The statement is false : information technology has enhanced the effectiveness of relationship marketing by leveraging mass-marketing campaigns.
Information technology, sales, and marketing are increasingly collaborating. Over the past ten years, technological advancements have had a significant impact on people's lives and businesses, placing many B2B marketers in a wonderful world of so much technology.
However, with so much marketing technology available and the majority of B2B marketers lacking Information technology skills, the collaboration between marketing, sales, and Information technology teams is even more crucial.
Information technology and marketing have a very recent link. In fact, before technology improved, Information technology teams were assisting businesses with robotics in warehouses just ten years ago.
The needs of marketers and their interaction with information technology changed along with technology.
Since the advent of marketing technology, or more specifically "the MarTech stack," the marketing division has served as the hub for integrating all organizational tools. The majority of marketing professionals are continually attempting to catch up because of how quickly everything transpired.
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Market research can help you strategize your _______ and _______ goals.
Primary research is more _______ than secondary research.
Your first marketing priority is to find out if you can _______ your product or services.
The grouping of people for marketing purposes is called _______.
Once you find out what people want, there’s a need to know the _______ for their choices.
Market research can help you strategize your business and marketing goals.
Primary research is more specific and tailored to your specific needs than secondary research.
Your first marketing priority is to find out if you can sell your product or services.
The grouping of people for marketing purposes is called segmentation.
Once you find out what people want, there's a need to know the motivations for their choices.
Market research plays a critical role in shaping business and marketing strategies by providing valuable insights into customer preferences, market trends, and competitive landscapes. It helps in identifying target markets, understanding customer needs, and developing effective strategies to achieve business and marketing goals.
By conducting research, businesses can gather data and information to inform their decision-making and ensure that their goals are aligned with customer expectations and market opportunities.
Primary research involves gathering firsthand data directly from the source, such as through surveys, interviews, or observations. It is more specific and focused on the unique needs and objectives of a particular study. Secondary research, on the other hand, involves using existing data and information from published sources.
While secondary research provides a broader understanding of a topic, primary research allows for more control and customization of the research process to address specific research objectives.
When launching a new product or service, one of the primary marketing priorities is to determine if there is a demand for it in the market.
Market research helps in assessing the viability and potential success of a product or service by gathering insights on customer preferences, needs, and market conditions. This information enables businesses to make informed decisions about product development, positioning, pricing, and marketing strategies.
Segmentation is the process of grouping individuals with similar characteristics or behaviors into distinct segments for marketing purposes.
By segmenting the market, businesses can target specific groups that are most likely to be interested in their products or services. Market segmentation allows for more personalized and targeted marketing strategies, resulting in better customer engagement and increased marketing effectiveness.
Once businesses identify what people want through market research, it becomes crucial to understand the motivations behind their choices. This involves delving deeper into the underlying reasons, preferences, and factors that drive consumer behavior.
By understanding the motivations behind consumer choices, businesses can tailor their marketing messages, product features, and overall customer experience to better align with customer needs and increase the chances of success in the market.
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Money given to students for college expenses that does not need to be paid
back is called
O A. a loan
OB. a scholarship
OC. work-study
OD. a 529 plan
The money given to students for college expenses that does not need to be paid back is called a scholarship. Option b is correct.
Money given to students for college expenses that does not need to be paid back is called a scholarship. Scholarships are a form of financial aid awarded to students based on a variety of factors, such as academic merit, athletic ability, or financial need.
Unlike loans, scholarships do not have to be repaid, making them a desirable option for students who want to minimize their student loan debt. Scholarships can come from a variety of sources, including universities, private organizations, and government agencies. Applying for scholarships often requires submitting an application and meeting specific eligibility criteria, such as maintaining a certain GPA or demonstrating financial need. Option b is correct.
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describe the features of a religious person
When classifying debt securities, what is the difference between Trading Securities (TS),
Held-to-maturity (HTM), and Available-for-sale (AFS)? And are there differences in these securities when recording journal entries?
