Answer:
variable and fixed costs.
Explanation:
The format of the contribution margin income statement is presented below:
Sales XXXXX
Less: Variable cost (XXXXX)
Contribution margin XXXXX
Less: Fixed cost (XXXXX)
Net income or loss XXXXX
Based on this we can concluded that the contribution margin income statement classified into two cost i.e variable and fixed cost
Question: Which example best demonstrates the capabilities of e-mail?
Answer: An executive sends a file to a team of collaborators in Asia.
Explanation: email capabilities send an email to an address at your domain that doesn't exist
question answered by
(jacemorris04)
Answer:
A debit to Unearned Rent and a credit to Rent Earned for $2,400
Explanation:
When cash is collected in advance for revenue from lease, the revenue will not be recorded as revenue until the lease service has been performed. Hence the cash collected in advance will be recorded as
Debit Cash $6,400
Credit Deferred revenue $6,400
Being cash collected on October 1 for lease to run for 8 months.
Between October 1 and December 31 is 3 months.
Hence, amount earned
= $800 × 3
= $2,400
To recognize this amount, Debit Unearned/Deferred revenue, credit revenue with the amount earned.
Answer:
Randa Merchandising, Inc.
1. Indication of where each of the following income-related items for this company appears on its 2017 income statement.
Income Statement
1. Net Sales
2. Cost of goods sold
3. Depreciation expense
4. Income taxes expense
5. Gain on state's condemnation of company property, net of tax
6. Gain on sale of wholesale business segment, net of tax
7. Loss from operating wholesale business segment, net of tax
8. Loss of assets from a meteor strike, net of tax
Explanation:
Randa's income statement is prepared using a step-by-step approach. It starts with the net sales from which the cost of goods sold is deducted to arrive at the gross profit. Thereafter, the operating expenses are deducted to obtain the operating income. Based on this, income taxes are computed before arriving at the operating income after taxes. And then, the extraordinary items are disclosed (net of taxes) before arriving at the net income.
Answer:
Part a. Manufacturing the goods at home and let overseas sales managers handle the marketing.
Advantages
- Can have a full authority in production activities.
- It is easy to set up a strategy and multiply the manufacturing.
- Having better regulator over human resources.
- The foreign sales agents will enhanced the understanding of European marketplaces.
- It lower the exit costs if product fails.
Disadvantages
- Having lack of information in European pharmaceutical procedures.
- The foreign agents may damage the brand name if not prudently handled.
- Additional costs in delivery of the products.
Part b. Manufacture the products at home and set up a wholly owned subsidiary in Europe to handle marketing.
Advantages
- Having full control in manufacturing activities.
- It is easy to set up a strategy and multiply the manufacturing.
- Having better regulator over human resources.
- The brand name will not be damaged since the marketing is controlled by the same company
Disadvantages
- Utilization of extra resources to be consumed on marketing
- Having lack of information in European pharmaceutical procedures.
- Additional costs in delivery of the products
- Having lack of information in European pharmaceutical procedures
Part c. Enter into a strategic alliance with a large European pharmaceutical firm. The product would be manufactured in Europe by the 50/50 joint venture and marketed by the European firm
Advantages
- The risk is distributed among the firms.
- No additional delivery cost included.
- Knowledge of European organization will be valuable in
- understanding guidelines and advertising in European markets.
Disadvantages
- Having less control in manufacturing activities
- Shared of the profit among the partners.
- Moderate level of exit cost is included.
- Additional firm may harm the brand image.
