A restaurant owner who had yet to earn a monthly profit said, “The busier we are, the morewe lose.” What do you think is happening in terms of contribution margin?
Q: Three companies have prov Item Company A Company B Company C Capital Investment $100,000 $150,000…
A: Annual worth analysis can be defined as the equivalent uniform annual worth of all estimated inflows…
Q: Firenza Company manufactures specialty tools to customer order. Budgeted overhead for thecoming year…
A: Activity based costing is that type of costing method under which all indirect costs and overhead…
Q: 12. Select the statement that is incorrect concerning the appropriations of retained earnings.
A: Appropriation of retained earnings means retained earnings that are earmarked or set aside for some…
Q: 6. Quebec Corporation, a calendar-year company, had sufficient retained earnings in 2012 as a basis…
A: Dividend means the amount given to shareholder of the company as profit distribution by company.…
Q: 11. Assuming that the issuing company has only one class of share capita transfer from retained…
A: stock split means reducing the value of share in order to increase the number of share outstanding…
Q: 4. Marty Byrde is the sole owner of Ozark Co. During the tax year he received both distributions and…
A:
Q: QUESTION #2 Imagine that households buy $3million worth of cars from firms. Show how the balance…
A: The purchase of cars by households will have a series of impacts on various economic entities…
Q: $1: Advance rentals representing option money as well as security deposits to insure faithful…
A: Here given the details of the lessor and lessee in terms of the obligation of taxable income for…
Q: Provide the objectives for a successful audit program according to ISO9001:2015
A: An audit program according to ISO 9001:2015 is the one which involves commitments, responsibility…
Q: Which of the following is not true of passive activities? Material participation and active…
A: Active and material participation is not the same thing as active participation is less stringent…
Q: Ella Ltd purchased 20% of the shares of Monica Ltd on 1 January 20x2 for cash of $500,000. This…
A: Solution: Monica ltd is strongly influenced by Ella ltd. As a result, Monica Limited has associate…
Q: Annuity payments received by a taxpayer represent a part which is taxable and non taxable. Which of…
A: Annuity means a series of payments being paid or received in particular period of time and a fixed…
Q: The following relates to financial projections of ABC Co. for 2019: Suppose that, in 2024, ABC’s…
A: The question is based on the concept of Cost Accounting.
Q: The City of Bernard has property tax $500,000 in 2020. Receivables at year-end: Property taxes…
A: Lets understand the basics. For calculating property tax receivable at year end, we need to use…
Q: On Sept. 1, 2021, Entity A, a private university, receives P 1,000,000 cash as government grant…
A: Government grant means the amount received from government free of cost . It is received by…
Q: Write short notes on the assumptions that need to be considered while preparing a financial…
A: The organization and operation of a business are defined by key accounting assumptions. They…
Q: The following transaction relate to the month of June 2020 and is taken from the books of…
A: Ledger Control Account It is important for the business entity to prepare the ledger control account…
Q: Montana Incorporated began the year with a retained earnings balance of $50,000. The company paid a…
A: Introduction: Retained Earnings: Retained earnings are shareholders funds. Part of profits are…
Q: Popoy Corporation (PC) purchased all the common shares of Sia Company (SC) on January 1, 20X1, for…
A:
Q: On Jan. 1, 2020, Fighter Company granted Jeremiah, the president, 20,000 share appreciation rights…
A: Compensation expense is the amount of expense which is to be recognised by the company for issuing…
Q: Answer the following question(s) using the information below. The following information pertains to…
A: Introduction Breakeven point is the level of sales at which company's profit is zero.
