Answer:
Brunette
Explanation:
Originally there were 3 brunettes and 2 blondes. If once you are able to see, you realize that 2 brunettes are standing behind your friends, that means that behind you there could be one of two blondes or the remaining brunette.
The possibility of the wife behind you being a blonde is 2/3 or 67%, while the chance of her being brunette is only 33%. But this question is not about probability, instead it is about game strategy. I would bet that the wife behind me is a brunette.
Imagine that the two women that you saw were blondes, then you would immediately say brunette. Even if you only saw one blonde wife, your obvious choice would be brunette. This applies to all 3 friends and the chief is gambling against you all 3. He will not give any of you any type of advantage.
Edison Leasing leased high-tech electronic equipment to Manufacturers Southern on January 1, 2018. Edison purchased the equipment from International Machines at a cost of $139,107.
Related Information:
Lease term 2 years (8 quarterly periods)
Quarterly rental payments $18,000 at the beginning of each period
Economic life of asset 2 years
Fair value of asset $139,107
Implicit interest rate 4% (Also lessee’s incremental borrowing rate)
Required:
Prepare a lease amortization schedule and appropriate entries for Edison Leasing from the beginning of the lease through January 1, 2019. Edison’s fiscal year ends December 31.
Answer:
Amortization table
Opening liability Installments Interest Principal payment Closing liability
139,108 18000 1211 16788.92498 122,319
122,319 18000 1043 16956.81423 105,362
105,362 18000 873 17126.38238 88,235
88,235 18000 702 17297.6462 70,938
70,938 18000 529 17470.62266 53,467
53,467 18000 354 17645.32889 35,822
35,822 18000 178 17821.78218 18,000
18,000 18000 0 0 0
Dacosta Corporation had only one job in process on May 1. The job had been charged with $1,800 of direct materials, $6,966 of direct labor, and $9,936 of manufacturing overhead cost. The company assigns an overhead cost to jobs using the predetermined overhead rate of $18.40 per direct labor-hour. During May, the following activity was recorded:
Raw materials (all direct materials):
Beginning balance $8,500
Purchased during the month $38,000
Used in production $39,300
Labor:
Direct labor-hours worked during the month 1,900
Direct labor cost incurred $24,510
Actual manufacturing overhead costs incurred $33,300
Inventories:
Raw materials, May 30
Work in process, May 30 $16,937
Work in process inventory on May 30 contains $3,741 of direct labor cost. Raw materials consist solely of items that are classified as direct materials. The entry to dispose of the underapplied or overapplied manufacturing overhead cost for the month would include a:________.
a: credit of $5,336 to Manufacturing Overhead.
b: credit of $1,660 to Manufacturing Overhead.
c: debit of $5,336 to Manufacturing Overhead.
d: debit of $1,660 to Manufacturing Overhead.
Accounting entries for adjustment of overhead expenses.
Generally overheads are applied to various jobs on a predetermined basis. But actual overheads incurred can be more than/ less than predetermined overhead costs. To adjust this difference journal entries are made at the end of the period.
Answer:
The answer is "Option b".
Explanation:
The value of Applied overhead:
[tex]= 18.40 \times 1900 \\\\ = 34960[/tex]
The Actual overhead:
[tex]= 33300[/tex]
The Overlapping overhead = Applied overhead- Actual overhead
[tex]= 34960-33300\\\\= 1660[/tex]
Journal entry:
Date and explanation account Dr. Cr.
Overhead production 1600
goods sold at prices 1600
(Overcast overhead is available to records)
Pharoah Inc. has decided to raise additional capital by issuing $173,000 facevalue of bonds with a coupon rate of 6%. In discussions with investment bankers, it was determined that to help the sale of thebonds, detachable stock warrants should be issued at the rate of one warrant for each $100 bond sold. The value of the bondswithout the warrants is considered to be $155,700, and the value of the warrants in the market is $20,760. The bonds sold in the market at issuance for $174,600.
A. What entry should be made at the time of the issuance of the bonds and warrants?
B. Prepare the entry if the warrants were non-detachable.
Answer:
a. Debit Credit
Cash $174,600
Discount on bond payable $18,941
Bonds Payable $173,000
Paid -in Capital - Stock Warrants $20,541
Workings
Market value of Bonds 155,700
Market value of Warrants 20,760
Total market value 176,460
Value assigned to Bonds = 174,600 / 176,460 * 155,700 = 154,059
Value assigned to Warrants = 174,600 / 176,460 *20,760 = 20,541
b. Debit Credit
Cash $174,600
Discount receivable $1,600
Bonds Payable $173,000
a worker produced four components during an 8-hour shift in which he earned $96. What is his labor cost per unit?
Answer:
$24
Explanation:
Labor cost per unit is the ratio of total labor expense for a period of time divided by the total number of units produced during that period of time. It is given by the formula:
Labor cost per unit = Total money earned during a specified period / number of components produced.
Hence using the formula above, the labor cost per unit of the worker is gotten to be:
Labor cost per unit = $96 / 4 components = $24
The current portion of long-term debt should
a. be paid immediately
b.not be separated from the long-term portion of debt
c. be reclassified as a current liability
d. be classified as a long-term liability
The current portion of long-term debt should be classified as a long-term liability. Thus, option (d) is correct.
What is debt?
The phrase “debt” refers to the money that one can borrow. Debt is the cash raised by issuing bonds or debentures.
A company's ability to pay off a long-term debt's current component within a year is represented by this number. So, a sum of this magnitude that is due in the next 12 months shouldn't be listed as a long-term liability.
Therefore, option (d) is correct.
Learn more about on debt, here:
https://brainly.com/question/17286021
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Air conditioning for a college dormitory will cost $2.1 million to install and $170,000 per year to operate at current prices. The system should last 19 years. The real cost of capital is 9%, and the college pays no taxes. What is the equivalent annual cost
Answer:
$404,634
Explanation:
the formula that we can use to calculate equivalent annual costs is:
EAC = asset price x {discount rate / [1 - (1 + discount rate)⁻ⁿ]} + annual maintenance costs
EAC = $2,100,000 x {0.09 / [1 - (1.09)⁻¹⁹]} + $170,000
EAC = $2,100,000 x {0.09 / [1 - (1.09)⁻¹⁹]} + $170,000 = $234,634 + $170,000 = $404,634
EAC is basically the cost of using an asset during its lifetime. We are determining the cost per year, assuming that they are all equal.
