Francis works for a local fly-fishing shop. The shop allows employees to purchase two fly rods per year at a discount. This year, Francis purchased one rod. The rod normally retails for $300, was purchased for $225, was sold to Francis for $250, and the employer's average gross profit percentage is 30 percent. What amount of the discount must be included in Francis's income

Answers

Answer 1

The amount of discount that has to be included in Francis's income is 0.

How to solve for the discount amount

The amount of the discount - sales price

= 300 - 250

= $50

This is the discount when it is sold to employees

Next we solve for the gross profit as

sales price x gross profit rate

= 300 x 30%

= 90

Given the amounts that we have here we have to conclude that the amount to be included in the account is 0

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Related Questions

When you market Medicare Advantage and Part D plans, what may you offer as a gift to induce enrollment in a plan

Answers

When you market Medicare Advantage and Part D plans, what  you may offer as a gift to induce enrollment in a plan is: You may provide gifts to all  enrollees during an event that is not above $15 in retail value.

What is Medicare Advantage marketing?

Medicare is a medical coverage  and Medicare Advantage marketing can be defined as the way of marketing the plan to people and telling them the advantage of the plan  including what they will benefit if they enroll for the plan.

Based on the given scenario  you may  offer either  gift items  or prizes to all potential enrollees that is not above  $15 in retail value so as to convince them to enroll.


Therefore When you market Medicare Advantage and Part D plans, what  you may offer as a gift to induce enrollment in a plan is: You may provide gifts to all  enrollees.

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what does the international monetary system consist of?

Answers

The monetary systems consists of international payment and transfer, exchange of currencies across borders..

What are international monetary system?

They are system, rules or even institutions that supports and facilitates international trade and also facilitates exchange of currencies between states.

These monetary systems consists of international payment and transfer, exchange of currencies across borders..

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Suppose a bank has $700 million in deposits and $30 million in required reserves, and it is holding no excess reserves. What is the required reserve ratio

Answers

Suppose a bank has $700 million in deposits. The required reserve ratio is 4.3%.

Required reserve ratio

Using this formula

Required reserve ratio=Required reserves/deposits

Let plug in the formula

Required reserve ratio=$30 million/$700 million×100

Required reserve ratio=4.28%

Required reserve ratio=4.3% (Approximately)

Therefore the required reserve ratio is 4.3%.

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The greatest amount of satisfaction comes from which utility?

Answers

The greatest amount of satisfaction comes from good's consumption of utility or say utility maximizer.

What is the term about?

A utility maximizer is known to be a person that seeks to get the highest satisfaction or happiness.

Utility is known to be the happiness or benefit consumers gotten from a good's consumption.

Therefore, The greatest amount of satisfaction comes from good's consumption of utility or say utility maximizer

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in forward and futures contracts, the risk of non-fulfilment of contract terms is most likely borne by:

Answers

In forward and futures contracts, the risk of non-fulfillment of contract terms is most likely borne by both parties to the contract.

What are forward and futures contracts?

The difference between a forward and futures contract lies in their establishment.

A forward contract is a personal arrangement traded over the counter whereas, a futures contract is a standardized contract made through an established exchange.

Thus, in forward and futures contracts, the risk of non-fulfillment of contract terms is most likely borne by both parties to the contract.

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When a profit-maximizing firm in a competitive market has zero economic profit, accounting profit Group of answer choices is negative. is at least zero. is also zero. could be positive, negative or zero

Answers

Selling the same good to various consumers at different prices is the only option when a profit-maximizing corporation in a competitive market has zero economic profit or accounting profit.

What is a profit-maximizing firm?

Operating where marginal revenue and marginal expense are equal maximizes profit for a business. According to neoclassical theory, which assumes that the price must match the marginal cost condition, a firm must maximize profit in order to decide on an output and input level.

Profits and losses are ultimately eliminated because an endless number of businesses produce uniform, infinitely divisible items.

The appropriate response is thus that there are no choices because everything is produced and sold at the same price.

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in the preparation of a pro forma income statement, an entrepreneur must first _____.

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In the preparation of a pro forma income statement, an entrepreneur must first develop a sales budget.

What is sales budget?

A sales budget is what gives summary of quantity of goods and services which a company intends to sell in the future. It is however used in the production budget.

Hence, in the preparation of a pro forma income statement, an entrepreneur must first develop a sales budget.

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Management contracts usually stipulate that multiple choice the contract be annual with renewal options. a fee be paid to the firm providing the management expertise. 30 to 50 percent of sales belong to the licensee. 30 to 50 percent of revenues belong to the licensor.

Answers

Management contracts usually stipulate that fees be paid to the firm providing the management expertise. Thus the correct answer is A.

