Answer:
ion the answer do u have options ?
Explanation:
Jasmine Corporation purchased inventory costing $125,000 and sold 75% of the goods for $163,750. All purchases and sales were on account. Jasmine later collected 25% of the accounts receivable. Assume that sales returns are nonexistent.
1. Journalize these transactions for Jasmine, which uses the perpetual inventory system.
2. For these transactions, show what Jasmine will report for inventory, revenues, and expenses on its financial statement at the end of the month. Report gross profit on the appropriate statement. Assume beginning inventory is $0.
Answer:
Part 1
Purchase journal
Debit : Merchandise Inventory $125,000
Credit : Accounts Payable $125,000
Sales journal
Debit : Accounts Receivable $163,750
Debit : Cost of Sales ($125,000 x 75%) $93,750
Credit : Sales Revenue $163,750
Credit : Inventory $93,750
Collection of Payments journal
Debit : Cash ($163,750 x 25%) $40,938
Credit : Accounts Receivable $40,938
Part 2
Inventory = $31,250
revenues = $163,750
expenses = $93,750
gross profit = $70,000
Explanation:
inventory = Purchases - Cost of sales
= $125,000 - $93,750
= $31,250
revenues = Sales to Customers paid up or not
= $163,750
expenses = Cost of sales
= $93,750
gross profit = Sales - Cost of sales
= $163,750 - $93,750
= $70,000
(MC) As of 2019, roughly how much money did U.S. retailers lose annually due to poor customer service?
A. $20-$30 million
B. $100-$150 million
C. $60-$70 bilion
Foods Galore is a major distributor to restaurants and other institutional food users. Foods Galore buys cereal from a manufacturer for $20.00 per case. Annual demand for cereal is 200,000 cases, and the company believes that the demand is constant at 800 cases per day for each of the 250 days per year that it is open for business. Average lead time from the supplier for replenishment orders is eight days, and the company believes that it is also constant. The purchasing agent at Foods Galore believes that annual inventory carrying cost is 10 percent and that it costs $40.00 to place an order.
How many cases of cereal should Foods Galore order each time it places an order? What is the total annual inventory cost if you order based on your Economic Order Quantity? (Sum of annual product purchasing cost, holding cost, and ordering cost). What is the total annual inventory cost if Foods Galore orders 10,000 each order at $18 per case? (Sum of annual product purchasing cost, holding cost, and ordering cost)
Answer:
The appropriate solution is:
(a) 2828 cases each time
(b) $4005656.85
(c) $3609800
Explanation:
The given values are:
Annual demand,
D = 200,000 cases
Per case cost,
C = $20
Carrying host,
H = [tex]10 \ percent\times 20[/tex]
= $[tex]2[/tex]
Ordering cost,
S = $40
(a)
The economic order quantity will be:
⇒ [tex]Q^*=\sqrt{(\frac{2DS}{H} )}[/tex]
On substituting the values, we get
[tex]=\sqrt{[\frac{(2\times 200000\times 40)}{2} ]}[/tex]
[tex]=\sqrt{\frac{16000000}{2} }[/tex]
[tex]=2828[/tex]
(b)
According to the question,
The annual ordering cost will be:
= [tex](\frac{D}{Q^*}) S[/tex]
= [tex](\frac{200000}{2828}) 40[/tex]
= [tex]2828.85[/tex] ($)
The annual carrying cost will be:
= [tex](\frac{Q^*}{2})H[/tex]
= [tex](\frac{2828}{2} )2[/tex]
= [tex]2828[/tex] ($)
The annual purchase cost will be:
= [tex]D\times C[/tex]
= [tex]200000\times 20[/tex]
= [tex]4000000[/tex] ($)
Now,
The total inventory cost will be:
= [tex]2828.85+2828+4000000[/tex]
= [tex]4005656.85[/tex] ($)
(c)
According to the question,
Order quantity,
Q = 10000 cases
Per case cost,
C = $18
Carrying cost,
H = [tex]10 \ percent\times 18[/tex]
= [tex]1.8[/tex]
The annual ordering cost will be:
= [tex](\frac{D}{Q} )S[/tex]
= [tex](\frac{200000}{10000} )40[/tex]
= [tex]800[/tex] ($)
The annual carrying cost will be:
= [tex](\frac{Q}{2} )H[/tex]
= [tex](\frac{10000}{2} )1.8[/tex]
= [tex]9000[/tex] ($)
The annual purchase cost will be:
= [tex]D\times C[/tex]
= [tex]200000\times 18[/tex]
= [tex]3600000[/tex]
Now,
The total cost of inventory will be:
= [tex]800+9000+3600000[/tex]
= [tex]3609800[/tex] ($)
Suppose we want to estimate the effects of alcohol consumption (alcohol) on college grade point average (cGPA). In addition to collecting information on grade point averages and alcohol usage, we also obtain attendance information (say, percentage of lectures attended, called attend). A standardized test score (say, SAT) and high school GPA (hsGPA) are also available
(i) Should we include attend along with alcohol as explanatory variables in a multiple regression model? (Think about how you would interpret beta-alcohol.)
