The following transactions occur for the Wolfpack Shoe Company during the month of June:
Provide services to customers for $30,000 and receive cash.
Purchase office supplies on account for $20,000.
Pay $7,000 in salaries to employees for work performed during the month.
1. Analyze each transaction.
2. Record the transaction.
3. Post the transaction to T-accounts. Assume the opening balance in each of the accounts is zero.

Answer:

1.

Assets = $30,000 (increase) and Revenue = $30,000 (increase)

Assets = $20,000 (increase) and Liabilities = $20,000 (increase)

Assets = $7,000 (decrease) and Liabilities = $7,000 (decrease)

2.

Cash $30,000 (debit)

Service Revenue $30,000 (credit)

Cash Received for Service Rendered

Office Supplies $20,000 (debit)

Accounts Payable $20,000 (credit)

Office Supplies purchased on credit

Salaries Expense $7,000 (debit)

Cash $7,000 (credit)

Salaries Paid

3.

Cash Account

Debit :

Service Revenue          $30,000

Credit :

Salaries Payable             $7,000

Balance c/d                   $23,000

Revenue Account

Debit :

Balance c/d                  $30,000

Credit :

Cash                             $30,000

Office Supplies Account

Debit :

Accounts Payable       $20,000

Credit :

Balance c/d                 $20,000

Accounts Payable Account

Debit :

Balance c/d                $20,000

Credit :

Office Supplies          $20,000

Salaries Expense Account

Debit :

Cash                             $7,000

Credit :

Balance c/d                 $7,000

Explanation:

Accounting starts with analyzing transactions and their effects on Assets, Liabilities, Equity, Revenues and Expenses.

The next stage is to record the transactions in Journals. See journals and narrations above.

Then the preparation of Ledger Accounts using the Journal entries.

On June 3, Sweet Company sold to Chester Company merchandise having a sale price of $4,600 with terms of 2/10, n/60, f.o.b. shipping point. An invoice totaling $93, terms n/30, was received by Chester on June 8 from John Booth Transport Service for the freight cost. On June 12, the company received a check for the balance due from Chester Company.
Prepare journal entries on the Sweet Company books to record all the events noted above under each of the following bases.
(1) Sales and receivables are entered at gross selling price.
(2) Sales and receivables are entered at net of cash discounts.

At the end of fiscal year 2018, Haley Legal Services and Delicious Doughnuts reported these adapted amounts on their balance sheets (all amounts in millions except for par value per share): EEB (Click the icon to view the balance sheet data.) Assume each company issued its stock in a single transaction. Journalize each company's issuance of its stock, using its actual account titles. Explanations are not required. (Enter amounts in millions. Record debits first, then credits. Exclude explanations from any journal entries.) Begin by joumalizing the Haley Legal Services common stock issuance.
Journal EntryData Table Accounts Debit Credit Milions Haley Legal Services Common stock, $0.01 par value, 2,400 shares issued S Additional paid-in capital 24 17,500 Delicious Doughnuts:
Common stock, no par value, 66 shares issued S 294

Which option enables you to keep the last grammatical change?​

You just deposited $3,000 in a bank account that pays a 4.0% nominal interest rate, compounded quarterly. If you also add another $5,000 to the account one year (4 quarters) from now and another $7,500 to the account two years (8 quarters) from now, how much will be in the account three years (12 quarters) from now

Danner Company expects to have a cash balance of $58,050 on January 1, 2017. Relevant monthly budget data for the first 2 months of 2017 are as follows.Collections from customers: January $109,650, February $193,500.Payments for direct materials: January $64,500, February $96,750.Direct labor: January $38,700, February $58,050. Wages are paid in the month they are incurred.Manufacturing overhead: January $27,090, February $32,250. These costs include depreciation of $1,935 per month. All other overhead costs are paid as incurred.Selling and administrative expenses: January $19,350, February $25,800. These costs are exclusive of depreciation. They are paid as incurred.Sales of marketable securities in January are expected to realize $15,480 in cash. Danner Company has a line of credit at a local bank that enables it to borrow up to $32,250. The company wants to maintain a minimum monthly cash balance of $25,800.Prepare a cash budget for January and February.

