Answer:
$3,093
Explanation:
Hensley, Inc.
Bank Reconciliation Statement
Month Ended June 30
Balance as Hensley, Inc. record $3,100
Less: Service Charges $7
Adjusted Cash Balance $3,093
Cash Balance as per Bank Statement $3,900
Add: Deposit in Transit $700
Less: Outstanding checks* $1,507
Adjusted Cash Balance $3,093
*Outstanding Checks = Balance as per Bank Statement + Deposit in Transit - Adjusted Cash Balance
Outstanding Checks = $3,900 + $700 - $3,093
Outstanding Checks = $1,507
The adjusted cash balance at June 30 can be calculated by adding the deposit in transit, deducting the bank service charge, and deducting the outstanding checks.
Explanation:The adjusted cash balance at June 30 can be calculated by adjusting the Cash account balance in the ledger to reconcile it with the bank statement balance.
A $700 deposit in transit should be added to the Cash account balance, as it represents a deposit made by Hensley, Inc. that has not been recorded by the bank yet.The $7 bank service charge should be deducted from the Cash account balance, as it represents a fee charged by the bank.Outstanding checks should also be deducted from the Cash account balance, as they represent checks issued by Hensley, Inc. that have not yet been cleared by the bank.By applying these adjustments, we can calculate the adjusted cash balance at June 30.
Clothing Frontiers began operations on January 1 and engages in the following transactions during the year related to stockholdersâ equity.
January 1 Issues 700 shares of common stock for $34 per share.
April 1 Issues 110 additional shares of common stock for $38 per share.
Record the transaction, assuming Clothing Frontiers has no-par common stock.
Answer and Explanation:
The journal entries are as follows
On Jan 1
Cash A/c Dr $23,800 (700 shares × $34)
To Common stock $23,800 (700 shares × $34)
(Being the issuance of the common stock is recorded)
On April 1
Cash A/c Dr $4,180 (110 shares × $38)
To Common stock $4,180 (110 shares × $38)
(Being the issuance of the common stock is recorded)
For recording these transactions we debited the cash as it increased the cash balance and at the same time it also increased the stockholder equity so it would be credited
Over the past five years, a company had average annual credit sales of $320,000 and this year had write-offs of $2,000. Credit sales in the current year are $300,000. The balance in the Allowance for Doubtful Accounts is a $500 credit. Using the percentage of credit sales method and an estimate of 1%, what amount should the company record as an estimate of bad debt expense
Answer:
$2,500
Explanation:
Bad debt Expense will be calculated using the percentage of debt loss. The expense will be calculated using the account receivable balance.
Estimated allowance for doubtful accounts = Credit Sales x percentage = $300,000 x 1% = $3,000
Current Balance = $500 credit
As Allowance for Doubtful Accounts already have credit balance of $500, we need to adjust the remainder to make the closing balance of Allowance for Doubtful Accounts $3,000 at the year end.
Adjustment Value = $3,000 - $500 = $2,500
Cortland Corp. is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in net cash flows of $148,400. The equipment will have an initial cost of $530,000 and have a 5-year life. If the salvage value of the equipment is estimated to be $12,000, what is the annual net income? Ignore income taxes.
Answer:
$44,800
Explanation:
To calculate annual net income we need to deduct depreciation from the annual increase in net cash flows.
Depreciation is calculated on a straight line basis using the following formulae:
Asset cost - Salvage value / useful life
530,000 - 12,000 / 5 = $103,600
Annual Net Income = 148,400 - 103,600 = $44,800
Hence, annual net income is $44,800.
Answer:
Net yearly income= $44,800
Explanation:
Depreciation can be defined as a reduction in the value of an asset over a certain period that is referred to as its useful life.
Depreciation expense reduces yearly income.
The yearly depreciation can be compared to yearly Revenue earned by its use to get net income.
