Answer:
The sugar industry in the US is very powerful and has been able to establish trade barriers and import quotas that affect domestic prices. Sugar prices in the US are extremely high compared to prices in any other country, including Canada, Mexico, China, European nation, i.e. American sugar is the most expensive in the world.
Besides imposing trade barriers, the government also imposes a binding price floor. Binding price floors always result in deadweight losses since the quantity demanded is lower than equilibrium. This is why American candy manufacturers move their production overseas. the highest cost in the candy industry is actually sugar, and wherever they decide to relocate their factories it will always be cheaper.
brainly Stuart Manufacturing Company was started on January 1, year 1, when it acquired $89,000 cash by issuing common stock. Stuart immediately purchased office furniture and manufacturing equipment costing $32,000 and $40,000, respectively. The office furniture had an eight-year useful life and a zero salvage value. The manufacturing equipment had a $4,000 salvage value and an expected useful life of six years. The company paid $12,000 for salaries of administrative personnel and $21,000 for wages to production personnel. Finally, the company paid $26,000 for raw materials that were used to make inventory. All inventory was started and completed during the year. Stuart completed production on 10,000 units of product and sold 8,000 units at a price of $9 each in year 1. (Assume that all transactions are cash transactions and that product costs are computed in accordance with GAAP.) calculate assets
Answer:
Stuart Manufacturing Company
Assets = $107,200
Explanation:
a) Data and Calculations:
Cash Account
Common stock $89,000
Furniture (32,000)
Equipment (40,000)
Salaries (12,000)
Wages (21,000)
Raw materials (26,000)
Sales 72,000
Cash balance $30,000
Inventory:
Cost = $26,000
Units produced = 10,000 units
Cost per unit = $2.60 ($26,000/10,000)
Cost of goods sold = 8,000 * $2.60 = $20,800
Ending inventory = 2,000 * $2.60 = $5,200
Sales Revenue = 8,000 * $9 = $72,000
Assets:
Cash $30,000
Ending inventory 5,200
Furniture 32,000
Equipment 40,000
Total $107,200
b) An asset is something that brings in future cash flows to the business entity. It is made up of Cash and Cash Equivalents, Inventories, Property, Plant, Equipment, and other business investments. Assets are funded from finance provided by creditors and the equity owners, and they generate economic values.
Paying higher wages encourages workers to be more productive. Higher wages cause workers to shirk more of their responsibilities. Paying higher wages enhances workers to adopt healthier lifestyles, enhancing their productivity. Paying higher wages tends to reduce the average experience level of a firm's workers.
Answer:
The answer is "Choice First and third"
Explanation:
Please find the complete question in the attached file.
The higher wages will improve the productivity of workers in various ways, that are salary with the number of workers exceeds the cost of labor, in the fewer countries. It can be associated with both the poor diet and over-market wages in these environments can enable the workers of the company to remain fit and efficient. The fewer employees may decide to seek other employment opportunities when a business pays salaries just above the current market price. This elimination of employee sales will minimize company training costs because new employees need to be trained.
Find the Free Cash Flow in 2019 for Alaimo Enterprise Alaimo Enterprise Income Statement 31-Dec-19 31-Dec-18 Revenues 100 80 COGS 80 64 Depreciation 5 4 Operating income 15 12 Interest expense 2 2 Provision for taxes 2 2 Net Income 11 8 Balance Sheet 31-Dec-19 31-Dec-18 Cash 50 45 Receivables 16 12 Inventory 20 18 Current Assets 86 75 Gross PPE 130 110 Accumulated Depr. 55 50 Net PPE 75 60 Total Assets 161 135 ST Borrowings 10 10 Payables 20 20 Current Liabilities 30 30 LT Debt 40 40 Total Liabilities 70 70 Equity 91 65 Liabilities Equity 161 135
Answer:
-18
Explanation:
The computation of the free cash flow is given below:
As we know that
Free cash flow = cashflow from operations - capital expenditures
Here,
Cashflow from operations = operating income + depreciation- taxes -change in working capital
= 15 + 5 - 2 - 6
= 12
And,
Capital expenditures = ending net ppe + depreciation - beginning ppe
= 75 + 15 - 60
= 30
Now
Free cashflow = cashflow from operations - capital expenditure
= 12 - 30
= -18
Prepare the journal entries for the following transactions. Reclass entries should be posted to Fund Balance Assigned. A) For Year 1: Prepare journal entries for the following transactions. B) For Year 2: Prepare journal entries assuming appropriations do not lapse C) Provide a Balance Sheet as of the end of year 2. (assume all beginning balances are zero) Year 1 1. The city budgets estimated revenues of $11,200 and appropriations of $10,600.
