During its first year of operations ending on December 31, 2016, the Dakota Company reported pretax accounting income of $600,000. The only difference between taxable income and accounting income was $80,000 of accrued warranty costs. These warranty costs are expected to be paid as follows:2016 $0 30%2017 $60,000- 35%2018 $20,000- 40%
Assuming an income tax rate of 30% in 2016, the amount of income tax expense that Dakota should report on its 2016 income statement is as follows:-
Taxable income is calculated by taking accounting income and subtracting any adjustments to determine taxable income.Taxable income = Accounting income − Adjustments Therefore, the taxable income of the Dakota Company is $600,000 − $80,000 = $520,000 The tax rate is 30%. Therefore, income tax expense = Taxable income × Tax rate= $520,000 × 0.30= $156,000 Hence, Dakota should report $156,000 of income tax expense on its 2016 income statement. Therefore correct answer is 180,000, therefore option a is correct option.
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How is Infrastructure related to the business and his Impact and Importance on it?
Infrastructure is the most crucial factor of a business organization, and much of a business' growth depends upon better infrastructure.
What is infrastructure?Infrastructure for a business can be understood as a set of facilities and services that are a requirement for the smooth functioning of a business organization.
If the infrastructure is poor, then there is a definite cap on the upper side of a business' growth. Similarly, a better infrastructure increases the opportunities for increase in the productivity of a business.
Hence, the significance of infrastructure is aforementioned.
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Raising taxes and printing money are the best ways to solve the probiem of
"unfunded liabilities" that Social Securify and Medicare both face The
Supply-Side and the Monetarist School of Economics both support this policy
to fix the problem of unfunded liabilities
• True
• Fals
Raising taxes and printing money are the best ways to solve the probiem of"unfunded liabilities" that Social Securify and Medicare both face.The statement is False.
Both raising taxes and printing money are not necessarily the best ways to solve the problem of "unfunded liabilities" that Social Security and Medicare face. While these actions may be part of the solution, they are not universally supported by the Supply-Side and Monetarist schools of economics.
The Supply-Side school of economics generally advocates for policies that promote economic growth by reducing tax burdens and government regulations.
The Monetarist school of economics emphasizes the role of monetary policy in controlling inflation and stabilizing the economy.
Both schools of economics may propose different approaches to address the issue of unfunded liabilities, such as reducing government spending, increasing the retirement age, adjusting benefit formulas, or implementing structural reforms to the programs.
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What is the value in year 2 of a 200 cash flow made in year 8 if interest rates are 3 percent?
The value in year 2 of a 200 cash flow made in year 8 if interest rates are 3% is $247.78.
Given that:
Cash flow = 200 in year 8
Interest rate = 3%
We need to find the value in year 2.The formula to find the value of a cash flow in a particular year is given by:Vn = Vm × (1 + i)n − m.
Where,
Vn = Value in year n
Vm = Value in year m
i = Interest rate
n = Year of future value
m = Year of present valueSince we need to find the value of the cash flow in year 2. We can apply the formula as:V2 = 200 × (1 + 0.03)8 − 2V2 = 200 × (1.03)6V2 = $247.78.
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How important is money
Answer:
very important
Explanation:
money is a global income source for everyone. we all have different types but it is all still money. now say one country got rid of money and had people pay for stuff using other things. if china did that lots of different countries wouldn't be able to get stuff from there unless they had so much of that product they could just give it up.
Clyde purchased a 4000K television online from Best Buy. The television retails for $749, but Best Buy also offered a 15% discount off the retail price. If the tax rate is 8.25%, how much did Clyde pay for the television at checkout? Round to two decimal places. $702.54 $689.17 $810.79 $729.71
Answer:
$689.17
Explanation:
In order to find the answer, first you have to calculate the price of the TV after the 15% discount by calculating 15% of the price and subtracting that result from the price:
$749*15%=112.35
$749-$112.35=$636.65
Now, you have to found the amount of the tax and add that to the price:
$636.65*8.25%=$52.52
$636.65+$52.52=$689.17
According to this, the answer is that Clyde paid $689.17 for the television at checkout.
