Answer:
$65,700
Explanation:
Calculation to determine Determine what the net income would have been if the allowance method had been used, and the company estimated that 2% of sales would be uncollectible.
Bad debt expense under allowance method = 2% of sales
Bad debt expense under allowance method= 620,000 x 2%
Bad debt expense under allowance method= $12,400
Excess of Bad debt expense under allowance method = Bad debt expense under allowance method - Bad debt expense under direct write off method
Excess of Bad debt expense under allowance method= $12,400 -$9,900
Excess of Bad debt expense under allowance method= $2,500
Net income under allowance method = Net income under direct write off method - Excess of Bad debt expense under allowance method
Net income under allowance method = $68,200 - $2,500
Net income under allowance method =$65,700
Therefore what the net income would have been if the allowance method had been used, and the company estimated that 2% of sales would be uncollectible is $65,700
the role of manager to organization is to?
Answer:
A manager has to perform functions like planning, organizing, staffing, directing and controlling. All these functions are essential for running an organization smoothly and achieving enterprise objectives. Planning is required for setting goals and establishing strategies for coordinating activities.
Koczela Inc. has provided the following data for the month of May: Inventories: Beginning Ending Work in process $ 29,000 $ 24,000 Finished goods $ 58,000 $ 62,000 Additional information: Direct materials $ 69,000 Direct labor cost $ 99,000 Manufacturing overhead cost incurred $ 75,000 Manufacturing overhead cost applied to Work in Process $ 73,000 Any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold. The cost of goods manufactured for May is:
Answer:
cost of goods manufactured= $246,000
Explanation:
To calculate the cost of goods manufactured, we need to use the following formula:
cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP
cost of goods manufactured= 29,000 + 69,000 + 99,000 + 73,000 - 24,000
cost of goods manufactured= $246,000
Scenario: Roberto Baldwin As the owner and manager of Fantastic Toys, Roberto Baldwin is fascinated by all the changes occurring and transforming the workplace. Roberto is concerned about the important OB trends that he can understand and take advantage of in developing and positioning his company in the marketplace. If Roberto wants to study deep-level diversity in his organization, he should
Answer: increases its connectivity with people and organizations in other parts of the world.
Explanation:
You can check the options online on the site.
Deep-level diversity simply refers to the traits that are non-observable which such as norms, attitudes, beliefs, and values.
Since Roberto wants to study deep-level diversity in his organization, therefore, he should increases its connectivity with people and organizations in other parts of the world. This will help him in learning about the norms and values of other people.
On October 1, 2016, Adams Company paid $4,200 for a two-year insurance policy with the insurance coverage beginning on that date. As of December 31, 2016, which of the following account balances are correct after adjusting entries have been made?a. Prepaid insurance $4,200, and Insurance expense $0.b. Prepaid insurance $0, and Insurance expense $4,200.c. Prepaid insurance $2,100, and Insurance expense $2,100.d. Prepaid insurance $3,675, and Insurance expense $525.
Answer:
d. Prepaid insurance $3,675, and Insurance expense $525.
Explanation:
Preparation of the journal entry to determine which of the following account balances are correct after adjusting entries have been made
Based on the information given the account balances that are correct after adjusting entries have been made will be PREPAID INSURANCE $3,675, and INSURANCE EXPENSE $525.
First step is to calculate the amount the company pay per month
Amount pay per month=$4,200/24 months
Amount pay per month = $175 per month
Last step
Since Three months have been used which are October, November, and December which means that $175 per month × 3 months = $525 which will be recorded as INSURANCE EXPENSE while the balance in PREPAID INSURANCE will be $4,200 - $525 = $3,675
Lin Corporation has a single product whose selling price is $140 per unit and whose variable expense is $70 per unit. The company’s monthly fixed expense is $31,600. Required: 1. Calculate the unit sales needed to attain a target profit of $8,300. (Do not round intermediate calculations.) 2. Calculate the dollar sales needed to attain a target profit of $10,000. (Round your intermediate calculations to the nearest whole number.)
Answer:
Results are below.
Explanation:
Giving the following information:
Selling price= $140
Unitary variable cost= $70
Fixed cost= $31,600
To calculate the number of units to be sold to obtain a profit of $8,300, we need to use the following formula:
Break-even point in units= (fixed costs + desired profit) / contribution margin per unit
Break-even point in units= (31,600 + 8,300) / (140 - 70)
Break-even point in units= 570
Now, the dollar sales for $10,000 profit:
Break-even point (dollars)= (fixed costs + desired profit) / contribution margin ratio
Break-even point (dollars)= (31,600 + 10,000) / (70/140)
Break-even point (dollars)= $83,200
During January, its first month of operations, Dieker Company accumulated the following manufacturing costs: raw materials $5,500 on account, factory labor $6,400 of which $5,800 relates to factory wages payable and $600 relates to payroll taxes payable, and factory utilities payable $3,100.
Prepare journal entries for each type of manufacturing cost.
Answer: See explanation
Explanation:
The journal entries for each type of manufacturing cost is prepared below:
Dr Raw material inventory $5500
Cr Account payable $5500
(To record purchase of raw material on account)
Dr Factory labor $6400
Cr Factory wages payable $5800
Cr Payroll taxes payable $600
(To record factory labor costs)
Dr Manufacturing overhead $3100
Cr Utilities payable $3100
(To record entry for utilities payable)
Blum Company produces three products: A, B, and C from the same process. Joint costs for this production run are $2,100. Pounds Sales price per lb. at split-off Disposal cost per lb. at split-off Further processing per pound Final sales price per pound A 800 $6.50 $3.00 $2.00 $7.50 B 1,100 8.25 4.20 3.00 10.00 C 1,500 8.00 4.00 3.50 10.50 If the products are processed further, Blum Company will incur the following disposal costs upon sale: A, $3.00; B, $2.00; and C, $1.00. Refer to Blum Company. Using a physical measurement method, what amount of joint processing cost is allocated to Product A (round to the nearest dollar)
Answer:
$416
Explanation:
Calculation to determine the amount of joint processing cost that is allocated to Product A
First step is to determine the split-off Total
Yards Sales price
at split-off Total
A 800 *$6.50= $5,200
B 1,100* $8.25= $9,075
C 1,500*$8.00=$12,000
Total $26,275
Now let determine the amount of joint processing cost that is allocated to Product A
Product A joint processing cost=($5,200/$26,275) * $2,100
Product A joint processing cost=$416
Therefore Using a physical measurement method, what amount of joint processing cost is allocated to Product A is $416
Megan Corp. recognizes revenue over time to account for long-term contracts. At the date the contract is signed, the price is $600,000 and the expected costs to complete the contract are $400,000. The following information is available:
Year 1 Year 2 Year 3 Costs incurred to date $200,000 $350,000 $500,000 Estimated costs to complete 200,000 150,000 0 Progress billings 200,000 200,000 200.000
What is the amount of gross profit or loss that is recognized in year 2?
a. $30,000 loss
b. $40,000 gross profit
c. $150,000 loss
d. $200,000 gross profit
Answer:
a. $30,000 loss
Explanation:
Calculation to determine What is the amount of gross profit or loss that is recognized in year 2
First step is to calculate the Year 1 Cost to cost ratio using this formula
Year 1 Cost to cost ratio = 200,000 / ( Costs incurred + Cost to complete)
Let plug in the formula
Year 1 Cost to cost ratio= 200,000 / (200,000 + 200,000)
Year 1 Cost to cost ratio= 50%
Second step is to calculate the Gross profit or loss using this formula
Gross profit/Loss = 50% * ( Price - estimated cost to complete)
Let plug in the formula
Gross profit/Loss= 50% ( 600,000 - 400,000)
Gross profit/Loss= $100,000
Third step is to calculate the Year 2 Cost to cost ratio
Using this formula
Year 2 Cost to cost ratio = 350,000 / ( Costs incurred + Cost to complete)
Let plug in the formula
Year 2 Cost to cost ratio = 350,000 / (350,000 + 150,000)
Year 2 Cost to cost ratio = 350,000 / 500,000
Year 2 Cost to cost ratio = 70%
Now let calculate the gross profit or loss using this formula
Gross profit = 70% * ( Price - estimated cost to complete) - Previous Gross
Let plug in the formula
Gross profit= 70% ( 500,000 - 400,000) - 100,000
Gross profit= -$30,000
Gross Loss of $30,000 in Year 2
A firm has an equity beta of 1.2, the risk-free rate is 3.4 percent, the market return is 15.7 percent, and the pretax cost of debt is 9.4 percent. The debt-equity ratio is .47. If you apply the common beta assumptions, what is the firm's asset beta
Answer:
0.82
Explanation:
Calculation to determine the firm's asset beta
Using this formula
Firm's asset beta=Equity beta/(1+/D/E)
Let plug in the formula
Firm's asset beta=1.2/(1+0.47)
Firm's asset beta=1.2/1.47
Firm's asset beta=0.816
Firm's asset beta=0.82 (Approximately)
Therefore the firm's asset beta is 0.82
monthly deposits are made into an account paying % nominal interest compounded monthly. If the objective of these deposits is to accumulate $ by the end of the year, what is the amount of each deposit?
