Answer with Explanation:
The major transactions that a bank will be involved in are listed below:
Deposits of accounts holders: These deposits are basically the liability of the bank which it will pay them back in near future. Hence it must be recorded as a Current or Non-current liability depending upon the type of account and agreement between the parties to contract. Money lendings to borrowers: This money must be accounted for as a current or non-current asset depending upon the type of account and agreement made.Interest on the money lendings: It is interest income and must be accounted for as revenue.ATM and other Transaction processing charges: These fee charges are also part of income and thus must be accounted for as income.According to the information above, which of the following is an appropriate analysis of the sales from the paper supplier? Select the correct answer below: From the data, the paper supplier had continued increasing sales over the 11 days. From the data, the paper supplier had continued decreasing sales over the 11 days. From the data, the paper supplier had decreasing sales from day 0 to day 5. After day 5, the sales increased. From the data, the paper supplier had increasing sales from day 0 to day 5. After day 5, the sales decreased.
Answer:
From the data, the paper supplier had decreasing sales over the 11 days.
Explanation:
The sales of the paper supplier have been declined over the 11 days. This might be because the demand for the paper is reduce due to lock down offices are closed and mostly work is done online on the soft copies. The paper supply has been increased and demand is decreased resulting in the price fall.
What is the present value on January 1, 2016, of $30,000 due on January 1, 2021, and discounted at 12% compounded annually?What is the present value on July 1, 2016, of $8,000 due January 1, 2021, and discounted at 16% compounded quarterly?What is the amount of the present value discount (the difference between future value and present value) on $8,000 due at the end of 5 years at 10% compounded annually?
Answer:
1. Future Value = 30,000
Rate = 0.12
Annual period, NPER = 5
Present value, PV = PV(0.12, 5,0,-30,000 ,0)
Present value, PV = $17,022.81
2. Future value = 8,000
Quarterly rate = 16%/4 = 4%
Number of quarters, Nper = 4.5*4 = 18
Present value, PV = PV (4% , 18, 0, -8,000 , 0)
Present value, PV = $3,949.02
3. Future value = 8,000
Annual rate = 0.1
Annual period, Nper = 5
Present value, PV = PV(0.1, 5, 0, -8000, 0)
Present value, PV = $4,967.37
Present value Discount = 8,000 - 4,967.37
Present value Discount = $3,032.63
Answer:
1. The Present value on January 1, 2016 of $30,000 due on January 1, 2021 and discounted at 12% is:
$17,022.80
2. The present value on July 1, 2016 of $8,000 due January 1, 2021, and discounted at 16% compounded quarterly is:
$3,949.02
3. The amount of the present value discount (the difference between future value and present value on $8,000 due at the end of 5 years at 10% compounded annually is:
$3,032.63
Explanation:
You will need to invest $17,022.80 at the beginning to reach the future value of $30,000.00.
FV (Future Value) $30,000.00
PV (Present Value) $17,022.80
N (Number of Periods) 5.000
I/Y (Interest Rate) 12.000%
PMT (Periodic Payment) $0.00
Starting Investment $17,022.80
Total Principal $17,022.80
Total Interest $12,977.19
2. You will need to invest $3,949.02 at the beginning to reach the future value of $8,000.00.
FV (Future Value) $7,999.99
PV (Present Value) $3,949.02
N (Number of Periods) 18.000
I/Y (Interest Rate) 4.000%
PMT (Periodic Payment) $0.00
Starting Investment $3,949.02
Total Principal $3,949.02
Total Interest $4,050.97
Total Interest $7,446.85
You will need to invest $4,967.37 at the beginning to reach the future value of $8,000.00.
FV (Future Value) $8,000.00
PV (Present Value) $4,967.37
N (Number of Periods) 5.000
I/Y (Interest Rate) 10.000%
PMT (Periodic Payment) $0.00
Starting Investment $4,967.37
Total Principal $4,967.37
Total Interest $3,032.63
If your business receives a loan for $40,000,
what account will you debit and what
account will you credit?
A. Debit Notes Payable and Credit Cash
B. Debit Cash and Credit Expenses
C. Debit Accounts Payable and Credit Cash
D. Debit Cash and Credit Notes Payable
the answer:
I would do c
A bank offers 8.00% on savings accounts. What is the effective annual rate if interest is compounded semi-annually?Percentage Round to: 4 decimal places (Example: 9.2434%, % sign required. Will accept decimal format rounded to 6 decimal places (ex: 0.092434))
Answer:
Effective Annual Rate = 8.1600%
Explanation:
The effective annual rate the interest rate that is adjusted for compounding over a given period of time. It is given by the formula:
[tex]r = (1+\frac{i}{n})^n -1\\where:\\r = effective\ annual\ rate\\i = nominal\ interest\ rate\ = 8.00\% = 0.08 \\n = number\ of\ compounding\ periods\ per\ year\ = 2\ (semi-annually)[/tex]
[tex]r = (1+\frac{0.08}{2})^2 -1\\r = (1\ +\ 0.04)^2 - 1\\r = (1.04)^2 - 1\\r = 1.0816 - 1\\r = 0.0816\\r = 8.1600 \%[/tex]
Mandy is going to a four year universily and is completing classes When she graduates, she is planning on starting a job in the Energy career cluster. Which job will Mandy most likely be applying for?
A) Power Line Repairer
B) Nuclear Power Reacter Operater
C) Electrician
D) Petroleum Enginner
Answer:
D) Petroleum Engineer
Explanation:
A power line repairer only needs an associates degree (2 years of college). Nuclear Power Reactor Operator only needs a high school degree (more or less) An Electrician only needs a high school degree (more or less) And Petroleum Engineers have a Bachelors degree aka 4 years of college.
Sorry if I was to late to answer your question but I hope it can at least help someone else :)
Answer:
D
Explanation:
i took the unit test
M Corp. has an employee benefit plan for compensated absences that gives each employee 15 paid vacation days. Vacation days can be carried over indefinitely. Employees can elect to receive payment in lieu of vacation days. At December 31, 2021, M's unadjusted balance of liability for compensated absences was $32,400. M estimated that there were 200 total vacation days available at December 31, 2021. M's employees earn an average of $162 per day. In its December 31, 2021, balance sheet, what amount of liability for compensated absences is M required to report
Answer:
$28,200
Explanation:
There are 200 vacation days available as at December 31, 2021.
The liability compensated absences will be the amount that M Corp. owes employees should they take those 200 vacation days.
Amount of liability = Number of total vacation days * Wage per day
Amount of liability = 200 * 141 per day
Amount of liability = $28,200
The stockholders’ equity accounts of Martinez Corporation on January 1, 2020, were as follows:
Preferred Stock (8%, $52 par, 10,000 shares authorized) $416,000
Common Stock ($1 stated value, 2,100,000 shares authorized) 1,450,000
Paid-in Capital in Excess of Par—Preferred Stock 110,000
Paid-in Capital in Excess of Stated Value—Common Stock 1,400,000
Retained Earnings 1,850,000
Treasury Stock (11,000 common shares) 55,000
During 2020, the corporation had the following transactions and events pertaining to its stockholders’ equity.
Feb. 1 Issued 26,000 shares of common stock for $116,000.
Apr. 14 Sold 5,500 shares of treasury stock—common for $33,900.
Sept. 3 Issued 4,800 shares of common stock for a patent valued at $34,100.
Nov. 10 Purchased 1,000 shares of common stock for the treasury at a cost of $5,700.
Dec. 31 Determined that net income for the year was $465,000.
No dividends were declared during the year.
A. Journalize the transactions and the closing entry for net income.
B. Enter the beginning balances in the accounts, and post the journal entries to the stockholders’ equity accounts.
C. Prepare a stockholders’ equity section at December 31, 2017.
Answer:
A)
Feb. 1 Issued 26,000 shares of common stock for $116,000.
Dr Cash 116,000
Cr Common stocks 26,000
Cr Paid-in capital in excess of stated value - common stock 90,000
Apr. 14 Sold 5,500 shares of treasury stock—common for $33,900.
Dr Cash 33,900
Cr Treasury stocks 27,500
Cr Paid-in capital in excess of stated value - common stock 6,400
Sept. 3 Issued 4,800 shares of common stock for a patent valued at $34,100.
Dr Patent 34,100
Cr Common stocks 4,800
Cr Paid-in capital in excess of stated value - common stock 29,300
Nov. 10 Purchased 1,000 shares of common stock for the treasury at a cost of $5,700.
Dr Treasury stock 5,700
Cr Cash 5,700
Dec. 31 Determined that net income for the year was $465,000.
Dr Income summary 465,000
Cr Retained earnings 465,000
B)
Preferred Stock $416,000
Common Stock $1,480,800
Paid-in Capital in Excess of Par - Preferred Stock $110,000
Paid-in Capital in Excess of Stated Value - Common Stock $1,525,700
Retained Earnings $2,315,000
Treasury Stock $33,200
C)
Stockholders' EquityPreferred 8% Stock, $52 par value
(10,000 stocks authorized) $416,000
Paid-in Capital in Excess of Par $110,000 $526,000
Common Stock
(2,100,000 stocks authorized) $1,480,800
Paid-in Capital in Excess of Par $1,525,700 $3,006,500
Total paid in capital $3,532,500
Retained Earnings $2,315,000
Treasury Stock (6,500 stocks at cost) ($33,200)
Total Stockholders' Equity $5,814,300
Cantlay, Inc., earns pretax book net income of $800,000 in 2019. Cantlay acquires a depreciable asset that year, and first-year tax depreciation exceeds book depreciation by $80,000. Cantlay reported no other temporary or permanent book-tax differences. The pertinent U.S. Federal corporate income tax rate is 21% and Cantlay earns an after-tax rate of return on capital of 8%. What is Cantlay’s current income tax expense for the year?
Answer: $151,200
Explanation:
The Tax depreciation exceeds book depreciation so this excess will have to be removed from the income before tax is calculated as it is tax deductible.
Current Income Tax = (Pretax book income - Excess tax depreciation) * Income tax rate
= (800,000 - 80,000) * 21%
= $151,200
Orlando Inc. offers a bond with a coupon of 6.5% with semiannual payments and a yield to maturity of 6.99%. The bonds mature in 8 years and have a par value of $1,000. Compute the market price of the bond.
a. $1,393.21.b. $1,024.05.c. $1,363.56.d. $970.36.e. $1,577.15.
Answer:
d. $970.36
Explanation:
The market price of the bond (Pv) can be calculated as follows :
Pmt = ($1,000 × 6.5%) ÷ 2 = $32.50
P/yr = 2
i = 6.99%
n = 8 × 2 = 16
Fv = $1,000
Pv = ?
Using a Financial calculator to enter the values as above, the market price of the bond (Pv) is $970.3583 or $970.36.
Sampson Industries has an annual plant capacity of 70,000 units; current production is 59,000 units per year. At the current production volume, the variable cost per unit is $26.00 and the fixed cost per unit is $4.80. The normal selling price of Sampson's product is $41.00 per unit. Sampson has been asked by Caldwell Company to fill a special order for 7,000 units of the product at a special sales price of $20.00 per unit. Caldwell is located in a foreign country where Sampson does not currently operate. Caldwell will market the units in its country under its own brand name, so the special order is not expected to have any effect on Sampson's regular sales. Read the requirementsLOADING.... Requirement 1. How would accepting the special order impact Sampson's operating income? Should Sampson accept the special order? Complete the following incremental analysis to determine the impact on Sampson's operating income if it accepts this special order. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in contribution margin and/or operating income from the special order.) Incremental Analysis of Special Sales Order Decision Total Order (7,000 units) Revenue from special order $140,000 Less expenses associated with the order: Less: Variable manufacturing cost 182,000 Contribution margin $(42,000) Less: Additional fixed expenses associated with the order – Increase (decrease) in operating income from the special order
Answer:
Sampson Industries
1. How would accepting the special order impact Sampson's operating income?
The acceptance of the special order will decrease Sampson's operating income by $42,000.
2. Should Sampson accept the special order?
No. Sampson should not accept the special order. It does not make any contribution in reducing the fixed costs. Instead, it decreases the net income. Special orders should be accepted when they add to the contribution in defraying the fixed costs, even if they do not add to the net income.
