adjusting entries: multiple choice affect only income statement accounts. affect only balance sheet accounts. affect both income statement and balance sheet accounts. affect cash accounts. affect only equity accounts.

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Answer 1

adjusting entries affect both income statement and balance sheet accounts.

Altering entries influence at slightest one account from the wage statement and one account from the balance sheet. Adjusting sections make year-end alterations to designate revenue and cost accounts within the period in which they occurred. These revenues and costs accounts are tied to any resource or liability account within the balance sheet. the alteration for interest payable would charge the interest payable account and credit the interest expense account. Consequently, it alters a liability and expense account.  for example, year-end alteration for supplies on hand will include supplies expenses account charge to supplies account credit. Here, an alteration is made to the cost and asset account.

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Related Questions

what is the eventual effect on real gdp if the government increases its purchases of goods and services by $60,000? assume the marginal propensity to consume (mpc) is 0.75.

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The eventual effect on real GDP if the government increases its purchases of goods and services by $60,000 will be $240,000.

The total monetary or market value of all the finished goods and services produced within a nation's boundaries during a certain time period is known as the gross domestic product (GDP). It serves as a thorough assessment of the state of the economy in a particular nation because it is a wide indicator of total domestic production. Even while GDP is frequently estimated on a yearly basis, it can also be calculated quarterly.

The eventual effect on real GDP of an increase in government purchases is the initial increase times the multiplier. The multiplier is

multiplier = 1 / (1−MPC)

where MPC is the marginal propensity to consume. The MPC is the fraction of an additional dollar consumers spend and 0.75 in this question. The eventual effect of the $60,000 increase is

$60000.0 × multiplier = $60000.0 × 1 / (1 − 0.75) = $60000.0 × 4 = $240000

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what is the defence of set off and why is it important in the context of an assignment of contractual rights? (2 marks)

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Setoff cannot be used as an affirmative defense or to obtain affirmative relief.

The affirmative setoff defense may only be used defensively, and it does not allow recovery of the damages sought to be offset against the recovery of the opposing party, according to precedent established by the California Supreme Court.

The term "setoff" describes a creditor's legal ability to subtract a debt owing to a debtor from a claim the debtor faces due to a different transaction. Recoupment, as opposed to indemnification, demands that the claims be based on the same transaction.

The Bankruptcy Code acknowledges and upholds rights granted under non-bankruptcy law rather than establishing a new body of law that permits setoff or recoupment. To set off or reclaim a debt, a creditor must show both a claim and a legal basis under local, state, or federal law.

Recoupment and setoff are examples of affirmative defenses or counterclaims. The distinction is meaningless outside of bankruptcy.

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Which of the following terms refers to a meeting in which the salesperson offers a sales proposal to a prospective buyer?a. Sales proposalb. Sales presentationc. Sales offerd. Negotiation

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A sales presentation is the terms refers to a meeting in which the salesperson offers a sales proposal to a prospective buyer.

The shop clerk is accountable for greeting customers, assisting them to locate gadgets in the shop, and ringing up purchases. To achieve success as a shop clerk you ought to have tremendous verbal exchange competencies. an excellent shop clerk meets sales targets whilst remaining well-mannered and useful to clients.

An awesome salesperson has extra to provide clients than an interesting pitch —they're enthusiastic people with resilience and they take some time to get to understand their clients' wishes, display empathy, and deal in a product in confidence.

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alberto company uses the lower-of-cost-or-market method, on an individual-item basis, in pricing its inventory items. the inventory at december 31, 2019, consists of products d, e, f, g, h, and i. relevant per-unit data for these products appear below. item d item e item f item g item h item i quantity on hand 18 15 10 25 15 30 original cost $75 $80 $80 $80 $50 $36 replacement cost $120 $72 $70 $30 $70 $30 based upon data, what is the balance of merchandise inventory account before application of lcm principle? example of answer: 4000 (no comma, space, decimal point, or $ sign) question 23 options:

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The inventory value prior to LCM implementation is $7,180.

An entity uses LCM (lower of cost or market value) when valuing the closing inventory for a time period to reflect the inventory at a lower cost in accordance with the accounting norms applied.

1) Inventory value calculation prior to LCM adoption:

Particulars          Item D    Item E    Item F    Item G    Item H    Item I   Total

Quantity (Q)           18           15          10           25          15           30           113

Cost (C)                $75       $80       $80        $80       $50         $36

Value (Q * C)     $1350     $1200   $800    $2000    $750      $1080   $7180

As a result, the inventory value prior to LCM implementation is $7,180.

