Answer:
Equivalent units for materials in beginning work process is 6,940 units Equivalent units for conversion in ending work process is 6,800 units
Explanation:
Beginning work process:
Equivalent units for materials = 6,100 + (1,400 × 60%) = 6,940 units Cost per equivalent unit for materials = ($7,800 + $102,700) ÷ 6,940 = 15.92
Ending work process:
Equivalent units for conversion = 6,100 + (1400 × 50%) = 6,800 units
Cost per equivalent unit for materials = ($9,100 + $184,000) ÷ 6800 = 28.40
Cost of ending work in process = (1,400 × 60%) × 15.92219 +(1400 × 50%) × 28.39706
= 33,253 (Rounded off)
Wald Inc.'s bonds currently sell for $1,120 and have a par value of $1,000. They pay an $85 annual coupon and have a 20-year maturity, but they can be called in 5 years at $1,050. What return would an investor most likely earn, if interest rates remain at current levels for the foreseeable future
Answer:
A. 7.08%
B. 6.49%
C. 5.95%
D. 6.71%
E. 7.34%
The correct option is B,6.49%
Explanation:
The return that the investor would earn is the yield to maturity of the bond which is calculated using rate formula in excel as shown thus:
=rate(nper,pmt,-pv,fv)
nper is the number of coupon payments the bond would receive which 5 since the bond can be called in 5 years
pmt is the annual coupon of $85
pv is the current market price of $1,120
fv is the call price in 5 years which is $1,050
=rate(5,85,-1120,1050)=6.49%
Show the effect of each of the following events on the market for labor in the computer manufacturing industry.
A. Congress buys personal computers for all U.S. college students.
B. More college students major in engineering and computer science.
C. Computer firms build new manufacturing plants.
Show the effect of each of the following events on the market for labor in the computer manufacturing industry: More college students major in engineering and computer science. Thus option (B) is correct.
What is marketing?The marketing refers to all activities or techniques a company does for promoting and selling products or services to the consumers or customers in the market.
The marketing makes use of the "marketing mix," also known as the four Ps—product, price, place, and promotion.
Marketing can be done through offline method(word-of-mouth) or online method( mail). The traditional marketing is still prevalent but now digital marketing now companies to engage in e-mail, social media, affiliate, and content marketing strategies.
Learn more about marketing here:
https://brainly.com/question/29775565
#SPJ5
1. Westmorland makes ink that it uses in ball point pens. The Company produces two colors of ink. One is blue; the other is red. Ink is made in batches with setup costs being $2,000 per batch. Demand for blue ink is significantly stronger than for red ink. During the most recent week, the company made 2 batches of ink, one blue the other red. It requires 1 hour of labor to make a gallon of ink regardless of color. There were 300 hours of labor used to make the blue ink and the 100 hours of labor used to make the red ink. Under these circumstances:_______.
a. more of the total setup cost should be assigned to the red ink than to the blue ink.
b. more of the total setup cost should be assigned to the blue ink than to the red ink.
c. the total setup cost should be allocated equally between the red and blue ink.
d. one of the answers is correct.
If the Company uses a single company wide overhead rate based on labor hours, the amount of setup cost allocated to the:_______.
a. blue ink is $4,000 and red ink is zero.
b. blue ink is $1,000 and red ink is $3,000
c. blue ink is $3,000 and red ink is $1,000.
d. blue ink is $2,000 and red ink is $2,000.
2. Which of the following is an activity-based cost driver?
A. Number of machine setups
B. Machine hours
C. Material cost
D. All of these answers are correct.
3. What is the principal reason that direct labor hours is no longer an effective base for allocating indirect costs in many modern manufacturing companies?
A. Movement from full-time to part-time workers
B. Automation
C. Workers are not as productive as they were in the past
Answer:
1) c. the total setup cost should be allocated equally between the red and blue ink.
Setup costs depend on the number of production batches, since one production batch was made for each color of ink, then the costs should be allocated equally.
2. Which of the following is an activity-based cost driver?
A. Number of machine setups
Other examples include production orders, quality inspections, maintenance orders, etc.
3. What is the principal reason that direct labor hours is no longer an effective base for allocating indirect costs in many modern manufacturing companies?
B. Automation
The main reason why so many manufacturing jobs have been lost in recent years is not because of China or Mexico (or other countries with cheap labor), it is automation. Most modern companies are replacing workers with robots.
Explanation:
setup costs $2,000 per batch
one red and one blue
Demand for blue ink is significantly stronger than for red ink
1 hour of labor per gallon of ink
300 gallons of blue produced
100 gallons of red produced
An overreaction by developers in response to a change in demand typically results in A. an increase in values. B. a decrease in vacancies. C. a decrease in value with a decrease in vacancies. D. a decrease in rents with an increase in vacancies.
