Answer and Explanation:
The journal entries are shown below:
1. Accounts Receivable $8,600
To Fees Earned $8,600
(Being Accrued fees earned is recorded)
2. Supplies Expense ($2,830 - $810) $2,020
To Supplies $2,020
(Being supplies expense is recorded)
3. Wages Expense $1,080
To wages payable $1,080
(Being wages expense is recorded)
4. Unearned Rent ($8,430 ÷ 3) $2,810
To Rent Revenue $2,810
(Being unearned rent is recorded)
5. Depreciation Expense $1,440
To Accumulated Depreciation- Equipment $1,440
(Being Depreciation expense is recorded)
A Texas household receives a Social Security check for $1500, which it uses to purchase a $40 pair of shoes made in Thailand by a Thai firm, a $1240 television made by a Korean firm in Korea, and $220 on groceries from a local store. As a result, U.S. GDP increases by $40. increases by $220. increases by $280. increases by $1500.
Answer:
increases by $220.
Explanation:
The computation of the GDP is shown below:
Since the amount of $220 spend on groceries from a local store
And, the other amounts like $1,500, $40 and $1,240 represent the imports so this would not be included in GDP
Therefore the GDP would be increased by $220
When a parent company sells land to a subsidiary at more than book value, the consolidation entries at the end of the period include a debit to the gain on the sale of land. When a parent purchases the bonds of a subsidiary from a nonaffiliate at less than book value, the consolidation entries at the end of the period contain a credit to a gain on bond retirement. Why are these two situations not handled in the same manner on the consolidation worksheet
Answer:
The reasons for these two situations not handled similarly are:
1. The first case involving the sale of land is a transaction between a parent and its subsidiary. Their accounts are consolidated with gains from intercompany transactions eliminated because a parent company cannot recognize gains from sales to itself (group). This implies that all intercompany gains can only be recognized when the sales involve external or non-affiliated entities.
2. In the second case, there is no parent-subsidiary relationship since one organization is described as a non-affiliate. Therefore, there is no need to eliminate the intercompany profit arising from the transaction. Instead, the gain is recognized.
Explanation:
The accounts of companies that are under common control are consolidated by the parent entity. Therefore, during the consolidation process, it becomes necessary to eliminate all intercompany transactions that have not been externally affected.
The following data have been recorded for recently completed Job 450 on its job cost sheet. Direct materials cost was $3,044. A total of 46 direct labor-hours and 104 machine-hours were worked on the job. The direct labor wage rate is $15 per labor-hour. The Corporation applies manufacturing overhead on the basis of machine-hours. The predetermined overhead rate is $13 per machine-hour. The total cost for the job on its job cost sheet would be:__________
a. $11,492
b. $6,722
c. $6,303
d. $9,347
The correct options are
A)$4,332B)$3,734C)$3,072D)$5,086
Answer:
$5086
Explanation:
Total cost is defined as the amount spent in a production process which involves variable cost such as labour and raw materials which change with volume of production.
In addition fixed cost that remain constant with volume of production are also considered as part of total cost.
In the give scenario
Direct materials is $3,044
Direct labour cost is $15 * 46 = $690
Machine use cost $13 * 104 = $1,352
Total cost = 3,044 + 690 + 1,352 = $5,086
2) Company issues
to invites its members to subscribe for its
Deposit scheme. (Advertisement, Circular, Newspapers)
Answer:
Advertisement.
Explanation:
An advertisement can be defined as a strategic process or technique which is typically used to bring an announcement, information or notice to the general public.
This ultimately implies that, an advertisement is a means of communication through the use of mediums such as newspapers, blogs, magazines, television, radio, flyers, pamphlets, etc., to bring a specific information or announcement to the general public.
Generally, advertisements are considered to be a form of promoting an idea, product and services.
Hence, company issues advertisement to invites its members to subscribe for its Deposit scheme.
In 2009 the Ford Motor Company announced plans to spend $490 million on
building a third car assembly plant in China
Briefly explain two likely reasons why the Ford Motor Company plans to build
a third car assembly plant in China
Answer:
Cheaper labor. Cheaper auto parts.Explanation:
China has cheaper labor rates than the United States in comparative industries including in the motor vehicle producing industry. Ford may want to take advantage of this to make cars at a smaller cost in China and therefore make more profit in sales.
Car parts are also easier and cheaper to acquire in China. Steel for instance, is a very valuable commodity in motor vehicle manufacturing and China happens to be the largest producer in the world. Having access to cheaper materials would increase Ford's profitability as well.
i develop my abilities through
Name some of the faculties of Nepal Sanskrit University?
