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ss7ja [257]
2 years ago
15

The following information was extracted from the 2020 financial statements of Max Company: Income from continuing operations bef

ore income tax $705,000 Selling and administrative expenses 480,000 Income from continuing operations 495,000 Gross profit 1,350,000 The amount reported for other expenses and losses is
a. $210,000
b. $15,000.
c. $165,000.
d. $225,000.
Business
1 answer:
Bezzdna [24]2 years ago
5 0

Answer:

c. $165,000.

Explanation:

Gross profit $1,350,000

Selling and administrative expenses $480,000

Income from continuing operations before income tax $705,000

Income from continuing operations 495,000

Total Expenses = Gross Profit - Income from continuing operations before income tax

Total Expenses = $1,350,000 - $705,000 = $645,000

Other Expenses = Total Expenses - Selling and administrative expenses

Other Expenses = $645,00 - $480,000 = $165,000

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olasank [31]

<u>Solution and Explanation:</u>

Answer 1  The Net present value = the Present value of all the cash inflows minus the present value of all the cash outflows

$=145000 /(11 \text { percent minus } 4 \text { percent })-1900000$

= $171428.57

Answer a-2) yes, definitely the business should be started as the net present value is positive.

Answer b) Break even growth rate = the required rate – Cash flows / investment

=11 \%-145000 / 1900000

= 3.37 percent.

5 0
2 years ago
Apple anticipates it will sell 100,000 units in the coming year. It is considering investing in a new machine that will increase
Vilka [71]

Incomplete question. However, it would be inferred you want to know the requirements to calculate net income.

<u><em>Explanation</em></u>:

Remember, net income is total revenue minus total cost. Since Apple anticipates selling 100,000 units, if we assume the fixed cost to be $2,400 and the variable cost $34, and selling price unit is $150.

  • Total cost= 2400+ (34*100,000)= 3,400,000
  • Total Revenue= 150*100,000= $15,000,000
  • Net income= 15,000,000-3,400,000= $11,600,000

The Net income is therefore $11,600,000.

7 0
2 years ago
What is​ fraud? A. Fraud is untruthful financial reporting. B. Fraud is the misappropriation of assets. C. Fraud is the intentio
aniked [119]

Answer:

The correct answer is C. Fraud is the intentional misrepresentation of facts made for the purpose of persuading another individual to act in a way that causes injury or damage to that individual.

Explanation:

In the broadest sense, fraud can encompass any crime for profit that uses deception as its main modus operandi. More specifically, fraud is defined by the Black's Law Dictionary as:

 "A false statement knowing the truth or the concealment of a material fact for the Fraud Scheme to induce another to act at its expense."

Consequently, fraud includes any intentional or deliberate act of depriving another of property or money by cunning, deception, or other unfair acts.

Fraud can compromise a company, either internally by employees, managers, officers or owners of the company, or externally by customers, suppliers and other parties. Other ways to defraud people, rather than companies.

3 0
1 year ago
Solartech Corporation, a U.S. exporter, sold a solar heating station to a Japanese customer at a price of 143.5 million yen, whe
Ulleksa [173]

Answer:

$929,404.15 (approx)

Explanation:

The dollar amount actually earned by Solartech after exchanging yen for U.S. dollars :-

= Price ÷ One dollar bought

= 143,500,000  ÷ $154.40 yen

= 143,500,000 ÷ $154.40  yen

= $929,404.15 (approx)

Therefore for computing the dollar amount actually earned by Solartech after exchanging yen for U.S. dollars, we simply divide price by one dollar bought.

3 0
1 year ago
Demarco and Tanya have received information about three separate mortgage offers. In two or three paragraphs, describe your reco
Alex787 [66]

Answer: first one

As for Mortgage Option 3, not only is the interest rate higher (4.0%), but the remaining balance that is not paid has to be paid off completely in 8 years. After the down payment, they would have a $1,605 monthly payment which includes the fixed interest rate of 4.25% as well. Due to the short payment time, a borrower has a risk of loosing their home and equity if the final payment is not able to be made. Mortgage Option 2 has the lowest interest rate (3.5%) but these rates could be adjusted annually. Even though the interest rate is the highest, they would be able to afford it. Not only are they able to make these payments, Tanya and Demarco would also have. approximately $3,395 left to spend from their monthly earnings too.

Explanation:

credit to mohammedalm2

5 0
1 year ago
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