Answer:
C
Explanation:
Over reaction to change in demand means that unnecssary high or low time is to be spent on a given work. This results in inefficiency. Hence decreases value with an ultimate decrease in vacancies.
Flint Company began operations on January 1, 2015, and uses the average-cost method of pricing inventory. Management is contemplating a change in inventory methods for 2018. The following information is available for the years 2015–2017.
Net Income Computed Using
Average-Cost Method
FIFO Method
LIFO Method
2015 $16,080 $18,980 $11,940
2016 17,980 20,800 14,020
2017 19,920 24,890 17,050
(a) Prepare the journal entry necessary to record a change from the average cost method to the FIFO method in 2018. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
Account Titles and Explanation
Debit
Credit
Inventory
Retained Earnings
(b) Determine net income to be reported for 2015, 2016, and 2017, after giving effect to the change in accounting principle.
Net Income
2015 $
2016 $
2017 $
(c) Assume Flint Company used the LIFO method instead of the average cost method during the years 2015–2017. In 2018, Flint changed to the FIFO method. Prepare the journal entry necessary to record the change in principle. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
Account Titles and Explanation
Debit
Credit
Answer: Please refer to Explanation
Explanation:
When using FIFO (First In First Out), a company sells it's earlier Stock first before it sells the latter one.
When using LIFO ( Last In First Out), a company sells it's latter Stock first before it sells the earlier one.
The Average Cost averages the both.
a) To record a change from the Average Cost method to the FIFO method, first take the difference between the total revenues from the two methods and then credit the difference to the Retained Earnings account if FIFO is higher to signify the increase in Retained Earnings as a result of the change. The corresponding entry should be to the Inventory account to show the rise in Inventory associated with the prices of goods rising and therefore later inventory being priced higher.
Total for Average Cost Method.
= 16,080 + 17,980 + 19,920
= $53,980
Total for FIFO
= 18,980 + 20,800 + 24,890
= $64,670
Difference is,
= $64,670 - $53,980
= $10,690
Journal Entry will be,
DR Inventory $10,690
CR Retained Earnings $10,690
( To record change of Accounting Method to FIFO)
b) The change has been from the Average Cost to the FIFO method. The question already gives the numbers related with calculating the Net Income using the FIFO method.
The answer is therefore,
FIFO
2015 - $18,980
2016 - $20,800
2017 - $24,890
c) Going by the same method as in A, you first take the difference between the totals of using LIFO and FIFO. The difference will be credited to the Retained Earnings account if FIFO is higher to signify the increase in Retained Earnings as a result of the change. The corresponding entry should be to the Inventory account to show the rise in Inventory associated with the prices of goods rising and therefore later inventory being priced higher.
FIFO Total
= 18,980 + 20,800 + 24,890
= $64,670
LIFO Total
= 11,940 + 14,020 + 17,050
= $43,010
Difference will be,
= 64,670 - 43,010
= $21,660
Journalizing it,
DR Inventory $21,660
CR Retained Earnings $21,660
(To record change on Accounting Method to FIFO)
a benefit in receiving a higher education that comes from outside of yourself such as greater job opportunities would be called
Answer:
Motivational benefit
Explanation:
Remember, anything that brings you a certain level of push towards an expected end is a motivation. For example, having greater job opportunities sets one apart from others, which may lead to a better standard of living which creates a motivational benefit
Thus, we notice may notice many parents encouraging/motivating higher education for their children because of the perceived benefits they believe in so much.
Which of the following is not an example of organizational citizenship behaviour? telling your friends about the company’s great work environment contributing to a fund for a coworker to help with medical bills discouraging a friend from applying for a job at the company working over the weekend to make sure a project gets done volunteering to help a colleague meet a deadline
Answer: discouraging a friend from applying for a job at the company
Explanation: i would choose this one because organizational is behavior's that is perceived as a positive, extra-role, pro-social demeanor which benefits the employer and enhances the overall success of a business discouraging a friend from applying for a job at the company that is very a discouraging to a person no positivity there lol
On January 1, 2012, Coronado Industries purchased for $762000, equipment having a useful life of ten years and an estimated salvage value of $45000. Coronado has recorded monthly depreciation of the equipment on the straight-line method. On December 31, 2020, the equipment was sold for $162500. As a result of this sale, Coronado should recognize a gain of
Answer:
$45,800
Explanation:
Coronado Industries
Cost of Equipment $762,00
Accumulated Depreciation
( $762,000 - 45,000 ) /10*9 years
=$717,000/10×9 years
=71,700×9 years
=$645,300
Therefore Dec 31,2012 book value of equipment will be:
= $762,000 - $645,300
= $116,700
Equipment sold $162,500
The gain to be recognize will be
= $162,500 - $116,700
= $45,800
1 January ,2012 to 31 December,2020 will give us 9 years
Answer:
$45,800
Explanation:
Given that: the cost of the equipment = $762000
We can determine the accumulated depreciation as follows:
Accumulated depreciation= ((cost of equipment - salvage value )/useful lifetime )×Depreciation from 2012 to 2020
[tex]\mathbf{Accumulated \ depreciation= \dfrac{762,000-45,000}{10}*9 years}[/tex]
[tex]\mathbf{Accumulated \ depreciation= \dfrac{717,000}{10}*9 years}[/tex]
[tex]\mathbf{Accumulated \ depreciation}=[/tex] $ 645,300
The Book value of equipment as on December 31,2020 = cost of equipment - accumulated depreciation
= $762,000 - $645,300
= $ 116,700
Also; the sale value = $162500
The gain to be recognize = $162,500 - $ 116,700 = $45,800
"The S&H Construction Company expects to have total sales next year totaling $ 14 comma 700 comma 000. In addition, the firm pays taxes at 35 percent and will owe $ 290 comma 000 in interest expense. Based on last year's operations the firm's management predicts that its cost of goods sold will be 63 percent of sales and operating expenses will total 30 percent. What is your estimate of the firm's net income (after taxes) for the coming year?"