Q: please quickly thanks !give me correct answer !single c
A: The allocation of fixed overhead is done based on the normal capacity of production. factory…
Q: Weighted Average Shares At the beginning of 2019, Hardin Company had 330,000 shares of $10 par…
A: A corporation's shares are units of equity ownership. Shares exist as a financial asset for some…
Q: If a tenant fixes an item in a rental and takes a deduction from the rent to reimburse themselves,…
A: As per the basic accounting rules, each and every item whether it may be income or expense must be…
Q: urther Decision, Alternatives, Relevant Costs
A: A company is available with different-different options from time to time. To make profits at a good…
Q: Emma Company revealed the following errors in the financial statements: 500,000 800,000 250.000…
A: Computation of effect of the errors on net income for 2020: Amount 2020 inventory understated…
Q: financial plan which serves as a framework of accounts A. Appropriation act B. Budget C.…
A: Introduction:- A financial plan is the heart of any business. It gives clear financial picture of…
Q: £30 million in cash from operations (CFO), £6 million in after-tax interest expense that it treats…
A: Free cash flow = cash flow from operating activities + interest expense - tax shield on interest…
Q: 1. In 2021, Donald transferred $150,000 to an irrevocable trust that pays equal shares of income…
A: In this question, Donald has irrevocable trust on their three nephews for next five years. After…
Q: Given the following information, compute the current ratio Cash $ 120,000 Accounts receivable…
A: Introduction: Current ratio: Division of current liabilities with current Assets derives the Current…
Q: A moral or legal obligation to ensure the safety or well-being of others Could be defined as duty of…
A: The auditors has no duty to Resolve the client's staffing issues because it is in now way related…
Q: es Shown here is an income statement in the traditional format for a firm with a are shown: Revenues…
A: Since we answer up to three subparts, we will answer the first three. Please resubmit the question…
Q: Bank A Bank B 750,000 Total assets Total loans 950,000 8,000 18,500 Total reserves 40,000 8,000…
A: Formula of return on equity: Return on Equity=Net IncomeTotal Equity Formula of return on assets:…
Q: Recording Entries for Bonds with Warrants Harley Corporation issued $150,000 of 6%, 10-year,…
A: Issue size = $150,000 No. of bonds issued = Issue size/Face value of bond ($150,000/$1,000) = $150…
Q: Hendry Limited produces a mini-kitchen called Town Cook, which is enjoying extensive popularity…
A: Lets understand the basics. There are two type of costing method follows by the entity which are,…
Q: Katayama Company produces a variety of products. One division makes neoprene wetsuits. Thedivision’s…
A: Hi student Since there are multiple subparts, we will answer only first three subparts.
Q: Inc. (SII) developed standard costs for direct material and direct labour. In 2019, SII estimated…
A: If the actual rate is more than the standard rate than the rate variance is unfavorable , if however…
Q: During the 2021 annual audit of ABC Company, you identified that management did not accrue / record…
A:
Q: 3. Use the same information given in Problem 1. The retirement of the 2,000 preference shares would…
A: The retirement of shares means that the shares are cancelled and related premium or par capital…
Q: 11. Assuming that the issuing company has only one class of share capital transfer from retained…
A: Share split do not changes the overall contributed capital. Only the issued shares number is…
Q: b. Batch-level activity center. d. acility-le ity center. 27. Lilium Company uses activity-based…
A: "Since you have asked multiple questions, we will solve first question for you. If you want any…
Q: Keller Corporation (the lessee) entered into a general equipment lease with Dallo Company (the…
A: GIVEN Keller Corporation (the lessee) entered into a general equipment lease with Dallo Company…
Q: Statement 1: The importation of agricultural machineries by farmers are exempt Statement 2: The…
A: The importation of agricultural machineries by farmers are not exempt from VAT The importation of…
Q: Question Content Area 1. Reformulate the segmented income statement using the additional information…
A: As per our protocol we solution to the one question only but as you have asked multiple questions…
Q: Which of the following dividend income is tax exempt? Dividend income received from
A: As per BIR, Dividend received by domestic or resident foreign corporation from another domestic…
Q: 13. A holder of a redeemable preference share can * a. purchase treasury shares any time at the…
A: Redeemable preference shares are those shares which can be redeemed or being settled by the company…
Q: During 2018 a company sells backpacks at 535 each. The contribution margin ratio is 12%. The company…
A: The break even sales are calculated as fixed cost divided by contribution margin ratio. Break even…
Q: Nutterco, Inc., produces two types of nut butter: peanut butter and cashew butter. Of the two,…
A: Introduction Activity based income statement determines operating income buy taking all overheads to…
A restaurant owner who had yet to earn a monthly profit said, “The busier we are, the more
we lose.” What do you think is happening in terms of contribution margin?
