Answer:
- ($51,306)
Explanation:
Given that,
Loss of Contribution = $75,000
Fixed costs will be eliminated by dropping the CUP line = $23,694
Net loss on dropping cup line:
= Loss of contribution - Gain on fixed costs on dropping cup line
= $75,000 - $23,694
= - ($51,306)
Therefore, the net effect on dropping the cup line on net income is $(51,606).
Answer:
The calculation will be more accurate, because the base year is the oldest.
CPI is calculated as
(P_n / P_base - 1)*100
as:
P_n prices at time n
The mathematical reason why it is better to take the oldest year is that % growth works better
Answer: Option (c) is correct.
Explanation:
Given that,
Round off the values of items to the nearest half dollar are as follows:
Item 1 = $2.00
Item 2 = $1.00
Item 3 = $3.50
Item 4 = $10.00
Item 5 = $6.00
Estimated total cost of items = Item 1 + Item 2 + Item 3 + Item 4 + Item 5
= $2.00 + $1.00 + $3.50 + $10.00 + $6.00
= $22.50
Hence, nearest value is $22.50.
Therefore, option (c) is correct.
I think I just did this one but I’ll check and get back to you
Answer:Pinkney Journal $
Date
January 15
Land $ Building. Dr 100,000
Share capital. Cr. 100,000
Narration. Transfer of share for the purchase of land and building.
Explanation:
The firm will record the value of the land and building at the price of shares it has transferred for the purchase not withstanding the price of it's purchase by the seller nor the market fair value on purchase.
The payment of the price of the land & building with shares does not represents a new issue of shares but it's a transfer of share ownership from the firm to the seller and this will be reflected in the share register.
