You are considering an investment in Cruise, Inc. and want to evaluate the firm's free cash flow. From the income statement, you see that Cruise earned an EBIT of $203 million, paid taxes of $50 million, and its depreciation expense was $74 million. Cruise's gross fixed assets increased by $71 million from 2017 to 2018. The firm's current assets decreased by $11 million and spontaneous current liabilities increased by $6.1 million. What is Cruise's operating cash flow, investment in operating capital and free cash flow for 2018, respectively in millions

Answers

Answer 1

Answer: See explanation

Explanation:

Cruise's operating cash flow would be calculated as:

= EBIT + Depreciation + Taxes

= 203 + 74 - 50

= $227 million

Cruise's investment in operating capital will b calculated as:

= 71 - 11 - 6.1

= $53.9 million

Cruise's free cash flow for 2018 will be calculated as:

= operating cash flow - investment in Operating capital

= 227 - 53.9

= $173.1 million

Answer 2

Answer and Explanation:

The computation is shown below:

Operating cash flow = EBIT - taxes + depreciation expense

= $203 million -$50 million + $74 million

= $227 million

The investment in operating capital is

= Gross fixed asset - decrease in current asset + increase in current liability

= $71 million - $11 million + $6.1 million

= $66.1 million

And, the free cash flow is

= Operating cash flow - investment in operating capital

= $227 million - $66.1 million

= $160.90 million


Related Questions

At the end of January, the first month of the business year, the usual adjusting entry transferring rent earned from the unearned rent account to a revenue account was omitted. Indicate which items will be incorrectly stated, because of the error, on (a) the income statement for January and (b) the balance sheet as of January 31. Also indicate whether the items in error will be overstated or understated.

Answers

Answer and Explanation:

a. In the case of the income statement

Revenues would be understated as the revenue is not credited

Expenses would remain unchanged

Net income would be understated due to the revenues

b. In the case of the balance sheet

Asset would remain unchanged

Liabilities would be overstated as the rent would not be transferred

Owner equity would be understated as there is a lower net income that low the retained earnings so automatically the owner equity would be understated

Sheffield Corp. purchased land as a factory site for $1345000. Sheffield paid $116000 to tear down two buildings on the land. Salvage was sold for $8100. Legal fees of $5080 were paid for title investigation and making the purchase. Architect's fees were $46500. Title insurance cost $3500, and liability insurance during construction cost $3800. Excavation cost $15660. The contractor was paid $4200000. An assessment made by the city for pavement was $9500. Interest costs during construction were $257000. The cost of the land that should be recorded by Sheffield Corp. is

Answers

Answer:

$1,470,980

Explanation:

Calculation for what The cost of the land that should be recorded by Sheffield Corp. is

Using this formula

Cost of the land=Purchased land+ Payment for buildings on the land-Salvage sold+Legal fees+Insurance cost+Assessment cost

Let plug in the formula

Cost of the land=$1,345,000 + $116,000 - $8,100 + $5,080 + $3,500 + $9,500

Cost of the land= $1,470,980

Therefore The cost of the land that should be recorded by Sheffield Corp. is $1,470,980

You are contemplating between four possible interest rate structures. The rates are as follows: annual effective rate of 12% annual nominal rate of 12% compounded monthly annual nominal rate of 8% compounded quarterly annual nominal rate of 10% compounded semiannually You wish to deposit $1,000 into a fund for 2 years. Calculate the difference between the largest and smallest possible accumulated values of your deposit at the end of 2 years.

Answers

Answer:

The difference between the largest and smallest possible accumulated values of the deposit at the end of 2 years is $98

Explanation:

Annual effective rate of 12%

FV = PV * (1+i)^n

FV = $1,000 * (1+0.12)^2

FV = $1,000 * 1.2544

FV = $1,254.

