Answer:
Sep. 3
Dr Merchandise Inventory $7,000
Cr Accounts Payable—Shallin Wholesalers $7,000
Sep. 4
Dr Merchandise Inventory $55
Cr Cash $55
Sep. 4
Dr Merchandise Inventory $2,100
Cr Cash $2,100
Sep. 6
Dr Accounts Payable—Shallin Wholesalers $1,000
Cr Inventory $1,000
Sep. 8
Dr Accounts Receivable— Herenda Company $5,445
Cr Sales Revenue $5,445
Sep. 8
Dr Cost of Goods Sold $2,255
Cr Merchandise Inventory $2,255
Sep. 9
Dr Merchandise Inventory $10,000
Cr Accounts Payable—Tripp Wholesalers $10,000
Sep. 10
Dr Accounts Payable—Shallin Wholesalers $6,000
Cr Merchandise Inventory $60
Cr Cash $5,940
Sep. 12
Dr Cash $5,445
Accounts Receivable—Herenda Company $5,445
Sep. 13
Dr Accounts Payable—Tristan Wholesalers $100
Cr Merchandise Inventory $100
Sep. 15
Dr Accounts Receivable—Jesper Company $3,500
Cr Sales Revenue $3,500
Sep. 15
Dr Cost of Goods Sold $1,610
Cr Merchandise Inventory $1,610
Sep. 22
Dr Accounts Payable—Tristan Wholesalers $9,900
Cr Cash $9,900
Sep. 23
Dr Refunds Payable $800
Cr Accounts Receivable—Jesper Company $800
Sep. 23
Dr Merchandise Inventory $368
Cr Estimated Returns Inventory $368
Sep. 25
Dr Accounts Receivable—Smithson $1,995
Cr Sales Revenue $1,940
Cr Cash $55
Sep. 25
Dr Cost of Goods Sold $780
Cr Merchandise Inventory $780
Sep. 29
Dr Cash $1,995
Cr Accounts Receivable— Smithson $1,995
Sep. 30
Dr Cash $2,100
Cr Accounts Receivable—Jesper Company $2,100
Explanation:
Preparation of the journal entries
Sep. 3
Dr Merchandise Inventory $7,000
Cr Accounts Payable—Shallin Wholesalers $7,000
Sep. 4
Dr Merchandise Inventory $55
Cr Cash $55
Sep. 4
Dr Merchandise Inventory $2,100
Cr Cash $2,100
Sep. 6
Dr Accounts Payable—Shallin Wholesalers $1,000
Cr Inventory $1,000
Sep. 8
Dr Accounts Receivable— Herenda Company $5,445
Cr Sales Revenue $5,445
[$5,500-(1%*$5,500)]
Sep. 8
Dr Cost of Goods Sold $2,255
Cr Merchandise Inventory $2,255
Sep. 9
Dr Merchandise Inventory $10,000
Cr Accounts Payable—Tripp Wholesalers $10,000
Sep. 10
Dr Accounts Payable—Shallin Wholesalers $6,000
($7,000-$1,000)
Cr Merchandise Inventory $60
(1%*$6,000)
Cr Cash $5,940
($6,000-$60)
Sep. 12
Dr Cash $5,445
[$5,500-(1%*$5,500)]
Accounts Receivable—Herenda Company $5,445
Sep. 13
Dr Accounts Payable—Tristan Wholesalers $100
Cr Merchandise Inventory $100
Sep. 15
Dr Accounts Receivable—Jesper Company $3,500
Cr Sales Revenue $3,500
Sep. 15
Dr Cost of Goods Sold $1,610
Cr Merchandise Inventory $1,610
Sep. 22
Dr Accounts Payable—Tristan Wholesalers $9,900
Cr Cash $9,900
($10,000-$100)
Sep. 23
Dr Refunds Payable $800
Cr Accounts Receivable—Jesper Company $800
Sep. 23
Dr Merchandise Inventory $368
Cr Estimated Returns Inventory $368
Sep. 25
Dr Accounts Receivable—Smithson $1,995
($1,940+$55)
Cr Sales Revenue $1,940
[$2,000-(3%*$2,000)]
Cr Cash $55
Sep. 25
Dr Cost of Goods Sold $780
Cr Merchandise Inventory $780
Sep. 29
Dr Cash $1,995
($1,940+$55)
Cr Accounts Receivable— Smithson $1,995
Sep. 30
Dr Cash $2,100
Cr Accounts Receivable—Jesper Company $2,100
Jenny Manufactures sold toys listed at $360 per unit to Jack Inc. for $306, a trade discount of 15 percent. Jack Inc. in turn sells the toys in the market at $335. Jenny should record the receivable and related sales revenue (per unit) at: Group of answer choices $360 $335 $306 $285
Answer:
$306
Explanation:
Based on the information given Jenny should record the receivable and related sales revenue (per unit) at $306 reason been that we were told JENNY MANUFACTURES SOLD TOYS THAT WAS LISTED AT THE AMOUNT OF $360 PER UNIT TO JACK INC. FOR THE AMOUNT OF $306.
Hence, Jenny will record the RECEIVABLE AND RELATED SALES REVENUE (per unit) at $306.
A rental company is considering the purchase of new trailers to least to customers. Each trailer will cost $20,000 today. Each trailer will bring $10,000.00 in an annual lease for 5 years. The lease is paid at the end of each year. At the end of the 5 years the trailer will have no depreciated or salvage value. The interest to be paid for this investment is 9%. Use this information to complete this table. Would you advise the firm to make this investment at 9%? Why?
Fill out the Table:
Year Future Value Present Value Discount Factor
1
2
3
4
5
Answer and Explanation:
The computation is shown below;
Year Future value present value Discount factors
1 $10,000.00 $9,170 0.917
2 $10,000.00 $8,410 0.841
3 $10,000.00 $7,720 0.772
4 $10,000.00 $7,080 0.708
5 $10,000.00 $6,490 0.649
Now
Net present value = -$20,000 + $10,000(PVIFA 9% 5 Years)
= -$20,000 + $10000 × (3.8897)
= -$20,000+ $38,897
= $18,897
So here the investment should be make as the net present value comes in positive
Describe an important difference in the way an economist and a businessperson might view a monopoly.
Answer:
An economist would view a monopoly as not beneficial and optimal to society. A businessperson would view monopolies as a great idea to maximize profits due to the lack of competitionExplanation:
hope it's helps you if i am sorry if my answer is wrong
A company had net income of $210,000. Depreciation expense is $27,000. During the year, Accounts Receivable and Inventory increased $17,000 and $42,000, respectively. Prepaid Expenses and Accounts Payable decreased $5,000 and $6,000, respectively. There was also a loss on the sale of equipment of $2,000. Cash provided by operating activities was $Placeholder for missing word.How much cash was provided by operating activities?
a. $179000
b. $241000
c. $271000
d. $175000
Answer:
a. $179000
Explanation:
The computation of the cash provided by operating activities is shown below:
Net Income $2,10,000
Add : Depreciation expense $27,000
Add : Loss on sale of equipment $2,000
Add : Decrese in prepaid expenses $5,000
Less : Decrease in accounts payable $6,000
Less : Increse in accounts receivable $17,000
Less :Increase in inventory $42,000
Cash provided by operating activities $179,000
Crosley Company, a machinery dealer, leased a machine to Dexter Corporation on January 1, 2020. The lease is for an 8-year period and requires equal annual payments of $35,004 at the beginning of each year. The first payment is received on January 1, 2020. Crosley had purchased the machine during 2019 for $160,000. Collectibility of lease payments by Crosley is probable. Crosley set the annual rental to ensure a 6% rate of return. The machine has an economic life of 10 years with no residual value and reverts to Crosley at the termination of the lease.
Instructions:
a. Compute the amount of the lease receivable.
b. Prepare all necessary journal entries for Crosley for 2020.
c. Suppose the collectibility of the lease payments was not probable for Crosley. Prepare all necessary journal entries for the company in 2020.
d. Suppose at the end of the lease term, Crosley receives the asset and determines that it actually has a fair value of $1,000 instead of the anticipated residual value of $0. Record the entry to recognize the receipt of the asset for Crosley at the end of the lease term.
Answer:
A.$230,410
B. 01-Jan-17
Lease Receivable $230,410
Cost of Goods Sold $160,000
Sales Revenue $230,410
Inventory $160,000
01-Jan-17
Dr Cash $35,004
Cr Lease Receivable $35,004
31-Dec-17
Dr Lease Receivable $11,724
Cr Interest Revenue $11,724
C)01-Jan-17
Dr Cash $35,004
Cr Deposit Liability $35,004
D. Dr Inventory $1,000
Cr Gain on Lease $1,000
Explanation:
A. Computation for the amount of the lease receivable.
PV of lease= PV(rate, nper, pmt, [fv]), [type])
PV of lease= -PV (6%,8,35004, , 1)
PV of lease =$230,410
Therefore the amount of the lease receivable is $230,410
B. Preparation of all necessary journal entries for Crosley for 2020.
01-Jan-17
Lease Receivable $230,410
Cost of Goods Sold $160,000
Sales Revenue $230,410
Inventory $160,000
01-Jan-17
Dr Cash $35,004
Cr Lease Receivable $35,004
31-Dec-17
Dr Lease Receivable $11,724
Cr Interest Revenue $11,724
C. Preparation of all necessary journal entries for the company in 2020.
01-Jan-17
Dr Cash $35,004
Cr Deposit Liability $35,004
D. Preparation to Record the entry to recognize the receipt of the asset for Crosley at the end of the lease term
Dr Inventory $1,000
Cr Gain on Lease $1,000
Consider a firm with a 2018 net income of $20 million, revenue of $60 million, and cost of goods sold of $25 million. If the balance sheet amounts show $2 million of inventory and $500,000 of property, plant, and equipment, how many weeks of supply does the firm hold
Answer: 4.16 weeks
Explanation:
From the information given in the question, the number of weeks of supply that the firm hold will be:
= (average inventory/ cost of goods sold) × 52 weeks
= (2/25) × 52
= 4.16 weeks
Therefore, the weeks of supply that the firm hold is 4.16 weeks
A rules-based monetary policy :_______.a. is advocated by activists. b. is advocated by nonactivists. c. could involve a predetermined steady growth rate in the money supply. d. b and c e. all of the above
Answer:
d. b and c
Explanation:
Monetary policy can be defined as the actions (macroeconomic policies) adopted and undertaken by the central bank of a particular country (Federal Reserve System in the United States of America) to control the money supply and interest rates so as to boost or enhance economic growth.
Basically, monetary policies are used by the central bank to manage inflation, economic growth through long-term interest rates and level of unemployment in a country. In order to boost economic growth, the national government through its central bank introduces monetary policy to increase money supply (liquidity). Also, a monetary policy can be used to prevent inflation through the reduction of money supply at a given period of time.
A rules-based monetary policy is advocated by non-activists and when it's adopted by the central bank of a country, it could involve a predetermined steady growth rate in the money supply because it's implemented based on specific indicator events existing in the economy.
You purchased a 20-year par value bond with semiannual coupons at a nominal annual rate of 8% convertible semiannually at a price of 1722.25. The bond can be called at par value X on any coupon date starting at the end of year 15 after the coupon is paid. The price guarantees that you will receive a nominal annual rate of interest convertible semiannually of at least 6%. Calculate X.
a. 1400
b. 1420
c. 1440
d. 1400
e. 1480
Answer:
1400
Explanation:
The concept par value bond refers to a bond that may be redeemed for its face value. From the coupon nominal annual rate of 8%, it means the coupon is 4% for half of the year is higher than the effective yield of 3% for 6 month period. As such, the bond sells at a higher premium price.
As a result, the minimum yield rate that contributes to the potential of the bond being called is computed at the initial conceivable call date, which is precisely 15 years after the date of purchase, because it is the most unfavorable period for the bondholder if the call occurs. As a result, the par value X fulfills the following condition:
[tex]1722.25 = 0.04*X*a_{|30|3\%|}+\dfrac{X}{1.03^{30}}[/tex]
Making X the subject:
[tex]X = \dfrac{1722.25}{0.04*a_{|30|3\%|}+1.03^{-30}}[/tex]
Using financial Calculator:
X = 1400.01
X ≅ 1400
A Mike’s Milk estimates gallon milk sales for the first quarter as 12,000 gallons in January, 15,000 in February and 10,000 in March. Mike sells milk for $3.00 per gallon. Complete the following schedule for the first quarter sales budget.
Forecasted gallons January February March
Price Per gallon
Sales Budget
Answer:
Results are below.
Explanation:
Giving the following information:
A Mike’s Milk estimates gallon milk sales for the first quarter as 12,000 gallons in January, 15,000 in February, and 10,000 in March.
January:
Forecasted gallons= 12,000
Price per gallon= 3
Sales Budget= $36,000
February:
Forecasted gallons= 15,000
Price per gallon= 3
Sales Budget= $45,000
March:
Forecasted gallons= 10,000
Price per gallon= 3
Sales Budget= $30,000
umay oh ito para sa mga taong di makuha si CRUSH
Si Crush Parang MATH PROBLEM kung hindi mo MAKUHA TITIGAN MO NLNG
Imaginin mo
Yung Crush mo,Crush ka din
Yung Mahal mo,Mahal ka din
Anong Ending??
IMAGINATION lng din!!
owshiiiiii mic drop play music
lintik na pag-ibig parang kidlat
puso kong nanahimik at bigla mong ginulat
Answer:
Haha
Hula ko delete yan
Basta akin ibang language haha
Answer:
I need your help
Loraine ano nga ulit pass ng acc ko na heavengrace70
Sorry nalimutan ko eh hehe
Jelly Inc.'s contribution margin ratio is 62% and its fixed monthly expenses are $49,000. Assuming that the fixed monthly expenses do not change, what is the best estimate of the company's net operating income in a month when sales are $140,000?
Answer:
$37,800
Explanation:
Given the above information, we known that
Contribution margin ratio = Contribution margin / Sales
Contribution margin ratio = $140,000 × 62% = $86,800
Less: Fixed cost
($49,000)
Operating income
$37,800
Therefore, the best estimate of the company's net operating income is $37,800
Break-Even Point
Nicolas Inc. sells a product for $59 per unit. The variable cost is $30 per unit, while fixed costs are $171,564.
