Answer:
$232,500
Explanation:
The computation of the amount of expected cash outflows for selling and admin expenses is shown below:
Utilities expense $2,500
Administrative salaries $100,000
Sales commission ($800,000 × 5%) $40,000
Advertising $20,000
Rent on administrative building $60,000
Miscellaneous administrative expenses $10,000
Total budgeted cash sales and administrative expenses $232,500
We added those expenses which affect the cash balance i.e decrease in cash balance so that the correct amount could arrive
All other items are not relevant. hence,ignored it
The company used straight line depreciation based on number of units produced. This can be shown as follows:
Cost = $100,000
Life = 5 years or 18,000 units
Salvage value = $10,000
By straight line method;
Depreciation cost per unit = (100,000-10,000)/18,000 = $5
After producing 4,400 units, depreciation expense = 4,400*5 = $22,000.
All of the following are good financial savings strategies EXCEPT "saving for an emergency fund, then paying off credit debt".
<u>Option: B</u>
<u>Explanation:</u>
An effective financial system can encourage savings by offering simple and convenient exposure to suitable savings tools provided at reasonable price by high-quality, reputable institutions. The emergency funds through your earning years can be extremely valuable, if you lose your job or are unable to work due to a temporary injury or after retirement, so you need cash to cover your regular bills.
Here saving for emergency fund, then paying off credit card is blunder idea, because interest rate may become huge load, and if not paid and simultaneously retirement or any tragedy take place which donot permit to continue job than there will be burden from two sides i.e paying regular bills and credit card's principal amount with interest.
Answer:
only one more year
Explanation:
Your income for the current year (year₀) = $75,000
Next year's income (year₁) = $75,000 x 1.2 = $90,000
Year 3's income (year₂)= $90,000 x 1.2 = $108,000
You will only be able to contribute to a ROTH account during the next year (year₁), since your income for year₂ will be higher than $95,000.
Answer:
(a) An employee’s monthly credit card payments are nearly 75% of her monthly earnings. select a fraud triangle factor. Financial pressure.
(b) An employee earns minimum wage at a firm that has reported record earnings for each of the last five years. select a fraud triangle factor. Rationalization.
(c) An employee has an expensive gambling habit. select a fraud triangle factor. Financial pressure.
(d) An employee has check-writing and -signing responsibilities for a small company, and is also responsible for reconci. Opportunity.
Explanation:
Fraud refers to obtaining something of value with a false representation of facts.
The fraud triangle factors are:
Opportunity: A situation that allows fraud to happen, for example, there are no internal controls in a company.
Financial pressure: There is a need that takes a person to commit fraud, for example, a debt.
Rationalization: The person that commits the fraud justifies it in his mind, for example, the person needs the money more than the big organization.
