On November 7, a painter agreed with a homeowner to paint his house for $10,000, payment to be made upon completion of the job.

Answer:

The selections appear to be: B and D.

Explanation:

I also possess kitchen towels.

Answer:

a) the small bus

b) the medium or large bus

c) the small bus

Explanation:

a) using the maximin criterion, the manager aims to maximize the least possible profit (a pessimistic approach), which results in the following profits:

Bus size Demand

Low Medium High

Small 50 60 70 → minimum profit = 50

Medium 40 80 90 → minimum profit = 40

Large 20 50 120 → minimum profit = 20

Thus, the optimal choice yielding the highest minimum profit is the small bus.

b) applying the maximin criterion, the manager will seek to minimize potential maximum losses, determining losses based on the best profit scenario:

Bus size Demand

Low Medium High

Small 0 -20 -50 → maximum loss = -50

Medium -10 0 -30 → maximum loss = -30

Large -30 -30 0 → maximum loss = -30

Hence, the option that bears the least maximum loss is either the medium or large bus.

c) for calculating the expected value of each option:

small = 30/100*50 + 30/100*60 + 40/100*70 = 61

medium = 30/100*40 + 30/100*80 + 40/100*90 = 72

large = 30/100*20 + 30/100*50 + 40/100*120 = 69

The small bus turns out to be the best choice, as it has the highest expected profit.

820,000 + 15,000x = 920,000 + 13,900x. This results in

1,100x = 100,000, thus x = 91 units. For the break-even analysis: 1) Break-even point = fixed costs / contribution margin for Bonham: 820,000 / (28,000 - 15,000) = 63 units. Similarly, for McKinney, the break-even is 920,000 / (28,000 - 13,900) = 65 units.

Answer:

In a non-monetary exchange that lacks commercial substance, a company should note the acquired asset using the same book value as that of the asset it exchanged.

ABC's journal entry:

Dr Cash 25,000

Dr Building - new 75,000

Dr Accumulated depreciation building - old 60,000

    Cr Building - old 150,000

    Cr Gain on the exchange 10,000*

As the cash received is less than 25% of the total value in the exchange, only a partial gain attributable to the cash must be acknowledged. The partial gain is derived by deducting the cash received from the asset's fair market value. Here, the fair market value was $100,000 with a carrying value of $90,000, leading to a recognized gain of $100,000 - $90,000 = $10,000. Consequently, the new carrying value needs to be adjusted to align with the fair market value minus cash received ($100,000 - $25,000 = $75,000).

XYZ's journal entry:

Dr Building - new 105,000

Dr Accumulated depreciation building - old 15,000

    Cr Building - old 95,000

    Cr Cash 25,000

Considering the absence of commercial substance in the transaction and that XYZ did not receive cash, it must register the new building's value by combining the old building's carrying value with the cash paid to ABC (=$80,000 + $25,000=$105,000).

Answer:

Cumulative cash flow - $420

Net cash flow

January = $100

February= $150

March= $90

April -$55

May = $25

June -0

Explanation:

                                          January - February - March - April - May - June

Sales receipts                        300   350  300   350   400   300

Expenditures                    (200)  (200) (210) (295) (375) (300)

Net cash flows                    100     150    90     55      25     0

Total cash balance = $420