To manufacture athletic footwear in all geographic regions then it should achieve all available production-related economies of scale for earn a production cost advantage over rivals in all production facilities. Option D is correct.
What is Economies of scale?When the scale or magnitude of the production produced by a firm increases while simultaneously the average cost per unit of output decreases this common phenomena is refers to a stage of economies of scale.
Three types of scale:
scale economies in technology.scale economies in purchasing also known as buying economies of scale.financial scale economies.Thus for a different geographic manufacturing facilities of a athletic footwear entity shall have all the economies of scale to earn a cost advantage.
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Working with the FDA, local health departments inspect ____, ____ stores, ____ farms and local food processing companies
Working with the FDA, local health departments inspect restaurants; grocery stores, dairy farms, and local food processing companies.
A company is a prison entity shaped by using a group of individuals to interact in and perform an enterprise—business or commercial—organization. An enterprise can be organized in diverse approaches for tax and financial liability purposes relying on the corporate law of its jurisdiction.
There are 3 commonplace kinds of corporations—sole proprietorship, partnership, and organization—and each comes with its very own set of benefits and downsides. In easy terms, the reason for an enterprise is to have a significant imagination and prescient after which to be worthwhile in accomplishing it. And we should qualify “profitable”: profitability means long-time period sustainable returns, and each word in that phrase is vital.
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Marketing is an important part of a firm's overall strategy. Therefore, it is important that
The benefit of marketing for a business can be regarded as the act of engaging consumers and influencing their choice to purchase your goods or services.
What is the importance of marketing?Some of the primary importance of marketing are enlisted below :
1.Engaging Customers Through Marketing: It's critical for your company to involve its customers. Marketing is one strategy for keeping the dialogue going. Engaging customers is distinct from pushing your offers. You may engage your consumers by providing them with relevant information about your products and business.
2. The growth and longevity of your company are positively associated with its reputation. Marketing Aids in Developing and Maintaining the Company's Reputation. So it's true to say that your reputation determines your brand equity. The bulk of marketing campaigns attempt to strengthen the company's reputation.
3. Marketing Aids in Relationship Building with Customers: Businesses must develop a rapport with their clients based on trust and mutual respect. Marketing research segments should be developed based on consumer behaviour, psychographics, and demographics.
4. Clients are Informed Through Marketing: Through marketing, you may let your customers know about the goods and services you have to offer. Through marketing, consumers learn about the value of the products, how to use them, and other information that may be helpful to them. It strengthens brand recognition and sets the business apart.
5. Marketing works to increase sales by using a variety of strategies to advertise your goods and services. After being advertised, a product is already available on the market, increasing your chances of selling it. Before determining whether to purchase your products or services, customers might want to try them out.
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Peach's Peanut Butter Company sells 5,000 jars of peanut butter at a price of $5 per jar. Their explicit cost is $14,000. The owner's capital would earn $1,000 if invested elsewhere and the owner would earn $10,000 working somewhere else. Calculate each of the following. Show your work. a. Total revenue. b. Implicit cost. c. Accounting profit. d. Economic profit.
The presented statement states that the overall revenue was $25,000, the main costs was $3,000, the profit was $11,000, and the profitability was $8,000.
What does the term "company" mean?A group of individuals can form a legal entity called a corporation to carry out again and control a business activity, whether it's corporate or industrial. A company may be set up in a number of ways for tax and financial responsibility purposes, according to this country's corporate laws.
Briefing:Quantity sold = $5,000
Price = $5
Explicit cost = $14,000
Opposite cost = $1000 + $10,000
= $11,000
a). Total revenue = P * Q
= $ 5 * $5000
Therefore total revenue is $25,000
b). Implicit costs = Explicit cost - Opposite costs
= $3000
c). Accounting profit is calculated as Net Income - Explicit Costs.
= $25,000 - $14,000
= $11,000
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If the financial statements of the foreign subsidiary are maintained in the local currency and the U.S. dollar is the functional currency, they are remeasured by the temporal method.True or False
This is true because the income reports of multinational firm are remeasured using the temporal technique if they're kept in the exchange rate but the U.S. dollar serves as the exchange rates.
Explaining finances is what?The term "finance" refers to issues including the development, management, and research of money including investments. It entails employing future revenue flows to finance present initiatives with the use of loans and mortgages, commodities, and investment.
What does finance mean to a business?It makes reference to the entire quantity of cash and credit that a corporation has utilised. The execution of all subsequent processes, such as the acquisition of assets, operations, and raw materials, require business finance. In particular, it is required when carrying out any and all business processes.