Step by step
Solved in 2 steps
- RAJIV: I heard the HR manager say that they offer two supplemental plans, but I only wrote down the profit-sharing plan. Under this type of plan, your account does not depend on the company's performance. This is because when profits are low, the company makes larger less do not set depends _smaller contributions to the plan, and when profits are high, it pays more. However, employers maximum amounts to be paid as contributions. What is the other plan? ERISA SIMONE: The other plan she mentioned is the traditional 401(k) plan the Pension Protection Act RAJIV: Because our employer is a big Fortune 500 company, our plan is voluntary. It takes everyone's in company stock. set RAJIV: Agreed. Thanks for helping me complete my notes! benefits contributions minimum and and heavily invests i SIMONE: Well, I think I have my notes complete. I may need to clarify a few things that will apply just to me, vesting, profit-sharing percentages, and retirement age.Day Street Deli’s owner is disturbed by the poor profit performance of his ice cream counter.He has prepared the following profit analysis for the year just ended: he owner is thinking the elimination of this counter. If it is eliminated then: ✓ Depreciation of counter equipment is avoidable ✓ The supervisory salaries is avoidable✓ The insurance expense is unavoidable ✓ The depreciation of building unavoidable ✓ The general overhead is unavoidable Required:a) Should the company eliminate the counter or not? Show your calculations and justify your answer.b) Mention at least three relevant costs.A manager in your organization just received a special order at a price that is “below cost.” The manager points to the document and says, “These are the kinds of orders that will get you in trouble. Every sale must bear its share of the full costs of running the business. If we sell below our full cost, we'll be out of business in no time.” What do you think of this remark?
- You are the owner of your own company. You want to employ new workers and also buy a delivery van. Finally, you decide to employ new workers instead of buying a deliver van. Which economic concept is implicit in the above statement? Economic cost Accounting cost Opportunity cost Marginal costSuppose the fixed expenses of a travel agency increase. What will happen to its break-even point, measured in number of clients served? Why?You are a manager of a car dealership. What is the benefit in paying a lower salary with commission to your employees, instead of a high salary with no commission?
- Pick only one option: The owner of Tommy's Technicians has found that his shop is losing money and he is in jeopardy of going out of business. Sales have remained constant for quite some time and now he is looking at ways to cut expenses to stay in business. Which of the following expenses is his best choice to try to immediately reduce and save him meaningful dollars so he can remain in business? (Hint: First consider which ones he has ultimate control over?) Rent expense Utilities expense Payroll expense Shop insurance expense Advertising expenseAll else being equal, if an average family's income were to decrease because of the elimination of a marginal source of income like weekly overtime work, what types of goods might be more in demand? Choose any that apply A. Gasoline B. Cheaper varieties of food C. Off-brand jeans D. Fine dining at expensive restaurants8) What is the best way for a small consulting company to increase its sales? Select an answer: Stop paying taxes. Charge customers more money for the same service. Raise the commission rate for all of the sales force. Move its offices to a new location.
- Suggest some ways that the restaurant chain or other small businesses can offset the increase in payroll and subsequent decrease in profit as a result of the minimum wage hike.Even though Kenworth has a positive contribution margin, DJ’s managers are evaluating whether DJ should (a) make and sell only Peterbilt or (b) make and sell both Peterbilt and Kenworth. Which alternative will maximize DJ’s operating income? Show your calculations.Ellie Ice-cream’s owner is disturbed by the poor profit performance of his ice cream counter. He has prepared the following profit analyses for the year just ended: The owner is thinking the elimination of this counter. If it is eliminated then: Depreciation of counter equipment is avoidable The supervisory salaries is avoidable The insurance expense is unavoidable The depreciation of building unavoidable The general overhead is unavoidable Required:a) Should the company eliminate the counter or not? Fill in the table and justify your answer. b) Mention at least three relevant costs.