Answer:
Decrease by $132,100
Explanation:
Computation of the given data are as follow:-
We can calculate the Operating Income by using following formula:-
Fixed Cost = Fixed Cost * Dropped Rate
= $193,000 * 30/100
= $57,900
So, Operating Income = Sales - Variable Cost - Fixed Cost
= $,1050,000 - $860,000 - $57,900
= $132,100
According to the Analysis, the operating income will be decrease by $132,100 if the business segment is eliminated.
Below is to complete the question;
<span>How much money should Timothy and Tiffany deposit annually for 20 years in order to provide an income of $30,000 per year for the next 10 years? Assume the interest rate is a constant 4%.
</span>
<span>Use the annual rate formula.
You are given Future, F=$30,000
You are given interest, i=4% or 0.04
You are given time, n=10 years for future equation and n=20 years for annual equation.
Plug those numbers in the formulas your teacher gave you.</span>
Answer:
Activity Rates
Consultation $150
Drawings $58
Modeling $0.7
supervision $190
Billings $1037.5
Collections $1642.5
Total overhead allocated: $ 126,826
Explanation:
First, we divide the cost of each activity over the base total to get the rate.
![\left[\begin{array}{ccccc}$Activity&Driver&cost&Total&Rate\\$Consultation&$contact hours&315000&2100&150\\$Drawings&$desing hours&104400&1800&58\\$Modeling&$square feet&32200&46000&0.7\\$supervision&$days&228000&1200&190\\$Billings&$jobs&8300&8&1037.5\\$Collections&$jobs&13140&8&1642.5\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bccccc%7D%24Activity%26Driver%26cost%26Total%26Rate%5C%5C%24Consultation%26%24contact%20hours%26315000%262100%26150%5C%5C%24Drawings%26%24desing%20hours%26104400%261800%2658%5C%5C%24Modeling%26%24square%20feet%2632200%2646000%260.7%5C%5C%24supervision%26%24days%26228000%261200%26190%5C%5C%24Billings%26%24jobs%268300%268%261037.5%5C%5C%24Collections%26%24jobs%2613140%268%261642.5%5C%5C%5Cend%7Barray%7D%5Cright%5D)
Now we apply this rate against the job activity measurement:
![\left[\begin{array}{ccccc}$Activity&Job&$Rate&$Allocated\\$Consultation&410&150&61500\\$Drawings&352&58&20416&\\$Modeling&7400&0.7&5180&\\$supervision&195&190&37050&\\$Billings&1&1037.5&1037.5&\\$Collections&1&1642.5&1642.5&\\$Total&&&126826&\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bccccc%7D%24Activity%26Job%26%24Rate%26%24Allocated%5C%5C%24Consultation%26410%26150%2661500%5C%5C%24Drawings%26352%2658%2620416%26%5C%5C%24Modeling%267400%260.7%265180%26%5C%5C%24supervision%26195%26190%2637050%26%5C%5C%24Billings%261%261037.5%261037.5%26%5C%5C%24Collections%261%261642.5%261642.5%26%5C%5C%24Total%26%26%26126826%26%5C%5C%5Cend%7Barray%7D%5Cright%5D)
Answer:
d) Debit Expenses $50,000 and Claims payable $100,000; Credit Cash $150,000.
Explanation:
As for the information provided,
There was this law suit against the company from past several years. Where the lawyers already estimated that liability on the company will arise amounting $100,000.
Thus, on the provisional basis such claims of $100,000 would have been provided ideally.
Now, after final judgement the court had cleared about the claim which is $150,000.
Thus, entry to record such claim of $150,000 will be:
Expenses A/c Dr. $50,000
Claims Payable A/c Dr. $100,000
To Cash A/c $150,000
Answer:
When Home Depot stores entered the Canadian market, there were already stores providing similar services and products. It employed Competitive effect To get people to try Home Depot by deliberately selling merchandise below the price that the Canadians did.
Explanation:
The competitive effect is the concept that allows a certain individual or organization to become attractive to customers under a scenario of pre-established markets by reducing its cost or prices making the organization competent in the market by driving the rest of the organizations in the industry compete with their costs or prices.