What are the key forces promoting the adoption of flexible
benefits?
The key forces promoting the adoption of flexible benefits: Retaining and Attracting Talent, Employee Demands, Lower Costs, Employee Empowerment. Therefore, organizations have adopted flexible benefits to increase employee satisfaction, retention, and engagement.
Flexible benefits are benefit packages that allow employees to select the benefits that best suit their specific needs. Flexible benefits enable employees to create their packages, which provide them with greater control over their compensation. The following are the key forces promoting the adoption of flexible benefits:Retaining and Attracting Talent: Flexible benefits enable organizations to stand out in a competitive job market and attract top talent. By providing employees with flexible benefits, employers can enhance employee satisfaction and retain their current employees.Employee Demands: As the younger generations enter the workforce, they have different priorities when it comes to benefits. Employees require more flexibility in the benefits they receive. Employers must offer more choice to attract and retain top talent. Flexible benefits enable employers to meet employee demands and stay competitive. Lower Costs: By giving employees more flexibility in their benefits, they can choose what they need and want. Employees can select what is important to them, and this can lead to lower costs for the employer. For instance, employees may select fewer medical benefits and choose more retirement or education benefits. Employee Empowerment: By providing flexible benefits, employers can empower employees to take control of their benefits. Employees can create a package that fits their unique needs, which can result in increased satisfaction and loyalty. This empowerment can also lead to more engaged and productive employees.
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If a violation of the new jersey insurance code were to occur, a cease and desist order and/or penalty may be issued. who may issue a cease and desist order?
However, a cease and desist order and/ or penalty may be issued, If a violation of the New Jersey Insurance law were to do. The Commissioner may issue a check and desist order.
The Commissioner may issue an order to inspect and ban any person who violates any provision of this Act, any policy or order of the Manager, or any written agreement or order made concurrently with the Manager.
When the manager finds that an exertion in violation of this act presents an immediate peril to the public that requires an immediate final order, the manager may issue an exigency check and desist order reciting with particularity the data underpinning the findings.
Insurance is a means of protection from fiscal loss in which, in exchange for a figure, a party agrees to compensate another party in the event of a certain cases. The offender is liable in a civil action brought by the Agent in a court of competent jurisdiction, up to a maximum fine of $5,000 for the first offense.
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a debit to an asset account indicates
determine the capitalized cost of a permanent roadside historical marker that has a first cost of $62,500 and a maintenance cost of $2,000 once every 8 years. use an interest rate of 13% per year.
The capitalized cost of the permanent roadside historical marker is approximately $77,884.62.
To determine the capitalized cost of a permanent roadside historical marker with a first cost of $62,500 and a maintenance cost of $2,000 every 8 years at an interest rate of 13% per year, you will need to consider both the initial cost and the present worth of the maintenance costs.
The initial cost is straightforward and is $62,500.
Next, we need to find the present worth of the maintenance costs. Since the maintenance cost is recurring every 8 years, we can treat it as a uniform series of payments. Using the formula for the present worth of a uniform series:
PW = A * (1 - (1 + i)^(-n)) / i
Where PW is the present worth, A is the recurring cost ($2,000), i is the interest rate (0.13), and n is the number of periods (in this case, we will assume the marker will last indefinitely, so n approaches infinity).
As n approaches infinity, (1 + i)^(-n) approaches 0, so the formula becomes:
PW = A / i
Plugging in the values:
PW = 2000 / 0.13 ≈ $15,384.62
Now, add the initial cost and the present worth of maintenance costs to get the capitalized cost:
Capitalized Cost = $62,500 + $15,384.62 ≈ $77,884.62
Thus, the capitalized cost of the permanent roadside historical marker is approximately $77,884.62.
