Adjusting entries in this scenario involve calculations related to equipment depreciation, rent revenue recognition, accrued interest on payables, supplies expense recognition, and insurance expense calculation with the intent to reflect the most accurate financial position at the end of a quarter.
Explanation:The task at hand is to make quarterly adjusting entries from the provided account information. The process involves the calculation of accrued and prepaid expenses, and income. Let's go through each point:
Depreciation Expense: For equipment depreciation, multiply $248 by 3 months to get the quarterly depreciation of $744. So, debit Depreciation Expense $744 and credit Equipment $744.Rent Revenue: One-third of the unearned rent was recognized as revenue during the quarter. Thus, debit Unearned Rent for the determined one-third amount and credit Rent Revenue for the same amount.Interest Payable: Interests accruing on the notes are represented by a debit to Interest Expense $550 and a credit to Interest Payable $550.Supplies Expenses: Supplies on hand will be credited while Supplies Expenses will be debited by the total amount of $637.Insurance Expense: For expired insurance, multiply $324 by 3 for the quarter to get insurance expense of $972. So, debit Insurance Expense $972 and credit Prepaid Insurance $972.Learn more about Adjusting Entries here:https://brainly.com/question/33175618
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Assume that you have a subsidiary in Australia. The subsidiary sells mobile homes to local consumers in Australia, who buy the homes using mostly borrowed funds from local banks. Your subsidiary purchases all of its materials from Hong Kong and pays Hong Kong dollar. The Hong Kong dollar is tied to the U.S. dollar. Your subsidiary borrowed funds from the U.S. parent, and must pay the parent $100,000 in interest each month. Australia has just raised its interest rate in order to boost the value of its currency (Australian dollar). The subsidiary’s cost of purchasing materials measured in Australian dollar will ____________. A. increase B. decrease C. not change
Answer:
B. decrease
Explanation:
The subsidiary's cost of purchasing materials measured in Australian dollar will decrease. The subsidiary in Australia sells mobile homes. It borrows funds from local bank and purchases material from Hong Kong and pays Hong Kong in HK$ which is tied to US dollar. So when Australian dollar appreciates against the Hong Kong dollar, it will appreciate against US dollar as the Hong Kong dollar is tied to US dollar. The subsidiary will pay decreased cost of purchasing material due to appreciations of A$ by increasing interest rate in Australia.
The cost of purchasing materials measured in Australian dollars will increase for the subsidiary. This is due to the rise in interest rates in Australia, which boosts the value of the Australian Dollar. As the Australian dollar gets stronger, it will require more dollars to purchase the same amount of Hong Kong dollars (linked to U.S. dollar).
Explanation:The subsidiary's cost of purchasing materials measured in Australian dollars would increase. This is due to the fact that Australia has raised its interest rates, which consequently would lead to a boost in the value of its currency (Australian dollar). In monetary value terms, as the Australian dollar gets stronger, you will require more dollars to purchase the same amount of Hong Kong dollars (which is linked to the U.S. dollar). Consequently, the rate of exchange between the Australian dollar and the Hong Kong dollar will change, more specifically it will increase. As a result, it will cost more in terms of the Australian dollar to buy the same amount of materials from Hong Kong.
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Country Furniture Company manufactures furniture at its? Akron, Ohio, factory. Some of its costs from the past year? include:
Depreciation on sales office
?$ ? 9,000
Depreciation on factory equipment
? 16,000
Factory supervisor salary
? 50,500
Sales commissions
? 23,000
Lubricants used in factory equipment
? 3,000
Insurance costs for factory
? 21,000
Wages paid to maintenance workers
? 115,000
Fabric used to upholster furniture
? 10,000
Freightminus?in
?(on raw? materials)
? 3,000
Costs of delivery to customers
? 9,000
Wages paid to
assemblyminus?line
workers
? 155,500
Lumber used to build product
? 82,000
Utilities in factory
? 54,500
Utilities in sales office
? 26,500
Product costs for Country Furniture Company totaled
A.
?$370,000.
Your answer is not correct.
B.
?$486,500.
C.
?$526,500.
D.
?$510,500.
Determine the current ratio if current assets total $150,000, non-current assets are $205,000, current liabilities total $60,000, long-term liabilities total $80,000, and shareholder’s equity totals $215,000.
Answer:
The current ratio is 2.5:1
Explanation:
The current ratio is a relationship of the current assets and the current liabilities, and is normally expressed as a percentage.