HTM Securities, which the board has the goal and capacity to hold until development, are conveyed at amortized cost. AFS protections are conveyed at fair worth and hidden gains and misfortunes .
What Are Held-to-Development (HTM) Securities?Held-to-development (HTM) Securities are bought to be possessed until development. For instance, an organization's administration could put resources into a bond that they intend to hold to development. There are different bookkeeping medicines for HTM protections contrasted with protections that are sold temporarily.
HTM protections are normally revealed as a noncurrent resource; they have an amortized cost on an organization's fiscal summaries. Acquired revenue pay shows up on the organization's pay explanation, however changes in the market cost of the venture don't change on the association's bookkeeping proclamations.
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If Amelia would like to double her money in twelve years, how much interest does she need to earn O 12 percent O 16.6 percent O 6 percent 10 percent
Out of the given answer choices, the interest rate that Amelia needs to earn to double her money in twelve years is 16.6 percent.
To find out how much interest Amelia needs to earn to double her money in twelve years, we need to use the compound interest formula.
This formula is used to determine the future value of an investment based on the principal, the interest rate, the number of compounding periods, and the time involved.
The formula is as follows: FV = PV x (1 + r/n)^(n*t)where FV = future value, PV = present value (the amount of money Amelia currently has), r = annual interest rate, n = number of times the interest is compounded per year, and t = time in years.
To double her money, Amelia needs to have a future value that is twice her present value. Therefore, we can set FV = 2PV and solve for r.
2PV = PV x (1 + r/n)^(n*t)Dividing both sides by PV, we get:2 = (1 + r/n)^(n*t)
Taking the natural logarithm of both sides, we get: ln(2) = ln[(1 + r/n)^(n*t)]
Using the power rule of logarithms, we can simplify the right side of the equation to ln(2) = (n*t) ln(1 + r/n)
Dividing both sides by (n*t), we get:ln(2) / (n*t) = ln(1 + r/n)
Finally, we can solve for r by raising both sides as the power of e: e^(ln(2) / (n*t)) = 1 + r/n
Subtracting 1 from both sides and multiplying by n, we get:r = n x (e^(ln(2) / (n*t)) - 1)
Plugging in the values given, we get:r = n x (e^(ln(2) / (n*12)) - 1)
We don't know the value of n, so we can try each of the answer choices to see which one gives us a value of r that works.
Using a financial calculator or a spreadsheet program like Excel, we can calculate the values of r for each interest rate.
Using 12 percent: r = 1 x (e^(ln(2) / (1*12)) - 1) = 0.0956 or 9.56 percent
Using 16.6 percent: r = 1 x (e^(ln(2) / (1*12)) - 1) = 0.1407 or 14.07 percent
Using 6 percent: r = 1 x (e^(ln(2) / (1*12)) - 1) = 0.0488 or 4.88 percent
Using 10 percent: r = 1 x (e^(ln(2) / (1*12)) - 1) = 0.0794 or 7.94 percent
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57. Mark Green is considering buying a new Honda Accord. The purchase price of the car is $21,000 but Mark has a trade-in worth $4500. Mark needs a loan to buy the car and knows that his local bank requires him to put down 10% of the purchase price after the value of the trade-in is considered. Mark also knows that bank will charge 8% for the loan and require monthly payments over the next 4 years. What is the size of Mark‟s monthly payments if he makes the minimum down payment on the car?
Note that , Mark's monthly payments will be approximately $335.89 if he makes the minimum down payment on the car.
How is this so?Given
Loan amount - $14,850
Loan term - 48 months
Interest rate - 0.0067 per month(8 % annual rate divided by 12 months)
Using the formula for a fixed- rate loan,the monthly payment (P) can be calculated as follows:
P = (Loan Amount * Monthly Interest Rate) /(1 - (1 + Monthly Interest Rate)^(-Number of Months))
P = ($ 14,850 * 0.0067) /(1 - (1 + 0.0067)^(-48))
computing we have
P = ($99.50) / (1 - (1.0067)^(-48))
P = ($99.50) / (1 - 0.7035)
P = ($99.50) / (0.2965)
P ≈ $335.89
Therefore, Mark's monthly payments will be approximately $335.89 if he makes the minimum down payment on the car.