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a firm has a market value of assets of $50,000. it borrows $10,000 at 5%. if the unlevered cost of equity is 15%, what is the firm's cost of equity capital? a) 17.5% b) 18.5% c) 19.2% d) 20.6%

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The Firm's cost of equity capital is 17.5%

Given in the Question:

Market value of assets = $50.000

Debt = $10,000

Cost of debt = 5%

Unlevered cost of equity = 15%

Then, we'll calculate equity:

= Market value of assets - Debt

= $50000 - $10,000

= $40,000

Then, the formula of cost of equity capital will be:

= Unlevered cost of equity + [(Debt/equity) x (Unlevered cost of equity - Cost of debt)]

= 15% + [($10,000/$40,000) x (15% - 5%)]

= 15% + [0.25 x 10%]

= 15% + 2.5%

= 17.5%

Hence, the cost of Firm's equity capital is 17.5%.

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Suppose that an economy with flexible wages and prices is in long-run equilibrium when the central bank contracts the money supply. What is the long-run effect on real output in the economy?.

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The long-run effect of a contraction in the money supply is a decrease in real output in the economy. This is because a contraction in the money supply leads to higher interest rates, which in turn leads to a decrease in investment and consumption spending in central banks.

A decrease in spending leads to a decrease in aggregate demand supply because it represents a decrease in the amount of money that people are willing to spend on goods and services. This decrease in demand leads to a decrease in real output because businesses produce less when there is less demand for their products.

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Who is most likely to be treated with deference, such as always getting the best seat in the conference room during meetings? question 1 options: vice president of sales sales rep sales assistant sales manager

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Vice president of sales is most likely to be treated with deference, such as always getting the best seat in the conference room during meetings.

Deference, or speaking with respect and concern for those who are older or, in some other way, hold a position of authority over you, is referred to as this.

Depending on how closely connected the parties are, the respect may be formal or informal. Formal language and terminology are employed with formal deference. In casual deference, less formal language is always employed, but with respect.

When I need to address someone who is in a higher social or professional position than me, such as professors, medical lawyers, or my boss, among others, I use formal deference. I also show this kind of respect to senior folks who I don't intimidate by always addressing them as Mr. and Mrs.

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singh company reports a contribution margin of $960,000 and fixed costs of $720,000. (1) compute its income. (2) compute its degree of operating leverage. (3) if sales increase by 15%, what amount of income is expected?

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The company reports a contribution margin of $960,000 and fixed costs of $720,000.compute its degree of operating leverage.

Operating leverage is a cost formula that measures the extent to which a company or project can increase operating profit by increasing sales. Companies with high gross margins and low variable costs have high operating leverage.

Operating leverage calculations are necessary because they help you understand a reasonable price to cover your costs and make a profit. In addition, it helps businesses understand how effectively fixed cost items such as machinery and inventory can be used to generate profits.

Operating leverage. This means that for every 1% change in the company's earnings, the company's operating profit is expected to change by 1.1%. This number is closer to 1, indicating a lower profit potential and a safer company.

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the market equilibrium is found at the: question 21 options: a) price where quantity supplied exceeds quantity demanded. b) price where quantity demanded equals quantity supplied. c) price where quantity demanded exceeds quantity supplied. d) highest price the market will bear.

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The market equilibrium is found at the price where quantity supplied exceeds quantity demanded.  Market pricing is the outcome of the relationship between supply and demand.

The forces of supply and demand are balanced at an equilibrium price. Prices tend to stabilise at this level unless specific supply or demand characteristics change. It is essential to comprehend the product's market equilibrium price when running a business. Controlling supply and demand is essential for reducing costs and increasing revenues. Market equilibrium frequently happens naturally. The supply and demand of a good are, in theory, balanced in a free market, leading to constant prices.

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patton is the hr manager for shady lane manufacturing. he knows there is often a lot of dust particles floating around the assembly line due to the production process. how can he ensure that the company is compliant with osha requirements?

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In order to protect the workers' health, OSHA mandates that respirators or filters be provided if the dust particles are dangerous and present in large quantities.

What is an advantage of hiring contingent workers ?