Determine (a) the break-even point in sales units and (b) the break-even point if the selling price were increased to $64
per unit.
a. Break-even point in sales units
units
b. Break-even point if the selling price were increased to $64 per unit
units
Answer:
The right answer is:
(a) 5916 units
(b) 5046 units
Explanation:
Given:
Sales,
= $59
Variable cost,
= $30
Fixed cost,
= $171,564
Increased sale,
= $64
Now,
(a)
Contribution margin will be:
= [tex]Sales - Variable \ cost[/tex]
= [tex]59-30[/tex]
= [tex]29 \ per \ unit[/tex] ($)
hence,
Breakeven will be:
= [tex]\frac{Fixed \ cost}{Contribution \ margin}[/tex]
= [tex]\frac{171564}{29}[/tex]
= [tex]5916 \ units[/tex]
(b)
Contribution margin will be:
= [tex]Sales-Variable \ cost[/tex]
= [tex]64-30[/tex]
= [tex]34 \ per \ unit[/tex] ($)
hence,
Breakeven will be:
= [tex]\frac{Fixed \ cost}{Contribution \ margin}[/tex]
= [tex]\frac{171564}{34}[/tex]
= [tex]5046 \ units[/tex]
You are planning to put $3,500 in the bank at the end of each year for the next four years in hopes that you will have enough money for a down payment on a condo. If you are investing at an annual interest rate of 5%, you'll have accumulated ___________ at the end of four years.
You decided to deposit your money in the bank at the beginning of the year instead of the end of the same year, but now you are making payments of $2,500 at an annual interest rate of 6%. How much money will you have available at the end of seven years?
Answer:
Results are below.
Explanation:
Giving the following information:
Annual deposit (A)= $3,500
Number of periods (n)= 4 years
Interest rate (i)= 5%
To calculate the future value, we need to use the following formula:
FV= {A*[(1+i)^n-1]}/i
A= annual deposit
FV= {3,500*[(1.05^4) - 1]} / 0.05
FV= $15,085.44
Now, the deposit is at the beginning:
Annual deposit (A)= $2,500
Number of periods (n)= 7 years
Interest rate (i)= 6%
FV= {A*[(1+i)^n-1]}/i + {[A*(1+i)^n]-A}
FV= {2,500*[(1.06^7) - 1]} / 0.06 + {[2,500*(1.06)^7] - 2,500}
FV= 20,984.59 + 1,259.08
FV= $22,243.67
The following changes took place last year in Pavolik Company’s balance sheet accounts:
Asset and Contra-Asset Accounts Liabilities and Stockholders' Equity Accounts
Cash and cash equivalents $ 20 D Accounts payable $ 62 I
Accounts receivable $ 24 I Accrued liabilities $ 24 D
Inventory $ 58 D Income taxes payable$ 29 I
Prepaid expenses $ 19 I Bonds payable $ 204 I
Long-term investments $ 21 D Common stock $ 96 D
Property, plant, and equipment$ 395 I Retained earnings $ 82 I
Accumulated depreciation $ 82 I
D = Decrease; I = Increase.
Long-term investments that cost the company $21 were sold during the year for $46 and land that cost $45 was sold for $24. In addition, the company declared and paid $18 in cash dividends during the year. Besides the sale of land, no other sales or retirements of plant and equipment took place during the year. Pavolik did not retire any bonds during the year or issue any new common stock.
The company’s income statement for the year follows:
Sales $ 1,020
Cost of goods sold 446
Gross margin 574
Selling and administrative expenses 420
Net operating income 154
Nonoperating items:
Loss on sale of land $ (21 )
Gain on sale of investments 25 4
Income before taxes 158
Income taxes 58
Net income $ 100
The company’s beginning cash balance was $128 and its ending balance was $108.
Required:
1. Use the indirect method to determine the net cash provided by operating activities for the year.
2. Prepare a statement of cash flows for the year.
Answer:
1. $260
2. $103
Explanation:
1. Calculation to determine the net cash provided by operating activities for the year
PAVOLIK COMPANY
STATEMENT OF CASH FLOWS PARTIAL (USING INDIRECT METHOD)
FOR THE YEAR ENDED
Particulars Amount
Cash flow from operating activities
Net Income $100
Adjustments to reconcile net income to net cash provided by operating activities
Adjustment for non cash effects
Depreciation $82
Loss on sale of land $21
Gain on sale of investments -$25
Change in operating assets & liabilities
Increase in accounts receivable -$24
Decrease in inventory $58
Increase in prepaid expenses -$19
Increase in accounts payable $62
Decrease in accrued liabilities -$24
Increase in income taxes payable $29
Net cash flow from operating activities (a) $260
Therefore Using the indirect method the net cash provided by operating activities for the year is $260
2. Preparation of a statement of cash flows for the year
PAVOLIK COMPANY
STATEMENT OF CASH FLOWS (USING INDIRECT METHOD)
FOR THE YEAR ENDED
Particulars Amount
$
Cash flow from operating activities (a) $260
Cash Flow from Investing activities
Property,plant and equipment purchased -$395
Long term investment sold $46
Land sold $24
Net cash Flow from Investing activities (b) -$325
(-$395+$46+$24)
Cash Flow from Financing activities
Cash dividends paid -$18
Common stock purchased -$96
Bonds issued $204
Net cash Flow from Financing activities (c) $90
(+$204-$18-$96)
Net Change in cash c=a+b+c -$25
Beginning cash balance $128
Closing cash balance $103
($128-$25)
Therefore the statement of cash flows for the year is $103
A convertible bond is one where a.the issuer can convert from a fixed interest rate to a floating one. b.the issuer can convert it from long-term to short-term. c.the issuer can retire the bond before its specified due date. d.the holder can convert the bond into common stock at a future time.
Answer:
The answer is D.
Explanation:
The correct answer is D. A convertible bond is the type of bond that the bondholder can convert into the company's common stock or share at a future time. It is a debt(fixed-income) instrument
Option A is wrong. This definition is not known. And same with option B.
Logan owns a horse ranch. Logan dislikes horses, but he opened the ranch because he heard it was a lucrative business and he wanted to make money. Logan’s horse ranch has lost money every year for the past 5 years (including this year), but Logan has made some changes to business operations, including hiring a consultant and increasing his prices. Logan anticipates that as a result of these changes, his horse ranch will generate a profit in the next year or two. This year, Logan hired his brother, Luke, to work at the horse ranch. Logan pays Luke $500/hr to clean the horse stalls. Logan also hired his best friend, Lucy, to do Logan’s grocery shopping and other personal errands. He pays Lucy $15/hr. Which of the following is most accurate?
a. Logan cannot deduct any of the costs associated with the horse ranch because the horse ranch would be classified as a hobby, not a business
b. Logan can deduct the full salary paid to Luke because Luke works in Logan’s horse ranch business
c. Logan can deduct the full salary paid to Lucy because the amount of the expense is reasonable
d. Logan can deduct the full salary paid to Lucy because grocery shopping is ordinary and necessary
e. None of the above are correct
Answer:
Logan Horse Ranch
The most accurate is:
e. None of the above are correct
Explanation:
Logan's payment to his brother, Luke, of $500 per hour, is not a reasonable business expense that can be deductible. Surely, $500 per hour is not a going rate for cleaning the horse stalls per hour. With Lucy doing grocery shopping for Logan, it does not resonate like an ordinary and necessary expense for the business. Therefore, options A to D are not correct. This leaves only option E as the most accurate.
Junktrader is an online company that specializes in matching buyers and sellers of used items. Buyers and sellers can purchase a membership with Junktrader, which provides them advance notice of potentially attractive offers.
a. Junktrader provided online advertising services for another company for $380 on account.
b. On the last day of the month, Junktrader paid $75 cash to run an ad promoting the company's services. The ad ran that day in the local newspaper.
c. Received $205 cash in membership fees for the month from new members.
d. Received an electricity bill for $130 for usage this month. The bill will be paid next month.
e. Billed a customer $216 for helping sell some junk. Junktrader expects to receive the customer's payment by the end of next month.
Required:
Prepare joumal entries for the above transactions, which occurred during a recent month.
Answer:
Junktrader
Journal Entries;
a. Debit Accounts Receivable $380
Credit Advertising Service Revenue $380
To record advertising service revenue provided on account.
b. Debit Advertising Expense $75
Credit Cash $75
To record the payment for ad in the local newspaper.
c. Debit Cash $205
Credit Membership fees $205
To record membership fees for the month.
d. Debit Electricity Expense $130
Credit Electricity Expense Payable $130
To accrue electricity expense for the month.
e. Debit Accounts Receivable $216
Credit Fees Revenue $216
To record fees revenue for services rendered on account.
Explanation:
1) Data and Transaction Analysis:
a. Accounts Receivable $380 Advertising Revenue $380
b. Advertising Expense $75 Cash $75
c. Cash $205 Membership fees $205
d. Electricity Expense $130 Electricity Expense Payable $130
e. Accounts Receivable $216 Fees Revenue $216
Marko, Inc. is considering the purchase of ABC Co. Marko believes that ABC Co. can generate cash flows of $6,600, $11,600, and $17,800 over the next three years, respectively. After that time, they feel the business will be worthless. Marko has determined that a rate of return of 13 percent is applicable to this potential purchase. What is Marko willing to pay today to buy ABC Co.?
a. $39,420.00.b. $24,876.50.c. $28,896.22.d. $36,000.00.e. $27,261.50.