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pension fund manager is considering three mutual funds. The first is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill money market fund that yields a sure rate of 5.5%. The probability distributions of the risky funds are: Expected Return Standard Deviation Stock fund (S) 15 % 32 % Bond fund (B) 9 % 23 % The correlation between the fund returns is 0.15. Suppose now that your portfolio must yield an expected return of 12% and be efficient, that is, on the best feasible CAL. a. What is the standard deviation of your portfolio? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
The standard deviation of the portfolio is 7.09%.
What is the proportion of stock in minimum risky portfolio?= [(0.23)² - (0.32*0.23*0.15)] / [(0.32)² + (0.23)² - (2*0.32*0.23*0.15)]
= 0.31421708452
= 31.42%
What is proportion of bond fund in minimum risky portfolio?= 1 - 0.31421708452
= 0.68578291548
= 68.58%
What is the expected return of minimum risky portfolio?= 0.3142*15% + 0.6858*9%
= 0.04713 + 0.061722
= 0.108852
What is the standard deviation of your portfolio?= ((0.6858)² * (0.23)² * (0.3142)² * (0.33)²) + ((2 * 0.6858 * 0.3142 * 0.32 * 0.23 * 0.15))^0.5
= (0.00026747972 + 0.00475776218)^0.5
= 0.0050252419^0.5
= 0.0708889406
= 7.09%
Therefore, the standard deviation of the portfolio is 7.09%.
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Why are aircraft carriers a thing? Why can’t there just be an airport on land only for military aircraft?
Answer:
Aircraft carriers are a vital component of modern naval warfare because they allow for military aircraft to operate far from land bases, providing a mobile platform for conducting a wide range of military operations.
Unlike land-based airports, aircraft carriers are not limited to fixed locations and can be moved to strategic locations in response to changing military requirements. This mobility provides significant advantages, as carriers can be deployed to various regions of the world, allowing for rapid response times and the ability to project power over long distances.
Additionally, aircraft carriers have the ability to launch and recover a large number of aircraft in a short amount of time, providing a significant force multiplier for military operations. They can be used for a variety of missions, including air support for ground troops, strike missions against enemy targets, and reconnaissance and surveillance operations.
Furthermore, an aircraft carrier can also serve as a mobile command center, allowing military commanders to conduct operations from the ship's command and control center, which provides an added level of flexibility and operational capability.
In summary, while land-based airports are certainly useful for military operations, aircraft carriers provide unique advantages that make them an essential part of modern naval warfare.
Explanation:
I had this exact question. This should get you a 100% grade.
____ credit is when you have to put down a security deposit or use something as collateral.
Secured credit is when you have to put down a security deposit or use something as collateral.
In term of financial accounting and business, Secured cards also can be called as secured credits. Secured credit generally can be defined as a type of credit that require us to provide a cash security deposit, usually equal to your credit line. In the term of secured credit, we get the deposit back when you upgrade to a regular "unsecured" card. In the other side, we also get the deposit back when we close the account in good standing.
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Which of the following is always a true statement? a. Total employee benefits - job expenses = total employment compensation b. Gross pay total job benefits = total employment compensation c. Gross pay - job expenses = total employment compensation d. Total job benefits - job expenses = total employment compensation Please select the best answer from the choices provided A B C D.
Out of the available possibilities, "Gross pay - job expenses = total employment compensation" is the only one that is consistently true.
Here, gross pay refers to the total amount earned by an employee before any deductions are made, and job expenses refer to the expenses incurred by an employee while performing their job duties. The difference between gross pay and job expenses is the net pay, which is the total employment compensation received by the employee.
While calculating total employment compensation, the employee benefits are not always included. Some benefits such as paid vacations, medical or dental insurance, etc. are optional and can be provided by employers.
These benefits may or may not be included in total employment compensation, so this statement is not always true. Job benefits are additional advantages provided by employers to their employees. While calculating the total employment compensation, gross pay and job benefits are not always added.
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What are the two ways you can get paid if you own a stock? CHOOSE TWO ANSWERS. O a Every time the company announces earnings, you get a check O b Through dividends O c Through capital gains - when the price goes up, you can sell your stock, and you get to keep the difference between the price you bought it at and the price you sold at O d Through a salary that's paid through HR
The two ways you can get paid if you own a stock are Options b (Through dividends) and c (Through capital gains) are correct.