Explanation:
a) Data and Calculations:
Annual plant capacity = 70,000 units
Current production = 59,000
Variable cost per unit = $26.00
Fixed cost per unit = $4.80
Normal Selling price per unit = $41
Special order = 70,000
Price of special order = $20
Incremental Analysis of Special Sales Order Decision
Total Order (7,000 units)
Revenue from special order $140,000
Less expenses associated with the order:
Less: Variable manufacturing cost 182,000
Contribution margin $(42,000)
Less: Additional fixed expenses associated with the order –
Increase (decrease) in operating income from the special order ($42,000)
The following financial information was summarized from the accounting records of Train Corporation for the current year ended December 31: Rails Division Locomotive Division Corporate Total Cost of goods sold $45,500 $31,400 Direct operating expenses 27,800 22,800 Sales 91,800 66,500 Interest expense $2,800 General overhead 18,400 Income tax 4,500 The income from operations for the Rails Division is a.$46,300 b.$91,800 c.$18,500 d.$64,000
Answer: $18500
Explanation:
The income from operations for the rail divisions will be calculated thus:
For the rail division,
Sales = $91800
Cost of goods sold = $45500
Direct operating expense = $27800
Income from operations:
= $91800 - $45500 - $27800
= $18500
an example of an instrinsic reward is
Explanation:
An intrinsic reward is an intangible award of recognition, a sense of achievement, or a conscious satisfaction. For example, it is the knowledge that you did something right, or you helped someone and made their day better.
The following account balances were listed on the trial balance of Edgar Company at the end of the period: AccountBalance Accounts Payable$31,600 Cash 49,900 Common Stock 35,000 Equipment 16,000 Land 47,500 Notes Payable 62,500 The company’s trial balance is not in balance and the company’s accountant has determined that the error is in the cash account. What is the correct balance in the cash account?
Answer: $65,600
Explanation:
Debits should equal credits
Debits = Cash + Equipment + Land
= 49,900 + 16,000 + 47,500
= $113,400
Credits = Accounts Payable + Common stock + Notes Payable
= 31,600 + 35,000 + 62,500
= $129,100
The difference will be added to the Cash account where the error is from.
= 49,900 + (129,100 - 113,400)
= $65,600
The maintenance expense (paid at the end of the year) on a machine, with 6 years of useful life, is expected to be (in constant dollars of year 0) $5,000 during the first year and to increase (in constant dollars) $500 each year for the following five years. The average inflation rate for the next 6 years is calculated to be 3%. What is the equivalent equal annual maintenance cost (in actual dollars) for the machinery if the interest rate is 8%
Answer: $1387.5
Explanation:
Given data:
Useful life of the machine = 6years
Inflation for the 6years period = 3%
Interest rate = 8%.
Cost of maintenance = $5000
Yearly increments = $500 for five years.
Solution:
Total cost of maintenance for five years
= cost of maintenance + yearly increments x 5
= $5000 + $500(5)
= $5000 + $2500
= $7500.
Interest rate on the machinery = 8%
= 0.08 x $7500
= $600
Inflation rate
= 0.03 x 7500
= $225
Equal yearly maintenance cost
= $7500 + $600 + $225/ 6
= $8325/6
= $1387.5
A machine with a cost of $150,000 and accumulated depreciation of $95,000 is sold for $70,000 cash. The amount that should be reported in the operating activities section reported under the direct method is:
Answer:
$0
Explanation:
The operating activities section of the cash flow statement under the direct method records the cash receipts with regard to sale of the products and the cash payments with regard to expenses
Therefore in the given case, it would be $0 as there is no transaction occured that should be reported in the operating activities section of the cash flow statement
The same is to be considered
Specter Co. combines cash and cash equivalents on the balance sheet. Using the following information, determine the amount reported on the year-end balance sheet for cash and cash equivalents. $3,000 cash deposit in checking account. $20,000 bond investment due in 20 years. $5,000 U.S. Treasury bill due in 1 month. $200, 3-year loan to an employee. $1,000 of currency and coins. $500 of accounts receivable.