Answer: $480,350
Explanation:
Income is calculated by deducting expenses from the sales which includes the Cost of Goods sold.
The Cost of Goods sold is given to be 63% of the Sales Next year and the Operating Expenses are given to be 30% of the sales.
That means a total of,
= 63 + 30
= 93%
93% of the sales will be deducted from the sales as expenses.
$290,000 will also be owed as interest so needs to be removed from the sales as well.
Calculating that will give,
= 14,700,000 - 14,700,000(0.93) - 290,000
= 14,700,000 - 13,671,000 - 290,000
= $739,000
This is the income after interest and expenses.
Now the tax has to be accounted for.
With a tax rate of 35%, the income minus tax will be,
= 739,000 ( 1 - 0.35)
= 739,000 * 0.65
= $480,350
$480,350 is the after-tax estimate if income for the following year.
Condensed financial data of Windsor, Inc. follow. Windsor, Inc. Comparative Balance Sheets December 31 Assets 2022 2021 Cash $56,560 $33,880 Accounts receivable 61,460 26,600 Inventory 78,750 71,995 Prepaid expenses 19,880 18,200 Long-term investments 96,600 76,300 Plant assets 199,500 169,750 Accumulated depreciation (35,000) (36,400) Total $477,750 $360,325Liabilities and Stockholders' Equity Accounts payable $71,400 47,110 Accrued expenses payable 11,550 14,700 Bonds payable 77,000 102,200Common stock 54,000 122,500Retained earnings 1,163,800 73,815Total $477,75 $360,325 Windsor, Inc. Income Statement Data For the Year Ended December 31, 2022 Sales revenue Less: Cost of goods sold $94,822 Operating expenses, excluding depreciation 8,687 Depreciation expense 32,550 Income tax expense 19,096 Interest expense 3,311Loss on disposal of plant assets 5,250 163,716Net income $108,206 Additional information: 1. New plant assets costing $70,000 were purchased for cash during the year. 2. Old plant assets having an original cost of $40,250 and accumulated depreciation of $33,950 were sold for $1,050 cash. 3. Bonds payable matured and were paid off at face value for cash. 4. A cash dividend of $18,221 was declared and paid during the year. Prepare a statement of cash flows using the indirect method.
Answer:
Windsor, Inc.
Statement of Cash Flows
December 31, 2022
Cash flow from operating activities
Net income $108,206
Adjustments to net income $19,005
Depreciation expense $32,550Loss on disposal of assets $5,250Increase in prepaid expenses ($1,680)Increase in accounts payable $24,290Increase in accounts receivable ($34,860)Increase in inventory ($6,755)Decrease in accrued expenses payable ($3,150)
Total cash flow from operating activities $123,851
Cash flow from investing activities
Increase in long term investments ($20,300)
Purchase in new plant assets ($70,000)
Proceeds from disposal of assets $1,050
Total cash flow from investing activities ($89,250)
Cash flow from financing activities
Issuance of common stocks $31,500
Payment of bonds payable ($25,200)
Dividends paid ($18,221)
Total cash flow from financing activities ($11,921)
Total increase in cash $22,680
Cash balance December 31, 2021 $33,880
Cash balance December 31, 2022 $56,560
Explanation:
2022 2021
Cash $56,560 $33,880 +22,680
Accounts receivable 61,460 26,600 +34,860
Inventory 78,750 71,995 +6,755
Prepaid expenses 19,880 18,200 +1,680
Long-term investments 96,600 76,300 +20,300
Plant assets 199,500 169,750 +29,750
Accumulated depreciation (35,000) (36,400) -1,400
Total $477,750 $360,325
Liabilities and Stockholders' Equity
Accounts payable $71,400 47,110 +24,290
Accrued expenses payable 11,550 14,700 -3,150
Bonds payable 77,000 102,200 -25,200
Common stock 154,000 122,500 +31,500
Retained earnings 163,800 73,815 +89,985
Total $477,750 $360,325
Depreciation expense 32,550
Interest expense 3,311
Loss on disposal of plant assets 5,250
Net income $108,206
cash dividend of $18,221
Another differing viewpoint is offered by Vivek Wadhwa. Mr. Wadhwa agreed with Mr. Grove that a bigger focus on creating U.S. jobs would be a good thing. But he disagreed with Mr. Grove's proposed solution. What was Mr. Wadhwa's main concern about Andy Grove's proposal to create incentives for large-scale projects
Answer:
He stated that most United states companies that are blue-chip will be the first to suffer the effects from a trade war.
Explanation:
Solution
Mr. Wadhwa came in terms with Andy Grove not fully as he did not find the protectionist trade war as acceptable.
He stated that it will greatly affects those firms who got their sales majorly from abroad. although, he favored need of more job creation in the United States.
Mr. Wadhwa’s main issue was that going for protectionist trade, where products which are produced off-shore and then transported to United States will be forced to pay more taxes, this will have a negative effect over existing large Blue chip organizations or firms.
Hence, he suggested to focus more over mid-career entrepreneurship.
The following information relates to Wildhorse Co. for the year ended December 31, 2020: net income $1,305 million; unrealized holding loss of $11.2 million related to available-for-sale debt securities during the year; accumulated other comprehensive income of $56.4 million on December 31, 2019. Assuming no other changes in accumulated other comprehensive income.
Determine:
a. Other comprehensive income for 2017
b. Comprehensive income for 2017.
c. Accumulated other comprehensive income at December 31, 2017.
Answer:
a. The Other comprehensive income for 2017 is $-11.2 million
b. The Comprehensive income for 2017 is $1,293.8 million
c. The Accumulated other comprehensive income at December 31, 2017 is $45.2 million
Explanation:
a. According to the given data the company incurred a loss of $11.2 million as an unrealized income from available-for-sale debt securities. It is the actual loss.
Therefore, other comprehensive income is (-$11.2) million.
b. In order to calculate the Comprehensive income for 2017 we would have to use the following formula:
Comprehensive income=Net income−Unrealised holding loss
=$1,305 million−$11.2million
=$1,293.8 million
Therefore, comprehensive income for 2017 is $1,293.8 million
c. In ordert to Calculate the accumulated other comprehensive income we would have to use the following formula:
Accumulated comprehensive income = Existing income−Unrealised holding loss
=$56.4million−$11.2million
=$45.2million
The Accumulated other comprehensive income at December 31, 2017 is $45.2 million
The information below pertains to Barkley Company for 2015.
Net income for the year $1,160,000
7% convertible bonds issued at par ($1,000 per bond); each bond is convertible into 30 shares of common stock 2,010,000
6% convertible, cumulative preferred stock,
$100 par value; each share is convertible into 3 shares of common stock 4,080,000
Common stock, $10 par value 5,800,000
Tax rate for 2021 20%
Average market price of common stock $25 per share
There were no changes during 2021 in the number of common shares, preferred shares, or convertible bonds outstanding. There is no treasury stock. The company also has common stock options (granted in a prior year) to purchase 82,100 shares of common stock at $20 per share.
(a) Compute basic earnings per share for 2015.
(b) Compute diluted earnings per share for 2015.
Answer:
a. $1.38
b. anti-dilutive.
Explanation:
Basic Earnings Per Share = Earnings Attributable to Holders of Common Stock / Weighted Average Number of Common Stock Holders
Earnings Attributable to Holders of Common Stock Calculation :
Net income for the year $1,160,000
Less Bond Interest after tax ($2,010,000 × 7% × 80%) ($112,560)
Less Preference Stock dividend ($4,080,000 × 6%) ($244,800)
Earnings Attributable to Holders of Common Stock $802,640
Weighted Average Number of Common Stock Holders Calculation :
Common Stock (5,800,000 / $10) 580,000
Weighted Average Number of Common Stock Holders 580,000
Basic Earnings Per Share = $802,640 / 580,000
= $1.38
Diluted Earnings Per Share = Adjusted Earnings Attributable to Holders of Common Stock / Adjusted Weighted Average Number of Common Stock Holders
Adjusted Earnings Attributable to Holders of Common Stock Calculation :
Earnings Attributable to Holders of Common Stock $802,640
Add Back Bond Interest after tax ($2,010,000 × 7% × 80%) $112,560
Add Back Preference Stock dividend ($4,080,000 × 6%) $244,800
Adjusted Earnings Attributable to Holders of Common Stock $1,160,000
Adjusted Weighted Average Number of Common Stock Holders Calculation
Weighted Average Number of Common Stock Holders 580,000
Add Convertible Bonds ($2,010,000 / $1,000 × 30) 60,000
Add Convertible Preference Shares ($4,080,000/$100 ×3) 122,400
Less Common Stock Options (82,100)
Adjusted Weighted Average Number of Common Stock Holders 680,300
Diluted Earnings Per Share = $1,160,000 / 680,300
= $ 1.70
Conclusion : Convertible Bonds, Convertible Preference Shares and Common Stock Options are anti-dilutive.
Gritz-Charlston is a 300-unit luxury hotel. All rooms are occupied when the hotel charges $80 per day for a room. For every increase of x dollars in the daily room rate, there are x rooms vacant. Each occupied room costs $22 per day to service and maintain. What should the hotel charge per day in order to maximize profit?
Answer:
The hotel should charge $201 per day in order to maximize profit
Explanation:
According to the given data we have the following:
The number of occupied rooms is 300-x, and x vacant rooms.
Hence, The revenue R(x) = (300-x) * ($80 + x), the number of occupiedrooms times the charge per room.
The cost C(x) = (300-x) * $22.
Therefore, The profit P(x) = R(x)-C(x) = (300-x) (58 + x) = 17400 + 242 x -x^2.
P'(x) = 242 - 2x.
Critical point: x= 121.
So Charge = $80 + x = $80 + $121 = $201
The hotel should charge $201 per day in order to maximize profit
Maris Brothers Inc. needs a cash disbursement schedule for the months of April, May, and June following information in its preparation.
Sales:
February = $483,000;
March $525,000;
April $542,000;
May $629,000;
June $657,000;
July $667,000
Purchase: Purchases are calculated as 55% of the next month's sales, 10% of purchases are made in cash, 45% of purchase are paid for 1 month after purchase and the remaining 45% of purchases are paid for 2 months after purchase.
Rent: The firm pays rent of $8,030 per month
Wages and salaries: Base wage and salary cost are fixed at $5,800 per month plus a variable cost of 6.8% of the current month's sales.
Taxes: A tax payment of $ $54,100 is due in June
Fixed asset outlays: New equipment costing $74,000 will be bought and paid for in April.
Interest payments: An interest payment of $30,400 is due in June.
Cash dividends: Dividends of $12,500 will be paid in April
Principal repayments and retirements: No principal repayments or retirements are due during these months.
An swer:
June $975,286
April $1,118,052
May $1,076,856
Explanation:
Maris Brothers Inc.Schedule of Projected Cash Disbursements
April May June
Purchases (0.55 x sales)
April $542,000 ×0.55= $298,100
May $629,000×0.55=$345,950
June $657,000×0.55=$361,350
Cash purchases (.10)
April $542,000 ×0.10= $54,200
May $629,000×0.10=$62,900
June $657,000×0.10=$65,700
Payments of A/PLagged 1 month (0.45)
April $542,000 ×0.45= $243,900
May $629,000×0.45=$283,050
June $657,000×0.45=$295,650
Lagged 2 months(0.45)
April $542,000 ×0.45= $243,900
May $629,000×0.45=$283,050
June $657,000×0.45=$295,650
Rent payments
April $8,030
May $8,030
June $8,030
Wages and salaries
April $542,000 ×0.068+5,800= $42,656
May $629,000×0.068+5,800=$48,572
June $657,000×0.068+5,800=$50,476
Tax Payments
June $54,100
Fixed-asset outlays
April $74,000
Interest payments
June $30,400
Cash dividend payments
April $12,500
Total Cash Disbursements
June
($298,100 +$54,200+$243,900+$243,900+$8,030+$42,656+$54,100+$30,400)
=$975,286
April
($345,950+$62,900+$283,050+$283,050+$8,030+$48,572+$74,000+$12,500)
=$1,118,052
May
($361,350+$65,700+$295,650+$295,650+8,030+$50,476)
=$1,076,856
Stoll Co.'s long-term available-for-sale portfolio at the start of this year consists of the following.
Available-for-Sale Securities Cost Fair Value
Company A bonds $534,100 $492,000
Company B notes 159,140 155,000
Company C bonds 662,400 642,140
Stoll enters into the following transactions involving its available-for-sale debt securities this year.
Jan. 29 Sold one-half of the Company B notes for $78,820.
July 6 Purchased bonds of Company X for $122,100.
Nov. 13 Purchased notes of Company Z for $267,300.
Dec. 9 Sold all of the bonds of Company A for $524,800.
The fair values at December 31 are B, $82,300; C, $603,800; X, $120,000; Z, $276,000; W, $382,500 and Y, $1,062,500
Required:
a. Determine the amount Stoll should report on its December 31, 2017, balance sheet for its long-term investments in available-for-sale securities.
b. Prepare any necessary December 31, 2017, adjusting entry to record the fair value adjustment for the long-term investments in available-for-sale securities.
c. Prepare any necessary December 31, 2017, adjusting entry to record the fair value adjustment for the long-term investments in available-for-sale securities.
