Answer:
The answer is: January 5
Explanation:
This is a bill and hold arrangement which enables payment ahead of the delivery of the equipment.
Once Merkel places the purchase order, it should record the cost of the office equipment. It is usual that companies pay in advance a percentage of the total cost and the rest when the equipment is delivered.
Answer:
The firm's profit maximization price = $81.25
Explanation:
We are given:
Marginal cost MC = $65
Elasticity of demand ED = -5
Therefore, Using the rule of thumb pricing, we have the equation:
P = $81.25
Therefore the firm's profit maximization price is $81.25
Answer:
Hie, the question you have provided is missing information relating to <em>Accumulated depreciation</em> or <em>book value of the furniture</em> as well as <em>profit</em> or <em>loss</em> on sale of furniture.
However, important principles are explained below :
The Furniture Disposal T - Account is used to calculate the cash received from the sale of furniture.
The Format of the Account is as follows :
Debits :
Record the Costs of the Furniture Sold. In this cases Cost is $75,900
Record the Profit on Sale of Furniture (if there was profit). The information is incomplete in this case.
Credits :
Record the Accumulated Depreciation on the Furniture. This figure is missing.
Record the Loss on Sale of Furniture (if there was a loss). The information is incomplete in this case.
The Balancing figure would be the Cash Received on sale of Furniture and to be recorded here.
Conclusion :
The Cash Received on Sale of Furniture is a Balancing figure of the Furniture Disposal T - Account.
Answer:
Dep expense for the second year 7,600
Explanation:
![\left[\begin{array}{ccccc}Year&Beginning&Dep-Expense&Acc. \: Dep&Ending\\0&-&-&-&47500\\1&47,500&9,500&9,500&38,000\\2&38,000&7,600&17,100&30,400\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bccccc%7DYear%26Beginning%26Dep-Expense%26Acc.%20%5C%3A%20Dep%26Ending%5C%5C0%26-%26-%26-%2647500%5C%5C1%2647%2C500%269%2C500%269%2C500%2638%2C000%5C%5C2%2638%2C000%267%2C600%2617%2C100%2630%2C400%5C%5C%5Cend%7Barray%7D%5Cright%5D)
1/10 = straight-line method
straight-line x 2 = DD rate
47,500 x 2/10 = 9500
then we calculate the DD rate again with the book value
47,500-9,500 = 38,000
38,000 x 2/10 = 7,600
Answer:
Hence, the second statement describing the average inventory is false
Explanation:
<em>The Economic Order Quantity (EOQ) is the order size that minimizes the balance of ordering cost and holding cost. At the EOQ, the carrying cost is equal to the holding cost. It is the order size that optimizes the investment in stock ordering</em>.
The following statements
The number of orders = Annual demand/order size
Re-order level(point) Average daily usage × average lead time
Average inventory = safety stock × (1/2× order size)
The average Dollar value = Unit price × average inventory
Hence, the second statement describing the average inventory is false