Flexibility and cost savings are the two main advantages of hiring contingent labor versus core personnel. Contingent workers, also known as independent contractors, contract workers, freelancers, gig workers, consultants, temporary talent, or remote workers, are non-permanent, outsourced employees. Since they are not core employees, contingent workers are not handled according to a conventional employment paradigm.

While a contingent worker may work on-site or remotely, after their contract expires or the project they were employed for is over, the employer is not obligated to continue hiring them or to pay them on a permanent basis. Because they are not core employees, employers only hire contingent workers for temporary, permanent, or project-based positions.

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is it true that a company in a perfect competition industry will have a perfectly elastic demand and supply?

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The right response is Valid In a completely cutthroat market, merchandise are for the most part thought to be an ideal substitute for individual ventures and firms.

Every time, the demand curve is perfectly elastic. The companies raise the product's cost; As a result, there will be less overall demand.

In perfect competition, is supply perfectly elastic?

The demand curve is perfectly elastic for each of the small, independent businesses that participate in a perfectly competitive market, and all goods are regarded as perfect substitutes. These businesses are price takers because there would be no demand for one company's product if it tried to raise its price.

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mackenzie company sold $480 of merchandise to a customer who used a regional bank credit card. regional bank charges a 4.0% fee for sales on its credit cards. the journal entry to record this sales transaction would be:

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If  regional bank charges a 4.0% fee for sales on its credit cards. the journal entry to record this sales transaction would be: Debit Cash $460.80, Debit Credit Card Expense $$19.20, Credit Sales $480

How to prepare journal entry?

If the company sold merchandise of the amount of $480 to customer in which the bank charges 4%. The appropriate journal entry to record this transaction is:

Debit Cash $460.80

Debit Credit Card Expense $$19.20

($480 × 4%)

Credit Sales $480

(To record credit card expense)

Therefore the entry is to debit cash, debit credit card and credit sales.

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after his son was born, john took three weeks of unpaid leave from his company. he returned to his regular full-paying job after the three weeks. which type of family-friendly benefit did john use?

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Since john took three weeks of unpaid leave from his company, the type of family-friendly benefit that john use is family leave.

What is meant by unpaid leave?

It is a period of time when an employee is permitted to miss work due to a holiday, a sickness, or another unusual circumstance, but they are not compensated for it: 13 weeks of unpaid leave are available to parents of small children.

Hence, For a variety of reasons, including family emergencies, medical appointments, and child care, an employee may ask for an unpaid leave of absence. Although employers are not required by law to pay their workers for non-statutory time off, many of them do so under particular conditions.

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question if the monopolist charges a single price for teddy bears, which of the following describes an accurate outcome?

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Deadweight loss equals area (e), consumer surplus equals area (a+b)(a+b), producer surplus equals area (c+d)(c+d), and so forth. Option C

What is a monopoly?

Generally, however, with a monopoly, there is only one business in the market, therefore firm and market demand are the same.

T or F – A monopoly has the right to set whatever price it wants, and consumers are obligated to pay it.

Monopoly Output: Monopolies produce when marginal income and marginal expenses are equal, but they charge the price indicated by the market demand curve for that amount of production.

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CQ is attched below

in 2004, approximately 5 million cars and trucks were classified as flex-fuel, which means they could run on gasoline or ethanol. in 2009, that number increased to about 8 million. how many more cars and trucks were flex-fuel in 2009

Answers

3 million cars more and trucks were flex-fuel in 2009.

What is flex-fuel?

A flexible-fuel vehicle, also known as a dual-fuel vehicle, is an alternative fuel car with an internal combustion engine that can run on more than one fuel. Typically, this fuel is a gasoline blend with either ethanol or methanol, and both fuels are kept in the same common tank.

when using high-ethanol fuel, cleaner emissions. reduction in reliance on oil and oil prices. being able to purchase new or secondhand without having to pay a premium price. it might enable you to save money when gas prices are higher.

It can last for years or just last for three months before going bad. Numerous elements, including: The amount of moisture in the air, affect how long it lasts. how well-sealed the gasoline system is.

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samantha jones owns a chain of ice cream stores in new england. to draw attention to her stores, she adopted a very colorful and distinctive logo several years ago, which depicts a funny-looking cow churning ice cream. recently, a dairy company asked samantha if it could use a characterization of her funny-looking cow on a line of yogurt it is coming out with, and offered to pay samantha's company 3 cents for every carton of yogurt it sells that has the cow's image on the carton. if samantha accepts this proposal, she will need to enter into a(n) agreement with the dairy.

