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Scorpion4ik [409]
2 years ago
9

On May 1, 2021, Cedar Corp. paid $432,000 for rent on warehouse space one year in advance. On November 1, 2021, Cedar Corp. ente

red into a lease agreement to rent out its old warehouse space it was no longer using. This agreement calls for Cedar to receive $10,000 per month from the lessee, due and payable at the end of the 5-month lease term. At December 31, 2021, none of the rental payments from the lessee had yet been received. If Cedar makes the appropriate adjusting entry, how much will be reported on the December 31, 2021 income statement for rent expense?
Business
1 answer:
lorasvet [3.4K]2 years ago
4 0

Answer: $324,000

Explanation:

Cedar Corp. paid $432,000 for a year in advance. According to the Accrual principle in Accounting, expenses are to be recorded only when incurred.

The rent will therefore have to be apportioned to the months that it has paid for in the current period.

Rent for year = $432,000

Rent for month = 432,000/12 = $36,000

April - December = 9 months

Rent for the year = 9 * 36,000

= $324,000

Note; <em>Question is about Rent expense which is how much Cedar Corp has paid not about how much they have received. </em>

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The owner of Chips etc. produces two kinds of chips: lime (L) and vinegar (V). He has a limited amount of the three ingredients
Sloan [31]

Answer:

Objective function (maximize)

Profit=0.40L+0.50V

Constraints

- Availabitily of salt: 2L+3V\leq4800

- Availability of herbs: 1C+2V\leq 2000

- Availability of flour: 6C+8V\leq9600

Explanation:

This a linear programming problem. We have an objective function (in this case it is the profit) that we want to optimize, but complying with constraints (in this case, the availability of ingredients).

The objective function can be defined taking into account the profits of the two kind of chips:

Profit=0.40L+0.50V

The constraints can be expressed taking into account the amount of ingredients every unit of chip needs and stating that it has to be less or equal to the availability of this ingredient:

- Availabitily of salt:

2L+3V\leq4800

- Availability of herbs

1C+2V\leq 2000

- Availability of flour

6C+8V\leq9600

With these expressions the linear programming problem can be solved.

3 0
2 years ago
Curtab, a company that manufactures digital watches, implements marketing strategies to attempt to eliminate analog watches from
Gnesinka [82]

Answer:

A) Design competition

Explanation:

Digital watch manufacturers and manufacturers of analog watches  compete against each other because their products basically satisfy the same needs. Each one offers a very different product with its pros and cons, but even though their products are so different, they can be considered substitutes.

In the concept of innovation streams, Curtab is the innovator that is trying to create a sustainable competitive advantage because it works by designing an innovative product while its competitors rely on updating old designs.

4 0
2 years ago
Miguel, Inc. reported net income of $2.5 million in 2022. Depreciation for the year was $160,000, accounts receivable decreased
Valentin [98]

Answer:

$2,730,000

Explanation:

The opening cash balance is netted off the cash flows from all activities namely; Operating, investing and financing activities to get the closing cash balance.

The operating activities includes elements such as net income, depreciation and amortization, changes in working capital etc.

Given;

Net income = $2,500,000

Depreciation = $160,000

accounts receivable decrease = $350,000 (inflow of cash)

accounts payable decrease =  $280,000 (outflow of cash)

net cash provided by operating activities using the indirect approach

= $2,500,000 + $160,000 + $350,000 - $280,000

= $2,730,000

4 0
2 years ago
Margaret would like to work in the Journalism and Broadcasting industry. Which set of qualifications would best assist Margaret
jenyasd209 [6]
Your answer would be C because you gotta be ive if you wanna be in journalism and broadcasting
8 0
2 years ago
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After sugar refiner has produced fine sugar for baking purposes, what is left over is used to produce molasses. This technology
Blizzard [7]

Answer:

ECONOMIES OF SCOPE

Explanation:

Economies of Scope concept implies producing different , but related products will reduce the per unit  cost of production of the firm (relatively lesser than if the products would have been produced separately.

This happens because of backward & forward linkages in interrelated but different goods' inputs & outputs .

Ex : In this case, another byproduct - molasses has been produced of waste from sugar production, which could have otherwise been purchased input.

Economies of Production is cost reduction due to quantity & not variety production. Diseconomies of Scale & Diseconomies of Scope are their opposite phenomenas leading to cost rise . So , none of these 3 are apt.

6 0
2 years ago
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