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health insurance offered as an employee benefit often has fixed benefits because the employer has no say in the negotiations. True or False ?
health insurance offered as an employee benefit often has fixed benefits because the employer has no say in the negotiations.
This is a False statement
How does Health insurance work?
It might be challenging to understand health insurance in the US. It is a market with numerous local and national rivals, whose availability, cost, and coverage differ from state to state and even by county.
A little over half of all Americans have access to health insurance as a perk of employment, with some of the costs covered by the employer.
With few exclusions for S corporation employees, the benefits are tax-free for the employee and the expense to the business is tax deductible for the payer.
Self-employed individuals, independent contractors, and gig workers may purchase insurance on their own. The Affordable Care Act of 2010, sometimes known as Obamacare, required the development of HealthCare.gov, a national database that enables people to look for basic plans from private insurers that are accessible where they reside. Taxpayers with lower incomes receive subsidies to help offset the expenses of the insurance.
Some states, though not all, have developed customised versions of HealthCare.gov for their citizens.
Medicare offers federally-funded care to retirees, and Medicaid offers Medicaid coverage subsidies to low-income families.
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T/F if the debtor offers to pay the debt owed to a creditor but the creditor refuses the tender, the surety remains obligated on the debt.
The statement given is true. If the debtor offers to pay the debt owed to a creditor but the creditor refuses the tender, the surety remains obligated on the debt.
What is surety?A surety is a party or person who assumes the responsibility of paying the debt in case the debtor policy defaults or is unable to make the payments. A surety is generally used in contracts where one party's financial holdings or well-being are in question and the other party wants a guarantor.
Those debts are owed by and paid from the deceased person's estate. By law, family members do not generally have to pay the debts of a deceased relative from their own money. If there isn't enough money in the estate to cover the debt, it usually goes unpaid. But there are exceptions to this rule.
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Makau and Marty's concept of _______________ describes a collective process that calls for thoughtful arguments,critical listening,civility,and informed decision making.
A)high argumentativeness
B)low argumentativeness
C)emotional intelligence.
D)deliberative argumentation.
E)competitive argumentation.
Makau and Marty's concept of deliberative argumentation describes a collective process that calls for thoughtful arguments, critical listening, civility, and informed decision-making.
Decision-making is the method of creating alternatives by using figuring out a choice, accumulating records, and assessing opportunity resolutions. the usage of a step-by-step decision-making procedure can help you make extra deliberate, considerate decisions with the aid of organizing relevant data and defining alternatives.
In psychology, decision-making is regarded as the cognitive procedure ensuing in the selection of a belief or a route of action among numerous possible alternative options. it is able to be either rational or irrational.
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carryall, inc., makes and sells small cargo trailers to individuals and small businesses. since its opening in 1990, it has allocated indirect costs (idc) to its three manufacturing plants based on direct materials cost per unit. each plant builds different models and sizes. because of advances in automation and materials, judy, the cfo plans to use build-time per unit as the new basis. build-time is the average number of work-hours to complete a trailer. however, she initially wants to determine what the allocation would have been this year had the build-time basis been used
Indirect costs are expenses that are incurred but cannot immediately be linked to a particular project or organisational activity.
What are indirect costs?Any expense that is indirectly connected with two or more final cost objectives or an intermediate cost target rather than directly with a single, ultimate cost objective is referred to as an indirect cost. It is not considered to be a direct cost. Indirect costs are those that must still be assigned to the various cost objectives after direct costs have been identified and charged directly to the contract or other job.
If additional costs incurred for the same purpose under comparable conditions have been included as a direct cost of that or any other final cost aim, no indirect costs may be assigned to that objective.
Hence, indirect costs are expenses that are incurred but cannot immediately be linked to a particular project or organisational activity.
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Financial information about an internal service fund should be reported in the proprietary fund financial statements and the:
The proprietary fund financial statements and the government or business operations column of the government-wide financial statements should both include financial information regarding an internal service fund (depending on which the internal service fund predominantly serves).
Usually as part of governmental activities, unless the internal service fund predominantly serves one or more enterprise funds.
On the fund statement, a single column contains information about the internal service funds. There must be an overall sum for the payment. The fund balance is shown in the government's overall statements in the government entity column.
The internal service funds are proprietary funds, which are accounted for on a flow of economic resources measurement focus, which requires full accrual accounting.