Answers

In the given question, Samantha Jon's situation related to accept the proposal or not is based on Licensing agreement or bussiness.

The term License agreement refers to a legal written agreement between two parties under which the owner grants another party permission to use its trademark, patent, or trademark. The contract between the licensor (the landowner) and the licensee (the eligible party) details the nature of the license agreement, the terms of use, and the licensors remuneration. Different license types have different contract types. License agreements also mitigate disputes related to sales, quality issues and royalties. There are few faster and more profitable ways to grow your business than licensing patents, trademarks, copyrights, designs and other intellectual property to others.

The license has three main advantages :

First, it means they have something unique that their competitors don't. Second, because it's unique, it means margins are a little better. three, he finally takes a look because 10% of the retailers he ever visits have something else. And when that happens, you can sell the rest of your line

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what is the term that refers to the increasing time and cost associated with moving a standard distance (i.n., a mile) due to inefficiencies in transportation caused by poor infrastructure and traffic congestion?

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Friction of distance is the term that refers to the increasing time and cost associated with moving a standard distance, due to inefficiencies in transportation caused by poor infrastructure and traffic congestion.

The measurement of distance between two objects or points can be quantitative or occasionally qualitative. Distance in physics or common usage can refer to a physical length or an estimation based on other factors. A segment's length or a room's dimensions are examples of lengths that can be measured. Distance is the separation of two points, cities, or other objects. An area's infrastructure, which includes the services and facilities required for its economy, households, and businesses to operate, is the collection of facilities and systems that serve a country, city, or other area. According to Investopedia, infrastructure is "the general term for fundamental physical systems of a business region, or country."

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If the democrats maintain control of the house, what will the consequences be for the issue of the economy?.

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Democrats pursue an economic agenda that aids in the creation of well-paying jobs for Americans and guarantees that workers have the resources necessary to not just make ends meet but also advance in the global economy.

Democrats and Republicans agreed that the United States should continue to be the world's primary supplier of agricultural products. They supported maintaining the country's agricultural-based economy.

The Democratic Party, whose emblem is a donkey, is typically associated with left-leaning, liberal, and progressive ideological ideas. As a result, it supports strong government regulation of business and support for American citizens. Thus, Democrats emphasize social responsibility as one of their core ideals.

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what monopolositc competitors demand curve is more elasticticity than a pure competitor or a pure monopolouist

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The demand curve of a monopolistic competitor is more elastic than that of a pure rival and less elastic than that of a pure monopolist. In contrast to a monopoly where there are no near replacements, a monopolistically competitive firm's demand curve is substantially more elastic since substitutes exist.

Does monopolistic competition have an elastic demand curve?

In monopolistic competition, a firm's demand curve is downward sloping, as opposed to perfect competition, in which the firm's demand curve is fully elastic. This is because businesses have the power to raise prices without alienating their whole customer base. A monopolistic competitor faces a downward-sloping demand curve, not a flat one, which allows it, like the monopoly, to raise prices without completely losing market share.

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which of the following statements is correct? a) ethical conflicts usually arise in trying to serve the needs of separate constituents. b) setting ethical standards is always clear-cut. c) the ethical values of individual employees have no influence on the decisions and actions a business takes. d) setting ethical standards is easy.

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a) Ethical Conflicts usually arise in trying to serve the needs of separate constituents.

Ethical Conflicts arise when team members lack unity and share ethical priorities. According to research, only 16% of ethical quandaries are the result of bribery, corruption, or anti-competition issues.

The vast majority of these quandaries are not related to corruption in and of themselves, but rather to one of three factors: competing interests, misaligned incentives, or clashing cultures.

A leader who is asked to lead mergers and acquisitions, reduce staff numbers, or sell large businesses in major markets may face competing interests, which could create an ethical conflicts.

When a company rapidly expands, especially globally, the ethics or interests of one culture may clash with those of another.

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tobias is a 50% partner in solomon llc, which does not invest in real estate. on january 1, 2022, tobias's adjusted basis for his llc interest is $130,000, and his at-risk amount is $105,000. his share of losses from solomon for 2022 is $150,000, all of which is passive. he has another investment that produced $90,000 of passive income during 2022. (assume there were no distributions or changes in liabilities during the year.) how much of solomon's losses may tobias deduct in 2022 on his form 1040? how much of the loss is suspended and what code provisions cause the suspensions?