The two ways you can get paid if you own a stock are:
1. Through dividends: Some companies distribute a portion of their profits to shareholders in the form of dividends. Dividends are periodic payments made to shareholders based on the number of shares they own. These payments can provide a steady stream of income to stockholders.
Dividends are a way for companies to share their profits with shareholders as a reward for owning their stock. They are typically paid out on a regular basis, such as quarterly or annually, and the amount of dividend payment depends on the company's earnings and dividend policy.
2. Through capital gains: When the price of a stock increases, you can sell your shares at a higher price than the purchase price, resulting in a capital gain. The difference between the selling price and the purchase price represents your profit.
Capital gains are realized when you sell your shares at a higher price than what you paid for them. It is the profit gained from the appreciation of the stock's value over time. The ability to sell stocks at a higher price allows investors to generate income or accumulate wealth based on the performance of the stock in the market. However, it's important to note that capital gains are only realized when you sell the stock, and they are subject to taxes based on your jurisdiction's capital gains tax regulations.
Therefore options (b) Through dividends and (c) Through capital gains - when the price goes up, you can sell your stock, and you get to keep the difference between the price you bought it at and the price you sold at are correct.
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In your own words, describe how you can find distances using a scale drawing.
how can we develop desicion making skill on ourselves
Answer:
Six simple steps for better decision-making skills
Start with the desired outcome. Start with squad goals. ...Rely on data and insights to spot patterns. .Use S.W.O.T. analysis. ...Simulate the outcomes. ...Trust your instincts. ...Identify your cognitive biasesJake’s company uses a unique ergonomics and organization system to help employees work more efficiently. The company wants Jake to sign a nondisclosure agreement not to expose the system. The employee may share the trade secret with others outside the company. The employee may be subject to fines if he were to reveal the trade secret. The employee may use the trade secret at another company as long as he does not reveal it to others. The answer is dependent on additional details not provided. No trade secret exists in this scenario.
If the company wants Jake to sign a nondisclosure agreement not to expose the system. The employee may be subject to fines if he were to reveal the trade secret.
What is nondisclosure agreement?Nondisclosure agreement can be defined as the agreement that a person should not disclose confidential or sensitive information.
in a situation were Jake sign the nondisclosure agreement and still went ahead to disclose the information , the employee will be subject to fines because the employee has break the nondisclosure agreement that is between him and is employer.
Therefore If the company wants Jake to sign a nondisclosure agreement not to expose the system. The employee may be subject to fines if he were to reveal the trade secret.
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companies have used the ambiguity of the revenue recognition principle to deliberately inflate their
Companies have used the ambiguity of the revenue recognition principle to deliberately inflate their revenue.In order to inflate their revenue, companies have used the ambiguity of the revenue recognition principle.
They take advantage of the fact that the revenue recognition principle is not specific and could be implemented differently by different companies and industries. They do this in order to paint a false picture of their company's financial health and attract investors. However, this can be a violation of accounting rules and regulations which require that revenue be recognized in a way that is consistent and accurate.
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Part 2 Directions
Reflect on what you see in your social media feeds and on other websites you visit. What kinds of posts,
articles, links, ads, etc., do you see that might be inside your filter bubble? Write them above the green
arrows. Then, think about steps you could take to burst your filter bubble, and write them below the red
arrows. What sites, people, opinions, etc., could you seek out? What other steps could you take?
What topics, opinions, people, websites, and experiences are inside your filter bubble?
Answer:
Explanation:
Reflect on what you see in your social media feeds and on other websites you visit. What kinds of posts,
articles, links, ads, etc., do you see that might be inside your filter bubble?