For each of the following pairs of goods, state whether the cross-price elasticity is likely positive, negative, or zero. Explain your answers.
a. Hulu and Netflix.
Close to zero. While they are substitutes they are not close substitutes.
Negative. They are complements.
Positive. They are close substitutes.
b. Tortilla chips and salsa.
Close to zero. While they are substitutes they are not close substitutes.
Negative. They are complements.
Positive. They are close substitutes.
c. Movie and popcorn.
Positive. They are close substitutes.
Close to zero. While they are substitutes they are not close substitutes.
Negative. They are complements.
d. Running shoes and high heels.
Negative. They are complements.
Positive. They are close substitutes.
Close to zero. While they are substitutes they are not close substitutes.

The inventory on hand at the end of 2019 for Reddall Company is valued at a cost of $94,000. The following items were not included in this inventory:

1. Purchased goods in transit, under terms FOB shipping point, invoice price $4,200, freight costs $200.
2. Goods out on consignment to Marlman Company, sales price $5,600, shipping costs of $200.
3. Goods sold to Grina Co. under terms FOB destination, invoiced for $1,900 which included $178 freight charges to deliver the goods. Goods are in transit.
4. Goods held on consignment by Reddall at a sales price of $2,700 which included sales commission of 20% of sales price.
5. Purchased goods in transit, shipped FOB destination, invoice price $2,100 which included freight charges of $190.

Required:
Determine the cost of the ending inventory that Reddall should report on its December 31, 2016, balance sheet, assuming that its selling price is 140% of the cost of the inventory.

Joy is looking into many different career choices. She is leaning toward the Information Technology cluster. Why
would this be a better career choice than some of the other options she was looking into?
O IT jobs are projected to increase fourteen percent between 2010 and 2020.
O IT jobs are projected to increase twenty-two percent between 2010 and 2020.
O IT jobs are projected to increase thirty-five percent between 2010 and 2020.
O IT jobs are projected to increase forty-seven percent between 2010 and 2020.

Plum Corporation began the month of May with $1,400,000 of current assets, a current ratio of 1.90:1, and an acid-test ratio of 1.70:1. During the month, it completed the following transactions (the company uses a perpetual inventory system).

May 2 Purchased $75,000 of merchandise inventory on credit.
8 Sold merchandise inventory that cost $55,000 for $150,000 cash.
10 Collected $26,000 cash on an account receivable.
15 Paid $29,500 cash to settle an account payable.
17 Wrote off a $5,000 bad debt against the Allowance for Doubtful Accounts account.
22 Declared a $1 per share cash dividend on its 69,000 shares of outstanding common stock.
26 Paid the dividend declared on May 22.
27 Borrowed $120,000 cash by giving the bank a 30-day, 10% note.
28 Borrowed $135,000 cash by signing a long-term secured note.
29 Used the $255,000 cash proceeds from the notes to buy new machinery.

Required
Prepare a table showing Plum's (1) current ratio, (2) acid-test ratio, and (3) working capital, after each transaction. Round ratios to two decimals.

At the beginning of the current season on April 1, the ledger of Granite Hills Pro Shop showed Cash $ 3,360: inventory $ 3,500: and Common Stock $ 6,860. The following transactions were completed during April 2017.Apr. 5 Purchased golf bags, clubs, and balls on account from Arnie Co. $ 1,500, terms 3/10, n/60.7 Paid freight on Arnie purchase $ 80.9 Received credit from Arnie Co. for merchandise returned $700.10 Sold merchandise on account to members $1,420, terms n/30. The merchandise sold had a cost of $ 770.12 Purchased golf shoes, sweaters, and other accessories on account from Woods Sportswear $ 1,060, terms 2/10, n30.14 Paid Arnie Co. in full.17 Received a credit from Woods Sportswear for merchandise returned $60.20 Made sales on account to members $ 820, terms n/30. The cost of the merchandise sold was $550.21 Paid Woods Sportswear in full.27 Granted an allowance to members for clothing that did not fit properly $70.30 Received payments on account from members $1,370.1. Journalize the April transactions using a perpetual inventory system.2. Prepare an income statement through gross profit for the month of April 2017.

Executive compensation packages often tie performance to bonus and incentive awards, supplemental retirement packages, perquisites, and severance pay, in order to encourage the management team to align their performance with organizational goals. In an attempt to minimize agency problems in a company (potential conflict of interest between the company's managers and shareholders), attractive compensation packages are created to retain and encourage managers. In the best interest of shareholders, compensation packages should be structured in a way such that managers have an incentive to maximize the___________ value of the company’s stock price.

