Answer:
This question is incomplete, here's the complete question:
Irene Watts and John Lyon are forming a partnership to which Watts will devote one half time and Lyon will devote full time. They have discussed the following alternative plans for sharing income and loss: (a) in the ratio of their initial capital investments, which they have agreed will be $42,000 for Watts and $63000 for Lyon; (b) in proportion to the time they devote to the business; (c) a salary allowance of $6,000 per month to Lyon and the balance in accordance with the ratio of their initial capital investment; or (d) a salary allowance of $6000 per month to Lyon, 10% interest on their capital investments, and the balance shared equally. The partners expect the business to perform as follows: year 1, $36,000 net loss; year 2, $90,000 net income; and year 3, $150000 net income.
Required
Prepare three tables with the following column headings.
Year______
Income (Loss)----------------------------------------------------------------------------------------------
Sharing Plan Calculations Watts Lyon
Explanation:
in order to present a detail answer in a step by step explanatory answer for the three year, there's a need to build a diagram which will be used to render our explanation in a clear and precise manner.
kindly check the attached image below to see the full answer rendered in a detailed diagram for the three years.
Answer:
Optimal number of donuts = 5 Donuts
Optimal cups of coffee = 2.5 cups.
Explanation:
Optimal numbers of donuts and coffee can be calculated as follow
First, we need to determine the budget constraint as below
M = ( P(D) x D ) + ( P(C) x C )
Placig values in the formula
10 = D + 2C
Now make utility function as:
U(D,C) = D0.5 C0.5
Marginal Utility donuts
MU(D) = 0.5D-0.5C0.5
Marginal Utility Coffee
MU(C) = 0.5D0.5C-0.5
The formula for marginal rate of substitution
(MRSD,C)= MU(D) / MU(C) = 0.5D - 0.5C0.5 / 0.5D0.5C - 0.5 = C/D
Now calculate the optimal consumption level
MRSD,C = P(D) / P(C)
C/D = 1/2
D = 2C (Equation 1
)
Placing the value of D resulted from equation 1, in the budget constraint we as below
10 = D + 2C
10 = 2C + 2C
10 = 4C
C = 10/4 = 2.5
NOw place the value of C in equation 1
D = 2C = 2(2.5) = 5
Optimal number of donuts = 5 Donuts
Optimal cups of coffee = 2.5 cups.
Answer:
$546,750
Explanation:
Sales 2,498,000
COGS (1,376,000)
gross profit 1, 112,000
S&A salaries (219,000)
other S&A (346,000)
underapplied MO (10,250) *
net income 536.750
*we need to compare the actual voerhead with the applied overhead:
<u>actual overhead:</u> 176,000 + 420,000 = 596,000
<u>applied overhead:</u>
overhead rate:

568,000 / 32,000 = 17.75
33,000 x 17.75 = 585.750
overhead
<u>debit credit</u>
596,000 585,750
10,250 underapplied overhead
As the applied was lower it is underapplied we need to recognzie more cot thus, the net income decrease.
The question above is not complete, the alternatives attached to the question are as follow:
A) The people working to develop the community
B) Bike paths and stores
C) Solar power
D) The idea to develop the housing community
ANSWER
The correct option is B.
Land as a factor of production refers to all the natural resources that are free gifts of nature. According to this definition, land as a factor of production include the following: forests, oceans, rivers, mountains, climate, light, heat of the sun and natural resources such as crude oil, copper, gold, silver, coal,etc. The characteristics of land include the following: it is a free gift of nature, fixed in quantity, permanent in nature, immovable, differs in fertility, etc.