What are contracts?

The contract refers to an agreement enforced by the law-bound two parties or individuals in a commitment within consent to start a deal.

A management contract refers to a contract that allows an organization to participate in the operations and decision-making of the business of another company.

Therefore, option A fee is paid to the firm providing expertise by mangement is the appropriate answer.

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If washburn guitars were to lower the price of the maya pro dd75 to $2,499 from $2,699, sales of the guitar would increase 30 percent. This illustrates.

Answers

The Washburn guitars reduces their price from  $2,499 to $2,699 as a result of the sales of the product drastically increased by 30%, So this represents that the product has an elastic demand.

What do you mean by elastic demand?

When the price of a product has a massive effect on the quantity purchased is called Elastic demand. A product is stated to have an elastic demand if sales drop sharply in reaction to a growth in price, or sales spike whilst prices are decreased.

Thus, The Washburn guitars reduces their price from  $2,499 to $2,699 as a result of the sales of the product drastically increased by 30%, So this represents that the product has an elastic demand.

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The value net framework includes an analysis of a. the firm, substitutes, suppliers, customers, and competitors. b. the firm, suppliers, customers, competitors, and driving forces. c. substitutes, suppliers, customers, competitors, and driving forces. d. the firm, suppliers, customers, competitors, and complementors. e. substitutes, suppliers, customers, competitors, and potential entrants.

Answers

The value net framework includes an analysis of d. the firm, suppliers, customers, competitors, and complementors.

Who are those involved in a value net framework?

The entities that influence a business's success include its Customers, Suppliers, Competitors, and Complementors.

A business should develop cooperative and productive relationships with these influencers in addition to studying its internal capabilities and competencies to derive external value.

Thus, the value net framework includes an analysis of d. the firm, suppliers, customers, competitors, and complementors.

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In making the best economic choices, consumers compare the benefits of the choice to:.

Answers

In making the best economic choices, consumers compare the benefits of the choice to the cost of the choice.

How to make the best economic choices?

In making the best economic choices, the costs of the choice should be compared with the benefits of the choice. The choice should only be made when the benefits of making the choice exceeds the cost of the choice.

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in a private equity structure, the party that raises the capital and makes decisions is:

Answers

It is to be noted that in a private equity structure, the party that raises the capital and makes decisions is the General Partner.

Who is the the General Partner?

In private equity settings, a General Partner is the entity who together with at least one other person (legal or individual) to form a business.

Hence, in a private equity structure, the entity that provides the capital and makes decisions is the General Partner.

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Lee Sun's has sales of $3,300, total assets of $3,000, and a profit margin of 6 percent. The firm has a total debt ratio of 42 percent. What is the return on equity

Answers

The return on equity  is 11.37%.

What does an equity means?The value that would be restored to a company's shareholders if all of its assets were sold and all of its obligations were settled is known as equity. We can also think of equity as the amount of ownership that remains in a company or asset after all debts related to that asset have been paid off.

Net income = $3,300 x 0.06 = $198

Total debt ratio = 0.42 = ($3,000 - total equity)/$3,000

Total equity = $1740

Return on equity = $198/$1740

                              = 0.1137 or 11.37%

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The extent to which firms are meeting objectives suggests they a. are likely to prosper in the future. b. are likely to continue their present strategy with only minor fine-tuning. c. are virtually certain to make fresh strategic moves. d. recognize the status quo as the best course of action to adopt. e. realize that refocusing will ensure competitive gains.

Answers

The extent to which firms are meeting objectives suggests they are likely to continue their present strategy with only minor fine-tuning.

What are organizational objectives?

Organizational objectives refers to the short-term and medium-term goals in which organizations intend to achieve

Hence, the extent to which firms are meeting objectives suggests they are likely to continue their present strategy with only minor fine-tuning.

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In the context of the different techniques used by an inference engine to manipulate a series of rules, _____ refers to a series of "if-then-else" condition pairs

Answers

In the context of the different techniques used by an inference engine to manipulate a series of rules, forward chaining refers to a series of "if-then-else" condition pairs.

What is an inference engine?

An inference engine is a part of the system that applies logical rules to the knowledge base to deduce new information. The first inference engines were components of expert systems.

Therefore, the correct answer is forward chaining.

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production possibilities curve. the curve of the graph

is called "The Frontier"

Answers

The PPC, sometimes referred to as the production possibilities frontier, depicts scarcity and tradeoffs.

What does the curve of the production possibility frontier represent?

The production possibility frontier or PPF is a curve used in business analysis to show the different quantities of two items that can be produced when they both rely on the same limiting resources.