A proprietary fund is used in governmental accounting to account for activities that involve business-like interactions, either within the government or outside of it. These activities are similar to what would be found in the private sector, so the reporting resembles what would be used by a private business
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Exam A list of individual accounts with a common characteristic is known as a(n): a. General ledger b. All-purpose ledger c. Subsidiary ledger d. Special ledger e. Column balance ledger
Exam A list of individual accounts with a common characteristic is known as Subsidiary ledger.
A chart of particular accounts that are not represented in the general ledger can be found in the subsidiary ledger. More detailed information about the accounts that make up the main ledger is contained in the accounts in the subsidiary ledgers. However, avoid including the particular accounts in this ledger because doing so would be time-consuming.
Although subsidiary ledgers are not very difficult to construct and manage, you must do so in a specific way. With a few notable exceptions, the majority of the accounts in this ledger are customer accounts. This makes sense for a subsidiary ledger chart when focusing on the customer accounts because a general ledger would become progressively crowded if every customer and individual account were included.
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In the context of operations management, _______ refers to the assignment of start and completion times to particular jobs, people, or equipment.
In the context of operations management, scheduling refers to the assignment of start and completion times to particular jobs, people, or equipment.
What is project management?Project management simply refers to the strategic process of designing, planning, developing, leading and execution of a project plan or activities using a set of skills, tools, knowledge, techniques and experience to achieve the set goals and objectives of creating a unique product or service.
Under operations management (OM) and project management (PM), scheduling is a terminology which simply refers to the process of assigning both start (beginning) and completion (end or finish) times to a specific project, people, jobs, or equipment (machineries).
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a mechanic's lien can be enforced to recover payment from a debtor for labor and materials in the repair of personal property. True/False
False. A mechanic's lien cannot be enforced to recover payment from a debtor
What are lien?
A lien is a claim or legal right made on property that is frequently pledged as security for the repayment of debt. A lien could be created by a creditor or a court order. An underlying commitment, such as the repayment of a debt, is guaranteed by a lien. The asset covered by the lien may be taken by the creditor if the underlying debt is not paid in full. Liens are used to secure assets in a variety of ways. A lien is a right or claim made against property that is typically used as collateral to pay off debts. The asset that is the subject of the lien may be taken by the creditor.
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Suppose that the paper clip industry is perfectly competitive. Also assume that the market price for paper clips is 2 cents per paper clip. The demand curve faced by each firm in the industry is: O a vertical line at 2 cents per paper clip. O always higher than the firm's MC curve the same as the market demand curve for paper clips O a horizontal line at 2 cents per paper clip
Each company in the sector must deal with a demand curve that is (C) a horizontal line at $2 per paper clip.
A market model known as perfect competition is predicated on the idea that many companies create the same commodities that are purchased by many clients. The assumption made by the model of competitive equilibrium is that it is simple for new businesses to enter the market and for remaining customers to depart. Furthermore, it relies on the belief that buyers and sellers are adequately educated about the market's current condition.
What properties do paper clips possess?
Shape and composition
Paper clips often have an oblong shape with straight edges, although they can also have more complex designs like trapezoidal or circular shapes. Steel or another type of metal is the most typical component, however poured polymer is also utilized .
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When price discrimination is practiced, a company sells and charges compared to what it would do without practicing price discrimination. a larger output; higher prices a larger output; a greater range of prices a smaller output; higher prices a smaller output; a greater range of prices
When price discrimination is practiced, a company sells higher output and charges a great range of prices.
Price discrimination is a sales strategy that charges customers different prices for the same product or service based on what the salesperson believes the customer can agree with. In pure price discrimination, sellers charge the highest price each customer will pay.
Why price discrimination?The purpose of price discrimination is generally to capture consumer surplus in the market. This surplus occurs because in a market with a single liquidation price, some customers (segments with very low price elasticity) are willing to pay more than the single market price.
What Factors Affect Price Discrimination?Price discrimination is possible under the following conditions:The seller has some control over the delivery of the product. Such monopoly power is necessary to differentiate on price. Sellers must be able to divide their market into at least two (or more) submarkets.
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7.5 points ebookhintprintreferencescheck my workcheck my work button is now enabled5item 1 garcia company sells snowboards. each snowboard requires direct materials of $120, direct labor of $50, variable overhead of $65, and variable selling, general, and administrative costs of $23. the company has fixed overhead costs of $675,000 and fixed selling, general, and administrative costs of $141,000. it expects to produce and sell 12,000 snowboards.
$261 is estimated to produce. Direct labor is defined as labor that's also directly related to a company's production procedures.
