Cracker Corporation began a special promotion in July 2016 in an attempt to increase sales. A coupon was included in various print advertisements. Customers could send in five coupons for a free prize. Each prize cost Cracker Corporation $2.00. Cracker's management estimated that 70% of the coupons would be redeemed. For the six months ended December 31, 2016, the following information is available
Coupons distributed 2,000,000
Prizes purchased 240,000
Coupons redeemed 560,000
Required:
Record all necessary journal entries for the premium offer for 2016.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Cracker Corporation began a special promotion in July 2016 in an attempt to increase sales. A coupon was included in various print ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Which of the following is NOT an aspect of capitalism? A. Resources B. Cooperation C. Capital D. Labor
Answers (1)
Which of the following best describes a leveraged buyout fund's acquisitions? a. Investing in early stage businesses b. Investing in mid-sized businessesc. Investing in foreign businesses
Answers (1)
Select the correct definition of inflation. a specific increase in the price of a good or service attributable to changes in supply or demandan increase in the level of output in an economy evidenced by a rising GDPa general and ongoing rise in
Answers (1)
Ray Corp. declared a 5% stock dividend on its 10,000 issued and outstanding shares of $2 par value common stock, which had a fair value of $5 per share before the stock dividend was declared.
Answers (1)
Monica wants to sell her share of an investment to Barney for $80,000 in 5 years. If money is worth 6% compounded semiannually, what would Monica accept today?
Answers (1)
New Questions in Business
The pecking order explanation of capital structure states that a hierarchy of financing exists for firms, in which retained earnings are employed first, followed by debt financing and finally by external equity financing. A. TrueB. False
Answers (2)
Home Smart Inc. is a chain of supermarkets that sells its products at higher prices than its competitors. Yet, the supermarket chain has a large customer base due to its wide product portfolio and superior customer service.
Answers (1)
Why are the three economic questions important in econ?
Answers (1)
New School Inc. expects an EBIT of $7,000 every year forever. The firm currently has no debt, and its cost of equity is 15 percent. The firm can borrow at 8 percent and the corporate tax rate is 34 percent.
Answers (1)
After Sunshine Systems merged with RTD Enterprises, company executives noticed that due to increased employee collaboration between the two units, costs were down and revenues increased within both areas.
Answers (1)