================================
I spend time doing Internet searches on 4 topics:
1) News updates on Ukraine, Jan 6th Committee, and local news
2) Travel information for leisure trips around the world and local
3) Science and Techology for presentations on current topics to the community
4) Search for movie and restaurant reviews
-----
This has led to many ads and articles that generally praise the destinations for tarvel, dining, and entertainment. I've also noticed a large increase in fake technology claims. Medications that cure anything. Energy-saving heating and cooling systems that seem to defy physics laws, and special offers from countries I've explored online. One time I got an email concerning an article that was just published that analyzed the impact on climate change on governments around the world, It predicted major conflicts between certain countries in the near future. Although I normally would have skipped reading this level of hype, the article was filled with references to news media and scientific journals, I began to explore deeper by going to the references. What I discovered was that the predictions for many of the events came from organizations that got funding from affected parties. A claim that Alaska had experienced it's worst flooding ever came from a small-town newspaper commenting on a nearby creek. Most of the refences were suspect, so I looked closer at the author. I discovered he was a writer who sold his work to magazines and nespapers. His list of authoritative articles ranged from global climate change, women's health issues, stock market fundamentals, accounting practices, . . . . you name it. He wrote whatever it took to get paid.
My filter bubble was feeding me biased information that usually had a monetary connection. It requires honest evaluation and careful research to avoid these misleading items.
============
Then, think about steps you could take to burst your filter bubble, and write them below the red
arrows.
-----------------------------
The steps I take to avoid misinformation is to fact-check where I can, and use judgement as to the honesty of the item. I use Scopes to check online for evidence of fake news. I also rely on referred journals for technical information.
=================
What sites, people, opinions, etc., could you seek out? What other steps could you take?
----------------------
Use public television and radio, referried journals, notable news media source such as Washington Post, and visit blogs where others are discussing the topic. Odd user names signal suspicious sources of information, as does bad grammer (e.g., I past minister finance and I got big sum money I like give you).
===============
What topics, opinions, people, websites, and experiences are inside your filter bubble?
----------------
Topics: science and technology, digital graphic arts, travel.
Opinions: Washington Post, PBS. Boston Globe, Time Magazine
People: Wife, co-workers, respected authors (e.g., Bill Bryson, Sam Kean) and scientists. I use ACS (American Chemical Society) and various other Physics and Math websites hosted by universities or technical organizations.
Experiences: I've lived through Y2K, cold fusion, weapons of mass destruction, and numerous claims of innocence from politicians.
10. What's money used to start up a new small
business or help a business expand during a growth
period?
You look for seed finance from angel investors, then proceed to venture capitalists, and finally make an initial public offering, depending on the stage your business is in and its capacity to generate profits (IPO).
What Is Startup Capital?
The money a new business raises to cover its start-up expenses is referred to as startup capital. A strong business plan or a working prototype must be built by entrepreneurs seeking startup money in order to sell their concept.
Which funding options do small business owners frequently use?
When they are short on cash, small enterprises in the startup stage may employ debt finance or equity financing to raise money. One type of debt financing that small business entrepreneurs use is a bank loan. Allowing stakeholders to own a portion of the company is known as equity financing.
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Under which tab can you find the options for reusing slides from other presentations?
Home
File
Insert
Design
Answer:
Home
Explanation:
I need help on my assignment this is what i have so far guys let me know if it is wrong or what i should change
Question : Nancy and Shawn Miller are a newly married couple in their early 30s. They are currently renting a one-bedroom apartment in the city but would like to purchase a two-bedroom condominium within the next two years. Their combined gross annual income is $96 000. Each month, they pay $700 in wedding debt and $610 for student loans. Rent is $1200 and includes utilities. Their monthly transit passes cost $200. They spend $520 each month on groceries and an additional $275 for cable, Internet, and telephone. Approximately $250 is spent every month on clothing. They like to have about $350 per week in discretionary income for leisure and miscellaneous expenses, such as movies, books, and CDs. They would like to save $15 000 over the next two years for a down payment. Create a monthly budget for Nancy and Shawn. Assume tax deductions of 30 percent
My answers :
Gross Income XXX $96 000
Deductions (XXX) TAX (30%)
Disposable Income XXX $67 200 every month= 5600
Necessities
Rent $1200 xxx
Debt Payments $700 xxx
Student Loan Payments $610 xxx
Cable, Internet, Phone $275 xxx
Groceries $520 xxx
Transit Passes $200 xxx
Clothes $250 xxx
Total Necessities XXX $15,255
Discretionary Income XXX $51975
Every month = 4331.25
Entertainment $350 xxx
Leftover Income for Savings (help)
XXX
and 3 other questiosn i need help with
Questions (15 Marks)
⦁ How much money is left over at the end of the month? Is this enough to save $15,000 in two years?
