Answer:
Bad debt expense...................Dr $36,000
Allowance for doubtful debts $36,000
(To record uncollectibles)
Explanation:
Certain amount of credit sales that the manager estimates to be uncollectible is called bad debts. They are written off at the end of the year. As per allowance method, estimated uncollectibles or bad debts are charged to allowance for doubtful debts.
Here, $36,000 has been estimated by the manager as estimated uncollectible
Journal entry to record uncollectibles:
Particulars Debit Credit
Bad debt expense $36,000
Allowance for doubtful debts $36,000
(To record uncollectibles)
Construct a 98% confidence interval for the population mean, μ. Assume the population has a normal distribution. A study of 14 car owners showed that their average repair bill was $192 with a standard deviation Round to the nearest cent.
The confidence interval for the given case is {196.97,187.03}
Explanation:Sample Size = 14
Standard Deviation (SD) = $8
To construct a 98% confidence interval for the population mean, we need to use the formula:
[tex]CI = x + Z * (s/\sqrt{n)[/tex]
Where:
x is the sample mean
s is the sample standard deviation
n is the sample size
Z is the critical value corresponding to the desired confidence level
In this case, the sample mean is $192, the standard deviation is not given, and the sample size is 14. Since the population is assumed to have a normal distribution, we can use the Z-value for a 98% confidence level, which is approximately 2.33.
Plugging the values into the formula, we have:
[tex]CI = $192 + 2.33 * (s/\sqrt{14)[/tex]
Thus,
= 192 ± 2.326*8÷√(14)
= {(192 + 4.97),(192 - 4.97)}
= {196.97,187.03}
Learn more about Confidence Interval here:https://brainly.com/question/34700241
#SPJ12
"A justification/recommendation report would be written to evaluate which equipment to buy. Justification reports are always indirect because the audience must be persuaded. First the writer would discuss the problem and then address alternative solutions. The author would choose the most promising alternative—the recommendation—and explain why its advantages surpass its disadvantages."
Answer and Explanation:
The type of report best-suited for studying available options is the feasibility report. These reports are prepared either internally or by hired consultants to study the various options available before taking a decision. Costs and benefits of each available option is weighed in and technical / financial viability is measured.
It is organised indirectly to include the subject of the study, the decision, background information of they problem, the evaluation of positive and negative options of proposed solutions, costs and schedules for implementation of the solution are outlined.
Amongst the three given answers in the question, the closest report that studies the available options is
In the California general election, it is not unusual for a company to run an advertisement for/against a proposition stating that the proposition is good/bad for the economy and a waste of tax dollars/source of tax revenue. This would probably be considered a(n) ____________ ad
Select one:
a. Pioneeringb.
Coercing
c. Advocacy
d. Comparative
e. Trigger
Answer:
This would be considered as an Advocacy ad.
Explanation:
Company is running an advertisement to give an understanding to the general public about the proposition. The company is advocating the public in this scenario and also the proposition.
The Leonid Company master budget, which was based on planned activity of 42,000 units, resulted in a profit of $140,000. The company's flexible budget, which was based on actual activity of 40,000 units, resulted in a profit of $136,000. Actual profits, which resulted from the actual activity of 40,000 units, were $139,000. What was the company's sales activity (or sales volume) variance?
Answer:
$1,000 unfavorable
Explanation:
The sales activity variance is the difference between budgeted profit and the actual profit. This year's master budget estimated a $140,000 profit and the actual profit for the year was $139,000. This means that the variance was -$1,000 (= $139,000 - $140,000), or $1,000 unfavorable.
Bob works as a forklift driver in a manufacturing plant. When he is at work, he is covered by workers compensation insurance. His employer has also included a major medical plan as part of his benefit package, so Bob is also covered by insurance outside of working hours, as well. Which insurance term best describes this arrangement?1. Combination coverage2. 24-hour coverage3. Comprehensive coverage4. Workers medical coverage
Answer:
2. 24-hour coverage
Explanation:
Based on the description being provided based on Bob's workers compensation coverage policy it seems that his arrangement is best described as a 24-hour coverage. This refers to a policy that covers the individual at all times, 24 hours a day. While the individual is at work as well as when they are outside of work.