(ii) Should SAT and hsGPA be included as explanatory variables? Explain.
Answer: See explanation
Explanation:
(i) Should we include attend along with alcohol as explanatory variables in a multiple regression model? (Think about how you would interpret beta-alcohol.)
No. We should not include attend along with alcohol as explanatory variables in a multiple regression model. This is due to the fact that a high degree of negative correlation exists between attend along with alcohol and including both of them will bring about multi collinearity.
(ii) Should SAT and hsGPA be included as explanatory variables? Explain.
Yes. SAT and hsGPA should be included as explanatory variables. This is important to overcome bias of the model.
(i) So according to me, my answer will be No. We should not include Attend along with alcohol as explanatory variables in multiple factors of the regression model. This is due to the fact that is a high degree of negative correlation exists between the attend also, along with alcohol, and including both of them will bring about multicollinearity.
(ii) When the variables of SAT AND hsGPA my answer will be Yes. SAT and HSDPA should be included as explanatory variables. This is most important to overcome the bias of the model.
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The trial balance of G. Durler Company at the end of its fiscal year, August 31, 2008, includes these account: Merchandise Inventory $17,200; Purchases $149,000; Sales $190,000; Freight-in $4,000; Sales Returns and Allowances $3,000; Freight-out $1,000; and Purchases Returns and Allowances $2,000. The ending merchandise inventory is $25,000.
Prepare a cost of goods sold section for the year ending August 31 (periodic inventory).
Answer and Explanation:
The preparation of the cost of goods sold section for the year ended is as follows;
Cost of goods sold section
G. Durler Company
For the year ending August 31
Beginning inventory $17,200
Add: Purchases $149,000
less purchase returns and Allowances $2,000
Net purchases $147,000
Add: Freight-in $4,000
less ending inventory is -$25,000
Cost of goods sold $143,200
The cost of goods sold section for the year ending August 31 (periodic inventory) is $143,200.
G. Durler Company Cost of goods sold section for the year ending August 31
Beginning inventory $17,200
Add Purchases $149,000
Less purchase returns and Allowances ($2,000)
Net purchases $147,000
($149,000-$2,000)
Add Freight-in $4,000
Less Ending inventory ($25,000)
Cost of goods sold $143,200
($17,200+$147,000+$4,000-$25,000)
Inconclusion the cost of goods sold section for the year ending August 31 (periodic inventory) is $143,200.
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Crane Company began operations in 2020 and determined its ending inventory at cost and at LCNRV at December 31, 2020, and December 31, 2021. This information is presented below. Cost Net Realizable Value 12/31/20 $354,700 $331,550 12/31/21 413,510 394,540 (a) Prepare the journal entries required at December 31, 2020, and December 31, 2021, assuming inventory is recorded at LCNRV and a perpetual inventory system using the cost-of-goods-sold method.
Answer and Explanation:
a. The journal entries are shown below
Cost of goods sold ($354,700 - $331,550) $23,150
To Allowance for reduction in inventory to NRV $23,150
(Being allowance for reduction is recorded)
Allowance for reduction in inventory to NRV ($23,150 - ($413,510 - $394,540)) $4,180
To Cost of good sold $4,180
(being recording of the previous loss)
These two entries should be recorded at LCNRV method
A company is considering replacing its air conditioner. They have narrowed their selection to two alternativesthat will offer considerable savings over their current system. If the effective annual interest rate is 8%,and the lifetime of the machines will be 15 years,what is the benefit cost ratio of eachmachine, and which machine should the company choose
Answer:
A. Alternative 1 1.88
Alternative 2 1.73
Incremental Analysis 1.34
B. Alternative 2
Explanation:
A. Calculation to determine the benefit cost ratio of each machine,
First step is to calculate the present value of each Alternative
ALTERNATIVE 1
Calculation for alternative 1 Benefit and cost
Benefits = ($1500)(P/A, 8%, 15)
Benefits= ($1500)(8.5595)
Benefits= $12,839
Cost = $7,000 – ($500)(P/F, 8%,15)
Cost= $7,000 – ($500)(0.3152)
Cost = $6842
Now let calculate Alternative 1 Ratio of Benefit to Cost using this formula
Ratio of Benefit to Cost = Benefit/Cost
Let plug in the formula
Ratio of Benefit to Cost=$12,839/$6842
Ratio of Benefit to Cost= 1.88
Therefore the benefit cost ratio for Alternative 1 is 1.88
ALTERNATIVE 2
Calculation for alternative 2 Benefit and cost
Benefits = ($1900)(P/A, 8%,15)
Benefits= ($1900)(8.5595)
Benefits= $16,263
Cost = $9000 + ($1250)(P/F,8%,15)
Cost= $9000 + ($1250)(0.3152)
Cost=$9394