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Place each item in the correct category: (1) affects long-run aggregate supply (LRAS) or (2) does not affect LRAS.
Items (5 items) (Drag and drop into the appropriate area below)
technologythe price levelresourcesinstitutionsexpected future prices
Categories
Affects LRAS
Drag and drop here
Doesn't affect LRAS
Capital, labor, and technology are the only variables that affect the aggregate supply curve over the long term. The curve may shift to the right as a result of increased capital, more labor availability, and improved technology since it is vertical in the long term.
What affects long run aggregate supply?
Changes in input prices cause the SRAS curve to vary, but the LRAS curve stays at the full-employment output level regardless of input price changes. In the case of the SRAS, there is a brief boost in output as the price rises.
The long-run aggregate supply (LRAS) curve depicts the connection between price level and real GDP that would exist if all prices, including nominal wages, were completely flexible. Along the LRAS, prices can move, but production cannot since it represents the output at full employment.
The LRAS curve is vertical as opposed to the upward-sloping SRAS curve since all expenses adjust over enough time.
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ABC reports income tax expense of $800,000. Income tax payable at the beginning and end of the year are $50,000 and $70,000, respectively. What is the amount of cash paid for income taxes
Answer: $780,000
Explanation:
Income taxes paid for the year are:
Cash paid for income taxes = Beginning income tax payable + Income tax expense - Ending income tax payable
= 50,000 + 800,000 - 70,000
= $780,000
in a survey of companies, it was found that 45 were in the mining sector, 72 were in
the financial sector, 32 were in the IT sector and 101 were in the production sector,
Answer:
0.288
0.308
Explanation:
Given :
Mining sector = 45
Financial sector = 72
IT sector = 32
Production sector = 101
Total number of companies :
(45 + 72 + 32 + 101) = 250
A.)
Probability that a randomly selected company is in the financial sector
Recall :
Probability = required outcome / Total possible outcomes
P(company = financial) = (number of companies in financial sector / total number of companies)
P(company = financial) = 72 / 250 = 0.288
B.)
Company is either a mining or IT company :
P(company = Mining or IT) = (number of mining + number of IT Companies) / total number of companies
P(company = Mining or IT) = (45 + 32) / 250 = 77 / 250 = 0.308
A financial institution wants to know who is most likely to use their credit card. Which is the best way to segment customers?
As the financial institution wants to know who is most likely to use their credit card, the best way to segment the customers is by amount of debt. The Option B is correct.
What is a customer segment?In marketing, in order to provide the customers with more relevant experiences, the market segmentation divides them into distinct groups based on shared traits, habits, or interests.
The 4 primary categories of market segmentation includes geographic, psychographic, behavioral, and demographic; however, there are many other tactics you can employ, as well as countless variants on the four primary types.
Missing options "A. By number of credit cards B. By amount of debt C. By credit score D. By amount of savings.
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Which of the following would NOT be considered an acceptable option in managing capacity when demand exceeds available service capacity?
1.Cross-training and sharing employees
2.Utilizing technological tools like computers and automated systems
3.Utilizing fewer facilitating products
4.Using customers to provide services
The option that could not be considered an acceptable option in managing capacity when demand exceeds available service capacity is:
3) Utilizing fewer facilitating products.
What is managing capacity?
Managing Capacity refers to a wide range of planning actions used to ensure that a business infrastructure has enough resources to maximize its potential activities and output under any circumstances.
Capacity management theory describes the actions taken in planning, IT monitoring, and administration to ensure that information technology resources have the capacity to handle data processing requirements throughout the service lifecycle.
The ultimate goal of capacity planning management is to balance costs incurred versus resources required, as well as supply versus demand. The managing capacity procedure addresses performance, memory, and physical space and should include hardware, human resources, networking equipment, peripherals, and software in both the operational and development environments.