Answer:
Realidades 2 WKBK page 109
Explanation:
Realidades 2 WKBK page 109
Yekutia has the resources to manufacture 320 motorcycles or 570 lawn-mowers per year. The country of Bezanitia, has the capability of producing 230 motorcycles or 410 lawn-mowers per year. Which country has the largest opportunity cost to produce one more motorcycle and what is the opportunity cost to that country?
Answer:
Bezanitia,
1.782609
Explanation:
Opportunity cost is the cost of the next best option forgone hen one alternative is chosen over another alternative.
By choosing to produce one more motorcycle, the countries would be giving up the opportunity to produce one more unit of lawn mowers
Yekutia's opportunity cost in the production of motor cycle = 570 / 320 = 1.781250
Bezanitia's opportunity cost in the production of motor cycle = 410 / 230 = 1.782609
June Inc. issued 9,000 nonqualified stock options valued at $27,000. Each option entitles the holder to purchase one share of stock at $5 per share. The options vest over three years–one-third in 2018 (the year of issue), one-third in 2019, and one-third in 2020. Three thousand options are exercised in 2019 at a time when the stock price of the stock was $9. What is the 2019 book-tax difference associated with the stock options?
Answer:
The right solution is "$3,000 favorable".
Explanation:
The standard taxation deduction throughout the year 2019 is nothing more than the differentiation seen between strike amount of $9 as well as the market value of the company stock of $5.
Besides book specific reason, calculated by multiplying the total number of possibilities used:
⇒ [tex](9-5)\times 3000[/tex]
⇒ [tex]4\times 3000[/tex]
⇒ [tex]12000[/tex]
The manuscript deduction seems to be the valuation of the relevant guidelines throughout the year 2019:
⇒ [tex]\frac{1}{3}\times 27000[/tex]
⇒ [tex]9000[/tex]
Therefore the large amounts book deduction of 3000 seems to be definitely favorable.
On May 1, 2020, Sheffield Company enters into a contract to transfer a product to Eric Company on September 30, 2020. It is agreed that Eric will pay the full price of $24,040 in advance on June 15, 2020. Eric pays on June 15, 2020, and Sheffield delivers the product on September 30, 2020. Prepare the journal entries required for Sheffield in 2020.
Answer: Please see answer in explanation column
Explanation:
Date Account titles and explanation Debit Credit
May 1st, 2020 NO ENTRY NO ENTRY
2. Journal to record payment for product on June 15
Date Account titles and explanation Debit Credit
June 15, 2020 Cash $24,040
Unearned Sales Revenue $24,040
3. Journal to record delivery of product on September 30
Date Account titles and explanation Debit Credit
September 30, 2020 Unearned Sales Revenue $24,040
Sales Revenue $24,040
Suppose that Spain and Denmark both produce rye and stained glass. Spain's opportunity cost of producing a pane of stained glass is 4 bushels of rye while Denmark's opportunity cost of producing a pane of stained glass is 10 bushels of rye.
By comparing the opportunity cost of producing wine in the two countries, you can tell that ___________ has a comparative advantage in the production of wine and___________ has a comparative advantage in the production of rye.
Suppose that Spain and Denmark consider trading wine and rye with each other. Spain can gain from specialization and trade as long as it receives more than_________ of rye for each bottle of wine it exports to Denmark. Similarly, Denmark can gain from trade as long as it receives more than__________ of wine for each bushel of rye it exports to Spain.
