Answer:
Cash $725200 Dr
Loss on Sale-Factoring $14800 Dr
Accounts receivable $740000 Cr
Explanation:
When factoring is done, the company actually sells its receivables and receives cash from the firm buying the accounts receivables. The factoring or buying firm will also charge a % fee that the selling firm will record as a loss in its accounts.
The cash received on factoring of this arrangement is 740000 * 0.98 = 725200
The loss on sale is 740000 * 0.02 = 14800
Thus the company will debit the cash that it is receiving and debit the loss on sale as it is an expense which is increasing. The accounts receivables will be credit from the books as they no longer belong to Pharaoh
Answer:
A. globalization of production.
Explanation:
Based on the question, the option that best answers the question is A, practice demonstrates the globalization of production.
Answer:
1
Explanation:
A perfect competition is characterized by many buyers and sellers of homogenous goods and services. Market prices are set by the forces of demand and supply. There are no barriers to entry or exit of firms into the industry.
In the long run, firms earn zero economic profit. If in the short run firms are earning economic profit, in the long run firms would enter into the industry. This would drive economic profit to zero.
Also, if in the short run, firms are earning economic loss, in the long run, firms would exit the industry until economic profit falls to zero.
In a perfect monopoly, there is only one firm operating in the industry
In a monopolistic competition, differentiated products are sold
In an oligopoly, there are few large firms
Answer:
The correct answer is letter "B": it wishes to make an investment in its own stock.
Explanation:
Stock buyback refers to publicly traded companies purchasing stakeholders' shares. It lowers the market value of outstanding securities. It usually raises the stock price, based on basic market dynamics. Companies finance their buybacks with excess cash.
<em>Firms repurchase their own stock to use them in employees' stock option programs, to increase ratios such as the Earnings Per Share (EPS), reduce cash to be paid to stakeholders as dividends or to reduce the possibilities of a takeover. The purpose of stock buybacks is not related to reinvesting in the firm's own stock.</em>
Answer:
$160
Explanation:
The way 401(k) savings work is that employees can save from their earnings before tax is deducted, which means that on the $200 saved no tax is deducted, hence, the take of the employee reduces by $200
When there are savings, a tax of 20% would have been deducted from the $200, as a result, the employee would be left with $160($200-($200*20%)), which means that take-home would reduce by $40, the amount tax deducted.
The reduction in take-home=$200-$40
The reduction in take-home=$160