Therefore, The option that could not be considered an acceptable option in managing capacity when demand exceeds available service capacity is:
3) Utilizing fewer facilitating products.
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How are bonds a safer investment than stock?
A. Bonds are safer because they are loans with a guaranteed interest rate for return
B. Bonds are sager because they are paid with with taxes
C bonds are safer because they are paid by the stock market
D bonds are safer cause they qre assets with gauranteed return from the government
Can be mutiple answers
Answer: D and B
Explanation:
The stock market is where you invest where you want to and hope the money will grow bigger by the company growing bigger. Bonds are you paying a certain amount of money and the government will pay back a little back at a time so if the government doesn't pay which is very unlikely is the reason why bonds are safer.
An adjustable-rate mortgage (ARM) is another common type of mortgage. Determine whether each factor is a pro or
a con of an ARM, and place it in the correct category.
The determination of each factor as a pro or a con of an ARM is as follows:
Pros of Adjustable-Rate Mortgagesc) lower interest rates are possible
e) low beginning interest rate
Cons of Adjustable-Rate Mortgagesa) riskier than fixed-rate mortgages
b) higher payments possible
d) interest rates can be raised
What is an Adjustable-Rate Mortgage (ARM)?An adjustable-rate mortgage (ARM) is a mortgage loan with no fixed interest rate.
The interest rate of an adjustable-rate mortgage is variable, depending on the market forces.
One great advantage of an ARM is that it may attract a lower interest rate initially.
However, the interest rate can skyrocket, thereby, increasing its risk.
Thus, for the borrower, the disadvantages (cons) outweigh the pros (advantages) of an adjustable-rate mortgage.
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Question Completion:a) riskier than fixed-rate mortgages
b) higher payments possible
c) lower interest rates possible
d) interest rates can be raised
e) low beginning interest rate
which ethical principle reflects the idea that everyone is granted a moral norm of society
Individual right is the ethical principle that reflects the idea that everyone is granted a moral norm of society.
The three distinct types of ethical principles are:
UtilitarianismIndividual rights Distributive justiceIndividual rights show the belief that everyone has entitlements that let him/her act in a certain way.
The individual rights principle includes more than legal rights; it also includes human rights that everyone is granted as a moral norm of society
Some of the individual rights are:
Freedom of movement,Physical security Freedom of speechFair trialFreedom from torture.Therefore, the ethical principle that reflects the idea that everyone is granted a moral norm of society is Individual right.
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Corbel Corporation has two divisions: Division A and Division B. Last month, the company reported a contribution margin of $41,600 for Division A. Division B had a contribution margin ratio of 45% and its sales were $271,000. Net operating income for the company was $34,000 and traceable fixed expenses were $59,100. Corbel Corporation's common fixed expenses were:
Answer:
$5,000
Explanation:
common fixed expenses = Contribution Margin - Net Income - traceable fixed expenses
= $41,600 + $121,950 - $34,000 - $59,100
= $70,450
Corbel Corporation's common fixed expenses were, $70,450
EXERCE1 Diffrentiate the legelities of private law and public law.
The main difference between the two is that private law deals with the relationships between individuals, while public law deals with the relationship between individuals and the state.
Private law covers matters such as contracts, property rights, and torts. It provides a framework for individuals to conduct their personal and business affairs, ensuring that everyone is held accountable for their actions. Private law is enforced through the civil courts, where individuals can seek redress for any wrongs that have been committed against them.
Public law, on the other hand, deals with matters that affect society as a whole. It includes constitutional law, administrative law, and criminal law.
Public law sets out the rules and regulations that govern the relationship between individuals and the state, as well as the relationship between different branches of government. It is enforced through the criminal justice system, where individuals can be prosecuted for breaking the law.
In summary, the main difference between private law and public law is that private law governs the relationship between individuals, while public law governs the relationship between individuals and the state. Both are essential for maintaining order and ensuring that everyone is held accountable for their actions.
