Answer:
Businesses that rely on a physical infrastructure.
Explanation:
e-commerce is a short for electronic commerce and it can be defined as a marketing strategy that deals with meeting the needs of consumers, by selling products or services to the consumers over the internet.
This ultimately implies that, e-commerce is strictly based on the buying and selling of goods or services electronically, over the internet or through a digital platform. Also, the payment for such goods or services are typically done over the internet such as online payment services.
In view of the above details, businesses that rely on a physical infrastructure poses the highest degree of difficulty in e-commerce because it's only dependent online retailing.
Answer:
The year end closing inventory is $1256
Explanation:
The LIFO or Last In First Out method of inventory valuation follows that the latest or last purchased inventory will be the one that is sold first. Thus, under this method, the inventory that is purchased at start will be the one that will be left at the end and will form up the ending inventory.
The ending inventory of 24 units means that these units will comprise of inventory from the beginning of the period.
Thus, out of these 24 units, 8 units will be from the beginning inventory and the remaining from the first purchase (24 - 8 = 16).
The cost of ending inventory will be,
8 units at $49 per unit = $392
16 units at $54 per unit = $864
The total amount of closing inventory is = 392 + 864 = $1256
Answer: True
Explanation:
Governmental funds refers to the assets, money, or property, of the government.
It should be noted that the non major governmental fund is also a form of fund as well and therefore, the amounts that are reported for assets and liabilities in the total column for the combining balance sheet for the nonmajor governmental funds will also have to be reported in the other governmental funds column of the governmental funds balance sheet.
Therefore, the correct option is True
Complete Question:
Pribuss Engineering prepares its financial statements according to International Financial Reporting Standards. During 2018, the company incurred the following costs related to a new product design:
Research for New Design $2.4M
DVMPT of New Product $1.3M
Patent Filing Fees $52K
The development costs were incurred after technological and commercial feasibility was established and after the future economic benefits were deemed probable. The project was successfully completed and the new product was patented before the end of the 2018 fiscal year. What amount should Pribuss expense in its 2018 income statement related to the above expenditures?
Answer:
The Research expenses of $2.4M that are written as expense in the Income statement and the Development costs of $1.3M and patent legal fees of $53k are capitalized.
Explanation:
The reason is that the International Standard IAS 38 Intangible Assets says that the expenditure incurred on the research that hasn't entered development phase must be written as expense in the year and the expenditure incurred on the development phase of the research outcomes must be capitalized to the extent it is ready for use. In this case $1.3M is clearly a development cost and patent legal fees of $53k is the expenditure that will prepare the asset and making it ready for use, so it must also be capitalized.
Answer: The predetermined overhead rate increased because the total direct labor-hours dropped
Explanation:
The predetermined overhead rate refers to an allocation rate which is used in applying the estimated manufacturing overhead cost to the cost objects for a particular reporting period.
When there's reduction in the direct labor-hour requirement from 5 hours to 2 hours, the predetermined overhead rate increased because the total direct labor-hours dropped
The predetermined overhead rate is calculated as the total overhead cost divided by the machine hour. Therefore, if there's reduction in the direct labor hour rate, then there will be a rise in the predetermined overhead rate.