Sid, a director of Tech Software Company, learns that a Tech engineer has developed a new, exciting video game. Sid buys Tech stock and tells his friend Uri, who also buys Tech stock. When the new game is released three weeks later, Sid and Uri sell their stock for a big profit.
Sid would not be liable if he had waited to buy Tech stock until______
Answer:
Sid would not be liable if he had waited to buy Tech stock until "three weeks when the game was released".
Explanation:
Sid, by finding out about the development of a new and exciting video game, and then acting on that information by purchasing Tech stock, and also informing his friend Uri to do the same, has committed illegal insider trading.
He used non-public information (that had not yet been made available to the public) to make extra profit for himself and his friend, Uri.
If Sid had waited until the information became public three weeks later, before purchasing Tech stock, then he would not be liable for illegal insider trading.
While you were visiting a friend, someone robbed their apartment and stole your laptop computer. Unfortunately, they did not have renter's insurance. Where can you look for help to replace your computer
Answer:
The correct answer is Your homeowners insurance policy .
Explanation:
A standard homeowners insurance policy includes four essential types of coverage:
Coverage for the structure of your house. Coverage for your personal belongings. Civil liability protection. Additional expenses in case you cannot live in your house temporarily due to a fire or other disaster that is insured in your policy.2. Coverage for your personal belongings . Your furniture, clothing, sports equipment and other personal items are covered if they are stolen or destroyed by a fire, hurricane or other disaster stipulated in the policy. Most companies provide coverage of between 50% and 70% of the amount of insurance you have for the structure of your property. So if you have a $ 100,000 premium on your insurance for the structure of your property, you would have between $ 50,000 and $ 70,000 of coverage for your belongings. The best way to determine if you have sufficient protection is through an inventory.
This part of your policy includes protection for your personal belongings when they are away from home (off-premises). This means that if you decide to have this type of coverage, your belongings are covered anywhere in the world. Some companies limit the amount to 10% of the total insurance you have for your possessions. In addition, you have coverage of up to $ 500 for charges that you had to pay for fraudulent use that could be a victim for you and your credit cards.
Procter and gamble vizir launch case study review Should P&G launch Vizir in Germany or as a ‘ Eurobrand ’ ? When should the launch take place?
Answer:
The answer is no, it should be launched as a product on Europe wide Basis. The vizir is one of the detergents of the P&G detergent's line available in Europe.
Explanation:
Because that is the best strategy. In this way, each subsidiary is free to develop its own marketing strategy accoding to the environment and local production. Germany, Belgium, France and UK will have their own strategy for marketing and production.
P&G should initially launch Vizir in Germany to leverage existing brand familiarity and then consider expanding as a 'Eurobrand' with tailored strategies. Thorough market research and ideal timing, such as the back-to-school season in fall, are crucial. This approach maximizes consumer trust and market penetration.
Should P&G Launch Vizir in Germany or as a 'Eurobrand'?
When considering whether Procter & Gamble (P&G) should launch Vizir in Germany or as a 'Eurobrand', it’s essential to analyze past case studies and market dynamics. One prominent example is P&G's earlier attempt to rebrand Fairy as Dawn in Germany, which led to a significant loss in market share due to the strong local brand affinity that was disrupted.
Launching Vizir specifically in Germany allows P&G to leverage the familiar and trusted brand connection which is crucial for success, as seen in Fairy's case. On the other hand, launching Vizir as a 'Eurobrand' could potentially streamline branding and marketing efforts across Europe but risks encountering the same issues if the brand does not resonate equally well in different countries.
When Should the Launch Take Place?
