Answer:
the cash outflow for expenses is $106,000
Explanation:
The computation of the cash outflow for expenses is shown below:
Beginning balance $46,000
add; expenses $125,000
less; ending balance -$65,000
Cash outflow for expenses $106,000
Hence, the cash outflow for expenses is $106,000
The outstanding capital stock of Coronado Corporation consists of 1,900 shares of $100 par value, 9% preferred, and 5,400 shares of $50 par value common. Assuming that the company has retained earnings of $87,500, all of which is to be paid out in dividends, and that preferred dividends were not paid during the 2 years preceding the current year, state how much each class of stock should receive under each of the following conditions.
a. The preferred stock is noncumulative and nonparticipating.
b. The preferred stock is cumulative and nonparticipating.
c. The preferred stock is cumulative and participating.
Answer:
preferred stock dividends = 1,900 x $100 x 9% = $17,100
common stocks = 5,400 stocks
a) distribution of dividends:
preferred stocks = $17,100
common stocks = $70,400
b) distribution of dividends:
preferred stocks = $17,100 x 3 = $51,300
common stocks = $36,200
c) distribution of dividends:
preferred stocks = $51,300 + (1,900/7,300 x $19,100) = $56,271
common stocks = $17,100 + (5,400/7,300 x $19,100) = $29,429
Match each variable with the best representation of where it appears in the financial accounting statements. Each is only matched once and some responses might not have a match. - Accounts payable - Change in Accounts Receivable - Change in Notes Payable - Property Plant and Equipment - Revenue - Change in long term debt A. Long Term Liabilities on the Balance Sheet B. The Income Statement C. Current Liabilities on the Balance Sheet D. Financing Segment Statement of Cash flows E. Financing Segment on the Statement of Cash Flows F. Fixed Assets on the Balance Sheet G. Operating Segment on the Statement of Cash Flow
Answer:
Variable Financial accounting statements.
Accounts payable Current liabilities in the balance sheet.
Change in accounts receivable Operating segment on the statement of
Cash flows.
Change in note payable Financing segment on the statement of
cash flows.
Property, Plant and Equipment Fixed assets on the balance sheet.
Revenue The income statement.
Change in long term debt Investing segment on the statement of
cash flows.
Consider an economy in which money does not exist, so that agents rely on barter to carry out transactions. When the economy was small, barter seemed sufficient. However, the economy has now begun to grow. If people in this economy trade five goods, the price tag of each good must list____prices, and the economy requires____prices for people to carry out transactions. Suppose that the number of goods people trade increases to 17. Then the price tag of each good must list____prices, and the number of prices that the economy requires increases to____.
Now suppose that our economy has a money. The government now issues a national currency and there is no longer any barter. In this economy, money and currency are not the same because:____.
1. The fact that the government issues currency means that the currency will be accepted as money by all agents.
2. The fact that the currency is backed by the government means that it will never lose value and will remain a perfect unit of account.
3. Just because the government issues currency does not mean that the currency will be accepted as money, since it must be used as a medium of exchange, store of value and standard of value.
4. Just because the government issues currency does not mean that the currency will be accepted as money, and buyers and sellers still need barter to ensure that money does not lose its value.
Suppose now that our economy is suffering from rapid, ongoing increases in the cost of living. Which characteristic of money is directly negatively impacted in that economy?
1.Medium of exchange.
2.Double coincidence of wants.
3.Store of value.
4.Unit of account.
Answer:
4. Just because the government issues currency does not mean that the currency will be accepted as money, and buyers and sellers still need barter to ensure that money does not lose its value.
Suppose now that our economy is suffering from rapid, ongoing increases in the cost of living. Which characteristic of money is directly negatively impacted in that economy?
3.Store of value.
Explanation:
1. What information is provided by the budget? Specifically, what questions can the bank manager ask of the Operations Department
manager?
2. What information does the static budget fail to provide? Specifically, could the budget information be presented differently to
provide even more insight for the bank manager?
Answer:
Some of the information provided by the budget is...
fixed costs - items such as rent, salaries and financing costs
variable costs - including raw materials and overtime
one-off capital costs - purchases of computer equipment or premises, for example
Some interview questions include:
What would you say is your leadership style?
You have an underperforming team member–how do you handle that?
Your team's morale has been low–how would you go about fixing that?
Tell me about a past project that did not go as planned.
2. One key disadvantage of a static budget is that it is not flexible and so it cannot be changed to take advantage of changes in revenue or expenses as the year proceeds. With a static budget, companies cannot manage the impact of changes, for example, by decreasing a portion of the budget in response to slow sales.
Explanation:
Hopefully this helps!
Question Mode Multiple Select Question Select all that apply At the end of the previous year, a customer owed Chocolates R US $500. On January 31 of the current year, the customer paid $900 total, which included the $500 owed plus $400 owed for the current month of January. What would be the journal entry on January 31 that reflects this
Answer:
January 31
Dr Cash $900.
Cr Service revenue $400.
Cr Accounts receivable $500.
Explanation:
Preparation of the journal entry
Based on the information given What would be the journal entry on January 31 that reflects this are :
January 31
Dr Cash $900.
Cr Service revenue $400.
Cr Accounts receivable $500.
The following information pertains to Darius Jakande's personal financial transactions. Opening Balances - December 1, 2018 Cash $14,200 Contents of Home $1,900 Automobile $19,900 House $156,900 Unpaid Accounts $6,400 Bank Loan $55,700 Transactions for the month of December 2018. 1. Paid maintenance expenses for the month of December with $800 cash. 2. Purchased a new computer worth $2,800 with cash. 3. Paid credit card liability of $6,400 (Unpaid Accounts) in full. 4. Paid telephone, electricity and water bill for December with $600 cash. 5. Purchased $2,100 of groceries and goods for personal consumption with cash. 6. Deposited $4,100 salary earned during the month. Do not enter dollar signs or commas in the input boxes. Use the negative sign for a deficit. The T-Account fields are labeled by transaction number. Record each transaction by entering the value into the corresponding T-Account field. Required a) Using the information provided, record the opening balances in the T-accounts. b) Record the transactions for the month of December in the T-accounts.
Answer:
Darius Jakande
T-accounts:a) Opening balances:
Cash
Account Title Debit Credit
Beginning balance 14,200
Contents of Home
Account Title Debit Credit
Beginning balance 1,900
Automobile
Account Title Debit Credit
Beginning balance 19,900
House
Account Title Debit Credit
Beginning balance 156,900
Unpaid Accounts
Account Title Debit Credit
Beginning balance 6,400
Bank Loan
Account Title Debit Credit
Beginning balance 55,700
Net Worth
Account Title Debit Credit
Beginning balance 130,800
b) Transactions for the month of December:
Cash
Account Title Debit Credit
Beginning balance 14,200
Maintenance expenses 800
Computer 2,800
Unpaid accounts 6,400
Utilities expenses 600
Food expenses 2,100
Salary 4,100
Contents of Home
Account Title Debit Credit
Beginning balance 1,900
Computer
Account Title Debit Credit
Cash 2,800
Automobile
Account Title Debit Credit
Beginning balance 19,900
House
Account Title Debit Credit
Beginning balance 156,900
Unpaid Accounts
Account Title Debit Credit
Beginning balance 6,400
Cash 6,400
Bank Loan
Account Title Debit Credit
Beginning balance 55,700
Net Worth
Account Title Debit Credit
Beginning balance 130,800
Salary Income
Account Title Debit Credit
Cash 4,100
Maintenance Expenses
Account Title Debit Credit
Cash 800
Utilities Expenses
Account Title Debit Credit
Cash 600
Food Expenses
Account Title Debit Credit
Cash 2,100
Explanation:
a) Data and Calculations:
Opening Balances - December 1, 2018
Cash $14,200
Contents of Home $1,900
Automobile $19,900
House $156,900
Total assets $192,900
Unpaid Accounts $6,400
Bank Loan $55,700
Total liabilities $62,100
Net Worth = $130,800 ($192,900 - $62,100)
Stupendous Productions, Inc. again this year want to put on its Rock-and-Roll Revival, a two-week fesitval with some of the greatest acts in the music industry, on your land. You are not sure you want to allow Stupendous Productions, Inc. to put on the festival. Stupendous is threatening legal action. What should Stupendous ask the Court to find?A. A prescriptive easementB. An implied license base upon prior useC. Breach of contractD. None of the above
Answer:
A. A prescriptive easement
Explanation:
A prescriptive easement is defined as the right of a person to use another person's property for a legally defined period of time.