Answer:
$1433.28
Explanation:
Calculation to determine the amount of each deposit
Using this formula
Future value of annuity=P*((1+r)^n-1)
Where,
Annual interest rate = 6%
Monthly interest rate (r) = 0.5%
Future value of annuity = $100,000
Number of years = 5
Number of deposits (n) = 60
Let plug in the formula
$100,000=P*((1+0.005)^60/0.005
=$100,000/69.77
=P$1433.28
Therefore the amount of each deposit is =$1433.28
A résumé that emphasizes the candidate's directly applicable skills,
achievements, and abilities is
Answer: Combination resume
Explanation:
A combination resume combines a person's skills and abilities as well as what they have accomplished so far in their lives. This includes work experience, education and volunteer work.
This is the kind of resume that employers prefer because it shows them whether a person would be suitable for a job based on their skills as well as their work experience.
James Corporation is planning to issue bonds with a face value of $508,500 and a coupon rate of 6 percent. The bonds mature in 7 years and pay interest semiannually every June 30 and December 31. All of the bonds will be sold on January 1 of this year. (FV of $1, PV of $1, FV of $1, an PVA of $1) (Use the appropriate factor(s) from the tables provided. Round your final answer to whole dollars.) Required: Compute the issue (sales) price on January 1 of this year for each of the following independent cases:
Answer:
The solution according to the given query is summarized in the explanation segment below.
Explanation:
Given:
Face value,
= $508,500
Coupon rate,
= 6%
Bonds mature in years,
= 7
Now,
(a)
Issue price will be:
= [tex]508500\times 0.75788+15255\times 12.10626[/tex]
= [tex]385381.98+184680.99[/tex]
= [tex]570,063[/tex] ($)
(b)
Issue price will be:
= [tex]508500\times 0.66112+15255\times 11.29607[/tex]
= [tex]336179.52 + 172321.55[/tex]
= [tex]508,501[/tex] ($)
(c)
Issue price will be:
= [tex]508500\times 0.55839+15255\times 10.39090[/tex]
= [tex]283941.32 +158513.18[/tex]
= [tex]442,454[/tex] ($)
Both corrective taxes and tradable pollution permits reduce the cost of environmental protection and thus should increase the public's demand for a clean environment. b. Both corrective taxes and tradable pollution permits provide market-based incentives for firms to reduce pollution. c. Tradable pollution permits have an advantage over corrective taxes if the government is uncertain as to the optimal size of the tax necessary to reduce pollution to a specific level. d. Corrective taxes set the maximum quantity of pollution, whereas tradable pollution permits fix the price of pollution.
Answer:
d. Corrective taxes set the maximum quantity of pollution, whereas tradable pollution permits fix the price of pollution.
Explanation:
The government applied the alternatives for the policy in order to control the pollution problem
here following two vital policy alternatives i.e.