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Robinson's has 34,000 shares of stock outstanding with a par value of $1.00 per share and a market price of $50 a share. The balance sheet shows $34,000 in the common stock account, $455,000 in the paid in surplus account, and $410,000 in the retained earnings account. The firm just announced a 2-for-1 stock split. How many shares of stock will be outstanding after the split?
Answer:
The number of shares after the split is 68,000 shares
Explanation:
The computation of the number of shares of stock will be outstanding after the split is shown below:
= Oustanding shares × stock split ratio
= 34,000 shares × 2 ÷ 1
= 68,000 shares
hence, the number of shares after the split is 68,000 shares
We simply applied the above formula
And, the same is to be considered
explain one role of the forms of ownership in developing the economy
Answer:
Sole Proprietorship
Explanation:A sole proprietorship is when there is a single fouder who owns and runs the business.
Hope this helps you!!
A common form of ownership in developing countries is the sole proprietorship.
A sole proprietorship is someone who owns a business and runs the business on his own. In this form of ownership, there's no legal distinction between the owner and the business. Example of sole proprietorship is a barber, a trader etcA sole proprietorship is easy to start, it ha fewer registration fees and it's a simplified business ownership. In developing countries, there are several business owners who are sole proprietors. They sell goods and provide services to the public.Some of the disadvantages of the business ownership include:
Limited capitalLack of continuityManagement skills are limited.Read related link on:
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the current economic expansion, which has been continuously occurring since the end of the financial crisis of 2008, is the longest-running sequence of quarters of positive economic growth in us history, and therefore can appropriately be credited to the fiscal policies of the obama administration and to the monetary policy of the federal reserve board under yellen's leadership.
The correct answer to the given statement in question about Economic expansion is True.
The federal reserve board's monetary policy under Janet Yellen and the fiscal policies of the Obama administration are to blame for the current economic expansion, which has been ongoing since the end of the financial crisis of 2008 and is the longest-running run of positive economic growth in US history. The business cycle stage known as expansion occurs when real gross domestic product (GDP) increases for two or more consecutive quarters, going from a low point to a high point. Expansion, which is often known as an economic recovery, is frequently followed by an increase in employment, consumer confidence, and equities markets.
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Q1: What are the strategically relevant components of the pizza
restaurant segment of the U.S. quick service restaurant industry
macro-environment?
The strategically relevant components of the pizza restaurant segment of the U.S. quick service restaurant industry macro-environment are as follows:
Technological advancements: In recent years, the pizza industry has seen technological advancements, including the ability to place online orders, which can result in increased customer convenience. Many pizza restaurants have mobile apps that customers can use to order food, making it easier to use their services. Online advertising has also been used by pizza restaurants to reach new customers.
Environmental factors: Pizza restaurants need to consider the effect of weather changes on sales. Extreme weather events can affect sales as people tend to avoid ordering food when they cannot go out of their homes. Pizza restaurant owners need to evaluate how they will deal with such instances.
Demographic factors: Demographics play a crucial role in the success of pizza restaurants. The pizza restaurant industry targets a broad range of customers and has a significant customer base among younger customers. In recent years, there has been an increase in health-conscious customers, leading to changes in the pizza industry, including the addition of new healthy menu items.
Socio-Cultural factors: The pizza industry has experienced increased competition from new entrants such as gourmet pizza restaurants. The preference of customers for the type of pizza and the eating experience has also changed. People prefer pizzas that are customized to their taste buds, including the type of crust and toppings.
Political/Legal factors: Pizza restaurants need to comply with government regulations such as health and safety standards, as well as taxes. The pizza industry is also affected by regulations on labor practices and food labeling requirements.
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Lala Company accounts for noncurrent assets using the cost model. On October 1, 2019, Lala classified a noncurrent asset held for sale. At that date, the asset’s carrying amount was P1,600,000, its fair value was estimated at P1,100,000 and the cost to sell at P100,000. On December 15, 2019, the asset was sold for net proceeds of P925,000. What amount should be included as an impairment loss in Lala’s statement of comprehensive income for the year ended December 31 ,2019?
