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2 years ago

Explain the opportunity cost of working on a farm.

Business

1 answer:

Liula [17]2 years ago

8 0

Answer:

Opportunity cost is a useful concept when considering alternative places for using your resources and assets. ... If he/she farms the land, the opportunity cost is the income foregone by not renting it to a neighbor.

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The following selected information is from Princeton Company’s comparative balance sheets. At December 31 2017 2016 Common stock

lukranit [14]

Answer:

Princeton Company

The T-accounts are attached.

Explanation:

They can also be obtained as follows:

1. T-accounts to calculate the Cash received from the sale of its common stock during 2017:

Common Stock & APIC

Closing balance of common stock = $131,000

Closing balance of APIC = $593,000

less Opening balance of common stock = $126,000

less Opening balance of APIC = $355,000

Cash collected = $243,000

2. T-account to calculate the cash paid for dividends during 2017:

Retained Earnings:

Opening balance = $313,500

Add net income = $61,000

Less closing balance = $339,500

Cash Dividends paid = $35,000

Download xlsx

8 0

3 years ago

You just acquired a home mortgage for 30 years in the amount of $184,500 at 4.65 percent interest, compounded monthly. How much

alex41 [277]

Answer:

EMI=P*r * (1+r)^n/(1+r)^n-1

Where EMI= equal monthly installments

P=Principal amount

r=rate of interest

n=numer of periods

Explanation:

P=$184,500

r=4.65%/12=.3875%

n=30*12=360

EMI=$184,500*.3875%*(1+.3875%)^360/((1+.3875%)^360-1)

EMI=$951

Interest in first monthly installment=$715

Principal Amount in first monthly installment=$236

7 0

3 years ago

Auditing :How to distinguish between test of control and substantive test

Alenkinab [10]

Test of controls is when you test controls surrounding a financial process . Substantive test are performed when one tests assertions surrounding a balance.

8 0

3 years ago

2. A welder and a carpenter decided to get out of the construction industry and build farm trailers instead. From building a few

Firlakuza [10]

Answer:

Answer is explained in the explanation section below.

Explanation:

Data Given:

Material Cost Per Trailer = $500

Material Cost plus Profit Per Trailer (15%) = $500 + 75 = $575

Selling Price = $1000

Labor Cost Remaining Per Trailer = $425

Formula to Calculate the number of Trailers:

X = X1 ( $N^{S}$ )

Where,

N = number of Trailers

S = Slope Parameter

X = $425

X1 = $700

So, First we need to find the slope parameter, in order to calculate the number of trailers to be built.

S = $\frac{log \alpha }{log 2}$

where, α = 0.85 rate of improvement.

Plugging in the values into the formula, we get:

S = $\frac{log (0.85) }{log 2}$

S = -0.234

Now, we can easily find the number of trailers.

X = X1 ( $N^{S}$ )

Plugging in the values,

425 = 700 x ( $N^{-0.234}$ )

Solving For N, we get:

N = 8.4 Trailers

N = 9 Trailers.

Hence, 9 Trailers must be built in order to realize this rate of profit.

8 0

3 years ago

Prepare journal entries to record each of the following four separate issuances of stock. A corporation issued 7,000 shares of $

marysya [2.9K]

Answer:

The Journal entries are as follows:

(i) cash A/c Dr. $84,000

To Common stock, $10 par value $70,000

To Paid-in capital in excess of par value, Common stock $14,000

(To record the issuance of stock)

(ii) Organization expenses A/c Dr. $55,000

To Common stock, $2 stated value $7,000

To Paid-in capital in excess of stated value, Common stock $48,000

(To record the issuance of stock)

(iii) Organization expenses A/c Dr. $55,000

To Common stock, no-par value $55,000

(To record the issuance of stock)

(iv) Cash A/c Dr. $142,500

To Preferred stock, $50 par value[1,750 × $50) $87,500

To Paid-in capital in excess of par value, preferred stock $55,000

(To record the issuance of stock)

3 0

4 years ago

Explain the opportunity cost of working on a farm. ​

Explain the opportunity cost of working on a farm.