How is labor costing calculated? What does it mean?Calculating overall cost of work for a good or service is known as labor costing. It has a substantial influence on profitability and is an essential component of corporate operations. Typically, direct and indirect labor expenditures are separated. The formulae, methodologies, and procedures used to determine labor expenses vary.
Briefing:Its sale price per unit is determined before the unit fixed cost.
Unit fixed cost= Fixed Overhead+ Administrative Costs
= $675,000+ $141,000
= $816,000
Fixed cost per unit = Total Fixed Cost/No Of Units Produced
=$816,000/$12,000
=$68
Total Cost Per Unit = Direct Labor + Direct Material + Variable Overhead + Fixed Cost Per Unit
=$50+$120+$23+$68
=$261
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the interstate land sales full disclosure act requires developers of any property to file a disclosure statement with hud.
The Securities Act of 1933 served as a model for the Act, which mandated that Interstate Land developers register any subdivisions of non-exempt lots or condominium units.
Congress passed the Interstate Land Sales Full Disclosure Act of 1968 in 1968 to make it easier to regulate interstate land sales and to safeguard customers against dishonesty and abuse in the purchase or leasing of real estate. Land developers were compelled to register subdivisions of non-exempt lots or condominium units under the Securities Act of 1933-inspired law. The initial submissions were supposed to be made with the US Department of Housing and Urban Development. Currently, the Consumer Financial Protection Bureau is in charge of carrying out the Act's requirements (CFPB). A Property Report is a disclosure document that a regulated developer is required to give to every buyer. The Property Report, which is required to be given to, contains pertinent details regarding the subdivision.
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all law enforcement employees should contribute ideas related to budget items as specific needs arise. True or false
The statement that all all law enforcement employees need to contribute ideas for budget items because specific needs arise is A. True.
How are law enforcement budgets decided ?The art and science of creating a budget for a police department go hand in hand . Executives from the police department spend weeks, if not months, compiling data, prices, and recommendations in order to provide a comprehensive financial report that details every program offered and every dollar spent .
Rules for decision-making and decision-implementation must be used to govern the budget process . The community's requests for public safety reforms and a local government's financial deficiencies cannot be met through the usual budgeting procedure .
This is why all law enforcement employees need to be able to contribute ideas to the budget items being discussed as there might be specific needs arising .
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Lester sold a warehouse with an original cost of $150,000 for $230,000. The warehouse hadaccumulated depreciation of $40,000. The recognized gain on the sale was $120,000. The amount of the gain that is unrecaptured Section 1250 gain is $40,000 and will be taxed at amaximum rate of 20 percent.
Lester sold a warehouse with an original cost of $150,000 for $230,000. The warehouse had accumulated depreciation of $40,000. The recognized gain on the sale was $120,000. The amount of the gain that is unrecaptured in Section 1250 gain is $40,000 and will be taxed at a maximum rate of 20 percent. The remaining $80,000 will be taxed at a maximum rate of 20%
Recognized gain
= Purchase price - Net book value
= 230,000 - (150,000 - 40,000) (150,000 - 40,000)
= $120,000
The amount of Section 1250 gain that is unrecaptured:
= Selling price - asset cost - depreciation accumulated
= 230,000 - 150,000 - 40,000
= $40,000
According to IRS regulations, the maximum tax rate is 25%.
The cash to be charged at a maximum of 20% is as follows:
= Profit - Section 1250 profit
= 120,000 - 40,000
= $80,000
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Roland mows Karla's lawn for $25. Roland's opportunity cost of mowing Karla's lawn is $20, and Karla's willingness to pay Roland to mow her lawn is $28. Refer to Scenario 8-2. Assume Roland is required to pay a tax of $3 each time he mows a lawn. Which of the following results is most likely? a. Karia now will decide to mow her own lawn, and Roland will decide it is no longer in his interest to mow Karia's lawn b. Roland and Karla still can engage in a mutually-agreeable trade c. Roland is willing to mow Karla's lawn, but Karla will decide to mow her own lawn d. Karis is willing to pay Roland to mow her lawn, but Roland will decline her offer
Option d is the correct selection: Karla and Roland can still come to an agreement on a trade.
A consumer's willingness to pay can be thought of as the highest price they can afford for a product or service. When a customer's willingness to pay is greater than the price he actually pays, that customer has earned a surplus. In a similar vein, when a producer receives a price that is greater than the minimum price he is willing to accept, he earns surplus.