This does not confer ownership to the user only the right to use the land.
In the given scenario Stupendous Productions, Inc. again this year want to put on its Rock-and-Roll Revival, a two-week fesitval with some of the greatest acts in the music industry, on your land.
Since they had used the land before, in court they can ask for a prescriptive easement to use the land for the concert
Which of the following is a reason companies are hiring temporary workers more often than in the past?
A- Temporary employees work harder than permanent employees.
B- Temporary workers are more loyal to the company, thereby making them more productive.
C- Most companies provide temporary workers with very few, if any, benefits.
D- Workers seeking temporary employment are better educated than those seeking permanent employment
2. What are the ways of forecasting cost of sales?
a. cost of materials
b. cost of labor
c. cost of overhead
d. all of the choices
Answer:
d. all of the choices
Explanation:
Cost of Goods sold = Cost of material purchased + Conversion cost
And
Conversion cost hereby includes Direct labor cost and other production overheads directly attributable to the Goods sold.
So, The correct option is - d. all of the choices
Think about the following products: cell phone, automobile, clothing, and social media site. Personally, how would you determine and assess the concept of value to the customer for each of these products? Which aspects, technical or social, have the most weight? Would you say that your analysis would be legitimate for others making the same decision?
Answer:
There are various aspects that would have the most weight.
Explanation:
If a product's demand rises as income rises, ceteris paribus, the product is
a) an inferior good
b) not enough information
c) a notmal good
d) outside of the market equilibrium
Generally, when a product's demand rises as income rises, ceteris paribus, the product is outside of the market equilibrium
Market equilibrium occurs when a market price of quantity demanded is equal to the quantity supplied
Hence, when a product's demand rises as income rises, ceteris paribus, the product is outside of the market equilibrium
In conclusion, the Option D is correct.
Read more about Market equilibrium
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What is a conversion rate?
Answer:
number of conversions divided by the total number of visitors.
Explanation:
Answer:
In electronic commerce, conversion marketing is marketing with the intention of increasing conversions--that is, site visitors who are paying customers. The process of improving the conversion rate is called conversion rate optimization.
4. The following is Arkadia Corporation's contribution format income statement for last month: Sales $1,200,000 Variable expenses 800,000 Contribution margin 400,000 Fixed expenses 300,000 Net operating income $100,000 The company has no beginning or ending inventories and produced and sold 20,000 units during the month. (Each requirement is worth 3 points for a total of 18 points) Required: a. What is the company's contribution margin ratio
Answer:
Missing word "sold 20,000 units during the month at a sales price of $60 per unit.. b. What is the company's degree of operating leverage? c. How many units would the company have to sell to achieve a desired operating income before taxes of $150,000?"
a. Contribution Margin Ratio = Contribution margin / Sales
= 400000 / 1200000
= 0.3333
= 33.33%
b. Operating Leverage = Contribution / Net Income
= 400000 / 100000
= 4 Times
c. Sale to achieve desired profit = (Fixed Cost + Desired Profit) / Contribution Margin Ratio
= (300000 + 150000) / 0.3333
= $1350000
Sales in Units = $1350000 / 60 units = 22500 units
You start a new business in town that is very successful. However, you find out after the first year of operation that you must have a safety permit, and that safety permit must be obtained upon commencement of your business. Obviously you have violated the law. You never had any training in running a business nor did anyone tell you about this law. You can tell the judge you did not know what the law was and he will dismiss your case because of that.
a. True
b. False
Answer:
b. False
Explanation:
False, the judge will not dismiss your case because the fact that you did not know about the safety permit does not exonerate you from fulfilling or breaching the law. As an entrepreneur, it is your legal responsability to meet all license requirements and permits that opening a business in your state requires.
It is false that the judge will dismiss your case because of ignorance.
What is ignorance of the law?It is a legal principle that binds a person that is not aware of law and such individual may not escape the liability for violating the law merely by not being aware of its content.
Although ignorance of the law, is not a defence for violating a principle or law.
It is important as an entrepreneur, to meet all license and permits requirements for opening a business in your state.
Therefore, It is false that the judge will dismiss your case because of ignorance.
Learn more on Law here,
https://brainly.com/question/13383200
How do you make people interested in your business?
Identify Your Ideal Client. It's easier to look for customers if you know the type of consumers you seek.
Discover Where Your Customer Lives.
Know Your Business Inside and Out.
Position Yourself as the Answer.
Try Direct Response Marketing.
Build Partnerships.
Follow Up.
Attract New Customers Using Social Media. Optimizing your social media accounts takes very little time to do and can significantly increase your reach.
Improve Website SEO.
Engage with Loyal Customers.
Collaborate with Local Business Partners.
Social Media Giveaways.
Explanation:
Ask for referralsNetworkoffer discounts and incentive for new customers onlyRe- contact old customersImprove your websitepartners with complementary businesspromote your expertiseuse online reviews to your advantageAn investor, who believes the economy is slowing down, wishes to reduce the risk of her portfolio. She currently owns 12 securities, each with a market value of $3,000. The current beta of the portfolio is 1.21 and the beta of the riskiest security is 1.62. What will the portfolio beta be if the riskiest security is replaced with a security of equal market value but a beta of 0.80
Answer:
1.14
Explanation:
Investors has number of securities = 12
Each with a market value = $3,000
Current beta of the portfolio (before replacement of riskiest security ) = 1.21
Beta of the riskiest security= 1.62
If the riskiest security is replaced = 0.80
Portfolio Beta before replacement of the riskiest security = Remaining number of securities / total number of securities * Beta of securities + Number of riskiest security / total number of securities * Beta of the riskiest security
Portfolio Beta before replacement of the riskiest security = Weight of securities*Beta of securities + Weight of riskiest security*Beta of riskiest security
Let the beta of securities be x.
1.21 =11/12 *x + 1/12 *1.62
1.21 =11/12 *x +0.135
1.21-0.135 = 11/12 x
1.075 =11/12 x
x = 1.075*12/11
x = 1.1727
Beta of securities = 1.17
Portfolio beta after the replacement of the riskiest security = 11/12*1.17 +1/12*0.8 = 1.0725 + 0.0666 = 1.1391 = 1.14
You are looking at a one-year loan of $26,000. The interest rate is quoted as 11 percent plus two points. A point on a loan is 1 percent (one percentage point) of the loan amount. Quotes similar to this one are common with home mortgages. The interest rate quotation in this example requires the borrower to pay two points to the lender up front and repay the loan later with 11 percent interest.
What rate would you actually be paying here? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Interest rate %
Answer:
the rate of interest is 13.27%
Explanation:
The computation of the actual rate paid is shown below;
Present value is
= $26,000 - 2% of $26,000
= $26,000 - $520
= $25,480
The future value is
= $26,000 × (1 + 0.11)
= $28,860
Now as we know that
Future value = Present value × (1 + rate of interest)^number of years
$28,860 = $25,480 × (1 + rate of interest)
So, the rate of interest is 13.27%
On January 1, 2020, HD Corp. paid $60,000 and issued a 5-year noninterest bearing note payable with a face value of $120,000 in exchange for a piece of equipment. The applicable interest rate is 8%. HD Corp depreciates over a straight-line basis and utilizes the effective interest method to record interest expense. The equipment is expected to be in service for 8-years at which point it will be worthless.
