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guapka [62]
2 years ago
8

Alpha Company makes all its sales on account. Accounts receivable payment experience is as follows: Percent paid in the month of

sale 35% Percent paid in the month after the sale 54% Percent paid in the second month after the sale 6% Alpha provided information on sales as follows: May $150,000 June $125,000 July $136,000 August (expected) $142,000 How much of May's sales are expected to be uncollectible?
Business
1 answer:
kozerog [31]2 years ago
4 0

Answer:

May's sales that are expected to be noncollectable are $7500.

Explanation:

The total collections from a months's credit sales is expected to be as follows,

35% in the month of sale

54% in the following month

6% in the second month after sale

The remaining is expected to be noncollectable.

The credit sales for a month are equal to 100%.

The percentage of noncollectable sales is = 100 - (35 + 54 + 6)  = 5%

Thus, 5% of each month's sale is expected to be noncollectable.

May's sales that are expected to be noncollectable are,

Noncollectable Sales-May = 150000 * 0.05  =  $7500

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Suire Corporation is considering dropping product D14E. Data from the company's accounting system appear below: Sales $ 670,000
Marina86 [1]

Answer:

a. According to the company's accounting system, what is the net operating income earned by product D14E? (Net losses should be indicated by a minus sign.)

  • net loss -$65,000

b. What would be the financial advantage (disadvantage) of dropping product D14E? Should the product be dropped?

  • financial disadvantage of discontinuing the produce is -$68,000, so the company should not discontinue the product since its losses would increase

Explanation:

total sales $670,000

- variable expenses $295,000

- fixed manufacturing expenses $246,000

- fixed selling and administrative expenses $194,000

net loss = $65,000

if product D14E is discontinued, $196,000 + $111,000 = $307,000, of fixed expenses can be avoided, but $133,000 are not avoidable. if the company discontinues the product, its losses will increase by $133,000 - $65,000 = $68,000

3 0
2 years ago
The market for fertilizer is perfectly competitive. Firms in the market are producing output but are currently making economic l
Kobotan [32]
I am not sure what are you asking please explain more
6 0
1 year ago
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After being observed many​ times, Bevarly​ Demarr, a hospital lab​ analyst, had an average observed time for blood tests of 14 m
aleksandr82 [10.1K]

Answer:

<u>The answer is 10.5 minutes</u>

Explanation:

The normal time for this process = (10*105%) =10.5 minutes

4 0
2 years ago
as a young entrepreneur, how can you show the responsible ways of purchasing activities on any possible situations you may consi
Helen [10]

Answer:

There are several ways in which a young entrepreneur can carry out purchasing activities responsibly, including:

1. Measured production of inventory or units of products- If an entrepreneur is producing bicycles for instance, (s)he should only spend on inventory that (s)he anticipates will be sold to customers or purchased by retailers. For example, let's assume that the entrepreneur has a purchase order from a retailer such as K-Mart for 500 bicycles. In this case the entrepreneur should only produce around 550 bicycles rather than 700 or 1000 bikes, thus, purchasing supplies and producing inventory in accordance with demand for his/ her bicycles.

2. Lowering costs of production where possible- Firstly, this can be done by purchasing supplies and materials for inventory in bulk. Secondly, the entrepreneur could outsource the manufacturing of his/her product to countries (such as China) where production costs are significantly cheaper.

4 0
1 year ago
From the set $\{1, 2, 3, \dots, 20\},$ ten numbers are chosen at random, forming a subset. Let $M$ be the largest element among
Marysya12 [62]

The largest element can be as small as 10, which happens when the subset is {1, 2, ..., 10}.  The probability of choosing this subset is (1/2)^10 = 1/1024.  (Every element from 1 to 10 can either be in the subset, or not.)

The largest element can also be 11.  All the numbers in the subset must be from 1 to 10, and we must choose 1 to leave out, so the probability that the largest element is 11 is C(10,1)*1/1024.

The largest element can also be 12.  All the numbers in the subset must be from 1 to 11, and we must choose 2 to leave out, so the probability that the largest element is 12 is C(11,2)*1/1024.

We can do the other cases similarly:

Largest element is 13 -> C(12,3)*1/1024

Largest element is 14 -> C(13,4)*1/1024

Largest element is 15 -> C(14,5)*1/1024

Largest element is 16 -> C(15,6)*1/1024

Largest element is 17 -> C(16,7)*1/1024

Largest element is 18 -> C(17,8)*1/1024

Largest element is 19 -> C(18,9)*1/1024

Largest element is 20 -> C(19,10)*1/1024

Adding these up, we get (1 + C(10,1) + C(11,2) + ... + C(19,10))*1/1024.  Since 1 = C(9,0), we also get (C(9,0) + C(10,1) + C(11,2) + ... + C(19,10))*1/1024.

By the Hockey Stick Identity, C(9,0) + C(10,1) + C(11,2) + ... + C(19,10) = C(20,10), so the expected value of the largest element is 1/11*C(20,10)*1/1024 = 4199/256.

6 0
1 year ago
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