Annual nominal rate of 12% compounded monthly

FV = PV * (1+i)^nm

FV = $1,000 * (1+0.01)2^12

FV = $1,000 * (1+0.01)^24

FV = $1,000 * 1.2697

FV = $1,270

Annual nominal rate of 8% compounded quarterly

FV = PV * (1+i)^nm

FV = $1,000 * (1+0.02)2*4

FV = $1,000 * (1+0.02)^8

FV = $1,000 * 1.171659

FV = $1,172

Annual nominal rate of 10% compounded semiannually

FV = PV * (1+i)^n

FV = $1,000 * (1+0.05)^2*2

FV = $1,000 * (1+0.05)^4

FV = $1,000 * 1.215506

FV = $1,216

So, the difference between the largest and smallest possible accumulated values is $98 ($1,270 - $1,172)

You are preparing pro forma financial statements for 2017 using the percent-of-sales method. Sales were $100,000 in 2016 and are projected to be $120,000 in 2017. Net income was $5,000 in 2016 and is projected to be $6,000 in 2017. Equity was $45,000 at year-end 2015 and $50,000 at year-end 2016. Assuming that this company never issued new equity, never repurchased equity, and never changes its dividend payout ratio, what would be projected for equity at year-end 2017

Answers

Answer:

just add it all up then there u go

A Saudi Arabian government-run hospital hired American Scott Nelson to be an engineer. The parties signed the employment agreement in the United States. On the job, Nelson reported that the hospital had significant safety defects. For this, he was arrested, jailed, and tortured for 39 days. Upon his release to the United States, Nelson sued the Saudi government for personal injury. Can Nelson sue Saudi Arabia

Answers

Answer:

No, Nelson cannot sue. The US Supreme Court ruled that regardless of the monstrous activities carried out by the Saudi government and the fact that they tend to solve commercial disputes by putting people in jail and torturing them, the events happened in Saudi Arabia. And they were not related to the contract signed by Nelson, the police and the hospital are considered sperate entities by the US laws.

The court recognized that Saudi behavior was really bad, but they had jurisdiction over it. This is a strictly police matter. Saudi Arabia and most Arab states are known for these type of activities, but people continue to go to work there because they offer high salaries. They forget that a golden cage is still a prison.

A firm produces truffles by using labor and capital. The price of labor is $10 per unit, and the price of capital is $20 per unit. At current output level, the marginal product of labor is 40 truffles and the marginal product of capital is 60 truffles. To reduce the total cost of producing the current quantity of truffles, how should the firm change its spending on labor and capital

Answers

Answer: See explanation

Explanation:

With the information given in the question, the firm should change its spending on labor and capital by increasing its labor and at thesame time, also reducing capital.

This is because since the marginal product of labor is 40 truffles and the price of labor is $10 per unit, it means that 4 truffles/dollar is being spent on labor, while for capital, 3 truffles/dollar is being spent.

In the fall of 2014, China and the United States agreed to expand the Information Technology Agreement to drop tariffs on a number of technology products. This is an example of_________ reducing protectionist measures.

Answers

Answer:

Free trade policy.

Explanation:

Trade can be defined as a process which typically involves the buying and selling of goods and services between a producer and the customers (consumers) at a specific period of time.

In the fall of 2014, China and the United States agreed to expand the Information Technology Agreement to drop tariffs on a number of technology products. Therefore, this is an example of free trade policy reducing protectionist measures.

Free trade policy includes the adoption and implementation of tariffs and quotas between countries.

Trade policies tariffs and quotas will most likely benefit domestic producers of the protected good and harm domestic consumers of the protected good as they're made to pay for the consumption of imported products. Hence, under free trade there are more societal benefits due to the specialization of domestic goods.

Tariffs can reduce both the volume of exports and imports in a country.

In order to generate revenues, domestic government make use of tariffs while quotas do not generate any revenue for them.