Timing is also critical. P&G should consider market conditions, competitive landscape, and consumer readiness. Ideally, launching during a period of economic stability and after thorough market research would maximize the chances of success. Moreover, seasonal factors such as the back-to-school season in fall, which sees a rise in household product purchases, could provide an opportune window for the launch. This strategic timing helps in capturing a wider audience ready for new household products.
In conclusion, P&G should consider launching Vizir initially in Germany to maintain brand familiarity and consumer trust and then gradually expand to a 'Eurobrand' with tailored strategies for each market. Launching during periods when consumers are more likely to purchase household products, such as the fall season, would optimize the launch's success.
Which of these can be listed as benefits of filing your tax return online?
I. Allows you to claim a larger number of deductions
II. Allows for faster receipt of any refunds due
III. Allows for greater accuracy when filing
Answer:
The correct answer is (II) and (III)
Explanation:
Electronic tax return forms enable you to make online instalments, which are quicker and less difficult than paying with a money order. There is no possibility of an electronic instalment being lost via the post office. It helps to pay your bills on time and it allow to have a greater accuracy of filling, that means the chances of mistakes are minimal while filling online tax returns.
The Fed's Federal Open Market Committee
a. advises the Fed on the overall health of the economy.
b. regulates savings and loan associations, savings banks, and credit unions.
c. advises the Fed on consumer credit laws.
d. is the Fed's primary monetary policymaking body.
Answer and Explanation:
d. is the Fed's primary monetary policymaking body.
In a market economy, a high price will usually cause
A)producers to offer less and consumers to buy less.
B)producers to offer less and consumers to buy more.
C)producers to supply more and consumers to buy less.
D)producers to supply more and consumers to buy more.
Answer:
C) producers to supply more and consumers to buy less.
Explanation:
The typical supply curve is upward-sloping (higher price leads to higer quantity supplied) and the typical demand curve is downward sloping (higher price lower quantity demanded).
Price is a measure of how much one good can be exchanged for other things. Production incurred cost (tend to rise as more resources become harder to obtain) so to supply more suppliers will demand higher price. Purchasing higher price good means consumers have less money (less of other goods can be bought) consumer will buy less good at higher price.
As Malta got ready for its admittance into the European Union (EU), the EU removed all taxes on the importation of goods manufactured in Malta. In other words, the EU abolished ____ for Malta-manufactured merchandise.
a. import quotas
b. customs classifications
c. import standards
d. tariffs
e. boycotts
Answer and Explanation:
d. tariffs
Hey! How are you? My name is Maria, 19 years old. Yesterday broke up with a guy, looking for casual sex.
Write me here and I will give you my phone number - *pofsex.com*
My nickname - Lovely
Faith's job is to provide copywriting services for promotions from several major clients. Anna works closely with her on the artwork for the promotions. After they are all finished, their colleague Phillip arranges the artwork and copy. Currently, they are developing a print advertising campaign. If their manager approves their work, they will be able to go ahead and proceed to the next step in the development of the campaign.
Answer:
Faith, Anna, and Phillip most likely work at an advertising agency.
Phillip is most likely working on layout.
In an attempt to understand its target markets better, Intel Labs Flexible displays group has been studying the product adoption stages and strategies. Intel Labs can expect to find all of the following EXCEPT that:________.
Answer:
Three categories of adopters who will adopt flexible displays.
Explanation:
Intel Labs can expect to find all of the following EXCEPT that there are three categories of adopters who will adopt flexible displays. Market specialists have characterised purchasers into five classes based on their selection of an item during various phases of such item's reality cycle. The 5 adopter classes are Innovators, Early adopters, Early majority, Late majority and Laggards.
The unemployment that is caused by changes in the economy, such as shifts in manufacturing techniques, increased use of computers and electronic machines, and increases in the production of services instead of goods, is called_________.A. frictional unemployment.B. cyclical unemployment.C. natural unemployment.D. structural unemployment.
