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k0ka [10]
2 years ago
14

On January 1, 2020, Franchisee Inc. enters into a contract with Italian Fine Dining Inc. for the right (beginning immediately) t

o operate an Italian Fine Dining restaurant and receive on-going consulting services for a four-year period. The upfront fee of $100,000 also includes specialized equipment for $12,000. The standalone selling price of the franchise services and specialized equipment are $88,000 and $12,000, respectively. The equipment (with a cost of $9,000) was transferred to the franchisee on March 1, 2020. Determine the amount of revenue to recognize for Italian Fine Dining Inc. on December 31, 2020. Group of answer choices
Business
1 answer:
o-na [289]2 years ago
4 0

Answer: $22,000

Explanation:

The total revenue to be recognized by Italian Fine Dinning Inc. is the standalone selling price for the franchise services which is $88,000.

As this contract is for a four year period, Italian Fine Dinning Inc will have to recognize the above revenue over a period of 4 years.

Revenue in December 2020 will therefore:

= 88,000 / 4

= $22,000

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Cherries on Top, a national ice cream shop, is struggling financially to keep up with the bigger chains. The top executives have
Serggg [28]

Answer:

The correct answer is B

Explanation:

Utilitarian approach or method is the approach which assesses or analyze the actions in terms of the outcomes or results, that is the net costs and the benefits to all the stakeholders on individual level.

This approach aspire or attempt to accomplish the greatest good for the  numbers when creating the least amount for preventing the suffering of the greatest amount.

So, the shop uses or practice the approach of utilitarian as it will provide them the extra one million dollar to put it in the marketing.

7 0
2 years ago
Lower of Cost or Market The accountant for Murphy Company prepared the following analysis of its inventory at year end: Item Uni
Nina [5.8K]

Answer:

  $52,860

Explanation:

The computation of the ending inventory using the  lower of cost or market method is shown below:

Product                    Cost           Net realizable value Lower of cost or NRV

RSK-89013 600 × $38 = $22,800 600 × $47 = $28,800   $22,800

LKW-91247 420 × $47 = $19,740     420 × $40 = $16,800        $16,800

QEC-57429  510 × $26 = $13,260    510 × $32 = $16,320         $13,260

Carrying value of the ending inventory is                                       $52,860

7 0
1 year ago
Complete a​ fish-bone chart detailing reasons why an airline customer might be dissatisfied. LOADING... Click the icon to view t
kvv77 [185]

Answer:

<em>B: Machineries </em>

Lighting is not running,there seems to be an issue with the mechanical equipment and the chairs are too tight so there's no leg room.

<em>C: Methods </em>

The lack of adequate preparation and methods or processes results in delay of flight and also poor communication is the problem due to the lack of optimized or structured process.

<em>D: Man Power </em>

Scarcity is the reason why not enough ticket agents to issue tickets and manage the queue and also not enough traffic police to regulate and track the process.

5 0
2 years ago
The Maybe Pay Life Insurance Co. is trying to sell you an investment policy that will pay you and your heirs $31,000 per year fo
Whitepunk [10]

Answer: 6.51%

Explanation:

To get the interest rate at which the deal will be fair

Annual payment per year/ cost × 100

Perpetuity = D/r

476000 = 31000/r

r = 31000÷ 476000

r = 0.06512

r = 0.06512 × 100

r = 6.512%

Where D is the dividend

r is the rate

3 0
2 years ago
Suppose you own a toy store in the United States, where there is high demand for the PlayNation Perfect, a video game console. B
kotegsom [21]

Answer:

1. Determine the effects of this transaction on

a. Exports - There will be no effect on the export of the USA;

b. Imports - The initial amount spent on the importation of the toys and the videogame plus $10,000.00 spent on the importation  of PlayNation Perfect Video game console to increase the inventory will put the Japanese economy on a favourable BalanceBalance of Payment (BOP) because money came into the economy and left the USA economy simultaneously.

c. Net exports in the U.S. economy will be<em> low.</em>

Explanation:

a. Exports - There will be no effect on the export of the USA because the store did not export anything rather it imported the PlayNation Perfect video game console from a Japanese company and spent an additional $10,000.00 to increase his inventory. Simply put, money left the US economy without a complementary import to strike a balance in Balance of Payment.

b. Imports -<em> </em>The initial money spent in the importation of the consignment and  $10,000.00 spent to increase his inventory will put the Japanese economy on a favourable Balance of Payment (BOP) because money came into the economy and left the US economy;

c. Net exports in the U.S. economy will be<em> low because there were importations of  goods into the economy without corresponding export to have a favourable Balance of Payment in the International Trade. It is when the Exports in USA is greater that that of the import that you have a favourable Balance of Paymet and  it  translates to improve GDP.</em>

7 0
2 years ago
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