Depreciation = (Value of asset - Salvage value) ÷ Number of useful years
Depreciation= (530,000 - 12,000) ÷ 5
Depreciation= $103,600
The yearly Revenue generated by using the asset is $148,400
Net yearly income= Increased cash flow - Depreciation
Net yearly income = 148,400 - 103,600
Net yearly income= $44,800
A movie theater can increase its profits through price discrimination by charging a higher price to adults and a lower price to children if a. adults buy more popcorn than children. b. the cost of showing a movie to children is less than the cost of showing a movie to adults. c. it has some degree of monopoly-pricing power. d. All of the above are correct.
Answer:
It has some degree of monopoly-pricing power.
Explanation:
Pricing discrimination can be defined as a selling strategy in which producers set different prices for a particular product. Pricing discrimination can also be described as a method used by organizations to set the amount a product will be sold to different group of customers.
Pricing discrimination enables an organization to increase their sales and maximise profit, this is because this type of selling approach persuades customers to purchase large quantities of goods and services.
c. it has some degree of monopoly-pricing power.
The following information should be considered:
Pricing discrimination refers to the selling strategy where the producer set the different prices for the same product. It enables the organization for increase the sale due to which the profit is maximized. It is due to as customer buy bulk quantities of goods and services.Learn more: brainly.com/question/17429689
Radner Shipping purchased a truck and a trailer for $90,000. An appraisal has set the fair market values of the truck and the trailer at $60,000 and $40,000, respectively. At what amount should Radner record the truck?
a. $60,000
b. $54,000
c. $36,000
d. $0
Answer:
Truck $54,000
Explanation:
Basket purchase price of assets is always pro rated in ratio of their fair values
=90,000*(60,000/100,000
=54,000
Truck=$54,000
Trailer=90,000-54,000=$36,000
You want a seat on the board of directors of Four Keys, Inc. The company has 265,000 shares of stock outstanding and the stock sells for $76 per share. There are currently 5 seats up for election. If the company uses cumulative voting, how many shares do you need to guarantee that you will be elected to the board
Answer:
44,167.67 shares
Explanation:
Given that
Number of shares of stock outstanding = 265,000
Sale value per share of stock = $76
Number of seat for election = 5
So by considering the above information, the number of shares needed by using the cumulative voting is
= {shares outstanding ÷ (number of seats + 1) + 1}
= {(265,000 shares ÷ (5 +1) +1}
= 44,167.67 shares
X Ltd purchased a new motor vehicle for $50 000 less a trade-in allowance of $10 000 on its old vehicle. The balance of $40 000 was paid in cash. The company name and logo are painted onto the sides and roof of the vehicle at a cost of $2 000. X Ltd installs premium brakes and makes suspension adjustments at a cost of $5 000. A petrol card for use with the new vehicle is acquired at a cost of $500. The new vehicle collided with pot hole after being picked up from the dealership resulting in the replacement of 2 wheel rims and tyres at a cost of $3 000. What is the cost of the new vehicle for accounting purpos
Answer:
The multiple choices are:
a. $40 000
b. $50 000
c. $57 000
d. $60 500
C is the correct option,$57,000.
Explanation:
The cost of the vehicle initially was $50,000 because the cash of $40,000 which would debited to motor vehicle and credited to cash.Also,the trade-in-allowance is $10,000 debited to new motor vehicle and credited to old motor vehicle account.
Besides,the cost of name and logo would also form part of the cost of the motor vehicle as well as the cost of suspension adjustment.
The rationale is here is that cost of an asset includes cost of bringing the asset to its present location and condition.
Cost=$50,000+$2,000+$5000=$57,000
The city of Brock’s Water Enterprise Fund leases water treatment equipment. The life of the noncancellable lease is 10 years, and the expected life of the equipment is 12 years. Using an 8 percent interest rate, the present value of the lease payments is $905,861. The first payment of $125,000 is due when the lease begins, January 5, 2018. An additional payment is due on January 5th for each of the next 9 years. Prepare journal entries to record: 1. The lease of the equipment on January 5, 2018. 2. The first lease payment on January 5, 2018. 3. Amortization expense for fiscal year ending December 31, 2018 4. The second lease payment on January 5, 2019.
Solution and Explanation:
The Journal Entries in the books of Brock's water enterprise is as follows :-
Date Particulars and details Debit($) Credit($)
Jan 5, 2018 Intangible Assets - Lease 905861
Lease Payable 905861
(Being Record the Lease)
Jan 5, 2018 Lease Payable 125000
Cash 125000
(Being Record Down Payment)
Dec 31, 2018 Amortization Expenses ($905861divide 10) 90586
Accumulated Amortization 90586
(Being Record the amortization)
Jan 5, 2019 Lease Payable [tex](\$ 125000-\$ 62469)[/tex] 62531
Interest Expenses [tex]((\$ 905861-\$ 125000) * 8 \%)[/tex] 62469
Cash 125000
(Being Record the Second Lease Payment)
Consider the three theories of the upward slope of the short-run aggregate-supply curve. According to the sticky-wage theory, the economy is in a recession because the price level has declined so that real wages are too_____ , thus labor demand is too______ .According to the sticky-price theory, the economy is in a recession because______ .According to the misperceptions theory, the economy is in a recession when the price level is_______ what was expected. (fill in the blanks).
Answer:
According to the sticky-wage theory, the economy is in a recession because the price level has declined so that real wages are too high, thus labor demand is too low.
According to the sticky-price theory, the economy is in a recession because not all prices adjust quickly.
According to the misperceptions theory, the economy is in a recession when the price level is below what is expected.
Explanation:
The above mentioned are the three theories of the upward slope of the short-run aggregate-supply curve.
During the current year, Martinez Company disposed of two different assets. On January 1, prior to their disposal, the accounts reflected the following: Asset Original Cost Residual Value Estimated Life Accumulated Depreciation (straight-line) Machine A $ 81,200 $ 7,400 15 years $ 63,960 (13 years) Machine B 25,000 3,000 8 years 16,500 (6 years) The machines were disposed of in the following ways: Machine A: Sold on January 2 for $25,000 cash. Machine B: On January 2, this machine was sold to a salvage company at zero proceeds (and zero cost of removal). Required: 1. & 2. Prepare the journal entries related to the disposal of Machine A and B on the January 2 of the current year. TIP: When no cash is received on disposal, the loss on disposal will equal the book value of the asset at the time of disposal. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
Solution:
S.NO. Accounts title and Explanations Debit Credit
1 Cash $25,000
Accumulated Depreciation- Machine A $63,960
Gain on Dispose: $10,400
Machine A $78,560
Accumulated Depreciation - Machine B $16,500
Loss on Disposal $10,700
Machine B $27,200
Note: -When the net value of the commodity disposed of is smaller than the amount paid, there is a benefit. If the worth of the book is MOT, there is a cost.
A Corporation offers a 5.8 percent bond with a current market price of $823.50. The yield to maturity is 8.18 percent. The face value is $1,000. Interest is paid semiannually. How many years until this bond matures
Answer:
Explanation:
First of all, as the interest is paid semi-annually, we calculate semi-annual interest rate by dividing yield to maturity by the number of periods in a year (2).
Semi-annual interest rate = 0.0818 / 2 = 0.0409
Now using the following formula
[tex]YTM\;=\;\sqrt[n]{\frac{Face\;Value}{Current\;Price}}\;-\;1[/tex]
where,
YTM = 0.0409 (semi-annually)
Face Value = $1000
Current Price = $823.5
n = Number of semi-annual periods
[tex]0.0409\;=\;\sqrt[n]{\frac{1000}{823.5}}\;-\;1\\\\0.0409\;+\;1=\;\sqrt[n]{{1.214}}\\\\1.0409^{n} =\;1.214\\\\[/tex]
Taking natural log on both sides,
[tex]ln(1.0409)^{n} =ln(1.214)\\\\n*ln(1.0409)=ln(1.214)\\\\n=\frac{ln(1.214)}{ln(1.0409)}\\n=4.837[/tex]
Hence, semi-annual periods are 4.837. Therefore, the bond will mature in approximately (4.837/2) 2.4185 years.
Which of the following is an example of frictional unemployment? Elaine is willing to work for less than the minimum wage, but employers cannot hire her. Joan is willing to work at the going wage, but there are no jobs available. Bill is qualified and would like to be an airline pilot, but airlines do not find it profitable to hire him at the wage established by the airline pilot's union.
Research indicates that corporations using cross-national teams, whose members have international experience and communicate frequently with overseas managers, have greater product development capabilities.(a) True(b) False
Answer:
True
Explanation:
It is important you know that the term 'cross national team' implies teams from various countries.
Thus, when a company allows members who have international experience to communicate frequently with overseas managers, it will surely increases the Company's product development capabilities as result of the added wealth of a multinational workforce.Company's product development capabilities as result of the added wealth of a multinational workforce.
True, corporations that utilize multinational teams with international experience tend to have enhanced product development capabilities, enabling more effective global innovation and competitive advantages.
Research has shown that corporations employing cross-national teams, including members with international experience who frequently communicate with overseas managers, do indeed have stronger product development capabilities. Such teams benefit from a variety of perspectives that converge to foster innovation, reduce costs, and mitigate the risk of being preempted by competitors in the marketplace.
Examples of successful global collaboration include Fiat's development of the Palio in Brazil, Texas Instruments' use of Indian and U.S. engineer collaboration for advanced chip design, and Procter & Gamble's cross-border efforts leading to the creation of liquid Tide. These examples highlight the importance of leveraging global talent and knowledge to create competitive advantage through global innovation.
Moreover, hiring and training practices that emphasize a global perspective, such as Microsoft's and P&G's international training programs, support the development of a global mindset crucial for effective multinational operations and innovation. Therefore, the assertion that multinational teams with international communication experience contribute to greater product development capabilities is (a) True.
The payroll related information for Smart Packers is provided below. The company has a total payroll for the month of January of $100,000 for its 30 employees. Use the information provided to answer the following questions. (Assume that none of the employees earn more than $7,000 in January.) Federal and state income tax withheld $ 20,000 Health insurance premiums paid by employer $ 10,000 Contribution to retirement plan paid by employer $ 15,000 FICA tax rate (Social Security and Medicare) 7.65 % Federal and state unemployment tax rate 6.20 % Knowledge Check 01 What is the amount of Salaries Payable for the month?
The amount of Salaries Payable for the month of January for Smart Packers is calculated by subtracting the employer's expenses such as tax withheld, health insurance, and retirement plan contribution from the total payroll, which results to $55,000.
Explanation:The amount of Salaries Payable for Smart Packers for the month of January can be calculated by deducting all additional expenses from the total gross payroll. In this case, the total payroll is $100,000. The company's contribution to health insurance, retirement plan, and withheld income tax are all added expenses. These are:
Federal and state income tax withheld: $20,000 Health insurance premiums paid by employer: $10,000 Contribution to retirement plan paid by employer: $15,000
By adding these, we get a total expense of $45,000. Subtracting this from the total payroll of $100,000, we get a Salaries Payable of $55,000. It is important to note that the FICA tax rate or the Federal and state unemployment tax rate are not considered in this calculation since they are paid on top of the salaries and do not reduce the amount payable to employees.
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Final answer:
Salaries Payable is the amount of money owed by the company to its employees for work performed during a specific period but has not yet been paid. To calculate Salaries Payable, subtract the total deductions from the total payroll. The amount of Salaries Payable for the month is $55,000.
Explanation:
Salaries Payable is the amount of money owed by the company to its employees for work performed during a specific period but has not yet been paid.
To calculate Salaries Payable using the information provided, we can subtract the total deductions (taxes, health insurance premiums, retirement plan contributions) from the total payroll of $100,000.
Therefore, the amount of Salaries Payable for the month is $100,000 - $20,000 - $10,000 - $15,000 = $55,000.
Ralph Lauren has numerous ways to distribute its famous shirts to customers. Ralph Lauren has its own Polo stores throughout the U.S. and a Ralph Lauren website where customers can design and purchase their own shirts. In addition, Ralph Lauren sells its shirts through various retail stores such as Bloomingdales and Nordstrom. What type of channel is being used to sell Polo shirts through Nordstrom?
Answer:
The correct answer is letter "A": indirect.
Explanation:
An indirect distribution or sales channel uses intermediaries who have stored the products a company manufactures so they are offered to final consumers. In such a way, manufacturers work with retailers, wholesalers, and smaller stores being in charge of the sale of the goods.
Manufacturers provide their products to stores they trust can represent the firm as if they would be offering the products directly. Producers reduce costs bu engaging in this type of distribution channel.
Ralph Lauren uses Indirect Distribution, a channel involving intermediaries such as Nordstrom, to distribute its products. This helps them reach numerous and more diverse customers.
Explanation:Ralph Lauren uses a form of distribution known as Indirect Distribution to sell Polo shirts through Nordstrom. This is a type of distribution channel where a company uses intermediaries, such as retail stores, to sell its products to the final consumer. In this case, Ralph Lauren is the manufacturer of the Polo shirts, Nordstrom is the intermediary, and the customers are the final consumers. This is advantageous for Ralph Lauren as it allows them to reach a numerous and more diverse customer base that they may not have been able to access otherwise, and it allows Nordstrom to carry a popular, high-quality brand that attracts customers.
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Frank is building a home for Debby that under the original contract is to be completed by st December 31 . Debby found the plans for the home in a publication focusing on unique houses and is excited because it will be the only home of its type in the area. Because he underestimated the time needed for special and unique framing required for Debby's house, Frank tells Debby that he needs to hire additional workers in order to have the home done by that time and that she needs to pay him an extra $10,000. Debby says that she will pay. Frank finishes the home and asks for his $10,000. Debby refuses to pay. What is the likely result if Frank sues?
Final answer:
If Frank sues Debby, the case will depend on whether there was a new consideration provided for Debby's promise to pay an additional $10,000, based on contract law principles. Unforeseen complications in the construction could justify the renegotiation of the contract, potentially enforcing Debby's promise.
Explanation:
The likely result if Frank sues Debby for not paying the additional $10,000 is nuanced and would depend on the details of their contract and the laws of their jurisdiction. Generally, under contract law principles, such as the pre-existing duty rule, a party cannot demand additional payment for doing something they are already contractually obligated to do unless they provide some new consideration. However, if Debby's promise to pay the extra $10,000 can be seen as a new agreement, where Frank provides additional value or benefit beyond the original scope of the contract, then there could be grounds for enforcing the new promise. This could be an instance of renegotiation due to unforeseen circumstances, such as the unique and special framing requirements that weren't anticipated. Ultimately, the specific facts and terms of the agreement will guide the decision in such a legal dispute.
Farmer Brown grows Number 1 red corn and would like to hedge the value of the coming harvest. However, the futures contract is traded on the Number 2 yellow grade of corn. Suppose that yellow corn typically sells for 91% of the price of red corn. If he grows 186,550 bushels, and each futures contract calls for delivery of 5,000 bushels, how many contracts should Farmer Brown buy or sell to hedge his position?
Answer:
41 contract
Explanation:
The farmer must sell forward:
186,550×(1/0.91)
=186,550×1.09890
= 205,000 bushels of yellow corn.
This requires selling:
205,000/5,000 = 41 contracts
Therefore Farmer Brown should buy or sell to hedge his position 41 contract
Exercise 21-14 (Algo) Identifying cash flows from investing activities and financing activities [LO21-5, 21-6][The following information applies to the questions displayed below.]In preparation for developing its statement of cash flows for the year ended December 31, 2021, Millennium Solutions, Inc. collected the following information:($ in millions)Payment for the early extinguishments oflong-term notes (book value: $65.0 million) $ 69.0Sale of common shares 212.0Retirement of common shares 131.0Loss on sale of equipment 2.9Proceeds from sale of equipment 11.6Issuance of short-term note payable for cash 19.0Acquisition of building for cash 11.5Purchase of marketable securities (not a cash equivalent) 14.0Purchase of marketable securities (considered a cash equivalent) 10.0Cash payment for 3-year insurance policy 12.0Collection of note receivable with interest (principal amount, $20) 22.0Declaration of cash dividends 50.0Distribution of cash dividends declared in 2020 47.0Exercise 21-14 (Algo) Part 1Required:1. In Millennium’s statement of cash flows, what were net cash inflows (or outflows) from investing activities for 2021?
Final answer:
In Millennium's statement of cash flows, the net cash inflows (or outflows) from investing activities for 2021 amounted to $8.1 million.
Explanation:
In Millennium's statement of cash flows, the net cash inflows (or outflows) from investing activities for 2021 can be calculated by summing the cash inflows and subtracting the cash outflows related to investing activities.
Based on the information provided, the cash inflows from investing activities include the proceeds from the sale of equipment ($11.6 million) and the collection of note receivable with interest ($22.0 million), totaling $33.6 million.
The cash outflows from investing activities include the acquisition of a building for cash ($11.5 million) and the purchase of marketable securities (not a cash equivalent) ($14.0 million), totaling $25.5 million.
Therefore, the net cash inflows (or outflows) from investing activities for 2021 would be $33.6 million minus $25.5 million, which equals $8.1 million.
Eastman Publishing Company is considering publishing an electronic textbook about spreadsheet applications for business. The fixed cost of manuscript preparation, textbook design, and web-site construction is estimated to be $170,000. Variable processing costs are estimated to be $5 per book. The publisher plans to sell single-user access to the book for $45. Through a series of web-based experiments, Eastman has created a predictive model that estimates demand as a function of price. The predictive model is demand = 4,000 - 6p, where p is the price of the e-book. (a) Build a spreadsheet model to calculate the profit/loss for a given demand. What is the demand?
Answer:
the demand is 3,730 units
Explanation:
since the predictive model estimates demand as 4,000 - 6p, then at a selling price of $45 per ebook, the total demand = 4,000 - (6 x 45) = 4,000 - 270 = 3,730 units.
the estimated profit when demand = 3,730 is:
total revenue = 3,730 x $45 = $167,850
- variable costs = 3,730 x $5 = ($18,650)
- fixed costs = ($170,000)
net loss = -$20,800
I attached the excel spreadsheet model
Given the provided variable and fixed costs, selling price, and the predictive model of demand, it is possible to predict that Eastman Publishing Company would operate at a loss under these conditions.
Explanation:Eastman Publishing Company's profit or loss can be determined by subtracting the total variable and fixed costs from the total revenue. The total variable cost can be determined by multiplying the variable cost per unit ($5) by the demand. The demand can be calculated using the predictive model given, demand = 4,000 - 6p, plugging in $45 for p (the price of the e-book), gives us a demand of 4,000 - 6*45 = 4,000 - 270 = 3,730 e-books.
Now, calculate the total variable cost: 3,730 (demand) * $5 (variable cost per unit) = $18,650.
The total revenue can be calculated by multiplying the demand by the price: 3,730 * $45 = $167,850.
To calculate the profit or loss, subtract the total costs from the total revenue: profit or loss = total revenue - total costs => P/L = $167,850 - ($170,000 + $18,650) = -$20,800.
So, Eastman Publishing Company would be predicted to operate at a loss under these conditions.
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A bond par value is $1,000 and the coupon rate is 6.5 percent. The bond price was $947.00 at the beginning of the year and $985.39 at the end of the year. The inflation rate for the year was 2.2 percent. What was the bond's real return for the year?
Answer:
10.92%
Explanation:
Bond return = ($985.39 - 947.00 + 65) / $947.00
Bond return = .1092, or 10.92%
After losing a large religion discrimination lawsuit, an employer instituted diversity training throughout the organization which was aimed at two purposes: 1) reducing prejudice against minorities; and 2) increasing awareness of EEO legislation prohibiting discrimination. These two purposes reflect which of the following training objective categories?a. 1) attitude; 2) knowledge b. 1) knowledge; 2) knowledge c. 3) attitude; 2) behavior/skill d. 4) behavior/skill; 2) attitude
Answer:
1) attitude; 2) knowledge
Explanation:
The first training is aimed at changing employee attitude and the second one is aimed at increasing knowledge.
The _____ method of budgeting is being employed when expenditures are allocated by assigning a fixed amount of the unit product cost to promotion and multiplying this amount by the number of units sold.
Answer:
The correct answer is letter "B": percentage of sales.
Explanation:
The Percentage of Sales Method is an approach used at the moment of projecting the total amount of sales a company can process during the course of a year. This method aims to provide the firm with an idea of the sources necessary to produce enough output to meet its sales goal.
To forecast costs, the percentage of sales method allocates a fixed amount for a unit produced and then multiplies it by the number of sales projected.
What is the effect on a firm's net working capital if a new project requires a $30,000 increase in inventory, a $41,000 increase in accounts receivable, a $43,000 increase in machinery, and a $31,000 increase in accounts payable?
Answer:
$40,000
Explanation:
As we know that net working capital is
Net working capital = Current assets - current liabilities
where,
Current assets = Increase in inventory + increase in account receivable
= $30,000 + $41,000
= $71,000
And, the current liabilities
= Increase in account payable
= $31,000
So, the effect on the firm net working capital is
= $71,000 - $31,000
= $40,000
If a company plans to sell 24,000 units of product but sells 30,000, the most appropriate comparison of the cost data associated with the sales will be by a budget based on
A. the original planned level of activity.
B. 30,000 units of activity.
C. 24,000 unitis of activity.
D. 27,000 units of activity
Answer:
B. 30,000 units of activity.
Explanation:
Data provided in the question
Planned sales unit = 24,000 units
Actual sales units = 30,000 units
Based on the given information, the appropriate comparison is made when the planned sales units is compared with the actual sales units i.e 24,000 units with 30,000 units
So the budget should be based on 30,000 units of activity as it reflects the actual sales units
Select all of the following statements that are true four years from now, in the year 2023.
a. The Thrift segment will demand 7,754 thousand units
b. The Nano segment will demand 5,412 thousand units
c. The Core segment will demand 9,788 thousand units
d. The Elite segment will demand 5,879 thousand units
Answer:
The statements that are true four years from now, in the year 2023 are:
a. The Thrift segment will demand 7,754 thousand units
c. The Core segment will demand 9,788 thousand units
Explanation:
When it comes to the Thrift segment, the products or goods that are situated effectively and efficiently here are known to the market end users and are readily accessible. In this regard, there may perhaps be a possible rise in demand to 7,754 thousand units, continuing with the past trend of the same way.
The options that are true from the table will be:
The Thrift segment will demand 7,754 thousand unitsThe Core segment will demand 9,788 thousand unitsBased on the complete information and tables that are given, it can be inferred that the growth rate for the companies was given.
Growth rate simply means the percentage change of assets or investment for a particular period. From the table, it can be inferred that the thrift segment will demand 7,754 thousand units while the core segment will demand 9,788 thousand units.
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Autumnâ Services, Inc. acquired 124 comma 000 shares of Springâ Metals, Inc. on Januaryâ 1, 2018. Spring declares a cash dividend of $ 0.75 per share on Februaryâ 15, 2019 and pays the cash dividend on Marchâ 2, 2019. With the currentâ investment, Autumnâ Services, Inc. holds 12â% ofâ Spring's voting stock.
Prepare journal entry for the day when the dividend payment is madeâ (March 2,â 2019).
Answer:
Shareholders for dividends $93,000 (debit)
Cash $93,000 (credit)
Explanation:
Autumnâ Services, Inc holds a 12 % voting stock in Springâ Metals therefore it does not have control in terms of IFRS 10 and no consolidated statements must be produced.
The Acquisition of shares is thus a Financial Asset for Autumnâ Services, Inc.
February 15, 2019
When dividend is declared, recognize an equity item and a Liability in Spring Metals
Dividend $93,000 (debit)
Shareholders for dividends $93,000 (credit)
Dividend = 124,000×$ 0.75 per share
= $93,000
March 2, 2019
De-recognise the liability and de-recognise the cash asset in Spring Metals
Shareholders for dividends $93,000 (debit)
Cash $93,000 (credit)
Giselle, the executive of an American transportation firm, is negotiating a deal with a Japanese corporation. During the meeting, Giselle notices that her negotiation partners frequently break into side conversations using their native language. What is the most likely reason for these side conversations?
Answer:
It could be to explain any confusion caused by differences in language
Explanation:
The official language in Japan is Japanese. Since some of the members of the team of Japanese corporation may not or have limited understanding of English Language, which was being used as a form of communication at the meeting, those who understand English very well among the members of the team of Japanese corporation may have to explain better in Japanese to their colleagues who do not or have limited understanding of English Language.
Choose the best answer. The Maturity Risk Premium: Group of answer choices a. Is the premium reflecting the possibility of the failure of the borrower to pay its principal and interest payments on time. b. The premium reflecting the risk that unanticipated events will occur over the term of the security. c. Is not a premium reflected in the interest rate that the Federal Government has to pay when it borrows money for 30 years (issues a long term bond). d. All of the statements above are correct. e. Statements b and c are correct.
Answer: b. The premium reflecting the risk that unanticipated events will occur over the term of the security.
Explanation:
The Maturity Risk Premium refers to an additional rate of return that is put on a long term instrument such as a bond to cater for unanticipated events during the time that the bond is to be held.
For example, there is a risk that inflation rates could rise sharply.
This is why the Maturity Risk Premium is important. To ensure that returns are stable even if such events occur.
Option b is correct.
b. The premium reflecting the risk that unanticipated events will occur over the term of the security.
The following statement should be considered:
The Maturity Risk Premium defined the extra rate of return that is put on a long-term instrument such as there should be the risk where the rate of inflation could be increase sharply. Due to this, the maturity risk premium is significant.Learn more: brainly.com/question/17429689
e Company incurs cost of $35.70 per unit, of which?19.94 is variable, to make a product that normally sells for $58.16. A foreign wholesaler offers to buy 6,400 units at $31.76 each. Maize will incur additional costs of $1.0 unit to imprint a logo and to pay for shipping. Compute the increase or decrease in net income Maize will realize by accepting the special order, assuming Maize has sufficient excess operating capacity. (Enter negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).) Net Income Increase (Decrease) Reject Accept Revenues Costs Net income $ Should Maize Company accept the special order? Maize company should the special order.
Answer:
The order results in an incremental net income of $69,278 therefore accept
Explanation:
Consider the Incremental Costs and Revenues arising from this decision.
Since Maize has sufficient excess operating capacity, fixed costs are irrelevant for this decision.
Sales (6,400 units ×$31.76) 203,264
Variable Costs (6,400 units ×$19.94) (127,616)
Logo and Shipping Costs (6,400 units ×$1.00) (6,400)
Net Income 69,248
The order results in an incremental net income of $69,278 therefore accept
At the end of the first year of operations, Mayberry Advertising had accounts receivable of $22,100. Management of the company estimates that 8% of the accounts will not be collected. What adjustment would Mayberry Advertising record to establish Allowance for Uncollectible Accounts? (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)
Answer:
See explanation section
Explanation:
The adjustment Mayberry Advertising would record to establish Allowance for Uncollectible Accounts is as follows:
Debit Bad Debt Expense $1,768
Credit Allowance for doubtful accounts $1,768
Calculation: $22,100 × 8% = $1,768
As there was no beginning debit or credit balance of allowance for doubtful accounts, we did not need to adjust the expense. Mayberry Advertising just added the amount in the expense section.