1. Corrective taxes
2. Permits of Tradable pollution
The corrective taxes impose the per unit tax with regard to the pollution i.e. emitted. Also it fixed the pollution price
Here there is a permit of the tradable pollution that could set the pollution limit i.e. maximum. On the other hand, the firm could emit the pollution till the quantity mentioned by the permit of the tradable permit
So, the option d should be considered
Dawn's bridal boutique is having a sale on evening dresses. The increase in consumer surplus comes from the benefit of the lower prices to a. both existing customers who now get lower prices on the gowns they were already planning to purchase and new customers who enter the market because of the lower prices. b. only new customers who enter the market because of the lower prices. c. only existing customers who now get lower prices on the gowns they were already planning to purchase. d. Consumer surplus does not increase; it decreases.
Answer:
The answer is "Option a".
Explanation:
Dawn's bridal shop does have an evening gowns sale. The rise in consumer surplus is attributable to the fact that both existing customers now also have cheaper prices on the robes which previously planned to buy, as well as the new customers who enter the market due to lower prices even as advantages are identical but the prices are cheaper on the same robe. The current product and existing consumers are able t benefit from market sales, thereby increasing the excess of the new and current consumers.
The following data apply to Benevento Industries, Inc. (BII): Value of operations $1,000 million Short-term investments $100 million Debt $300 million Number of shares 100 million The company plans on distributing $100 million as dividend payments. What will the intrinsic per share stock price be immediately after the distribution
Answer: $7
Explanation:
Firstly, we'll calculate the equity which will be:
= Value of operations - Value of debt
= $1000 - $300
= $700
Then, the intrinsic price will be:
= Equity/Number of shares
= $700/100
= $7
Therefore, the intrinsic per share stock price immediately after the distribution will be $7
How has globalization made countries more independent
Answer:
Countries rely on each other for new industries. Countries rely on each other for chances to import. Countries rely on each other for an employment base. Countries rely on each other for cheaper products. Countries rely on each other for chances to export. Countries now rely on one another for vital resources.
You currently have $10,000 in your 401k plan. Your plan experiences a 20% GAIN the first year followed by a 20% LOSS in the second year. What is the value of your 401k plan at the end of 2 years
Answer:
9600
Explanation:
when we talk about a 20% gain, it means that the value of the fund had to rise to
1 + 20%
= 1 + 0.20
= 1.20
when we talk about a 20% loss, it also ,means that there was a 1 - 20% drop
1 - 0.20
= 0.80
therefore the value of your 401k plan at the end of the second year would be gotten by:
10000 x 1.20 x 0.80
= 9600
thank you
Clover Hardware sold a range of products. A few weeks ago, orders arrived for the garden center and outdoor living areas. 500 grills, purchased at a cost of $75 each, were distributed among 10 locations. 200 were sold for $175 each across all locations. The cost of goods sold totals __________.
Answer:
COGS= $15,000
Explanation:
Giving the following information:
Purchase= 500 grills
Unitary cost= $75
Units sold= 200
To calculate the cost of goods sold, we need to use the following formula:
COGS= beginning finished inventory + cost of goods purchased - ending finished inventory
COGS= 0 + 500*75 - 300*75
COGS= $15,000
or;
COGS= 200*75= $15,000
The ledger of Shamrock, Inc. on March 31, 2017, includes the following selected accounts before adjusting entries.
Debit Credit
Supplies 2,610
Prepaid Insurance 2,480
Equipment 22,500
Unearned Service Revenue 12,000
An analysis of the accounts shows the following.
1. Insurance expires at the rate of $310 per month.
2. Supplies on hand total $960.
3. The equipment depreciates $150 per month.
4. During March, services were performed for two-fifths of the unearned service revenue.
Required:
Prepare the adjusting entries for the month of March.
Answer and Explanation:
The adjusting entries are as follows:
1 Insurance expense Dr $310
To Prepaid Insurance $310
(Being insurance expense is recorded)
2 Supplies expense Dr $1,650 ($2,610 - $960)
To Supplies $1,650
(Being supplies expense is recorded)
3 Depreciation expense Dr $150
To Accumulated Depreciation - Equipment $150
(Being depreciation expense is recorded)
4 Unearned service revenue Dr (two-fifth of $12,000) $4,800
To Service Revenue $4,800
(Being service revenue is recorded)
Ethelbert is a young software company owned by two entrepreneurs. It currently needs to raise $1,254,400 to support its expansion plans. A venture capitalist is prepared to provide the cash in return for a 40% holding in the company. Under the plans for the investment, the VC will hold 19,600 shares in the company and the two entrepreneurs will have combined holdings of 29,400 shares.
a. What is the total after-the-money valuation of the firm?
b. What value is the venture capitalist placing on each share?