Answer:
D. structural unemployment.
Explanation:
D
Structural unemployment is caused by changes in the economy, such as shifts in manufacturing techniques, increased use of computers and electronic machines, and increases in the production of services instead of goods.
Structural unemployment is caused by technological change.
Cyclical unemployment is caused by business cycles. In down turns, unemployment rises and falls during a boom.
Frictional unemployment is the period between when Labour leaves his job and gets another one.
Before buying paint from a paint store, Dustin, a college professor, asked the salesperson if the paint could be used safely to paint the inside of his fireplace. The salesperson said that it was heat resistant paint and could be used for that purpose. Which of the following warranties was created by the salesperson's statement?
A. An express warranty
B. An implied warranty of fitness for a particular purpose
C. An implied warranty of merchantability
D. Both a and b
Answer:
A, B and C are correct
Explanation:
An express warranty is a warranty that is clearly expressed. In this case, the salesperson said the paint was heat resistant and could be used for painting the inside of a fireplace.
An implied warranty of fitness for a particular purpose means that the product works or it is fit for a particular use or purpose. In this case, the seller told Dustin that the paint could be used to paint the inside of a fireplace.
The warranty of merchantability is always implied, unless it is expressly disclaimed by the seller or the name of the product (e.g. sold with all faults). This means that the product should be good enough to be bought by an ordinary customer.
The statement by the salesperson created both an express warranty and an implied warranty of fitness for a particular purpose, as the advice was tailored to the specific use indicated by Dustin, the buyer.
This is a clearly written or oral statement about what a product is capable of, suggesting that the paint will resist heat and be safe for the intended use. Additionally, because Dustin specified the purpose for the paint and relied on the salesperson's expertise, an implied warranty of fitness for a particular purpose is also created.
Warranties are a promise to repair or replace a product and hold the seller responsible for adequate instructions and warnings about the product's risks. By asserting that the paint is suitable for painting inside a fireplace, the seller implicitly provides a warranty regarding the paint's performance under these conditions.
Edith works for Fast Trades, Inc., a brokerage that facilitates frequent, quick securities transactions for investors. Edith steals her employer's computer program to start up her own competing business, Get Rich Quick, Inc. This is
Answer:
larceny
Explanation:
Larceny refers to the act of stealing someone else's property, it's what most people think of as stealing or theft. Although theft is a broader legal term that can be divided into larceny and burglary (when you steal something by using force). Larceny is considered a misdemeanor and is usually punishable with a fine or up to 1 year of prison time.
Edith's act of stealing her employer's computer program is a form of intellectual property theft and economic espionage, illegal acts that violate intellectual property laws and business ethics.
Edith's actions of taking her employer's computer program to start her own competing business in the context of Fast Trades, Inc. falls under the category of intellectual property theft. Intellectual property laws are designed to protect the creators of original works, which includes software. By stealing the program, Edith is not only violating the trust of her employer but also committing an illegal act called economic espionage, which could be punished under laws that protect trade secrets.
In a similar narrative, the movie 'Wall Street illustrates the allure and consequences of insider trading, yet another breach of financial regulations and ethics. While insider trading involves the misuse of confidential information for financial gain, intellectual property theft involves taking proprietary technology or ideas. However, both acts are prosecuted to preserve fairness and integrity in business and financial markets.
Reece has decided to start his own brewery. To purchase the necessary equipment, Reece withdrew $20,000 from his savings account, which was earning 3% interest, and borrowed an additional $50,000 from the bank at an interest rate of 5%. What is Reece's annual opportunity cost of the financial capital that has been invested in the business?
Final answer:
The annual opportunity cost of the financial capital invested in the business is $3,100.
Explanation:
The annual opportunity cost of the financial capital invested in the business can be calculated by determining the interest that would have been earned if the money had not been invested in the business. In this case, Reece withdrew $20,000 from his savings account, which was earning 3% interest, and borrowed an additional $50,000 from the bank at an interest rate of 5%. So the opportunity cost will be the sum of the interest that would have been earned on both amounts.