Based on the data provided in the question, it is calculated as under:
Total Current assets $ 150,000
Total Current Liabilities $ 60,000
The current assets are two and a half times of the current liabilities. Using the lower figure as a base. the current assets are ratio comes out to be
2.5 : 1.
If a country experiences a rise in prices but produces the same quantity of output as in the previous year, its nominal GDP will _____ and its real GDP will _____.
Answer:
Increases
Stays the same
Explanation:
Nominal GDP is output produced by a country multiplied by current year prices.
Real GDP is output produced by a country multiplied by base year prices. The real GDP adjusts for the effects of inflation.
I hope my answer helps you
Which of the following statements is true about market value ratios? High P/E ratios could mean that the company has a great deal of uncertainty in its future earnings. Low P/E ratios could mean that the company has a great deal of uncertainty in its future earnings.
Market value ratios, such as the P/E ratio, reflect the market's perception of a company's future earnings. A high P/E ratio suggests positive expectations, while a low P/E ratio may indicate concerns about future earnings.
Explanation:Market value ratios provide investors with insights into the market's perception of a company's value. One common market value ratio is the Price-to-Earnings (P/E) ratio. A high P/E ratio suggests that the market has a positive view of the company's future earnings potential, as investors are willing to pay a higher price for each unit of earnings. On the other hand, a low P/E ratio may indicate that the market has concerns about the company's future earnings, potentially due to uncertainty or poor performance.
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Robertson Properties, a large commercial property management firm, orders cleaning supplies directly from the manufacturer of those products. This purchase is part of the _______ market. a. business-to-consumer b. business-to-business c. competitive consumer
Answer:
The correct answer is letter "B": business-to-business.
Explanation:
Business-to-business (B2B) transactions are those held among companies. These relationships are typically seen in supply chains where one company depends on another or simply when a company needs services from other entity that is actually not a final user of the products the company is dedicated to offering.
Answer: B. Business-to-business
Explanation: Business-to-business (B2B or B to B) markets are those that involve trades and transactions between businesses, businesses rather than between a business and individuals or governments as the case may be. By ordering supplies to be utilized in the management business of Robertson Properties shows that it is a transaction between two business. B2B markets encompasses transactions between manufacturer and wholesaler, or a wholesaler and a retailer. B2B markets are mostly common common in a typical supply chain, automobile industries, manufacturing, service providers etc.
J. Morgan and M. Halsted are partners who share income and loss in a 3:1 ratio. After several unprofitable periods, the two partners decided to liquidate their partnership. The current period's income or loss is closed to the partners' capital accounts according to the sharing agreement. Immediately before liquidation, the partnership balance sheet shows: land, $100,000; accounts payable, $80,000; J. Morgan, Capital, $15,000; and M. Halsted, Capital, $5,000. On January 15, the land was sold for $110,000 cash. On January 16, the partnership settled its liabilities. On January 31, the remaining cash was distributed to the partners. Prepare the January 15 journal entry for the partnership to record the sale of the land. Note: Enter debits before credits. Date General Journal Debit C
Answer:
cash 110,000 debit
land 100,000 credit
gain at disposal 10,000 credit
--to reocrd teh sale of land--
accounts payable 80,000 debit
cash 80,000 credit
--to record the payment of liabilities--
gain at disposal 10,000 debit
Morgan 7,500 credit
Halsted 2,500 credit
--to distribute the gain from sale--
Morgan 22,500
Haslted 7,500
Cash 30,000
--to liquidate the partnership--
Explanation:
ratio 3:1 (3+1=4)
Morgan 15000 share of 3/4 = 75%
Halsted 5000 share of 1/4 = 25%
there is gain of 10,000 in the sale distribute as follow
Morgan 10,000 x 75% = 7,500
Halsted 10,000 x 75% = 2,500
Now we close the account against cash
Seasonal patterns A. cannot be predicted.B. are multiyear runs of observations above or below the trend line.C. reflect a shift in the time series over time.D. are regular repeated patterns.
Answer:
The correct answer is letter "D": are regular repeated patterns.
Explanation:
In statistics, seasonal patterns are a group of components that tend to repeat their behavior over specific intervals. Those intervals are likely to be one year. Seasonal patterns oppose to cyclical patterns because the latter identifies repeated behavior over intervals that sometimes can be long or some times short.
To buy your first home, you take out a 15 year (fully amortizing) mortgage for $400,000 which requires equal yearly payments. The effective annual interest rate is 3.6%. How much principal do you pay off in year 2?
a. $13,659.21
b. $21,318.27
c. $34,977.48
d. $41,895.75
e. None of the above
Answer:
The principal paid off in year two $21,318.27
Explanation:
The arrangement for equal amount payable yearly to pay off the entire loan obligation (principal plus interest) is an annuity for 15years at 3.6%.
An annuity is a series of equal payment payable annually for certain number of years where interest is charged at a particular rate.
We can work out the annual equal installment using the Present Value (PV) annuity formula below:
PV = A ×( (1- (1+r)^(-n))/r)
So we can apply this formula to the question
PV - 400,000, r =3.6%= 0.036, n -15, A is equal instalment, not given.
400,000 = A ×( 1- (1.036)^(-15))/0.036
400,000 = A × 11.4359
A= 400,000/11.4359
A =34,977.47
Equal annual installment =$34,977.47
Now with the help of an amortization table we ascertain the amount of principal paid off in year 2:
Amortization Schedule
Bal @ beginning Interest Installment Principal Paid Principal bal.
A B = A *3.6% C D= C - B E =A-D
400,000.00 14,400.00 34,977.48 20,577.48 379,422.52
379,422.52 13,659.21 34,977.48 21,318.27
The amortization table is a schedule showing how the loan would be paid over the loan period.
Note that the columns are labelled as A, B, C, D and E starting from the left hand-side respectively
The principal paid off in year two is $21,318.27 which is the bolded figure in column D,
Brangelina Adoption Agency’s general ledger shows a cash balance of $4,583. The balance of cash in the March-end bank statementis $7,325. The bank statement reveals the following information: checks outstanding of $2,793, bank service fees of $75, and interest earned of $24. Calculate the correct balance of cash at the end-of March.
Answer:
The correct cash balance is $7,325
Explanation:
When preparing bank reconciliation,some items are added while some are subtracted depending on which balance is started with.
In this case, the cash balance will be started with and adjusted to the correct balance at the end of March
$
Cash balance as per ledger 4,583
Add: interest earned 24
Less: Bank service fee (75)
Adjusted cash balance 4,532
Add back outstanding check 2,793
Correct cash balance as at end of March 7,325
Final answer:
To reconcile the Brangelina Adoption Agency's cash balance, various adjustments are made to the bank statement balance, including deducting outstanding checks and service fees and adding interest earned, resulting in an adjusted bank balance of $4,481.
Explanation:
To calculate the correct balance of cash at the end of March for the Brangelina Adoption Agency, we need to reconcile the general ledger balance with the bank statement balance. The reconciliation process includes adjusting the bank statement balance with the outstanding checks, bank service fees, and interest earned.
Bank Statement Balance: $7,325
Less: Checks Outstanding: -$2,793
Less: Bank Service Fees: -$75
Add: Interest Earned: $24
Now we can calculate the adjusted bank balance:
$7,325 (Bank Statement Balance) - $2,793 (Checks Outstanding) - $75 (Bank Service Fees) + $24 (Interest Earned) = $4,481 (Adjusted Bank Balance)
The general ledger shows a cash balance of $4,583. The bank statement adjusted balance is $4,481. There might be a discrepancy due to unrecorded transactions in the general ledger or bank statement. However, based on the information given, the correct cash balance at the end of March would be $4,481.
Kinglinks, a cereal manufacturer, wants to promote its new line of protein bars to its target customers using a nonpersonal form of communication.
Kinglinks is least likely to rely on _____ as a means of communication.
A. advertising
B. direct marketing
C. sales promotion
D. public relations
Answer:
B. direct marketing
Explanation:
A non personal form of communication is a type of marketing that directed information to the public (non one to one communication) without a means of feedback.
Advertising is a marketing strategy directed to the public (target customers) letting them aware of the new products or an existing products to enhance increase in purchase.
Direct marketing is a one to one form of marketing which Kinglinks will not be doing.
Therefore, Kinglinks is least likely to rely on direct marketing as a means of communication.
