Answer:
Explanation:
What is given:
The price of a new fabricating machine - 60
The price of a one-year-old machine - 51
The real interest rate is 10% per year
Marginal product of fabricating machines 165-2K (K - desired number machines)
If calculate the depreciation, (60-51)/51 = 15%
a) Find user cost of capital
User cost of capital is the sum of interest rate and depreciation cost multiplied by the price of new machine
= 60*(0.10+0.15) = 15 units
b) Determine the number of machines that will allow Missing Link to maximize its profit
165-2K=15
2K = 150
K = 75 machines
c)
Suppose that Missing Link must pay a tax equal to 40% of its gross revenue. What is the optimal number of machines for the company?
165-2K = 15/(1-0.4)
165-2K=14/0.6
165-2K=25
2K=140
K=70 macines
Answer:
<u>Transactions:</u>
1. June 1 Monthly invests $3, 910 cash in exchange for shares of common stock in a small welding business.
2. June 2 Purchases equipment on account for 340.
3. June 3 $760 cash is paid to landlord for June rent.
4. June 12 Bills P. Leonard $410 after completing welding work done on account.
<u>Journal Entries:</u>
1.
June 1 Dr. Cr.
Investment $3,910
Cash $3,910
2.
June 2 Dr. Cr.
Equipment $340
Account Payable $340
3.
June 3 Dr. Cr.
Rent Expense $3,760
Cash $3,760
4.
June 12 Dr. Cr.
P. Leonard (Receivable) $410
Welding Service Revenue $410
The Journal entry which Nicholson company will prepare on June 2 will be like when goods are returned the reverse entry is made which is
Accounts Payable A/c Dr. $480
Purchase Return / Inventory A/c Cr. $480
A journal entry is an act of recording any transaction, whether it is economic or not. Multiple recordings, each of which is either a debit or a credit, may be included in the journal entry.
Accounting journal entries are transferred from the journals and posted to the general ledger in order to record financial transactions in the accounting system. Modern accounting software handles the majority of this process automatically, but it's crucial to understand what's going on since there are instances when manual entries will need to be made to adjust or correct account balances at the conclusion of an accounting month.
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Answer:
The answer is departmentalization by product.
Explanation:
Departmentalization refers to the divisions of different work areas. Each one specializes in a specific job, most companies use departmentalization and train their employees, making them specialists in their role.
The main objective of departmentalization is to specialize in activities and facilitate processes while maintaining control in the organization. The departmentalization is usually divided by product, function, process, project, clients, and territory.
For example, in the case of departmentalization by-products, it is used by large companies to divide the area where the product is developed and those in charge of product delivery, thus obtaining better control, organization, and production.
<em>I hope this information can help you.</em>
Answer:
D) make mutual investments in specialized assets.
Explanation:
I'm not sure about the exact background of the question, but if you are trying to build a trust relationship with another company, the best way to do it is by investing together.
E.g. if company A is interested in securing an important supplier, instead of trying to acquire it, they might try to invest together in some assets or another business. That way, when it comes to deciding which company should receive discounts or prioritize their requirements, the supplier will always favor their business partners.