Now let calculate Alternative 1 Ratio of Benefit to Cost using this formula
Ratio of Benefit to Cost = Benefit/Cost
Let plug in the formula
Ratio of Benefit to Cost= $16,263/$9394
Ratio of Benefit to Cost = 1.73
Therefore the benefit cost ratio for Alternative 2 is 1.73
B. In order to know which machine should the company choose we have to determine the incremental analysis for each of the machine
Incremental Analysis = ($16,263- $12,839)/ ($9394 - $6842)
Incremental Analysis= 1.34
Based on the above calculation for Incremental Analysis we can see that the Incremental Analysis is greater than 1 which means that the machine that the company should choose is ALTERNATIVE 2
Units-of-activity Depreciation A truck acquired at a cost of $160,000 has an estimated residual value of $10,350, has an estimated useful life of 41,000 miles, and was driven 3,300 miles during the year. Determine the following. If required, round your answer for the depreciation rate to two decimal places. (a) The depreciable cost $fill in the blank 1 (b) The depreciation rate $fill in the blank 2 per mile (c) The units-of-activity depreciation for the year $fill in the blank 3
Answer:
Cost of Truck = $160,000
Residual Value = $10,350
Useful Life = 41,000 miles
a. Depreciable Cost = Cost of Truck / Residual Value
Depreciable Cost = $160,000 - $10,350
Depreciable Cost = $149,650
b. Depreciation Rate = Depreciable Cost / Useful Life
Depreciation Rate = $149,650 / 41,000
Depreciation Rate = $3.65 per mile
c. Number of miles driven during the year = 3,300
Depreciation for the Year = Depreciation Rate * Number of miles driven during the year
Depreciation for the Year = $3.65 per mile * 3,300
Depreciation for the Year = $12,045
Mr. and Mrs. Kim, married filing jointly, own a principal residence and a vacation home. Each residence is subject to a mortgage that qualifies as acquisition debt, and both mortgages were incurred before December 15, 2017. This year, the mortgage holders provided the following information: Mortgage Interest Paid $ 45,000 26,300 Average Balance of Mortgage $ 969,800 361,000 Principal residence Vacation home
Compute Mr. and Mrs. Kim's qualified residence interest. (Do not round intermediate calculations. Round your final answer to the nearest dollar amount.)
Qualified residence interest________
Answer:
$53,577
Explanation:
Computation for Mr. and Mrs. Kim's qualified residence interest
Using this formula
Qualified residence interest=(Acquisition debt ÷ Total debt) ×Total interest
Where,
Total Acquisition=$ 969,800+ 361,000
Total Acquisition=$1,330,800
Total debt =$ 45,000 +26,300
Total debt=$71,300
Let plug in the formula
Qualified residence interest=(1,000,000÷$1,330,800)×$71,300
Qualified residence interest=$53,577
Therefore the Qualified residence interest is $53,577
"Minimum wage laws cause unemployment because the legal minimum wage is set" 9) A) above the market wage, causing labor demand to be greater than labor supply. B) below the market wage, causing labor demand to be greater than labor supply. C) too low. D) below the market wage, causing labor demand to be less than labor supply. E) above the market wage, causing labor demand to be less than labor supply.
Answer: E) above the market wage, causing labor demand to be less than labor supply.
Explanation:
Minimum wage simply refers to the lowest wage that employers can pay their workers. Minimum wage is a form of price floor which means that it's typically higher than the equilibrium or market wage.
In this case, since it's higher than the market wage, there'll be an increase in the supply of labor as those that are unemployed will be willing to work duw to the increase in the wage rate.
On the other hand, there'll be a reduction in the demand for labor as employers typically will want to reduce cost and won't be interested in employing more workers.
Therefore, the correct option is E
The following wordy, inefficient, and disorganized e-mail message invites department managers to three interviewing sessions to select student interns. However, to be effective, this message desperately needs a radical rewrite.
Your Task. Study the e-mail message and the list of ten weaknesses below the message. Then revise the message to correct each weakness. You revision needs to condense this sloppy 14-sentence message into 6 efficient sentences plus a list, and convey all the necessary information. Make all of your corrections directly to the message.
To: Management Staff
From: Nathan Weintraub
Subject: Interns
Staff:
As you may be aware, we have for the past year been considering changing our approach to interns. Your management council recently made a decision to offer compensation to the interns in our internship program because we learned that in two fields (computer science and information systems) interns are usually paid, which is the norm. However, we will be unable to offer any more than three internships.