Based on your answer to the last question, which of the following terms of trade (that is, price of wine in terms of rye) would allow both Denmark and Spain to gain from trade? Check all that apply.
a. 1 bushel of rye per bottle of wine
b. 8 bushels of rye per bottle of wine
c. 9 bushels of rye per bottle of wine
d. 3 bushels of rye per bottle of wine
Answer:
By comparing the opportunity cost of producing wine in the two countries, you can tell that SPAIN has a comparative advantage in the production of wine and DENMARK has a comparative advantage in the production of rye.
Suppose that Spain and Denmark consider trading wine and rye with each other. Spain can gain from specialization and trade as long as it receives more than 4 bushels of rye for each bottle of wine it exports to Denmark. Similarly, Denmark can gain from trade as long as it receives more than 1/10 of wine for each bushel of rye it exports to Spain.
Based on your answer to the last question, which of the following terms of trade (that is, price of wine in terms of rye) would allow both Denmark and Spain to gain from trade? Check all that apply.
b. 8 bushels of rye per bottle of wine c. 9 bushels of rye per bottle of wineExplanation:
Spain
wine = 4 bushels of rye
bushels of rye = 1/4 wine
Denmark
wine = 10 bushels of rye
bushels of rye = 1/10 wine
Youngston Company (a Massachusetts employer) wants to give a holiday bonus check of $750 to each employee. Since it wants the check amount to be $750, it will need to gross-up the amount of the bonus. Calculate the withholding taxes and the gross amount of the bonus to be made to Genna Fredrich if her earnings for the year are $55,920. Besides being subject to social security taxes and federal income tax (supplemental rate), a 5.05% Massachusetts income tax must be withheld on supplemental payments.
Answer:
Gross bonus=$1,148.54
FIT=252.68
OASDI=71.21
HI =16.65
MASS. TAX=58.00
Explanation:
Calculation for the withholding taxes and the gross amount of the bonus
Calculation for gross amount of the bonus
Gross amount of the bonus= [$750/ (1- 0.22 - 0.062 - 0.0145 - 0.0505] - 0.01
Gross amount of the bonus= [$750/ (0.78 - 0.062 - 0.0145 - 0.0505] - 0.01
Gross amount of the bonus= [$750/ 0.653] - 0.01
Gross amount of the bonus=1,148.545-0.01
Gross amount of the bonus=$ 1,148.54
Therefore the Gross amount of the bonus will be $ 1,148.54
Calculation for the withholding taxes
FIT =1148.54 * 22%
FIT=252.68
OASDI= 1148.54 * 6.2%
OASDI=71.21
HI=1148.54 * 1.45%
HI =16.65
MASS. TAX =1148.54 * 5.05%
MASS. TAX =58.00
NET 750.00
[$1,148.54-(252.68+71.21+16.65+58.00)]
Therefore the withholding taxes are:
FIT=252.68
OASDI=71.21
HI =16.65
MASS. TAX = =58.00
Suppose the United States is currently producing 100tons of hamburgers and 45tons of tacos and Mexico is currently producing 20tons of hamburgers and 25tons of tacos. If the United States and Mexico each specialize in producing only one good (the good for which each has a comparative advantage), then a total of nothingadditional ton(s) of hamburgers can be produced for the two countries combined (enter a numeric response using an integer)
Answer: 50 additional tons of hamburgers
Explanation:
United States opportunity costs:
Hamburger opportunity cost = 45/100 = 0.45 tons of tacos
Taco opportunity cost = 100/45 = 2.22 tones of hamburgers
Mexico opportunity cost:
Hamburger opportunity cost = 25/20 = 1.25 tons of tacos
Taco opportunity cost = 20/25 = 0.8 tones of hamburgers
US should specialize in Hamburger production because they have a lower opportunity cost.
If both countries combined production of hamburgers then the total would be:
= 100 + 20
= 120 tons of hamburgers
There is missing information on this question which is the US production of hamburgers when it produces 0 tacos. We shall assume that number to be 170 tons of hamburgers.
