Beyoncé Corporation factors $175,000 of accounts receivable with Kathleen Battle Financing, Inc. on a with recourse basis. Kathleen Battle Financing will collect the receivables. The receivables records are transferred to Kathleen Battle Financing on August 15, 2014.Kathleen Battle Financing assesses a finance charge of 2% of the amount of accounts receivable and also reserves an amount equal to 4% of accounts receivable to cover probable adjustments.Instructions:(a) What conditions must be met for a transfer of receivables with recourse to be accounted for as a sale?(b) Assume the conditions from part (a) are met. Prepare the journal entry on August 15, 2014, for Beyoncé to record the sale of receivables, assuming the recourse obligation has a fair value of $2,000.

Answer:

(a) What conditions must be met for a transfer of receivables with recourse to be accounted for as a sale?

(b) Assume the conditions from part (a) are met. Prepare the journal entry on August 15, 2014, for Beyoncé to record the sale of receivables, assuming the recourse obligation has a fair value of $2,000.

Dr Cash 164,500

Dr Factor receivables 7,000

Dr Loss from factoring dues 5,500

   Cr Accounts receivables 175,000

   Cr Recourse liability 2,000

crane company purchased aa depreciatble asset for $614000 on january 1, 2018. the estimated salvage value os $56000 and the estimated useful life is 9 years. the straight-line method is used for depreciztion. in 2021, crane changed its estimates to a total useful life of 5 years with a salvage value of $92000. what is 2021 depreciation expense

kurt's kabinets is looking for a project that will require 80,000 and another 20,000 in net working capital the project is expected to produce sells of 138,000 with associated cost of 74,000 the project has a 4 year life the company use straight line depreciation to a zero book value over the life of the project the tax rate is 21% what is the operating cash flow for this project

Imagine that David is preparing his will and is trying to decide how to divide his assets between his two grown children. His daughter, Tonya, is a chemical engineer who earns a high income. His son, Terry, opted out of college and went to work straight out of high school. Now Terry works in construction; he works just as hard as Tanya, but he is less affluent than she is.

Classify each example of possible ways David could divide his assets based on fairness and distribution.

a. Leave his money to the child whom he thinks deserves more money.
b. Leave his money to charity instead
c. Split his wealth evenly Terry and Tonya
d. Leave terry his entire wealth to offset the gap between him and his sister.
e. Tell his kids he will leave the money to whoever does the most to take care of him in his old age.

1. Fairness of equal outcomes
2. Fairness of equal opportunity
3. Fairness of process
4. Fairness of what is reserved or earned

Main Street Ice Cream Company uses a plantwide allocation method to allocate overhead based on direct labor-hours at a rate of $2 per labor-hour. Strawberry and vanilla flavors are produced in Department SV. Chocolate is produced in Department C. Sven manages Department SV and Charlene manages Department C. The product costs (per thousand gallons) follow:
Strawberry Vanilla Chocolate
Direct labor (per 1,000 gallons) $766 $841 $1,141
Raw materials (per 1,000 gallons) 816 516 616
Requirement 1:
If the number of hours of labor per 1,000 gallons is 60 for strawberry, 70 for vanilla, and 100 for chocolate, compute the total cost of 1,000 gallons of each flavor using plantwide allocation.
Total cost
Strawberry $1,702
Vanilla $1,497
Chocolate $1,957
Requirement 2:
Charlene's department uses older, outdated machines. She believes that her department is being allocated some of the overhead of Department SV, which recently bought state-of-the-art machines. After she requested that overhead costs be broken down by department, the following information was discovered:
Department SV Department C
Overhead $88,760 $915
Machine-hours 25,360 37,600
Labor-hours 25,360 18,300
Using machine-hours as the department allocation base for Department SV and labor-hours as the department allocation base for Department C, compute the allocation rate for each.
Allocation rate
Department SV $3.50
Department C $0.05
Requirement 3:
Compute the cost of 1,000 gallons of each flavor of ice cream using the department allocation rates computed in requirement 2 if the number of machine-hours for 1,000 gallons of each of the three flavors of ice cream are as follows: strawberry, 60; vanilla, 70; and chocolate, 166. Direct labor hours by product remain the same as in requirement 1.
Requirement 4:
A) Was Charlene correct in her belief?
B) Department allocation generally yields more accurate product cost information.
1) True
2) False

2
Type the correct answer in the box. Spell all words correctly.
Why are we forced to make choices in day-to-day life?
resources.
We are forced to make choices in day-to-day life because Recourses

Which of the four Ps does the question of discounts apply to?

