Answer:
A whistle-blower is a person who informs on a person or an organization that is engaged in an illicit activity.
Identify the incorrect statement about trade barriers. They may limit a firm's ability to serve a country from locations outside of that country. To conform to local content regulations, a firm may have to locate more production activities in a given market than it would otherwise. They may put a firm at a competitive advantage to indigenous competitors. They raise the costs of exporting products to a country.
Answer:
They may put a firm at a competitive advantage to indigenous competitors
Explanation:
Trade barriers is when the government put up barriers to import. The goal of this is to increase local production of goods and services.
Trade barriers can be in the form of quotas or import taxes
Trade barriers makes the import of goods more expensive and this discourages imports
The trial balance of Blues Traveler Corporation does not balance.
Debit Credit
Cash $5,912
Accounts Receivable 5,240
Supplies 2,967
Equipment 6,100
Accounts Payable $7,044
Common Stock 8,000
Retained Earnings 2,000
Service Revenue 5,200
Office Expense 4,320
$24,539 $22,244
An examination of the ledger shows these errors.
1. Cash received from a customer on account was recorded (both debit and credit) as $1,790 instead of $2,060.
2. The purchase on account of a computer costing $3,088 was recorded as a debit to Office Expense and a credit to Accounts Payable.
3. Services were performed on account for a client, $2,460, for which Accounts Receivable was debited $2,460 and Service Revenue was credited $435.
4. A payment of $305 for telephone charges was entered as a debit to Office Expense and a debit to Cash.
5. The Service Revenue account was totaled at $5,410 instead of $5,490.
Required:
From this information prepare a corrected trial balance.
Answer:
Blues Traveler Corporation
Adjusted Trial Balance
Accounts Titles Debit Credit
Cash $5,572
Accounts Receivable 4,970
Supplies 2,967
Equipment 9,188
Accounts Payable $7,044
Common Stock 8,000
Retained Earnings 2,000
Service Revenue 7,305
Office Expense 1,232
Suspense 420
Totals $24,349 $24,349
Explanation:
Unadjusted Closing Trial Balance
Accounts Titles Debit Credit
Cash $5,912
Accounts Receivable 5,240
Supplies 2,967
Equipment 6,100
Accounts Payable $7,044
Common Stock 8,000
Retained Earnings 2,000
Service Revenue 5,200
Office Expense 4,320
Totals $24,539 $22,244
Correction of errors:
1. Understatement of cash received by $270
This will increase Cash by $270 and Accounts Receivable will be reduced by $270
Debit Cash $270
Credit Accounts Receivable $270
To correct the error above.
2. This is error of commission:
Office expenses are overstated and Equipment understated by $3,088 respectively.
Debit Equipment $3,088
Credit Office expense $3,088
To correct the error.
3. Service Revenue will be increased by $2,025 ($2,460 - $435)
4. Cash will be reduced by $610 ($305 * 2)
5. Service Revenue will be increased by $80 ($5,490 - $5,410).
Cash:
As per Trial Balance $5,912
1. Accounts receivable 270
4, Reduction (610)
Adjusted balance $5,572
Accounts Receivable
As per Trial Balance $5,240
1. Cash (270)
Adjusted balance $4,970
Equipment:
As per Trial Balance $6,100
2. Office expenses 3,088
Adjusted balance $9,188
Office Expenses:
As per Trial Balance $4,320
2. Equipment (3,088)
Adjusted balance $1,232
Service Revenue
As per Trial balance $5,200
3. addition 2,025
5. addition 80
Adjusted balance $7,305
In 2016, Gruman uses the machine for 1,700 hours and produces 40,000 units. In 2017, Gruman uses the machine for 1,200 hours and produces 34,000 units. If required, round your final answers to the nearest dollar. Required: Compute the depreciation for 2016 and 2017 under each of the following methods:
Answer:
Answer is explained in the explanation section below.
Explanation:
Note: This question is not complete and lacks necessary data and requirements to solve. However, I have found a similar question on the internet and will be using its data to solve for this question. Furthermore, it has not given the name of methods, so I will be solving for two methods, which are:
1. Straight Line Method
2. Sum of the years depreciation Method.
Solution:
Data Missing:
Machine Price = $198,000
Service Life = 5 years or 10,000 hours
Production = 180,000 units
Residual Value = $18000
Now, the data is complete and can be solved for the above mentioned methods of depreciation.
1. Straight Line Method:
As we know,
Asset Cost = $198,000
Residual Value = $18000
Life in Years = 5
Depreciation:
Formula for Straight Line Depreciation is:
(Asset Cost - Residual Value)/life in years
Plugging in the values:
Depreciation = ($198,000 - $18000)/5
Depreciation = $180,000/5
Depreciation = 36000
It will be same for both the years 2016 and 2017 as well.
2. Sum of the years Depreciation Method:
For this, we need to have the depreciable asset value:
Depreciable Asset Value = (Asset Value - Residual Value)
Depreciable Asset Value = ($198,000 - $18000)
Depreciable Asset Value = $180,000
Sum of the years for 2016
Number of years for 2016 = 5
Sum = 5 + 4 + 3 + 2 + 1 = 15
Number of years for 2017 = 4
So, the formula for depreciation is:
(Number of years for 2016/Sum of Years) x depreciable Asset Value
(5/15) x 180,000 = 60,000
Similarly, for 2017
(Number of years for 2017/Sum of Years) x depreciable Asset Value
(4/15) x 180,000 = 48,000
Hence,
1. Straight Line Method:
Depreciation for 2016 = 36000
Depreciation for 2017 = 36000
2. Sum of the years Depreciation Method:
Depreciation for 2016 = 60,000
Depreciation for 2017 = 48,000
As operations manager, you are concerned about being able to meet sales requirements in the coming months. You have just been given the following production report:
JAN FEB MAR APR
Units produced 2,195 1,695 2,695 2,895
Hours per machine 310 188 385 309
Number of machines 4 6 5 4
Find the average of the monthly productivity figures (units per machine hour). (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Answer:
The average of the monthly productivity figures (units per machine hour):
JAN FEB MAR APR
Units produced 2,195 1,695 2,695 2,895
Total machine hours 1,240 1,128 1,925 1,236
Average productivity 1.77 1.50 1.40 2.34
Explanation:
a) Data and Calculations:
Production report:
JAN FEB MAR APR
Units produced 2,195 1,695 2,695 2,895
Hours per machine 310 188 385 309
Number of machines 4 6 5 4
Total machine hours 1,240 1,128 1,925 1,236
b) Productivity, according to Organization for Economic Co-operation and Development (OECD), is the ratio between the output volume and the volume of inputs. This means that productivity measures compute how efficiently production inputs are used to produce output. It can be measured with respect to labor, capital, and other production inputs or in aggregate with respect to all production inputs.
Which of the following is not true about communisim? 1. it was outlined by Karl Marx in the famous text "Communist Manifesto". 2. It has a weak central government 3. Because the government makes production decisions, there tends to be a lot of shortages and surpluses. 4. There is public ownership of all enterprises.
Which of the following is not true about communisim? 1. it was outlined by Karl Marx in the famous text "Communist Manifesto". 2. It has a weak central government 3. Because the government makes production decisions, there tends to be a lot of shortages and surpluses. 4. There is public ownership of all enterprises.
Below are several transactions that took place in Seneca Company last year: Paid suppliers for inventory purchases. Bought equipment for cash. Paid cash to repurchase its own stock. Collected cash from customers. Paid wages to employees. Equipment was sold for cash. Common stock was sold for cash to investors. Cash dividends were declared and paid. A long-term loan was made to a supplier. Income taxes were paid to the government. Interest was paid to a lender. Bonds were retired by paying the principal amount due. Required: Indicate how each of the above transaction would be classified on a statement of cash flows. As appropriate, place an X in the Operating, Investing, or Financing column. Also, place an X in the Cash Inflow or Cash Outflow column.