Answers

Due to his passive activity income, Tobias is eligible to deduct $90,000 on his Solomon loss. Under Section 704, $20,000 of his base is suspended (d). According to Section 465, $25,000 of his loss is suspended.

Tobias's deductible loss is limited by his basis limitation at $130,000. The at-risk regulations then set a cap on his deductible loss at $100,000. His passive activity loss regulations limit his deductible loss to $0 + $90,000 = $ 90,000.

Loss suspension:

1. 704(d) Overall limitation: $130,000 in Deductible Loss $20,000 in Suspended Losses (150,000-130,000)

2. 465 At-risk restriction - $105,000 in deductible losses $25k Suspended Loss (150,000-20,000-105,000)

3. Deductible Loss of $90,000 for Passive Losses under Section 469 $105,000 in suspended losses

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what is the present value of 6 recipts of 3090 each recivied at the beginning of each period, discounted at 9% compunded interest?

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The present value of annuity due is $1030.

What is annuity?

A series of payments made at regular intervals constitute an annuity in the world of investments. Annuities include regular contributions to a savings account, recurring payments for a mortgage or rent, insurance premiums, and pensions. By how frequently payment dates occur, annuities can be categorized. Payments (deposits) may be made on a weekly, monthly, quarterly, annual, or other regular basis. By using mathematical operations referred to as "annuity functions," annuities can be estimated.

A life annuity is a type of annuity that guarantees payments for the rest of the owner's lifetime. An immediate annuity pays out at the end of each payment period, allowing interest to accumulate between the time of the annuity's issuance and the first payment.

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suppose lewis lives in a community with no price controls. what would he expect will happen if his town borders a community where there is a binding price floor on most products?

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Option a.) Legal market prices will rise in the community with a binding price and the prices and quantities sold in communities without non-binding price caps will increase to the prices in communities with non-binding prices. and sales volume.

With binding price caps and the prices and quantities sold in communities without non-binding price caps will increase to the prices in communities with non-binding prices. and sales volume. cap.

"Statutory Market Price" means the current price obtained in the ordinary course of business obtained through open bargaining between a buyer and a seller, and may be verified by sources independent of competition or suppliers. Slightly lower demand going out.

Fair market price means a price based on reasonable costs under normal competitive conditions, not the lowest possible cost

Here is the full question -

Suppose Lewis lives in a community with no price control. What would he expect if his town abuts a municipality that mandates lowest prices on most products?

A) Prices increase in legal markets in communities where minimum prices are mandated.

B) Prices will fall in the legal market of the community where minimum prices are mandated. C) A binding minimum price creates a community surplus.

D) More consumers buy products at the lowest prices within the community.

E) His community's black market will be larger than the community's black market with the required minimum price.

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the standard materials cost to produce 1 unit of product r is 4 pounds of material at a standard price of $40 per pound. in manufacturing 8,000 units, 31,000 pounds of material were used at a cost of $41 per pound. what is the total direct materials variance?

Answers

Material cost variances are price differences that result from differences in the cost of actual materials and standard materials.

Material rate variance and material quantity variance are the two categories into which they are broken down. It can be calculated as the sum of the differences in material efficiency and price.

Materials in standard pounds (4 pounds divided by 8,000 units): 32,000 multiplied by: Per pound, the standard rate of material is $40. The standard cost of the material is as follows: Favorable direct material cost variance (C) - (D) $ 9,000 Actual cost of materials (31,000 pounds x $41)

How is variance in material cost calculated?

1.Variance in Direct Material Costs is the sum of the actual cost of direct materials utilized and the standard cost of direct materials specified for actual output. The typical price for direct materials is: The standard cost per unit of direct materials is multiplied by the standard quantity.

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frolic corporation has budgeted sales and production over the next quarter as follows: julyjuly augustaugust september september sales in units sales in units 47,000 59,000 ? production in units production in units 47,500 59,300 63,650 the company has 5,400 units of product on hand at july 1. 10% of the next month's sales in units should be on hand at the end of each month. october sales are expected to be 78,500 units. budgeted sales for september would be (in units):

Answers

The budgeted sales for September are 62,000 Units.

