ACCOUNTING AND FINANCIAL ENGINEERING - EXAMPLE 34.29 : An engineering company that produces small biochemical tools applies Installment Sales Method in its accounting. Let A = Installment Sales, B = Cost of Installment Sales, C = Gross Profit, D = Gross Profit Ratio. In year 20X8, let A = $400, B = $250, C = $150. In year 20X9, let A = $450, B = $315, C = $135. If the value of D = 37.5 % in year 20X8 : (a) find the value of D for year 20X9; (b) calculate the realized gross profit = ED / 100, for year 20X8 when the cash collected from sales is E = $100.
Answer Posted / kangchuentat
ACCOUNTING AND FINANCIAL ENGINEERING - ANSWER 34.29 : (a) By trial and error for year 20X8, D = 100 C / A = 100 ($150) / ($400) = 37.5 %. Applying the same formula for year 20X9 will produce D = 100 C / A = 100 ($135) / ($450) = 30 %. (b) Realized gross profit = ED / 100 = $100 (37.5 / 100) = $37.5. The answer is given by Kang Chuen Tat; PO Box 6263, Dandenong, Victoria VIC 3175, Australia; SMS +61405421706; chuentat@hotmail.com; http://kangchuentat.wordpress.com.
Is This Answer Correct ? | 0 Yes | 0 No |
Post New Answer View All Answers
Explain why does catalytic converter used in an automobile?
i need last year question paper of GATE exam of chemical stream.but i failed i geting exam papers.soits humble request to u that if any body found last years GATE exam paper of chemical stream then send it to on this mail address.i shall be thankful to u for this. mail address:- sachin_4255@yahoo.co.in thank you.
Explain what are the problems that are associated with the expansion joints?
Explain what are some common precipitating agents used to remove metals from aqueous waste streams?
Define octane number?
What are the strategies acquired to cure tube vibration and exchangers in a shell?
what is AZ431 & how to check it by using multimeter?
Explain the different types of equipments for the conveyance of solids?
what is mean by chemical engineering and its scope in industry
Why are decomposition reactions called the opposite of combination reactions?
Are some heat transfer services more prone to tube vibration that others for a shell and tube exchanger?
I will complete chemical engg next yr from a deemed university. Earlier I dropped 2 yrs after std 12th. Then I got 2 yr back while completing engg, due to reasons beyond my control. Will I face any problem while applying for job. More so not many core companies come to our collg for placement. So i want to know which all companies can I apply to get a job?
What are the assumptions made for kynch theory?
What are the disadvantages of using gear pumps?
What are angle of repose applications in the chemical industry?