Answer:
Note: Operating = A, Investing = B, Financing = C, Cash Inflow column = D, Cash Outflow column = E
A B C D E
a. Paid suppliers for inventory X X
purchases.
b. Bought equipment for cash. X X
c. Paid cash to repurchase its X X
own stock.
d. Collected cash from customers. X X
e. Paid wages to employees. X X
f. Equipment was sold for cash. X X
g. Common stock was sold for X X
cash to investors.
h. Cash dividends were declared X X
and paid.
i. A long-term loan was made to X X
a supplier.
j. Income taxes were paid to X X
the government.
k. Interest was paid to a lender. X X
l. Bonds were retired by paying X X
the principal amount due
A friend asks to borrow $55 from you and in return will pay you $58 in one year. If your bank is offering a 6% interest rate on deposits and loans: a. How much would you have in one year if you deposited the $55 instead
Answer:
$58.3
Explanation:
Interest = principal x interest x time
$55 x 0.06 x 1 = $3.3.
Amount = principal + interest
= $55 + $3.3. = $58.3
Prepare Krum Co.'s journal entries to record the following transactions involving its short-term investments in available-for-sale debt securities, all of which occurred during the current year. a. On August 1, paid $70,000 cash to purchase Houtte's 11%, six-month debt securities ($70,000 principal), dated August 1. b. On October 30, received a check from Houtte for 90 days' interest on the debt securities in transaction a
Answer and Explanation:
The journal entries are shown below:
On Aug 1
Short-term investments $70,000
To Cash $70,000
(Being the short term investment is recorded)
Here short term investment is debited as it increased the asset and credited the cash as it decreased the asset
On Oct 30
Cash ($70,000 × 11% × 90 days ÷ 360 days) 1,925
To Interest revenue $1,925
(Being the interest revenue is recorded)
here cash is debited as it increased the asset and credited the interest revenue as it also increased the revenue
Here we assume 360 days in a year
Presented below is financial information for two different companies. Compute the missing amounts. Sunland Company Coronado Company Sales revenue 88,720 enter a dollar amount (d) Sales returns and allowances enter a dollar amount 12160 (a) 4,850 Net sales 76,560 91,480 Cost of goods sold 52,220 enter a dollar amount (e) Gross profit enter a dollar amount 37710 (b) 37,320 Operating expenses 14,510 24,650 Net income enter a total net income amount (c) 12,670 eTextbook and Media Attempts: 0 of 3 used
Answer:
1) Cost of goods sold = $54,160
2) Sales Revenue = $96,330
3) Net Income = $23,200
Explanation:
a) Data and Calculations:
Sunland Company Coronado Company
Sales revenue 88,720 enter a dollar amount (d)
Sales returns and allowances enter a dollar amount 12160 (a) 4,850
Net sales 76,560 91,480
Cost of goods sold 52,220 enter a dollar amount (e)
Gross profit enter a dollar amount 37710 (b) 37,320
Operating expenses 14,510 24,650
Net income enter a total net income amount (c) 12,670
Sunland Company Coronado Company
Sales revenue $88,720 $96,330 (d)
Sales returns and allowances 12,160 4,850
Net sales 76,560 91,480
Cost of goods sold 52,220 54,160 (e)
Gross profit enter a dollar amount 37,710 37,320
Operating expenses 14,510 24,650
Net income $23,200 (c) $12,670
Missing figures:
e) (cost of goods sold) = Net sales minus gross profit:
= $91,480 - 37,320 = $54,160
d) (sales revenue) = Sales returns plus Net Sales
= $4,850 + $91,480
= $96,330
c) (net income) = Gross profit minus operating expenses:
= $37,710 - 14,510 = $23,200
Claremore Industries uses a weighted-average process-costing system. All materials are added at the beginning of the process; conversion costs are incurred evenly throughout production. The company finished 40,000 units during the period and had 15,000 units in progress at year-end, the latter at the 40% stage of completion. Total material costs amounted to $220,000; conversion costs were $414,000. The cost of the ending work in process is:
Answer: $78000
Explanation:
First, we have to calculate the total.costnoer equivalent unit which will be the addition of the material cost per unit and the conversion cost per unit. This will be:
Material cost per unit = $220,000 / (40,000+15,000)
= $220,000 / 55000
= $4
Conversion cost per unit= $414,000 / (40,000 + (15,000*40%)
= $414000 / 46000
= $9