Explanation:
Agricultural Engineering
Answer:
Veda, Philosophy, astronomy, yoga, homeopathy, naturopathy, history, Buddha Darshan etc
Compare: High Rate vs Snowball.
6. A standard repayment term for a home loan is 30 years, or 360 months. How long does it take you to repay your mortgage using this method?
Answer:
High Rate Vs Snowball
With this standard repayment of 30 years or 360 months, it means that it takes 30 years to repay the mortgage using the Snowball method and a shorter period (less than 30 years) to repay the mortgage using the High Rate method.
Explanation:
The Snowball method is a better method of repaying a loan. This method encourages paying off the loan with the smaller balance first instead of paying off the loan with the higher rate first. The only advantage of the High Rate method is that the loan is repaid quickly with less interest.
Mr. Smith decides to feed his pet Doberman pinscher a combination of two dog foods. Each can of brand A contains units of protein, 1 unit of carbohydrates, and 2 units of fat and costs cents. Each can of brand B contains 1 unit of protein, 1 unit of carbohydrates, and units of fat and costs cents. Mr. Smith feels that each day his dog should have at least units of protein, units of carbohydrates, and units of fat. How many cans of each dog food should he give to his dog each day to provide the minimum requirements at the least cost? Mr. Smith should give his dog nothing can(s) of brand A and nothing can(s) of brand B to provide the minimum requirements at the least cost.
Answer:
hello your question is incomplete below is the complete question
Mr. Smith decides to feed his pet Doberman pinscher a combination of two dog foods. Each can of brand A contains 3 units of protein, 1 unit of carbohydrates, and 2 units of fat and costs 80 cents. Each can of brand B contains 1 unit of protein, 1 unit of carbohydrates, and 6 units of fat and costs 50 cents. Mr. Smith feels that each day his dog should have at least 6 units of protein, 4 units of carbohydrates, and 12 units of fat. How many cans of each dog food should he give to his dog each day to provide the minimum requirements at the least cost? *Mr. Smith should give his dog ___ can(s) of brand A and ___ can(s) of brand B
answer : 1.5 cans of brand A and 1.5 cans of brand B
Explanation:
Food A contains :
3 units of protein , 1 unit of carbohydrates, 2 units of fat
cost of food A = 80 cents
Food B contains :
1 unit of protein , 1 unit of carbohydrates, 6 units of fat
cost of food B = 50 cents
minimum ingredients required in the dog food daily
6 units of protein , 4 units of carbohydrates, 12 units of fat
In order to achieve the minimum/least cost of 195 cent. Mr. smith should give his dog 1.5 cans of Brand A and 1.5 can of brand B
attached below is the detailed solution
Roe Corporation owns 2,000 shares of WRJ Corporation stock. WRJ Corporation has 25,000 shares of stock outstanding. WRJ paid $4 per share in cash dividends to its stockholders. The entry to record the receipt of these dividends is:
a. Debit Cash, $8,000; credit Long-Term Investments, $8,000.
b. Debt Long-Term Investment, $8,000; credit Cash, $8,000.
c. Debit Cash, $8,000; credit Dividend Revenue, $8,000.
d. Debit Unrealized Gain-Equity, $8,000; credit Cash, $8,000.
e. Debit Cash, $8,000; credit Unrealized Gain-Equity, $8,000.
Answer:
c. Debit Cash, $8,000; credit Dividend Revenue, $8,000
Explanation:
In the given scenario the number of shares owned by Roe Corporation is 2,000 shares out of a total of 25,000 shares.
So when dividend of $4 is given per share, Roe will have dividend of
Dividend = Number of shares * Dividend per share
Dividend = 2000 * 4
Dividend = $8,000
The entry to indicate reciept of the dividend will be Debit Cash, $8,000; credit Dividend Revenue, $8,000
Cash is an asset account. It increases as the debit balance increases.
So a reciept of $8,000 from the shares owned will result in a cash increase. Therefore cash is debited $8,000
Dividend revenue is a revenue account that increases as positive balance increases.
When the share dividend is recieved revenue increases.
Therefore we will credited Dividend revenue by $8,000 to recognise the increase in revenue
The income statements of all corporations are in the same format. True or false? Discuss.
Answer:
False
Explanation:
This is false because there are multiple types of statements. There are classified income statements, profit and lose income statement, and an operating statement.
Here are selected 2017 transactions of Marigold Corporation.
Jan. 1 Retired a piece of machinery that was purchased on January 1, 2007. The machine cost $63,000 and had a useful life of 10 years with no salvage value.
June 30 Sold a computer that was purchased on January 1, 2015. The computer cost $37,000 and had a useful life of 4 years with no salvage value. The computer was sold for $6,000 cash.
