Answer:
If I did get it right it should be 4,569.6
The new proposed project needs to use an expensive medical equipment that is already owned by the company. The purchase price of this equipment is $640,000 . The company also spent $71,000 to update its operating software. The equipment recieved a recent market bid from an interested buyer of $768,000. The current book value of $525,000. If the company decides to use this equipment for the new project , what value should we use for this equipment to be included in the initial cash flow of the project
Answer:
$525,000
Explanation:
Given that
The purchase price of an equipment $640,000
The company spend on operating software is $71,000
The recent market bid is $768,000
And, the current book value is $525,000
As the company decided to use the equipment for the new project so the amount that should be included in the initial cash flow would be $525,000 as the same would be presented on the balance sheet. It would be the cash outflow for the company
Assume that the banking system has total reserves of $100 billion. Assume also that required reserves are 10 percent of checking deposits and that banks hold no excess reserves and households hold no currency. a. What is the money multiplier
Answer:
1. Money multiplier 10
2. Money supply 1000 billion dollars.
3. change in reserves 500 billion dollars
4. Change in money supply 500 billion dollars
Explanation:
1. Calculation to determine the money multiplier
Money multiplier = 1 / 0.1
Money multiplier= 10
2. Calculation to determine The money supply
Money supply =10 x 100 billion dollars
Money supply = 1000 billion dollars.
3. Calculation to determine the change in reserves and the change in the money supply
First step is to calculate the money multiplier wmoney multiplier= 1/ 0.20 = 5
Now let calculate the change in reserves
change in reserves = 100 billion dollars x 5
change in reserves = 500 billion dollars
4. Decline in the money supply =1000 billion dollars - 500 billion dollars = 500 billion dollars.
Which person would most likely be in the market for a mortgage loan? Person A: I just got a great new job, so I want to buy a bigger house. I'd like to take out a big loan that I can pay off over a long time while I'm living in the new house. Person B: I want to buy a new video game, but I don't want to take out a real loan. I'd rather just get an advance on my next paycheck so I can buy the game right now. Person C: I just got into medical school, but the tuition is really expensive. I need to borrow some money to pay for school, and I'll pay it back after I start working as a doctor. Person D: I don't need to borrow money right now, but I want to have access to money whenever I might need it. It would be nice to be able to pay off some bigger purchases over time.
Answer:
The answer is A
Explanation:
Mortgage loans are used for houses and real estate.
Person A would be most likely in the mortgage loan market.
What is a mortgage loan?A mortgage loan is a type of borrowed amount taken from a lender for acquiring any kind of property.
Person A takes the mortgage loan from the market as he wants to acquire a new house. He is able to pay off the loan installments as he got a new job which shows that his financial status is good.
Therefore, the mortgage loan is most likely to be taken by Person A from the market.
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what are the limitations of SWOT ANALYSIS?
A popular, local coffeeshop in one of the suburbs of New York City (NYC) estimates they use 3,000 pounds of coffee annually. They have to determine how many pounds to order each time in order to minimize their total annual cost. a. Determine the optimal size of the order assuming an EOQ model with a holding cost of $10 per pound annually and an ordering cost of $100. (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Answer:
EOQ = 244.948974 rounded off to 244.95 pounds
Explanation:
The EOQ or economic order quantity is the quantity of goods that must be ordered to reduce and minimize the inventory related costs. The EOQ can be calculated using the formula provided in attachment.
Using the formula in the attachment, we calculate the EOQ to be,
EOQ = √[(2 * 3000 * 100) / 10]
EOQ = 244.948974 rounded off to 244.95 units
a. The optimal size of the order where we assume that the Economic Order Quantity model should be considered as the 244.95 pounds.
Calculation of the optimal size:Since
It estimates they use 3,000 pounds of coffee annually.
The holding cost is $10 per pound
And the ordering cost of $100
So,
EOQ
= √[(2 * Annual demand * ordering cost) / carrying cost]
= √[(2 * 3000 * 100) / 10]
EOQ = 244.948974
= 244.95 units
Hence a. the optimal size of the order assuming an EOQ model should be 244.95 pounds.