Therefore, total cost per equivalent unit will be: $4 + $9 = $13
Then, the equivlant unit of the ending work in process would be calculated as:
= 15,000 × 40%
= 15000 × 40/100
= 15000 × 0.4
= 6,000
The cost of the ending work in process will then be:
= 6,000 × $13
= $78,000
Someone offers to buy your old Ford F-150 truck for 4 equal annual payments, beginning 2 years from today. If you think that the present value of your Ford Truck is only $9,000 and you assume the interest rate is 10%, which one of the below would be the minimum annual payment that youâ d be willing to accept? $2,839.24 $3,435.48 $3,123.16 $2,250
Answer:
$3,123.16
Explanation:
The computation of the minimum annual payment is as follows:
Given that
RATE = 10%
NPER = 10%
PV = $9,000 × (1 + 0.1) = $9,900
FV = $0
The formula is shown below:
= PMT(RATE,NPER,-PV,FV,TYPE)
After applying the above formula, the monthly payment is $3,123.16
Dollar General operates midsized retail stores in rural towns. It has been expanding the variety of products available in its stores. Some locations now offer fresh produce and an increased assortment of fresh or frozen food items. Dollar General hopes the addition of new products will lead existing customers to purchase more items when they shop, which will in turn increase revenues for the chain. This is an example of the _______ strategic alternative according to Ansoff's matrix.
Answer:
product development
Explanation:
The product development strategy is a strategy where the new products would be developed for the pre-existed market or for the present customers. As in the given situation, since dollar general produced for its existing customers
Therefore as per the given situation it is an example of product development
The following monthly data pertains to the Amnesty Company: Sales commissions 8,000 Delivery truck depreciation $2,500 Direct labor 45,000 Indirect labor 15,000 Direct materials 30,000 Indirect materials 4,000 Factory electricity and gas 8,000 Factory supervisor salary 12,000 Depreciation of factory building 7,000 Property taxes on corporate headquarters building 16,000 Determine the manufacturing overhead for the month.
Answer: $46000
Explanation:
The manufacturing overhead for the month will be calculated as:
Indirect labour = $15000
Add: Indirect material = $4000
Add: Factory electricity gas = $8000
Add: Factory supervisor salary = $12000
Add: Depreciation on factory building = $7000
Therefore, the total manufacturing overheads would be gotten by adding the above values together whihc will be equal to $46000.
On January 1, 2013, Springs Industries issued $18,000,000 of 10% ten-year bonds at 102. The bonds are callable at the option of Springs at 104. Springs pays interest annually and has recorded amortization of the bond premium on the straight-line method (which was not materially different from the effective-interest method). On December 31, 2019, Springs called in $6,000,000 of the bonds. Ignoring income taxes, Springs should report a gain or loss of:_________
Answer:
Springs should report a loss of $204,000
Explanation:
To be redeemed Premium on bonds payable = 6,000,000 * 2% = $120,000
The amortization of bond premium (annual) = 120,000/10 = $12,000
Bonds premium amortized in 7 years (From 2013 to 2019) = 12,000 * 7 = $84,000
Unamortized bond premium = 120,000 - 84,000 = $36,000
Carrying value of bonds = Face value of the bonds + un-amortized bond premium at the redemption date = 6,000,000 + 36,000 = $6,036,000
Redemption price of bonds = 6,000,000 * 104% = $6,240,000
Loss on bonds redemption = Redemption price - Carrying value of bonds = 6,240,000 - 6,036,000 = $204,000. So, Springs should report a loss of $204,000.
General Manufacturing expects to have 40,000 pounds of raw materials inventory on hand on June 30, the end of the current year. The company has budgeted the following production for the first four months of the coming year:
Production (units)
July 100,000
August 120,000
September 150,000
October 110,000
General Manufacturing desires each month's ending raw materials inventory to be 20% of the following month's production needs. A finished unit requires two pounds of raw materials. General Manufacturing's budgeted purchases of materials for September is:
a. 60,000 lbs.
b. 248,000 lbs.
c. 228,000 lbs.
d. 284,000 lbs.
e. 300,000 lbs.
Answer:
d. 284,000 lbs.