Answer:
a. Determine the amount Stoll should report on its December 31, 2017, balance sheet for its long-term investments in available-for-sale securities.
Company B notes $82,300 Company C bonds $603,800Company X bonds $120,000Company Z notes $276,000b. (same as c.)Prepare any necessary December 31, 2017, adjusting entry to record the fair value adjustment for the long-term investments in available-for-sale securities.
Dr Company B notes 4,800 Cr Unrealized gain on Company B notes 4,800 (= $82,300 - $77,500)Dr Unrealized loss on Company C bonds 38,340 (= $603,800 - $642,140) Cr Company C bonds 38,340Dr Unrealized loss on Company X bonds 2,100 (= $120,000 - $122,100) Cr Company X bonds 2,100Dr Company Z notes 8,100 Cr Unrealized gain on Company Z notes 8,100 (= $276,000 - $267,300)Explanation:
beginning of the year cost fair value
Company A bonds $534,100 $492,000
Company B notes $159,140 $155,000
Company C bonds $662,400 $642,140
since available for sale assets must be recorded at fair value, we must assume that the company prepared the adjusting entries at the end of the previous year (unrealized gains or losses):
Jan. 29 Sold one-half of the Company B notes for $78,820.
Dr Cash 78,820
Cr Company B notes 77,500
Cr Gain on sale of Company B notes 1,320
July 6 Purchased bonds of Company X for $122,100.
Dr Company X bonds AFS 122,100
Cr Cash 122,100
Nov. 13 Purchased notes of Company Z for $267,300.
Dr Company Z bonds AFS 267,300
Cr Cash 267,300
Dec. 9 Sold all of the bonds of Company A for $524,800.
Dr Cash 524,800
Cr Company A notes 492,000
Cr Gain on sale of Company B notes 32,800
On Saturday, December 31, the company's owner provided ten hours of service to a customer. The company bills $100 per hour for services provided on weekends. Payment has not yet been received. The owner did not stop in the office on Saturday; as such, on December 31, the services were unbilled and unrecorded.Complete the necessary adjusting entry by selecting the account names and dollar amounts from the drop-down menus.Date Account Title Debit CreditDec. 31 Accounts Receivable Accumulated Depreciation Cash Depreciation Expense Equipment Equipment Expense Rent Revenue Salaries Expense Salaries Payable Service RevenueSupplies Supplies Expenses Unearned Rent Revenue Accounts Receivable Accumulated Depreciation Cash Depreciation Expense Equipment Equipment Expense Rent Revenue Salaries Expense Salaries Payable Service Revenue Supplies Supplies Expenses Unearned Rent Revenue
Answer and Explanation:
The adjusting entry is as follows
Account receivable Dr $1,000 ($100 per hour × 10 hours)
To Service revenue $1,000
(Being service provided is recorded)
For recording this we debited the account receivable as it increased the assets and credited the service revenue as it also increased the service revenue so that the correct recording and posting could be done
A manufacturing company that has only one product has established the following standards for its variable manufacturing overhead. The company uses machine-hours as its measure of activity. The following data pertain to operations for the last month: What is the variable overhead efficiency variance for the month? Select one: a. $8,842 U b. $1,013 F c. $8,843 F d. $8,730 U
Answer:
Variable overhead efficiency variance= (Standard Quantity - Actual Quantity)*Standard rate
Explanation:
We weren't provided with enough information to calculate the variable overhead efficiency variance. But, I will provide the formula.
To calculate the variable overhead efficiency variance, we need to use the following formula:
Variable overhead efficiency variance= (Standard Quantity - Actual Quantity)*Standard rate
Standard quantity= number of units produced*standard machine-hours
Andrews Corporation uses the weighted-average method of process costing. The following information is available for February in its Polishing Department:
Equivalent units of production—direct materials 124,000 EUP
Equivalent units of production—conversion 107,200 EUP
Costs in beginning Work in Process—direct materials $67,800
Costs in beginning Work in Process—conversion $ 49,800
Costs incurred in February—direct materials $ 572,900
Costs incurred in February—conversion $ 719,500The cost per equivalent unit of production for conversion is:___________.
a. $12.06
b. $6.71
c. $7.18
d. $6.20
e. $5.98
Answer:
The correct option is C,$7.18
Explanation:
The cost per equivalent unit of production for conversion is the costs in beginning work in process—conversion plus costs incurred in February—conversion, divided by the equivalent unit of production-conversion
the costs in beginning work in process—conversion is $49,800
costs incurred in February—conversion is $719,500
equivalent units of production-conversion is 107,200
The cost per equivalent unit of production for conversion = ($49,800+$719,500)/107,200=$7.18
McKerley Corp. has preferred stock outstanding that will pay an annual dividend of $5.65 per share with the first dividend exactly 15 years from today. If the required return is 3.99 percent, what is the current price of the stock?