Vision Tech is a software company based out of San Francisco. Its stockholders are mostly individual investors and there is relatively little institutional ownership. If several pension and mutual funds were to take large positions In Vision Tech's stock, would direct shareholder intervention be more or less likely to motivate the firm's management?

a. Less likely
b. More likely

We would like to invest $10,000 into shares of companies XX and YY.

Shares of XX cost $20 per share. The market analysis shows that their expected return is $1 per share with a standard deviation of $0.5.
Shares of YY cost $50 per share, with an expected return of $2.50 and a standard deviation of $1 per share.

Returns from the two companies are independent. In order to maximize the expected return and minimize the risk (standard deviation or variance), is it better to invest

a. All $10,000 into XX
b. All $10,000 into YY
c. $5,000 into each company

The annual worth for years 1 through infinity of $50,000 now, $10,000 per year in years 1 through 15, and $20,000 per year in years 16 through infinity at 10% per year is closest to

Analyze the impact of transactions on the accounting equation (LO2-2)
Below are the external transactions for Shockers Incorporated.
1. Issue common stock in exchange for cash.
2. Purchase equipment by signing a note payable.
3. Provide services to customers on account.
4. Pay rent for the current month.
5. Pay insurance for the current month.
6. Collect cash from customers on account.
Assets = Liabillities + Stockholder's Equilty
1. Increase = No effect + Increase
2.
3.
4.
5.
6.
Required: Analyze each transaction. Under each category in the accounting equation, indicate whether the transaction increases, decreases, or has no effect. The first item is provided as an example.

The adjusted trial balance of Dawson Company contained the following information. Assume the tax rate is 33%:
Debit Credit
Sales revenue $425,000
Sales returns and allowances $ 20,000
Sales discounts 5,000
Cost of goods sold 300,000
Operating expenses 61,000
Interest revenue 2,000
Interest expense 1,000
Compute the gross profit. rate(%)

Marin Company produces two software products (Cloud-X and Cloud-Y) in two separate departments (A and B). These products are highly regarded network maintenance programs. Cloud-X is used for small networks and Cloud-Y is used for large networks. Marin is known for the quality of its products and its ability to meet dates promised for software upgrades. Department A produces Cloud-X, and department B produces Cloud-Y. The production departments are supported by two support departments, systems design and programming services. The sources and uses of the support department time are summarized as follows:_______.
To Total
Department Department Labor
From Design Programming A B Hours
Design - 5,000 1,000 9,000 15,000
Programming 400 - 600 1,000 2,000
The costs in the two service departments are as follows:_______.
Design Programming
Labor and materials (all variable) $ 50,000 $ 36,000
Depreciation and other fixed costs 40,000 4,000
Total $ 90,000 $ 40,000
Required:1. Determine the total support costs allocated to each of the producing departments using (a) the direct method, (b) the step method (design department goes first), and (c) the reciprocal method? (Do not round intermediate calculations. Round your final answer to nearest whole dollar amount.)2. The company is considering outsourcing programming services to DDB Services Inc. for $52.00 per hour. Should Marin do this?Note: there's 2 requirements , please make sure you do both with explaination :)

A Corporation sells a single product for $20 per unit. Last year, the company's sales revenue was $300,000 and its net operating income was $24,000. If fixed expenses totaled $96,000 for the year, the break-even point in unit sales was: A) 12,000 units B) 9,900 units C) 15,000 units D) 14,100 units

Managers and leaders perform many tasks as a result of their goals and objectives. Even though many tasks may be completed as a result of their responsibilities, each task may be categorized into one of four functions of management. Management is a process. This process is what allows managers and leaders to achieve organizational and personal goals. Included within this process are four functions of management. These four functions include planning, organizing, leading, and controlling. Each of these functions is an important aspect of the management process and must be implemented to achieve organizational goals.
Click and drag each item into the correct spot within the chart. Each item is one of the four functions of management.
Paul Santago Planning Organizing
Matthew Chloe
Kely Tomasz Leading Controlling
Ava Michele
Reset

A $3.6 million state lottery pays $15,000 at the beginning of each month for 20 years. How much money must the state actually have in hand to set up the payments for this prize if money is worth 5.8%, compounded monthly