Required:
What is the carrying value of the note payable on 12/31/2021?
a. $120,000
b. $88,204
c. $75.136
d. $95.260
e. $89,335
Answer:
b. $88,204
Explanation:
The computation of the carrying value of the note payable is shown below:
= Present value of the notes + interest
= $120,000 × 0.680583 + ($120,000 × 0.680583 × 8%)
= $81,670 + $6,534
= $88,204
hence, the second option is correct
The following information is available pertaining to Bonita Division, that uses a plant-wide overhead rate based on machine hours: Mixing Dept. Finishing Dept. Total Overhead $30,000 $60,000 $90,000 Direct labor-hours 7,500 2,500 10,000 Machine-hours 2,500 7,500 10,000 Production information pertaining to Job 101: Mixing Dept. Finishing Dept. Total Prime costs $5,000 $0 $5,000 Direct Labor-hours 250 0 250 Machine-hours 10 10 20 Units produced 500 0 500 What are the total overhead costs assigned to Job 101
Answer:
$180
Explanation:
Calculation for What are the total overhead costs assigned to Job 101
Using this formula
Total overhead costs assigned to Job 101=(Total Overhead/Total Machine-hours)*Machine-hours
Let plug in the formula
Total overhead costs assigned to Job 101 = ($90,000/10,000) *20
Total overhead costs assigned to Job 101=9*20
Total overhead costs assigned to Job 101=$180
Therefore Total overhead costs assigned to Job 101 will be $180
Reporting Uncollectible Accounts and Accounts Receivable
LaFond Company analyzes its accounts receivable at December 31, 2016, and arrives at the aged categories below along with the percentages that are estimated as uncollectible.
Age Group Accounts Receivable Estimated Loss %
Current (not past due) $250,000 0.5%
1-30 days past due 90,000 1.0
31-60 days past due 20,000 2.0
61-120 days past due 11,000 5.0
121-180 days past due 6,000 10.0
Over 180 days past due 4,000 25.0
Total accounts receivable 381,000
At the beginning of the fourth quarter of 2016, there was a credit balance of $4,350 in the Allowance for Uncollectible Accounts. During the fourth quarter, LaFond Company wrote off $3,830 in receivables as uncollectible.
A. What amount of bad debts expense will LaFond report for 2016?
B. What is the balance of accounts receivable that it reports on its December 31, 2016, balance sheet? $376,300
C. Set up T-accounts for both Bad Debt Expense and for Allowance for Uncollectible Accounts. Enter any beginning balances and effects from the information above (including your results from parts a and b).
Bad Debts Expense Allowance for Doubtful Accounts
A) 4,700 0 Bag 0 4,350
Bal.