In collaboration with our nearby college, we have narrowed the field to six excellent candidates. These six candidates will be interviewed. This is to inform you that you are required to attend three interviewing sessions for these student candidates. Your presence is needed at these sessions to help us avoid making poor selections.
You should mark your calendars for the following three times. We are scheduling the first set of interviews for April 5 to meet in the conference room. Please examine all the candidates’ résumés, which are attached, and send me your ranking lists.
The second interviewing session is scheduled for April 8 in Office 22 (the conference room was already scheduled). On April 11 we can finish up in the conference room. All of the meetings will start at 2 p.m. In view of the fact that your projects need fresh ideas and talented new team members, I should not have to urge you to attend and be well prepared.
Nathan Weintraub
Director, Human Resources
1. Does not provide a helpful subject line.
2. Starts indirectly with an explanation instead of the main idea: scheduling interviews.
3. Fails to develop reader benefits, such as explaining why the readers should be interested.
4. Sounds negative (unable to offer; avoid making poor selections; should not have to urge you).
5. Buries a verb (made a decision instead of decided).
6. Has a long lead-in (This is to inform you that).
7. Suffers from flabby expression (in view of the fact that), other wordiness, repetition, and a demanding tone.
8. Fails to make the interview dates and rooms highly readable with a list.
9. Inserts request (send me your ranking lists) in the middle of a paragraph instead of at the end of the message where action items should go.
10. Does not include an end date and reason for returning the ranking lists.
Explanation:
Since the list of ten weaknesses has been provided, the sample rewrite based on the needed corrections provided could read;
To: Management Staff
From: Nathan Weintraub
Subject: Invitation to attend interviewing sessions.
"Management would love to invite you to three interviewing sessions for the selection of internship students.
Because of proven expertise and years of experience working in this company, management deems you fit to make the best selection for the company. Hence, we are thus confident that you would give this task your best....."
On July 1, 20X1, Mirage Company issued $250 million of bonds with an 8% coupon interest rate. The bonds mature in 10 years and pay interest semiannually on June 30 and December 31 of each year. The market rate of interest on July 1, 20X1, for bonds of this risk class was 8%. Mirage closes its books on December 31. Ignore income taxes.
Required:
a. At what price were the bonds issued?
b. On July 1, 2019, the market interest rate for bonds of this risk class is 6%. What is the fair value of the bonds on this date?
c. Suppose that 50% of the bonds were repurchased for cash on July 1, 2019, at the market price. What journal entry would the company make to record this partial retirement?
Answer: See explanation
Explanation:
a. At what price were the bonds issued?
The bonds were issued at $250 million since the issue price will have thesame value as the face value in this case.
b. On July 1, 2019, the market interest rate for bonds of this risk class is 6%. What is the fair value of the bonds on this date?
The fair value of the bond on this date will be:
= {$250,000,000 × 4% × [(1-1.03)^-16]0.03} + {$250,000,000 × (1/1.03)^-16}
= $281402755
c. Suppose that 50% of the bonds were repurchased for cash on July 1, 2019, at the market price. What journal entry would the company make to record this partial retirement?
The journal entry will be:
July 1 ,2019
Debit Bond payable $250,000,000/2 = $125,000,000
Debit loss on bond redemption = $140,701,378 - $125,000,000 = $15,701,378
Credit Cash $281402755 × 50% = $140,701,378
(To record bond payable redemption)
a. Describe an important decision in your academic or personal life that you will have to make in the near future.
b. Using the five-step decision-making approach , analyze your decision and conclude with your "best" choice.
Explanation:
a. Describe an important decision in your academic or personal life that you will have to make in the near future.
An important decision for all people is to choose which professional career to follow, since there are people with different skills, which can cause some difficulty in choosing which academic course to follow.
It is essential that the student does research on the professions that are most consistent with their profile, it is important to read about the functions of each profession, take vocational tests, talk to other professionals, etc., so that their decision is more effective.
b. Using the five-step decision-making approach , analyze your decision and conclude with your "best" choice.
1- Identify your goals: In choosing a professional career, identifying your life goals is essential to set more achievable goals and stay focused.
2- Gather information: The more you research about the career options you intend to pursue, the easier it will be to understand the aspects that will lead to a successful decision. It is important to gather information from different sources, through internet searches, books, conversations with other workers, etc.
3- Check the consequences: This step is important for the individual to be able to see his decision in a broad sense, from the positive and negative aspects that every profession has, and thus analyze whether he will be able to deal with all of them in the best way.
4- Make the decision: In the penultimate stage the decision is made, so far you have already gathered essential information that will lead you to the decision. In the example of career choice, the decision is extremely important and can impact a person's entire life, so it is common for doubts and uncertainties to arise from the decision.