Dec. 31 Sold a delivery truck for $9,130 cash. The truck cost $24,500 when it was purchased on January 1, 2014, and was depreciated based on a 5-year useful life with a $3,400 salvage value.
Required:
Journalize all entries required on the above dates, including entries to update depreciation on assets disposed of, where applicable.
Answer:
Date Account and explanation Debit$ Credit$
Jan 1 Accumulated depreciation-Machine 63000
Machine 63000
June 30 Depreciation expense (37000/4)*6/12 4625
Accumulated depreciation-Computer 4625
(To record Dep)
June 30 Cash 6000
Accumulated depreciation-Computer 23125
(37000/4*2.5)
Loss on sale of computer 7875
Computer 37000
(To record sale of computer)
Dec 31 Depreciation expense (24500-3400/5) 4220
Accumulated depreciation-Delivery truck 4220
(To record Depreciation)
Dec 31 Cash 9130
Accumulated dep-Delivery truck 16880
Gain on sale of delivery truck 1510
Delivery truck 24500
(To record sale of computer)
Northwood Company manufactures basketballs.
The company has a ball that sells for $25.
At present, the ball is manufactured in a small plant that relies heavily on direct labor workers.
Thus, variable expenses are high, totaling 15% per ball, of which 60 percent is direct labor cost.
Last year, the company sold 30,000 of these balls, with the following results:
Sales $750,000
Variable expenses (450,000)
Contribution margin 300,000
Fixed expenses (210,000)
Net operating income$ 90,000
1. Compute the CM ratio and the break-even point in quantity of balls.
2. Compute the degree of operating leverage at last year's sales level.
3. Due to an increase in labor rates, the company estimates that variable expenses will increase by $3 per ball next year.
If this change takes place and the selling price per ball remains constant at $25, what will be the new CM ratio and break-even point in quantity of balls?
4. Refer to the data in (3) above. If the expected change in variable expenses takes place, how many balls will have to be sold next year to earn the same net operating income, $90,000, as last year?
5. Refer again to the data in (3) above. The president feels that the company must raise the selling price of its basketballs.
If Northwood Company wants to maintain the same contribution margin ratio as last year, what selling price per ball must it charge next year to cover the increased labor costs?
6. Refer to the original data. The company is discussing the construction of a new automated manufacturing plant. The new plant would slash variable expenses per ball by 40%, but it would cause fixed expenses per year to double.
If the new plant is built, what would be the company's new CM ratio and new break-even point in quantity of balls?
7. Refer to the data in (6) above. If the new plant is built, how many balls will have to be sold next year to earn the same net operating income, $90,000, as last year?
8. Assume the new plant is built and that next year the company manufactures and sells 30,000 balls (the same number as sold last year).
Prepare a contribution format income statement and compute the degree of operating leverage.
Answer:
Northwood Company
1. Contribution margin ratio = Contribution per unit/Selling price * 100
= $10/$25 * 100
= 40%
Break-even point in quantity of balls = Fixed cost/Contribution margin
= $210,000/$10
= 21,000 balls
Degree of operating leverage = Contribution margin divided by Net operating income (sales minus variable costs and fixed costs)
= $300,000/$90,000
= 3.33
New CM ratio =
Selling price $25
Variable cost 18 (15 + 3)
Contribution $7
Contribution margin ratio = $7/$25 * 100
= 28%
3. Break-even point in quantity of balls = Fixed expenses/contribution margin = $210,000/$7
= 30,000 balls
4. Break-even point in quantity of balls to achieve a target profit of $90,000
= (Fixed cost + Target profit)/$7
= ($210,000 + $90,000)/$7
= $300,000/$7
= 42,857 balls
5. The selling price per ball must increase to:
Variable cost = $15 + $3 = $18 = 60% of selling price
Therefore, new selling price = $18/60%
= $30
6. Selling price = $25
Variable = 9 ($15 * 60%)
Contribution $16 ($25 - $9)
Fixed expenses = $420,000 (210,000 * 2)
New CM ratio = $16/$25 * 100
= 64%
Break-even point in quantity of balls = Fixed expenses/Contribution margin
= $420,000/$16
= 26,250 balls
7. To earn target net operating income of $90,000, the quantity of balls will be:
= ($420,000 + $90,000)/$16
= $510,000/$16
= 31,875 balls
8. Contribution Format Income Statement:
Sales Revenue $750,000 ($25 * 30,000)
Variable expenses 270,000 ($9 * 30,000)
Contribution margin $480,000
Fixed expenses 420,000
Net operating income $60,000
Degree of operating leverage = Net operating income/Contribution margin
= $60,000/$480,000
= 0.125
Explanation:
a) Data and Calculations:
Selling price per ball = $25
Variable cost per ball = $15 ($450,000/30,000)
Contribution per ball = $10
Fixed expenses = $210,000
Net operating income = $90,000
Sales $750,000
Variable expenses (450,000)
Contribution margin 300,000
Fixed expenses (210,000)
Net operating income$ 90,000
b) Northwood's degree of operating leverage (DOL) measures how much the operating income of the company will change as a result of a change in its sales. The DOL ratio, which is a multiple, enables analysts to determine the impact of any change in sales on the earnings or profits of Northwood Company in a given year.
