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A hotel pays the phone company $200per month plus $.15 for each call made. During January 7,000 callswere made. In February 8,000 calls were made.
a)Calculate the hotel's phone bills for January and February.b)Calculate the cost per phone call in January and in February.c)Separate the January phone bill into its fixed and variablecomponents.d)What is the marginal cost of one additional phone call inJanuary?e)What was the average cost of aphone call in January?
Shonen Knife Corporation has elected to use the fair value option for one of its notes payable. The note was issued at an effective rate of 11% and has a carrying value of $16,000. At year-end, Shonen Knife's borrowing rate has declined; the fair ..
If a building for sale has an estimated market value of $800,000, could it at the same time have an investment value of $10,000,000? Why or why not?
On January 16, 2011, Sorter Company determined that its receivable from Ordonez Company of $8,000 will not be collected, and management authorized its write-off. a) Prepare the journal entry for Sorter Company to write off the Ordonez receivable.
Prepare the journal entry to record Zende Company's issuance of 75,000 shares of $5 par value common stock assuming the shares sell for
Based on the formulas you have reviewed, what happens to contribution margin per unit when unit selling prices increase? Illustrate your explanation with an example from a fictitious company of how an increase in unit selling prices might affect cont..
Revenue represents the benefit a company experiences from operating its business. In accounting terms, revenues are increases in assets or decreases in liabilities resulting from business operations. Accrual accounting requires companies to recogn..
Trikeco, a domestic corporation, manufactures mountain bicycles for sale both in the United States and Europe. Trikeco operates in Europe through Trike1, a wholly owned Italian corporation that manufactures a special line of mountain bicycles for ..
State the null hypothesis. What statistical test should you use? What are the degree of freedom associated with the test statistic?
Texas has just passed a law making it mandatory to have every head of cattle inspected at least once a year for a variety of communicable diseases.
To what extent might companies use of these different treatments reduce the comparability of the resulting financial statements?
A barn, destroyed by fire, had a basis of $40,000. The owner received $50,000 in insurance proceeds. The barn was replaced by another barn costing $45,000. The basis of the new barn is:
Axel Corporation acquires 100% of the stock of Wheal Company on December 31, Year 4. The following information pertains to Wheal Company on the date of acquisition:
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