Balance 4,700 0 Write-off 3,850
Solution :
Account Estimated Estimated
receivable loss% bad debts
Current 250,000 0.5 1250
1-30 days of past due 90,000 1.0 900
31-60 days of past due 20,000 2.0 400
61-120 days of past due 11,000 5.0 550
121-180 days of past due 6,000 10.0 600
Over 180 days of past due 4,000 25.0 1000
Total account receivable 381,000 4700
a). The amount for the bad debts expense is = 4700 - (4350 - 3830)
= 4180
b). Balance in the accounts receivable
Accounts receivable = 381,000
Less : allowance for bad debts = - 4180
Net realizable value of the accounts receivable = 376,820
c). Bad debts expense
a). 4180
Balance: 4180
The allowance for un-collectible account
Beg. Bal : 4350
write off : 3830
a). 4180
Balance 4700
Last year Hamdi Corp. had sales of $500,000, operating costs of $450,000, and year-end assets (which is equal to its total invested capital) of $435,000. The debt-to-total-capital ratio was 17%, the interest rate on the debt was 7.5%, and the firm's tax rate was 35%. The new CFO wants to see how the ROE would have been affected if the firm had used a 50% debt-to-total-capital ratio. Assume that sales, operating costs, total assets, total invested capital, and the tax rate would not be affected, but the interest rate would rise to 8.0%. By how much would the ROE change in response to the change in the capital structure
Answer:
1.74%
Explanation:
17% Debt 50% Debt
Sales $500,000 $500,000
Less: Cost $450,000 $450,000
Less: Interest $5,546 $17,400
Profit before tax $44,454 $32,600
Less: Tax at 35% $15,559 $11,410
Net Income $28,895 $21,190
Equity $361,050 $217,500
Return on Equity 8.00% 9.74%
Change in ROE = 9.74% - 8.00% = 1.74%
Workings
Interest (17% Debt) = 43,500*17%*7.5% = $5,546
Interest (50% Debt) = 43,500*50%*8% = $17,400
Tax (17% Debt) = $44,454 * 0.35 = 15,559
Tax (50% Debt) = $32,600 * 0.35 = 11,410
Equity (17% Debt) =435,000*83% = 361,050
Equity (50% Debt) = 435,000*50% = $217,500
Return on Equity = $28,895/$361,050 = 8.00%
Return on Equity = $21,190/$217,500 = 9.74%
Cash flows: Hillman Corporation reported current assets of $3,495,055 on December 31, 2017 and current assets of $3,103,839 on December 31, 2016. Current liabilities for the firm were $2,867,225 and $2,760,124 at the end of 2017 and 2016, respectively. Compute the cash flow invested in net working capital at Hillman Corporation during 2017.
Answer:
$284,115
Explanation:
Computation for the cash flow invested in net working capital at Hillman Corporation during 2017.
First step is to calculate the Net working capital for 2017
Net Working Capital 2017 = $3,495,055 - $2,867,225
Net Working Capital 2017 =$627,830
Second step is to calculate the Net Working Capital for 2016
Net Working Capital 2016 = $3,103,839 - $2,760,124
Net Working Capital 2016= $343,715
Now let calculate the cash flow invested in net working capital
2017 Cash flow invested in net working capital=$627,830-$343,715
2017 Cash flow invested in net working capital=$284,115
Therefore the cash flow invested in net working capital at Hillman Corporation during 2017 will be $284,115
Which of the following scenarios illustrates the law of demand?
A. A research company finds that the more expensive a particular brand of a designer handbag, the more that consumers are willing to purchase the brand.
B. Kathleen eats more steak when the price is low, and less when the price is high.
C. Francis does not care about the price of coffee at the coffee shop – he must buy two cappuccinos every day, regardless of the price.
D. John likes to drink spring water. At $2 he buys four bottles of water, and at $1.50 he still buys four bottles of water.
Answer:
Option B is correct.
Explanation:
In order to answer this question correctly, we first need to understand the law of demands.
Law of demands: It says that the relationship of price and quantity demanded is inversely proportional. It means if the price of a particular product goes high, then the quantity of demand will be reduced. Similarly, if the price of the product is low then the quantity of demanded will be higher.
Here,
Option B is the most relevant to the Law of Demand which says that Kathleen eats more steak when the price is low. It means when the price is low, the quantity of steak demanded is higher in Kathleen's case. Furthermore, Kathleen eats less when the price is high. It means, when the price of steak is higher then the quantity of steak demanded from Kathleen is low.
Hence, Option B is the correct option which fulfills the law of demand.