Brody Corp. uses a process costing system in which direct materials are added at the beginning of the process and conversion costs are incurred uniformly throughout the process. Beginning inventory for January consisted of 1,030 units that were 75% completed. 10,000 units were started into the process during January. On January 31, the inventory consisted of 400 units that were 40% completed. What would be the equivalent units for conversion cost using the weighted average method

Answers

Answer:

Equivalent units for conversion cost is 10,790 units

Explanation:

Completed and Transferred (1,030 + 10,000 - 400) x 100 % = 10,630

Ending Work In Process 400 x 40%                                         =     160

Total  equivalent units for conversion cost                              = 10,790

Complete the following statements with one of the terms listed here. You may use a term more than​ once, and some terms may not be used at all. Prime costs Cost objects Product costs Assigned Direct costs Fringe benefits Period costs Assets Cost of goods sold Indirect costs Conversion costs Total costs

Answers

Answer:

Follows are the solution to this question:

Explanation:

The Conversion costs applied on the direct materials into finished products is transformation price.The Period costs include costs for research and innovation, marketing, allocation, and also customer service.The direct material, extra production overhead, is equivalent to Prime costs.In the installation of a car metal, tires, motors, poling, floorboards, and dashboards have been used. Even though manufacturing companies can trace the cost to multiple ones or batches of automobiles for components (such as cargo and importation duties), such expense to cars are considered Direct costs.The costs are the costs, that can be tracked instantly to a(n) Cost objects are Direct costs.Initially, Product costs are known to income statement Assets.A much less accurate cost figure for both the Cost Object is allocated to the Assigned.Indirect costs could not be traced directly to Cost objects.The prices of the entire supply (Total costs) chain comprise the prices of all resources.

Sandhill uses the conventional retail method to determine its ending inventory at cost. Assume the beginning inventory at cost (retail) were $386000 ($590000), purchases during the current year at cost (retail) were $1975000 ($3220000), freight-in on these purchases totaled $125000, sales during the current year totaled $2920000, and net markups (markdowns) were $68000 ($104000). What is the ending inventory value at cost

Answers

Answer:

$567,056

Explanation:

Cost :

Merchanidize available for sale

= Beginning inventory + Purchases + Freight in

= $386,000 + $1,975,000 + $125,000

= $2,486,000

Retails:

Merchandize available for sale:

= Beginning inventory + Purchases + Markups

= $590,000 + $3,220,000 + $68,000

= $3,878,000

Ending inventory at retail = Retail total -markdowns - Net sales

= $3,878,000 - $104,000 - $2,920,000

= $854,000

Cost to retail ratio = $2,486,000 ÷ ($2,920,000 + $854,000)

= $2,486,000 ÷ $3,744,000

= 66.40%

Ending inventory at retail = $854,000

And

Cost to retail ratio = 66.40%

Therefore,

Ending inventory at cost = $854,000 × 66.40% = $567,056

Take a moment to practice identifying a single, researchable question for the following issues:

a. A company ships its widgets to a customer on December 31 but has not yet collected payment from the customer. The customer has promised to pay within 30 days but has never purchased good with this company before. Researchable question?
b. A customer is suing the local grocery store for a slip-and-fall incident. The grocery store believes the lawsuit will likely be considered frivolous and rejected by the court. The grocery store must decide whether to record or disclose this matter. Researchable question?

Answers

Answer:

Identifying a single, researchable question for the stated issues:

a. How probable will it be that this customer pays within 30 days?

b. How probable is it for a liability to arise from this lawsuit?

Explanation:

A good research question should be specifically focused on a single issue or some closely related ideas. This will ensure the generation of a good thesis statement.  A research question that is too general or is not focused on one topic makes it difficult to carry out the research.  The only solution will be to narrow down the topic to a single researchable issue.  A good research question provides a clear direction.  It should provide the basis for meaningful understanding of an issue through investigation.

The next dividend payment by Hoffman, Inc., will be $2.65 per share. The dividends are anticipated to maintain a growth rate of 4.5 percent forever. If the stock currently sells for $43.15 per share, what is the required return

Answers

Answer:

10.6%

Explanation:

The next dividend payment for Hoffman is $2.65

The growth rate is 4.5%

The stock currently sells at $43.15

The required return can be calculated as follows

= 2.65/43.15 + 4.5/100

= 0.0614 + 0.045

= 0.1064× 100

= 10.6%

Hence the required return is 10.6%

Northwest Hospital is a full-service hospital that provides everything from major surgery and emergency room care to outpatient clinics.

