Martina advises her tax client, Breslin Baked Goods, to disclose a matter by attaching a special form to its corporate tax retur

Divide 217,000 by four, and then add that result to itself.

Answer:

a. In favor of the employer since the employee failed to present a prime facie case of age discrimination under the ADEA.

Explanation:

This holds true, as if the employee had been able to establish a prime facie reason for his termination, it would significantly bolster his case in a court setting.

If the department is eliminated, a saving of $10,000 would occur. This is based on the data provided: the annual contribution margin is $35,000, and the annual fixed costs are $70,000. If fixed costs of $25,000 cannot be avoided, the losses when the department operates can be calculated as follows: Loss = contribution margin - fixed costs = $35,000 - $70,000, which indicates a loss of $35,000. If the department were to be removed, the unavoidable fixed cost drops to $25,000, resulting in a loss of $25,000. Therefore, the savings from eliminating the department is calculated as: Savings = $35,000 - $25,000, leading to a total saving of $10,000.

Answer:

Comparative advantage

Explanation:

The reason is that Japan incurs a lower opportunity cost in producing cameras compared to the US, which gives Japanese firms an advantage in competition based on production costs rather than efficiency. Japanese cameras dominated the US market easily since the production costs in Japan are significantly lower than in the US. Hence, comparative advantage theory aptly explains this camera trade in international commerce.

According to the scenario, the formula alongside with the given data is as follows:-

Current Ratio = Current Assets ÷ Current Liabilities

where,

Current assets for the year is

= Cash + Account Receivable(Net) + Inventory

= $4,500 + $20,800 + $10,100

= $35,400

The current liabilities total $ 12,700

Thus, the current ratio can be calculated as

= $35,400 ÷ $12,700

= 2.79 times

Acid Test Ratio (2017) = (Accounts Receivable + Cash) ÷ (Current Liabilities)

= ($20,800+$4,500) ÷ ($12,700)

= $25,300 ÷ $12,700

= 1.99 times

The Accounts Receivable Turnover can be determined as

= Sales ÷ (Opening Receivable + Closing Receivable ÷ 2)

= $110,000 ÷ ($23,300 + $20,800 ÷ 2)

= $110,000 ÷ $22,050

= 4.99 Times

The Inventory Turnover Times is

= Cost of Goods Sold ÷ (Opening Inventory + Closing Inventory ÷ 2)

= $60,800 ÷ ($7,200 + $10,100 ÷ 2)

= $60,800 ÷ $8,650

= 7.03 Times

Profit Margin is

= Profit ÷ Sales × 100

= $15,000 ÷ $110,000 × 100

= 13.64%

Assets Turnover  is

= Sales ÷ (Opening Assets + Closing Assets ÷ 2)

= $110,000 ÷ ($119,500 + $110,300 ÷ 2)

= $110,000 ÷ $114,900

= 0.96 Times

Return on Assets is

= Profit ÷ (Opening Assets + Closing Assets ÷ 2)

= $15,000 ÷ ($119,500 + $110,300 ÷ 2)

= $15,000 ÷ $114,900

= 13.05%

Equity is defined as

Common Stock + Retained Earnings

Opening Equity amounts to

= $68,600 + $19,800

= $88,400

Closing Equity stands at

= $74,900 + $22,700

= $97,600

Return on Common Stock Holder’s Equity can be calculated by

= Profit ÷ (Opening Equity + Closing Equity ÷ 2)

= $15,000 ÷ ($88,400 + $97,600 ÷ 2)

=$15,000 ÷ $93,000

= 16.13%

The Debt to Asset Ratio is

= Borrowing ÷ Assets

= 0 ÷ $110,300

= 0

Through the calculation of these ratios, one can assess the organization’s financial health, liquidity, performance, and overall financial standing. These ratios accurately depict the status of the company.