Answer:
$81.88
Explanation:
We need to first calculate the terminal value which is the value in perpetuity for this preferred stock as shown below:
terminal value of the dividend =dividend/required rate of return
dividend is $5.65
required rate of return is 3.99%
terminal value of dividend=$5.65/3.99%=$ 141.60
The preferred stock price is the present value of the dividend's terminal value value
Present value=terminal value/(1+r)^n
r is the rate of return of 3.99%
n is the of years involved which is 14,15 years from today means the end of the 14th year
present value=$141.60/(1+3.99%)^14=$81.88
Tom is responsible for ordering hardware for a custom home his company is building. The contractor installing the hardware is scheduled to start in 5 working days, but the hardware is on backorder and will not arrive for another 9 working days. Fortunately, Tom has 10 days of slack; however, he shares this slack with the hardware installer. He will have to let the contactor know that the hardware will be ready 4 days later than expected and that the slack for the installer has been reduced by 4 days. Tom and the installer share 10 days of:_______
Answer:
Total slack
Explanation:
Total slack is defines as the time that tasks are delayed which will eventually affect the finishing date of a project.
Total slack can be either positive or negative. Positive slack is when delay in tasks do not affect project finish date, and negative slack are delays that affect project finish date.
Total slack is calculated as difference between smaller value of late finish and early finish.
Tom shares 4 days of his slack with the contractor.
So he has 10- 4 = 6 days slack
The total slack is 6 + 4= 10 days
In this scenario the difference between late start and early start is 9 - 5= 4 days
In the story of New England Wire and Cable, the company was in an unusual situation of being worth more dead than alive. What economic principle was violated when Larry Garfield tried to get control of the firm, break it up, sell the assets, and make a profit
Answer: The Law of One Price
Explanation:
In the movie, Other People's Money, Danny DeVito plays Lawrence “Larry the Liquidator” Garfield who wanted to buy New England Wire and Cable because it was in such a good position financially and sell it for more than it was worth at the time to make profit.
This move would violate the Law of One Price because the law states that a good should be sold at the same price regardless of location or status.
If the company sells at a higher price when it is dead as opposed to when still operational, that means that it is selling at different prices. For it not to violate the Law of One Price it needs to be worth the same alive and operational as it is dead and to be sold off.
The economic principle violated by Larry Garfield in his attempt to gain control of the New England Wire and Cable, breaking it up to sell the assets and make a profit is e. The law of one price.
If arbitrage opportunities are eliminated from the transaction, Larry would not be able to make a profit by breaking up the assets of the company because they would fetch the same price when the company is sold as a whole.
Answer Choices:
a. Diminishing marginal return
b. Diminishing marginal utility of wealth
c. Non-positive marginal utility of wealth
d. Externalities
e. The law of one price
Thus, the economic principle violated with Larry Garfield's attempt was e. The law of one price.
Learn more about the law of one price here: https://brainly.com/question/24693548
explain the role of specialization and division of labor in product
Answer:
When the tasks involved with producing a good or service are divided and subdivided, workers and businesses can produce a greater quantity of those goods or services. First, specialization in a particular small job allows workers to focus on the parts of the production process in which they have an advantage.
The main role of the specialization in a product is to focus on selling to that market rather than to the mass public, and the main role of the division of labor is to increase the productivity.
What is specialization and division of labor in product?Specialization:
Product specialization is a marketing strategy in which companies concentrate their marketing and branding operations on a single product.
These marketing efforts are frequently focused on the product's rewards and quality, which may attract potential customers.
Division of labor:
The division of labor is the act of breaking down each stage of production into sectors where each employee performs a specialized duty.
Production has gotten more efficient as a result of the division of labor, and we have witnessed huge economic and monetary gains.
Therefore, specialization and division of labor in product helps to promote the products.
Learn more about the product, refer to:
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Navigator sells GPS trackers for $50 each. It expects sales of 5,000 units in quarter 1 and a 5% increase each subsequent quarter for the next 8 quarters. Prepare a sales budget by quarter for the first year. What is the amount of total sales revenue for the year?
Answer and Explanation:
The Preparation of the sales budget and the computation of the amount of total sales revenue for the year is shown below:-
Sales Budget For Year 1
Quarter Number of Sale price (B) Sales Revenue
Units (A) (A) × (B)
1 5,000 $50 $250,000
2 5,250 $50 $262,500
(5,000 × 105%)
3 5,513 $50 $275,650
(5,250 × 105%)
4 5,789 $50 $289,450
(5,513 × 105%)
Total $1,077,600
2. How would each of the following affect the demand for money ? a a tax on bonds held by individuals b . a forecast by the Central bank that interest rates will rise sharply in the next quarter
Suppose Torche Corporation has the following revenue and expenses for 2019:
Revenues of $9,100,000
Cost of Goods Sold of $2,730,000
Depreciation Expenses of $500,000
Income Taxes of $1,672,000
Interest Expenses of $180,000
Other Expenses of $600,000
Sales, General, & Administrative Expenses of $910,000
Required:
a. Create an income statement with amounts in thousands.
b. What is the value of Net Income?
