Equality refers to how the pie is divided and efficiency refers to the size of the economic pie

Which of the following statements is true of direct ownership? It allows transfer of power and management to firms in host count

LUCKY_DIMON [66]

Answer:

Direct ownership provides a firm with equity ownership rights and management control rights.

Explanation:

Direct Ownership refers to the ownership of an equity interest in an enterprise; such equity interest includes : the right to take part in the voting rights in that enterprise; the right to receive unburdened economic interest (such as dividends) entitled to the shareholders of that enterprise; and Broad-based BEE schemes, employee share option schemes (ESOPs) and other employee share schemes, where the beneficiaries have the the capacity to elect and remove trustees and also have the absolute right to receive economic benefits .

Thus, Direct ownership provides a firm with equity ownership rights and management control rights.

4 0

3 years ago

on december 1, bright company receives a 6% interest-bearing note from galvalume company to settle a $20,000 account receivable.

andreyandreev [35.5K]

At December 31, bright should record interest revenue of $100. Money gained by lending money or money acquired from depositing or investing can both be referred to as interest revenue.

Is interest revenue a liability or an asset?

If a company anticipates receiving the interest payment within the year, it typically records the interest receivable as a current asset on its balance sheet. Companies that collect interest from loans view this revenue as a significant source of income that belongs at the top of the income statement. It is the price of taking out a loan from a bank, financial institution, bond buyer, or another lender. In order to assist a business finance its operations, such as the acquisition of rival businesses or machinery, plant, and property, interest expense is incurred.

To learn more about interest revenue, refer to:

brainly.com/question/27992328

3 0

1 year ago

Binder Corporation agreed to build a warehouse for a client at an agreed contract price of $4,000,000. Expected (and actual) cos

Rainbow [258]

Answer:

The correct option is a. 2017: $200,000 2018: $520,000 2019: $240,000.

Explanation:

The formula for cost to cost method is expected or actual cost incurred to date divided by the total cost of the project or contract.

Therefore, we have:

Total cost = Cost in 2017 + Cost in 2018 + Cost in 2019 = $640,000 + $1,600,000 + $800,000 = $3,040,000

Cost in 2017 contribution to total cost = Cost in 2017 / Total cost = $640,000 / $3,040,000 = 0.21

Cost in 2018 contribution to total cost = Cost in 2018 / Total cost = $1,600,000 / $3,040,000 = 0.53

Cost in 2019 contribution to total cost = Cost in 2019 / Total cost = $800,000 / $3,040,000 = 0.26

Revenue in 2017 = Cost in 2017 contribution to total cost * Contract price = 0.21 * $4,000,000 = $840,000

Revenue in 2018 = Cost in 2018 contribution to total cost * Contract price = 0.53 * $4,000,000 = $2,120,000

Revenue in 2019 = Cost in 2019 contribution to total cost * Contract price = 0.26 * $4,000,000 = $1,040,000

Therefore, net income for each year 2017 through 2019 using the cost-to-cost method can be computed as follows:

Net income for year 2017 = Revenue in 2017 - Cost in 2017 = $840,000 - $640,000 = $200,000

Net income for year 2018 = Revenue in 2018 - Cost in 2018 = $2,120,000 - $1,600,000 = $520,000

Net income for year 2019 = Revenue in 2019 - Cost in 2019 = $1,040,000 - $800,000 = $240,000

Therefore, the correct option is a. 2017: $200,000 2018: $520,000 2019: $240,000.

6 0

3 years ago

Read 2 more answers

Jim Smith is a salesman who receives a $1,100 draw per week against his commission. He receives a 12% commission as an incentive

blondinia [14]

Answer:

$29,000

Explanation:

Given that:

Draw per week: $1,100
Commission rate: 12%
Sales for Jim were $205,000 for the month.
4 weeks in a month

Assuming a four-week month, Jim's commission :

Commission on revenue + commission of total draws

= $205,000*12% + 4*$1,100

= $24,600+ $4,400

= $29,000

Hope it will find you well.

3 0

3 years ago

Splash Co. identifies the following activities that pertain to manufacturing overhead for its production of water polo balls, fo

Sphinxa [80]

Answer and Explanation:

The cost driver refers to the change in the activity units level with respect to the change in activity cost

There are various activities held and according to that the cost driver is also there so that it could be allocated

Just like

Activities Cost driver

1) Materials handling - Number of Requisitions

2) Machine setups - Number of Setups

3) Factory machine maintenance - Machine Hours Used

4) Factory supervision - Number of Employees

5) Quality control - Number of Inspections

Material handling should be based on allocating in the number of requisitions

And the same is applied for other activities

8 0

3 years ago