Answer:
you add 1,600,000 + 1,100,000=2,700,000 - 100,000=2,600,000+925,000= your finally answer is 3,525,000
Explanation:
Answer:
3,525,000
Hope this helps! Good luck! :)
Company X sent Company Y a letter as an offer to sell 10 tons cotton for US$200,000.
After receiving the letter, Company Y immediately sent a telegram to Company X
purporting to accept the offer. However, the telegram company erroneously delivered
the telegram to Company Z. Five days later, the market price of cotton increased a lot.
Company X mailed a letter to company Y to revoke the original offer. The letter of
revocation was received by Company Y. Is there any contract between Company X and
Company Y?
There is no contract between Company X and Company Y. In order for a contract to be valid, there must be an offer, acceptance, and consideration, but in this case, there was no acceptance because the telegram did not reach the offeror and the offer was withdrawn before acceptance was communicated to the offeror.
According to the case study presented, there is no valid contract between Company X and Company Y. The reason is that acceptance must be communicated to the offeror and the acceptance must be received by the offeror. In this case, Company Y's purported acceptance was not received by Company X because it was erroneously delivered to Company Z.
Moreover, the general rule is that a revocation is effective upon receipt. Therefore, since Company Y received the revocation letter from Company X, it means that Company X has withdrawn the offer. Therefore, there is no contract between Company X and Company Y.
To conclude, in order for a contract to be valid, there must be an offer, acceptance, and consideration, but in this case, there was no acceptance because the telegram did not reach the offeror and the offer was withdrawn before acceptance was communicated to the offer.
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what is the last step in finding a solution to a problem?
A. choose a solution and try it
B. ignore the problem and it will go away
C. think about ways to solve the problem
D turn the problem into a question
Answer: d
Explanation: hope it helps
Answer:
Choose a solution and try it.
Explanation:
I just finished this lesson and my answer was correct ;}
Which of the following is included in a business case for a
project?
Risks
O Benefits
O Expectations
O Requirements
Benefits is included in a business case for a project. Hence, option B is correct.
What is a business case?An executive summary, financial data, an analysis, and dangers are all included. Any industry might utilize it for a business case. Before meeting to discuss the project in more detail, sending this concise overview to important stakeholders is a wonderful idea.
For writing a business case, the majority of firms use a standard template. Business cases describe the problem, the idea, its financial impact, and implementation concerns such as risks, opportunities, resource requirements, and measurement methods.
Thus, option B is correct.
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Do you think that MTV’s future lies mostly in its international operations?
Answer:
\(6 \times y { \sqrt{ > 2fube} }^{2} \)
In 2005, BridgePort Brewing Company expanded sales of its BridgePort India Pale Ale, and BridgePort Black Strap Stout into Alabama, Georgia, Kansas, Minnesota, Missouri, North Carolina, Oklahoma, Tennessee and Texas. These states will join BridgePort's current distribution markets of Alaska, Arizona, California, Colorado, Idaho, Montana, New Mexico, Oregon, and Washington. When the brewery allocated resources to increase its production and distribution, it would have relied on which of the following management functions?
Answer: organizing
Explanation:
When the brewery allocated resources to increase its production and distribution, the management function that it'll have relied on is organizing.
First and foremost, we should note that the management functions usually include:
• planning,
• organizing,
• leading, and
• controlling.
The organizational skills is vital in order for the company to runs smoothly. Organizing has to do with the establishment of internal processes in order to know the workers that fits a particular position.
Also, the management makes sure that everyone are organized and that workers are working hard towards the accomplishment of company's goals.
Predatory pricing is considered an anti-competitive practice, and is considered illegal under competition laws. Which of the following best describes predatory pricing?
A. Predatory pricing requires one company to aquire the assets of another.
B. One business chooses to put another out of business by pricing its product below the level another competing business must be at to make a profit.
C. Predatory pricing occurs when a firm colludes with one or more firms to fix prices or output.
D. Predatory pricing is when a business sends someone out to change the price of another company's product so it is higher than its own.