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Unibic India: From Fastest Growing Niche Cookie Brand to a Challenger?
In 2007, Lighthouse Funds acquired a 25% stake in Unibic from Unibic Australia for Rs. 200 million. In 2010,
Unibic Australia started making losses and wanted to withdraw from the Indian market. At that time, Unibic
operated solely in the premium, high-margin cookies segment in India, with a share of around 8%. It had a
market presence primarily in south India and was exporting to the Middle East and Hong Kong. It had strategic
alliances to make cookies for various private players. However, it was not yet making profits and was cash-
strapped...
Over the next few years, Unibic grew rapidly. Its growth was primarily fueled by the changes sweeping through
the Indian biscuit industry, wherein glucose biscuits that had dominated the market, gradually lost out to cream
biscuits and cookies. The reasons for the shift included rising disposable incomes leading to an increase in
consumption of premium biscuits; a larger number of manufacturing facilities of premium biscuits; growing
health awareness; innovation bringing in attractive new products; rising affordability of cookies; and increase
in eye-catching packaging...
Over the years, Unibic regularly introduced fresh and unique flavors, ultimately producing over 30 variants of
cookies. Its products could be broadly categorized into chocolate, butter, milk, savory, and health. The company
considered its target market to be between the ages of 14 and 40. It continued its efforts at innovation and
produced new products which would appeal to its target market...
In 2015, Unibic had used celebrity endorsement by signing on south Indian actor Shruti Hassan, for over a year.
It stated that it wanted someone who was relevant and would give the brand a boost to get to the numbers it
wanted in the South...
Unibic didn’t advertise much in print media; TV remained the company’s core focus and got the largest chunk
of its advertising spend, followed by digital and OOH. Instead of following the traditional strategy of having a
similar marketing campaign across markets, Unibic employed a unique strategy in each market, thereby playing
to its strengths in each market while keeping in mind the market conditions and consumption patterns...
From 2019 onward, Unibic started feeling the heat of the economic slowdown in India. The Indian economic
slowdown of 2019 led to a serious and continuing decline in the country’s real estate, automobile and
construction sectors and in overall consumption demand. The second quarter (July- September) of the financial
year (April 2019-March 2020) witnessed a drastic fall in the gross domestic product (GDP) growth rate to 4.5%.
The main reasons attributed to the fall in the GDP growth rate were – contraction in manufacturing activity,
weakened investments, and lower consumption demand.
As of 2020, Unibic had the largest wire cut cookie manufacturing plant in India. The plant had the capability to
manufacture 100 tonnes of cookies each day, with five production lines. While it used 98% of its production
capability to produce its own brand, the rest was used to manufacture for private label brands – six in India and
10 across the world. It had annual revenu7 es of Rs. 5 billion. It also exported its products to more than 21
countries including across Australia, North America, the UK, and Europe, Asia, the Middle East, and New
Zealand. It derived 45% of its earnings from the south of India.
Questions:
a) Explain three factors that had a negative impact on the financial performance of Unibic in its early years.
(6 marks)
b) Which environmental force did Unibic use in segmenting its market? What is this force about? (6 marks)
c) What does the following statement suggest to you about Unibic: “It continued its efforts at innovation
and produced new products which would appeal to its target market”?
d) Which marketing strategy did Unibic use in 2015 and explain any two (2) reasons why firms adopt that
strategy? (9 marks)
e) What main media did Unibic use to implement its marketing strategy? State one advantage of this media.
(6 marks)
Answer:
Explanation:I want an answer
Mohamed earned a 5 on his Advanced Placement® American History exam. How might this benefit him when he gets to college? His job will give him additional money toward college tuition. He will automatically earn a scholarship to the college of his choice. He will receive the lowest interest rates on student loans. The college he attends may give him college credit for the course.
By earning a 5 on the Advanced Placement® American History exam, Mohammed might benefit when he gets to college in a way that "The college he attends may give him college credit for the course."
This is because the credit earned on Advanced Placement can be used by the college Muhammed attends to determine whether he can skip some introductory courses or even graduate early.
This implies that colleges give value to the credit earned in Advanced placement.
The higher the scores earned, the more a student can benefit when he gets to college.
It is believed that high-performing students in Advanced Placement understand some introductory courses well or can take more courses at a time.
Hence, in this case, it is concluded that the correct answer is option D. "The college he attends may give him college credit for the course."
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You charge $500 on each of your two credit cards.
One is American Express with an interest rate of 15.99%.
The other is Chase Sapphire with an interest rate of
20.99%. Assuming that you are only making the minimum
payment of $25 to each of the credit card companies,
which card will you pay off first
It is advisable to pay off the Chase Sapphire card first to minimize the overall interest paid.
To determine which credit card to pay off first, we need to consider the interest rates and the minimum payment amounts. Let's calculate the interest accrued on each card and compare the total amounts.
For the American Express card with a balance of $500 and an interest rate of 15.99%, the interest accrued per month would be (15.99/100) * (500) = $79.95. With a minimum payment of $25, the remaining balance after the payment would be $500 - $25 = $475.
For the Chase Sapphire card with a balance of $500 and an interest rate of 20.99%, the interest accrued per month would be (20.99/100) * (500) = $104.95. After making the minimum payment of $25, the remaining balance would be $500 - $25 = $475.
Comparing the two cards, we see that the interest accrued on the Chase Sapphire card is higher ($104.95) compared to the American Express card ($79.95). Therefore, it is advisable to pay off the Chase Sapphire card first to minimize the overall interest paid.
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How would you convince your investor audience about the merits of your investment idea? ( give some decisions)
Role of central government in regional development
Answer:
The central government is, essentially, the public body in charge of managing the nation's resources and controlling compliance with the laws. In other words, it applies its power within the entire national territory, but in turn delegating certain powers to state and local governments, which have a much stronger contact with the population of cities and states. Thus, within the regional development process in each nation, local and state governments are the main executors of development policies, but with the supervision and guidance of central governments.
You think the price of AMZN stock, which is currently $900 is likely to change significantly over the next three months, you are just not sure which direction. So you buy a long strangle position, with a call and put option, worth $10 and $3 per share, respectively, three months to expiration, and strike prices of 910 (call) and 890 (put). If at expiration AMZN is trading at $865, what is your net profit per share
Crazy Delicious Inc. produces chocolate bars. The primary materials used in producing chocolate bars are cocoa, sugar, and milk. The standard costs for a batch of chocolate (5,000 bars) are as follows: Ingredient Quantity Price Cocoa 500 lbs. $1.40 per lb. Sugar 100 lbs. $0.50 per lb. Milk 250 gal. $1.60 per gal. Determine the standard direct materials cost per bar of chocolate. Round to two decimal places. $fill in the blank 1 per bar
Answer:
Standard direct materials cost per bar of chocolate = $0.23 per bar
Explanation:
This can be calculated as follows:
Total standard cost of cocoa in a batch = 500 * $1.40 = $700
Total standard cost of Sugar in a batch = 100 * 0.50 = $50
Total standard cost of Milk in a batch = 250 * 1.60 = $400
Total standard costs for a batch of chocolate = $700 + $50 + $400 = $1,150
Number bars of chocolate in batch = 5,000
Therefore, we have:
Standard direct materials cost per bar of chocolate = Total standard costs for a batch of chocolate / Number bars of chocolate in batch = $1,150 / 5,000 = $0.23 per bar
Seattle Health Plans currently uses zero-debt financing. Its operating profit is $6 million, and it pays taxes at a 23 percent rate. It has $10 million in assets and, because it is all-equity financed, $10 million in equity. Suppose the firm is considering replacing 59 percent of its equity financing with debt financing that bears an interest rate of 9 percent. What impact would the new capital structure have on the firm's ROE (return on equity)
Answer: ROE increases by 56.5% to 102.7%
Explanation:
ROE before capital structure change:
= Net income / Equity
= (Operating income * ( 1 - tax)) / Equity
= (6,000,000 * (1 - 23%)) / 10,000,000
= 46.2%
With new capital structure:
Debt financing = 59% * 10,000,000
= $5,900,000
Interest = 9% * 5,900,000
= $531,000
Net income = (Operating profit - interest) * ( 1 - tax)
= (6,000,000 - 531,000) * ( 1 - 23%)
= $4,211,130
Return on Equity = 4,211,130 / ( 10,000,000 - 5,900,000)
= 102.7%
Difference:
= 102.7 - 46.2
= 56.5%
Del Gato Clinic's cash account shows a $14,298 debit balance and its bank statement shows $14,156 on deposit at the close of business on June 30. Outstanding checks as of June 30 total $2,872. The June 30 bank statement lists a $60 bank service charge. Check No. 919, listed with the canceled checks, was correctly drawn for $389 in payment of a utility bill on June 15. Del Gato Clinic mistakenly recorded it with a debit to Utilities Expense and a credit to Cash in the amount of $398. The June 30 cash receipts of $2,963 were placed in the bank night depository after banking hours and were not recorded on the June 30 bank statement.
Required:
Prepare the adjusting journal entries that Del Gato Clinic must record as a result of preparing the bank reconciliation.
If on June 30 bank statement lists a $60 bank service charge. Check No. 919, listed with the canceled checks, was correctly drawn for $389 in payment of a utility bill on June 15. Del Gato Clinic mistakenly recorded it with a debit to Utilities Expense and a credit to Cash in the amount of $398. The adjusting journal entries that Del Gato Clinic must record as a result of preparing the bank reconciliation will be:
a) No journal entry required
b) Debit Miscellaneous expenses $60
Credit Cash $60
c) Debit Cash $9
Credit Utilities expense $9
Preparation Del Gato Clinic adjusting journal entries
a) No journal entry required
b) Debit Miscellaneous expenses $60
Credit Cash $60
(To record bank service charge)
c) Debit Cash $9
Credit Utilities expense $9
($398-$389)
(To record utilities expense)
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Jan. 15 Declared a $0.40 cash dividend per share to stockholders of record on January 31, payable February 15. Feb. 15 Paid the dividend declared in January. Apr. 15 Declared a 10% stock dividend to stockholders of record on April 30, distributable May 15. On April 15, the market price of the stock was $16 per share. May 15 Issued the shares for the stock dividend. Dec. 1 Declared a $0.50 per share cash dividend to stockholders of record on December 15, payable January 10, 2023. Dec. 31 Determined that net income for the year was $371,000.
Question Completion:
On January 1, 2017, Ayayai Corp. had these stockholders’ equity accounts.
Common Stock ($10 par value, 65,000 shares issued and outstanding) $650,000
Paid-in Capital in Excess of Par Value $480,000
Retained Earnings $600,000
Journalize the transactions. (Include entries to close net income and dividends to Retained Earnings.)
Answer:
Ayayai Corp.
Journal Entries
Jan. 15 Debit Cash Dividends $26,000
Credit Dividends Payable $26,000
To record the declaration of $0.40 cash dividend per share to stockholders of record on January 31, payable February 15.
Feb. 15 Debit Dividend Payable $26,000
Credit Cash $26,000
To record the payment of the cash dividend declared on Jan. 15.
Apr. 15 Debit Stock Dividends $65,000
Credit Dividends Distributable $65,000
To record the declaration of a 10% stock dividend.
May 15 Debit Dividends Distributable $65,000
Credit Common stock $65,000
To record the distribution of the stock dividends.
Dec. 1 Debit Cash Dividends $35,750
Credit Dividends Payable $35,750
To record the declaration of a $0.50 per share cash dividend to stockholders of record on December 15, payable January 10, 2023. 71,500 shares.