Eastern Edison Company leased equipment from Hi-Tech Leasing on January 1, 2018.
Other information:
Lease term 5 years
Annual payments $79,000 on January 1 each year
Life of asset 5 years
Implicit interest rate 7%
PV, annuity due, 5 periods, 7% 4.3872
PV, ordinary annuity, 5 periods, 7% 4,1002
Hi-Tech's cost of the equipment $346,589 There is no expected residual value.
Required:
Prepare appropriate journal entries for Hi-Tech Leasing for 2018 and 2019. Assume a December 31 year-end.
Answer:
January 1, 2018
Dr Lease receivable 395,000
Cr Unearned interest revenue 48,411
Cr Equipment inventory 346,589
Dr Cash 79,000
Cr Lease receivable 79,000
December 31, 2018
Dr Unearned interest revenue 18,731
Cr Interest revenue 18,731
January 2019
Dr cash 79,000
Cr lease receivable 79,000
December 31 2019
Dr Unearned interest revenue 14,512
Cr Interest revenue 14,512
Explanation:
Preparation of Journal entries for Hi-Tech Leasing for 2018 and 2019.
January 1, 2018
Dr Lease receivable 395,000
($79,000 x 5)
Cr Unearned interest revenue 48,411
(395,000-346,589)
Cr Equipment inventory 346,589
Dr Cash 79,000
Cr Lease receivable 79,000
December 31, 2018
Dr Unearned interest revenue 18,731
[($346,589- $79,000) x 7%]
Cr Interest revenue 18,731
January 2019
Dr cash 79,000
Cr lease receivable 79,000
December 31 2019
Dr Unearned interest revenue 14,512
[($346,589- $79,000-$60,269) x 7%]
(79,000-18,731=60,269)
Cr Interest revenue 14,512
Mathias Corporation manufactures and sells wire rakes. The rakes sell for $20 each. Information about the company's costs is as follows.
Variable manufacturing cost per unit $6
Variable selling and administrative cost per unit 2
Fixed manufacturing overhead per month $300,000
Fixed selling and administrative cost per month 600,000
Required:
a. Determine the company's monthly break-even point in units.
b. Determine the sales volume (in dollars) required for a monthly operating income of $1,200,000.
c. Compute the company’s margin of safety if its current monthly sales level is $2,500,000.
d. Estimate the amount by which monthly operating income will increase if the company anticipates a $100,000 increase in monthly sales volume.
Answer:
a. 75,000 units
b. $1,700,000
c. 0.40 or 40 %
d. $60,000
Explanation:
Break-even point is the level of activity where a firm neither makes a profit nor a loss.
Break-even point (units) = Fixed Costs ÷ Contribution per unit
Where,
Contribution per unit = Unit Selling Price less Variable Costs per unit
= $20 - $6 - $2
= $12.00
Therefore,
Break-even point (units) = ($300,000 + $600,000) ÷ $12.00
= 75,000 units
Sales (dollars) to reach target profit = (Fixed Costs + Target Profit) ÷ Contribution Margin Ratio
Where,
Contribution Margin Ratio = Contribution ÷ Sales
= $12.00 ÷ $20.00
= 0.60
Therefore,
Sales (dollars) to reach target profit = ($300,000 + $600,000 + 1,200,000) ÷ 0.60
= $1,700,000
Margin of Safety = (Sales level - Break-even Sales level) ÷ Sales level
= ($2,500,000 - $1,500,000) ÷ $2,500,000
= 0.40 or 40 %
Calculation of Incremental Monthly Operating Income
Incremental Sales $100,000
Less Incremental Variable Costs (5,000 × $8) ($40.000)
Incremental Contribution $60,000
Less Incremental Fixed Costs $0
Incremental Operating Income $60,000
Theresa works as a Risk Management Specialist for an investment corporation. Which best describes her educational pathway?
A. an associate’s degree, then a bachelor’s degree
B. a master’s degree, then vocational school
C. vocational school, then an associate’s degree
D. a bachelor’s degree, then a master’s degree
Answer:
The answer is b
Explanation:
i'm doing the unit test right now
Answer:
I feel that the correct answers is D because to become a Risk Management Specialist you must have a bachelors in business and most likely a master.
Explanation:
Consider an economy described by the following equations:
Y=C+I+G
C=120+0.8×(Y−T)
I=500−50×r G=150
T=125
where Y is GDP, C is consumption, I is investment, G is government purchases, T is taxes, and r is the interest rate. If the economy were at full employment (that is, at the natural rate of output), GDP would be $2,850.
Identify the equation(s) each of the following statements describes.
a. It is a function of disposable income.
b. It depends on the interest rate.
The marginal propensity to consume in this economy is:____________ .
Suppose the central bank's policy is to adjust the money supply to maintain the interest rate at 3%, so r = 3. When the interest rate is 3%, GDP is __________$ .
GDP at an interest rate of 3% is the full-employment level.
a. True
b. False
Assuming no change in monetary policy, (a decrease, an increase) in government purchases by ____ would restore GDP to the full-employment level. (Note: Assume that such change in fiscal policy has no crowding-out effect.) Assuming no change in fiscal policy, (a decrease. an increase) in the interest rate by ___ would restore GDP to the full-employment level.
Answer:
Consumption c is a function of disposable income
Investment I is a function of interest rate
Marginal propensity to consume equals 0.8
If this 3, I = investment
= 500-(3*50)
= 500-150
= 350
We have Y= C+I+G
Y = 120+0.8(Y-125)+350+150
Y = 120+0.8Y-100+350+150
Y-0.8Y = 120-100+350+150
0.2Y = 520
Y = 520/0.2
Y = 2600
GDP and interest rate falls below full employment
If there is no change in monetary policy an increase in government purchases by 50dollars takes gdp back to full employment
If no change in fiscal policy when interest rate decreases by 1.4% God goes back to full employment.
The accounts in the ledger of Dependable Delivery Service contain the following balances on July 31, 2022.
Accounts Receivable $11,400
Prepaid Insurance $1,800
Accounts Payable 7,400
Maintenance and Repairs Expense 1,200
Cash 15,940
Service Revenue 15,500
Equipment 59,360
Dividends 800
Utilities Expense 950
Common Stock 40,000
Insurance Expense 600
Salaries and Wages Expense 8,400
Notes Payable, due 2024 31,450
Salaries and Wages Payable 900
Retained Earnings (July 1, 2022) 5,200
Required:
Prepare classified balance sheet for July 31, 2022.
Answer:
Dependable Delivery Service
Classified balance sheet as at July 31, 2022
Non Current Assets
Equipment $59,360
Total Non Current Assets $59,360
Current Assets
Accounts Receivable $11,400
Prepaid Insurance $1,800
Cash $15,940
Total Current Assets $29,140
Total Assets $88,500
Equity and Liabilities
Equity
Common Stock $40,000
Retained Earnings $8,750
Total Equity $48,750
Liabilities
Non Current Liabilities
Notes Payable, due 2024 $31,450
Total Non Current Liabilities $31,450
Current Liabilities
Accounts Payable $7,400
Salaries and Wages Payable $900
Total Non-Current Liabilities $8,300
Total Liabilities $39,750
Total Equity and Liabilities $88,500
Explanation:
Its very important to calculate the Retained Earnings Balance at the end of July 2020.
To do this, we need to first calculate the Net Income for the period as follows :
Income Statement for the year ended July 31, 2022
Service Revenue 15,500
Less Expenses :
Maintenance and Repairs Expense 1,200
Utilities Expense 950
Insurance Expense 600
Salaries and Wages Expense 8,400 (11,150)
Net Income/(loss) 4,350
Then, calculate the Retained Earnings Balance as follows :
Retained Earnings Calculation
Beginning Balance 5,200
Add Net Income during the period 4,350
Less Dividends (800)
Ending Balance 8,750
Deferred tax liability $ 355,000 $ 463,000 The income statement reported tax expense for Year 2 in the amount of $580,000. Required: 1. What was the amount of income taxes payable for Year 2
Answer: $472,000
Explanation:
Deferred Tax Liability arises as a result of the different accounting methods used by Companies and by the Government for taxation.
Deferred tax liabilities are taxes that are owed to the Government due to the company using the Accrual system but as the Government uses the Cash basis, they have not yet recognised this tax.
The Tax Payable in Year 2 is;
= Reported Tax Expense - increase in Deferred Tax liability
= 580,000 - (463,000 - 355,000)
= $472,000
Camille Sikorski was divorced last year. She currently provides a home for her 15-year-old daughter, Kaly, and 18-year-old son, Parker. Both children lived in Camille’s home, which she owns, for the entire year, and Camille paid for all the costs of maintaining the home. She received a salary of $55,000 and contributed $4,200 of it to a qualified retirement account (a for AGI deduction). She also received $6,000 of alimony from her former husband. Finally, Camille paid $2,700 of expenditures that qualified as itemized deductions.
a. What is Camille’s taxable income?
b. What would Camille’s taxable income be if she incurred $9,800 of itemized deductions instead of $2,700?
c. Assume the original facts but now suppose Camille’s daughter, Kaly, is 25 years old and a full-time student. Kaly’s gross income for the year was $5,300. Kaly provided $3,180 of her own support, and Camille provided $5,300 of support. What is Camille’s taxable income?
#6 is it Greater of standard deduction or itemized deduction or is it Lesser of standard deduction or itemized deduction
Description Amount
1) Gross income
2) For AGI deductions
3) Adjused gross income $
4) Standard deduction
5) Itemized deductions
6)
7) Personal and dependency exemptions
8) Total deductions from AGI $
Taxable income
Answer:
Uhhh is there any sources?
Explanation:
What is a good job people do you hear me
Answer:
A lawyer is a good job
Explanation:
lol
whne you try your best and do the best possible you can, but without harmnig anyone or yourself, emotionally or physically
You are in the business of producing and selling snow shovels, and you need to determine how many shovels should be produced during each of the next four quarters to meet the following demands: 11,000 shovels in quarter 1; 48,000 shovels in quarter 2; 64,000 shovels in quarter 3; and 15,000 shovels in quarter 4.
Due to labor limitations, at most 65,000 shovels can be produced in any one quarter at a cost of $5/shovel. Additionally, a fixed cost of $30,000 must be paid for any quarter in which shovels are produced. You may assume that any shovels produced during a quarter can be used to satisfy demand for that quarter. At the end of the quarter, a holding cost of $0.50 per shovel in inventory is incurred. Currently, you have no shovels in inventory.
Required:
Formulate an integer-linear program to determine a production schedule that minimizes the sum of production and inventory costs over the next four quarters.
Answer:
Quarter Production
Q1 11000
Q2 62000
Q3 65000
Q4 0
This will generate lower production and inventory cost as it savesthe fixed cost of 30,000 if we produce in the fourth quarter.