5- Evaluation of the decision: This is the step that will assist in the realization of a good decision, as in the correction of problems and development of skills that contribute to make your decision the best possible and in line with your objectives.
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Answer:
nope im not going to the link sir im not fkn stu.pid
Explanation:
BenjaminCompanyproducesproductsC,J,andRfromajointproductionprocess.Eachproductmaybesold at the split-off point or processed further. Joint production costs of $95,000 per year are allocated to the productsbasedontherelativenumberofunitsproduced.DataforBenjamin'soperationsforlastyearfollow:
Answer:
Product C and J only should processed further.
Explanation:
A project from a joint process should be processed further if additional sales revenue from further processing exceeds further processing cost.
So we will compare the net income i.e additional sales revenue minus sales further processing cost less for the three products as follows:
Net income
Product C : (100,000-75,000)-20,000 = $5,000
Product J: (115,000-70,000)-36,000= $9,000
Product R: (55,000-46,500) - 10,000=$(1,500)
Product C and J only should processed further.
Lance Lawn Services reports warranty expense by estimating the amount that eventually will be paid to satisfy warranties on its product sales. For tax purposes, the expense is deducted when the warranty work is completed. At December 31, 2021, Lance has a warranty liability of $2 million and taxable income of $75 million. At December 31, 2020, Lance reported a deferred tax asset of $435,000 related to this difference in reporting warranties, its only temporary difference. The enacted tax rate is 25% each year.
Required:
Prepare the appropriate journal entry to record Lance.
Answer:
Dr. Income Tax Expense $18,815,000
Cr. Deferred Tax Asset $65,000
Cr. Income Tax Payable $18,750,000
Explanation:
Preparation of appropriate journal entry to record Lance.
Dr. Income Tax Expense $18,815,000
($18,750,000+$65,000)
Cr. Deferred Tax Asset $65,000
[($2 million*25%)-435,000]
Cr. Income Tax Payable $18,750,000
($75,000,000*0.25)
The chief advantage of a decentralized organizational structure is to: A. put decision-making authority in the hands of those closest and most knowledgeable about the situation. B. make it easy to fix accountability when company performance targets are not met. C. increase productivity on the part of the workforce. D. enhance cross-unit coordination and capture of strategic fits. E. create a collegial, collaborative culture in which teamwork is a core value and decisions are made on the basis of consensus.
Answer:
A. put decision-making authority in the hands of those closest and most knowledgeable about the situation.
Explanation:
Decentralisation reduces the number of people participating in day-to-day decision-making. As a result, decision-making authority was transferred to those who were closest to the case and this is the main advantage of decentralized organizational structure.
Hence, option a is correct answer for given situation.
The following items are relevant to the preparation of a statement of cash flows for Tropical Products Inc.
1. Sale of common stock, $500,000.
2. Retirement of bonds payable, $355,000.
3. Purchase of land, $10,000.
4. Sale of equipment for $24,000, at a loss of $5,000.
5. Purchase of equity securities (not held in a trading account), $10,000.
6. Declaration of cash dividends, $40,000.
7. Loan of $30,000 resulting in a note receivable, non-trade.
8. Purchase of a patent, $20,000.
9. Proceeds from the issuance of a short-term nontrade note, $10,000.
a. Determine the amount of net cash flows that would be reported in the investing section of a statement of cash flows.
b. Determine the amount of net cash flows that would be reported in the financing section of a statement of cash flows.
Answer and Explanation:
The computation is shown below;
1. Cash flow from investing activities
Purchase of land, -$10,000.
Sale of equipment $24,000
Purchase of equity securities -$10,000
Purchase of patent -$20,000
Loan in note receivable non trade -$30,000
Net cash used by investing activities -$46,000
2. Cash flow from financing activities
Sale of common stock, $500,000.
Less Retirement of bonds payable, $355,000
Proceeds from the issuance of a short-term nontrade note, $10,000.
Net cash provided by financing activities $155,000
XS Supply Company is developing its annual financial statements at December 31. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statement are summarized
Previous Year Current Year Balance Sheet at December 31 Cash Accounts Receivable Inventory Equipment Accumulated Depreciation-Equipment $ 34,480 29,500 28,200 38,200 102,000 (30,400(25,200) 35,400 41,400 124,000 $204,880 $172,700 Accounts Payable Salaries and Wages Payable Note Payable (long-term) Common Stock Retained Earnings $ 36,400 1,280 39,800 89,800 37,600 27,200 1,500 46,000 72,800 25,200 $204,880 $172,700 Income Statement Sales Revenue Cost of Goods Sold Other Expenses $122,000 71,000 38,600 Net Income $ 12,400 Additional Data
a. Bought equipment for cash, $22,000
b. Paid $6,200 on the long-term note payable
c. Issued new shares of stock for $17,000 cash
d. No dividends were declared or paid
e. Other expenses included depreciation, $5,200; Salaries and wages, $20,200; taxes, $6,200; utilities, $7,000
f. Accounts Payable includes only inventory purchases made on credit. Because there are no liability accounts relating to taxes or other expenses, assume that these expenses were fully paid in cash.
Required:Prepare the statement of cash flows for the current year ended December 31 using the indirect method.
Answer:
$34,480
Explanation:
Preparation of the statement of cash flows for the current year ended December 31 using the indirect method.
Cash flow from Operating Activities
Net income $12,400
Add: Adjustments to reconcile net income to net cash provided by operating activities
Depreciation expense $5,200
Changes in current operating assets and liabilities:
Accounts receivable increase - $7,200
($35,400-$28,200)
Inventory increase -$3,200
($41,400-$38,200)
Accounts payable increase $9,200
($36,400-$27,200)
Accrued wages expense decrease -$220
($1,280-$1,500)
Net cash provided by Operating Activities $16,180
Cash flow from Investing Activities
Purchase of equipment- $22,000
Net cash used by Investing Activities- $22,000
Cash flow from Financing Activities
Issue of common stock $17,000
Repayment of note payable -$6,200
Net cash provided by Financing Activities $10,800
($17,000-$6,200)
Net increase in Cash and Cash Equivalents $4,980
($16,180+$10,800-$22,000)
Add: Cash in the beginning of the period $29,500
Cash at the end of the period $34,480
($29,500+$4,980)
Therefore the statement of cash flows for the current year ended December 31 using the indirect method is $34,480
Akers Company sold bonds on July 1, 20X1, with a face value of $100,000. These bonds are due in 10 years. The stated annual interest rate is 6% per year, payable semiannually on June 30 and December 31. These bonds were sold to yield 8%. By July 1, 20X2, the market yield on these bonds had risen to 10%.
Required:
What was the bonds' market price on July 1 20x2?
Answer:
$76,620.83
Explanation:
According to the scenario, computation of the given data are as follows
Future Value (FV) = $100,000
Rate of interest = 10% yearly
Rate of interest (Rate) = 10%÷ 2 = 5% semiannually
Number of period (Nper) = 9 × 2 = 18
Face value = $100,000
Payment (pmt) = $100,000 × (6%÷2) = $3,000
By putting the value in excel present value formula, we get,
PV = $76,620.83
Attachment is attached below
The Brite Beverage Company bottles soft drinks into aluminum cans. The manufacturing process consists of three activities:
Mixing: water, sugar, and beverage concentrate are mixed.
Filling: mixed beverage is filled into 12-oz. cans.
Packaging: properly filled cans are boxed into cardboard "fridge packs."
The activity costs associated with these activities for the period are as follows:
Mixing $286,000
Filling 253,500
Packaging 110,500
Total $650,000
The activity costs do not include materials costs, which are ignored for this analysis. Each can is expected to contain 12 ounces of beverage. Thus, after being filled, each can is automatically weighed. If a can is too light, it is rejected, or "kicked," from the filling line prior to being packaged. The primary cause of kicks is heat expansion. With heat expansion, the beverage overflows during filling, resulting in underweight cans. This process begins by mixing and filling 6,760,000 cans during the period, of which only 6,500,000 cans are actually packaged. 260,000 cans are rejected due to underweight kicks. A process improvement team has determined that cooling the cans prior to filling them will reduce the amount of overflows due to expansion. After this improvement, the number of kicks is expected to decline from 260,000 cans to 65,000 cans, thus increasing the number of filled cans to 6,695,000 [6,500,000 (260,000 - 65,000)].
Required:
a. Determine the total activity cost per packaged can under present operations.
b. Determine the amount of increased packaging activity costs from the expected improvements.
c. Determine the expected total activity cost per packaged can after improvements.
Answer:
A. $0.1 per can
B. $3,315
C. 0.098 per packaged can
Explanation:
a) Calculation to Determine the total activity cost per packaged can under present operations.
Using this formula
Total activity cost per packaged = Total activity cost under present operations ÷ total cans packaged
Let plug in the formula
Total activity cost per packaged= $650,000 ÷ 6,500,000
Total activity cost per packaged= $0.1 per can
Therefore the total activity cost per packaged can under present operations is $0.1 per can
b) Calculation to Determine the amount of increased packaging activity costs from the expected improvements.
First step is to calculate the Packaging cost per bottle =
Using this formula
Packaging cost per bottle = Current packaging cost ÷ total cans packaged
Let plug in the formula
Packaging cost per bottle = 110,500 ÷ 6,500,000
Packaging cost per bottle = $0.017 per bottle
Second step is to calculate the Total packaging cost
Using this formula
Total packaging cost = Total bottle × cost per bottle
Let plug in the formula
Total packaging cost= 6,695,000 × $0.017
Total packaging cost= $113,815
Now let determine the amount of increased packaging activity costs from the expected improvements.