Answer:
e. $27,261.50
Explanation:
Calculation to determine What is Marko willing to pay today to buy ABC Co.
Present value (PV) = $6,600 / (1 + 0.13) + $11,600 / (1 + 0.13)^2 + $17,800 / (1 + 0.13)^3
Present value (PV) = $6,600 / (1 .13) + $11,600 / (1.13)^2 + $17,800 / (1 .13)^3
Present value (PV) =$27,261.50
Therefore the amount that Marko his willing to pay today to buy ABC Co will be $27,261.50
Để giảm thiểu tỷ lệ thất bại của các sản phẩm hay dịch vụ, các công ty nên
Answer: 12132313 cool
Explanation:
Robert Solomon and Fernando Flores argue that trust is a choice to believe the trusted person is telling the truth, without independent verification. If bluffing is an accepted rule of business negotiation, can the Solomon and Flores form of trust exist in business?
Does your answer (whatever it is) imply anything about the morality of bluffing?
Answer:
Yes.
Explanation:
Yes, the Solomon and Flores form of trust exist in business if bluffing is an accepted rule of business negotiation because bluffing is acceptable in the business. If bluffing is an accepted rule of business negotiation then there is no trust formed between Solomon and Flores and the reason for this is that bluffing is a bad act which makes relationship worse between the partners but in this case trust exist in business due to the rule of bluffing.
A company has total fixed costs of $180,000 and a contribution margin ratio of 30%. How much sales are necessary to break even?
a) $540,000
b) $600,000
c) $54,000
d) $126,000
Answer:
b) $600,000
Explanation:
The break-even sales can be regarded as sales value in which the result makes the firm to report zero profit.
Total fixed costs was given from the question as ( $180,000)
The Contribution margin ratio was give from the question as ( 30%)= 0.3
✓break even point can be calculated as ratio of Total fixed costs to Contribution margin ratio. This can be expressed as
break even point=[Total fixed costs ]/ [ Contribution margin ratio.]
Substitute,
break even point= [ $180,000]/ [0.3]
=$600,000
Erin, a shareholder of Finance Inc., demands the right to inspect corporate records to determine whether management has engaged in self-dealing that impacts the company. The firm refuses the request. On Erin’s challenge, a court is most likely to hold that her request constitutes:________
a. harassment.
b. unreasonable access to trade secrets and other confidential information.
c. a proper purpose.
d. potential abuse.
Answer:
c. a proper purpose.
Explanation:
Proper purpose is an action taken by a shareholder or member of a corporation that is reasonable related to his position or rights.
With the proper purpose rule there is a constraint on a director's autonomy within an organisation and it provides checks to excesses by the management team.
Erin demands the right to inspect corporate records to determine whether management has engaged in self-dealing that impacts the company.
As a shareholder she is enforcing proper right and the court will uphold this.
A company had net sales of $30,200 and ending accounts receivable of $4,000 for the current period. Its days' sales uncollected equals:_________ (Use 365 days a year.)a) 7.55 days.b) 59.54 days.c) 63.64 days.d) 48.34 days.e) 40.34 days.
Answer:
d) 48.34 days
Explanation:
Calculation to determine what Its days' sales uncollected equals
Using this formula
Days' sales uncollected=Ending accounts receivable÷Net sales *365 days
Let plug in the formula
Days' sales uncollected=$4,000÷$30,200*365 days
Days' sales uncollected=48.34 days
Therefore Its days' sales uncollected equals:48.34 days
A company uses return on investment (ROI) to measure the performance of its business units. The company manufactures and distributes consumer goods. Last year, management identified a possible shortage of raw materials. To mitigate this risk, a large amount of raw material was bought in advance and stored in the manufacturing plant inventory. As a result of this decision, ROI will A. Have an unpredictable change. B. Decrease. C. Increase. D. Not change.
Answer: B. Decrease
Explanation:
Return on investment refers to the ratio between the net income and investment. It should be noted that a high return on investment implies that the investment's gains compare favourably to the cost.
In this scenario, since a large amount of raw material was bought in advance and stored in the manufacturing plant inventory, this will lead to an increase in the cost of production which therefore will reduce the return in investment.
Therefore, the correct option is B.
Show the effect of each transaction on the three basic accounting elements by indicating the dollar amount of the increase or decrease under the proper element heading. Compute the resulting accounting equation.
a. Owner invested $16,500 cash in the business.
b. Paid premium for two-year insurance policy, $1,500.
c. Purchased a van valued at $35,000 with $5,000 down payment; the balance to be paid over three years.
d. Paid the rent for the month, $900.
e. Purchased $470 of supplies for cash.
f. Cash sales for the month, $8,750.
g. Billed credit customers $14,200 for monthly services.