The following transactions occurred during a recent year:
a. Paid wages of $1,600 for the current period (example).
b. Borrowed $8,000 cash from local bank using a short-term note.
c. Purchased $3,200 of equipment on credit.
d. Earned $640 of sales revenue; collected cash.
e. Received $1,280 of utilities services, on credit.
f. Earned $2,700 of service revenue, on credit.
g. Paid $480 cash on account to a supplier.
h. Incurred $110 of travel expenses; paid cash.
i. Earned $640 of service revenue; collected half in cash, with balance on credit.
j. Collected $180 cash from customers on account.
k. Incurred $460 of advertising costs; paid half in cash, with balance on credit.
Required:
1. For each of the transactions, complete the table below, indicating the account, amount, and direction of the effect (+ for increase and - for decrease) of each transaction under the accrual basis. Include revenues and expenses as subcategories of stockholders' equity, as shown for the first transaction, which is provided as an example.
Assets = Liabilities + Stockholders' Equity
a Cash (1,600) Salaries & wages expense (1,600)
b Cash 8,000 Notes Payable (short-term) 8,000
c Equipment 3,200 Accounts Payable 3,200
d Cash 640 Sales revenue 640
e Accounts Payable 1,280 Utilities expense (1,280)
f Accounts Receivable 2,700 Service revenue 2,700
g Cash (480) Accounts Payable (480)
h Cash (110) Travel expense (110)
i Cash 320
Accounts Receivable 320 Service revenue 640
j Cash 180
Accounts Receivable (180)
k Cash (230) Accounts Payable 230 Advertising expense (460)
2. Determine the company's preliminary net income.

You hit the lottery! You get offered $10 million now or $1 million a year for 13 years. Assume a 3 percent interest rate. Which would you choose and why

Ricardo Construction began operations on December 1. In setting up its accounting procedures, the company decided to debit expense accounts when it prepays its expenses and to credit revenue accounts when customers pay for services in advance. Prepare journal entries for items a through d and the adjusting entries as of its December 31 period-end for items e through g.


a. Supplies are purchased on December 1 for $2,000 cash.
b. The company prepaid its insurance premiums for $1,540 cash on December 2.
c. On December 15, the company receives an advance payment of $13,000 cash from a customer for remodeling work.
d. On December 28, the company receives $3,700 cash from another customer for remodeling work to be performed in January.
e. A physical count on December 31 indicates that the Company has $1,840 of supplies available.
f. An analysis of the insurance policies in effect on December 31 shows that $340 of insurance coverage had expired.
g. As of December 31, only one remodeling project has been worked on and completed. The $5,570 fee for this project had been received in advance and recorded as remodeling fees earned.

Share one or two specific examples of how you will use the concepts or strategies presented in this class to contribute to your academic and career success.

On December 31, 2019, Mass Construction Inc. signs a contract with the state of Massachusetts Department of Transportation to manufacture a bridge over the Merrimack. Mass Construction anticipates the construction will take three years. The company's accountants provide the following contract details relating to the project:

Contract price $520 million
Estimated construction costs $300 million
Estimated total profit $220 million

During the three-year construction period, Tri-State incurred costs as follows:

2020 $60 million
2021 $150 million
2022 $90 million

Tri-State uses the percentage of completion method to recognize revenue. Which of the following represent the profits recognized in 2020, 2021, and 2022?

a. $52 million, $312 million, $156 million
b. $12 million, $72 million, $36 million
c. $140 million, $140 million, $140 million
d. $30 million, $180 million, $90 million
e. None of the above

A company is considering two mutually exclusive expansion plans. Plan A requires a $40 million expenditure on a large-scale integrated plant that would provide expected cash flows of $6.39 million per year for 20 years. Plan B requires a $13 million expenditure to build a somewhat less efficient, more labor-intensive plant with an expected cash flow of $2.91 million per year for 20 years. The firm's WACC is 9%.Calculate each project's NPV. Round your answers to two decimal places. Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55.Plan A $ millionPlan B $ millionCalculate each project's IRR. Round your answer to two decimal places.Plan A %Plan B %Graph the NPV profiles for Plan A and Plan B and approximate the crossover rate to the nearest percent.Calculate the crossover rate where the two projects' NPVs are equal. Round your answer to the nearest hundredth.%

