This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: The percent-of-sales method to prepare a pro forma income statement assumes a firm has no fixed ... (Read 159 times)

Kikoku

  • Hero Member
  • *****
  • Posts: 540
on: Jul 10, 2018
The percent-of-sales method to prepare a pro forma income statement assumes a firm has no fixed costs. Therefore, the use of the past cost and expense ratios generally tends to ________ profits when sales are increasing.
 
  A) accurately predict
  B) overstate
  C) understate
  D) have no effect on

Question 2

Your friend John started college at the age of 18 with 63,450 already saved, because 18 years ago when he was born his parents placed money into a special college savings account earning 7.25 per year.
 
  How much money did John's parents place into his college account?
  A) 18,000
  B) 3,525
  C) 17,262
  D) 5,824


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

joechoochoy

  • Sr. Member
  • ****
  • Posts: 306
Reply #1 on: Jul 10, 2018
Answer to Question 1

C

Answer to Question 2

Answer: A
Explanation: A) PV = = = 18,000.32
MODE = END
INPUT 18 7.25 ? 0 63,450
KEY N I/Y PV PMT FV
CPT 18,000.32


Kikoku

  • Member
  • Posts: 540
Reply 2 on: Jul 10, 2018
Gracias!

jamesnevil303

  • Member
  • Posts: 337
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

Russia has the highest death rate from cardiovascular disease followed by the Ukraine, Romania, Hungary, and Poland.

Did you know?

Asthma is the most common chronic childhood disease in the world. Most children who develop asthma have symptoms before they are 5 years old.

Did you know?

Chronic necrotizing aspergillosis has a slowly progressive process that, unlike invasive aspergillosis, does not spread to other organ systems or the blood vessels. It most often affects middle-aged and elderly individuals, spreading to surrounding tissue in the lungs. The disease often does not respond to conventionally successful treatments, and requires individualized therapies in order to keep it from becoming life-threatening.

Did you know?

Individuals are never “cured” of addictions. Instead, they learn how to manage their disease to lead healthy, balanced lives.

Did you know?

Fewer than 10% of babies are born on their exact due dates, 50% are born within 1 week of the due date, and 90% are born within 2 weeks of the date.

When cats mate, the tomcat (male) bites the scruff of the female's neck as she assumes a positi When cats mate, the tomcat (male) bites the scruff of the female's neck as she assumes a positi
Performing Venipuncture Using the Vacutainer Method Performing Venipuncture Using the Vacutainer Method
Percent of Mothers in the Workforce by Age of Children and Marital Status Percent of Mothers in the Workforce by Age of Children and Marital Status
Relationship between Income Inequality and the Desired Tax Rate Relationship between Income Inequality and the Desired Tax Rate
Saving Rate by Decile of Income per Capita Saving Rate by Decile of Income per Capita
Infant mortality by income quintile, urban Canada, 1996 Infant mortality by income quintile, urban Canada, 1996
Video: Hershey Chase Experiments

For a complete list of videos, visit our video library