The interest earned on the $20,000 withdrawn from the savings account is $20,000 * 0.03 = $600.
The interest on the $50,000 loan is $50,000 * 0.05 = $2,500.
Therefore, Reece's annual opportunity cost of the financial capital invested in the business is $600 + $2,500 = $3,100.
Levin and Co. is a group of oil refineries that has been in the news recently. The company had to stop production for over two weeks because their key supplier refused to sell them crude oil at the old prices. Even after rounds of negotiations, the supplier refused to give in to the demands of Levin and Co., and finally, the company had to acquire the raw material from the same supplier because alternative suppliers, though abundant, could not provide the quantities the company demanded at such short notice. This shows the role of ________ in increasing the power one enjoys.A. dependence.B. substitutability.C. alternatives.D. abundance.E. exchange
Answer:
A) dependence
Explanation:
Power and dependency are fundamental issues in supply chain management. When a firm has more potential suppliers, the bargaining power of the firm increases (due to greater competition). But if a firm has a small number of potential suppliers, then the bargaining power of the firm decreases.
In this case, Levin and Co. had no bargaining power over its supplier because it was totally dependent on it, it didn't have any alternative suppliers.
Raycom Construction needs heavy-duty equipment to install a new pipeline in northern Alaska. Raycom's engineers have been asked to provide detailed specifications and recommendations for the equipment needed. The Raycom engineers will primarily play the __________ role in the company's buying center.
a. user
b. initiator
c. gatekeeper
d. buyer
e. influencer
Answer:
e. influencer
Explanation:
Influencer -
Is a person , that influences other person for any task like , work , dressing style , makeup etc , is known as an influencer .
Hence , from the question ,
The engineers of the Raycom construction plays the role of influencer in the company's buying center .
Therefore , from the question ,
the correct term for the given statement is e. influencer .
The Raycom engineers will primarily play the "influencer" role in the company's buying center. They will provide detailed specifications and recommendations for the heavy-duty equipment needed to install the new pipeline in northern Alaska. Therefore, option eis correct.
The term "influencer" within the context of a buying center refers to the individuals or groups who possess expertise and knowledge relevant to a purchasing decision and have the ability to influence the final buying choice.
In the case of Raycom Construction's pipeline project in northern Alaska, the engineers fulfill the influencer role by leveraging their technical expertise to provide detailed specifications and recommendations for the heavy-duty equipment required.
Their input carries significant weight in shaping the final decision, as they possess the specialized knowledge necessary to assess the equipment's suitability and performance for the specific project requirements.
Learn more about purchasing decision here:
https://brainly.com/question/30166151
#SPJ6
"If I didn't have class tonight, I would save the $4 campus parking fee and spend four hours at work where I earn $10 per hour." The opportunity cost of attending class this evening is:
A. $0
B. $4
C. $40
D. $44
Answer:
Opportunity cost will be $44
So option (d) will be the correct option
Explanation:
We have given that if he is not going to class then he save $4 of campus parking fee
And he work for 4 hours at rate of $10 per hour
So his total earning will be = 4×$10 = $40
Now we have to find the opportunity cost
Opportunity cost will be given by
Opportunity cost = Earning +saving = $40+$4 = $44
So option (d) will be the correct answer
Final answer:
The opportunity cost of attending class in this scenario is $44, encompassing both the $4 parking fee and the $40 in wages not earned due to attending class instead of working. The correct option is d.
Explanation:
The student poses a situation where if they did not attend class, they would save a $4 parking fee and could work for four hours at their job, earning $10 per hour. To calculate the opportunity cost of attending class, we need to combine the parking fee and the wages they forego by attending class rather than working. The total opportunity cost is the sum of the $4 parking fee and the lost wages of $40 (4 hours at $10 per hour), which equals $44.
Thus, the correct answer to the question 'The opportunity cost of attending class this evening is:' would be D. $44.
Which of the following statements regarding leader-member exchange relationships is incorrect?
A) If a leader is unethical, employees may not want to have a relationship so as not to suffer from guilt by association.
B) All employees would like to have a positive relationship with their leader.
C) When high LMX employees succeed, leaders credit the efforts they put forward and their high level abilities.
D) A problem with a low-quality exchange relationship is that employees may not have access to a positive work environment.
Answer:
B) All employees would like to have a positive relationship with their leader.
Explanation:
The leader-member exchange relationship theory is based on the idea that leaders will develop an exchange relationship with their staff. How good or bad these exchange relationships are between the leader and his/her staff should influence how they perform and what decisions they make.
As in all relationships, not everything is positive and sometimes people (the leader or the staff) are not interested or willing to have a positive relationship with each other. For example, at school you will not necessarily be friends with everyone, nor would you want to be friends with everyone.
Final answer:
Option B) is incorrect. Not all employees desire a positive relationship with their leader.
Explanation:
The statement that is incorrect regarding leader-member exchange relationships is option B) All employees would like to have a positive relationship with their leader. Leader-member exchange (LMX) relationships vary among individuals and are based on mutual trust, respect, and communication between leaders and employees. While many employees strive for a positive relationship with their leader, it is not true that all employees would like this relationship.
Some employees may prefer a more transactional relationship based on completing tasks and meeting goals, rather than a close personal relationship with their leader. Therefore, option B) is incorrect as it overgeneralizes the desire of all employees to have a positive relationship with their leader.
A firm that is pursuing a(n) _____ strategy is simultaneously trying to achieve low costs through location economies, economies of scale, and learning effects, and trying to differentiate its product offering across geographic markets.
Answer: Transnational strategy
Explanation:
The transnational strategy is the type of method that allow the organization for maintaining all the foreign functions an also achieve the low cost due to the location economic.
The Transnational strategy is one of the type of strategy which allow the organization for initiate the various types of functions for preserving the central coordination in the particular location.
This strategy basically differentiate between the product across the geographical market and also foster the various types of multinational skills in the global network.
Marta is 52 years of age and expects to retire from her current employer at age 65. Marta’s employer contributes $2,000 to a qualified retirement plan for Marta’s benefit in the current year. How will Marta’s employer treat the contribution?
Answer:
Martha's employer can deduct the $2,000 contributed from its income for the current year.
Current tax law enables employers or employees to deduct their full contribution to qualified retirement plans either for employees or themselves.
So if Martha herself contributes another amount of money, she can also deduct that amount from her gross income.
A new bridge across the Allegheny River in Pittsburgh is expected to be permanent and will have an initial cost of $30 million. This bridge must be resurfaced every 5 years at a cost of $1 million. The annual inspection and operating costs are estimated to be $50,000. Determine its equivalent annual worth at an interest rate of 10% per year.
Final answer:
The equivalent annual worth of the bridge at an interest rate of 10% per year is $39,260,948.94.
Explanation:
To determine the equivalent annual worth of the bridge, we need to calculate the present value of all the costs over the lifetime of the bridge. The bridge must be resurfaced every 5 years for a period of time, after which it is expected to be permanent. Let's assume the bridge will last for 50 years.
