James Jones is the owner of a small retail business operated as a sole proprietorship. During 2018, his business recorded the following items of income and expense.

Revenue from Inventory Sales $147,000

Cost of Goods Sold 33,500

Business License Tax 2,400

Rent on Retail Space 42,000

Supplies 15,000

Wages Paid to Employees 22,000

Payroll Taxes 1,700

Utilities 3,600

A.) Compute taxable income attributable to the sole proprietorship by completing Schedule C to be included in James's 2018 Form 1040. You mush show your work!

(TCO C) A tile manufacturer has supplied the following data.

Required:
Calculate the company's unit contribution margin.
Calculate the company's contribution margin ratio.
If the company increases its unit sales volume by 5% without increasing its fixed expenses, what would the company's net operating income be?

"A firm is considering purchasing a computer system. The following data has been collected.
- Cost of the system: $125,000
- Project life: 6 years
- Salvage value at the end of year 6: $18,000
- Depreciation method: five-year MACRS
- Tax rate: 33%
- Annual revenue from project: $109,000
- Annual expenses (not including depreciation): $88,000
The firm will borrow the entire $125,000 at 5.3% interest to be repaid in 2 annual payments.
The firm's MARR is 15%. Determine the IRR for the computer system. Enter your answer as a percentage between 0 and 100."

"A firm is considering purchasing a computer system. The following data has been collected.
- Cost of the system: $159,000
- Project life: 6 years
- Salvage value at the end of year 6: $18,000
- Depreciation method: five-year MACRS
- Tax rate: 32%
- Annual revenue from project: $105,000
- Annual expenses (not including depreciation): $66,000
The firm will borrow the entire $159,000 at 7.4% interest to be repaid in 2 annual payments.
The firm's MARR is 12%. Determine the IRR for the computer system. Enter your answer as a percentage between 0 and 100."

5. Boateng Wholesale Ltd. is based in Accra, Ghana. Its sales, cost of goods

sold, and inventory amounts for 2018 and 2019 are shown below. (Currency in

Ghanaian cedi, GH₵) (20%)

2018 2019

Sales revenue                             GH₵ 200,000                 GH₵ 180,000

Cost of goods sold                           100,000                       91,000

Beginning inventory                          29,000                       21,000

Ending inventory                               21,000                              5,000

Instructions:

1. Determine the inventory turnover and resident period for 2018 and 2019.
2. Give your evaluation on the changes in the amount of Boateng’s inventory, the inventory turnover and resident period, and the amount of sales across the two years.

The table below depicts the revenues and costs for some firm. Each row depicts a given level of sales and the associated total revenues and costs.

what is the value of fixed costs?

what is the marginal cost of the 5th unit?

what is the marginal revenue of the 5th unit

what level of sales maximizes profits? 2 or 3 or 4 or 5?

The unadjusted trial balance of Drone Delivery at December​ 31, ​, appears below. The data needed for the​ month-end adjustments also appear below. Journalize the adjusting entries on December 31. a. Unearned delivery revenue still remaining to be earned at December​ 31, ​$880. b. Prepaid rent still available at December​ 31, $2800. c. Supplies used during the​ month, ​$490. d. Amortization on drones for the​ month, ​$680. e. Accrued utilities expense at December​ 31, $225​(Credit Accounts​ Payable.) f. Accrued salaries expense at December​ 31, ​$.1980

4. Chipotle^TM offers three items: tacos, burritos, and bowls at the price and variable costs below. The restaurant has a fixed cost of $50,000, and average sales for the items are like below. Answer the following.

1. a) What is the sum of weighted contribution margin % (ΣW_iCM_%i) of Taco, Burrito, and Bowl?

1. b) What is the breakeven sales level in dollars (BE_$) ?

1. c) What is the desired sales revenue (S_$) in order to generate profit of $15,000?

Suppose the price elasticity of demand for smartphones is 0.5 (absolute value), while the price elasticity of supply is 1.9.

a) Are the demand and supply of smartphones price elastic or price inelastic? Briefly explain.

b) In order to increase total revenue, should the sellers of smartphones raise or cut the price? Explain with a diagram.

c) If the government imposes a per-unit tax of $100 on the sellers of smartphones, how will the price and quantity transacted of smartphones change? Will the sellers or the buyers bear a larger tax burden? Will the market be able to achieve economic efficiency after the tax is imposed? Explain with a diagram.

In 2010, Apple wanted to lower the price of down‐loading TV shows from iTunes from $ 1.99 to $ 0.99. But Apple had to get permission from, and convince, the management of the networks with whom they share the revenue from each download. Apple argued that lowering the price would benefit both Apple and the networks. Managers at the networks disagreed, and wanted the price kept at $ 1.99. a. What did Apple believe about the price elasticity of demand for downloaded shows? b. What did the networks believe about the price elasticity of demand for downloaded shows?