What's the present value of $1,700 discounted back 5 years if the appropriate interest rate is 6%, compounded monthly? a. $1,335.95 b. $1,298.14 c. $1,398.97 d. $1,411.57 e. $1,260.33
Answer:
e. $1,260.33
Explanation:
If the annual rate is 6%, the monthly interest rate 'r' is:
[tex]r= \frac{6\%}{12}=0.5\%[/tex]
The present value 'P' of an investment 'F', discounted at a monthly rate 'r' for a period of 'n' years is:
[tex]P=\frac{F}{(1+r)^{12*n}}[/tex]
If the future value after 5 years at a rate of 0.5% per month is $1,700, the present value is:
[tex]P=\frac{\$1,700}{(1+0.005)^{12*5}}\\P=\$1,260.33[/tex]
The present value is $1,260.33.
An investment pays $400 in one year, X amount of dollars in two years, and $500 in three years. The total present value of all the cash flows (including X) is equal to $1,500. If i is 6 percent, what is X?
Answer:
X = 789.70
Explanation:
we solve for X considerign each deposit is discounted at the given rate using the lump sum formula:
[tex]\frac{Maturity}{(1 + rate)^{time} } = PV[/tex]
[tex]\frac{400}{1.06}+\frac{X}{1.06^2} +\frac{500}{1.06^3} = 1,500\\X= (1,500 - \frac{400}{1.06} - \frac{500}{1.06^3}) \times 1.06^2[/tex]
X = 789.7018868
To find the cash flow amount in the second year (X) in this present value calculation, you should calculate the present values of the known cash flows for years 1 and 3, subtract that sum from the total present value, and then adjust for the present value calculation for year 2.
Explanation:This question involves the concept of present value in finance. The present value formula is a way to determine the current worth of a future sum of money, given a specified rate of return. This problem is asking you to find the amount in the second year (X) using the condition that the total present value is $1,500.
Using the Present Value (PV) formula PV = CF / (1 + r)^n where CF is cash flow, r is rate of interest, and n is number of years, the given conditions can be written as follows:
PV for year 1: 400 / (1 + 0.06)^1PV for year 2: X / (1 + 0.06)^2PV for year 3: 500 / (1 + 0.06)^3
The sum of these present values should be $1,500, so to find X, you should sum the PVs for years 1 and 3, subtract that sum from $1,500, and then adjust for the present value calculation for year 2. So, X = [$1,500 - (PV for year 1 + PV for year 3)] x (1 + 0.06)^2
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Cash Received from Customers—Direct Method
Sales reported on the income statement were $112,000. The accounts receivable balance decreased $10,500 over the year.
Determine the amount of cash received from customers.
Answer:
The cash received or collected from the customers amounts to $122,500
Explanation:
Cash receipts is the sum of all the cash amounts collected or received from the sale of the goods and on accounts receivable.
Cash received or collected from the customer is computed as:
Cash collected from customer = Sales + Decrease in accounts receivable
where
Sales amounts to $112,000
Decrease in accounts receivable amounts to $10,500
Putting the values above:
= $112,000 + $10,500
= $122,500
Therefore, the cash amounts to $122,500, received from customers.
The PCI Council was formed in 2006 to create safeguards designed to protect credit card data. Any merchant or service provider who accepts credit cards must follow the safeguards. True False
Answer:
True
Explanation:
In order to protect businesses who accept credit cards from their customers as forms of payment, the Payment Card Industry Security Standards Council (PCI SSC) also known as the Payment Card Industry Data Security Standard (PCI DSS) it was established in 2006 by American Express. It helps in strengthening credit card holder data security to mitigate the credit card risks. The standard presents a benchmark against which businesses can compare and measure their own security policies
eBay's customers enrich the Web site by giving their reviews after every purchase. These reviews are used by buyers to evaluate the sellers in eBay. eBay also provides special privileges to sellers who have higher ratings. This is an example of ________.
a. value
b. chain
c. extension
d. reverse
The options are:
A) reverse engineeringB) value chain extensionC) focused strategyD) niche market
Answer:
Value chain extension.
Explanation:
Value chain extension are the steps a company takes to extend the reach of their products to customers, and multiple relationships are built that impacts the bottom line.
In this instance eBay customers write a review after each purchase and the reviews are now used by buyers to evaluate the seller's.
EBay in turn gives special privileges. This is eBay creating an extended value chain in delivering it's products to customers.
The threat from substitutes is high when: a. switching costs are high. b. the substitute product's price is lower than the industry product's price. c. the quality of the substitute product is lower than the quality of the industry's product. d. the substitute product stimulates new process innovations within the industry.
Answer:
Option (b) is correct.