Answer:
Total Cash and Cash Equivalent = $8,000
Explanation:
Particulars Amount (in $) Reason
Checking Account 3,000 Readily realizable
U.S. Treasury Bill 5,000 Due in 1 month
Currency and Coins 1,000 They are cash itself
Total Cash and Cash 8,000
Equivalents
Available-to-Promise: (choose all that apply) Check All That Apply Tells the sales force how many products are available to sell.Tells the sales force how many products are available to sell. Coordinates production and sales efforts.Coordinates production and sales efforts. Takes into account current inventory, confirmed orders, and scheduled production.Takes into account current inventory, confirmed orders, and scheduled production. Helps to determine when production is scheduled.
Answer:
B. Coordinates production and sales efforts.
C. Takes into account current inventory, confirmed orders, and scheduled production.
Explanation:
Available to promise is a feature in businesses where the person in charge links up the available goods to the customer's demands. It is a coordination of production and sales.
The personnel representing the business checks the current level of production and tries to see if the current level of production or even the scheduled production can meet up with customer's demands. Some computer software are used to perform this operation in real-time.
United Parcel Service, Inc. (Ticker: UPS (Links to an external site.)) estimates its cost for a distribution center at $18.63 million. Management has decided to invest $1.1 million a quarter to fund the project. Assuming that the firm can earn a return of 6.25 percent, compounded quarterly, on its savings, how long does the firm have to wait before expanding its operations
Answer:
It will take 182.44 quarters to reach $18,630,000.
Explanation:
Giving the following information:
Future Value= $18,630,000
Initial Investment= $1,100,000
Interest rate= 0.0625/4= 0.01563
To calculate the time required to reach the objective, we need to use the following formula:
n= ln(FV/PV) / ln(1+i)
n= ln(18,630,000 / 1,100,000) / ln (1.01563)
n= 182,44
It will take 182.44 quarters to reach $18,630,000.
uestions 7, 8 and 9 are based on the following: An airline has 365 planes. Each plane requires routine preventative maintenance for which it is taken out of service and sent to airline's maintenance facility for 5 days. 40 percent of the planes require 2 routine preventative maintenance per year, and 60 percent of planes require 4 routine preventative maintenance per year. What is the average per year flow rate of planes to the maintenance facility
Answer:
Average per year flow rate = 1168 planes/year
Explanation:
The flow rate is the amount of a substance that passes through an area per unit of time. In this case, the average flow rate per year of planes is the number of planes that undergo maintenance in the maintenance facility per year.
In order to calculate the average flow rate, let us first calculate the number of planes in each category of percentage maintenance:
Total number of planes = 365
2 preventive maintenance
40% of the planes = 40% of 365
= 0.4 × 365 = 146 planes
This means that 146 planes in this category are sent for routine maintenance twice within the year.
∴ flow rate for two routine maintenance through the year
= 146 planes × 2 = 292 planes per year
4 preventive maintenance per year
60% of 365
= 0.6 × 365 = 219 planes
This means that 146 planes in this category are sent for routine maintenance four times within the year.
∴ flow rate for four routine maintenance through the year
= 4 × 219 = 876 planes per year
∴ Total flow rate per year = 292 + 876 = 1168 planes/year
In order to accurately assess the capital structure of a firm, it is necessary to convert its balance sheet figures to a market value basis. KJM Corporation's balance sheet as of today is as follows: Long-term debt (bonds, at par) $10,000,000 Preferred stock 2,000,000 Common stock ($10 par) 10,000,000 Retained earnings 4,000,000 Total debt and equity $26,000,000 The bonds have a 4.0% coupon rate, payable semiannually, and a par value of $1,000. They mature exactly 10 years from today. The yield to maturity is 12%, so the bonds now sell below par. What is the current market value of the firm's debt
Answer:
$5,412,000
Explanation:
The semi annual interest = $20
Periods (n) till maturity are 10*2 = 20
Discounting rate is 12%/2 = 6%
Principal amount is $1,000
Market Value = 20 * PVIFA (20,6%) + 1,000 * PVIF (20,6%)
Market Value = 20 * 11.4699 + 1,000 * 0.3118
Market Value = 229.398 + 311.8
Market Value = 541.198
Market value = $541.20
Number of bonds = 10,000,000/1,000
Number of bonds = 10,000
Current market value = Number of bonds * Market value
Current market value = 10,000 * 541.20
Current market value = $5,412,000
Your firm has a credit rating of BBB. You notice the credit spread for 5yr maturity BBB debt is 1.1% or 110 basis points. Your firm's 5yr debt has a coupon rate of 6% with annual payments. You see that new 5yr Treasury bonds are being issued at par with a coupon rate of 2.6%. What should the price of your outstanding 5yr bonds be per $100 face value?
a. $110.33.b. $115.75.c. $123.71.d. $112.54.