Answer:
The value of net income is $3,008,000
Explanation:
Income statement:
Revenues= 9,100
COGS= (2,730)
Gross profit= 6,370
Other Expenses= (600)
Sales, General, & Administrative Expenses= (910)
Depreciation Expenses= (500)
Interest Expenses= (180)
EBT= 4,180
Tax= (1,672)
Depreciation= 500
Net income= 3,008
The value of net income is $3,008,000
In 2006, Atlanta once again hosted the Peachtree Road Race, a running event that attracts many world-caliber racers. This year race officials also sanctioned a race conducted in Iraq so that soldiers from the state would not have to miss the annual event. The winners of the Mideast race as well as scenes of the actual race were televised. In terms of a promotional mix, this Iraqi Peachtree Race was as example of:
a. advertising and personal selling efforts.
b. strategic product promotions and resulting sales.
c. a target marketing strategy.
d. sales promotion efforts.
e. a public relations strategy and resulting publicity
Answer:
The correct answer is: e. a public relations strategy and resulting publicity.
Explanation:
In the scenario exemplified above, it can be considered that in terms of the promotional mix, the Iraqi Peachtree race was an example of a public relations strategy, as the function of these professionals is to promote an event, brand or company with the objective of attracting positive publicity. , which was what happened in the case of the race.
Public relations activities helped to generate publicity for the event through television media reports.
Assume you are a manager at Nordstrom, a department store with high social demands as a result of its strong focus on customer service. You already assess cognitive ability for incoming employees, but now you also want to obtain measures of personality. Of the Big Five, which of the following two factors would be the most valid predictors of performance?
a. Conscientiousness and openness to experience
b. Neuroticism and agreeableness
c. Agreeableness and openness to experience
d. Conscientiousness and extraversion
e. Neuroticism and extraversio
Answer:
Neuroticism and extraversion
Explanation:
Neuroticism and extraversion would be the most valid predictors of performance
Incoming employees who score high on neuroticism are more likely than average to be moody and to experience such feelings as anxiety, worry, fear, anger, frustration, envy, jealousy, guilt, depressed mood, and loneliness. Such employees would respond badly to stress.
Extraversion is to possess outgoing, talkative and energetic behavior.
the answer is option E.
Neuroticism and extraversionAccording to Neuroticism and also extraversion would be the most valid predictors of performanceWhen Incoming employees who score high on neuroticism are more likely than average to be moody and also to experience such feelings as anxiety, worry, fear, anger, frustration, envy, jealousy, guilt, depressed mood, and also loneliness. Although Such employees would respond badly to stress.Thus, Extraversion is to possess outgoing, talkative, and also energetic behavior.Find out more information about Extraversion here:
https://brainly.com/question/7264389
Monetary policy can be a useful tool for macroeconomic management. Using relevant diagram(s), show and discuss the possible impact of recent interest rate cuts on output, inflation and unemployment
Answer:
A cut in interest rates will cause the following effects:
Output: output will increase because an interest rate cut makes credit cheaper. Firms will now borrow more money at cheaper interest, and will invest those funds in producing more.Inflation: an interest cut is produced by an increase in the money supply. When the money supply increases, inflation goes up as well.Unemployment: unemployment will go down. Because there is more money in the economy, there is also cheaper credit, and as explained above, firms will make use of these cheap credits to invest more and produce more. To do so, they will need to hire more workers.
ahn Company uses a job-order costing system. Its plantwide predetermined overhead rate uses direct labor-hours as the allocation base. The company pays its direct laborers $15 per hour. During the year, the company started and completed only two jobs-Job Alpha, which used 54,500 direct labor-hours, and Job Omega. The job cost sheets for the these two jobs are shown below:
Job Alpha
Direct materials ?
Direct labor ?
Manufacturing overhead applied ?
Total job cost 1,533,500
Job Omega
Direct materials 235,000
Direct labor 345,000
Manufacturing overhead applied 184,000
Total job cost 764,000
Required
1. Calculate the plantwide predetermined overhead rate.
Plantwide predetermined overhead rate.
Answer:
$8 per direct labor hour
Explanation:
1. The computation of the plant wide overhead rate is shown below:
But before that first we have to find out the direct labor hours used which is
= Direct labor cost ÷ direct labors per hour
= $345,000 ÷ $15
= $23,000
Now the predetermined overhead rate is
= Manufacturing overhead applied ÷ direct labor hours
= $184,000 ÷ 23,000
= $8 per direct labor hour