Explanation:
Substitute goods refers to the goods which are having positive cross price elasticity of demand. This means that there is a direct relationship between the price of one good and the quantity demanded for its substitute good.
Therefore, the threat from substitutes is high when the price of substitute is lower the price of particular good because by offering a lower price for the same product induces consumers to buy product from this seller.
The substitute goods are having the similar characterstics and provide same level of satisfaction. That's why the consumers easily switch to the product with a lower price.
Answer:
The correct answer is letter "B": the substitute product's price is lower than the industry product's price.
Explanation:
Threats are all external factors that potentially represent a disadvantage for firms. When it comes to competition between companies, if one of them decides to set the price of their goods or services below the industry's standard, the scenario represents a threat for the competitors since consumers are price-driven which means more of them will prefer to purchase the products of the company offering at lower prices.
Sobota Corporation has provided the following partial listing of costs incurred during August:
Marketing salaries $ 51,900
Property taxes, factory $ 10,300
Administrative travel $ 105,000
Sales commissions $ 52,400
Indirect labor $ 44,100
Direct materials $ 172,600
Advertising $ 144,000
Depreciation of production equipment $ 48,300
Direct labor $ 94,500
Required:
a. What is the total amount of product cost listed above?
b. What is the total amount of period cost listed above?
Answer:
a. The total amount of product cost is $369,800
b. The total amount of period cost is $353,300
Explanation:
Product costs are costs that are directly incurred in the production of goods. Products costs are traceable to production of goods. Examples of products costs are direct material cost and direct labor cost.
In contrast, period costs are costs that are incurred on the general affairs of the business. They are not related to production of goods. They are incurred on administering a business. Example includes salaries paid to directors of a company
Total amount of product cost $
Property taxes, factory 10,300
Indirect labor 44,100
Direct materials 172,600
Depreciation of production equipment 48,300
Direct labor 94,500
369,800
Total amount of period cost: $
Marketing salaries 51,900
Administrative travel 105,000
Sales commissions 52,400
Advertising 144,000
353,300
1. Determine the utilization and the efficiency for each of these situations: a. A loan processing operation that processes an average of 7 loans per day. The operation has a design capacity of 10 loans per day and an effective capacity of 8 loans per day.
Answer:
Efficiency is 87.50% and Utilization is 70%
Explanation:
Actual ouput = 7 loans per day
Effective capacity = 8 loans per day
Design capacity = 10 loans per day
Therefore,
Efficiency = actual output÷effective capacity×100%
= 7 ÷ 8 × 100%
Efficiency = 87.50%
Utilization = actual output÷design capacity×100%
= 7 ÷ 10 × 100%
Utilization = 70%
A variable annuity is a: A face amount certificate company B management company C fixed unit investment trust D participating unit investment trust
Answer:
D participating unit investment trust
Explanation:
A variable annuity is a contract between you and an insurance company. It serves as an investment account that may grow on a tax-deferred basis and includes certain insurance features, such as the ability to turn your account into a stream of periodic payments. You purchase a variable annuity contract by making either a single purchase payment or a series of purchase payments.
A variable annuity offers a range of investment options. The value of your contract will vary depending on the performance of the investment options you choose. The investment options for a variable annuity are typically mutual funds that invest in stocks, bonds, money market instruments, or some combination of the three.
On February 1, 2017, Pat Weaver Inc. (PWI) issued 10%, $1,000,000 bonds for $1,116,000. PWI retired all of these bonds on January 1, 2018, at 102 for total proceeds of $1,020,000. Unamortized bond premium on that date was $92,800. How much gain or loss should be recognized on this bond retirement
Answer:
$72,800
Explanation:
Book value:
= Value of bonds + Unamortized bond premium
= $1,000,000 + $92,800
= $1,092,800
Paid at redemption:
= 102% of value of bonds
= 102% × $1,000,000
= $1,020,000
Gain on bond retirement:
= Book value - Paid at redemption
= $1,092,800 - $1,020,000
= $72,800
Therefore, gain should be recognized on this bond retirement will be $72,800.
Investors in closed-end funds who wish to liquidate their positions must a.sell their shares to other investors. b.sell their shares to the issuer at a discount to Net Asset Value. c.sell their shares to the issuer at a premium to Net Asset Value. d.sell their shares to the issuer for Net Asset Value. e.hold their shares to maturity
Answer:
The correct answer is letter "A": sell their shares to other investors.