Explanation:
First, we construct the formula for the relevant cost:
Holding Cost: $0.50 per shovel
$0.50 x 2 x (Q2-48,000) + $0.50 x (Q1-11,000) = Holding Cost Q2
$0.50 x 1 x (Q3-64,000) = Holding Cost Q3
First, the restrictions:
P1 P2 P3 P4 are Integer
P1 < 65,000
P2 < 65,000
P3 < 65,000
P4 < 65,000
Then, we have the inventory formulas:
I1 = P1 - S1
I2 = P2 + I1 -S2
I3 = P3 + I2 - S3
I4 = P4 + I3 - S4
The holding cost
H1 = I1 x 0.50
H2 = I2 x 0.50
H3 = I3 x 0.50
H4 = I4 x 0.50
The fixed cost
if P1> 0 then FC1 = 30,000
if P2> 0 then FC2 = 30,000
if P3> 0 then FC3 = 30,000
if P4> 0 then FC4 = 30,000
And last,the total cost:
FC1 + H1 +FC2 + H2 +FC3 + H3 +FC4 + H4 = Total Cost
This is the formula we want to minimize
We place this into excel solver and get the answer:
The following are a trial balance and several transactions that relate to Lewisville's Concert Hall Bond Fund:
Lewisville Debt Service Fund Concert Hall Bond Fund Trial Balance July 1, 2012
Cash $60,000
Investments 40,000
Restricted fund balance $100,000
$100,000 $100,000
The following transactions took place between July 1, 2012, and June 30, 2013:
1. The city council of Lewisville adopted the budget for the Concert Hall Bond Fund for the fiscal year. The estimated revenues totaled $100,000, the estimated other financing sources totaled $50,000, and the appropriations totaled $125,000.
2. The General Fund transferred $50,000 to the fund.
3. To provide additional resources to service the bond issue, a property tax was levied upon the citizens. The total levy was $100,000, of which $95,000 was expected to be collected.
4. Property taxes of $60,000 were collected.
5. Revenue received in cash from the investments totaled $1,000.
6. Property taxes of $30,000 were collected.
7. The fund liability of $37,500 for interest was recorded, and that amount of cash was transferred to the fiscal agent.
8. A fee of $500 was paid to the fiscal agent.
9. Investment revenue totaling $1,000 was received in cash.
10. The fund liabilities for interest in the amount of $37,500 and principal in the amount of $50,000 were recorded, and cash for the total amount was transferred to the fiscal agent.
11. Investment revenue of S500 was accrued. Use the preceding information to do the following:
a. Prepare all the journal entries necessary to record the preceding transactions for the Concert Hall Bond Fund.
b. Prepare a trial balance for the Concert Hall Bond Fund as of June 30, 2013.
c. Prepare a statement of revenues, expenditures, and changes in fund balance and a balance sheet for the Concert Hall Bond Fund (assume all fund balance is restricted).
d. Prepare closing entries for the Concert Hall Bond Fund
Answer:
a. Journal entries
1. Estimated revenues (Dr.) $100,000
Estimated other financing sources (Dr.) $50,000
Appropriations (Cr.) $125,000
Fund Balance Budget (Cr.) $25,000
2. Cash (Dr.) $50,000
General Fund Transfer (Cr.) $50,000
3. Property Tax receivable (Dr.) $100,000
Uncollectable Taxes (Cr.) $5,000
Collectable Property taxes revenue (Cr.) $95,000
4. Cash (Dr.) $60,000
Collectable property tax revenue (Cr.) $60,000
5. Cash (Dr.) $1,000
Revenue From Investments (Cr.) $1,000
6. Cash (Dr.) $30,000
Collectable property tax revenue (Cr.) $30,000
7. Interest expense (Dr.) $37,500
Interest Payable (Cr.) $37,500
8. Fiscal Agent fee (Dr.) $500
Cash (Cr.) $500
9. Cash (Dr.) $1,000
Investment Revenue (Cr.) $1,000
10. Interest Expense (Dr.) $37,500
Principal payment (Dr.) $50,000
[Fiscal Agent] Cash (Cr.) $87,500
11. Investment Revenue Receivable (Dr.) $500
Investment Revenue (Cr.) $500
Explanation:
b. Trial Balance
Particulars : Debit (Dr.) $ ; Credit (Cr.) $
Cash: 76,500 ; 0
Property Taxes receivable 10,000 ; 0
Allowance for uncollectable property 0 ; 5,000
Investments 40,000 ; 0
Investment revenue receivable 500 ; 0
Restricted fund balance 0 ; 100,000
Revenue - property taxes 0 ; 95,000
Revenue- Investments 0 ; 2,500
Transfer to general fund 0 ; 50,000
Interest Expense 75,000 ; 0
Bond principal 50,000 ; 0
Fiscal agent fees 500 ; 0
Estimated revenues 100,000 ; 0
Estimated other financing sources 50,000 ; 0
Appropriations 0 ; 125,000
Fund balance Budget 0 ; 25,000
Assume you invested $100,000 into your lawn mowing business, but you could have invested in a similar operation with the same risk and received a 20 percent return. You should expect a “normal profit “ of $ _____________ . (Answer to the nearest whole number of THOUSANDS of dollars)
Answer:
you would get $20,000
Explanation:
100,000 x .2
Two carmakers have developed a strange but successful partnership. Ford, a U.S. automaker,and Mazda, an Asian carmaker, have collaborated on several models, including the Explorer, the Probe, the Mazda 323, and the Mazda MX-6. The U.S. automaker has supplied Mazda with help in marketing, finance, and styling. In return, Mazda has provided manufacturing and product development expertise to Ford. Both companies have worked together toward a common goal and both have benefited as a result of theirA. strategic alliance.B. international contract.C. free trade agreement.D. collaborative treaty.E. global oligopoly.
Answer:
A. strategic alliance
Explanation:
A strategic alliance refers to an agreement that is made between the two companies to work for accomplishing a common objective also in this the independence is there for working. It is less difficult and less binding as compared with the joint venture
Therefore in the given situation, it represents upon the strategic alliance and the same is to be considered
hence, the correct option is A.
Bonita Beauty Corporation manufactures cosmetic products that are sold through a network of sales agents. The agents are paid a commission of 18% of sales. The income statement for the year ending December 31, 2014, is as follows.
BONITA BEAUTY CORPORATION
Income Statement For the Year Ended December 31, 2014
Sales $75,000,000
Cost of goods sold
Variable $31,500,000
Fixed 8,610,000 40,110,000
Gross margin $34,890,000
Selling and marketing expenses
Commissions $13,500,000
Fixed costs 10,260,000 23,760,000
Operating income $11,130,000
The company is considering hiring its own sales staff to replace the network of agents. It will pay its salespeople a commission of 8% and incur additional fixed costs of $7,500,000.
