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-Dominant-
6 days ago
10

Sussman Co. prepared cash-basis financial statements for the month ended January 31. A summary of Sussman's January activities f

ollows: Credit sales of $5,600. Collections of $1,900 relating to January credit sales. Accrued salaries of $1,200. By what amount will Sussman's cash-basis income for the month ended January 31 increase as a result of restating these activities to the accrual basis of accounting?
Business
1 answer:
marusya05 [3.4K]6 days ago
5 0
An increase of $2,500.
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Lisa surveyed a sample group of people. Based on her survey, Lisa suggested to her company that they develop a customizable trav
stepan [3267]

Answer:

I believe the correct answer is e) ad analysis

Explanation:

She conducted a survey among a group of individuals. Following this, she recommended to her company the development of a customizable travel app.

8 0
29 days ago
A firm evaluates all of its projects by applying the IRR rule. A project under consideration has the following cash flows:Year C
marusya05 [3433]

Answer:

IRR = 14.96%

The project should be rejected, because the calculated internal rate of return falls short of the required return (14.96% < 16%).

Explanation:

The internal rate of return (IRR) is an essential calculation in capital budgeting for assessing potential investment profitability. The IRR rule guides whether to pursue a project or investment, stipulating that if the IRR exceeds the minimum required return, the project should be accepted. Conversely, if it’s lower than the cost of capital or the requisite return, the project should be turned down.

The formula used is as follows:

$0 = (initial investment x -1) + CF1 / (1 + IRR) ^ 1 + CF2 / (1 + IRR) ^ 2 +... + CFX / (1 + IRR) ^ X

Initial Investment = Total initial investment costs year x-1

CFx = Cash Flow during period X

IRR = Internal rate of return

Due to the nature of the IRR formula, it cannot be computed analytically; it must be derived through trial and error or via specialized software for IRR calculation.

In this instance:

IRR = -27200 + 11200 / (1 + IRR) ^ 1 + 14200 / (1 + IRR) ^ 2 + 10200 / (1 + IRR) ^ 3

IRR = 14.96%

The company should not proceed with the investment, as the calculated IRR is less than what is required (14.96% < 16%).

5 0
14 days ago
Project A has cash flows of –$74,900, $18,400, $26,300, and $57,100 for Years 0 to 3, respectively. Project B has cash flows of
Mariulka [3472]

Respuesta:

El Proyecto A debe ser aceptado NPV 3,948.77

El Proyecto B debe ser rechazado NPV -7,086.76

Explicación:

Calcular el valor presente de cada flujo de caja con una tasa de descuento del 11.5% utilizando la fórmula para el valor presente de un monto único:

\frac{Nominal}{(1 + rate)^{time} } = PV

la tasa para cada flujo de caja será del 11.5%

el tiempo corresponderá al año del flujo de caja

y el valor nominal de cada flujo de caja

Proyecto B:

Año 1

\frac{18400}{(1 + 0.115)^{1} } = PV  

PV   16,502.24

Año 2

\frac{22700}{(1 + 0.115)^{2} } = PV  

PV   18,258.96

Año 3

\frac{51500}{(1 + 0.115)^{3} } = PV  

PV   37,152.04

Total flujo de caja descontado: 71,913.24‬

NPV: flujo de caja descontado - inversión

71,913.24 - 79,000 = -7,086.76

El Proyecto B debe ser rechazado NPV -7,086.76

Proyecto A:

Año 1:

\frac{18400}{(1 + 0.115)^{1} } = PV  

PV   16,502.24

Año 2:

\frac{26300}{(1 + 0.115)^{2} } = PV  

PV   21,154.66

Año 3:

\frac{57100}{(1 + 0.115)^{3} } = PV  

PV   41,191.87

Total flujo de caja descontado: 78,848.77

NPV:flujo de caja descontado - inversión

78,848.77 - 74,900 = 3,948.77‬

El Proyecto A debe ser aceptado NPV 3,948.77

6 0
1 month ago
Builder Products, Inc., uses the weighted-average method in its process costing system. It manufactures a caulking compound that
marusya05 [3433]

Answer:

Explanation:

Initial WIP inventory                    74000  

Add: Units initiated in May           390000  

Subtract: Final inventory                  34000  

Completed and moved units       430000  

1                        Equivalent Units

                                                            Whole units Materials    Conversion

Initial WIP inventory                    74000           74000        74000

Units started and finished            356000     356000        356000

Final inventory                                34000           23800         10200

Total units accounted for           464000         453800        440200

                                                                Materials Conversion  

Production equivalent units         453800    440200  

2    

Cost Information:                       Total Material Conversion

Initial WIP inventory                  142800     98800       44000

Costs incurred during May                      755960    513830      242130

Total costs needing accounting          898760    612630      286130

Divided by Equivalent units                                    453800 440200

Cost per Equivalent unit                           2.00      1.35 0.65

Materials Conversion  

Cost per Equivalent unit                           1.35 0.65  

3    

Cost Allocation:    

Ending Work in process:    

Material                                                 32130  

Conversion                                            6630  

Total Ending Work in process             38760  

4    

Cost of completed and transferred units    

Material                                                 580500  

Conversion                                            279500  

Total costs                                                       860000  

5    

Costs to be accounted for:    

Initial WIP inventory                       142800  

Current expenses                                          755960  

Overall costs to be accounted for            898760  

Costs accounted for include:    

Cost of completed and moved units 860000  

Cost of ending work in process            38760  

Overall accounted costs                      898760  

6 0
1 month ago
How do basic level occupation help society​
stepan [3267]

Answer:

An occupation, job, employment, or work represents an individual's role within society. Specifically, a job refers to an activity that is commonly regular and performed in exchange for compensation ("to earn a living"). Many individuals hold multiple roles (such as parent, homemaker, and employee). One can initiate a job through employment, volunteering, entrepreneurship, or parenting. The time span of a job can vary from short-term (like hourly tasks) to long-lasting (for example, judges).

6 0
1 month ago
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