Answer:
Bond Price = $110.3260609 rounded off to $110.33
Option A is the correct answer.
Explanation:
To calculate the price of the bond today, we will use the formula for the price of the bond. We assume that the interest rate provided is stated in annual terms. As the bond is an annual bond, the coupon payment, number of periods and annual interest rate in the market will be,
Coupon Payment (C) = 100 * 0.06 = $6
Total periods (n) = 5'
i or market interest rate = 2.6% + 1.1% = 3.7%
We use the market interest rate for BBB rated bonds in the calculation. The market rate can be found by taking the risk free rate and adding the credit spread for BBB rating bond in this case. The market rate comes out to be 3.7%
The formula to calculate the price of the bonds today is attached.
Bond Price = 6 * [( 1 - (1+0.037)^-5) / 0.037] + 100 / (1+0.037)^5
Bond Price = $110.3260609 rounded off to $110.33
Kahn Company paid $240,000 to purchase a machine on January 1, Year 1. During Year 3, a technological breakthrough resulted in the development of a new machine that costs $300,000. The old machine costs $100,000 per year to operate, but the new machine could be operated for only $36,000 per year. The new machine, which will be available for delivery on January 1, year 3, has an expected useful life of four years. The old machine is more durable and is expected to have a remaining useful life of four years. The current market value of the old machine is $80,000. The expected salvage value of both machines is zero.
Required:
Based on this information, recommend whether to replace the machine. Support your recommendation with appropriate computations.
Answer:
Yes, the machine should be replaced
Explanation:
The computation is shown below:
Particulars old Machine New machine
Purchase price $300,000
Less:
Salvage value -$80,000
Operating cost $400,000 $144,000
($100,000 × 4 ) ($36,000 × 4)
Total cost $400,000 $364,000
So, the financial advantage is
= $400,000 - $364,000
= $36,000
Since there is a financial advantage of $36,000 so the old machine should be replaced with the new machine
A company is analyzing a proposed project. The company expects to sell 14,600 units, plus or minus 2 percent. The expected variable cost per unit is $16 and the expected fixed cost is $36,000. The fixed and variable cost estimates are considered accurate within a plus or minus 2 percent range. The depreciation expense is $33,000. The tax rate is 34 percent. The sale price is estimated at $20 a unit, give or take 2 percent. What is the net income under the worst-case scenario
Answer:
$21976
Explanation:
When estimating the net income under the worst-case scenario, the fixed and variable cost estimates are done using positive percentage(100% + 2% = 1.02) while other cost using negative percent range (100% - 2%).
The net income under worst scenario is:
[tex]Net \ income_{worst}=[[(\$24*0.98-\$16*1.02)*(14600*0.98)]-(\$36000*1.02)-\$33000][1-0.34]=\$33297.6*0.66=\$21976[/tex]
Flyer Company has provided the following information prior to any year-end bad debt adjustment: Cash sales, $152,000 Credit sales, $452,000 Selling and administrative expenses, $112,000 Sales returns and allowances, $32,000 Gross profit, $492,000 Accounts receivable, $130,000 Sales discounts, $16,000 Allowance for doubtful accounts credit balance, $1,400 Flyer prepares an aging of accounts receivable and the result shows that 3% of accounts receivable is estimated to be uncollectible. How much is bad debt expense
Answer:
$2,500
Explanation:
The computation of bad debt expense is shown below:-
Total Bad Debt = $130,000 × 3%
= $3,900
Balance of allowance for doubtful accounts after Bad debt Expense = Total bad debt - Allowance for doubtful account credit balance
= $3,900 - $1,400
= $2,500
So, we have applied the above formula.
The same is to be considered
The rate of economic growth per capita in France from 1996 to 2000 was 1.9% per year, while in Korea over the same period it was 4.2%. Per capita real GDP was $28,900 in France in 2003, and $12,700 in Korea. Assume the growth rates for each country remain the same.