Under the current policy of using a network of sales agents, calculate the Bonita Beauty Corporation
Answer:
the question is incomplete, so I looked for the requirements of similar questions:
A. Calculate the company’s break-even point in sales dollars for the year 2014 if it hires its own sales force to replace the network of agents.
B. Calculate the degree of operating leverage at sales of $75,000,000 if (1) Bonita Beauty uses sales agents, and (2) Bonita Beauty employs its own sales staff.
a) total sales = $75,000,000
variable costs:
COGS $31,500,000
commissions $6,000,000
total variable costs = $37,500,000
contribution margin ratio = $37,500,000 / $75,000,000 = 0.5
total fixed costs = $8,610,000 + $10,260,000 + $7,500,000 = $26,370,000
break even point in $ = $26,370,000 / 0.5 = $52,740,000
b) one of the formulas that we can use to calculate the degree of operating leverage is:
operating leverage = fixed costs / total costs
1) total costs using sales agents = $63,870,000
total fixed costs = $8,610,000 + $10,260,000 = $18,870,000
degree of operating leverage = $18,870,000 / $63,870,000 = 29.54%
2) total costs employing its own sales staff = $6,000,000 + $31,500,000 + $26,370,000 = $63,870,000
total fixed costs = $26,370,000
degree of operating leverage = $26,370,000 / $63,870,000 = 41.29%
The following income statement items appeared on the adjusted trial balance of Foxworthy Corporation for the year ended December 31, 2021 ($ in 000s): sales revenue, $22,600; cost of goods sold, $14,650; selling expense, $2,330; general and administrative expense, $1,230; dividend revenue from investments, $230; interest expense, $330. Income taxes have not yet been accrued. The company’s income tax rate is 25% on all items of income or loss. These revenue and expense items appear in the company’s income statement every year. The company’s controller, however, has asked for your help in determining the appropriate treatment of the following nonrecurring transactions that also occurred during 2021 ($ in 000s). All transactions are material in amount.
1. Investments were sold during the year at a loss of $300. Foxworthy also had unrealized losses of $200 for the year on investments.
2. One of the company’s factories was closed during the year. Restructuring costs incurred were $2,000.
3. During the year, Foxworthy completed the sale of one of its operating divisions that qualifies as a component of the entity according to GAAP regarding discontinued operations. The division had incurred operating income of $800 in 2016 prior to the sale, and its assets were sold at a
loss of $1,800.
4. Foreign currency translation gains for the year totaled $600.
Required:
Prepare Foxworthy's single, continuous statement of comprehensive income for 2021, including basic earnings per share disclosures. Two million shares of common stock were outstanding throughout the year.
Question attached
Answer and Explanation:
Please find attached
Sunset Products manufactures skateboards. The following transactions occurred in March. Purchased $24,500 of materials on account. Issued $1,450 of supplies from the materials inventory. Purchased $25,900 of materials on account. Paid for the materials purchased in transaction (1) using cash. Issued $30,900 in direct materials to the production department. Incurred direct labor costs of $29,500, which were credited to Wages Payable. Paid $22,400 cash for utilities, power, equipment maintenance, and other miscellaneous items for the manufacturing shop. Applied overhead on the basis of 120 percent of direct labor costs. Recognized depreciation on manufacturing property, plant, and equipment of $5,900.
The following balances appeared in the accounts of Sunset Products for March:
Beginning Ending
Materials Inventory $ 13,500 ?
Work-in-Process Inventory 24,750 ?
Finished Goods Inventory 97,500 $ 54,750
Cost of Goods Sold 120,000
Required:
a. Prepare journal entries to record the transactions. (If o entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Transactions General Journal Debit Credit
1.
2.
3.
4.
5.
6.
7.
8.
9.
b. Prepare T-accounts to show the flow of costs during the period from Materials Inventory through Cost of Goods Sold.
Materials Inventory
Beg. bal. ___________ ____________
______ ___________ ____________ ______
______ ___________ ____________ ______
______ ___________ ____________ ______
End. bal. ___________ ____________ ______
Work in Progress Inventory
Beg. bal. ___________ ____________
______ ___________ ____________ ______
______ ___________ ____________ ______
______ ___________ ____________ ______
______ ___________ ____________ ______
End. bal. ___________ ____________ ______
Manufacturing Overhead Control
Beg. bal. ___________ ____________
______ ___________ ____________ ______
______ ___________ ____________ ______
______ ___________ ____________ ______
______ ___________ ____________ ______
End. bal. ___________ ____________ ______
Applied Manufacturing Overhead
Beg. bal. ___________ ____________
______ ___________ ____________ ______
______ ___________ ____________ ______
End. bal. ___________ ____________ ______
Accounts Payable
Beg. bal. ___________ ____________
______ ___________ ____________ ______
______ ___________ ____________ ______
______ ___________ ____________ ______
End. bal. ___________ ____________ ______
Cash
Beg. bal. ___________ ____________
______ ___________ ____________ ______
______ ___________ ____________ ______
______ ___________ ____________ ______
End. bal. ___________ ____________ ______
Wages Payable
Beg. bal. ___________ ____________
______ ___________ ____________ ______
______ ___________ ____________ ______
End. bal. ___________ ____________ ______
Accumulated Depreciation-Property, Plant, and Equipment
Beg. bal. ___________ ____________
______ ___________ ____________ ______
______ ___________ ____________ ______
End. bal. ___________ ____________ ______
Finished Goods Inventory
Beg. bal. ___________ ____________
Goods Completed ___________ ____________ Transfer to Cost of Goods Sold
End. bal. ___________ ____________
Cost of Goods Sold
Beg. bal. ___________ ____________
Finished Goods Inventory ___________ ____________
End. bal. ___________ ____________
Answer:
Sunset Products
a) Journal Entries:
Transactions General Journal Debit Credit
Materials Inventory $24,500
Accounts Payable $24,500
To record the purchase of materials on account.
