Lou Reed is the primary accountant and 1 of 87 employees at TheVelvet Underground, a company that manufactures professional graderecording equipment and mixing boards. By the end of their third year,2017, TVU had already turned a $150,000 profit. At that time, Louused analytics to estimate promising sales of a new device TVUplanned to sell. Unfortunately, the new device did not live up toexpected potential.At the end of the following year, 2018, Lou was tasked with usinganalytics to figure out why the device did not sell well, and how thosesales might be improved. Fortunately, in 2019, sales of the deviceincreased, along with all of the company's other products.Each time Lou utilized analytics, he had to access a number ofdifferent databases to find all the data he needed. VelvetUnderground's sales revenue grew from $250,000 in 2018 to $1million in 2019, prompting Lou to upgrade his QuickBooks software.Which of the following options best describes TVU's accountinginformation system (AIS)?Select one:O a. The AIS is part of an enterprise resource planning (ERP) systemO b. The AIS is a system independent from the other departmentalinformation systemsO c. The AIS is a system concerned primarily with front-officeoperationsO d. All of the above

The answer for the multiple choice question and relevant explanation are presented hereunder :…

Answered: Which of the following options best…

Business

Accounting

Which of the following options best describes TVU's accounting information system (AIS)? Select one:

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter11: Long-term Assets

Section: Chapter Questions

Problem 4TP: Malone Industries has been in business for five years and has been very successful. In the past...

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Lee, a programmer, earned P350,000 in 2010, but in 2011, he began to manufacture computer monitors. After one year, he submitted the following data to his accountant. • He stopped renting out his cottage for P35,000 a year and used it as his factory. • The market value of the cottage increased from P700,000 to P710,000. • He spent P50,000 on materials, phone, utilities, etc. • He leased machines for P100,000 a year. • He paid P150,000 in wages. • He used P100,000 from his savings account, which pays five 5% interest a year. • He borrowed P400,000 at 10% a year from the bank. • He sold P1,600,000 worth of monitors. • Normal profit is P250,000 a year.
Lee, a programmer, earned P350,000 in 2010, but in 2011, he began to manufacture computer monitors. After one year, he submitted the following data to his accountant. • He stopped renting out his cottage for P35,000 a year and used it as his factory. • The market value of the cottage increased from P700,000 to P710,000. • He spent P50,000 on materials, phone, utilities, etc. • He leased machines for P100,000 a year. • He paid P150,000 in wages. • He used P100,000 from his savings account, which pays five 5% interest a year. • He borrowed P400,000 at 10% a year from the bank. • He sold P1,600,000 worth of monitors. • Normal profit is P250,000 a year. Compute for the following: * Lee’s explicit costs * Lee’s implicit cost * Lee’s economic profit
Lee, a programmer, earned P350,000 in 2010, but in 2011, he began to manufacture computer monitors. After one year, he submitted the following data to his accountant. • He stopped renting out his cottage for P35,000 a year and used it as his factory. • The market value of the cottage increased from P700,000 to P710,000. • He spent P50,000 on materials, phone, utilities, etc. • He leased machines for P100,000 a year. • He paid P150,000 in wages. • He used P100,000 from his savings account, which pays five 5% interest a year. • He borrowed P400,000 at 10% a year from the bank. • He sold P1,600,000 worth of monitors. • Normal profit is P250,000 a year. Compute for the following: * Lee’s explicit costs