Compute the doubling time for France’s per capita real GDP.
Compute the doubling time for Korea’s per capita real GDP.
What will France’s per capita real GDP be in 2045?
What will Korea’s per capita real GDP be in 2045?
Answer:
Per capita real GDP was $28,900 in France in 2003, and $12,700 in Korea. Assume the growth rates for each country remain the same. 1. Compute the doubling ... remain the same. 2. For Korea, the doubling time will be 72 ÷ 4.2 = 17.1years 3. ... Same with the above, there are 42yrs between 2003 and 2045.
Per capita real GDP was $28,900 in France in 2003, and $12,700 in Korea. We use the rule of 70. The doubling time for France’s per capita real GDP is 70/1.9 = 36.8 years, so France's GDP will double in 2040. Explanation:
Corporation A has the following returns for the past three years: 7 percent, 13 percent, and 10 percent. Assume each year return had the same probability (weights of 1/3 each). Calculate the expected return
Answer:
10.00%
Explanation:
The expected return is the weighted average of all the returns recorded thus far wherein the probability of each return occurring is used as the weight of each return as shown below:
Expected return=sum of (weight* value of return)
Expected return=(7%*1/3)+(13%*1/3)+(10%*1/3)
Expected return=0.023333333 +0.043333333 +0.033333333
Expected return=10.00%
In 2018, the country of Brazil, had imports of $78.02 billion and had a favorable balance of trade. This means that Brazil had:_______
a. less than $78.02 billion in exports
b. exactly $78.02 billion in exports
c. more than $78.02 billion in exports
d. low inflation
e. an unfavorable exchange rate
Answer:
c. more than $78.02 billion in exports
Explanation:
The nation of Brazil had imports of $78.02 billion in 2018 and had a positive trade balance. This means that Brazil has exports of greater than $78.02 billion. That if a country's exports go beyond its imports, it is claimed that the country has a positive balance of trade. It indicates that Brazil has exports of greater than $78.02 billion.
Hence, the correct option is c.
Hanover Glassware produces crystal serve ware and uses process costing. At the start of May, 2,300 units were in process. During May, 11,000 units were completed and 2,000 units were in process at the end of May. The units in process at the end of May were 80% complete with respect to material and 30% complete with respect to conversion costs. Other information is as follows: Work in process, May 1: Direct material $28,800 Conversion costs 48,000 Costs incurred during May: Direct material $198,000 Conversion costs 242,000 How much is the cost per equivalent unit for direct materials during May?
Answer:
$18.00
Explanation:
First calculate the equivalent units of production with respect for direct materials.
Ending Work In Process (2,000 × 80%) = 1,600
Completed and transferred out (11,000 × 100%) = 11,000
Equivalent units of production with respect to direct materials = 12,600
Then, calculate the cost per equivalent unit for direct materials
Cost per equivalent unit = Total Cost ÷ Total Equivalent Units
= ($28,800 + $198,000) ÷ 12,600
= $18.00
Roose, Inc. reported revenue of $92 million and incurred total expenses of $84 million. The total expenses included cost of goods sold of $50 million, salaries and other administrative expenses of $9 million, $11 million of interest paid on a building's mortgage, and $14 million of depreciation. Assuming Roose is subject to the interest expense limitation, what amount of interest expense can the business deduct in the current year
Answer:
Roose, Inc.
The business can deduct $9.5 million in the current year.
Explanation:
Revenue = $92 million
Expenses allowed = 73 million ( $84 - $11 million for interest expense)
Adjusted taxable income before interest = $19 million
50% of adjusted taxable income = $9.5 million
Disallowed interest expense in the current year = $1.5 million
The interest expense allowed (deductible) is 50% for 2019 and 2020, as amended by the CARES Act) of the taxpayer's adjusted taxable income.
All the long-term debt of a government, including the long-term debt that will be financed by Enterprise Fund revenues, is reported in the fund-level financial statements.
a. True
b. False
Answer: False
Explanation:
False.
Long term debt is a debt owed by an economic entity which could either be the inividual, a business or the government and such debts are expected to mature in a period of at least one year.
It should be noted that the long term debt isn't reported in fund level financial statement but rather it's reported in government wide statements.