Manufacturing Overhead $1,450
Materials Inventory $1,450
To record the issue of supplies.
Materials Inventory $25,900
Accounts Payable $25,900
To record the purchase of materials on account.
Accounts Payable $24,500
Cash Account $24,500
To record the payment on account.
Work-in-Process Inventory $30,900
Materials Inventory $30,900
To record the issue of direct materials to the production department.
Work-in-Process Inventory $29,500
Factory Wages $29,500
To record direct labor costs to work in process.
Manufacturing Overhead $22,400
Cash Account $22,400
To record the payment for utilities and other expenses.
Work-in-Process Inventory $35,400
Manufacturing Overhead $35,400
To apply overhead to work in process.
Manufacturing Overhead $5,900
Depreciation Expense $5,900
To recognize depreciation on property, plant, and equipment.
Manufacturing overhead applied $29,750
Manufacturing overhead $29,750
To transfer manufacturing overhead to the overhead applied account.
b) T-accounts:
Materials Inventory
Transaction Details Debit Credit
Beginning balance $ 13,500
Accounts Payable 24,500
Manufacturing overhead $1,450
Accounts Payable 25,900
Work-in-Process Inventory 30,900
Ending balance $31,550
Work-in-Process Inventory
Transaction Details Debit Credit
Beginning balance $24,750
Materials Inventory 30,900
Factory Wages 29,500
Manufacturing Overhead 35,400
Finished Goods Inventory $71,600
Ending balance 54,200
Finished Goods Inventory
Transaction Details Debit Credit
Beginning balance $97,500
Work-in-Process 71,600
Cost of goods sold $114,350
Ending balance 54,750
Cost of Goods Sold
Transaction Details Debit Credit
Beginning balance $120,000
Overapplied overhead $5,650
Ending balance 114,350
Manufacturing Overhead Control Account
Transaction Details Debit Credit
Materials Inventory $1,450
Cash Account 22,400
Depreciation expense 5,900
Manufacturing overhead applied $29,750
Manufacturing Overhead Applied
Transaction Details Debit Credit
Work in Process $35,400
Manufacturing overhead $29,750
Overapplied overhead 5,650
Accounts Payable
Transaction Details Debit Credit Materials Inventory $24,500
Materials Inventory 25,900
Cash Account $24,500
Ending Balance 25,900
Cash Account
Transaction Details Debit Credit
Accounts Payable $24,500
Manufacturing Overhead 22,400
Explanation:
a) Data and Calculations:
Accounts balances of Sunset Products for March:
Beginning Ending
Materials Inventory $ 13,500 ?
Work-in-Process Inventory 24,750 ?
Finished Goods Inventory 97,500 $ 54,750
Cost of Goods Sold 120,000
A small nation of 10 people idolizes the TV show The Voice. All they produce and consume are karaoke machines and CDs, in the following amounts:
Karaoke Machines CDs
Quantity Price(Dollars) Quantity Price (Dollars)
2020 20 50 60 5
2021 21 70 80 6
Using a method similar to that used to calculate the consumer price index, the percentage change in the overall price level is_____________ . (Note: Use 2020 as the base year, and fix the basket at 2 karaoke machines and 6 CDs.) Using a method similar to that used to calculate the GDP deflator, the percentage change of the overall price level is_____________ . (Note: Again, use 2020 as the base year.) Which of the following statements is correct? Check all that apply.
a. The inflation rate in 2021 is not the same using the two methods.
b. The CPI allows the basket of goods and services to change.
c. The GDP deflator holds the basket of goods and services constant.
Answer:
The inflation rate is different using the two methods as the rate of inflation calculated by the CPI holds basket of goods and services constant while the GDP deflator allows it to change.
Explanation:
i. Value of market basket of the good in 2020 = ($50*2) + ($5*6) = $130
Value of market basket of the good in 2021 = ($70*2) + ($6*6) = $176
CPI in 2020 = ($130 / $130) * 100 = 100
CPI in 2021 = ($176 / $130) * 100 = 135.38
Thus, The percentage change in overall price level is = [(135.38 - 100) / 100) * 100 = 35.38%
ii. Nominal GDP in 2020 = ($50 * 20) + ($5 * 60) = $1300
Nominal GDP in 2021 = ($70 * 21) + ($6 * 80) = $1950
Real GDP in 2020 = ($50 * 20) + ($5 * 60) = $1300
Real GDP in 2021 = ($50 * 21) + ($5 * 80) = $1450
GDP deflator in 2020 = (Nominal GDP in 2107 / Nominal GDP in 2107) * 100 = ($1300 / $1300) * 100 = 100
GDP deflator in 2021 = (Nominal GDP in 2108 / Nominal GDP in 2108) * 100 = ($1950 / $1450) * 100 = 134.48
Thus, the percentage change in overall price level is = [(134.48 - 100) / 100) * 100 = 34.48%
McKinney & Co. estimates its uncollectible accounts as a percentage of credit sales. McKinney made credit sales of $1,500,000 in 2019. McKinney estimates 2.5% of its sales will be uncollectible. At the end of the first quarter of 2020, McKinney & Co. reevaluates its receivables. McKinney’s management decides that $8,500 due from Mangold Corporation will not be collectible. This amount was previously included in the allowance account. On April 23, 2020, McKinney & Co. receives a check from Mangold Corporation for $8,500.
Required:
Prepare the journal entry to record the write-off for Mckinney.
Answer:
Debit Allowance for Doubtful Accounts for $8,500;
Credit Accounts Receivable for $8,500.
Explanation:
The journal entry to record the write-off for Mckinney will look as follows:
McKinney & Co.
Journal Entry
Account title and explanation Dr ($) Cr ($)
Allowance for Doubtful Accounts 8,500
Accounts Receivable 8,500
(To record uncollectable amount due from Mangold Corporation.)