clarify the term fair discrimination​

The controller of Hendershot Corporation estimates the amount of materials handling overhead cost that should be allocated to the company's two products using the data that are given below:Wall Mirrors Specialty WindowsTotal expected units produced 12,900 1,500Total expected material moves 1,290 1,400Expected direct labor-hours per unit 9 12The total materials handling cost for the year is expected to be $16,754.50.If the materials handling cost is allocated on the basis of direct labor-hours, the total materials handling cost allocated to the wall mirrors is closest to: (Round your intermediate calculations to 4 decimal places.)Multiple Choice

Sunrise, Inc., has no debt outstanding and a total market value of $245,000. Earnings before interest and taxes, EBIT, are projected to be $19,000 if economic conditions are normal. If there is strong expansion in the economy, then EBIT will be 25 percent higher. If there is a recession, then EBIT will be 40 percent lower. The company is considering a $58,800 debt issue with an interest rate of 8 percent. The proceeds will be used to repurchase shares of stock. There are currently 5,000 shares outstanding. The company has a tax rate of 21 percent and the stock price remains constant.
a-1. Calculate earnings per share, EPS, under each of the three economic scenarios before any debt is issued. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)
a-2. Calculate the percentage changes in EPS when the economy expands or enters a recession. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)
b-1. Calculate earnings per share, EPS, under each of the three economic scenarios assuming the company goes through with recapitalization. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)
b-2. Given the recapitalization, calculate the percentage changes in EPS when the economy expands or enters a recession. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)

In a Lindahl equilibrium: Group of answer choices no one could be made better off by reducing his or her tax burden, all things equal. most but not all individuals are happy to pay their taxes to receive the benefits. the government must subsidize the project by using nontax financing schemes. everyone is willing to pay the taxes to receive the benefits.

It costs Sheridan Company $12 of variable and $5 of fixed costs to produce one bathroom scale which normally sells for $35. A foreign wholesaler offers to purchase 1700 scales at $15 each. Garner would incur special shipping costs of $1 per scale if the order were accepted. Sheridan has sufficient unused capacity to produce the 1700 scales. If the special order is accepted, what will be the effect on net income

Wilma Company must decide whether to make or buy some of its components. The cost of producing 60,000 switches for its generators are as follow: Direct Material $30,000 Direct Labor $42,000 Variable Overhead $45,000 Fixed Overhead $60,000 Instead of making the switches at $2.70 per unit. If the company purchases all the switches, all the variable cost and one-fourth of the fixed cost will be eliminated. (a) Prepare an incremental analysis showing whether the company should make or buy the switches. (b) Would your answer be different if the released productive capacity will generate additional income of $34,000

Which of the following statements is correct concerning liability when a partner in a general partnership commits a tort while engaged in partnership business? A. The partner committing the tort is the only party liable. B. The partnership is the only party liable. C. Each partner is jointly and severally liable. D. Each partner is liable to pay an equal share of any judgment.

Why would it be economically efficient to require a natural monopoly LOADING... to charge a price equal to marginal​ cost? A. Economic efficiency requires natural monopolies to earn zero economic profits. B. Economic efficiency requires the total benefit of producing a good to equal the total cost of producing it. C. Economic efficiency requires the last unit of a good produced to provide an additional benefit to consumers equal to the average cost of producing it. D. Economic efficiency requires the last unit of a good produced to provide an additional benefit to consumers greater than the additional cost of producing it. E. Economic efficiency requires the last unit of a good produced to provide an additional benefit to consumers equal to the additional cost of producing it.

Suppose that Healdsburg enters into a sales contract with an auto manufacturer on January 1, 2021, to provide tires that cost Healdsburg $18 million to produce. The buyer offers Healdsburg $6 million in cash and agrees to take over only the principal payment on Healdsburg's 6.55% debt notes. Assume that the going market interest is 7% at the time. What would Healdsburg's gross profit be on the sale

Kinnear Plastics manufactures various components for the aircraft and marine industry. Kinnear buys plastic from two vendors: Tappan Corporation and Hill Enterprises. Kinnear chooses the vendor based on price. Once the plastic is received, it is inspected to ensure that it is suitable for production. Plastic that is deemed unsuitable is disposed of. The controller at Kinnear collected the following information on purchases for the past year: Tappan Hill Total purchases (tons) 4,000 6,500 Plastic discarded 100 520 The purchasing manager has just received bids on an order for 310 tons of plastic from both Tappan and Hill. Tappan bid $1,950 and Hill bid $1,886 per ton.