Answer:
Assets = Liabilities + Owner’s Equity = $67,800
Explanation:
Note: See the attached excel file for the Effect of Each Transaction on the Three Basic Accounting Elements.
From attached excel file, the resulting accounting equation can be computed as follows
Assets = Total Cash + Total Insurance Prepaid + Total Van + Total Supplies + Total Accounts Receivable = $17,380 + $750 + $35,000 + $470 + $14,200 = $67,800
Liabilities = Total Accounts Payable = $30,000
Owner’s Equity = Total Capital + Total Retained earnings = $16,500 + $21,300 = $37,800
Liabilities + Owner’s Equity = $30,000 + $37,800 = $67,800
Therefore, we have:
Assets = Liabilities + Owner’s Equity = $67,800
Waterways is thinking of mass-producing one of its special-order sprinklers. To do so would increase variable costs for all sprinklers by an average of $0.70 per unit. The company also estimates that this change could increase the overall number of sprinklers sold by 10%, and the average sales price would increase $0.20 per unit. Waterways currently sells 481,000 sprinkler units at an average selling price of $25.20. The manufacturing costs are $5,811,160 variable and $2,155,660 fixed. Selling and administrative costs are $2,673,680 variable and $798,370 fixed. If Waterways begins mass-producing its special-order sprinklers, how would this affect the company
Answer:
Waterways Corporation
If Waterways begins mass-producing its special-order sprinklers, its net operating income would almost double, increasing by $680,202.
Explanation:
a) Data and Calculations:
Increase in variable costs per unit = $0.70
Increase in number of sprinklers sold = 10%
Increase in average sales price = $0.20
Current sales = 481,000 sprinkler units
Selling price = $25.20
New selling price = $25.40 ($25.20 + $0.20)
New quantity of sprinkler units = 529,100 (481,000 * 1.1)
Increase in variable cost = $370,370 (529,100 * $0.70)
New variable cost = $6,181,530 ($5,811,160 + $370,370)
Income Statements Normal Mass Production
Sales revenue $12,121,200 $13,439,140
Variable manufacturing costs $5,811,160 $6,181,530
Variable selling and admin. costs 2,673,680 2,941,048
Total variable costs $8,484,840 $9,122,578
Contribution margin $3,636,360 $4,316,562
Fixed costs:
Manufacturing costs $2,155,660 $2,155,660
Selling and administrative costs 798,370 798,370
Total fixed costs $2,954,030 $2,954,030
Net operating income $682,330 $1,362,532
Increase in net operating income = $680,202 ($1,362,532 - $682,330)
All-A-Buzz makes three products from a joint production process using honey. Joint cost for the process for the year is $221,760.
Per Unit Incremental
Units of Selling Price Processing Final Sales
Product Output at Split-Off Cost Price
Honey butter 18,000 4.00 $3.00 $6.00
Honey jam 36,000 6.40 4.00 14.00
Honey syrup 1,800 3.00 0.40 3.60
Each container of honey butter, jam, and syrup, respectively, contains 16 ounces, 8 ounces, and 3 ounces of product.
a. Determine which products should be processed beyond the split-off point.
b. Assume honey syrup should be treated as a by-product. Allocate the joint cost based on units produced, weight, and sales value at split-off. Use the net realizable value method in accounting for the by-product. (Round to nearest whole percentage.)
Answer:
All-A-Buzz Company
a. The products that should processed beyond the split-off point are Honey jam and Honey syrup.