Note that since the management of McKinney decided that $8,500 due from Mangold Corporation will not be collectible, this implies that the Accounts Receivable will reduce by that amount. Therefore, the entries to make to show the reduction in the amount of account receivale by $8,500 is to Debit Allowance for Doubtful Accounts for $8,500 and Credit Accounts Receivable for $8,500.
Pharoah Inc. has decided to raise additional capital by issuing $173,000 facevalue of bonds with a coupon rate of 6%. In discussions with investment bankers, it was determined that to help the sale of thebonds, detachable stock warrants should be issued at the rate of one warrant for each $100 bond sold. The value of the bondswithout the warrants is considered to be $155,700, and the value of the warrants in the market is $20,760. The bonds sold in the market at issuance for $174,600.
A. What entry should be made at the time of the issuance of the bonds and warrants?
B. Prepare the entry if the warrants were non-detachable.
Answer:
A. Dr Cash 174,600
Dr Discount on bonds payable 18,941
Cr Bond Payable 173,000
Cr Paid-in Capital—Stock Warrants
20,541
B. Dr Cash 174,600
Cr Discount on bonds payable 1,600
Cr Bond Payable 173,000
Explanation:
A. Preparation of the Journal entries that should be made at the time of the issuance of the bonds and warrants
Dr Cash 174,600
Dr Discount on bonds payable 18,941
($173,000 - $154,059)
Cr Bond Payable 173,000
Cr Paid-in Capital—Stock Warrants
20,541
[(174,600+18,941)-173,000]
B. Preparation of the journal entry if the warrants were non-detachable Journal entries
Dr Cash 174,600
Cr Discount on bonds payable 1,600
(174,600-173,000)
Cr Bond Payable 173,000
Calculation for value assign to bonds
Value assign to bonds=(155,700/155,700+20,760)*174,600
Value assign to bonds=155,700/176,460*174,600
Value assign to bonds=154,059
Calculation for value assign to warrant
Value assign to warrant=(20,760/155,700+20,760)*174,600
Value assign to warrant=20,760/176,460*174,600
Value assign to warrant=20,541
Nanjones Company manufactures a line of products distributed nationally through wholesalers. Presented below are planned manufacturing data for the year and actual data for November of the current year. The company applies overhead based on planned machine hours using a predetermined annual rate.
Planning Data
Annual November
Fixed overhead $1,200,000 $100,000
Variable overhead $2,400,000 $220,000
Direct labor hours 48,000 4,000
Machine hours 240,000 22,000
Data for November
Direct labor hours (actual) 4,200
Direct labor hours (plan based on output) 4,000
Machine hours (actual) 21,600
Machine hours (plan based on output) 21,000
Fixed overhead $101,200
Variable overhead $214,000
Nanjones’ variable overhead spending variance for November was:
a. $6,000 favorable.
b. $2,000 favorable.
c. $14,000 unfavorable.
d. $6,000 unfavorable.
Answer:
Variable manufacturing overhead spending variance= $2,000 favorable
Explanation:
First, we need to calculate the predetermined overhead rate:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= 2,400,000 / 240,000
Predetermined manufacturing overhead rate= $10 per machine hour
To calculate the variable overhead spending variance, we need to use the following formula:
Variable manufacturing overhead spending variance= (standard rate - actual rate)* actual quantity
Variable manufacturing overhead spending variance= (15 - 214,000/21,600)*21,600
Variable manufacturing overhead spending variance= $2,000 favorable
The Nanjones' variable overhead spending variance for November is a. $6,000 favorable.
Data and Calculations:
Planning Data Actual Data Variances
Annual November November
Fixed overhead $1,200,000 $100,000 $101,200 $1,200 U
Variable overhead $2,400,000 $220,000 $214,000 $6,000 F
Direct labor hours 48,000 4,000 4,200 200 U
Machine hours 240,000 22,000 21,600 400 F
Thus, the Nanjones' variable overhead spending variance for November is the difference between planned expenses and actual expenses, which is $6,000 ($214,000 - $220,000) favorable.
Learn more about variable overhead spending variance here: https://brainly.com/question/4535958
You work for a marketing firm that has just landed a contract with Run-of-the-Mills to help them promote three of their products: splishy splashies, frizzles, and cannies. All of these products have been on the market for some time, but, to entice better sales, Run-of-the-Mills wants to try a new advertisement that will market two of the products that consumers will likely consume together. As a former economics student, you know that complements are typically consumed together while substitutes can take the place of other goods.
Run-of-the-Mills provides your marketing firm with the following data: When the price of splishy splashies decreases by 5%, the quantity of frizzles sold increases by 4% and the quantity of cannies sold decreases by 5%. Your job is to use the cross-price elasticity between splishy splashies and the other goods to determine which goods your marketing firm should advertise together.
Complete the first column of the following table by computing the cross-price elasticity between splishy splashies and flopsicles, and then between splishy splashies and kipples. In the second column, determine if splishy splashies are a complement to or a substitute for each of the goods listed. Finally, complete the final column by indicating which good you should recommend marketing with splishy splashies.
Relative to Splishy Splashies
Cross-Price Elasticity of Demand Complement or Substitute Recommend Marketing with Splishy Splashies
Flopsicles
Kipples
Answer:
cross-price elasticity formula = % change in quantity demanded of good X / % change in price of good Y
cross-price elasticity of demand between splishy splashies and frizzles (or is it flopsicles?) = 4% / -5% = -0.8, complement goods. When the cross price elasticity is negative, then the goods complement each other.
cross-price elasticity of demand between splishy splashies and cannies (or is it kippies?) = -5% / -5% = 1, substitute goods. When the cross price elasticity is positive, then the goods substitute each other.
If you are about to launch a marketing campaign for splishy splashies, then you should include frizzles in it.
In an example, a local church is made up of people who are very different in their lifestyles and their stages of life. Mary is a 23-year-old single parent who earns the minimum wage. Jonathan is 60 years old, extremely wealthy, and works because he enjoys it. Jane is a 45-year-old lawyer who earns well and is well-respected in her profession. She is extremely career-oriented and is proud of her achievements. Which of the following do you think would motivate Jonathan the most?
a. safety
b. physiological
c. self-actualization
d. growth
e. esteem
Answer:
C) Self actualization
Explanation:
From the question, we are informed about example of alocal church is made up of people who are very different in their lifestyles and their stages of life, we are told if Mary who is is a 23-year-old single parent who earns the minimum wage. Jonathan is 60 years old, extremely wealthy, and works because he enjoys it. Jane is a 45-year-old lawyer who earns well and is well-respected in her profession. She is extremely career-oriented and is proud of her achievements.
In this case, self actualization would motivate Jonathan the most. This is because self actualization can be regarded as self fulfilment, it is when one fully realize his/her potential and gives appreciation, and here
Jonathan is 60 years old, and described as extremely wealthy, and works because he enjoys it. Hence self actualization is the best answer.
This activity is important because as world trade has grown, more companies have entered the global market. Once a firm decides to enter the global market, it must choose which means of market entry is the most appropriate. The global market entry strategies vary greatly on the dimensions of financial commitment, risk, marketing control, and profit potential.
The goal of this exercise is to demonstrate your understanding of the different types of global market entry strategies: exporting, licensing, joint venture, and direct investment. Roll over each company name to read the description of the firm's strategy, then drop it onto the correct global market entry strategy within the graphic.
1. Yoplait
2. Moodmatcher lipstick
3. McDonald's
4. Ericsson and CGCT
5. Boeing
6. Nissan
A. Indirect Exporting
B. Direct Exporting
C. Licensing
D. Franchising
E. Joint Venture
F. Direct Investment
Answer:
1. Yoplait ⇒ C. Licensing . Yoplait is the largest yogurt license in the world.
2. Moodmatcher lipstick ⇒ A. Indirect Exporting . It produces their products in the US and then sells them abroad through trading companies.
3. McDonald's ⇒ D. Franchising . McDonald's is one of the largest franchises in the world and it operates in a similar manner everywhere.
4. Ericsson and CGCT ⇒ E. Joint Venture . Ericsson is a Swedish telecommunications company and CGCT is a French company.
5. Boeing ⇒ B. Direct Exporting . Boeing is America's largest exporter. It opened its first overseas facility on December 15, 2018, in response to the trade dispute between China and the US. But the vast majority of its planes are still built int eh US.
6. Nissan ⇒ F. Direct Investment. Nissan is part of a French-Japanese car company that produces its cars on their own plants located around the world.
Apr. 2 Purchased $6,900 of merchandise from Lyon Company with credit terms of 2/15, n/60, invoice dated April 2, and FOB shipping point.
3 Paid $390 cash for shipping charges on the April 2 purchase.
4 Returned to Lyon Company unacceptable merchandise that had an invoice price of $500.
17 Sent a check to Lyon Company for the April 2 purchase, net of the discount and the returned merchandise.
18 Purchased $13,100 of merchandise from Frist Corp. with credit terms of 1/10, n/30, invoice dated April 18, and FOB destination.
21 After negotiations, received from Frist a $400 allowance toward the $13,100 owed on the April 18 purchase.
28 Sent check to Frist paying for the April 18 purchase, net of the allowance and the discount.
Required:
Prepare journal entries to record the above transactions for a retail store. Assume a perpetual inventory system.
Answer:
Apr. 2
Merchandise $6,900 (debit)
Accounts Payable : Lyon Company $6,900 (credit)
Purchased Merchandise from Lyon Company on credit
April 3.
Accounts Payable : Lyon Company $390 (debit)
Cash $390 (credit)
Payment of Freight Charges Include in Invoice (FOB)
April 4.
Accounts Payable : Lyon Company $500 (debit)
Merchandise $500 (credit)
Returned Merchandise to Lyon Company
April 17.
Accounts Payable : Lyon Company $6,010 (debit)
Discount Received $120 (credit)
Cash $5,890 (credit)
Payment of amount due to Lyon Company and discount received
April 18.
Merchandise $13,100 (debit)
Accounts Payable: Frist Corp $13,100 (credit)
Purchased Merchandise on credit from Frist Corp
April 2.
Accounts Payable: Frist Corp $400 (debit)
Purchase allowance $400 (credit)
Received and allowance from Frist Corp
April 28.
Accounts Payable: Frist Corp $12,700 (debit)
Discount Received $127 (credit)
Cash $12,573 (credit)
Payment of amount due to Frist Corp and discount received
Explanation:
See the journals and their narrations prepared above.
At $0.31 per bushel, the daily supply for wheat is 306 bushels, and the daily demand is 459 bushels. When the price is raised to $0.79 per bushel, the daily supply increases to 546 bushels, and the daily demand decreases to 439 bushels. Assume that the price-supply and price-demand equations are linear. a. Find the price-supply equation.
Answer:
The answer is below
Explanation:
a) Find the price supply equation. b) Find the price demand equation. c) Find the equilibrium price and quantity.
Solution:
a) A linear equation is in the form y = mx + b, where m is the slope, y is a dependent variable, x is an independent variable, b is value of y at x = 0.
Let p represent the price and q represent the quantity. Hence we have the points (306, 0.31), (546, 0.79)
Using the formula:
[tex]p-p_1=\frac{p_2-p_1}{q_2-q_1}(q-q_1)\\ \\p-0.31=\frac{0.79-0.31}{546-306} (q-306)\\\\p=0.002q-0.302[/tex]
b) Let p represent the price and q represent the demand. Hence we have the points (459, 0.31), (439, 0.79)
Using the formula:
[tex]p-p_1=\frac{p_2-p_1}{q_2-q_1}(q-q_1)\\ \\p-0.31=\frac{0.79-0.31}{439-459} (q-459)\\\\p=-0.024q+11.326[/tex]
c) At equilibrium, price supply equation = price supply equation
0.002q - 0.302 = -0.024q + 11.326
0.002q + 0.024q = 11.326 + 0.302
0.026q = 11.628
q = 447.23 bushels
p = 0.002q - 0.302 = 0.002(447.23) - 0.302
p = $1.2