Using this formula
Amount of increased packaging activity costs = total packaging cost - current packaging cost
Let plug in the formula
Amount of increased packaging activity costs= $113,815 - 110,500
Amount of increased packaging activity costs= $3,315
Therefore the amount of increased packaging activity costs from the expected improvements is $3,315
c) Calculation to Determine the expected total activity cost per packaged can after improvements
First step is to calculate Total activity cost using this formula
Total activity cost = Mixing cost + filling cost + packaging cost
Let plug in the formula
Total activity cost == $286,000 + $253,500 + $113,815
Total activity cost == $653,315
Now let determine the Expected total activity cost per packaged can
Using this formula
Expected total activity cost per packaged can = Total activity cost ÷ no. of bottles
Let plug in the formula
Expected total activity cost per packaged can= $653,315 ÷ 6,695,000
Expected total activity cost per packaged can=0.098 per packaged can
Therefore the expected total activity cost per packaged can after improvements is 0.098 per packaged can
The Poseidon Swim Company produces swim trunks. The average selling price for one of their swim trunks is $88.71. The variable cost per unit is $18.36, Poseidon Swim has average fixed costs per year of $22,898. What would be the operating profit or loss associated with the production and sale of 485 swim trunks?
Apple Inc. is the number one online music retailer through its iTunes music store. Apple sells iTunes gift cards in $15, $25, and $50 increments. Assume Apple sells $20.0 million in iTunes gift cards in November, and customers redeem $13.0 million of the gift cards in December.
8.
value:
10.00 points
Required information
Required:
1. & 2. Record the necessary entries in the Journal Entry Worksheet below. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in dollars, not in millions (i.e. 5.5 should be entered as 5,500,000).)
9-
3. What is the ending balance in the Deferred revenue account? (Enter your answer in dollars, not in millions. (i.e. 5.5 should be entered as 5,500,000).)
Answer:
1. & 2. Nov 30
Dr Cash $20.0 million
Cr Deferred Revenue $20.0 million
(To record the cash received for gift cards)
Dec 31
Dr Deferred Revenue $13.0 million
Cr Sales Revenue $13.0 million
3. $7,000,000
Explanation:
1. & 2. Preparation of the necessary journal entries
APPLE INC.
Journal Entries
Nov 30
Dr Cash $20.0 million
Cr Deferred Revenue $20.0 million
(To record the cash received for gift cards)
Dec 31
Dr Deferred Revenue $13.0 million
Cr Sales Revenue $13.0 million
(To record the redemption of gift cards)
3) Calculation to determine the ending balance in the Deferred revenue account
Ending Balance in Deferred revenue = $20.0 million - $13.0 million
Ending Balance in Deferred revenue= $7,000,000
Therefore ending balance in deferred revenue account is $7,000,000
Stormy Corporation has two service departments (S1 and S2) and two production departments (P1 and P2), and uses the step-down method of cost allocation. Management has determined that S1 provides more service to the firm than S2, and has decided that the number of employees is the best allocation base to use for S1. The following data are available:
Department Number of Employees
S1 10
S2 20
P1 50
P2 70
Which of the following statements is (are) true if S1 and S2 have respective operating costs of $280,000 and $350,000?
Multiple Choice
A. S2 should allocate a portion of its $350,000 cost to S1.
B. S1's cost should be allocated (i.e., spread) over 140 employees.
C. S1's cost should be allocated (i.e., spread) over 150 employees.
D. S2 should allocate a total of $390,000 to P1 and P2.
E. Both S1's cost should be allocated (i.e., spread) over 140 employees and S2 should allocate a total of $390,000 to P1 and P2.
Answer:
E. Both S1's cost should be allocated (i.e., spread) over 140 employees and S2 should allocate a total of $390,000 to P1 and P2.
Explanation:
As S1 gives more service, So it would be allocated first
Here
S1 cost of $280,000 would be allocated to S2 P1 and P2 based on number of employees
The total employees in S2 P1 and P2 is
= 20 + 50 + 70
= 140
And, the Cost to be allocated per employee is
= $280,000 ÷ 140
= $2,000
Now cost received by S2 is
= $2,000 × 20
= $40000
And, the cost received by P1 is
= $2,000 × 50
= $100,000
And, the cost received by P2 is
= $2,000 × $70
= $140,000
Now
S2 contains total cost of
= $350,000 + $40,000 (from S1)
= $390,000
So this would be allocated to P1 and P2 as S1 has already allocated
Hence, option D is correct
An even numbered card is chosen randomly from a set of cards labeled with the numbers 1 through 8. A second even numbered card is chosen after the first card is replaced. Are these dependent or independent events?
a.
dependent
b.
independent
Answer:
independent. This is a fun question. I never thought about how I would explain it before.
