Answer:
A) Bonds
Explanation:
Marlon should invest in bonds, since bonds are a very safe investment, so he doesn't have to worry about losing his money. When you invest in bonds you know what interest rate you are going to earn (coupon rate). If he needs to access his money he can do it, although it may take a few days, but it's not complicated either.
Answer: The break-even point is 66 units.
Explanation:
The break-even point can be found by dividing total fixed costs by the difference between selling price and variable cost.
(fixed cost) / (sale price - variable cost)
1980 / (50 - 20) = 66 units
Salt & Battery must sell 66 units of product before breaking even.
Answer:
b. 3,249 units
Explanation:
Step 1. Given information.
Fix costs are 32.000
Depreciation expense 9.700
Contribution margin 9.85
Step 2. Formulas needed to solve the exercise.
Break even point = Fixed cost / contribution per unit
Step 3. Calculation.
Break even point= $32.000/$9.85= 3,248.73 rounded to 3,249
Step 4. Solution.
3.249 units is the minimum number of units to ensure its potential loss does not exceed the desired level
Option B is correct i.e. 3.249 units
Answer:
All of the following factors contributed to the misconduct cited in the article, except:
D. Analysts at the rating agencies were reluctant to require issuers to provide sufficient information to rate the securities.
Which of the following does NOT explain why the industry's business model remains in place?
C. Ratings agencies are shielded from investor lawsuits.
Explanation:
Using the allowance method, the correct adjusting journal entry to record bad debt expense is:
Debit Bad Debt Expense
Credit Allowance for Doubtful Accounts.
Bad debt expense can be define as the amount a company or organization assume are uncollectible because they felt the customer or client they loan would never pay back debt amount loan to them.
The appropriate adjusting journal entry to record bad debt expense is:
Debit Bad Debt Expense
Credit Allowance for Doubtful Accounts
(To record bad debt expense)
Learn more about Bad debt expense here:
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