Explanation:
The computation of the budgeted purchase of material for the september month is as follows
= Raw material needed for production + closing stock - opening stock
= (150,000 × 2) + (110,000 × 2 × 20%) - 60,000
= 300,000 + 44,000 - 60,000
= 284,000 lbs
Hence, the budgeted purchase of material for the september month is 284,000 lbs
Current assets for two different companies at fiscal year-end are listed here. One is a manufacturer, Rayzer Skis Mfg., and the other, Sunrise Foods, is a grocery distribution company. Account Company 1 Company 2 Cash $ 13,000 $ 11,000 Raw materials inventory — 46,750 Merchandise inventory 49,750 — Work in process inventory — 34,000 Finished goods inventory — 54,000 Accounts receivable, net 58,000 72,000 Prepaid expenses 2,500 500 Required: 1. Identify which set of numbers relates to the manufacturer and which to the merchandiser. 2a. & 2b. Prepare the current asset section for each company from this information.
Answer:
Part 1
Manufacturer = Company 2
Merchandiser = Company 1
Part 2
Current Assets Section for Company 1
Current Assets $
Merchandise Inventory 41,500
Accounts Receivable, Net 60,000
Prepaid Expenses 5,000
Cash 7,000
Total Current Assets 113,500
Current Assets Section For Company 2
Current Assets $
Raw Materials Inventory 38,500
Work In Process Inventory 28,000
Finished Goods Inventory 48,000
Accounts Receivable, Net 70,000
Prepaid Expenses 1,000
Cash 5,000
Total Current Assets 190,500
Explanation:
Note : I have attached the full question as an image below !
On January 2, 2014, a calendar-year corporation sold 8% bonds with a face value of $1,500,000. These bonds mature in five years, and interest is paid semiannually on June 30 and December 31. The bonds were sold for $1,384,000 to yield 10%. Using the effective-interest method of computing interest, how much should be charged to interest expense in 2014
Answer:
$69,660
Explanation:
Calculation for how much should be charged to interest expense in 2014 Using the effective-interest method of computing interest
2014 Interest expense =($1,384,000 × .05) =
2014 Interest expense=[$1,384,000 + ($1,384,000 × .05 - $60,000)] × .05
2014 Interest expense=[$1,384,000 + ( $69,200- $60,000)] × .05
2014 Interest expense=[$1,384,000 +$9,200] × .05
2014 Interest expense=$1,393,200×0.05
2014 Interest expense=$69,660
Therefore Using the effective-interest method of computing interest, how much should be charged to interest expense in 2014 is $138,860
Xercise Cycles Company has provided its year ended accounts receivables that were uncollected. The Controller has asked you to help prepare the Aging of Accounts Receivable Schedule and the corresponding journal entries. Use the information included in the Excel Simulation and the Excel functions described below to complete the task.
1) Calculate the number of days unpaid, USING THE EXCEL DAYS FUNCTION (fx).
2) Use the information above to complete the Aging of Accounts Recievable Schedule Below.
Create a formula for each age category, using the Excel IF and AND FUNCTION (fx) to determine where each customer amount belongs.
3) Prepare the adjusting journal entry for recording bad debt expense if the allowance for doubtful accounts had the following unadjusted balance:
4) Prepare the adjusting journal entry for recording bad debt expense if the Allowance for Doubtful Accounts had the following unadjusted balance:
Answer:
In the number of days unpaid column (E8), input the formula; "=DAYS(D8, C8)" then copy it down to the last item on the table.
Explanation:
Answering just the first question, the DAYS function is used to calculate the difference between day timelines. The function accepts two parameters, the first date which is the current date we are subtracting from, and the second date which is the previous date.
5. Microeconomics and macroeconomics Determine whether each of the following topics would more likely be studied in microeconomics or macroeconomics. Microeconomics Macroeconomics The effect of government regulation on a monopolist's production decisions The effects of the Internet on the pricing of used cars The effect of federal government spending on the national unemployment rate
Answer:
Microeconomics
Microeconomics
Macroeconomics
Explanation:
Macroeconomics is a branch of economics that studies the economy as a whole. Macroeconomics studies economic aggregates such as inflation, unemployment, GDP and growth rate.