First, we calculate the present value of the initial cost of $30 million at an interest rate of 10%. Using the formula for present value of a single amount, we get:
Present Value of Initial Cost = $30,000,000 / (1 + 0.10)^0 = $30,000,000
Next, we calculate the present value of the resurfacing costs of $1 million every 5 years. We do this for each 5-year period and then sum up the present values using the formula for an annuity:
Present Value of Resurfacing Costs = (PMT / (1 + i)^n) + (PMT / (1 + i)^(2n)) + ... + (PMT / (1 + i)^(kn))
where PMT is the resurfacing cost, i is the interest rate, n is the number of compounding periods, and k is the number of times the cost is incurred. In this case, k = 10 (50 years / 5 years) and PMT = $1,000,000. Evaluating the sum, we get:
Present Value of Resurfacing Costs = ($1,000,000 / (1 + 0.10)^1) + ($1,000,000 / (1 + 0.10)^2) + ... + ($1,000,000 / (1 + 0.10)^10) = $8,991,080.26
Finally, we calculate the present value of the annual inspection and operating costs of $50,000. Using the formula for present value of an ordinary annuity, we get:
Present Value of Annual Inspection and Operating Costs = PMT * [(1 - (1 + i)^-n) / i] = $50,000 * [(1 - (1 + 0.10)^-50) / 0.10] = $269,868.68
To determine the equivalent annual worth, we sum up the present values of the initial cost, resurfacing costs, and annual inspection and operating costs:
Equivalent Annual Worth = $30,000,000 + $8,991,080.26 + $269,868.68 = $39,260,948.94
When a production function is graphed with Real GDP on the vertical axis and labor on the horizontal axis, a rise in labor ________________________, and a rise in the technology coefficient __________________.
a. shifts the production function upward; also shifts the production function upward
b. moves us up along a given production function; shifts the production function upward
c. shifts the production function downward; shifts the production function upward
d. shifts the production function upward; moves us up along a given production function
Answer:
b. moves us up along a given production function; shifts the production function upward
Explanation:
Labor productivity is responsible for measuring the output of a country's economy each hour. In other words, it charts how much production of GPD is performed per 1 hour of labor. An increase or growth in labor productivity can change depending on 3 main factors: the amount of capital saved and invested, the implementation of new technology, and the levels of human capital.
New technologies consist of new methodologies in a combination of inputs that result in more output, such as turning manual processes into automatic ones. This will increase the production function.
Balance Sheet (partial) Stockholders’ equity Paid-in capital Preferred stock, cumulative, 11,833 shares authorized, 7,100 shares issued and outstanding $ 710,000 Common stock, no par, 717,672 shares authorized, 555,000 shares issued 1,665,000 Total paid-in capital 2,375,000 Retained earnings 1,151,000 Total paid-in capital and retained earnings 3,526,000 Less: Treasury stock (7,000 common shares) 37,333 Total stockholders’ equity $3,488,667 From a review of the stockholders’ equity section, answer the following questions.
(a) How many shares of common stock are outstanding?
Common stock outstanding 543000 shares
(b) Assuming there is a stated value, what is the stated value of the common stock?
The stated value of the common stock $ per share
(c) What is the par value of the preferred stock?
The par value of the preferred stock $ per share
(d) If the annual dividend on preferred stock is $49,700, what is the dividend rate on preferred stock?
The dividend rate %
(e) If dividends of $71,400 were in arrears on preferred stock, what would be the balance reported for retained earnings?
The Retained Earnings balance $
Answer:
a) 548,000 shares
b) The stated value = $3 per common stock.
c) The par value of the preferred stock = $100
d) The dividend rate of preferred stock = 7%
e) Reported for retained earnings = $1,079,600
Explanation:
A. Number of outstanding common stock = Number of Common stock - Treasury stock
Given,
Number of Common stock issued = 555,000 shares
Treasury stock = 7,000 common shares
Treasury stock is the purchasing of the company's own stock from the market.
Therefore, Number of outstanding common stock = (555,000 - 7,000) shares
Number of outstanding common stock = 548,000 shares.
B.
The stock of the firm has no par value. It means the full amount is either in the premium or in stated value. Therefore, the firm's declared value of the common stock is the total common stockholders' equity divided by the total number of common stock issued.
Hence, the formula is,
The stated value = [tex]\frac{total common stockholders' equity}{total number of issued common stock}[/tex]
The stated value = [tex]\frac{1,665,000}{555,000}[/tex]
The stated value = $3 per common stock.
C.
We know,
The par value of the preferred stock = [tex]\frac{Total preferred stock amount}{Number of preferred stock}[/tex]
Given,
Total preferred stockholders' equity = $710,000
Number of preferred stock = 7,100 shares
Putting the value in the formula,
The par value of the preferred stock = [tex]\frac{710,000}{7,100}[/tex]
The par value of the preferred stock = $100
It is the selling price to the preferred stockholders for every preferred stock.