Explanation:
Closed-end funds are pools of assets that at the beginning raise a fixed amount of income thanks to an Initial Public Offering (IPO) and later on trades in a public stock exchange. Close-end funds are said to provide higher returns than open-end funds. When investors have a position with a closed-end fund, to exit it the number of shares held must be sold to another investor.
The costs incurred in the inspection of final products or services is an example of a(n) ________. AN. internal failure cost B. appraisal cost C. external failure cost D. prevention cost
Answer:
The correct answer is letter "B": appraisal cost.
Explanation:
Appraisal costs are the expenditures incurred by a company as part of the quality control process. Those fees are paid for the inspection of the products being sold before they each end-users so defects can be detected if there is any. Providing customers with faulty goods can cause the company being imposed lawsuits or penalties that end up being more expensive than appraisal costs.
Compare and contrast anticipatory and response-based business models. Why has responsiveness become popular in supply chain collaborations?
Answer:
Forecast and planning
Explanation:
An anticipatory model is a model under which market forecast determines the production of products by the manufacturer, and purchases by retailers also determined by forecasts and promotional plans. Since the forecasts are wrong most of the times, anticipatory model usually leads to differences in the actual production of the firms and what they initially planned to produce.
Anticipatory Model is a risky model because anticipation of future events always determines the work to do by the firm.
On the contrary, the Responsive Business Model does not depend on forecasts, but ensure that what to be done are adequately planned and information among firms in the supply chain are properly exchanged. This makes the model not to be risky and ensure doing more than what has already been planned is avoided. Therefore, the aim of the responsive model which also known as Pull Model is to eliminate reliance on forecast.
The major reason the Responsive Model has become popular in supply chain collaborations is that it allows for the customization of products on smaller orders by customers. However, the Anticipatory Model does not give customers any choice or power but to buy or not buy.
Response-based strategy is the process of achieving positive change by changing the current state of affairs, perception of viewers in a good business understanding, enabling the company to execute its policy smoothly.
Why is a responsive supply chain important?
Because it enables manufacturers to reduce risk (the best performance of a provider saves costs and schedules online inefficient suppliers can be seen and managed).
The main difference between the anticipatory and response-based business models is:
In response-based business models predicting or anticipating consumer buying trends are eliminated by exchanging information between the parties involved in the supply chain. In the anticipatory business model, business operators share information to improve the efficiency and accuracy of supply chain operations. To clarify, managers can exchange information to predict future buying trends accurately or complete forecasts, thus coming up with the required amount of inventory to supply the market. The development of information technology has been the result of an increase in the transition from an anticipatory business model to responsive.This is because all parts of the supply chain can access and exchange information, thus avoiding matching processes.The response-based model has become popular for supply chain strategy and collaboration due to its ability to help organizations reduce operational costs.
It is possible to share information in the supply chain, thus developing designs to make it easier to eliminate costs associated with asset management.
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3 years ago and at that time recorded goodwill of $300,000. The Johnson Division's net assets, including the good amount of $650,000. The fair value of the division is estimated to be $620,000 and the implied goodwill is $270,000 Prepare Ayayai journal entry to record impairment of the goodwill. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit
Answer:
Explanation:
Since the fair value is less than the carrying value so the journal entry is recorded.
The journal entry is shown below:
Loss on impairment A/c Dr $30,000
To Goodwill A/c $30,000
(Being loss on impairment is recorded)
Impairment = Initial goodwill - Implied goodwill
= $300,000 - $270,000
= $30,000
All-Star Automotive Company experienced the following accounting events during 2018:
Performed services for $14,200 cash.
Purchased land for $7,200 cash.
Hired an accountant to keep the books.
Received $32,000 cash from the issue of common stock.
Borrowed $8,400 cash from State Bank.
Paid $4,200 cash for salary expense.
Sold land for $8,400 cash.
Paid $3,200 cash on the loan from State Bank.
Paid $4,400 cash for utilities expense.
Paid a cash dividend of $1,200 to the stockholders.
Prepare a statement of cash flows for 2018. Assume All-Star Automotive company had a beginning cash balance of $9,200 on January 1, 2018.
Answer:
Explanation:
The preparation of the Cash Flows from three Activities is presented below:
a. Cash flow from Operating activities
Performed services for cash $14,200
Less: Cash paid for salary expenses -$4,200
Less: Cash paid for utilities expenses -$4,400
Net Cash flow from Operating activities $5,600
b. Cash flow from Investing activities
Purchase of land - $7,200
Proceeds from the sale of land $8,400
Net Cash flow from Investing activities $1,200
c. Cash flow from Financing activities
Cash receipt from the issuance of common stock $32,000
Borrowed cash from state bank $8,400
Les: Paid cash on the loan from state bank -$4,400
Less: cash dividend paid -$1,200
Net Cash flow from Financing activities $34,800
Net Cash flow from Operating activities $5,600
Net Cash flow from Investing activities $1,200
Net Cash flow from Financing activities $34,800
Add: Beginning cash balance $9,200
Ending cash balance $50,800
Daria, age 28, is very short, has an abnormally small jaw, and her neck has extra folds of skin. She has never ovulated and has underdeveloped breasts. Daria displays the markers of ______ syndrome.
Answer:
Noonan Syndrome.
Explanation:
Daria displays the markers of Noonan syndrome.
Noonan Syndrome are genetic disorder with different abnormality, it evident since birth in most of cases. Range and severity may vary from person to person. It is caused by pathogenic variants. In 30 percent of infant with Noonan syndrome, may have abnormal opening in septum that divide upper chamber of heart. Noonan syndrome have affected more males than females. It was first reported in 1883.
Treatment of noonan syndrome is depend upon the specific complication of individuals.
Premium Company makes cardboard boxes. During the most recent accounting period Premium paid $60,000 for raw materials, $48,000 for labor, and $52,000 for overhead costs that were incurred to make boxes. Premium Company started and completed 400,000 boxes. Premium desires to earn a gross margin that is equal to 40% of product cost. Based on this information the selling price per box is: a. $0.40 b. $0.56 c. $0.50 d. $0.70
Answer:
The correct answer is B.
Explanation:
Giving the following information:
Raw material= $60,000
Direct labor= $48,000
Overhead= $52,000
Premium Company started and completed 400,000 boxes.
First, we need to calculate the total manufacturing cost and unitary cost:
Total cost= Direct material + direct labor + overhead
Total cost= 60,000 + 48,000 + 52,000= 160,000
Unitary cost= 160,000/400,000= $0.4 per box
Now, we can calculate the selling price:
Selling price= Unitary cost*mark up= 0.4*1.40= $0.56
You are evaluating the balance sheet for Cypress Corporation. From the balance sheet you find the following balances:Cash and marketable securities = $610,000, Accounts receivable = $810,000, Inventory = $510,000, Accrued wages and taxes = $51,000, Accounts payable = $201,000, and Notes payable = $1,010,000. What is Cypress's net working capital?
Final answer:
Cypress Corporation's net working capital is calculated by subtracting its current liabilities from its current assets, resulting in a net working capital amount of $668,000.
Explanation:
To calculate the net working capital for Cypress Corporation, we need to subtract the current liabilities from the current assets. The current assets are the sum of cash and marketable securities ($610,000), accounts receivable ($810,000), and inventory ($510,000), which totals to $1,930,000. The current liabilities are the sum of accrued wages and taxes ($51,000), accounts payable ($201,000), and notes payable ($1,010,000), amounting to $1,262,000. Therefore, the net working capital for Cypress Corporation is $1,930,000 - $1,262,000 = $668,000.
Net working capital is an important measure of a company's liquidity and its ability to meet short-term obligations. It is calculated as current assets minus current liabilities.
________ represents a debt owed for renting a building.A.Rent PayableB.Rent ExpenseC.Rent RevenueD.Prepaid Rent
Answer:
A. Rent Payable
Explanation:
Rent Payable refers to an expense which is certain and is to be paid in future. It represents a debt in the sense that it is an obligation which is required to be met in the near future.
The journal entry for rent payable is recorded as follows,
Rent A/C Dr.
To Rent Payable A/C
(Being rent payable recorded)
Rent Payable A/C is a liability while rent is an expense. Expenses are debited and liabilities are credited so as to recognize them.
Final answer:
Rent Payable represents a debt owed for renting a building; it is a liability that reflects the obligation to pay for building use in a future period.
Explanation:
The term that represents a debt owed for renting a building is Rent Payable. This is because it is an obligation that the company has to pay for the use of a building for a certain period. Rent payable is a liability on the balance sheet and differs from rent expense, which reflects the cost of rent that has already been used up during an accounting period. Rent Revenue is what a company earns from renting out property, whereas Prepaid Rent represents rent payments made in advance for future periods.