Fiji, Inc. started 2025 with $12,000 in assets and $2,500 in liabilities. Fiji had issued 50 shares of stock when it went into business in 2019 for $10 per share, and not stock has been issued since that time. At December 31, 2025, Fiji had $23,000 in assets and $4,000 in liabilities. How much was Fiji's net income during 2025 if the company paid $1,000 in dividends during the year?
a $11,500
b $12,000
c $10,500
d $11,000
e None of the above
Answer:
$See below
Explanation:
Fuji Net income in 2025 is computed as
= Beginning asset + Dividend - Beginning liabilities
Given that;
Beginning asset = $12,000
Dividend = $1,000
Beginning liabilities = $2,500
Net income
= $12,000 + $1,000 - $2,500
= $10,500
Your client, Keith Teal Leasing Company, is preparing a contract to lease a machine to Souvenirs Corporation for a period of 27 years. Teal has an investment cost of $430,300 in the machine, which has a useful life of 27 years and no salvage value at the end of that time. Your client is interested in earning an 11% return on its investment and has agreed to accept 27 equal rental payments at the end of each of the next 27 years.
A. Prepare an amortization schedule that would be suitable for the lessee for the lease term. (Round answers to 0 decimal places, e.g. 5,265.)
B. Prepare all of the journal entries for the lessee for 2020 and 2021 to record the lease agreement, the lease payments, and all expenses related to this lease. Assume the lessee’s annual accounting period ends on December 31. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g. 5,265. Record journal entries in the order presented in the problem.)
Answer:
Souvenirs Corporation (Lessee)
A. Amortization Schedule
Beginning Balance Interest Principal Ending Balance
1 $430,300.00 $47,333.00 $3,007.44 $427,292.56
2 $427,292.56 $47,002.18 $3,338.26 $423,954.31
3 $423,954.31 $46,634.97 $3,705.46 $420,248.84
4 $420,248.84 $46,227.37 $4,113.06 $416,135.78
5 $416,135.78 $45,774.94 $4,565.50 $411,570.28
6 $411,570.28 $45,272.73 $5,067.71 $406,502.57
7 $406,502.57 $44,715.28 $5,625.15 $400,877.42
8 $400,877.42 $44,096.52 $6,243.92 $394,633.50
9 $394,633.50 $43,409.68 $6,930.75 $387,702.74
10 $387,702.74 $42,647.30 $7,693.14 $380,009.61
11 $380,009.61 $41,801.06 $8,539.38 $371,470.23
12 $371,470.23 $40,861.73 $9,478.71 $361,991.52
13 $361,991.52 $39,819.07 $10,521.37 $351,470.15
14 $351,470.15 $38,661.72 $11,678.72 $339,791.43
15 $339,791.43 $37,377.06 $12,963.38 $326,828.05
16 $326,828.05 $35,951.09 $14,389.35 $312,438.69
17 $312,438.69 $34,368.26 $15,972.18 $296,466.51
18 $296,466.51 $32,611.32 $17,729.12 $278,737.39
19 $278,737.39 $30,661.11 $19,679.32 $259,058.07
20 $259,058.07 $28,496.39 $21,844.05 $237,214.02
21 $237,214.02 $26,093.54 $24,246.89 $212,967.12
22 $212,967.12 $23,426.38 $26,914.05 $186,053.07
23 $186,053.07 $20,465.84 $29,874.60 $156,178.47
24 $156,178.47 $17,179.63 $33,160.81 $123,017.67
25 $123,017.67 $13,531.94 $36,808.49 $86,209.17
26 $86,209.17 $9,483.01 $40,857.43 $45,351.75
27 $45,351.75 $4,988.69 $45,351.75 -$0.00
Payment Every Year = $50,340.44
B. Journal Entries for first two years of the lease for the Lessee:
2020:
Debit Right of Use Asset $1,359,191.80
Credit Lease Liability $1,359,191.80
To record the lease for 27 years.
Debit Lease Liability $3,007.44
Debit Interest on Lease $47,333.00
Credit Cash $50,340.44
To record the lease interest expense.
2021:
Debit Lease Liability $3,338.26
Debit Interest on Lease $47,002.18
Credit Cash $50,340.44
To record the lease interest expense.
Explanation:
a) Data and Calculations
Cost of Machine = $430,300
Useful life of machine = 27 years
Salvage value = $0
Expected return on investment = 11%
Period of equal rental payments = 27 years
From the online financial calculator:
Payment Every Year = $50,340.44
Total of 27 Payments = $1,359,191.80
Total Interest = $928,891.80
Amortization Table shows that at the end of 27 years:
Principal = 32%
Interest = 68% of the total lease payments.