Answer:
a. $3,136,000
b. $64 per share
Explanation:
The computation is shown below
a. The total after the money valuation is
= $1,254,400 ÷ 40%
= $3,136,000
b. The value that venture capitalist place on each share is
= $3,136,000 ÷ (19,600 ÷ 40%)
= $3,136,000 ÷ 49,000 shares
= $64 per share
Hence, the same should be considered
Jones Ice Cream Stand is operated by Mr. Jones and experiences different sales patterns throughout the year. To plan for thefuture, Mr. Jones wants to determine its cost behavior patterns. He has the following information available about the ice creamstand's operating costs and the number of soft serve cones served
Using the high- low method , the fixed cost for a month are?
MONTH NUMBER OF ICE CREAM CONES TOTAL OPERATING COST
APRIL 800 950
MAY 825 975
JUNE 1125 1000
JULY 2000 1250
AUGUST 1500 1875
SEPTEMBER 900 1500
A) 2,200
B) 750
C) 300
Answer:
B) 750
Explanation:
The computation of the fixed cost using the high-low method is as follows:
But before that the variable cost per unit should be determined
Variable cost is
=[ ($1,250 - $950) ÷ (2000 - 800)]
= $0.25 per ice cream
Now the fixed cost is
= [$1,250 - ($0.25 × 2000)]
= $750
hence, the option b is correct
dự báo thị trường trên các đường bay dự kiến khai thác
Sah Inc's last free cash flow was $1.75 million. Its free cash flow growth rate is expected to be constant at 25% for 2 years, after which free cash flows are expected to grow at a rate of 6% forever. Its weighted average cost of capital WACC is 12%. Huxley has $5 million in short-term investments and $7 million in debt and has 2 million shares outstanding. What is the best estimate of the current intrinsic stock price
Answer:
$40.64 per share
Explanation:
The computation of the best estimate of the current intrinsic stock price is given below;
Enterprise value is
= ($1.75 × (1.25)) ÷ (1.12)^1 + ($1.75 × (1.25)^2) ÷ (1.12)^2 + (($1.75 × (1.25)^2 × 1.06) ÷ 0.06) ÷ (1.12)^2
= $42.64 million
now
market cap = enterprise value - debt + investments
= $42.64 - $7 + $5
= $40.64 million
Now finally
price = $40.64 million ÷ 1million
= $40.64 per share
When creating a company's security policy, it is not necessary that the scope align with the company's annual information security budget. True False
Answer:
False, you would want them to align.
Explanation:
In order to sell a product at a profit the product must be priced higher than the total of what it costs you to build the unit, plus period expenses, and plus overhead. At the end of last year the broad cost leader Chester had an Elite product Cake. Use the Inquirer's Production Analysis to find Cake's production cost, (labor materials). Exclude possible inventory carrying costs. Assume period expenses and overhead total 1/2 of their production cost. What is the minimum price the product could have been sold for to cover the unit cost, period expenses, and overhead
Answer: Hello there is a missing data below is the missing data
The production cost is $21.45.
answer : 32.175 ≈ $32
Explanation:
Using the Inquirer's Production Analysis to find Cake's production cost, (labor materials).
Period expenses and Overhead = 1/2 production cost
Minimum price = production cost + period cost + overhead cost ( 1/2 production cost )
∴ Minimum price = 21.45 + 10.725
≥ 32.175
an investor purchased a stock one year ago for $58.00. it paid an annual cash dividend of $4.38 and is now worth $65.01. what total return did the investor earn? would the investor have experienced a capital gain? explain.