The total additional tons produced would be:
= US tons when producing only hamburgers - Combined hamburger production
= 170 - 120
= 50 additional tons of hamburgers
You are reviewing your client's bank feed. She has several expense transactions for the local gas station that are correctly categorized. Go to the For Review tab in the Banking Center Select the multiple gas transactions.
Answer: Select Add
Explanation:
Here's the complete question:
You are reviewing your client's bank feed. She has several expense transactions for the local gas station that are correctly categorized.Go to the For Review tab in the Banking CenterSelect the multiple gas transactions_____________________________What step completes the process for adding all of these transactions to the bankfeed at the same time?
a. Select Add
b. Select Accept
c. Select Exclude
d. Select Update
This is an easy question to solve. Since we are just adding all of these transactions to the bankfeed at the same time, the thing to do is to "select add"
Gerken Company concluded at the beginning of 2021 that the company's ownership interest in DillCo had increased to the point that it became appropriate to begin using the equity method to account for the investment. The balance in the investment account is $62,000 at the time of the change, and accountants working with company records determined that the balance would have been $99,000 if the account had been adjusted for investee net income and dividends as prescribed by the equity method. After implementing the change to the equity method, if financial statements were prepared:________
a. Net income and retained earnings will be higher by $85,000.
b. The accounts will be unchanged, because no adjustment is necessary.
c. Net income and retained earnings will be higher by $15,000.
d. Net income will be unchanged, and retained earnings will be higher by $15,000.
Answer: Net income will be unchanged, and retained earnings will be higher by $37,000.
Explanation:
If using the equity method, the value of the investment in DillCo would be adjusted for DillCo net income and dividends.
Gerken Net income will not be affected but retained earnings will be because it is equity and needs to be adjusted for the investee net income.
The adjustment will be:
= 99,000 - 62,000
= $37,000
The Retained earnings will be higher by $37,000.
These options are not for this variant of the question.
QUESTION 9 of 10: You bid $111 per room per night for 40 guests for one night. The meeting planner says you've got the business If you
can come down 10% on the bid. What new total bld will win the business?
Answer:
$3,996.00
Explanation:
The current bid represents 100%. the total for this bid is below
=$111 x 40 rooms
=$4,440.00
The new bid should be 10% less than the original bid. in other words, the new bid is 90% of the original bid
=90% of $4,440.00
=90/100 x $4,440.00
=0.9 x $4,440
=$3,996.00
what is effective demand?
Ken went shopping with only $160 on him. He wants to buy a new pair of sneakers and a pair of designer pants. Each item costs exactly $160, so he can only purchase one of the two. This scenario directly illustrates the basic concept that:________
1) most consumers are self-interested
2) society can produce more output when workers "specialize" in production
3) irrational people never respond to incentives
4) when resources are scarce, people face tradeoffs
Answer:
4) when resources are scarce, people face tradeoffs
Explanation:
All resources are scarce, but some are more scarce than others. For example, the day of the richest or poorest person in the world last exactly the same, 24 hours. You cannot buy more time per day. Even the richest person in the world has a limited amount of money, he/she cannot own all the money in the world. Some countries are rich in natural resources, but do not have capital. This leads to the concept of opportunity costs, which are the benefits lost or extra costs associated with choosing one alternative action or investment over another one. If Ken buys the new pair of sneakers, his opportunity cost is the pair of designer pants.
Indirect materials and indirect labor are ________ for a manufactured product. A. overhead and product costs B. operating and period costs C. operating and product costs D. overhead and period costs g
Answer:
The correct option is D. overhead and period costs.
Explanation:
Indirect materials and indirect labor can be described as the materials and labor that employed or consumed in the manufacturing process but cannot be traced to a particular product.
Overheads refer to cost that cannot be traced to a particular product or any particular cost unit.
Period costs refer to expenditures that are not directly tied to the production process. Period costs are overhead or sales, general, and administrative costs.
Therefore, indirect materials and indirect labor are overhead and period costs for a manufactured product.