Answer:
B
Explanation:
Predatory pricing is when a company sets the price of its goods or services too low with the aim of eliminating the competition. Predatory pricing is illegal and it violates antitrust law.
Predatory pricing occurs when a firm colludes with one or more firms to fix prices or output. This is an example of collusion and they usually occur in an oligopoly
How does a mechanic's lien assist creditors?
Write a pin introducing yourself to the class, and addressing one or more of the following questions.
[NOTE: do not feel that you have to post a response to ALL of these questions - just select one or more to which you'd like to provide a response.]
1) How would each of the three views assess the U.S. corporations' practice of offshoring their manufacturing operations to lower cost locations? Is it wrong for international managers to do this?
2) From the "Uber" mini-case in the Hill & Hult textbook: what are the pros/cons of Uber's Global Strategy? What could Uber have done differently?
3) From the "Boeing" mini-case in the Hill & Hult textbook: Do you think that Boeing's most recent decision to rethink its outsourcing strategy is correct?
4) From the "Medical Tourism" mini-case in the Hill & Hult textbook: What are the benefits to American medical providers of outsourcing certain well-defined tasks such as interpreting an MRI scan to foreign providers in countries such as India? What would Economic Nationalists in the United States say about this? How would Liberals defend this practice?
Based on my own opinion, i will say that From the "Boeing" mini-case in the Hill & Hult textbook, I do think that Boeing's most recent decision to rethink its outsourcing strategy is correct.
Why did Boeing restructure and outsource the project operations?The reason for the outsource is so that they can lower the costs and and the time spent on development.
Note that Boeing was known to have created about 787 through the use of a system that is said to be an unconventional three-tier supply chain.
Note that The implementation of this was said to have led to a substantial increase in outsourcing.
Hence, Based on my own opinion, i will say that From the "Boeing" mini-case in the Hill & Hult textbook, I do think that Boeing's most recent decision to rethink its outsourcing strategy is correct.
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Here are selected 2022 transactions of Akron Corporation.
Jan. 1 Retired a piece of machinery that was purchased on January 1, 2012. The machine cost $ 62,000 and had a useful life of 10 years with no salvage value.
June 30 Sold a computer that was purchased on January 1, 2020. The computer cost $ 36,000 and had a useful life of 3 years with no salvage value. The computer was sold for $ 5,000 cash.
Dec. 31 Sold a delivery truck for $ 9,000 cash. The truck cost $ 25,000 when it was purchased on January 1, 2019, and was depreciated based on a 5-year useful life with a $ 4,000 salvage value.
Required:
Prepare a tabular summary to record all transactions described on the above dates.
The journal entries for the above transactions include:
Date Account title Debit Credit
Jan. 1 2022 Accumulated depreciation $62,000
Machinery $62,000
__________________________________________________________
Date Account title Debit Credit
June 30 Depreciation $6,000
Accumulated Depreciation $6,000
Accumulated Depreciation $30,000
Cash $5,000
Loss on sale of computer $1,000
Computer $36,000
Working
Yearly depreciation:
= Cost / Useful life x 6/12 months in the year
= 36,000 / 3 x 6/12
.= $6,000
Accumulated depreciation so far:
= Depreciation for 2020, 2021 and half of 2022
= 12,000 + 12,000 + 6,000
= $30,000
Loss on sale:
= Selling price - (Cost - accumulated depreciation)
= 5,000 - (36,000 - 30,000)
= -$1,000
__________________________________________________________
Date Account title Debit Credit
Dec 31 Depreciation $4,200
Accumulated depreciation $4,200
Cash $9,000
Accumulated depreciation $16,800
Gain on sale of delivery truck $800
Delivery truck $25,000
Working
Depreciation:
= (Cost - salvage value) / Useful life
= (25,000 - 4,000) / 5
= $4,200
Accumulated depreciation:
= Depreciation x 4
= 4,200 x 3
= $16,800
Gain on sale:
= Selling price - (Cost - accumulated depreciation)
= 9,000 - (25,000 - 16,800)
= $800
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