Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. question 16 of 20 a scooter rental company is...

Question 16 of 20 A scooter rental company is...

80.2K

Verified Solution

Question

Accounting

image
Question 16 of 20 A scooter rental company is attempting to get their business up in America after being successful in Europe. They start with $5 million in equity. The company owners purchase a building for $2 million, and purchase rental scooters for $2 million. They leave $1 million in cash for emergencies that may arise throughout the year. The scooter rental business does very well their first year. Their income from their rentals is $3 million. They pay $500,000 in salaries and $1 million in scooter upkeep. Their only other expense that year was taxes to the government of $500,000. Any profit the company made that year is held this company on their ending balance sheet for the year? O A. $8 million o B. $5 million O C. $3 million D. $6 million

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

When electromagnetic radiation of wavelength 310 nm fall on the surface of Sodium electrons are...

Physics
Q

A product whose EOQ is 40 units experiences a decrease in ordering cost from $90 per...

Operations Management
Q

Raman scattering from the CO2 molecule occurs on the symmetric stretch mode (see Fig. 23-22), which...

Physics
Q

saturated humid air at 1 atmosphere and 10 degrees Celsius is to be mixed with atmospheric...

Mechanical Engineering
Q

list as many of the parts of fundamental theorem of linear algebra as you can. An...

Advance Math
Q

istics SP1 2023 K Results of a 2017 survey of a sample of executives from...

Statistics
Q

dy Find by implicit differentiation and evaluate the derivative at the given point dx At...

Calculus
Q

2 13

Algebra
Q

Copy equipment acquired at the beginning of the year at a cost of $100,000 that...

Accounting
Q

TB MC Qu. 11-142 The following data are for the Akron... The following data are...

Accounting
Q

The records for Uptown Pet Shop showed the following: Sales Beginning merchandise inventory Purchases Cost...

Accounting
Q

On November 10, 2020, Singh Electronics began to buy and resell scanners for $59 each....

Accounting