This type of insurance pays to fix damages that you cause, but does not cover your own car
The adjusted trial balance of Joseph Cooper Co. as of December 31. 2020, contains the following.
JOSEPH COOPER CO.
ADJUSTED TRIAL BALANCE DECEMBER 31, 2020
Debit Credit
Cash $20.012
Accounts Receivable 7,460
Prepaid Rent 2,820
Equipment 18.590
Accumulated Depreciation-Equipment $5.435
Notes Payable 6,240
Accounts Payable 6.012
Common Stock 20,540
Retained Earnings 11,850
Dividends 3.540
Service Revenue 12.130
Salaries and Wages Expense 7.380
Rent Expense 2.218
Depreciation Expense 187
Interest Expensc 125
Interest Payable 125
$62.332 $62.332
Required:
1. Prepare an income statement
2. Prepare a statement of retained earnings.
3. Prepare a classified balance sheet.
Answer:
JOSEPH COOPER CO.
1. Income Statement
December 31, 2020
Service Revenue $12,130
Salaries & Wages Expense 7,380
Rent Expense 2,218
Depreciation Expense 187
Interest Expense 125 9,910
Net income $2,220
2. Statement of Retained Earnings
December 31, 2020
Retained Earnings, January 1, 2020 $11,850
Net income 2,220
Dividends (3,540)
Retained Earnings, December 31, 2020 $10,530
3. Classified Balance Sheet
December 31, 2020
Assets
Current Assets:
Cash $20,012
Accounts Receivable 7,460
Prepaid Rent 2,820 $30,292
Long-term assets:
Equipment 18,590
Accumulated Depreciation (5,435) $13,155
Total assets $43,447
Liabilities + Equity
Current liabilities:
Accounts Payable $6,012
Interest Payable 125 $6,137
Long-term liabilities:
Notes Payable 6,240
Total liabilities $12,377
Equity:
Common Stock $20,540
Retained Earnings 10,530 $31,070
Total liabilities + Equity $43,447
Explanation:
a) Data and Calculations:
JOSEPH COOPER CO.
ADJUSTED TRIAL BALANCE DECEMBER 31, 2020
Debit Credit
Cash $20,012
Accounts Receivable 7,460
Prepaid Rent 2,820
Equipment 18,590
Accumulated Depreciation-Equipment $5,435
Notes Payable 6,240
Accounts Payable 6,012
Common Stock 20,540
Retained Earnings 11,850
Dividends 3,540
Service Revenue 12,130
Salaries & Wages Expense 7,380
Rent Expense 2,218
Depreciation Expense 187
Interest Expense 125
Interest Payable 125
Totals $62,332 $62,332
What differentiates the master builder approach prior to the Renaissance from later approaches?
A. The architect and engineer roles are clearly separated into separate project phases.
B. Knowledge is confined to particular individuals and not shared or formalized into a recognizable set of standards.
C. The engineering and construction roles dominated projects because architectural designs were so simple.
D. Projects do not depend on individual knowledge but leverage the total knowledge of the team.
Answer:
Design-Build, though not new as a delivery method for building projects, appears to be on the rise. Traditionally known as the Master-Builder method, it is a means of building where one party holds responsibility for both the design and the construction. The Master-Builder method was the only method before the now ubiquitous design-bid-build project structure. The Romans for example, famous for their roads, aqueducts, and amphitheaters, did not design a project, bid it out to subcontractors, and then select the low bidder to build it, but rather designed and built structures in a collaborative, somewhat simultaneous fashion. In building a house for a client during Colonial times, one party, such as a master carpenter, was responsible for delivering the general layout and exterior details, selecting structural members, and completing construction. In this way, the carpenter acted as the architect, engineer, and builder simultaneously. The concept of design, bid, and build arose out of the natural specialization of the architect, engineer, and builder in the post-1850s world, where modern structural engineering was born and separated from architecture, and architects and builders fully separated as distinct and separate entities.