Required:
a. Assume that the average quality, measured by the amounts discarded from the two companies, will continue as in the past. What is the effective cost per ton for both Tappan and Hill?
b. Assume all else remains the same. What bid by Tappan would make Kinnear indifferent between buying from Tappan or Hill?

what are the negative impacts of a cooperative​

We said that tourism helps build infrastructure. What is infrastructure referring to?

a
The economy/money
b
Interest in the destination
c
Reputation
d
Roads, buildings, and hotels

To calculate compound interest earnings, the formula requires that you know the amount of principal, the number of time periods, and
O the age of the depositor
O the amount of bank fees
o the interest rate
O the inflation rate

The City of Oxbow General Fund has the following net resources at year-end:
$250,000 unexpended proceeds of a state grand required by law to be used for health education.
$10,000 of prepaid insurance.
$600,000 rainy day fund approved by city council for use under specified circumstances.
$200,000 budget stabilization fund to be used in the event of revenue shortfall.
$275,000 provided for contractual obligations for capital projects.
$26,000 unexpended proceeds of a tax required by law to be used for emergency 911 services.
$1,622,000 total fund balance.
Prepare the fund balance section of the balance sheet.

(1) Given access to the same risk-free asset and the same investment opportunity set of risky assets, an investor's degree of risk aversion will determine his or her ______. A. optimal risky portfolio B. risk-free rate C. optimal mix of the risk-free asset and risky asset D. capital allocation line

A fee charged by a mutual fund company when selling a mutual fund is

If the coupon interest rate remains constant from the time of issue until the bond matures, then the bond is called afixed-rate bond. The contract that describes the terms of a borrowing arrangement between a firm that sells a bond issue and the investors who purchase the bonds is called the . When are issuers more likely to call an outstanding bond issue

Data for January for Bondi Corporation and its two major business segments, North and South, appear below:Sales revenues, North $ 759,000Variable expenses, North $ 440,500Traceable fixed expenses, North $ 90,900Sales revenues, South $ 586,800Variable expenses, South $ 334,900Traceable fixed expenses, South $ 76,000In addition, common fixed expenses totaled $206,000 and were allocated as follows: $107,000 to the North business segment and $99,000 to the South business segment.A properly constructed segmented income statement in a contribution format would show that the segment margin of the North business segment is:

Esquire Comic Book Company had income before tax of $1,350,000 in 2021 before considering the following material items:

1. Esquire sold one of its operating divisions, which qualified as a separate component according to generally accepted accounting principles. The before-tax loss on disposal was $375,000. The division generated before-tax income from operations from the beginning of the year through disposal of $570,000.
2. The company incurred restructuring costs of $90,000 during the year.

Required:
Prepare a 2016 income statement for Esquire beginning with income from continuing operations. Assume an income tax rate of 40%. Ignore EPS disclosures.

WV Construction has two divisions: Remodeling and New Home Construction. Each division has an on-site supervisor who is paid a salary of $90,000 annually and one salaried estimator who is paid $50,000 annually. The corporate office has two office administrative assistants who are paid salaries of $54,000 and $39,000 annually. The president's salary is $159,000. How much of these salaries are common fixed expenses

Planner Corporation owns 60 percent of Schedule Company’s voting shares. During 20X3, Planner produced 25,000 computer desks at a cost of $82 each and sold 10,000 of them to Schedule for $94 each. Schedule sold 7,000 of the desks to unaffiliated companies for $130 each prior to December 31, 20X3, and sold the remainder in early 20X4 for $140 each. Both companies use perpetual inventory systems. Required: a. What amounts of cost of goods sold did Planner and Schedule record in 20X3?

According to Goldratt: Group of answer choices Two activities scheduled to be carried out sequentially and using the same scarce resource benefit from having the same project manager. Two activities scheduled to be carried out in parallel and using the same scarce resource are independent. Two activities scheduled to be carried out in parallel and using the same scarce resource are not independent. Two activities scheduled to be carried out sequentially and using the same scarce resource require different project managers.

Carey Company owns a plot of land on which buried toxic wastes have been discovered. Since it will require several years and a considerable sum of money before the property is fully detoxified and capable of generating revenues, Carey wishes to sell the land now. It has located two potential buyers.
Buyer A, who is willing to pay $850,000 for the land now, or Buyer B, who is willing to make 20 annual payments of $90,000, with the first payment to be made at the end of the year. Assuming that the appropriate rate of interest is 9%, who should Carey sell the land. Show calculations.

The table below represents daily production possibilities for a typical worker in both China and the United States, assuming that only two types of goods are produced in each country: food and textiles. (Put your answers in decimal form to two decimal places.)
Output per Worker per Day (unit)
Food Textiles
China 1 2
United States 9 3
The opportunity cost of 1 more unit of The opportunity cost of 1 more unit of food in China is giving up________ food in the United States is giving up_________ units of textiles. The opportunity cost of 1 more unit of textiles in China is giving up _________ textiles in the United States is giving up _______ units of food.The opportunity cost of 1 more unit of China has the comparative advantage in the production of and the United States has the comparative advantage in the production of _______