What is an example of opportunity cost?Time spent studying and money used for other purposes are the opportunity costs. Wheat is planted by a farmer; Planting a different crop or making a different use of the resources (land and farm equipment) is an example of the opportunity cost.
What is the name of opportunity cost?The next best option is commonly referred to as opportunity cost. The loss of gain that could have been gained if another option was chosen is also referred to as the alternative cost. It can also be described as the loss of a benefit as a result of making a different choice.
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business as we know it could not exist without secured transactions because otherwise sellers and lenders would be less likely to sell and lend on credit.
True. The required answer for the given statement is True about sell and lend on credit.
What are the different types of credit?Installment credit, lines of credit, and unsecured credit are the three primary categories of credit. These are all financed through various borrowing and repayment structures. Installment credit is a sort of loan where you take out a single lump sum and pay it back over the course of a specific period of time with interest in regular set payments, or instalments.
With open credit, monthly payments are flexible and the entire debt is payable at the end of the each billing cycle. The amount owing on your power bill is determined on how much energy you used that month, making it a fantastic illustration of open credit.
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Outline the advantages and disadvantages of advertising from the point of view of economic efficiency.
Advertising from the point of view of economic efficiency for economic growth otherwise un-stability in the growth of economic.
Economic growth is an increase in the amount of goods and services produced per head of the population over a period of time.
Advantage of advertising from the point of view of economic efficiency is advertising contributes to wider economic growth through its ability to support competitiveness.
Disadvantages of advertising from the point of view of economic efficiency is the cost involved in the entire process. It starts with spending money on design, printing and average costs.
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federal taxes on the sale of alcohol, tobacco, and gasoline are examples of taxes.
Excise taxes are levied on particular products or services like alcohol, cigarettes, and gasoline. They are mostly taxes that businesses must pay, which usually results in indirect price increases for consumers.
What kind of tax is levied on cigarettes and gasoline?Excise taxes are levied on the production, distribution, and consumption of goods as well as on the issuance of licenses for particular professions. Since 1950, when excise taxes accounted for over 20% of total federal tax receipts, the federal government has become less reliant on them.
It's a form of consumption tax, which means it charges consumers for their purchases. Because sales taxes are typically passed on to customers at the moment of sale, it is classified as a consumption tax. A sales tax is an example of an indirect tax, meaning it is not paid to the government directly like an income tax.
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What is maximum pricing in economics
A maximum pricing in economics can be defined as the lowest price that can legally be set, e.g., minimum price for alcohol, minimum wage.
Explain in detail.
A maximum price is a legally-imposed limit on the cost of goods or services in a market. It is intended to prevent the market price from rising above a certain level, as suppliers are not allowed to exceed the maximum price. For the maximum price to be effective, it must be set below the free market price. This ensures that the market price is kept below the maximum price, and that suppliers are not able to charge more than the maximum price.It also occurs when the government sets a legal limit on the price of a good or service – with the aim of reducing prices below the market.To know more about Maximum pricing from the given link
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Which of the given statements is the most direct result of the correct monetary policy from the first question?
a. increasing reserves to decrease interest rates.
b. increases in investment, aggregate demand, and long‑run growth
The correct answer (b) increases in investment, aggregate demand, and long‑run growth.
What is monetary policy?
The central bank's macroeconomic policy is known as monetary policy. It is a demand-side economic strategy used by a nation's government to achieve macroeconomic goals like inflation, consumption, growth, and liquidity. It involves managing the money supply and interest rate.
What are the 3 monetary policies?
The Fed has traditionally used three tools to conduct monetary policy: reserve requirements, the discount rate, and open market operations.
What is the goal of monetary policy?
The Federal Reserve Act mandates that the Federal Reserve conduct monetary policy "so as to promote effectively the goals of maximum employment, stable prices, and moderate long-term interest rates.
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new entry into markets, whether by start-ups or by incumbent firms, rarely threatens existing competitors. True or False?
False, Existing competitors are rarely threatened by new market entry, whether it comes from startups or established companies. Any individual who engages in business but is not an affiliate of a loan party is considered a competitor.
Competitive rivalry is a gauge of how fiercely existing firms compete with one another. Competitive activities like price lowering, higher advertising costs, or investing on service/product innovation and improvements can reduce profits and foster competition. Businesses who are new to your market are new entrants. Your power is impacted by other people's capacity to access the market. When there are limited economies of scale, no knowledge intensity, low entry costs, and no protection of critical technologies, new competitors can readily enter your market. These companies compete in the same market by providing comparable (or identical) goods and services. They compete for the same clientele as well. Examples of direct competitors that are well-known are Apple and Android, Pepsi and Coca-Cola, and Netflix and Hulu.
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when a corporation issues shares of common stock for an amount above par, which of the following entries occur?
Answer:
Explanation:Dividends payable is decreased. When a corporation issues shares of common stock for an amount above par, which entries occur
According to the net method, which of the following items should be included in the cost of inventory? I. Freight costs II. Purchase discounts not takena. I onlyb. Both I and IIc. II onlyd. Neither I nor II
According to the net method, freight costs should be included in the cost of inventory.
What is net pricing technique?
The supplier invoices are recorded using the "net price technique" after any applicable discounts have been subtracted from the total. The net price will be debited from the corresponding asset account or expenditure account in this entry, and the net price will be credited to accounts payable.
In the net price method of accounting, any discounts have been subtracted from the net price of a purchase. The gross price technique, which records the price before any discounts, can be replaced with the net price approach.
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Atkins Company had 20,600 shares of $5 par value common stock outstanding prior to declaring a 10% common stock dividend. The market value of the common stock on the declaration date was $11. Which of the following statements correctly describes the effect of the common stock dividend?a. Retained earnings decreased $10,300.b. Total stockholders' equity decreased $10,300.c. Total stockholders' equity decreased $22,660.d. Retained earnings decreased $22,660.
The issuing bank should credit common stock for an amount equal to the Par value of the shares issued when issuing stock dividends to the company's common stockholders.
A shareholder is a natural person or a business that a company has recorded as having the rightful ownership of shares of a private or public corporation's share capital. Shareholders are another name for a corporation's owners. Is an increase in stockholders' equity advantageous? Greater adaptability in the case of a financial or economic downturn for a corporation is often indicated by higher stockholder equity. Understanding stockholders' equity allows investors to gain knowledge about a company's financial status. A parent business may offer and issue tracking stocks as a unique type of equity in order to monitor the monetary performance of a divisional sector. On open markets, tracking stocks often trade separately from the parent company's stock. The following is an example of stock tracking.
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Based on the following information, prepare a contribution margin income statement assuming the company uses variable costing. Annual production Sales price Variable production cost per unit Direct materials 50,000 units $40 per unit $10 3 Direct labor $25 per unit Manufacturing overhead Fixed production costs 12. $150,000 each year; $3 per unit at 50,000 units of production Variable selling and administrative cost $1 per unit Fixed selling and administrative cost $100,000 each year Sales: А. Var. Production В. Var Selling & Admin 50,000 1,300,000 Contribution Margin С. Fixed Expenses: Fixed Mfg Overhead 150,000 Fixed Selling & Admin 100,000 250,000 Net Income D.
The contribution margin income statement is mentioned along with the Operating profit of $450,000 in the first and second years.
What is an Income Statement?One of the three crucial financial statements used to describe a company's financial performance throughout a certain accounting period is the income statement. The balance sheet and the cash flow statement are the other two important statements.
The revenue, costs, profits, and losses incurred by a corporation over a specific time period are the main topics of the income statement. An income statement also referred to as the profit and loss (P&L) statement or the statement of revenue and expenses, offers important information about a company's operations, the effectiveness of its management, underperforming industries, and its performance in comparison to peers in the same industry. The revenue, expenses, profits, and losses are the four main components of the income statement. It does not distinguish between receipts in cash and those in other forms of payment or disbursement.
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• Describe the major business activities and related information processing operations
performed in the production cycle.
• Identify major threats in the production cycle and evaluate the adequacy of various control
procedures for dealing with those threats.
• Explain how a company’s cost accounting system can help it achieve its manufacturing
goals.
• Discuss the key decisions that must be made in the production cycle and identify the
information required to make those decisions
The main business activities and related information processing operations are:
Product designProduction planningProduction operationsCost accountingWhat are the main threats in the production cycle?Some of the threats that can significantly compromise the production cycle of an organization are the lack of controls, lack of inventory management, in addition to the loss of assets due to production bottlenecks and incorrect financial data, which generate delays and production inefficiency.
A company's cost accounting system is responsible for helping to meet its manufacturing goals by helping to accurately calculate the costs of production, inventory and the elaboration of pricing strategies, which is calculated on direct costs and manufacturing indirect.
Therefore, the main decisions that must be taken in the production cycle and the information necessary for making decisions and avoiding problems with production is the increase in control and management over the mix of products, resources, costs, prices and performance of employees.
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