⦁ How much would they have to save each month to achieve their $15 000 goal within two years?
⦁ How would you recommend Shawn and Nancy trim their budget in order to have more money for savings?
Answer:
No ; $625 ; cut down expenses
Explanation:
Annual Gross =$96000
Amount after tax : (1 - 0.3) * 96000 = $67,200
Monthly Total Expenses :
$(700 + 610 + 1200 + 200 + 520 + 275 + 250 + (350*4)) = $5,155
After - tax monthly :
67,200 / 12 = $5600
Amount left :
$5600 - $5155 = $445
If total amout left is saved for 2 years :
Amount saved = ($445 * 24) = $10,680
$10,680 < $15,000 ; therefore, it won't be enough for the purchase.
Monthly saving to earn $15000 in 2 years
2years = 24 months
$15000 / 24
= $625
Grocery expenses , clothing, discretionary cost and cable expenses could be all be cut down in other to increase saving.
Which global company allows employees to bring their dogs to work?
Purina has allowed its employees to bring their dogs to work for over 20 years, as the company believes this policy is beneficial to both the pets and their owners.
How does a dog friendly office work?Increases collaboration & work relationships: people tend to bond over pets.
Not only are pets conversation starters, but they foster and encourage productive work relationships and increase collaboration and socialization among employees.
Dogs help people feel more comfortable and at ease, even in the workplace.
Window dressing is a strategy used by businesses to deceive their shareholders. The window dressing is the responsibility of the company management. Usually, it is a management decision to use window dressing to make its financial statements appear more credible.
Purina has allowed employees to bring their dogs to work for over 20 years, believing that this policy benefits both the pets and their owners.
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Q1. Discuss the differences of the "free flow" interview and the "patterned" interview. Explain which one you would choose for an entry level position interview.
The difference between patterned and free-flow interviews is Candidates are asked almost similar questions in a patterned interview. However, different aspirants are asked different questions based on situations and merit in a free-flow interview.
some of the differences between free flow interviews and patterned interviews:
-Questions are planned and created in advance in patterned interviews. On the contrary, unplanned questions are asked in a free-flow interview.
Which one to choose:
-Free Flow interviews are mostly applicable for entry level employees. Therefore, Free Flow interview questions are asked to entry level employees to gather some additional information about the employees.
Therefore, The Differences between patterned interview and free flow interview have been discussed. The best one for entry level employees has been addressed.
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What is one benefit of continuing your education after high school?
A. The ability to earn money immediately
B. Postponing responsibility for your actions
C. Increased earnings over the course of your career
D. There is no benefit to continuing your education.
Answer:
C
Explanation:
The most relevant one because university is the place to produce expert in many fields. Thus this will increase your earnings within your course of career.
