Earn the minimum wage

Assignment Help Accounting Basics
Reference no: EM13133395

A fast food restaurant has a drive -through window and during peak lunch times can handle a maximum of 80 cars per hour with one person taking orders, assembling them, and acting as a cashier. The average sale as per order is of the order of Rs.100. A proposal has been made to add two additional workers and divide the tasks among them. One will take orders, the second will assemble them, and the third will act as cashier. With this system it is estimated that 120 cars per hour can be serviced. All workers earn the minimum wage. Use productivity arguments to recommend whether or not to change the current system.

Reference no: EM13133395

Questions Cloud

How will you structure your business and why : But in order to grow you'll need to be able to keep the after- tax earnings. You also want to limit your liability. How will you structure your business and why?
With regard to critical success factors : With regard to critical success factors, which one of the following would not be considered a financial measure of success?
Explain how to construct an unadjusted trial balance : Explain how to construct an unadjusted trial balance. Provide an example of the application of the debit/credit rules in the development of the trial balance.
Non-equivalence of vectors : Explain in your own words when the elimination method for solving a system of equations is preferable to the substitution method.
Earn the minimum wage : With this system it is estimated that 120 cars per hour can be serviced. All workers earn the minimum wage. Use productivity arguments to recommend whether or not to change the current system.
Explain how the double-declining-balance method is computed : Explain how the double-declining-balance method is computed. Provide an example of how this method could be used on the new delivery truck purchased for $300,000 to be used for 4 years with a salvage value of $5,000 for year one only.
In which system should the firm invest : Net present value: Blanda Incorporated management is considering investing in two alternative production systems. The systems are mutually exclusive.
Explain how to perform a vertical analysis of financial : Explain how to perform a vertical analysis of financial statements. Provide an example of how the results of this analysis could be used to make business decision
What entry will givens brick company make to pay off : Admire County Bank agrees to lend Givens Brick Company $300,000 on January 1. Givens Brick Company signs a $300,000, 8%, 9-month note. What entry will Givens Brick Company make to pay off the note and interest at maturity assuming that interest ha..

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much must be paid in dividends

TMI is a calendar year personal service corporation which reports income on a calendar year end basis. TML is also a personal holding company. TML had $125,000 of taxable income during the year. It is now December 31st.

  Preparing the bank reconciliation

While preparing the bank reconciliation, you notice that a check, written by the company for $750, has been outstanding for 5 months. What is the best action for you to take?

  Prepare journal entries that fortune-time recorded

Listed below are transactions dealing with various stock benefit plans of Fortune-Time Corporation during the period 2009-2011. The market price of the stock is $45 at January 1, 2009. Prepare the Journal entries that Fortune-Time recorded for each..

  Amount to be capitalized as cost

Storm paid no installation charges under the monthly payment plan but a $200 installation charge would have been incurred with a cash purchase. The amount to be capitalized as the cost of the machine on October 31, 2010 would be ?

  Stockholders equity at the end of the year

Jimmy's Repair Shop started the year with total assets of $100,000 and total liabilities of $80,000. During the year the business recorded $210,000 in revenues, $110,000 in expenses, and dividends of $20,000. Stockholders' equity at the end of the..

  Determine the tax consequences of the redemption

Determine the tax consequences of the redemption to Tammy and to Broadbill under the following independent circumstances.

  Journal entries for preferred and common stocks

Common and preferred stock? issuances and dividends. Flameco Corp. was incorporated on January 1, 2003, and issued the following stock, for cash:

  Role of financial advisor

A financial advisor tells you that you can make your child a millionaire if you just start saving early. You decide to put an equal amount each year into an investment account that earns 8% interest per year, starting on the day your child is born..

  Statement concerning the impact of transaction

Sam owes Bob $8,000. Bob cancels (forgives) the debt. The cancellation is not a gift, but Sam is insolvent. Which of the following statements is correct concerning the impact of this transaction?

  Variable and absorption costing

XYZ Company sells its razors at $8.00 per unit. The following data relates to its first year of operations. Prepare an income statement based on variable costing.

  Us stock market without reconciling

Why is the SEC reluctant to accept IAS, now very willing to allow firms using IFRS to issue securities in the US stock market without reconciling to US GAAP?

  Determining the losses claim

During 2012, Lorraine sold the following assets: business equipment for a $8,000 loss, stock investment for a $10,000 loss, and her principal residence for a $26,000 loss. how much of these losses may Lorraine claim on her 2012 return?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd