Answer:Ending Capital Balance= $72,800
Explanation:
Ending Capital Balance is is the amount left in an account whether , positive or negative, at the end of an accounting period and calculated as Beginning Capital Balance+Net Income-Withdrawals
Particulars Amount
Beginning Capital Balance $45,000
Add:
Net Income $35,000
deduct:
Withdrawals $7,200
Ending Capital Balance $72,800
For financial reporting purposes, what is the total amount of product costs incurred to make 5,000 units
Answer: $80,500
Explanation:
Product Costs = Fixed Costs + Variable costs
Variable product cost = 5,000 units * (Direct materials + direct labor + Variable manufacturing overhead )
= 5,000 * (5.30 + 4.4 + 2.00)
= $58,500
Product Costs = 22,000 + 58,500
= $80,500
A company has 200,000 shares of 8% preferred stock with $10 par in its capital structure. The preferred stock currently sells for $15. The company has a tax rate of 40%. Ignore flotation costs. The cost of preferred stock used in WACC will be:
Answer:
the cost of preferred stock is 5.33%
Explanation:
The computation of the cost of preferred stock is shown below:
The cost of preferred stock is
= (Par value × dividend rate) ÷ (Share price)
= ($10 × 8%) ÷ ($15)
= ($0.8) ÷ ($15)
= 5.33%
Hence, the cost of preferred stock is 5.33%
The same is to be considered
We simply applied the above formula so that the correct cost could come
Portia Grant is an employee who is paid monthly. For the month of January of the current year, she earned a total of $9,288. The FICA tax for social security is 6.2% of the first $128,400 earned each calendar year and the FICA tax rate for Medicare is 1.45% of all earnings. The FUTA tax rate of 0.6% and the SUTA tax rate of 5.4% are applied to the first $7,000 of an employee's pay. The amount of federal income tax withheld from her earnings was $1,541.17. What is the total amount of taxes withheld from the Portia's earnings
Answer:
total taxes withheld = $2,251.71
Explanation:
the journal entry to record Portia's wage expense:
Dr Wages expense 9,288
Cr Federal income taxes withheld 1,541.17
Cr FICA OASDI taxes withheld 575.86
Cr FICA Medicare taxes withheld 134.68
Cr Wages payable 7,036.29
net pay = $7,036.29
total taxes withheld = $9,288 - $7,036.29 = $2,251.71
Problem 13-32 (LO. 2) Sea Green Enterprises reports the following assets and liabilities on its balance sheet. Net Book Value Fair Market Value Assets $600,000 $925,000 Liabilities 200,000 200,000 Sea Green has just lost a product liability lawsuit, with damages of $10,000,000 being awarded to the plaintiff. Although Sea Green will appeal the judgment, legal counsel indicates the judgment is highly unlikely to be overturned by the appellate court. The product liability insurance carried by Sea Green has a policy ceiling of $6,000,000. Assume any net assets of the company will be used to reduce the judgment. What is the amount of liability of Sea Green Enterprises and its owners if the business entity is a sole proprietorship, a partnership, a C corporation, and an S corporation
Answer:
Since the negative result of the lawsuit is extremely high, Sea Green Enterprises will probably be liquidated:
If it is a C corporation:
Sea Green will have to pay $725,000 (net assets)Its owners owe nothingIf it is an S corporation (similar to C corporation):
Sea Green will have to pay $725,000 (net assets)Its owners owe nothingIf it is a partnership:
Sea Green will have to pay $725,000 (net assets)Its owners will owe the rest = $4,000,000 - $725,000 = $3,275,000If it is a sole proprietorship:
Sea Green will have to pay $725,000 (net assets)Its owner will owe the rest = $4,000,000 - $725,000 = $3,275,000Owners of sole proprietorships and partnerships are personally liable for all the business debts. While owners of S or C corporations are not personally liable for any of the business's debts.
Total contribution margin in dollars divided by pretax income is the: Multiple Choice Degree of operating leverage. Contribution margin ratio. Margin of safety. Sales mix. Break-even point in units.
Answer:
Degree of operating leverage.
Explanation:
As we know that the formula of the degree of operating leverage which is given below:
= (Sales - Variable costs) ÷ (Sales - Variable costs - Fixed costs)
where,
Contribution margin = (Sales - Variable costs)
And,
EBIT i.e Pretax Income = (Sales - Variable costs - Fixed costs)
So the first option is correct and the same is to be considered
Calvin has always lived in Arizona. He owns a siding company in Arizona and in 2019 he earned $120,000 including $30,000 from a separate and distinct job in California. What amount of his income is taxable in California
Answer:
$30,000
Explanation:
Based on the information given we were told that he has always lived in Arizona in which he earned the amount of $30,000 from a separate job that he did in California which means that the amount of $30,000 that was earned in California will be subject to tax or taxable reason been that every income that is been earned in California will be subject to tax in California.
Therefore the amount of his income that is taxable in California will be $30,000
It costs Bramble Corp. $12 of variable and $5 of fixed costs to produce one bathroom scale which normally sells for $35. A foreign wholesaler offers to purchase 4300 scales at $15 each. Bramble would incur special shipping costs of $1 per scale if the order were accepted. Bramble has sufficient unused capacity to produce the 4300 scales. If the special order is accepted, what will be the effect on net income
Answer:
Effect on income= $8,600 increase
Explanation:
Giving the following information:
Unitary variable cost= 12 + 1= $13
Units sold= 4,300
Selling price= $15
Because it is a special offer, and there is unused capacity, we will not take into account the fixed costs.
Effect on income= units sold*unitary contribution margin
Effect on income= 4,300*(15 - 13)
Effect on income= $8,600 increase
22. You decide finance a $12,000 car at 3% compounded monthly for 4 years. What will your monthly payments be
Answer:
$265.60
Explanation:
P0 = d(1 - (1+i/k)^-nk / (n/k) (Formula as attached to the question)
P0 = $12,000
i = 0.03
k = 12
n = 4
12,000 = d( 1 - (1+0.03/12)^-4*12) / (0.03/12)
1000 * 0.03 = d(1 - (1.0025)^48
30 = d(1 - 0.997053263)
30 = d(0.112946737)
d = 30 / 0.112946737
d = 265.6119229
d = $265.6
Hence, the monthly payment will be $265.60
The ease with which resources can be adjusted in response to changes in demand, technology, products and services, and resource availability is known as:
Answer:
Process flexibility.
Explanation:
The ease with which resources can be adjusted in response to changes in demand, technology, products and services, and resource availability is known as process flexibility.
Process flexibility simply refers to the ability of a firm or company to respond to changes in the production line or manufacturing process of goods to meet the needs of their customers.
For instance, when there is a new technology in the industry, the ability of a company to switch with ease is its process flexibility.
footsteps Co. has a bond oustanding with a coupon rate of 5.2% and annual payments. The bond currently 1,012.50 matures in 16 years and has a par value of 1,000. What is the YTM of the bond
Answer:
the yield to maturity is 5.08%
Explanation:
The computation of the YTM of the bond is shown below:
Given that
NPER = 16 years
PMT = $1,000 × 5.2% = $52
PV = $1,012.50
FV = $1,000
The formula is shown below:
= RATE(NPER,PMT,-PV,FV,type)
After applying the above formula, the yield to maturity is 5.08%
Hence, the yield to maturity is 5.08%
a property is purchased for 200,000 the purchase is financed by a mortgage loan of an amount equal to 80 percent ltv what is the total appreciation in house price eahp
Answer:
20%
Explanation:
Calculation for the total appreciation in house price
Since we are looking for total appreciation in house price Let new house price be P
P=200,000*80%
P=80,000
P=200,000*80%+80,000
P=240,000
Hence,
Total appreciation=240,000/200,000-1=
Total appreciation=20%
Therefore the total appreciation in house price will be 20%
Accounts Balances Accounts Balances Cash $ 40,000 Common Stock $ 50,000 Accounts Receivable 50,000 Retained Earnings 35,000 Supplies 1,100 Dividends 1,100 Prepaid Rent 3,000 Service Revenue 65,000 Equipment ? Salaries Expense 30,000 Accounts Payable 17,000 Rent Expense 12,000 Salaries Payable 5,000 Interest Expense 3,000 Interest Payable 3,000 Supplies Expense 7,000 Deferred Revenue 9,000 Utilities Expense 6,000 Notes Payable 30,000 Required: Prepare a trial balance by placing amounts in the appropriate debit or credit column and determining the balance of the Equipment account.
Answer:
Trial Balance
Debit Credit
$ $
Cash 40,000
Common Stock 50,000
Accounts Receivable 50,000
Retained Earnings 35,000
Supplies 1,100
Dividends 1,100
Prepaid Rent 3,000
Service Revenue 65,000
Equipment 60,800
Salaries Expense 30,000
Accounts Payable 17,000
Rent Expense 12,000
Salaries Payable 5,000
Interest Expense 3,000
Interest Payable 3,000
Supplies Expense 7,000
Deferred Revenue 9,000
Utilities Expense 6,000
Notes Payable 30,000
Totals $214,000 $214,000
The Equipment Balance is $60,800. This is the amount that will ensure that the Debit equals the Credit side.
Explanation:
The Trial Balance is used to check for mathematical accuracy. The debit Totals must equal the credit totals. In our case we expect debit totals to have a shortfall and this shortfall belongs to Equipment. The Trial Balance has been prepared above.
From 2006 to 2010, per capita real gross domestic product (GDP) in China grew an average of 10.62% per year. At that rate, according to the Rule of 70, in roughly how many years will Chinese per capita real GDP double in size, beginning in 2006
Answer:
The Number of years is 6.6 years
Explanation:
The computation of the number of years in which the chinese per capita real GDP doubles is shown below:
According to the rule 70 , the calculation is as follows
= 70 ÷ 10.62
= 6.59
= 6.6 years
Here we applied the rule 70 as it defines in how many years the GDP doubles
So, the same is to be considered
Calculate the Equivalent Uniform Annual Benefit (EUAB) for the cash flow below for interest rate of 10%
Answer:
The Equivalent Uniform Annual Benefit (EUAB) is 2,220.52.
Explanation:
Note: This question is not complete. The complete question is therefore provided before answering the question. See the attached pdf file for the complete question.
The explanation to the answer is now given as follows:
Note: See the attached excel file for the calculation of the total present values of cash flow (in bold red color).
Equivalent Uniform Annual Benefit (EUAB) refers to an annual benefit or cash flow that is obtained by converting any cash flow to an equivalent uniform cash flow.
From the question, the diagram indicates that the amount of the annual cash flows from year 1 to year 80 is $2,000, except for years 10 and 40 which are 7,000 and 15,000 respectively (in bold blue color in the attached excel file).
Because of years 10 and 40 which are 7,000 and 15,000, we first calculate the present value of all the annual cash flows from year 1 to 80 (in bold red color in the attached excel file).
From the attached excel file, we have:
Total present value of cash flows = 22,205.19
The annuity factor is calculated using the annuity formula as follows:
Annuity factor = ((1-(1/(1 + r))^n)/r) …………… (1)
Where;
r = interest rate = 10%, or 0.10
n = number of years = 80
Substituting the values into equation (1), we have:
Annuity factor = ((1-(1/(1 + 0.10))^80) / 0.10)
Annuity factor = 9.9951181414995
Approximating to 2 decimal places, we have:
Annuity factor = 10.00
The Equivalent Uniform Annual Benefit (EUAB) can therefore now be calculate using the formula for calculating the Equivalent Uniform Annual Benefit (EUAB) as follows:
EUAB = Total present value of cash flows / Annuity factor ……………. (2)
Substituting the values into equation (2), we have:
EUAB = 22,205.19 / 10.00
EUAB = 2,220.52
Therefore, the Equivalent Uniform Annual Benefit (EUAB) is 2,220.52.
9. Which of the following statements is FALSE about a Class A electrician?
1 point
Can work on single phase power
O Cannot work on ampacity above 200
O Can work on three phase power
Can work on any voltage
Answer:
Work on any voltage. I belive after a certain point the voltage become a danger to even a protected electrician. Some voltages take master electricians.
"Cullumber, Inc., stock has a beta of 1.30. If the expected market return is 15.0 percent and the risk-free rate is 4.0 percent, what does CAPM indicate the appropriate expected return for Cullumber stock is? (Round answer to 2 decimal places, e.g. 52.75.)"
Answer:
14.4%
Explanation:
Using CAPM,
The Expected return = Risk free rate + Market return - Risk free rate * Beta
The Expected return = 4.0 % + 15%-4.0%*1.30
The Expected return = 4.0 % + 9.0%*1.30
The Expected return = 0.04+ (0.08*1.30)
The Expected return = 0.04 + 0.104
The Expected return = 0.144
The Expected return = 14.4%
Omnidata uses the annualized income method to determine its quarterly federal income tax payments. It had $100,000, $50,000, and $90,000 of taxable income for the first, second, and third quarters, respectively ($240,000 in total through the first three quarters). What is Omnidata's annual estimated taxable income as of the end of the third quarter
Answer:
$300,000
Explanation:
Calculation for the annual estimated taxable income as of the end of the third quarter
Using this formula
Annual estimated taxable income=2 × (First quarter taxable income + Second quarter taxable income)
Let plug in the formula
Annual estimated taxable income=2 x ($100,000 + $50,000 )
Annual estimated taxable income=2×$150,000
Annual estimated taxable income=$300,000
Therefore the annual estimated taxable income as of the end of the third quarter will be $300,000
In fast food employee turnover is around 150 percent. Since it takes 6 months to train a new employee, that means most employees leave shortly after they get fully trained. One strategy to reduce or slow turnover is:
Answer:
Link compensation and benefits to the years of work.
Explanation:
High Staff turnover is a problem which modern day businesses face. The employees switch to other companies which pays them more money or offers more benefits than current employment. In fast food chain employees turnover is very high. It cost high to train a new employee so the benefits that a company offers to its employees should be linked to their performance and years of stay at the organization.
Given a perfectly competitive market structure, a firm's total fixed costs are $195, average variable costs are $4, marginal revenue is $6, and the quantity demanded is 65. Assuming the firm is a profit maximizer, what are the firm's total profits
Answer: -$65
Explanation:
The following can be deuced from the question:
Revenue: $6 × $65 = $390
Less: Variable cost = $4 × $65 = $260.
Contribution = $390 - $260 = $130
Less: fixed cost = $195
Firms profit/loss will be:
= $130 - $195
= -$65
The firm is making a loss of $65.
Feedback control systems are (A) insensitive to both forward- and feedback-path parameter changes (B) less sensitive to feedback-path parameter changes than to forward-path parameter changes (C) less sensitive to forward-path parameter changes than to feedback-path parameter changes (D) equally sensitive to forward- and feedback-path parameter changes
Answer:
Option C
Explanation:
Feedback plays an important role in order to improve the performance of the control systems. Feedback control system can be positive and negative but positive feedback systems less widely used as the positive feedback systems are more sensitive to parameter variations but negative feedback are less sensitive to change in G than a change in H.
the common set of standards and procedures by which audited financial statements are prepared is known as
Answer:
Generally Accepted Accounting Principles
Explanation:
GAAP is an acronym for Generally Accepted Accounting Principles, it comprises of the accounting standard, procedures and principles used by public institutions in the United States of America. The U.S GAAP is issued by the Financial Accounting Standards Board (FASB) and adopted by the U.S. Securities and Exchange Commission (SEC).
GAAP includes each of the following pronouncements:
Statements of Financial Accounting Standards, Accounting Research Bulletins, Accounting Principles Board Opinions.
For external reporting purposes, United States of America, Generally Accepted Accounting Principles (GAAP) allows companies to use only the traditional format of the income statement.
Hence, the common set of standards and procedures by which audited financial statements are prepared is known as generally accepted accounting principles.
During the month of July, Clanton Industries issued a check in the amount of $723 to a supplier on account. The check did not clear the bank during July. In preparing the July 31 bank reconciliation, the company should:______.
A. Deduct the check amount from the book balance of cash.
B. Add the check amount to the book balance of cash.
C. Adam Deduct the check amount from the bank balance.
D. Add the check amount to the bank balance.
E. Make a journal entry in the company records for an error.
Answer: C. Deduct the check amount from the bank balance.
Explanation:
This is an outstanding check which means that it has reflected as a reduction in the book balance but not in the bank balance.
The way to reconcile it therefore is to deduct it from the bank balance that way it will reduce the bank balance the same way it had reduced the book balance.
Suppose you buy dinner for a total of $54.00 that includes an 8% sales tax. How much did the restaurant charge you for the dinner (excluding the tax)?
Answer:
Dinner cost= $50
Explanation:
Giving the following information:
Suppose you buy dinner for a total of $54.00 that includes an 8% sales tax.
To calculate the cost of dinner, we need to use the following formula:
Dinner cost= total cost / 1.08
Dinner cost= 54/1.08
Dinner cost= $50
What is the duration of a four-year Treasury bond with a 10 percent semiannual coupon selling at par
Answer:
the formula to calculate modified duration of bonds:
modified duration = [1 - (1 + y)⁻ⁿ] / y
since this bond pays semiannual interest,
modified duration = [1 - (1 + 5%)⁻⁸] / 5%
modified duration = (1 - 1.05⁻⁸) / 5% = 6.4632 semiannual periods
modified duration in years = 6.4632 / 2 = 3.2316 years
if you want to determine the Macaulay duration = modified duration x (1 + yield) = 3.2316 years x 1.05 = 3.39318 years
Suppose you held a well-diversified portfolio with a very large number of securities, and that the single index model holds. If the σ of your portfolio was 0.18 and σM was 0.22, the β of the portfolio would be approximately:_______
a. 0.74.
b. 0.80.
c. 1.25.
d. 1.56.