Answer:
its 34
Explanation:
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On January 2, 2017, Concrete Master Construction, Inc. issued $500,000, ten-year bonds for $574,540. The bonds pay interest on June 30 and December 31. The face rate is 8% and the market rate is 6%. What is the carrying value of the bonds after the first interest payment is made on June 30, 2017
Answer:
The carrying value of the bonds after the first interest payment is made on June 30, 2017, is $571,776
Explanation:
The carrying value of the bond after the first interest payment will be calculated as follow
Carrying value of bond = Bond Issuance value - Amortization of Bond premium
Where
Bond Issuance value = $574,540
Amortization of bond premium = Coupon payment - ( Bond issuance value x Market rate ) = ( $500,000 x 8% x 6/12 ) - ( $574,540 x 6% x 6/12 ) = $20,000 - $17,236 = $2,764
Placing values in the formula
Carrying value of bond = $574,540 - $2,764
Carrying value of bond = $571,776
arett Motors is trying to decide whether it should keep its existing car washing machine or purchase a new one that has technological advantages (which translate into cost savings) over the existing machine. Information on each machine follows: Old machine New machine Original cost $9,000 $20,000 Accumulated depreciation 5,000 0 Annual cash operating costs 9,000 4,000 Current salvage value of old machine 2,000 Salvage value in 10 years 500 1,000 Remaining life 10 yrs 10 yrs Refer to Jarett Motors. The $4,000 of annual operating costs that are common to both the old and the new machine are an example of a(n) Select one: a. opportunity cost b. irrelevant cost c. future avoidable cost d. sunk cost
Answer:
Jarett Motors
The $4,000 of annual operating costs are an example of an
a. opportunity cost
Explanation:
a) Data and Calculations:
Old machine New machine
Original cost $9,000 $20,000
Accumulated depreciation 5,000 0
Annual cash operating costs 9,000 4,000
Current salvage value of old machine 2,000
Salvage value in 10 years 500 1,000
Remaining life 10 yrs 10 yrs
b) The annual operating costs are an example of opportunity cost because the alternative with the old machine will incur an annual operating cost of $9,000 instead of $4,000 with the new machine. This will translate to a forgone benefit of $5,000 ($9,000 - $4,000) in cost saving if the new machine is purchased.
Use the following information: Windswept, Inc. 2017 Income Statement ($ in millions) Net sales $10,160 Cost of goods sold 8,210 Depreciation 510 Earnings before interest and taxes $1,440 Interest paid 122 Taxable income $1,318 Taxes 461 Net income $857 Windswept, Inc. 2016 and 2017 Balance Sheets ($ in millions) 2016 2017 2016 2017 Cash $320 $350 Accounts payable $1,730 $1,610 Accounts rec. 1,180 1,080 Long-term debt 1,190 1,390 Inventory 2,080 1,830 Common stock 3,520 3,520 Total $3,580 $3,260 Retained earnings 730 980 Net fixed assets 3,590 4,240 Total assets $7,170 $7,500 Total liab.& equity $7,170 $7,500 What is the quick ratio for 2017?a. 89 times.b. 1.81 times.c. 1.14 times.d. 88 times.e. 2.02 times.
Answer:
See below
Explanation:
Given the information above, Quick ratio is computed as shown below;
Quick ratio = Quick assets / Current liabilities
Where,
Quick assets = Cash and cash equivalents + Marketable securities + Account receivables
Current liabilities = Bills payable + Accounts payable + Other short term liabilities
From the balance sheet, Quick assets includes cash and account receivables, while Current liabilities includes Accounts payable only
Quick ratio = $350 + $1,080 / $1,610
Quick ratio = $1,430/ $1,610
Quick ratio = 0.89 times
Therefore, the quick ratio for 2017 is 0.89 times
Tip Top Corp. produces a product that requires 11 standard gallons per unit. The standard price is $4.5 per gallon. If 4,500 units required 50,500 gallons, which were purchased at $4.27 per gallon, what is the direct materials (a) price variance, (b) quantity variance, and (c) cost variance
Answer:
Explanation:
To calculate the direct material price, quantity, and total variance; we need to use the following formulas:
Direct material price variance= (standard price - actual price)*actual quantity
Direct material price variance= (4.5 - 4.27)*50,500
Direct material price variance= $11,615 favorable
Direct material quantity variance= (standard quantity - actual quantity)*standard price
Direct material quantity variance= (11*4,500 - 50,500)*4.5
Direct material quantity variance= $4,500 unfavorable
Total direct material cost variance= 11,615 - 4,500
Total direct material cost variance= $7,115