Budgeted Production in Units, September = Budgeted Sales, September + Desired Ending Inventory - Beginning Inventory

Desired Ending Inventory, September = October Sales * 10%

Desired Ending Inventory, September = 78,500 *10% = 7,850 Units

Let the September Sales be "x" units

Beginning Inventory, September = x * 10% = 0.10x

63,650 = x + 7,850 - 0.10x

55,800 = 0.90x

X = 62,000 Units

Therefore, the budgeted sales for September are 62,000 Units.

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a variable costing income statement is helpful in performing cost, volume, and profit (cvp) analysis. it is therefore also known as

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Contribution margin income statement is a variable costing income statement is helpful in performing cost, volume, and profit (cvp) analysis.

What do you mean income?

The quantity of money, land, and many other exchanges of value obtained over a predetermined time period in return for services or goods are often referred to as "income." Income is defined in accordance with the setting in which the word is employed; there is no one, universal definition.

What are income types?

Earned, passive, and portfolio income are the three basic types of income. Earned income consists of salaries, tips, commissions, and wages. Rental properties, royalties, and limited partnerships are all major sources of passive or unearned income. Interest, dividends, and capital gains on assets are all forms of portfolio or investment income.

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in the seasonal and trend forecasting model, the seasons must be the same length. group of answer choices true false

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The seasons must have the same length in the seasonal and trend forecasting model, which is untrue.

A season is a division of the year that is based on variations in weather, ecology, and the number of daylight hours in a particular place. Seasons on Earth are caused by the Earth's orbit around the Sun and its axial tilt relative to the ecliptic plane. Seasons are distinguished in temperate and polar regions by changes in the intensity of sunlight that reaches the Earth's surface, fluctuations of which drive animals to hibernate or migrate, and vegetation to become dormant. Various civilizations define the number and type of seasons depending on regional variances, and as a result, the number of seasons differs among present and historical cultures.

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in providing water tightness to an exterior wall. which strategy(ies) have been proven feasible and more likely to succeed?

Answers

The strategy can be used to provide water tightness to an exterior wall is barrier wall approach, sealing every joint/seam in the wall with membranes, sealants, or gaskets regardless of surface conditions or workers' skill level.

There are my different shape of barrier wall systems, but they all serve the same goals — preventing the flow of air, water, and vapor from entering or exiting a building. A barrier wall protects a building from weather often accros the use of a single component. Barrier wall can be used to a system of external wall assembly that maintains weather-tightness by preventing the intrusion of air, water and vapour.

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7. Jannah is reviewing a report that a new marketing manager put together after assessing her small business. If Jannah wants to learn how familiar a custo
what section of the marketing report should she review?

Answers

To learn how familiar a customer is to the company, Jannah must look at the leads section of the marketing report.

What is a marketing report?

It consists of a document through which an organization can visualize its performance over a period of time, through the analysis of data and information about the company's actions and strategies to achieve objectives and goals in the market.

Through qualitative and quantitative reports related to communication and sales, for example, the company is able to make more significant decisions about its strategy, with evaluations and corrections that will contribute to continuous improvement and positioning in the market.

So leads could be the section that Jannah would review to identify a potential customer, as this data significantly demonstrates an individual who engages with the company's business and can be turned into a customer.

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recently, aditya income life offered and annuity that pays 10% compounded annually. if $1,150 is deposited into this annuity at the beginning of every year, how much is in the account after 9 years?

Answers

Aditya income life offered and annuity that pays 10% compounded annually. if $1,150 is deposited into this annuity at the beginning of every year, $ 17178.04 is in the account after 9 years.

Formula to determine  future amount of annuity due ( when payment deposit in beginning of each period)1+

A = [tex]\frac{p(1+r^{n)-1} (1+r) }{r}[/tex]

where p is periodic deposit amount

r is interest rate per period

n is number of period

n = compounding frequency x time

          1x 9 = 9

p = $1,150

r = 10%= 0.10

n= 9

therefore,

A = 1150 [tex](1+ 0.10)^{9}[/tex]-1 (1+ 0.10)/ 0.10

  = 1717.803822/0.1

  =$ 17178.04

What is annuity?

An annuity is a contract between you and an insurance company whereby you make a lump sum or series of payments  in exchange for regular payments that begin either immediately or at some point in the future.

There are three main types of annuities:

fixedvariable indexed.

Each type has its own risk level  and pay-out potential. In all of these, it is often structured as a deferred annuity. An important feature to consider with any annuity is its taxation. Although the balance grows tax-deferred, the payments you receive are subject to income tax.

To learn more about annuity, refer;

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