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Lapatulllka [165]
3 years ago
8

On January 1, Witt Company has a beginning cash balance of $126,000. During the year, the company expects cash disbursements of

$1,020,000 and cash receipts of $870,000. If Witt requires an ending cash balance of $120,000, Witt Company must borrow $96,000. $120,000. $144,000. $276,000.
Business
1 answer:
aleksley [76]3 years ago
4 0

Answer:

The company must borrow $144000

Explanation:

The required ending cash balance is the balance that the company should have at the end of the period. The decision to borrow will be taken by comparing the actual ending balance with the required ending balance. If the actual ending balance is less than the required ending balance, only then the company needs to borrow to reach the desired level of ending balance.

The actual ending balance can be calculated as,

Actual Ending balance = Opening Balance + Cash receipts - Cash disbursements

Actual Ending balance = 126000 + 870000 - 1020000

Actual Ending balance = - $24000

Difference = -24000 - 120000 = - $144000

As the ending cash balance is negative ( - $24000) which means that there is a shortage of cash and the company does not have enough cash to meet the disbursements for the period and maintain the required ending cash balance. The negative sign in difference indicates shortage and the need for borrowing. The company should borrow for the amount of difference. Thus, the company should borrow $144000

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A career path that involves horizontal movement within or across organizations is referred to as a(n) _____.
Kamila [148]

When a person moves horizontally within or across organizations, this is called a horizontal career growth.

<h3>What is a horizontal career growth?</h3>

This is when someone moves across job titles from one company to another or within the same company.

It is called a horizontal move because the person will still be at the same job level that they were at the job they moved from.

Find out more on career growth at brainly.com/question/14735178.

6 0
2 years ago
James Turbyfil purchased 100 shares of IBM for $72. James also paid $55 commission. What was the total purchase price for this t
alexgriva [62]

Answer:

$7,255

Explanation:

The computation of the total purchase price is shown below:

= Number of shares purchased × par value per share + commission paid

= 100 shares × $72 + $55

= $7,200 + $55

= $7,255

The Number of shares purchased × par value per share is also known as total purchase value

We simply calculate the total purchase value and then added the commission paid so that the accurate value can come

5 0
3 years ago
How long does it take to become a​ millionaire? A ​$500,000 investment will hit​ $1 million in 39 years at an annual interest ra
Solnce55 [7]

Answer:

It will take 30.10 year

Explanation:

We have given initial investment $500000

Future value = $ 1 million = $1000000

Rate of interest r = 1.79 %

We have to find the time taken to reach the amount $1000000

We know that future value is equal to A=P(!+\frac{r}{100})^n

1000000=500000(!+\frac{1.79}{100})^n

2=(1.0179)^n

Taking log both side

log2=nlog1.0179

n×0.0077 = 0.3010

n = 39.09 year

Now in second case rate of interest

r = 2.34 %

So 1000000=500000(1+\frac{2.34}{100})^n

2=(1+\frac{2.34}{100})^n

2=1.0234^n

taking log both side

log 2 = n log 1.0234

n×0.01 = 0.3010

n = 30.10 year

8 0
3 years ago
Ming Company had net income of $772,200 based on variable costing. Beginning and ending inventories were 7,800 units and 5,200 u
Otrada [13]

Answer:

$764,400

Explanation:

Given that,

Net income under variable costing = $772,200

Beginning inventories = 7,800 units

Ending inventories = 5,200 units

Fixed overhead per unit = $3

Net income under absorption costing:

= Net income under variable costing - [(Beginning inventories - Ending inventories) × Fixed overhead per unit]

= $772,200 - [(7,800 - 5,200) × $3]

= $772,200 - $7,800

= $764,400

7 0
3 years ago
2. A Canadian confectionary company has Indian distributors for a specific small cake product. The distributor has put in a requ
user100 [1]

Based on the above scenario, Since it is in its growth phase, I believe that the manufacturer should agree to make this changes.

<h3>Why agree to the changes?</h3>

Note that there are regulations on how to  use of the existing food coloring and as such it is vital for the company to see or consider this change.

Note that since it is in its growth phase, the product is widely accepted and there are lot of holiday sales.

Therefore, Based on the above scenario, Since it is in its growth phase, I believe that the manufacturer should agree to make this changes.

Learn more about confectionary from

brainly.com/question/24150134

#SPJ1

7 0
2 years ago
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