Required:
For each of the following costs incurred at Northwest Hospital, indicate whether it would most likely be a direct cost or an indirect cost of the specified cost object

Cost Cost Object Direct cost/indirect Cost

Ex. Catered food served to patients A particular patient
The wages of pediatric nurses The pediatric department
Prescription drugs A particular patient
Heating the hospital The pediatric department
The salary of the head of pediatrics The pediatric department
The salary of the head of pediatrics A particular pediatric patient
Hospital chaplain's salary A particular patient
Lab tests by outside contractor A particular patient
Lab tests by outside contractor A particular department

Answers

Answer:

   Cost and Cost object / Explanation

a. The wages of pediatric nurses/The pediatric department

The wages of pediatric nurses are the costs and the pediatric department is the cost object and are directly related to each other. Wages is an element of direct cost. The wages of pediatric nurses relating to the pediatric department are Direct costs.

b. Prescription drugs / A particular patient

The prescription drugs are the costs and a particular patient is the cost object. The prescription drugs are direct costs as such costs are directly attributable to the treatment of a particular patient. This cost is incurred in direct proportion to the requirement of the pediatric patient.

c. Heating the hospital / The pediatric department

The cost of heating the hospital is an indirect cost as it is not directly required for the treatment of the pediatric patient. The cost of heating the hospital is to be incurred irrespective of the number of patients. It is a fixed cost and is not related to the level of activity.

d. The salary of the head of pediatrics / The pediatric department

The expenses of pediatric department are dependent upon the number of pediatric patients as it is the principal source of revenue for the department. The salary of the head of pediatrics relating to the pediatric patient is directly related to the number of pediatric patients. Thus, it is a direct cost.

e. The salary of the head of pediatrics / A particular pediatric patient

The treatment of the particular patient involves certain fixed or variable costs. The salary of the head of pediatrics is not directly relevant for the treatment of the particular patient. Thus, it is an indirect cost.

f. Hospital chaplain's salary / A particular patient

Hospital chaplain’s salary relating to a particular patient is not directly related to the patient. It is an indirect cost as it is a period cost or fixed cost. It has to be incurred irrespective of the number of patients.

g. Lab tests by outside contractor / A particular patient

Lab test is for the treatment of a particular patient due to which it is considered as a direct cost for the hospital. Lab tests by outside contractor relating to a particular patient is a direct cost as the nature of the expense is variable.  

h. Lab tests by outside contractor / A particular department

This cost is a direct cost as it relates to a particular department and not the entire hospital. Lab tests by outside contractor relating to a particular department is a direct cost as the nature of the expense is variable.

On September 1, Capitol Maintenance Company contracted to provide monthly maintenance services for the next seven months at a rate of $2,300 per month. The client paid Capitol $16,100 on September 1. The maintenance services began on that date. Assuming Capitol records deferred revenues using the alternative treatment, what would be the adjusting entry recorded on December 31

Answers

Answer:

Debit Unearned Revenue, Credit Service Revenue for $9,200

Explanation:

Date      Account Titles                      Debit     Credit

Sept 1    Cash                                     $16,100

                   Unearned service revenue           $16,100

Dec 31    Unearned service revenue $9,200

                     Service Revenue                          $9,200

                     ($2300 * 4 months)

Use the following Year 3 data: Other Selling and Administrative Expenses $ 1,052,000 Other Expenses 249,300 Sales Revenue 4,887,000 Advertising and Promotion Expenses 553,350 Salaries and Wages Expense 2,527,800 Income Tax Expense 167,350 Interest Expense 114,750 Required: Prepare the annual income statement for Kvass, Inc.