b. Allocation of Joint Cost
Honey butter Honey jam Honey syrup Joint Cost
Units produced $71,535 $143,071 $7,154 $221,760
Weight $109,850 $109,850 $2,060 $221,760
Sales value at split-off $51,874 $165,996 $3,890 $221,760
Explanation:
a) Data and Calculations:
Joint cost for the year = $221,760
Per Unit Incremental
Units of Weight Selling Price Processing Final Sales
Product Output at Split-Off Cost Price
Honey butter 18,000 16 4.00 $3.00 $6.00
Honey jam 36,000 8 6.40 4.00 14.00
Honey syrup 1,800 3 3.00 0.40 3.60
Total 55,800
Cost based on units = $3.97
Units produced:
Honey butter = $71,535 ($221,760 * 18,000/55,800)
Honey jam = $143,071 ($221,760 * 36,000/55,800)
Honey syrup = $7,154 ($221,760 * 1,800/55,800)
Weight:
Honey butter = 288,000 (18,000 * 16)
Honey jam = 288,000 (36,000 * 8)
Honey syrup = 5,400 (1,800 * 3)
Total weight = 581,400
Honey butter = $109,850 ($221,760 * 288,000/581,400)
Honey jam = $109,850 ($221,760 * 288,000/581,400)
Honey syrup = $2,060 ($221,760 * 5,400/581,400)
Sales value at split-off:
Honey butter = $72,000 (18,000 * $4.00)
Honey jam = $230,400 (36,000 * $6.40)
Honey syrup = $5,400 (1,800 * $3.00)
Total sales value at split-off = $307,800
Honey butter = $51,874 ($72,000/$307,800 * $221,760)
Honey jam = $165,996 ($230,400/$307,800 * $221,760)
Honey syrup = $3,890 ($5,400/$307,800 * $221,760)
The products should be processed beyond the split-off point:
Part a)
The products that should be processed beyond the split-off point are :
Joint cost for the year = $221,760
Per Unit Incremental
Units of Weight Selling Price Processing Final Sales
Product Output at Split-Off Cost Price
Honey butter 18,000 16 4.00 $3.00 $6.00
Honey jam 36,000 8 6.40 4.00 14.00
Honey syrup 1,800 3 3.00 0.40 3.60
Total 55,800
Cost based on units = $3.97
Part b : Allocation of Joint Cost
Honey butter Honey jam Honey syrup Joint Cost
Units produced $71,535 $143,071 $7,154 $221,760
Weight $109,850 $109,850 $2,060 $221,760
Sales value at split-off $51,874 $165,996 $3,890 $221,760
Working notes :
Units produced:Honey butter = $71,535 ($221,760 * 18,000/55,800)
Honey jam = $143,071 ($221,760 * 36,000/55,800)
Honey syrup = $7,154 ($221,760 * 1,800/55,800)
Weight:
Honey butter = 288,000 (18,000 * 16)
Honey jam = 288,000 (36,000 * 8)
Honey syrup = 5,400 (1,800 * 3)
Total weight = 581,400
Honey butter = $109,850 ($221,760 * 288,000/581,400)
Honey jam = $109,850 ($221,760 * 288,000/581,400)
Honey syrup = $2,060 ($221,760 * 5,400/581,400)
Sales value at split-off:Honey butter = $72,000 (18,000 * $4.00)
Honey jam = $230,400 (36,000 * $6.40)
Honey syrup = $5,400 (1,800 * $3.00)
Total sales value at split-off = $307,800
Honey butter = $51,874 ($72,000/$307,800 * $221,760)
Honey jam = $165,996 ($230,400/$307,800 * $221,760)
Honey syrup = $3,890 ($5,400/$307,800 * $221,760)
Learn more :
https://brainly.com/question/15411052?referrer=searchResults
Gina is very serious about her budget. As a new manager, she wants to make sure that she is a good steward of her employees, knowing that stress can cause her division to miss their bottom line at the end of the year. When Gina is considering the physiological implications for her workforce, which of the following is she notconsidering?
A) family leave
B) burnout
C) low job satisfaction
D) emotional exhaustion
E) absenteeism
Answer:
A)family leave
Explanation:
From the question we are informed about Gina who is very serious about her budget. As a new manager, she wants to make sure that she is a good steward of her employees, knowing that stress can cause her division to miss their bottom line at the end of the year. When Gina is considering the physiological implications for her workforce, one of the factor she is not considering is family leave.
physiological implications can be regarded as activities that has effect on organs,systemic functions, emotions
and whole system of the employee.
physiology relates to normal functions as regards to living thing, These effects could influence the performance of employees in carrying out their daily task. It could be burnout, low job satisfaction as well as absenteeism and emotional exhaustion
Three times a year previous donors receive donation cards in the mail from the local zoo. This organization also markets to visitors by sponsoring Make-A-Wish visits from the regional hospitals. What type of marketing did the zoo use
Question Completion with Options;
a. business-to-consumer (B2C) emphasis
b. business-to-business (B2B) emphasis
c. dual emphasis
Answer:
The type of marketing the zoo used is called:
dual emphasis marketing.
Explanation:
The dual marketing emphasis that the zoo uses embraces both business-to-consumer (B2C) and business-to-business (B2B) emphasis. While business-to-consumer takes the marketing effort directly to the consumers of the zoo's services, the business-to-business emphasis markets the zoo's services to organizations. Using a dual emphasis means that the local zoo markets her services to donors and visitors, individual and corporate.
Consider adopting a cost-reducing technology that lowers annual production costs by $1000 per year (into perpetuity, starting in year 1). If your opportunity cost of time is captured by a discount rate of 5%, what is the present) value of adopting the technology?
Answer:
$20,000
Explanation:
Present Value of Perpetuity = Annuity / ( Interest rate-Growth rate). Where Annuity=1000, Interest rate=5%, Growth rate=0
Present Value of Perpetuity = $1,000/(0.05-0)
Present Value of Perpetuity = $1,000/0.05
Present Value of Perpetuity = $20,000
So, the present) value of adopting the technology is $20,000.