Microeconomics is a branch of economics that studies the decisions individuals and firms make in response to changes in economic factors. These factors include price, resources etc. it studies how firms and individuals allocate and make decisions about resources
Microeconomics: The effect of government regulation on a monopolist's production decisions.
Microeconomics: The effects of the Internet on the pricing of used cars.
Macroeconomics: The effect of federal government spending on the national unemployment rate.
The effect of government regulation on a monopolist's production decisions: This topic would likely be studied in microeconomics. Microeconomics analyzes the behavior of individual firms, and the impact of government regulation on a monopolist's production decisions falls within this domain. The study would explore how government policies and regulations influence the production output, pricing strategies, and market behavior of a monopolist.
The effects of the Internet on the pricing of used cars: This topic would also be studied in microeconomics. The Internet's impact on the pricing of used cars relates to how individual buyers and sellers interact in a specific market. Microeconomics would investigate how the availability of online platforms, increased access to information, and changes in buyer-seller dynamics affect the pricing decisions of used cars.
The effect of federal government spending on the national unemployment rate: This topic would be studied in macroeconomics. Macroeconomics focuses on the overall economy and aggregates like national income, employment, and inflation. The effect of federal government spending on the national unemployment rate is a macroeconomic question that looks at how government expenditures, such as infrastructure projects or stimulus packages, can influence the overall level of unemployment in the country.
To know more about macroeconomics here
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Concord Corporation had the following transactions during 2022: 1. Issued $190000 of par value common stock for cash. 2. Recorded and paid wages expense of $91200. 3. Acquired land by issuing common stock of par value $76000. 4. Declared and paid a cash dividend of $15200. 5. Sold a long-term investment (cost $4560) for cash of $4560. 6. Recorded cash sales of $608000. 7. Bought inventory for cash of $243200. 8. Acquired an investment in Zynga stock for cash of $31920. 9. Converted bonds payable to common stock in the amount of $760000. 10. Repaid a 6-year note payable in the amount of $334400. What is the net cash provided by financing activities
Answer:
The net cash provided by financing activities -$157,600.
Explanation:
Net cash provided by financing activities refers to the difference between the total cash inflows and total cash outflows from the financing activities section of the cash flow staement.
The net cash provided by financing activities can be calculated by preparing a partial cash flow statement as follows:
Concord Corporation
Net Cash Flow Statement (Partial)
As at December 31, 2022
Details Amount
Par value common stock issued for cash 190,000
Dividend declared and paid in cash (15,200)
6-year note payable repaid (334,400)
Net cash provided by financing activities (157,600)
Therefore, the net cash provided by financing activities -$157,600.
Alternatively, the net cash provided by financing activities can be calculated as follows:
Net cash provided by financing activities = Par value common stock issued for cash - Dividend declared and paid in cash - 6-year note payable repaid = $190,000 - $15,200 - $334,400 = -$157,600
The next 5 questions use the same below information. Company C had the following investment. Help them determine the financial statement implications of the investment. Tax rate 21% Estimated tax payment 21,000 Investment cost and ending fair values for 20X1 and 20X2: 20X1 20X2 Cost 100,000 100,000 Fair value 110,000 134,000 Total gain 10,000 34,000 20X1 income statement information: Sales 1,670,200 Expenses 1,536,600 What is net income for 20X1 assuming the investment is short-term?
Answer:
$143,600
Explanation:
Calculation for What is net income for 20X1 assuming the investment is short-term
Using this formula
Net income for 20X1 = Sales – Expenses + Unrealized gain on short-term investments
Let plug in the formula
Net income for 20X1 = $1,670,200 - $1,536,600 + $10,000
Net income for 20X1= $143,600
Therefore the net income for 20X1 assuming the investment is short-term will be $143,600
Firms engaging in ------------- with a local company can benefit from a local partner's knowledge of the host country's competitive conditions, culture, language, political systems, and business systems. turnkey projects joint ventures licensing arrangements greenfield investments
Answer:
B. joint venture
Explanation:
joint venture can be regarded as kind of business arrangement whereby there is agreement between
two or more parties in order to pool their resources together with the aim of accomplishing a particular task. It could be new project or others.
It should be noted that Firms engaging in joint venture with a local company can benefit from a local partner's knowledge of the host country's competitive conditions, culture, language, political systems, and business systems. turnkey projects joint ventures licensing arrangements greenfield investments
The following transactions occurred during March 2021 for the Wainwright Corporation. The company owns and operates a wholesale warehouse. Issued 48,000 shares of common stock in exchange for $480,000 in cash. Purchased equipment at a cost of $58,000. $19,000 cash was paid and a notes payable to the seller was signed for the balance owed. Purchased inventory on account at a cost of $114,000. The company uses the perpetual inventory system. Credit sales for the month totaled $210,000. The cost of the goods sold was $88,000. Paid $6,800 in rent on the warehouse building for the month of March. Paid $7,800 to an insurance company for fire and liability insurance for a one-year period beginning April 1, 2021. Paid $88,000 on account for the merchandise purchased in 3. Collected $73,000 from customers on account. Recorded depreciation expense of $2,800 for the month on the equipment. Post the above transactions to the below T-accounts. Assume that the opening balances in each of the accounts is zero. Prepare a trial balance from the ending account balances.
Answer:
Wainwright Corporation
1. T-accounts:
Cash
Accounts Titles Debit Credit
Common stock $480,000
Equipment $19,000
Rent Expense 6,800
Prepaid insurance 7,800
Accounts payable 88,000
Accounts receivable 73,000
Balance $431,400
Common Stock
Accounts Titles Debit Credit
Cash $480,000
Equipment
Accounts Titles Debit Credit
Cash $19,000
Notes payable 39,000
Balance $58,000
Notes Payable
Accounts Titles Debit Credit
Equipment $39,000
Inventory
Accounts Titles Debit Credit
Accounts payable $114,000
Cost of goods sold $88,000
Balance 26,000
Accounts Payable
Accounts Titles Debit Credit
Inventory $114,000
Cash $88,000
Balance 26,000
Cost of Goods Sold
Accounts Titles Debit Credit
Inventory $88,000
Sales Revenue
Accounts Titles Debit Credit
Accounts receivable $210,000
Accounts Receivable
Accounts Titles Debit Credit
Sales revenue $210,000
Cash $73,000
Balance 137,000
Rent Expense
Accounts Titles Debit Credit
Cash $6,800
Prepaid Insurance
Accounts Titles Debit Credit
Cash $7,800
Depreciation Expense
Accounts Titles Debit Credit
Accumulated depreciation $2,800
Accumulated Depreciation - Equipment
Accounts Titles Debit Credit
Depreciation Expense $2,800
2. Trial Balance
As of April 30, 2021:
Accounts Titles Debit Credit
Cash $431,400
Common stock $480,000
Equipment 58,000
Notes payable 39,000
Inventory 26,000
Accounts payable 26,000
Cost of goods sold 88,000
Sales revenue 210,000
Accounts receivable 137,000
Rent expense 6,800
Prepaid insurance 7,800
Depreciation expense 2,800
Accumulated depreciation 2,800
Totals $757,800 $757,800
Explanation:
To prepare T-accounts, just follow a simple step by posting each transaction to two accounts or more as the case may. After all transactions have been posted, balance the accounts by identifying the differences between the two sides of each account. Use the balances (where only one transaction is recorded in an account, that becomes the balance) to extract the Trial Balance.
A T-bill quote sheet has 90-day T-bill quotes with a 5.77 ask and a 5.71 bid. If the bill has a $10,000 face value, an investor could sell this bill for _____.
a. $9,857.25
b. $9,855.75
c. $9,859.21
d. $10,000
Answer:
a. $9,857.25
Explanation:
Price = Face value * (1 - Bid*Days/360)
Price = $10,000 * (1 - 5.71%*90/360)
Price = $10,000 * (1 - 5.71%*0.25)
Price = $10,000 * (1 - 0.014275)
Price = $10,000 * 0.985725
Price = $9,857.25
When McDonald's sells cheeseburgers in India, there is absolutely no beef or pork used. The McDonald's Menu in India features Indian burgers that are 100 percent vegetarian. India is predominantly a Hindu country, and Hindus are strict in terms of not eating beef because they consider the cow as a holy manifestation of the divinity. This scenario is an example of _______.
Answer:
This question is incomplete, the options are missing. The options are the following:
a) product innovation
b) product standarization
c) product variation
d) product adaptation
And the correct answer is the option D: Product adaptation.
Explanation:
To begin with, the term of "Product Adaptation" in the field of marketing and management is known to refer as the method that is necessary to use in order to adapt a company's strategy to a target audience that tends to be quite different that the usual audience. So in this case the most important thing to have in mind when applying a strategy like this is that the focus will be in the huge difference that the consumers have according to the regular ones, so when the managers see the difference they will be able to focus on a better product to give the consumers.
What term means the unused option when deciding how to use one's
resources.
Answer:
Opportunity cost
AudioCables, Inc., is currently manufacturing an adapter that has a variable cost of $0.60 per unit and a selling price of $1.20 per unit. Fixed costs are $14,000. Current sales volume is 30,000 units. The firm can substantially improve the product quality by adding a new piece of equipment at an additional fixed cost of $6,000. Variable costs would increase to $0.75, but sales volume should jump to 50,000 units due to a higher-quality product. a. What is the current profit and proposed profit of the sales of AudioCables
Answer:
The answer is "$4,000 and $2,500"
Explanation:
Formula:
[tex]\text{Profit = Sales - Total cost}[/tex]
[tex]= \frac{\text{Selling price}}{unit} \times \text{volume of Sale} - ( \text{Fixed cost} + \frac{\text{Variable cost}}{unit} \times \text{volume of Sale})[/tex]
[tex]= 1.20 \times 30000 - ( 14,000 + 0.6 \times 30,000)\\\\= 36,000 -( 14,000 + 18,000)\\\\= 36,000 - 14,000 - 18,000 \\\\= 36,000 - 32,000 \\\\= \$ 4,000[/tex]
The scenario was revised by installing new audio connection equipment:
The volume of revised sales[tex]= 50,000[/tex]
Fixed cost updated [tex]= \$ 41,000 + \$ 6,000 = \$ 20,000[/tex]
Cost of the updated component [tex]= \frac{\$ 0.75}{unit}[/tex]
Unchanged purchase price/unit [tex]= \frac{\$ 1.2}{unit}[/tex]
[tex]= 1.2 \times 50,000 -(20,000 + 0.75 \times 50,000)\\\\= 60,000 -(20,000 + 37,500)\\\\= 60,000 -(57,500)\\\\= 60,000 -57,500 \\\\ =2,500[/tex]
Audio cable sales are actually profiting = 4,000
Proposal for audio cable sales profit = 2,500
Mrs. Sarr operates a business in a competitive market. The current market price is $8.10. At her profit-maximizing level of production, the average variable cost is $8.00, and the average total cost is $8.25. Mrs. Sarr should shut down her business in the short run but continue to operate in the long run.
A. True
B. False
Answer:
B. False
Explanation:
Given that
Current market price = $8.10
Average variable cost = $8
And, the average total cost = $8.25
As we can see that the current market price is more than the average variable cost so it would be operate in the short run
Also the total cost is more than the current market price so it would be shut down in the long run
Therefore the given statement is false
Your SWOT analysis reveals no obvious options for growth with your current product lines. So you decide to use some retained earnings the firm has been saving and launch new product lines. After careful analysis you decide to launch a line of battery chargers and, separately, a line of ceiling fans. Which corporate-level strategy are you pursuing
Answer:
Unrelated diversification.
Explanation:
Analyzing the information above, it is correct to say that the company is using the corporate level strategy of unrelated diversification.
This strategy occurs when a company decides to expand its product line by diversifying products that are not related to each other, as is the case above, where it is intended to launch a line of battery chargers and separately a line of ceiling fans. As these products do not correlate, the company is looking to start its activities in different types of market, which can be configured as a positive strategy for market gain and greater profitability for the company.
choosing a computer that costs_____ instead of one that cost ____
means that youll have less money available for other purchases
a 1700 1900
b 1700 1800
c 1800 1700
d 1800 1900