Assets for Smith Company are $30,000. Liabilities are $20,000. What is the Equity for Smith Company?

Which tool of monetary policy allows the Federal Reserve to decrease the

mihalych1998 [28]

It's D. Increasing the reserve requirement on banks

6 0

3 years ago

The Home and Garden (HG) chain of superstores imports decorative planters from Italy. Demand for the planters is stable and aver

Korolek [52]

Answer:

The average inventory which HG should carry during the year is 5,000 units.

Explanation:

Economic Order Quantity is the ideal inventory procurement which minimizes holding and ordering cost. The EOQ is used by businesses in order to determine the best possible inventory holding.

EOQ = $\sqrt{\frac{2*Annual Demand * Ordering Cost}{Annual Holding Cost} }$

EOQ = $\sqrt\frac{2*7,500*5,000}{10*0.3}$

EOQ = 5,000 units

6 0

3 years ago

High-Low Cost Estimation and Profit Planning Comparative 2007 and 2008 income statements for Dakota Products Inc. follow: DAKOTA

Vika [28.1K]

Answer:

(a)

5,500 units

(b)

6,125 units

Explanation:

First, we need to calculate the per unit selling price.

2007 2008

Unit sales 5,000 8,000

Sales revenue $60,000 $96,000

Selling Price $12 $12

Now we need th separate the vairbale and fixed cost from total expense using high low method

Variable cost = ( Higher activity Expense - Lower activity Expense ) / ( Higher activity - Lower activity )

Variable cost = ( $76,000 - $64,000 ) / ( 8,000 units - 5,000 units )

Variable cost = $12,000 / 3,000 units = $4 per unit

Fixed cost = $76,000 - ( $4 x 8,000 units ) = $44,000

Contribution Margin = Selling Price - Variable cost = $12 - $4 = $8

(a)

Breakeven Point = Fixed Cost / Contributin margin per unit

Breakeven Point = $44,000 / $8 = 5,500 units

(b)

Target sales = ( Fixed cost + Desired Profit ) / Contribution margin per unit

Target sales = ( $44,000 + $5,000 ) / $8 = 6,125 units

8 0

3 years ago

The balance of Chiaki's average balance checking account at the beginning of the last cycle was $100, and the only transaction f

Ne4ueva [31]

The correct answer is $90

3 0

3 years ago

Read 2 more answers

Tom tries to sell his classic car to Victoria for $12,000. Tom tells Victoria, "I paid $12,000 for the car in 1978 and it's wort

gulaghasi [49]

Answer:

B) Tom's statements provide grounds to set the contract aside.

Explanation:

When we are talking about setting a contract aside, it means that the contract is voidable. A voidable contract is valid until one of the parts decides to void it. In this case, if Victoria decides to purchase Tom's car and later discovers that he lied about the price, she can void the contract and return the car to get her money back.

What Tom is doing is basically lying about the material facts of the product that they are bargaining and it represents a valid reason for voiding the contract.

5 0

3 years ago