Thus, The PPC, sometimes referred to as the production possibilities frontier

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Every corporation should have a strong independent board of directors that does all of the following except a. remain well-informed about the company's performance and exercises its fiduciary duty to protect shareholders responsibly. b. guide management in choosing a strategic direction and makes independent judgments about the validity and wisdom of management's proposed strategic actions. c. evaluate the leadership skills of the CEO and other senior executives. d. retain sufficient courage to curb management actions deemed inappropriate or unduly risky. e. take responsibility for leading the strategy-making, strategy-executing process.

Answers

A firm does not need a strong independent board of director that is responsible for leading the strategy-making and strategy-executing process.

What is an independent director?

This refers to those member of a board that does not have a material or financial relationship with the company except a sitting fees

Among other option, a typical corporation does not need a strong independent board of director that is responsible for leading the strategy-making and strategy-executing process.

Therefore, the Option E is correct.

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Ballard Company incurred a total cost of $9,400 to produce 300 units of pulp. Each unit of pulp required six (6) direct labor hours to complete. What is the total fixed cost if the variable cost was $1.50 per direct labor hour

Answers

The total fixed cost if the variable cost was $1.50 per direct labor hour is $6700.

Total fixed cost

Using this formula

Total cost=Fixed cost+ Per Direct labor hours×Units of pulp× Direct labor hours

Let plug in the formula

9400=FC + 1.50(300)(6)

9400=FC + 2700

FC=$6700

Therefore the total fixed cost if the variable cost was $1.50 per direct labor hour is $6700.

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In order to gather additional in-depth information needed for business decisions, marketers must do their own research by gathering:

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In order to gather additional in-depth information needed for business decisions, marketers must do their own research by gathering: primary data.

What is primary data?

This is the data that researchers have to gather by themselves by going into the field.

Primary data is the type of data that can be gotten from direct surveys, questionnaires and other forms of data collection.

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The essence of a broad differentiation strategy is to a. appeal to the high-end part of the market and concentrate on providing a top-of-the-line product to consumers. b. incorporate a greater number of differentiating features into its product/service than rivals. c. lower buyer switching costs. d. outspend rivals on advertising and promotion in order to inform and convince buyers of the value of its differentiating attributes. e. offer unique product attributes in ways that are valuable and appealing and that buyers consider the cost worth it.

Answers

The essence of a broad differentiation strategy is to e. offer unique product attributes in ways that are valuable and appealing and that buyers consider the cost worth it.

What is  differentiation strategy?

A differentiation strategy can be regarded as a  approach businesses which is used in making the product of a company to be unique to have upper hand on the competitors.

It should be noted that differentiation strategy increase comparative advantages.

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In the United States alone, $16 billion of products and services are traded every year without any money changing hands in a practice referred to as

Answers

In the United States alone, $16 billion of products and services are traded every year without any money changing hands in a practice referred to as Barter transactions account .

A barter exchange account is handled as an asset account and the revenue from bartering is treated as income in a typical journal entry. In the aforementioned scenario, barter income would be credited with $100 and the barter exchange account would be debited with $100.A barter exchange is a group of people or businesses that have decided to swap goods or services without taking payment in cash.Disadvantages are that bartering frequently requires much time and hassle and that goods are often not readily divisible, meaning that swapped goods have to be basically equal in value if a trade is to occur.

What are barter accounts?

A barter exchange operates as a broker and bank in which each participating member has an account that is debited when purchases are made, and credited when sales are made. Compared to one-to-one bartering, concerns over unequal exchanges are reduced in a barter exchange.

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Amazon is considered one of the best digital marketers and is known for establishing relationships with customers. The company typically asks website visitors to register and opt-in to receiving e-mail communication and other offers. Thus, Amazon can identify visitors to its site before they make a purchase. Amazon is utilizing the _______ feature of online media.

Answers

Since Amazon can identify visitors to its site before they make a purchase, it is utilizing the addressability feature of online media.

What is digital marketing?

This is an aspect of online channel, in which organizations use to promote their brand or image. Here, people who are digitally inclined can connect to the company's product offering.

Benefit of digital marketing are:

Targeted audience can be reached in a cost-effective and measurable way. Increasing brand loyalty and driving online sales.

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Marketing documentation typically includes:

Answers

The marketing agreement is essential document for marketer to market a new product, it outlined work to be done in campaign.

Marketing requirements document define the product or service to market, the effort is done as per task assigned for promotion or brand new product.

Strategic plan outlines marketing campaign goals and milestones to achieve the goal with or without others involvements.

Content schedules is to obtain content to execute marketing strategy, this is special promotion or it is limited time offers.

What is Marketing?

The marketing is an action of promoting / selling of products or providing services.

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Which sentence best completes the diagram?

