User Account

All Pages

How to solve the impact of the exhibit on company profit

Assignment Help Financial Accounting
Reference no: EM132584565

The exhibit will cost the company $12,000 for space. The company estimates that revenue will increase by $36,000 over the next year as a result of the exhibit.

For the previous year, profit was as follows:

Revenue $201,000

Less: Design supplies (variable cost)$15,000

Salary of Samantha Spade (owner)80,000

Salary of Kim Bridesdale (full time employee)55,000

Rent18,000

Utilities6,000

Depreciation of office equipment3,600

Printing of advertising materials700

Advertising in Middleton Journal2,500

Travel expenses other than depreciation of autos (variable cost)$2,800

Depreciation of company cars9,000

Question 1: Calculate the impact of the exhibit on company profit.

Reference no: EM132584565

Questions Cloud

Why the company will benefit from telecommunicating : Any company wants to change its company policies so as to enable more people to work from home using flex time
Benefits and challenges of being a member of a team : Compare and contrast the benefits and challenges of being a member of a team with regard to productivity.
Determine the interest rate earned on a deposit : Determine the interest rate earned on a $3,000 deposit when $3,600 is paid back in one year. (Round your answer to 2 decimal places.)
What are the external environmental factors : What are the external environmental factors affecting the company and industry?
How to solve the impact of the exhibit on company profit : The exhibit will cost the company $12,000 for space. The company estimates that revenue will increase, Calculate the impact of the exhibit on company profit
Analyse the practice of organizational change methodology : Analyse the practice of organizational change methodology by discussion of the differences between soft and hard system models of change
Does musk exemplify a great manager and leader : Does Musk exemplify a great manager and leader? Is he really a visionary genius? Where and when has he left doubts about those qualities?
What price would expect app holdings stock : App Holdings' equity cost of capital is 18%, what price would you expect App Holdings' stock to sell for at the end of three years?
How international trade theory fits : How international trade theory fits the industry of Air New-Zealand?

Reviews

Write a Review

Financial Accounting Questions & Answers

  Calculate the debt-equity ratio and equity multiplier

Calculate the debt-equity ratio and equity multiplier for each year. Calculate the NWC to total assets ratio for each year. (Round the final answers)

  Understanding of accounting and finance important

Why is a general understanding of accounting and finance important to a healthcare manager, even a manager who does not specifically work in accounting

  Recognition of contingent liability in financial

recognition of contingent liability in financial statement.your company has been sued. the plaintiffs accounting expert

  Compute the net income for the current year

Compute the net income for the current year, assuming that there were no entries in the Retained Earnings account except for net income

  Illustrate what will be the effect of the lease on ltt

The office building was acquired by Lakeside at a cost of $1 million and was expected to have a useful life of 15 years with no residual value. Illustrate what will be the effect of the lease on LTT's earnings for the first year (ignore taxes)?

  Annual per share dividend requirement

The annual per share dividend requirement of a 2%, $70 par value preferred stock that was issued for $85 is:

  What is the amount of tax expense for the current year

Art Imaging Company was organized on April 1 of the current year. On April 2, Art Imaging Company prepaid $54,000 to the city for taxes (license fees) for the next 12 months and debited the prepaid taxes account. What is the amount of tax expense for..

  What does decrease in short-term notes mean

What does "decrease in short-term notes" mean in the financial statement of Davis Corporation, LLC and how does it affect the cash balance

  Discuss three shortcomings of the absorption approach

Did Mr. Rosen improve his performance for the second quarter? Indicate the information you used for your assessment - Can you make any suggestions for reporting in the future

  Cash budget-fill in the missing amounts

A cash budget, by quarters, is given below for a retail company (000 omitted). The company requires a minimum cash balance of at least $4,000 to start each quarter. Fill in the missing amounts.

  Designed internal controls over the revenue cycle

Each month Big electric comapny mails bills 700,000 households and then process payments as they are received, what is the best way for this business to ensure that payment data entry is efficient and accurate? In a system of well designed internal c..

  Pension expense and liability

Pension Expense and Liability On December 31, 2013, Robey Company accumulated the following information for 2013 in regard to its defined benefit pension plan: Service cost $106,000 Interest cost on projected benefit obligation 20,000 Expected 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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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