Answer:
c
Explanation:
Indigo Corporation, during the year ended October 31, 2021, had the following transactions for money-market instruments purchased to earn interest: Jan. 2 Purchased a 130 -day, $42,800 treasury bill maturing on May 1 for $42,543. May 1 The treasury bill matured. Aug. 1 Invested $69,600 in a money-market fund. Aug. 31 Received notification that $174 of interest had been earned and added to the fund. Sept. 30 Received notification that $174 of interest had been earned and added to the fund. Oct. 1 Purchased a 60 -day, 2.9%,$32,100 treasury bill for $31,869. Oct. 15 Cashed the money-market fund and received $70.035. (To record purchase of investment) [To record maturity of treasury bill investment] Aug 1% I inestments at Amortized Cost. Money Market Fund is Interest Revenue (To record purchase of imvestment.) \begin{tabular}{|r|} \hline 42543 \\ \hline 257+16 \\ \hline \end{tabular} Aus.31: in Investments Ainortized Cost, Money Market fund : hiterest isevenic (To accrue interest revenue) Sept. 30÷ (inectiment Aat Arootided Cost, Maney Maket Fund if feterent Revinae (To accrue interest revenue.) (To record purchase of investment.) livestments at hunortized Cost, Money Market Furd : Prepare any required adjusting journal entry at October 31 . (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Round answers to 0 decimal places, e.g. 5,275.)
Interest Revenue $348
To prepare the required adjusting journal entry at October 31, we need to accrue interest revenue for the period.
Here's the entry:
October 31:
Interest Receivable $348
Interest Revenue $348
This entry recognizes the interest revenue of $348 that has been earned but not yet received or recorded.
The Interest Receivable account is debited to reflect the amount owed to the company, and the Interest Revenue account is credited to recognize the revenue earned during the period.
Note: The amount of $348 is calculated based on the interest earned on the money-market fund ($174) for both August and September, as mentioned in the transactions.
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Use Annual Worth Benefit Cost Analysis to select a preferred alternative. Life Span: 5 years MARR: 1090
First cost
Annual Revenue
$58.30
$
$138.70
B
$200
The benefit is $200, the present worth of benefits will likely be higher than the present worth of the costs, resulting in a positive annual worth.
To determine the preferred alternative using the Annual Worth Benefit Cost Analysis, we need to calculate the annual worth for each alternative and compare them.
- Life Span: 5 years
- MARR (Minimum Acceptable Rate of Return): 1090
- First cost: $58.30
- Annual revenue: $138.70
- Benefit: $200
the annual worth, we need to find the present worth of both the benefits and the costs over the life span of 5 years.
1. Calculate the present worth of the benefits:
Since the annual revenue is given, we can use the formula for the present worth of an annual amount:
Present Worth of Benefits = Annual Revenue * (1 - (1 + MARR)^(-Life Span)) / MARR
Substituting the values, we get:
Present Worth of Benefits = $138.70 * (1 - (1 + 0.1090)^(-5)) / 0.1090
Calculating this expression will give us the present worth of the benefits.
2. Calculate the present worth of the costs:
The first cost is given as $58.30. Since it is a one-time cost at the beginning, we don't need to calculate the present worth.
3. Calculate the annual worth:
Annual Worth = Present Worth of Benefits - Present Worth of Costs
Substituting the values, we get:
Annual Worth = Present Worth of Benefits - $58.30
Calculating this expression will give us the annual worth.
4. Compare the annual worth of the alternatives:
If the annual worth is positive, it means that the benefits outweigh the costs, and the alternative is considered preferred. If the annual worth is negative, it means that the costs outweigh the benefits, and the alternative is not preferred.
In this case, since the benefit is $200, the present worth of benefits will likely be higher than the present worth of the costs, resulting in a positive annual worth. However, without the exact calculations, we cannot determine the exact annual worth or the preferred alternative.
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Why would the U.S. Federal Reserve Chairman content that changes in monetary policy may have less of a positive impact than would fiscal policy changes on individuals and small businesses?
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Developing economies are countries that have achieved substantial industrialization, modernization, and rapid economic growth since the 1980s. True or False?
The following statement, "Developing economies are countries that have achieved substantial industrialization, modernization, and rapid economic growth since the 1980s." is False.
The process of economic development and industrialization has been a major driver of globalization. Developing economies have been able to take advantage of opportunities in the global marketplace and have been able to grow rapidly as a result.
Industrialization has played a key role in this process, as it has allowed developing economies to produce more sophisticated and higher-value products. The globalization of supply chains and the rise of global value chains have also been major drivers of economic development and industrialization.
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