Answer: d. company directors; shareholders
Explanation: The conduction and management of a business usually involve making controversial decisions or taking actions that might put the business at risk. In a general sense, greater profits calls for greater risks. As such, the business judgement rule states that the board of directors should be allowed to make such decisions without fear of prosecution by shareholders who might object while acknowledging that managers are not capable of making optimal decisions at all times. The rule therefore aid in protecting a business's board of directors from slight legal allegations about the conduct of business. It is thus important because it reflects the principle that company directors, not shareholders, have the greatest latitude to run companies.
Answer:
The demand for pork would decrease and the equilibrium price of pork would decrease.
Explanation:
Substitute goods are goods that can be consumed in place of each other.
If the price of chicken falls, consumers would increase the quantity demanded of chicken and reduce their demand for pork. The fall in the demand for pork would lead to a leftward shift in the demand curve for pork. A leftward shift in the demand curve while the supply curve remains unchanged would lead to a fall in equilibrium price of pork.
I hope my answer helps you
Answer and Explanation:
a. The journal entries are shown below:
On May 10
Merchandise inventory Dr $75,924 ($76,800 × 0.98)
To Account payable $75,924
(Being merchandise inventory is purchased on account)
For recording this we debited the merchandise inventory as it increased the assets and credited the account payable as it also increased the liabilities
On May 18
Account payable Dr
To Cash
(Being the cash paid is recorded)
For recording this we debited the account payable as it decreased the liabilities and credited the cash as it reduced the assets
2. On June 1
Equipment Dr $94,800
To cash Dr $33,600
To 9% Note payable $61,200
(Being the equipment is purchased on cash and note payable)
For recording this we debited the equipment as it increased the assets and credited the account payable and cash as it also increased the liabilities and reduced the assets
3. On Sep 30
Cash Dr $180,000
Discount on note payable $20,000
To Note payable $200,000
(Being the interest bearing note is recorded)
For recording this we debited the cash as it increased the assets and credited the note payable as it also increased the liabilities and the difference is debited to note payable
Answer:
A) $17.80
Explanation:
The computation of the predetermined overhead rate per machine hour is shown below:
= Estimated total fixed manufacturing overhead from the beginning of the year ÷ estimated activity level from the beginning year machine hours
= $534,000 ÷30,000 machine hours
= $17.80
We simply applied the above formula so that the predetermined overhead rate could come
Answer:
We give our friend 437.5 dollars
Explanation:
We have to discount from 500 dollar the interest over time, as the 500 is the value our friend will return in 4 weeks ( a month) not the amount received Hence:
nominal x discount rate x time = discount
being rate and time in the same metric
rate is annual so we express time in portion of a year
500 x -1.5 x 1/12 = -62,5
We have to discount 62.5 dollar from the nominal
nominal less discount = present value
500 - 62.5 = 437.5