Project X and project Y have the same number of activities (500 activities each). Project X has 25 critical paths and project Y has 3 critical paths through the network. As a result, project X has several more activities in the critical paths than that of project Y. Which project will most likely be harder to manage (i.e., completing the project on-time by the due date) for the project manager
Answer:
Project X
Explanation:
Project X is going to be more difficult for the manager to manage. This is because X has many critical paths which are multiple compared to that of project Y.
More of these critical paths means that there would be a reduction in the likelihood of the project being successful. These critical paths and activities can affect the date of completion that was planned for the project. A project like X can be time consuming and expensive for the manager
Talbot Industries is considering launching a new product. The new manufacturing equipment will cost $19 million, and production and sales will require an initial $5 million investment in net operating working capital. The company's tax rate is 25%. Enter your answers as a positive values. Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55. Round your answers to two decimal places. What is the initial investment outlay
Answer:
$24 million
Explanation:
Initial investment outlay includes the cost of the new manufacturing equipment and the net operating working capital.
Initial investment outlay = cost of the new manufacturing equipment + net operating working capital.
$19 million + $5 million = $24 million
On January 1, 20X1, Beard Company purchased a machine for $620,000. The machine is expected to have a 10-year life, with no salvage value, and will be depreciated by the straight-line method. On January 1, 20x1, it leased the machine to Child Company for a three-year period at an annual rental of $128,000 to be paid at the end of each year. Beard could have sold the machine for $817,298 instead of leasing it. Child does not know the implicit rate in the lease, but it has an incremental rate of 9%. Child Company has a December 31 reporting year. Use tables (PV of 1, PVAD of 1, and PVOA of 1 (Use the appropriate factor(s) from the tables provided. Round your intermediate calculations and final answers to the nearest whole dollar amount.)
Required:
1. Why is this an operating lease for Child Company?
2. What are the amounts of the right-of-use asset and lease liab that Child Company should report on its balance sheet at December 31, 20X1?
3. How much lease expense should Child Company recognize in 20X1?
Answer:
1. Why is this an operating lease for Child Company?
The life of the asset is 10 years while the lease is only 3 years long, so it cannot be classified as a financial lease.
2. What are the amounts of the right-of-use asset and lease liability that Child Company should report on its balance sheet at December 31, 20X1?
annual lease payment = $128,000 (ordinary annuity)
PVIFA, 9%, 3 periods = 2.5313
present value = $128,000 x 2.5313 = $324,006.40
3. How much lease expense should Child Company recognize in 20X1?
lease expense = PV of lease x interest rate = $324,006.40 x 9% = $29,160.58
The purpose of market research by entrepreneurs is to:
a) Gather data
b) Analyze data
c) Make better decisions
d) None of the above
Submit
Answer:
C Make better decisions
Answer:
the answer is C to make better decisions
If a marketer wanted to find out which kinds of perfumes most women in a
large city prefer, which of these methods would be the most effective in
gathering data?
A. Survey
B. Focus group
C. Observation
D. Experiment
If a marketer wanted to find out which kinds of perfumes most women in a large city prefer, the method that would be the most effective in gathering data is Survey. Thus the correct option is A.
What is the importance of data collection for marketers?Data plays a significant role in formulating strategies and helps busines to achive higher revenue. The collected information and data help them to understand the fluctuations in the market and help to know the taste and preferences of customers.
The survey is referred to as a method of data collection in which a series of questions are asked to the people. These questions are related to the product and the response of individuals toward that.
This survey is taking place between a specified group of people where questions related to their group of interests are asked. In the given case, the marketer needs to ask about preferences in the kinds of perfumes illustrating the features of the survey.
Therefore, option A is appropriate.
Learn more about the survey, here:
https://brainly.com/question/28268462
#SPJ2
The following income statements are provided for two companies operating in the same industry:
Felix Company
Jinx Company Revenue $ 200,000 $ 200,000
Variable costs (25,000 ) (70,000 )
Contribution margin 175,000 130,000
Fixed costs (70,000 ) (25,000 )
Net income $ 105,000 $ 105,000
Assuming sales increase by $1,000, select the correct statement from the following:
a) Felix's net income will be more than Jinx's.
b) Correct Only Felix will experience an increase in profit.
c) Felix's net income will increase by $250.
d) Jinx's net income will increase by 6%.
Answer: Felix's net income will be more than Jinx's.
Explanation:
Bases on the information given, Felix net income will be:
Sales = 201000
Less: Variable cost = 25125
Contribution margin = 175875
Less: Fixed cost = 70000
Net income = 105875
Jinx company net income will be:
Sales = 201000
Less: Variable cost = 70350
Contribution margin = 130650
Less: Fixed cost = 25000
Net income = 105650
From the calculation, the correct option is A "Felix's net income will be more than Jinx's". It increases by $225.
The following information was provided by Dylan Manufacturing: Work in process increased by $19,000. Finished goods inventory decreased by $33,000. Direct materials used totaled $54,000. Direct labor incurred totaled $42,000. The predetermined manufacturing overhead rate was $27.00 per machine hour. Actual manufacturing overhead totaled $77,000. The estimated machine-hours were 3,000 hours and the actual machine-hours was 2,800 hours. How much is the cost of goods sold before any adjustment for overapplied or underapplied overhead
Answer:
$185,600
Explanation:
Direct materials $54,000
Direct labour $42,000
Predetermined OH $75,600 (2800*$27)
Cost of goods manufactured $171,600
Cost of goods sold = Cost of goods manufactured + WIP increase - Finished good decrease
Cost of goods sold = $171,600 + (-$19,000) + $33,000
Cost of goods sold = $185,600
Degelman Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2014, Job No. 50 was the only job in process. The costs incurred prior to January on this job were as follows: direct materials $23,400, direct labor $24,040, and manufacturing overhead $28,720. As Of January 2, Job NO. 49 had been completed at a cost of $205,300 and was part of finished goods inventory. There was a $27,550 balance in
the Raw Materials Inventory account.
During the month Of January, Deglman Manufacturing began production on Jobs 52 and 52, and completed Jobs 50 and 51. Jobs 49 and 50 were also sold on account during the month for $142,740 and $284,860, respectively. The following additional events occurred during the month.
1. Purchased additional raw materials of $105,300 on account.
2. Incurred factory labor costs of $81,900. Of this amount $18,720 related to employer payroll taxes.
3. Incurred manufacturing overhead costs as follows: indirect materials $19,890; indirect labor $23,400; depreciation expense on equipment $14,040; and various other manufacturing overhead costs on account $18,720.
4. Assigned direct materials and direct labor to jobs as follows.
Job No Direct Materials Direct Labor
50 $11,700 $5,850
51 45,630 29,250
52 35,100 23,400
Required:
Open job cost sheets for Jobs 50, 51, and 52. Enter the January 1 balances on the job cost sheet for Job No. 50.
Answer:
Degelman Company
Job Cost Sheets:
Job 50 Job 51 Job 52
Beginning balances:
Direct materials $23,400
Direct labor $24,040
Manufacturing overhead $28,720
Direct materials 11,700 $45,630 $35,100
Direct labor 5,850 29,250 23,400
Manufacturing overhead 7,605 38,025 30,420
Total cost of Job 50 $101,315 $74,880 $88,920
Explanation:
a) Data and Calculations:
Beginning WIP: Job 50
Direct materials $23,400
Direct labor $24,040
Manufacturing overhead $28,720
Total cost of Job 50 $76,160
Finished Goods Inventory:
Completed Job No. 49 at a cost of $205,300
Raw materials $27,550
Sales of Job 49 = $142,740
Sales of Job 50 = $284,860
Manufacturing overhead:
indirect materials $19,890;
indirect labor $23,400;
depreciation expense
on equipment $14,040;
other manufacturing
overhead costs $18,720
Total overheads $76,050
Applied Overhead:
Direct Labor Overhead Applied
Job 50 5,850 $7,605
Job 51 29,250 38,025
Job 52 23,400 30,420
Total $58,500 $76,050
Overhead rate = 76,050/58,500 = $1.30
Aerotron Electronics has just bought a used delivery truck for $15,000. The small business paid $1,000 down and financed the rest, with the agreement to pay nothing for the entire first year and then to pay $526.83 at the end of each month over years 2, 3, and 4 (first payment is in 13th month). a. What nominal interest rate is Aerotron paying on the loan
Answer:
Nominal interest rate = 12.23%
Explanation:
Given - Aerotron Electronics has just bought a used delivery truck for
$15,000. The small business paid $1,000 down and financed the
rest, with the agreement to pay nothing for the entire first year and
then to pay $526.83 at the end of each month over years 2, 3, and
4 (first payment is in 13th month).
To find - a. What nominal interest rate is Aerotron paying on the loan.
Proof -
As given ,
Price - $15,000
Down Payment - $1,000
⇒Loan Payment = $15,000 - $1,000
As given,
He will not pay for the entire first year. After that he will pay $526.83 for next 3 years.
Now,
Interest rate for 1 month = r %
So,
Loan after 1 year = 14,000( 1 + r)¹²
And
Annuity factor = [tex]\frac{1}{r} - \frac{1}{r}. \frac{1}{(1+r)^{t} }[/tex]
and t = 3 years = 36 months
Now,
As we know,
Monthly loan payment = [tex]\frac{Loan amount}{Annuity factor}[/tex]
⇒$526.83 = 14,000( 1 + r)¹² / [tex]\frac{1}{r} - \frac{1}{r}. \frac{1}{(1+r)^{t} }[/tex]
By solving we get
r = 1.019%
Now,
Nominal interest rate = 1.019%×12 = 12.23%
You work for NCP, New Century Properties, in Portland, Oregon. Your employer specializes in commercial real estate. Yesterday one of your business tenants in the trendy NW 23rd neighborhood complained about problems with an iron gate you had installed by Castle Iron Works just six months earlier, on August 20. Apparently, the two doors of the gate have settled and don’t match in height. The gate gets stuck. It takes much force to open, close, and lock the gate. The iron gate was painted, and in some spots rust is bleeding onto the previously pristine white paint. The tenant at 921 NW 23rd Ave., Portland, OR 97210 is a petite shop owner, who complained to you about struggling with the gate at least twice a day when opening and closing her store.
You realize that you will have to contact the installer, Castle Iron Works, and request that the company inspect the gate and remedy the problem. Only six months have passed, and you recall that the warranty for the gate was for one year. To have a formal record of the claim, and because Castle Iron Works does not use e-mail, you decide to write a claim letter.
Solution :
To,
John Gordon,
Castle Iron Works,
256 NW Fox Street,
Portland
Date : 16th Feb 2021
Subject : NW 23rd neighborhood Iron Gate not working properly which is within warrantee period.
Dear Sir,
One of our tenant at 921 NW 23rd Avenue, Portland, or 97210 has complained about the iron gate that was installed by Castle Iron Works. The doors was installed on the 20th of August and so it is within warrantee period for a one year. Please find the enclosed herewith the copy of the invoice of the Castle Iron Works.
The customer had complaint that the two gates does not match in height and the owner is finding difficulty in closing and opening the gate. Also to mention , in some parts of the iron gate is seen with some rust bleeding.
Therefore you are requested to inspect the gate immediately and please provide remedy for the issue.
Thanking You
For NCP, New Century Properties
Portland, Oregon.
The wireless phone manufacturing division of a consumer electronics company uses activity-based costing. For simplicity, assume that its accountants have identified only the following three activities and related cost drivers for indirect production costs: Activity Cost Driver Materials handling Direct-materials cost Engineering Engineering change notices Power Kilowatt hours Three types of cell phones are produced: Senior, Basic, and Deluxe. Direct costs and cost-driver activity for each product for a recent month are as follows: Senior Basic Deluxe Direct-materials cost $25,000 $ 60,000 $135,000 Direct-labor cost $14,546 $ 3,762 $ 6,772 Kilowatt hours 230,000 220,000 100,000 Engineering change notices 21 20 69 Indirect production costs for the month were as follows: Materials handling $ 15,400 Engineering 99,000 Power 11,000 Total indirect production cost $125,400 1. Compute the indirect production costs allocated to each product with the ABC system. 2. Suppose all indirect production costs had been allocated to products in proportion to their direct labor costs. Compute the indirect production costs allocated to each product. 3. In which product costs, those in requirement 1 or those in requirement 2, do you have the most confidence
Answer:
1. The indirect production costs allocated to each product with the ABC system:
Senior Basic Deluxe Total
Total indirect production cost $25,250 $26,600 $73,550 $125,400
2. The indirect production costs allocated to each product with direct labor costs:
Senior Basic Deluxe Total
Total indirect production cost $72,730 $18,810 $33,860 $125,400
3. I repose much more confidence in the product costs according to requirement 1.
Explanation:
a) Data and Calculations:
Activity Cost Driver
Materials handling
Direct-materials cost
Engineering Engineering
Senior Basic Deluxe Total
Direct-materials cost $25,000 $ 60,000 $135,000 $220,000
Direct-labor cost $14,546 $ 3,762 $ 6,772 $25,080
Kilowatt hours 230,000 220,000 100,000 550,000
Engineering change notices 21 20 69 110
Indirect production costs:
Materials handling $ 15,400 $15,400/$220,000 = $0.07
Engineering 99,000 $99,000/110 = $900
Power 11,000 $11,000/550,000 = $0.02
Total indirect production cost $125,400
Overhead Senior Basic Deluxe
Rates
Materials handling $0.07 $1,750 $4,200 $9,450
Engineering $900 18,900 18,000 62,100
Power $0.02 4,600 4,400 2,000
Total indirect production cost $25,250 $26,600 $73,550
Allocation based on direct labor costs:
Predetermined rate = $5 per direct labor cost.
Senior Basic Deluxe Total
Total indirect production cost $72,730 $18,810 $33,860 $125,400
The following transactions occurred during March 2021 for the Wainwright Corporation. The company owns and operates a wholesale warehouse.
Issued 30,000 shares of no-par common stock in exchange for $300,000 in cash.
Purchased equipment at a cost of $40,000. $10,000 cash was paid and a notes payable to the seller was signed for the balance owed.
Purchased inventory on account at a cost of $90,000. The company uses the perpetual inventory system.
Credit sales for the month totaled $120,000. The cost of the goods sold was $70,000.
Paid $5,000 in rent on the warehouse building for the month of March.
Paid $6,000 to an insurance company for fire and liability insurance for a one-year period beginning April 1, 2021.
Paid $70,000 on account for the merchandise purchased in 3.
Collected $55,000 from customers on account.
Recorded depreciation expense of $1,000 for the month on the equipment.
Prepare journal entries to record each of the transactions listed above. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Answer:
Wainwright Corporation
Journal Entries:
a. Debit Cash $300,000
Credit Common Stock $300,000
To record the issue of 30,000 shares of no-par common stock for cash.
b. Debit Equipment $40,000
Credit Cash $10,000
Credit Notes Payable $30,000
To record the purchase of equipment.
c. Debit Inventory $90,000
Credit Accounts payable $90,000
To record the purchase of inventory on account.
d. Debit Accounts receivable $120,000
Credit Sales revenue $120,000
To record the sale of goods on account.
Debit Cost of Goods Sold $70,000
Credit Inventory $70,000
To record the cost of goods sold.
Debit Rent Expense $5,000
Credit Cash $5,000
To record the rent expense for the month.
Debit Prepaid Insurance $6,000
Credit Cash $6,000
To record the prepayment of insurance for one year.
Debit Accounts payable $70,000
Credit Cash $70,000
To record the payment on account.
Debit Cash $55,000
Credit Accounts receivable $55,000
To record the collection of cash from customers.
Debit Depreciation Expense - Equipment $1,000
Credit Accumulated Depreciation - Equipment $1,000
To record the depreciation expense for the month.
Explanation:
General journal entries are used to initially record all types of transaction in the accounting records. They form the basis for posting to the general ledger. They also indicate the accounts to be debited or credited in the general ledger.
Use the following to answer questions 5-8
Bank Reconciliation: Identify whether the item should be added or subtracted from the bank balance or the company balance. Use the number 1-4) for your response. For instance, if the amount should be added to bank statement balance you would input 1.
1. Added to bank statement balance
2. Subtracted from bank statement balance
3. Added to company cash balance
4. Subtracted from company cash balance
Item
5 Bank deducted too much out of the checking account
6 Bank charge for new checks ordered for the checking account
7 Interest earned on the checking account
8 Checks written but have not cleared the bank yet
Use the following to answer questions 9-11 On February 28th, the general ledger of CAC shows a balance for cash of $220,000 Cash receipts yet to be deposited into the checking account total $126,000, while checks written by CAC but not yet processed by the bank total $147,500. The company's balance of cash does not reflect a NSF check of $119, a service fee of $20 and interest earned of $32 and a customer payments collected by the bank of $6,250; however, these amounts are included in the balance of cash of $247,643 reported by the bank as of the end of February
Answer the following based on the process of doing the bank reconciliation:
9. $________ Determine the total amount that is used to reconcile the Bank balance include if needed):
10. _______Determine the total amount that is used to reconcile the Company cash balance (include "-" if needed)
11. ________What is the balance in the company's cash account after the reconciliation?
Answer:
Item Identification
5. Bank deducted too much out of Added to bank statement balance
the checking account
6. Bank charges for new checks Subtracted from company cash
ordered for the checking amount
balance
7. Interest earned on the checking Added to company cash balance
account
8. Checks written but have not Subtracted from bank statement
cleared the bank yet balance
9. Total sum of amount used to reconcile the bank balance = Deposit in transit - Outstanding checks = $126,000 - $147,500 = -$21,500
10. Total amount used to reconcile the company cash balance = Interest earned - NSF check - Service fee + Customer payment collected by bank = $32 - $119 - $20 + $6,250 = $6,143
11. Balance in company's cash account after reconciliation = Cash balance on Feb 28 + Total amount used to reconcile the company cash balance = $220,000 + $6,143 = $226,143
A u.s navy recruiting center knows from past experience that the height of its recruits traditionally been distributed with mean 69 inches. The recruiting center wants to test the claim that the average height of this year's recruits is greater than 69 inches. To do so recruiting personnel to take a random sample of 64 recruits from this year and recorded their heights.
a. identify the null and alternate hypothesis.
b. Do the recruiters find support form the given claim at the 5% significance level.
c. Use sample date to calculate a 95% confidence interval for the average height .conclude?
Recruit Height
1 74.5
2 74.0
3 74.6
4 69.8
5 76.0
6 72.3
7 66.0
8 70.6
9 71.9
10 71.4
11 70.6
12 73.9
13 69.3
14 75.3
15 71.5
16 65.5
17 60.5
18 71.9
19 70.7
20 70.6
21 73.4
22 72.1
23 69.3
24 74.7
25 68.5
26 70.5
27 70.0
28 69.9
29 71.7
30 73.0
31 68.8
32 75.0
33 67.5
34 71.3
35 69.5
36 65.3
37 74.8
38 70.5
39 71.5
40 67.6
41 69.1
42 72.1
43 72.8
44 68.3
45 71.8
46 67.1
47 72.3
48 70.7
49 70.4
50 69.1
51 70.8
52 71.6
53 73.6
54 64.8
55 68.5
56 68.5
57 74.3
58 66.5
59 74.8
60 74.1
61 71.6
62 66.3
63 67.1
64 71.7
Answer:
A)The Null hypothesis ; H0 : u ≤ 69
The Alternate hypothesis ; H1 : u ≥ 69
B) The recruiting center claim is found at 5% significance level
C) ( 69.9488, 71.4512 )
Explanation:
A) Identify the null and alternate hypothesis
since the recruiting center is trying to test if the average height of the year's recruit is > 69. hence
The Null hypothesis ; H0 : u ≤ 69
The Alternate hypothesis ; H1 : u ≥ 69
B) Determine if the recruiters find support from the given claim at the 5% significance level
As a single tailed test we will calculate the mean and standard deviation first using MS excel
mean ( X ) = 70.7
standard deviation ( s ) = 3.02
next we will calculate the test statistic using the formula below
t = [tex]\frac{X-u}{s/\sqrt{n} }[/tex] = [tex]\frac{70.7-69}{3.02/\sqrt{64} }[/tex] = 4.503
next we will determine the P-value using MS excel
t = 4.503 , n = 64
df ( degree of freedom ) = n - 1 ( for a one tailed test )
= 64 - 1 = 63
hence the p-value at 63 degree of freedom = 0.0000148 ( using MS excel )
The p - value < significance level hence Null hypothesis is rejected while Alternate hypothesis is accepted.
The recruiting center claim is valid at 5% significance level
C) using sample data to calculate a 95% confidence interval for the average
The 95% confidence interval for the mean value u = ( 69.9488, 71.4512 )
Therefore The claim made is a reasonable one
attached below is a detailed solution
14) A firm's internal business environment does NOT include its ________.
A) employees
B) patents
C) products
D) technologies
E) customers
Answer:
E) Customers
Explanation:
Took the quiz
How many rooms might one room attendant need to clean in a shift?
ОА.
2
OB.
5
OC.
20
OD.
100
Answer:
5
Explanation:
ya kno da deal
Bellue Incorporated manufactures a single product. Variable costing net operating income was $96,300 last year and its inventory decreased by 2,700 units. Fixed manufacturing overhead cost was $2 per unit for both units in beginning and in ending inventory. What was the absorption costing net operating income last year
Answer:
$101,700
Explanation:
The difference between Variable Costing Income and Absorption Costing Income is due to fixed costs that are deferred in Opening and Closing Inventory. So to calculate Absorption Costing Income we need to adjust
Variable Costing Income with the fixed cost in inventory through a reconciliation as follows :
Reconciliation of Variable Costing Income to Absorption Costing Income
Variable costing net operating income $96,300
Add Fixed cost in stock changes (2,700 x $2.00) $5,400
Absorption costing net operating income $101,700
Thus, the absorption costing net operating income last year is $101,700