D.
Given,
The annual dividend = $49,700
Total preferred stockholders' equity = $710,000
We know, the dividend rate of preferred stock = [tex]\frac{Annual Dividend paid to the preferred stockholders}{Total preferred stockholders' equity}[/tex] x 100
Therefore,
The dividend rate of preferred stock = [tex]\frac{49,700}{710,000}[/tex] x 100
The dividend rate of preferred stock = 7%
This is a fixed rate and for this firm, it is cumulative. Therefore, the firm's preferred stockholders' will receive 7% dividend per year.
E.
Since the preferred stock of this firm is cumulative, therefore, the dividend has to be paid to the preferred stockholders if there are any outstanding amount remains in the previous year. Therefore, if there were $71,400 arrears of dividends, the firm would give those amounts from the retained earnings' balance.
Given,
Retained earnings = $1,151,000
Arrear preferred dividend = $ (71,400)
The balance would be reported for retained earnings = $1,079,600
On Monday, Merlin buys a tablet for $500 from a Pads & Pods store. On Tuesday, he returns to the store and buys a GPS device for $200. On Wednesday, he downloads $100 worth of tunes from singsong. To be enforceable as a contract, a writing is required for the purchase of
Answer:
Tablet only.
Explanation:
As Given Merlin have bought tablet for $500, he return it and buy GPS device for $200 and downloaded tunes for $100.
Most of commercial agreement is unwritten and many contract does not require to be in writing, however, uniform commercial code (UCC) have made certain exception for which written contract is required.
Under uniform commercial code (UCC), certain contract for sales of goods Article 2 must be in writing.
All the sales of goods worth $500 and more must have contract in writing and must be signed by the party against which enforcement is sought. It is valid even if the contract is not written in detail, it is enforceable.
Therefore, only purchase of Tablet must have contract in writing as it is worth $500.
Final answer:
As Given Merlin have bought tablet for $500, he return it and buy GPS device for $200 and downloaded tunes for $100.
Explanation:
To be enforceable as a contract, a writing is required for the purchase of goods where the price is $500 or more according to the Uniform Commercial Code. Most of commercial agreement is unwritten and many contract does not require to be in writing, however, uniform commercial code (UCC) have made certain exception for which written contract is required.
In the scenario presented, Merlin buys a tablet for $500 on Monday from Pads & Pods store, a GPS device for $200 on Tuesday, and downloaded $100 worth of tunes from singsong on Wednesday. By law, the tablet purchase for $500 requires a written contract to be enforceable because it meets the threshold value, whereas the GPS device and the tunes do not require such writing as they are under the $500 limit.
When using the direct write-off method off accounting for uncollectible receivables, the account Allowance for Doubtful Accounts is debited when a specific account is determined to be uncollectible. True or False
Answer:
False
Explanation:
Allowance for Doubtful Accounts account is a contra asset account. In this case it would lower the value Accounts Receivable account.
So when you use the write-off method for uncollectible receivables, the account Allowance for Doubtful Accounts is CREDITED. When an asset decreases, it should be credited.
Abby sold a parcel of land for $18,000. She paid a real estate agent a commission of $1,200 for assisting with the sale. Abby had purchased the land several years earlier for $14,500. What is the gain on the sale of the land?
a. Gain of $3,500
b. Gain of $16,800
c. Gain of $18,000
d. Gain of $2,300
Answer: D - Gain of $2,300
Explanation: Abby bought the land for $14,500 several years ago.
She sold the land for $18,000 less commission paid to the agent at $1200.
Abby from the above statement made a gain and its calculated thus:
Sale of land =$18,000
Less:
Cost of the land =$14,500
Commission = $1,200
Gain = $18,000-$14,500-$1,200= $2,300