Christiansen Corporation uses an activity-based costing system with the following three activity cost pools: Activity Cost Pool Total Activity Fabrication 70,000 machine-hours Order Processing 500 orders Other Not applicable The Other activity cost pool is used to accumulate costs of idle capacity and organization-sustaining costs. The company has provided the following data concerning its costs: Wages and Salaries $420,000 Depreciation 160,000 Occupancy 200,000 Total $780,000 The distribution of resource consumption across activity cost pools is given below: Activity Cost Pools Fabrication Order Processing Other Total Wages and Salaries 60% 20% 20% 100% Depreciation 5% 60% 35% 100% Occupancy 25% 50% 25% 100%
The activity rate for the Order Processing activity cost pool is closest to:_______.
A. $312 per order
B. $676 per order
C. $780 per order
D. $560 per order

Drs. Glenn Feltham and David Ambrose began operations of their physical therapy clinic, called Northland Physical Therapy, on January 1, 2017. The annual reporting period ends December 31. The trial balance on January 1, 2018, was as follows (the amounts are rounded to thousands of dollars to simplify):
Account Titles Debit Credit
Cash $ 6
Accounts Receivable 2
Supplies 2
Equipment 10
Accumulated Depreciation $3
Software 8
Accumulated Amortization 3
Accounts Payable 6
Notes Payable (short-term) 0
Salaries and Wages Payable 0
Interest Payable 0
Income Taxes Payable 0
Deferred Revenue 0
Common Stock 13
Retained Earnings 3
Service Revenue 0
Depreciation Expense 0
Amortization Expense 0
Salaries and Wages Expense 0
Supplies Expense 0
Interest Expense 0
Income Tax Expense 0
Totals $28 $28
Transactions during 2018 (summarized in thousands of dollars) follow:
Borrowed $13 cash on July 1, 2018, signing a six-month note payable.
Purchased equipment for $16 cash on July 2, 2018.
Issued additional shares of common stock for $6 on July 3.
Purchased software on July 4, $2 cash.
Purchased supplies on July 5 on account for future use, $8.
Recorded revenues on December 6 of $47, including $9 on credit and $38 received in cash.
Recognized salaries and wages expense on December 7 of $21; paid in cash.
Collected accounts receivable on December 8, $8.
Paid accounts payable on December 9, $9.
Received a $2 cash deposit on December 10 from a hospital for a contract to start January 5, 2019.
Data for adjusting journal entries on December 31:
Amortization for 2018, $3.
Supplies of $2 were counted on December 31, 2018.
Depreciation for 2018, $3.
Accrued interest of $1 on notes payable.
Salaries and wages incurred but not yet paid or recorded, $4.
Income tax expense for 2018 was $3 and will be paid in 2019.
Record journal entries for transactions (a) through (j).
Cash 13
Notes-payable (short term) 13
Equipment 16
Cash 16
Cash 6
Common Stock 6
Software 2
Cash 2
Supplies 8
Accounts Payable 8
Accounts Receivable 9
Cash 38
Service Revenue 47
Salaries and Wages Expense 21
Cash 21
Cash 8
Accounts Receivable 8
Accounts Payable 9
Cash 9
Cash 2
Deferred Revenue 2
Set up T-accounts for the accounts on the trial balance. Enter beginning balances and post the transactions (a)-(j), adjusting entries (k)-(p), and closing entry.
Prepare an unadjusted trial balance and a trial balance.

According to Joseph​ Schumpeter, what does economic progress depend​ on? A. technological change in the form of new products B. ​competition, especially price competition C. the initial endowment of economic​ resources, such as the amount of labor and capital available D. government protection of competition

And the circular flow model which part of the economy provides products to households

Tandy Company was issued a charter by the state of Indiana on January 15 of this year. The charter authorized the following:

Common stock, $6 par value, 120,000 shares authorized
Preferred stock, 11 percent, par value $13 per share, 5,000 shares authorized

During the year, the following transactions took place in the order presented:

a. Sold and issued 21,900 shares of common stock at $26 cash per share.
b. Sold and issued 2,800 shares of preferred stock at $30 cash per share.
c. At the end of the year, the accounts showed net income of $41,600. No dividends were declared.

Required:
Prepare the stockholders’ equity section of the balance sheet at the end of the year.