Explanation:
thats what is said when i looked it up.....5 wedsits
Answer:
B. Knowledge is confined to particular individuals and not shared or formalized into a recognizable set of standards.
Explanation:
Kendra Corporation uses a process-cost accounting system. The company adds direct materials and direct labor at the start of its production process; overhead cost is incurred evenly throughout manufacturing. The firm has no beginning work-in-process inventory; its ending work in process is 40% complete. Which of the following sets of percentages would be used to calculate the correct number of equivalent units in the ending work-in-process inventory?
a. Materials, 100%; labor, 100%; overhead cost, 40%.
b. Materials, 100%; labor, 100%; overhead cost, 100%.
c. Materials, 100%; labor 40%; overhead cost, 40%.
d. Materials, 40%; labor, 40%; overhead cost, 60%.
e. Materials, 40%; labor, 40%; overhead cost, 100%.
Answer:
a. Materials, 100%; labor, 100%; overhead cost, 40%.
Explanation:
The work in Process have already passed the mark at which Materials and Labor are added, that is the start of its production process so these are both 100% complete. Overheads are 40 % complete, which is the extent of work done on them since they occur evenly.
I run a customer service center and I can use either customer representative (L) or an automated system (K) to service complaints. A customer representative can service 8 customers in an hour satisfactorily, whereas the automated system can only service 4 customers in an hour. If Q represents the number of customers serviced in an hour, my production function is a perfect complement production function. True False
Answer:
False
Explanation:
A production function shows the level of output of a production process from a given number of inputs.
So it shows the number of output from a combination of inputs used. Usually capital and labour are used as the input variables.
In the given scenario if we consider the marginal products of L and K
MP of L = 8
MP of K = 4
Since marginal products are constant quantity produced will be a liners function in the form
Q = 8L + 4K
This form of production function where the inputs shows they are perfect substitutes.
They can be substituted for each other at a constant rate.
A complement will need fixed proportions of the inputs and that is not the case here.
Marcus was offered a job as a senior manager by Super Corp. The offer, which was made over the phone, was for a three-year contract for $120,000 salary per year. Marcus orally accepted, there was no writing. The state in which Marcus was offered the job requires that such contracts be in writing. Marcus quit his current job, which paid $75,000 a year, and headed to the state where Super Corp was headquartered. When he arrived, the director at Super Corp who had originally offered him the job said that they were revoking and that there was no contract, as Marcus never signed an employment agreement. If Marcus sues Super Corp, what is the likely result
,Answer:
-Marcus is owed something by Super Corp because he relied reasonably and to his detriment on Super Corp's offer.
Explanation:
Employment contracts can be written, oral, or implied and each of these are binding to some extent.
In the given instance it is required that employment should be written in the state where Super Corp operates.
So Marcus will not be able to compel them to give him a job as the offer was made and accepted orally.
However the offer resulted in him quitting his current job, which paid $75,000 a year, and heading to the state where Super Corp was headquartered.
He relied on the offer to his detriment of losing his current job, so Super Corp owes him for the damages incurred
Radek Company estimates its uncollectible accounts by aging its accounts receivable and applying percentages to various aged categories of accounts. Radek computes a total of $3,200 in estimated uncollectible accounts as of its current year-end. Its accounts receivable has a balance of $73,000, and its allowance for uncollectible accounts has an unused balance of $900 before any year-end adjustments. What amount of bad debts expense will Radek Company report in its income statement for the current year
Answer:
the bad debt expense that reported in the income statement is $2,300
Explanation:
The computation of the bad debt expense that reported in the income statement is as follows;
= Total estimated uncollectible accounts - unused balance
= $3,200 - $900
= $2,300
Hence, the bad debt expense that reported in the income statement is $2,300
d. E contributes $82,000 in cash to the business to receive a 22 percent interest in the partnership. No goodwill or other asset revaluation is to be recorded. Profits and losses have previously been split according to the following percentages: A, 10 percent; B, 30 percent; C, 20 percent; and D, 40 percent. After E makes this investment, what are the individual capital balances
Answer:
After E makes this investment, the individual capital balances are:
A = $29,073
B = $87,218
C = $58,145
D = $116,291
E = $82,000
Total = $327,727
Explanation:
a) Data and Calculations:
E's capital contribution = $82,000 for 22%
Total capital after E's admission = $372,727 ($82,000/22%)
Old profits and losses sharing ratio:
A, 10 percent; B, 30 percent; C, 20 percent; and D, 40
New profits and losses sharing ratio and new capital balances
A = 10% of 78% = 7.8% 7.8% of $372,727 = $29,073
B = 30% of 78% = 23.4% 23.4% of $372,727 = $87,218
C = 20% of 78% = 15.6% 15.6% of $372,727 = $58,145
D = 40% of 78% = 31.2% 31.2% of $372,727 = $116,291
E = 22% 22% of $372,727 = $82,000
Total = 100% $327,727
b) The capital of the partnership will total $327,727 while individual partnerships will have their capital accounts adjusted in line with the new profit sharing ratio and capital.
Flesch Corporation produces and sells two products. In the most recent month, Product C90B had sales of $35,640 and variable expenses of $8,910. Product Y45E had sales of $31,680 and variable expenses of $12,672. The fixed expenses of the entire company were $20,000. If the sales mix were to shift toward Product C90B with total dollar sales remaining constant, the overall break-even point for the entire company:
Answer:
Would Decrease
Explanation:
The computation is shown below:
Particulars C90B Y45E Total
Sales (A) $35,640 $31,680 $67,320
Variable Expenses (B) $8,910 $12,672 $21,582
Contribution ( C = A-B) $26,730 $19,008 $45,738
Contribution Margin Ratio
( D = C ÷ A) 75% 60% 67.94%
The break even point would be decreased as for the product C90B the contribution margin ratio is increased as compared with the product Y45E
In 1963, an investor opened a savings account with $LaTeX: \text{K} K earning simple interest at annual rate of LaTeX: 2.5\% 2.5 % . Four years later, the investor closed the account and invested the accumulated amount in a savings account earning LaTeX: 5\% 5 % compound interest. Determine the number of years (since 1963) necessary for the balance to reach $LaTeX: 3K 3 K .
Answer:
The number of years necessary for the balance to turn from K to 3K (since 1963) in the given situation = 24.5636 years rounded off to 25 years
Explanation:
The simple interest earned is at the rate of 2.5%. The formula for simple interest per year is,
Simple interest per year = Investment * interest rate
Simple interest per year = 1K * 2.5% => $0.025K
Simple interest for 4 years = 0.025 * 4 = $0.1K
So, total investment at the after 4 years = 1K + 0.1K = $1.1K
The formula for future value of a sum of amount will be used to calculate the value of investment at a future date. The formula is as follows,
Future value = Present value * (1+r)^t
Where,
r is the interest rate or rate of returnt is the time periodSo, accumulated earnings ($1.1K) are invested at 5% compound interest. The value of t necessary for 1.1K to turn into 3K can be found as follows,
3 = 1.1 * (1.05)^t
3 / 1.1 = 1.05^t
2.727272727 = 1.05^t
ln(2.727272727) / ln(1.05) = t
t = 20.5636 years rounded off to 21 years
The number of years necessary for the balance to turn from K to 3K in the given situation = 4 + 20.5636 = 24.5636 rounded off to 25 years
2-26A Compute Cost of Goods Manufactured and Cost of Goods Sold Learning Objective 5) Compute the Cost of Goods Manufactured and Cost of Goods Sold for West Nautical Company for the most recent year using the amounts described next. Assume that the Raw Materials Inventory contains only direct materials Beginning End Year of Year End of Year of Raw materials inventory Work in process inventory Finished goods inventory $23,000 $25,000 Insurance on plant..$ 11,500 $35,000 $31,000 Depreciation-plant building and equipment.. $ 13,400 S 3,700 $20,000 $22,000 Repairs and maintenance-plant.... Purchases of direct materials.... $74,000 Marketing expenses... $86,000 General and administrative expenses. $28,500 $42,000 S77,000 Direct labor
Answer:
Note: Organized question is attached below
Compute cost of goods manufactured
Beginning work in process 35000
Beginning raw material 23000
Direct material purchase 74000
Less: Ending raw material -25000
Direct material used 72000
Direct labor 86000
Manufacturing overhead
Indirect labor 42000
Insurance of plant 11500
Dep. Plant, building & equip 13400
Repairs and maintenance-Plant 3700