Answers

Answer:

$222,450

Explanation:

Computation of annual income statement for Kvass Inc. is shown below

Sales revenue

$4,887,000

Less:

Selling and admn expenses

($1,052,000)

Other expenses

($249,300)

Advertising and promotion expenses

($553,350)

Salaries and wages expenses

($2,527,800)

Income tax expenses

($167,350)

Interest expense

($114,750)

Net income

$222,450

Data pertaining to the postretirement health care benefit plan of Danielson Delivery Service include the following for the current calendar year: Service cost $ 150,000 APBO, January 1 $ 800,000 Plan assets (fair value), January 1 $ 80,000 Prior service cost (current year amortization, $2,000) $ 90,000 Retiree benefits paid (end of year) $ 90,000 Net gain (current year amortization, $1,000) $ 92,000 Contribution to health care fund (end of year) $ 85,000 Return on plan assets (actual and expected) 10 % Discount rate 8 % Required: 1. Determine Danielson's postretirement benefit expense for the current year.

Answers

Answer: $‭207,00‬

Explanation:

Postretirement benefit for the year is:

= Service cost + Interest cost + Amortization of prior service cost - Return on plant assets - Amortization of net gain

Interest cost = Discount rate *  Actual Projected benefit obligation (APBO)

= 8% * 800,000

= $64,000

Return on plant assets = Return on plan assets (actual and expected)* Plan assets

= 10% * 80,000

= $8,000

Postretirement benefit = 150,000 + 64,000 + 2,000 - 8,000 - 1,000

= $‭207,000‬

Match each term on the left with the best definition on the right. Note: Not all definitions will be used. A detailed record of costs incurred to complete a specific job. A source document that shows how a worker spent time each week. An accounting system used by companies to make standardized or homogeneous products or services. An accounting system used by companies that offer customized or unique products or services. Major inputs that can be directly and easily traced to a product, job or service. Hands-on work that goes into producing a product, job or service. Costs not easily traceable to producing a product, job or service. The amount of actual overhead is greater than the applied overhead. A form that lists the quantity of direct materials to be used in a job. Indirect costs that are allocated to each job. Estimated manufacturing overhead divided by estimated cost driver. A measure that causes or influences the incurrence of a cost. Total cost divided by units produced. The amount of actual overhead is less than the applied overhead. Actual direct materials plus actual direct labor plus applied manufacturing overhead.

Answers

Answer:

the answer is the 1st with the 3rd 2nd with the 1st 3th with the 4th and4th with 2nd

Explanation:

i think

With gasoline prices at $3.00 per gallon, consumers are flocking to purchase hybrid vehicles (combination of gasoline and electric motors) that get 50 miles per gallon of gasoline. The monthly payment on a three-year lease of a hybrid is $499 compared to $399 per month on a conventional, equivalent traditional gasoline car that gets 25 miles per gallon. Both vehicles require a one-time $1,500 payment for taxes, license, and dealer charges. Both vehicles have identical lease terms for the residual value, maximum number of miles allowed without penalty, and so forth.

Required:
a. Calculate how many miles the consumer must drive per year to make the hybrid the economical choice over the conventional gasoline-only vehicle.
b. How does your answer to part (a) change if the price of gasoline is $4.00per gallon?

Answers

Answer and Explanation:

The computation is shown below:

a. The number of miles driven  per year is

Let us assume the mileage be M

Now

$499 + M ($3 ÷ 50) = $399 + M ($3 ÷ 25)

$100 = M(0.12 - 0.06)

M = $100 ÷ 0.06

= 1,666.66 miles per month

For year, it is

= 1,666.66 × 12

= 20,000 miles per year

c. Now in the case when the gasoline price is $4 per gallon

$499 + M ($4 ÷ 50) = $399 + M ($4 ÷ 25)

$100 = M(0.16 - 0.08)

M = $100 ÷ 0.08

= 1,250 miles per month

For year, it is

= 1,250 × 12

= 15,000 miles per year

The following are independent situations.

a. A new company is formed and shareholders invest $12,000 cash.
b. A company purchases for $18,000 cash a new truck that has a list price of $21,000.
c. A company pays stockholders a $10,000 cash dividend.
d. A company purchases a piece of land for $50,000 cash. An appraiser suggests that the value of this land is $55,000.
e. A company declares dividends of $1,100 to the shareholders but does not pay them yet; the company will pay these dividends in 60 days.
f. A company has to pay monthly wages of $5,600 to its employees; the company will pay them in two weeks.