Dec. 31 Debit Net income $371,000
Credit Retained Earnings $371,000
To transfer the net income determined to retained earnings.
Dec. 31 Debit Retained Earnings $61,750
Credit Cash Dividends $61,750
To close the cash dividends account to retained earnings.
Dec. 31 Debit Retained Earnings $65,000
Credit Stock Dividends $65,000
To close the stock dividends account to retained earnings.
Explanation:
a) Data and Analysis:
Jan. 15 Cash Dividends $26,000 Dividends Payable $26,000
$0.40 cash dividend per share to stockholders of record on January 31, payable February 15.
Feb. 15 Dividend Payable $26,000 Cash $26,000
Apr. 15 Stock Dividends $65,000 Dividends Distributable $65,000 10% .
May 15 Dividends Distributable $65,000 Common stock $65,000
Dec. 1 Cash Dividends $35,750 Dividends Payable $35,750
$0.50 per share cash dividend to stockholders of record on December 15, payable January 10, 2023. 71,500 shares
Dec. 31 Net income $371,000 Retained Earnings $371,000
Dec. 31 Retained Earnings $61,750 Cash Dividends $61,750
Dec. 31 Retained Earnings $65,000 Stock Dividends $65,000
You own a portfolio equally invested in a risk-free asset and two stocks. If one of the stocks has a beta of 1.12 and the total portfolio is equally as risky as the market, what must the beta be for the other stock in your portfolio
Answer:
Beta for the other stock = 1.88
Explanation:
A portfolio is said to be as risky as the market where its beta is exactly equal to 1. A beta of greater than 1 implies the portfolio is riskier than the average market, and less risky where the beta is less than 1.
A portfolio that has an equal proportion of three asset would mean a weight of 1/3 for each asset
So we can represent the portfolio beta as follows:
1 = 1/3×(0) + 1/3× (1.12) + 1/3×y
1= 0.37 + 0.33y
0.33y = 0.626
y= 0.626/0.33
y= 1.88
Beta for the other stock = 1.88
Engler Company purchases a new delivery truck for $55,000. In addition, the sales taxes are $4,000. Engler also paints on the logo of the company on the side of the truck for $1,600. The truck license is an additional $160. The truck also undergoes a one-time safety testing for $290. Finally, the truck also requires a tune up and oil change for $500. What does Engler record as the cost of the new truck
Answer:
$61,390
Explanation:
Calculation to determine What does Engler record as the cost of the new truck
Using this formula
Cost of new truck=Purchase price+Sales tax, painting +Logo on the side of the truck +Safety testing +Tune up and oil change
Let plug in the formula
Cost of new truck=$55,000 + $4,000 + $1,600 + $290 +$500
Cost of new truck= $61,390
Therefore what Engler will record as the cost of the new truck is $61,390
Rhein Manufacturing recorded operating data for its auto accessories division for the year. Sales $750,000 Contribution margin 150,000 Total direct fixed costs 90,000 Average total operating assets 400,000 How much is ROI for the year if management is able to identify a way to improve the contribution margin by $30,000, assuming fixed costs are held constant
Answer:
Return On Investment = 22.5%
Explanation:
Given:
Sales = $750,000
Contribution margin = $150,000
Total direct fixed costs = $90,000
Average total operating assets = $400,000
Find:
Return On Investment if contribution margin increase by $30,000
Computation:
Net operating income = Contribution margin - Total direct fixed costs
Net operating income = [$150,000 + $30,000] - $90,000
Net operating income = $90,000
Return On Investment = [Net operating income / Net operating assets]100
Return On Investment = [90,000 / 400,000]100
Return On Investment = [0.225]100
Return On Investment = 22.5%
Hernando lives in a county where everyone pays the same amount of taxes no matter their income. Which type of tax system is Her
MOST likely using?
Answer: Proportional Tax System
Explanation:
Hernando's country is using proportional tax system or Flat tax system.
What is proportional tax system?Everyone pays the same tax rate under proportional taxes, regardless of income. Since everyone pays the same rate, regardless of their income, sales taxes are considered proportional regressive taxes.
No matter their wealth or income, everyone pays the same amount of tax under a proportionate or flat tax system. This approach aims to achieve parity between the average tax rate paid and the marginal tax rate.
Because there is no tax penalty for earning more money, proponents of proportional taxation contend that they promote the economy by motivating people to work harder. Additionally, they think that firms would be more willing to invest and spend money under a flat tax structure, boosting the economy.
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Give an example of a skills training and explain
Answer:
Skills training is designed to provide employees with the targeted training they need to gain the knowledge and abilities necessary to fulfill the specific requirements of their job positions. some examples of skills training are:-
Adaptability. ...
Teamwork. ...
Creative Problem-Solving. ...
Time Management. ...
Conflict Management. ...
Positivity.
7. Valuing semiannual coupon bonds Bonds often pay a coupon twice a year. For the valuation of bonds that make semiannual payments, the number of periods doubles, whereas the amount of cash flow decreases by half. Using the values of cash flows and number of periods, the valuation model is adjusted accordingly. Assume that a $1,000,000 par value, semiannual coupon US Treasury note with five years to maturity has a coupon rate of 6%. The yield to maturity (YTM) of the bond is 9.90%. Using this information and ignoring the other costs involved, calculate the value of the Treasury note: $849,059.88 $721,700.90 $534,907.72 $1,018,871.86 Based on your calculations and understanding of semiannual coupon bonds, complete the following statement: The T-note described in this problem is selling at a .
The value of the Treasury note is $849,059.88 and this is selling at a discount.
The value of a treasury note depends on different factors such as:
The initial valueThe coupon rateThe value of the yield to maturityConsidering these aspects, let's calculate the value of the treasury note
Initial value: $1,000,000
$1,000,000 x 6% (coupon rate) = $60,000
$60,000 / 2 (the coupon pays twice a year) = $30,000 - This value refers to the payment per period
Let's consider now the number of periods and the yield to maturity
Number of periods: 5 x 2 (the number of periods double) = 10 periods
Yield to maturity or rate: 9.90% / 2 (cash flow decreases by half) = 4.95%
Finally, you can use the PV formula to calculate the value:
PV (4.95%,10,-30000,-1000000) - This part is done in excel program as the original formula is quite complex
PV =$849,059.88
Based on this, the value of the note is $849,059.88, and you can conclude this is selling at a discount because this value is lower than the initial value of 1,000,000.
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Use the graph illustrating the market for gasoline-fueled cars to answer the question. Which situation corresponds with this graph of the market for gasoline-fueled cars?
O The government increased tariffs on aluminum and steel, increasing the cost of producing all cars.
O The average price of crude oil decreased, causing the price of gasoline to decrease as well.
O The government strengthened safety standards, forcing producers to include more safety equipment in all cars.
O The average price of lithium decreased, causing the price of batteries used in electric cars to decrease.
The situation that corresponds with the graph of the market for gasoline-fuelled cars is the average price of crude oil decreased, causing the price of gasoline to decrease as well.
The graph is a diagram of the demand and supply curve for gasoline-fuelled cars. There is a rightward shift of the demand curve. A rightward shift of the demand curve indicates that the demand for gasoline-fuelled cars have increased.
Factors that can lead to a rightward shift of the demand curve for gasoline-fuelled cars
A decrease in the cost of a complement good: A complement good is a good that can be used together with a gasoline-fuelled car. An example of a complement good for gasoline-fuelled car is gasoline. If there is a decrease in the cost of gasoline, the demand for gasoline-fuelled cars would increase. An increase in the price of substitute goods: A substitute good is a good that can be used in place of another good. A substitute for gasoline-fuelled cars are electric cars. If the price of electric cars increase, the demand for gasoline-fuelled car would increase.To learn more, please check: https://brainly.com/question/14842844?referrer=searchResults
Ever since Damien interned at an accounting firm the summer after his freshman year of college, he’s wanted to become a CPA working at a large firm. Now, several years later after graduating from college, passing the CPA exam, and working at medium-sized firm, he’s been offered a job at a large national firm with the potential to become a partner in five years. Which of the five needs has Damien attained?