Total manufacturing overhead 70600
Total manufacturing cost 228600
Total cost of work in process 263600
Less: Ending work in process -31000
Cost of goods manufactured 232600
b) Cost of goods sold = Beginning Finished goods inventory + Cost of goods manufactured - Ending Finished goods inventory = 20000 + 232600 - 22000 = 230600
c) Income statement
Sales (34000*12) 408000
Less: Cost of goods sold -230600
Gross profit 177400
Less: Marketing expense -77000
Less: General and administrative expenses -28500
Net operating income 71900
Grouper Company sold 214 color laser copiers on July 10, 2020, for $3,800 apiece, together with a 1-year warranty. Maintenance on each copier during the warranty period is estimated to be $303. Prepare entries to record the sale of the copiers, the related warranty costs, and any accrual on December 31, 2020. Actual warranty costs (inventory) incurred in 2020 were $17,400.
Answer:
1. Dr Cash $813,200
Cr Sales Revenue $813,200
2. Dr Warranty Expense $17,400
Cr Cash $17,400
3. Dr Warranty expense $47,442
Cr Warranty liability $47,442
Explanation:
Preparation of the entries to record the sale of the copiers, the related warranty costs, and any accrual on December 31, 2020.
1. Preparation of the entries to record the sale of the copiers
Dr Cash $813,200
($3,800*214)
Cr Sales Revenue $813,200
(Being to record the sale of the copiers)
2. Preparation of the entries to record the related warranty costs
Dr Warranty Expense $17,400
Cr Cash $17,400
(Being to record the related warranty costs)
3. Preparation of the entries to record any accrual
Dr Warranty expense $47,442
[($303*214)-17,400]
Cr Warranty liability $47,442
(Being to record any accrual)
Presented below are selected account balances for Tamarisk Co. as of December 31, 2017.
Inventory 12/31/17 $60,050
Cost of Goods Sold $229,610
Common Stock 74,370
Selling Expenses 15,940
Retained Earnings 45,010
Administrative Expenses 37,625
Dividends 17,920
Income Tax Expense 29,930
Sales Returns and Allowances 12,116
Sales Discounts 14,740
Sales Revenue 410,200
Prepare closing entries for Tamarisk Co. on December 31, 2017. (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.)
No.
Account Titles and Explanation
Debit
Credit
1. (To close accounts with credit balances)
2. (To close accounts with debit balances)
3. (To close net income / (loss))
4. (To close dividends)
Answer:
No. Account Titles and Explanation Debit Credit
1 Sales Revenue $410,200
Income Summary $410,200
(To close accounts with credit balances)
2. Income Summary $339,961
Sales return & Allowance $12,116
Sales Discounts $14,740
Cost of Goods Sold $229,610
Selling Expense $15,940
Administrative expense $37,625
Income tax expense $29,930
(To close accounts with debit balances)
3. Income Summary $70,239
Retained Earnings $70,239
(To close net income / (loss))
4. Retained Earnings $17,920
Dividends $17,920
(To close dividends)
On the first day of January, Harris Company borrowed $3,000 on a one-year note payable bearing interest at 5% per year. The note specifies that principal and interest must be paid in full at the end of the one-year period. On June 30, the adjusted trial balance will show Interest Payable of
Answer: $75 Credit
Explanation:
Based on the information given in the question, there will be a debit of interest expense and also a credit of interest payable. This will be in the amount of:
= $3000 × 5% × 6/12
= $3000 × 0.05 × 0.5
= $75
Debit: Interest expense $75
Credit: Interest expense $75
The answer is $75 credit.