Required:
1. Indicate the appropriate account titles, if any, affected in each of the preceding events. Consider what is received and what is given.
2 At what amount would you record the truck in (b)? The land in (h)? What measurement principle are you applying?
3. For (c), what accounting concept did you apply? For (J), what accounting concept did you apply?

Answers

Answer:

1. Indication of the appropriate account titles:

a. Cash ($12,000) is received, Common Stock ($12,000) is given.

b. Truck ($18,000) is received, Cash )$18,000) is given.

c. Dividend ($10,000) is incurred, Cash ($10,000) is given.

d. Land ($50,000) is received, Cash ($50,000) is given.

e. Dividend ($1,100) is incurred, Dividend Payable ($1,100) will be given.

f. Wages ($5,600) are incurred, Wages Payable ($5,600) will be given.

2. Truck will be record at $18,000.

b. Land in d will be recorded at $50,000.

The measurement principle being applied is the cost basis.

3. The accrual concept is applied for 'c.'

The accrual concept is applied for 'f' also.

Explanation:

Purchased assets are recognized at cost.  This is the amount paid for the acquisition of the asset.  The value of the asset may vary after the initial recognition.  This is when the fair value of the asset is considered.  The purpose is to recognize assets at the values they be sold or bought in the market.

Does iced tea or hot tea brew faster? Im starting a tea buisness

Answers

Hot tea brews faster

Answer:

Hot tea brews faster than iced

Explanation:

Lois tells Stew he can buy her pool house for $100,000. Stew is so excited to own a home of his own that he leaves a $10,000 check in her mailbox as a starting payment on the pool house. Then, he begins remodeling the pool house, spending $3,000 in repairs and improvements. Lois decides she made a big mistake and attempts to cancel this agreement. The most likely outcome will be:

Answers

Answer:

The most likely outcome would be that Lois will still have to sell Stew the house

Explanation:

The most likely outcome would be that Lois will still have to sell Stew the house. This is mainly because Lois accepted Stew's offer of $100,000 and Stew already fulfilled part of the agreement. By simply paying the $10,000 that he left Stew he has already fulfilled part of his side of the agreement which solidifies the agreement and makes it legally binding. Therefore, he would most likely win a court case if Lois decides to back out of the agreement.

In July 2012, a small chocolate factory receives a large order for chocolate bars to be delivered in November. The spot price for Cocoa is $2,400 per metric ton. It will need 10 metric tons of Cocoa in September to fill this order. Because of limited storage capacity and volatility in the world cocoa prices, the company decides the best strategy is to buy 10 call options for $53 each with strike price of $2,400 (equal to the current price) with a maturity date of September 2012. When the options expire in September, how much will the company pay (including the cost of the options) for cocoa if the spot price in September proves to be $2,600

Answers

Answer:

$24,530, $23,530

Explanation:

Incomplete word "and if the spot price in September proves to be $2,300."

Note that Call options will be exercised only if the price on expiry is greater than strike price

Strike price = $2400

Premium paid = $53 for each contract, so the total premium paid = $530 for 10 contracts

CASE 1

Price = $2600

As price on expiry=2600 > Strike price=2400

Call option will be exercised.

Company will pay = $2400 * 10+530 = $24,530

CASE 2

Price = $2300

As price on expiry=2300 < Strike price=2400

Call option will not be exercised and will purchase from open market

Company will pay = $2300 * 10+530 = $23,530

On discovering an improperly adjusted drill press, Jack Joyner, Director of Quality Control, ordered an inspection of every fifth casting drilled during the evening shift. Less than 1% of the sampled castings were defective; so, Jack released the evening shift's production to assembly. This is an example of _______________.

Answers

Answer:

Inferential statistics

Explanation:

Here, every fifth casting drill during evening shift is selected to identify the defectiveness of the casting. That is, every drill is considered as the sample. It is clear that the inference about the population is made. That is, less than 1% of the casting was defective, hence, it is concluded that is an example of inferential statistics

Caroline is an unmarried single mother of a 14 year old son in 2020. Caroline's spouse and the son's father, Frank, died during 2018. Caroline's Adjusted Gross Income for 2020 is 54,000. Caroline's itemized deductions are $10,000. What is Caroline's computed Income Tax Liability for 2020 BEFORE CONSIDERING ANY TAX CREDITS

Answers

Answer:

the income tax liability for the year 2020 is $9,680

Explanation:

The computation of the income tax liability for the year 2020 is as follows:

= (Adjusted gross income) - (itemized deductions) × tax rate

= ($54,000 - $10,000) × 0.22

= $44,000 × 0.22

= $9,680

We assume the tax rate be 22%

hence, the income tax liability for the year 2020 is $9,680

Identify the accoun title.

1. A new company is formed and shareholders invest $12,000 cash.
2. A company purchases for $18,000 cash a new truck that has a list price of $21,000.
3. A company pays stockholders a $10,000 cash dividend.
4. A company purchases a piece of land for $50,000 cash. An appraiser suggests that the value of this land is $55,000.
5. A company declares dividends of $1,100 to the shareholders but does not pay them yet; the company will pay these dividends in 60 days.
6. A company has to pay monthly wages of $5,600 to its employees; the company will pay them in two weeks.

Answers

Answer:

1. On formation of new Company and receipt of cash of $ 12,000 from shareholders

Cash Dr    $ 12,000

To Share capital Cr $ 12,000

2. On purchase of truck for $ 18,000

  Truck A/c Dr $ 18,000

To Cash    Cr    $ 18,000

(Though list price of truck is $ 21,000, but in accounts only the purchase price will be recorded as its cost borne by the company.)

3. On payment of dividend in cash

Dividend A/c    Dr $ 10,000

  To Cash Cr    $ 10,000

4. On purchase of land

Land A/c Dr $ 50,000

To cash    Cr    $ 50,000

( On purchase of land on payment of $ 50,000).

There is another method of accounting of land value based on valuation by appraiser. If Company wants to record based on valuation by Appraiser, the accounting will be recorded as under:

Land A/c Dr    $ 55,000

To Cash    Cr    $ 50,000

To gain on purchase of land    Cr $ 5,000

5 On declaration of dividend

Dividend A/c Dr    $ 1,100

  To Dividend Payable A/c Cr $ 1,100

On payment of dividend after 60 days

Dividend payable A/c    Dr    $ 1,100

To Cash    Cr $ 1,100

6. After each month wages will be due to its workers, then accounting entry will be recorded as under

Wages A/c    Dr    $ 5,600

To Wages payable A/c    Cr $ 5,600

After two weeks, on payment of wages, the accounting entry will be recorded as under

Wages payable A/c    Dr $ 5,600

  To cash Cr    $ 5,600

Explanation:

1. The shareholder that will be invested with the help of the cash:

Cash Dr    $ 12,000

To Share capital Cr $ 12,000

What is an account title?

The specific name given to an item inside of an accounting system is known as the account title.

2. The company purchased a truck this was with the help of the cash

Truck A/c Dr $ 18,000

To Cash    Cr    $ 18,000

3. Cash payment was made for the stockholders

Dividend A/c    Dr $ 10,000

To Cash Cr    $ 10,000

4. The company was to make sure that there will be cash and profit for both

Land A/c Dr    $ 55,000

To Cash    Cr    $ 50,000

To gain on purchase of land    Cr $ 5,000

5 On declaration of dividend

Dividend A/c Dr    $ 1,100

To Dividend Payable A/c Cr $ 1,100

Next entry will be

Dividend payable A/c    Dr    $ 1,100

To Cash    Cr $ 1,100

6. monthly wages of $5,600

Wages A/c    Dr    $ 5,600

To Wages payable A/c    Cr $ 5,600

Next entry will be:

Wages payable A/c    Dr $ 5,600

To cash Cr    $ 5,600

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Jeremy purchases a share in a company. What rights does he possess after the purchase?
Jeremy is a (bond issuer, shareholder, or security?) of the company. Therefore, he gets the right to be a partial (employee, owner or supplier?). This means when board members declare dividends, he is entitled to (income, promotion or pay hike?). He has the right to (store, supply or sell?) these shares whenever he wants. He can also look into the company's annual reports and sue for discrepancies.​

Answers

Answer:

Shareholder, owner, income, sell

Explanation:

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Jeremy purchases a share in a company. He possess after the purchase so he has the right to (store, supply or sell?) these shares whenever he wants. The correct option is (D).

What do you mean by the share?

Shares are fractional ownership interests in a corporation. For some businesses, shares are a type of financial instrument that allows for the equitable distribution of any declared residual profits in the form of dividends.

A stock with no dividend payments does not distribute its income to its shareholders.

Anyone who holds at least one share of a company's stock or unit in a mutual fund is referred to as a shareholder. The firm is primarily owned by its shareholders, who also have specific rights and obligations.

Therefore, Jeremy purchases a share in a company. He possess after the purchase so he has the right to (store, supply or sell?) these shares whenever he wants.

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The name for a variety of methods used to examine how an amount will change if factors involved in predicting that amount change is: Cost analysis. Cost-volume-profit analysis. Sensitivity analysis. Contribution margin analysis. Factor analysis.

Answers

Answer:

Sensitivity analysis.

Explanation:

Sensitivity analysis studies how an economic variable would change due to changes in one of the input variables.

Due to the fact that the future is uncertain, it would be wise to accommodate a varying range of scenarios to be able to be well prepared for the future.

Sensitivity analysis involves changing one input at a time to determine how they would affect results.

For example, in determining NPV, there can be different ranges of discount rate

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Project1 costs, Year 1 through Year 4: $100,000; $100,000;$100,000;$100,000 Project1 revenue, Year 1 through Year 4: $0; $5,000;$50,000;$110,000 Calculate ROI for Project1, using a 7 percent discount rate. Discount factor, Year 1 through Year 4: 0.93; 0.87; 0.82; 0.76 Fill in the following blanks - just type the numbers without labels, dollar signs, commas, etc.

Answers

Answer and Explanation:

Without discounting :

Return on investment(ROI) for year 1 = -$100000

Return on investment(ROI) for year 2 = -$95000

Return on investment(ROI) for year 3 =-$50000

Return on investment(ROI) for year 4 =$10000

With discounting(PV/(1+r)^n):

Return on investment for year 1 = 0.93×-$100000= -$93000

Return on investment for year 2= 0.87×-$95000= -$82650

Return on investment for year 3 = 0.82×-$50000=-$41000

Return on investment for year 4=

0.76×$10000= $7600

Direct Materials Used in Production
Slapshot Company makes ice hockey sticks. On June 1, Slapshot had $48,000 of materials in inventory. During the month of June, the company purchased $132,000 of materials. On June 30, materials inventory equaled $45,000.
Required:
Calculate the direct materials used in production for the month of June.

Answers

Answer:

$135,000

Explanation:

The direct materials used in production for the month of June is computed as;

= Materials inventory at June 1 + Materials purchased during the month of June - Materials inventory at June 30

= $48,000 + $132,000 - $45,000

= $135,000

Therefore, the direct materials used in production for the month of June is $135,000

The sole proprietor of Sam's Swings is interested in gaining a better understanding of his current customers in terms of certain demographic and lifestyle characteristics so he may better serve their needs. For this purpose, he should most appropriately conduct ________ research.

Answers

Answer:

Descriptive.

Explanation:

This is explained to be be a form of study that shows to be done in a descriptive manner where it talks about the data analysis, design and form at which the given topic is been solved at the said moment. This is why in the above case, the demographic and lifestyle properties are been ascertained for better conclusions that can drive to the given description. When this is gotten, it will be clearly seen to get a resonable amount ofescription which he require.

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