The need from Maslow's Hierarchy of Needs that has been accomplished is the esteem needs.
Maslow's Hierarchy of Needs simply refers to the theory of motivation that implies that there are certain needs that affect the behavior of a person.
Maslow's Hierarchy of Needs include:
Physiological needsSafety needsLove and belonging needsEsteem needsSelf-actualization needsBased on the information given, Damien has attained the esteem needs. This includes self-worth, respect, recognition, and reputation. Since Damien is wanted to become a CPA working at a large firm, he's in the fourth stage which is esteem needs.
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Suppose Robina Bank receives a deposit of $53,589 and the reserve requirement is 3%. Answer the questions using this information. Round your answers to two decimal places. What is the amount that Robina Bank must keep on hand as required by the Federal Reserve (Fed)? keep on hand: $ What is the amount that Robina Bank must have in excess reserves from this initial deposit? excess reserves: $ What is the total change in the M1 money supply from this one deposit? total change: $
Which of the following distinguishes why farmers of commodities are referred to as price takers?
The producer will not take a profit from the commodity if the price changes yearly.
The producer has no control over the market price and must take the price offered
The producer must seek out a fair price from buyers and take the price they all agree on
The producer is not legally allowed to take a price over the value created by the government
Answer:The producer has no control over the market price and must take the price offered
Explanation: it says it in the article
Describe What You Will Use The Money For:
Answer: buy or rent our home, pay for tuition, travel, and communicate using our mobile phones.
Explanation: Those are some things
Fred leases a taco store in the shopping center. In order to prepare his tacos, Fred installs a large, old stove to cook the meat. The lease runs out and Fred does not want to renew the lease. He leaves town and leaves the stove in the landlord's property. The lease contract did not mention the stove and the landlord is very unhappy. What is the legal situation now?
Answer:
The stove is a trade fixture, but Fred did not take it with him upon the expiration of the lease. Now it is the property of the landlord.
Explanation:
Since in the given situation it is mentioned that that lease would run out and he does not want to renew the lease also he leaves the stove in the property of the landlord. Due to this the landlord is very sad
So here the legal situation is that the stove would be classify as a trade fixture also he did not take it with him so now it would be the property of the landlord
The same would be considered
2. Why might this be the perfect advice for beginning investors?
Explanation:
Getting the right education is one of the best pieces of advice I would send to someone who is only learning to invest. Investing is all about purchasing firms that you know and appreciate, that have a strong competitive edge, and that have a solid management team, all at a decent price.
On January 1, 2021, Kapoor Co. sold equipment to its subsidiary, Howard Corp., for $125,000. The equipment had cost $150,000, and the balance in accumulated depreciation was $70,000. The equipment had an estimated remaining useful life of eight years and no salvage value. Both companies use straight-line depreciation. On their separate 2021 income statements, Kapoor and Howard reported depreciation expense of $86,000 and $64,000, respectively. The amount of depreciation expense on the consolidated income statement for 2021 would have been: Multiple Choice $144,375. $165,625. $150,000. $134,375. $155,625.
Answer:
The amount of depreciation expense on the consolidated income statement is $144,375
Explanation:
The computation of the depreciation expense is shown below:
Excess depreciation arise on gain on sale of asset is
= ($125,000 - $80,000) ÷ 8 years
= $5,625
Now the Consolidated depreciation is
= $86,000 + $64,000 - $5,625
= $144,375
Hence, the amount of depreciation expense on the consolidated income statement is $144,375
Merchandise that is priced significantly lower than what customers expect to pay is likely to remain unsold.
a) True
b) False