Answer:
B. 0.80
Explanation:
A well diversified portfolio can be regarded as one which has different securities with their weight been small. Since the single index holds,
The single-index model (SIM) by William Sharpe, is a model that that provides the risk as well as the returns of stock.
Given:
the σ of your portfolio = 0.18
σM = 0.22,
the β of the portfolio= the σ of your portfolio/σM
the β of the portfolio==0.18/0.22
= 0.82
Therefore, the β of the portfolio would be approximately 0.80
year 3 percent 6 percent 2 year 6 percent 10 percent 20 year 12 percent 17 percent What is the implied probability of repayment on the one-year B-rated debt (i.e., in the first year)
Answer: 97.17%
Explanation:
The implied probability of repayment on the one-year B-rated debt in the first year can be calculated by the formula:
= (1 + Pure discount treasury yield in 1 year) / (1 + Corporate bond yield in 1 year)
= (1 + 3%) / ( 1 + 6%)
= 0.9716981132
= 97.17%
The employees of Neat Clothes work Monday through Friday. Every other Friday the company issues payroll checks totaling $32,000 (or $3,200 per weekday). The current pay period ends on Friday, January 3. Neat Clothes is now preparing financial statements for the year ended December 31. What is the adjusting entry to record accrued salaries at the end of the year
Answer: D. Salaries Expense 22,400
Salaries Payable 22,400
Explanation:
The options are:
A. Salaries Payable 22,400
Salaries Expense 22,400
B. Salaries Expense 6,400
Salaries Payable 6,400
C. Salaries Expense 9,600
Salaries Payable 9,600
D. Salaries Expense 22,400
Salaries Payable 22,400
Based on the scenario that has been provided in the question and the information given, the adjusting entry to record accrued salaries at the end of the year will be:
D. Salaries Expense 22,400
Salaries Payable 22,400
This was calculated as:
= $3,200 × 7 days
= $22,400
Quark Corp. issues bonds on January 1, 2020 with a face value of $100,000, a coupon (stated) rate of 8%, and they mature in ten years. The market rate is 9% on January 1, 2020. The bonds sell for $93,496 and pay interest semi-annually on 6/30 and 12/31 each year. What is the amount of interest expense recognized by Quark on June 30, 2020
Answer:
$4,207.32
Explanation:
The interest expense the company would recognize for the six-month period ended 30 June 2020 is the cash proceeds from the bond issuance multiplied yield to maturity of 9% which is also adjusted to reflect six-month period rather than a full year period as shown below:
The amount of interest expense recognized by Quark on June 30, 2020=$93,496*9%*6/12
The amount of interest expense recognized by Quark on June 30, 2020=$4,207.32
The amount of interest expense recognized by Quark on June 30, 2020 is $4,207.
Using this formula
Interest expense =Bond carrying value x Market rate x Time
Where:
Bond carrying value=$93,496
Market rate=9%
Time=6/12
Let plug in the formula
Interest expense= $93,496 x .09 x 6/12
Interest expense= $4,207
Inconclusion the amount of interest expense recognized by Quark on June 30, 2020 is $4,207.
Learn more here:
https://brainly.com/question/22528546
How do the dynamics of the communication process shift when we move from decision- making among individuals in an organization to collaboration among multiple organizations or groups
Explanation:
The dynamics of the communication process in an organization occurs according to its structure, communication networks and technologies, can occur in a formal and informal way, through intelligent systems, telephone, meetings, in a vertical, horizontal and diagonal manner, to maintain the hierarchy that each company adopts in its processes.
Therefore, when there is collaboration between several organizations or groups, the dynamics of the communication process occurs with an organization and specific regulations, which are not the same as those that occur in the company's internal environment.
Communication is essential for the company to organize itself and the flow of information to take place effectively, and all employees have access to policies, essential information, strengthening of relationships, feedback, etc.
Through internal and external communication, the company positions itself, exchanges information that will assist in reaching its objectives and goals, builds a network, etc.
Activity scheduling problem from the greedy algorithm class: Suppose that different activities earn different amounts of revenue. In addition to their start and finish times si and fi, each activity ai has revenue ri, and our objective is now to maximize the total revenue:
Answer:
∑[tex]r_{i}[/tex] ∈A[tex]a_{i}[/tex]
Explanation:
The goal of every business is to maximize profit. The revenue is maximized when cost of business is minimized. The different activities will incur different cost and has different start and end time of the process, the best option to maximize the revenue is the sum of activity revenue.