer of the question: The supermarkets are using a
leader pricing tactic.
Answer:
C. Trading Securities
Explanation:
Trading securities refer to those securities which are purchased not with the intention of holding them till maturity, but to realize the gains arising as a consequence of short term price movements.
Bonds refer to debt instruments issued by the borrower for raising long term finance whereby the borrower promised to pay fixed coupon rate of interest on timely basis and principal repayment upon redemption.
In the given case, bonds purchased with the intention of selling in the near future with an objective to benefit from short term price movements represent trading securities. The benefit would be in the form of short term capital appreciation.
Answer:
The journal entry to record the monthly payroll on April 30 would include a credit to Salaries Payable for $8,150. The right answer is d.
Explanation:
In order to prepare The journal entry to record the monthly payroll on April 30 we would have to calculate the Salaries Payable as follows:
Salaries Payable=Salaries-FICA taxes withheld+Income taxes withheld+Medical insurance deductions
Salaries Payable=$12,000-$900+$2,500+$450
Salaries Payable=$8,150
Therefore, journal entry to record the monthly payroll on April 30 would be as follows:
Debit Credit
Salaries $12,000
FICA withheld $900
Income taxes withheld $2,500
Medical insurance deductions $450
salaries payable $8,150
So, The journal entry to record the monthly payroll on April 30 would include a credit to Salaries Payable for $8,150
The stock market declined and it started the great depression
Answer:
$90,000
Explanation:
From the question above a company sells each of its printers for 1,800
Each of the printer sold comes with a 2 year warranty
An estimate of 2% of printers sold 30,000
400 printers where serviced under the warranty
To calculate the company's warranty expense for the month of December, the first step will be to find the number of estimate printers that was returned
= printers sold×rate of printer returned
= 30,000×2/100
= 30,000×0.02
= 600
Therefore, the warranty expenses can be calculated as follows
Number of estimated printers returned×Average warranty cost
= 600×150
= $90,000