Answers

When the Federal Reserve lowers the interest on reserves the prime rate decreases

When the prime rate decreases the economy slows down and consumers start to restrict the purchase and industries curtail to expand Hence Federal Reserve decreases the reserve ratio so that consumers and businesses take more loans and the economy pace upWhen the Federal Reserve decreases the reserve ratio, it lowers the amount of cash that banks are required to hold in reserves, allowing them to make more loans to consumers and businesses. This increases the nation's money supply and expands the economy. As reduced finance costs can encourage borrowing and investing, the Federal Reserve reduces interest rates to promote economic growth. Rates, on the other hand, might encourage excessive growth and subsequent inflation when they are too low, which would lower purchasing power and jeopardize the sustainability of the economic development.

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A national grocery chain is divided into well-demarcated groups such as the Northeastern division, the Northwestern division, the Southeastern division, and the Southwestern division. These divisions have been set up based on the location of large groups of customers the company serves. In the context of departmentalization, this company is most likely using a(n)

Answers

Based on the fact that the divisions of this national grocery chain are set up in such a way that they can serve different locations, this is a geographic structure.

What is a geographic structure?

This is a departmentalization style where a company creates divisions in various areas to service their customers located in those places.

This is what this national grocery chain is doing by setting up divisions in various areas to access their customers around the country.

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If government spending increases or personal income taxes decrease, what are the likely effects on output, price level, and interest rates?

Price Level / Output / Interest Rates


1) Increase / Increase / Decrease

2) Increase / Increase / Increase

3) Decrease / Increase / Decrease

4) Decrease / Decrease / Decrease

5) Decrease / Decrease / Increase

Answers

When there is an increase in government spending, there will be an increase on the output, price level, and interest rates

What is a government spending?

This refers to the funds injected to the public sector on the acquisition of services such as education, healthcare, social protection, defense etc.

Most time, the effect of an an increase in government spending leads to an increase on the output, price level, and interest rates as it is a method of stimulate demand.

Therefore, the Option A is correct.

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Materials that become an important component of the finished product whose cost can be easily and conveniently traced to the finished product are:.

Answers

Materials that become independent components of the finished product and whose cost can be easily and conveniently traced to the finished products are direct materials.

What are direct materials?

Those components pass into a manufactured product are called as Direct materials. Direct materials cost refers to the cost of direct materials which may be without problems recognized with the unit of production.

For example, the value of glass is an immediate substance cost in light bulb manufacturing.

Hence, Materials that become independent components of the finished product and whose cost can be easily and conveniently traced to the finished products are direct materials.

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Consumers usually buy a(n) _____ only after comparing several brands or stores on style, practicality, price, and lifestyle compatibility

Answers

Consumers usually buy a shopping product only after comparing several brands or stores on style, practicality, price, and lifestyle compatibility

Who are consumers?

Consumer are individual or group of people who are willing to pay for a particular products or services they need.

Consumer often go around to compare prices and custom relations after which they decide who to buy from.

Therefore, Consumers usually buy a shopping product only after comparing several brands or stores on style, practicality, price, and lifestyle compatibility

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Question 2 of 20
If you choose to own a credit card, it is important to:
0 A. pay
A. pay off the balance each month.
B. make minimum payments each month.
O C. use more than one credit card to distribute the costs.
O D. use credit cards as often as possible.

Answers

Answer: (B)

Explanation: so you can save your money that is the wi way

Explain how the accounting for a fair value hedge differs for the hedged item and for the hedging item compared to the accounting for a cash flow hedg

Answers

A cash flow hedge is accounted for differently than a fair value hedge.

The key difference between a cash flow hedge and a fair value hedge is the hedged item. With a cash flow hedge, you’re hedging the changes in cash inflow and outflow from assets and liabilities, whereas fair value hedges help to mitigate your exposure to changes in the value of assets or liabilities.

A fair value hedge is used to mitigate risk created by fixed exposures such as fixed costs, prices, rates, or terms. Whereas a cash flow hedge is used to mitigate risk from variable exposures.

In the case of the Hedged Item:

a) Loss on the hedging item on the reporting date:

Debit the loss to Loss on the Hedged Item A/c. This will have an effect on the Profit & Loss A/c and reduce the profit of the company.

Credit the Hedged item. Since this is an asset, the value of the asset will go down, and this will affect the Financial Position i.e., Balance Sheet of the company.

b) Gain on the hedging item on the reporting date:

Debit the Hedged item. Since this is an asset, the value of the asset will go up, and this will affect the Financial Position i.e., Balance Sheet of the company.

Credit the gain to Gain on the Hedged Item A/c. This will have an effect on the Profit & Loss A/c and increase the profit of the company.

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