Part II: Article II, Section I of the U.S. Constitution provides that the president must "take care that the laws be faithfully executed." Presidents have used this authority to issue executive orders, which are orders to federal agencies that are a part of the executive branch and which contain detailed instructions on how laws enacted by Congress should be carried out.
Presidents are not specifically given the power to issue executive orders by the U.S. Constitution. Is it appropriate for the president to exercise powers that the Constitution does not specifically grant to him or her? Why, or why not?
Answer: Yes it is.
Explanation:
The Constitution puts the President at the head of the Executive branch of government and provides that the President should ensure that the laws of the land are faithfully executed.
Seeing as executive orders are issued to members of the executive - which are under the President - and are done to ensure that the laws of the land are carried out, the President is not only following the Constitution's directives in Article II, Section I of the Constitution but doing it within their power as head of the executive.
Executive orders are therefore an implied constitutional power that the President has.
At the time a $400 petty cash fund is being replenished, the company's accountant finds vouchers totaling $300 and petty cash of $100. The vouchers include: postage, $80; business lunches, $120; delivery fees, $60; and office supplies, $40. Which of the following is not recorded when recognizing expenditures from the petty cash fund?
A. Debit petty cash, $300
B. Credit petty cash, $300
C. Debit office supplies, $40
D. Debit postage expense, $80
Answer:
A. Debit petty cashier at the end of the
Which of these is a characteristic of certificates of deposit (CDs)?
Answer:
They last for a certain period of time
Explanation:
Typically Certificates of Deposit are offered if the set amount is deposited and kept through the stated amount of time. (The length of the CD can be anywhere from 18 months to 3 years [most popular]) When the money is removed short of the stated time period a penalty is taken from the value of the CD.
Answer:
b.) They last for a set period of time.
An accountant is starting a new job and wants to make sure he does not put himself or his company at legal risk. He talks to his companyâs law department about which areas of law he should brush up on. The company lawyer tells him relevant areas of the law he should be aware of include:
a. White collar crime, liability of accountants, contracts
b. Product liability, comparative law, agency law
c. Antitrust law, liability of accountants, insurance law
d. Liability of accountants, international law, employment discrimination
e. Antitrust law, international law, consumer law
Answer: White collar crime, liability of accountants, contracts
Explanation:
Based on the information given, the company lawyer will tell him relevant areas of the law he should be aware of such as white collar crime, liability of accountants, and contracts.
White-collar crime simply refers to crime that a person may commit against a business and they are financially motivated e.g embezzlement, fraud, money laundering etc.
Also, when a misstatement occurs when preparing an account, the accountant is liable and in such case,will be held responsible for any inaccuracies that was noticed.
Based on the above explanation, the accountant should be aware of white collar crime, liability of accountants, contracts.
Jeremiah expressed his disdain for the economic reports he heard on the news. "All economists care about is increasing GDP," he said. "I wish economists cared about living conditions and well-being instead of just some economic indicator." How could you acknowledge the shortcomings of GDP to Jeremiah, while also showing him how GDP functions as both an economic indicator and a measure of well-being? While it is true that GDP calculations omit such things as and , it is still a useful way to measure .
Answer: the value as opposed to the price of an item; environmental degradation; total output and income.
Explanation:
While it is true that GDP calculations omit such things as the value as opposed to the price of an item and environmental degradation, it is still a useful way to measure total output and income.
Gross Domestic Product is a means of measuring economic performance over a given period(usually a year). It works by adding up the final value of the goods and services produced in a country in that given period and thus can show the total output and income in a country.
Sadly however, it has some shortcomings. One of those is that it uses the prices of goods not their actual value. Another is that it does not take into account important factors such as environmental degradation which if added, would reduce GDP because the environment on average suffers negatively from production.