Explanation:
Can you think of anything that might influence the second even card being drawn?
Let's make the question a whole lot easier. Suppose you have a coin and it's a fair one just coming from the mint. Suppose you toss it and you get either heads or tails. Can you think of a reason why you should get the same thing again or put another way, can you guess what you are going to get next?If you can't then the tosses are independent of each other. You haven't replaced anything, like once you get a tails, you weight the coin so you can never get tails again. That would be a dependent event.If you can guess consistently, you better submit a written paper to a math journal.Now go back your your question. You replaced the card. The odds are the same as for the first toss. Is there anything that has changed your mind about being able to guess.
You can't guess, so the events are independent.
Calculate return on equity, ROE, under each of the three economic scenarios before any debt is issued. Also, calculate the percentage changes in ROE for economic expansion and 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.) c-2. Calculate return on equity, ROE, under each of the three economic scenarios after the recapitalization. Also, calculate the percentage changes in ROE for economic expansion and recession, assuming the firm goes through with the proposed recapitalization. (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.)
Answer:
Explanation:
Dear student, this question is incomplete, and the beginning missing part is attached in the image below.
From the information attached below,
The market value 90000
No of shares 3600
Debt expected to be
increased 34000
Tax rate 0.35
Expansion Recession
EBIT 8000 9600 5600
ROE = [tex]\dfrac{Net \ income }{Equity}[/tex] 5.8% 6.9% 4.0%
% Change in ROE with
expansion and recession 20% -30%
Stocks are offset by debt of equal liquidity in the current capital structure.
Therefore;
Debt 34000 Interest 6%
Equity is (market value -
debt expected to be raised) 56000
The net income is:
= (EBIT - Interest) (1 -tax) 3874 4914 2314
The new ROE = [tex]\dfrac{Net \ income }{Equity}[/tex] 6.9% 8.8% 4.1%
% Change in ROE with
expansion and recession 27% -40%
Dixie Chicken is about to close one of its fast food franchises. As part of the closing, the firm will sell a refrigeration unit and its cooking units. The book value of the refrigeration unit is currently $18,203.00, while the book value of the cooking unit is $3,713.00. A buyer has offered $12,454.00 for the refrigerator and $6,116.00 for the cooking unit. The tax rate facing the firm is 35.00%. What is the cash flow from selling these assets
Answer:
$19741.10
Explanation:
Cash flow from the sale = salvage value - tax(salvage value - book value)
Salvage value is the price at which the asset is sold
The refrigerator : $12,454.00 -0.35($12,454.00 - $18,203.00) = $14,466.15
$6,116.00 - 0.35($6,116.00 - $3,713.00) = $5274.95
Total cash flow = $5274.95 + $14,466.15 = $19741.10
what is contract theory
Answer:
the study of how people and organizations construct and develop legal agreements. It analyzes how parties with conflicting interests build formal and informal contracts, even tenancy.
Answer:
Contract theory is the study of how people and organizations construct and develop legal agreements. ... Contract theory draws upon principles of financial and economic behavior as different parties have different incentives to perform or not perform particular actions
Explanation:
Social contract theory, nearly as old as philosophy itself, is the view that persons' moral and/or political obligations are dependent upon a contract or agreement among them to form the society in which they live
The information in the table is from the statement of cash flows for a company at four different points in time (M, N, O, and P). Negative values are presented in parentheses.
For each point in time, state whether the company is most likely in the introductory phase, growth phase, maturity phase, or decline phase.
Point in Time
M N O P
Net cash provided by
operating activities $(60,000) $30,000 $120,000 $(10,000)
Cash provided by
investing activities (100,000) 25,000 30,000 (40,000)
Cash provided by
financing activities 70,000 (90,000) (50,000) 120,000
Net income (38,000) 10,000 100,000 (5,000)
Answer: m-introductory phase
n-decline phase
o-maturity phase
p-growth phase
Explanation:
For M, based on the values given, the company is in the introductory phase. This is the product's cycle first stage where a particular product is being launched into the market.
For N, based on the values given, the company is in the decline phase. This is the phase where there's reduction in sales and profits stop.
For O, based on the values given, the company is in the maturity phase. This is the stage of whereby the growth of the sales has started to reduce.
For P, based on the values given, the company is in the growth phase. This is the stage whereby the product gains acceptance among the consumers, and the public as a whole. There'll also be an increase in the sales and revenue.
Why is it important to reconcile your bank statements?
Answer:
When you reconcile your business bank account, you compare your internal financial records against the records provided to you by your bank. A monthly reconciliation helps you identify any unusual transactions that might be caused by fraud or accounting errors, and the practice can also help you spot inefficiencies.
Answer:
all of the above
Explanation: