Answer:
i think answer B is right
but i am not sure
Gideon Company uses the allowance method of accounting for uncollectible accounts. On May 3, the Gideon Company wrote off the $2,000 uncollectible account of its customer, A. Hopkins. The entry or entries Gideon makes to record the write off of the account on May 3 is:______.
Accounts Receivable—A. Hopkins 2,000
Allowance for Doubtful Accounts 2,000
Allowance for Doubtful Accounts 2,000
Bad debts expense 2,000
Accounts Receivable—A. Hopkins 2,000
Bad debts expense 2,000
Cash 2,000
Accounts Receivable—A. Hopkins 2,000
Allowance for Doubtful Accounts 2,000
Accounts Receivable—A. Hopkins 2,000
Cash 2,000
Accounts Receivable—A. Hopkins 2,000
Answer:
DR Allowance for Doubtful Accounts 2,000
CR Accounts Receivable—A. Hopkins 2,000
Explanation:
Because Gideon uses the allowance method, when a debt is written off, it will be written off from the allowance that was created for doubtful debts instead of directly to the bad debt account.
Accounts Receivable will be credited to show that it is decreasing and Allowance for Doubtful debt will be debited because expenses are debited when they increase.
multinational company specialised food processing sector ? case study
Answer:
yes its good multitional objects where not eating
A new employee, John Chapman, earns $10 per hour and gets time-and-a-half over 40 hours per week. His first week he worked 45 hours. Deductions from his check were $30 for OASDI, $7 for Medicare, $ 61 for federal income tax withholding, and $15 for a United Way contribution. What was his gross pay for the period
Answer: $475
Explanation:
Gross pay is:
= Regular pay + Overtime
= (Regular hours * Regular pay) + ( Overtime hours * regular pay * time and a half)
= (10 * 40 hours) + ( (45 - 40 hours) * 10 * 1.5)
= 400 + 75
= $475
Kraus Steel Company has two departments, Casting and Rolling. In the Rolling Department, ingots from the Casting Department are rolled into steel sheet. The Rolling Department received 46,300 tons from the Casting Department in October. During October, the Rolling Department completed 54,000 tons, including 11,900 tons of work in process on October 1. The ending work in process inventory on October 31 was 4,200 tons.
Required:
How many tons were started and completed during October?
Answer:
42,100 tons
Explanation:
Units Completed = Beginning Work in Process Units Completed + Units started & Completed during October
54,000 = 11,900 + Units started & Completed during October
Units started & Completed during October = 54,000 - 11,900
Units started & Completed during October = 42,100
So, the number of tons were started and completed during October is 42,100 tons.
One of the most-often sold items at a grocery store is frozen pizzas. The weekly demand for frozen pizzas at a local grocery store is 10,000 pizzas. Whenever a new order is placed for a batch of frozen pizzas, the grocery store incurs a cost of $20. The holding costs are $0.10 per frozen pizza per week. Determine the EOQ for frozen pizzas.
Answer: 2,000 pizzas
Explanation:
Economic Order Quantity (EOQ) allows a business to calculate the optimal amount of units it should order given its ordering and holding costs as well as demand.
EOQ = √((2 * Weekly demand * Ordering costs) / Holding cost)
= √(( 2 * 10,000 * 20) / 0.10
= √ (400,000 / 0.10)
= 2,000 pizzas
giả sử mối quan hệ giưa doanh thu và nỗ lực
Answer:
नजषनदजदनददजसकसककसकसकनसनसजसजसजसकस भने त्यो मस्त निद्रामा हिड्ने गरेको मेरो हो मेरो नाम बिबस कि भन्ने लाग्छ के भनौ भने पनि त्यो थाहा भयो कि भएन भन्ने कुरा पनि उल्लेख गर्नु रे ु च चय उनले सन् उo Bibas is hero DC COAII, y
Sometimes it is necessary to invest a certain amount of money at a fixed interest rate for a fixed number of year so that a financial goal is met. The inital amount invested in called the present value.
a. True
b. False
Answer: True
Explanation: financial goals is an important step toward becoming financially secure.
At December 31, Folgeys Coffee Company reports the following results for its calendar year.
Cash sales $918,000
Credit sales 318,000
Its year-end unadjusted trial balance includes the following items.
Accounts receivable $143,000 debit
Allowance for doubtful accounts 6,800
Required:
Prepare the adjusting entry to record bad debts expense assuming uncollectibles are estimated to be (1) 5% of credit sales, (2) 3% of total sales and (3) 8% of year-end accounts receivable.
Answer:
1. Dr Bad debts expense $15,900
Cr Allowance for Doubtful Accounts $15,900
2. Dr Bad debts expense $37,080
C Allowance for Doubtful Accounts $37,080
3. Dr Bad debts expense $18,240
Cr Allowance for Doubtful Accounts $18,240
Preparation of the adjusting entry to record bad debts expense
1. Dr Bad debts expense $15,900
Cr Allowance for Doubtful Accounts $15,900
(318,000*5%)
2. Dr Bad debts expense $37,080
C Allowance for Doubtful Accounts $37,080
[(918000+318,000)*3%]
3. Dr Bad debts expense $18,240
Cr Allowance for Doubtful Accounts $18,240
[(143,000*8%) + 6800]
The double-declining-balance rate for calculating depreciation expense is determined by doubling the straight-line rate. Assuming that an asset has a useful life of 25 years, determine the rate to be used if using the double-declining-balance method
Answer:
the depreciation rate in cash when the double-declining method should be used is 8%
Explanation:
The computation of the depreciation rate in cash when the double-declining method should be used is given below:
= 1 ÷ useful life × 2
= 1 ÷ 25 × 2
= 0.08
= 8%
Hence, the depreciation rate in cash when the double-declining method should be used is 8%
The same should be relevant and considered too
For each of the following separate transactions:
Sold a building costing $31,500, with $20,600 of accumulated depreciation, for $8,600 cash, resulting in a $2,300 loss.
Acquired machinery worth $10,600 by issuing $10,600 in notes payable.
Issued 1,060 shares of common stock at par for $2 per share.
Note payables with a carrying value of $40,300 were retired for $47,600 cash, resulting in a $7,300 loss.
(a) Prepare the reconstructed journal entry.
1. Record Sale of Building
2. Record Acquisition of machinery
3. Record the issuance of common stock for cash
4. Record payment of cash to retire debit
(b) Identify the effect it has, if any, on the investing section or financing section of the statement of cash flows.
Answer:
a) Journal Entries:
1. Debit Sale of Building $31,500
Credit Building $31,500
To transfer building to sale of building account.
Debit Accumulated Depreciation $20,600
Credit Sale of Building $20,600
To transfer accumulated depreciation to sale of building account.
Debit Cash $8,600
Credit Sale of Building $8,600
To record the proceeds received from the sale of building.
2. Debit Machinery $10,600
Credit Notes Payable $10,600
To record the acquisition of machinery.
3. Debit Cash $2,120
Credit Common stock $1,060
Credit APIC $1,060
To record the issuance of 1,060 shares of common stock at par for $2 per share.
4. Debit Note payables $40,300
Debit Loss (Interest expense) $7,300
Credit Cash $47,600
To record the retirement of the note payable.
b) Effect of transactions on Investing or Financing sections of the Statement of Cash Flows:
Investing activities:
Sale of Building +$8,600
Financing activities:
Issuance of common stock +$2,120
Notes payable -$47,600
Explanation:
a) Data and Analysis:
Sale of Building $31,500 Building $31,500
Accumulated Depreciation $20,600 Sale of Building $20,600
Cash $8,600 Sale of Building $8,600
Machinery $10,600 Notes Payable $10,600
Cash $2,120 Common stock $1,060 APIC $1,060 shares of common stock at par for $2 per share.
Note payables $40,300 Interest Loss $7,300 Cash $47,600
Assume that there are four consumers A, B, C, and D, and the prices that each of them is willing to pay for a glass of lemonade is, respectively, $1.50, $1.20, $1.00, and $0.90. If the actual price of lemonade is $1.00 per glass, then consumer surplus in this market will be:
a. $0.80
b. $0.70
c. $0.50
e. $0.60
Assume that Corn Co. sold 7,600 units of Product A and 2,400 units of Product B during the past year. The unit contribution margins for Products A and B are $34 and $59, respectively. Corn has fixed costs of $378,000. The break-even point in units is a.9,450 units b.11,340 units c.7,560 units d.14,175 units
,Answer: a. 9,450 units
Explanation:
You need to find the weighted average contribution margin for both products.
Product A
Weighted average contribution margin = Contribution margin * Units sold / Total units sold
= 34 * 7,600 / (7,600 + 2,400)
= $25.84
Product B
= 59 * 2,400 / 10,000
= $14.16
Breakeven point in units = Fixed costs/ (Weighted average contribution margin of both A and B)
= 378,000 / (25.84 + 14.16)
= 9,450 units
A large company has an inspection system for the batches of small compressors purchased from vendors. A batch typically contains 15 compressors. In the
inspection system, a random sample of 5 is selected and all are tested. Suppose there are 2 faulty compressors in the batch of 15.
(a) What is the probability that for a given sample there will be 1 faulty compressor?
(b) What is the probability that inspection will discover both faulty compressors?
Solution :
Given data :
Total number compressors in a batch = 15 compressors
Number of samples to be tested = 5
Let the number of faulty compressors out of 15 compressors = 2
a) Therefore, the ways of selecting [tex]1[/tex] faulty and [tex]4[/tex] good compressor is
[tex]$=^2C_1 \times ^{13} C_4$[/tex]
The total number of ways = [tex]$^{15}C_5$[/tex]
Therefore, the probability is
[tex]$=^2C_1 \times ^{13}C_4 \times ^{15} C_5$[/tex]
[tex]=0.4761[/tex]
b). Number of ways for selecting [tex]2[/tex] faulty and [tex]3[/tex] good compressor is
[tex]$^{13}C_3[/tex]
Thus the probability
[tex]$=\frac{^{13}C_3}{^{15}C_5}$[/tex]
[tex]$=0.0952$[/tex]
On January 1, 2021, Albacore Company had 260,000 shares of its common stock issued and outstanding. Albacore issued a 12% stock dividend on July 1, 2021. On October 1, 2021, Albacore retired 9,000 of its common shares. When calculating basic earnings per share for 2021, what is the appropriate number of shares for Albacore to use in the denominator of the EPS fraction
Answer: 288,950 shares
Explanation:
The number of shares to use is:
= Beginning stock + Stock dividend - Stock retired
Stock dividend:
= 260,000 * 12%
= 31,200 shares
Stock retired:
= 9,000 * 3/12 months because it was retired in October
= 2,250 shares
Number of shares:
=260,000 + 31,200 - 2,250
= 288,950 shares
Emma's Electronics Incorporated has total assets of $56 and total debt of $43 million. The company also has operating profits of $27 million with interest expenses of $8 million.
Required:
a. What is Emma's debt ratio?
b. What is Emma's times interest earned?
c. Based on the information above, would you recommend to Emma's management that the firm is in a strong enough position to assume more debt and increase interest expense to $10 million?
Answer:
a. Debt Ratio = Debt / Total Assets
Debt Ratio = $43 million / $56 million
Debt Ratio = 0.76786
Debt Ratio = 76.79%
b. Time Interest Earned = EBIT / Interest
Time Interest Earned = $27 million / $8 million
Time Interest Earned = 3.375 times
c. If Interest expense is increased to 10 lmillion. The new Time Interest Earned = $27 million / $10 million = 2.7 times. The new time Interest Earned is at 3 times and this indicate that the company can easily raise more debt for its funding needs.
The following information comes from the accounts of James Company: Account Title Beginning Balance Ending Balance Accounts Receivable $ 34,700 $ 35,700 Allowance for Doubtful Accounts 1,520 2,720 Note Receivable 54,700 54,700 Interest Receivable 1,000 3,556 Required a. There were $182,700 of sales on account during the accounting period. Write-offs of uncollectible accounts were $1,800. What was the amount of cash collected from accounts receivable
Answer: $179,900
Explanation:
The amount of cash collected from accounts receivable will be calculated thus:
Account receivable at begining = $34700
Add: Sales on account = $182700
Less: Write-offs of uncollectible accounts = $1,800
Less: Account receivable at ending balance = $35700
Cash collected = $179,900
Vihaan Chemicals Company processes a number of chemical compounds used in disinfecting health club fitness equipment. One compound is decomposed into two chemicals: flexalene and soreaphine. The cost of processing one batch of compound is $75,000, and the result is 6,400 gallons of flexalene and 8,000 gallons of soreaphine. Vihaan Chemicals can sell the flexalene at split-off for $12.00 per gallon and the soreaphine for $6.15 per gallon. Alternatively, the flexalene can be processed further at a cost of $8.40 per gallon (of flexalene) into lactine. It takes 2 gallons of flexalene for every gallon of lactine. A gallon of lactine sells for $63.
Required: 1. Which alternative is more cost effective and by how much? NOTE: DO NOT round interim calculations and, if required, round your answer to the nearest dollar. by $ 2. What if the production of flexalene into lactine required additional purchasing and quality inspection activity? Every 550 gallons of flexalene that undergo further processing require 22 more purchase orders at $10 each and 18 more quality inspection hours at $26 each. Which alternative would be better and by how much? NOTE: Round interim calculations and your final answer to the nearest cent. by $_______.
Answer:
Vihaan Chemicals Company
1. The more cost-effective alternative is to process Flexalene further into Lactine. The gain for further processing is $71,040.
2. The better alternative is to process Flexalene further into Lactine. The gain for further processing is now $63,034.
Explanation:
a) Data and Calculations:
Cost of processing one batch of compound = $75,000
Result of processing the compound:
Flexalene Soreaphine
Gallons processed 6,400 8,000
Split-off selling price per unit $12.00 $6.15
Further processing cost per gal. $8.40
Selling price of Lactine = $63 per gallon
Sales revenue from Sale of Flexalene at split-off = $76,800
Net Sales revenue from Sale of Lactine after further processing of Flexalene = $147,840 ($63 * 6,400/2) - ($8.40 * 6,400)
Gain from further processing of Flexalene into Lactine = $71,040 ($147,840 - $76,800)
2. Additional costs for further processing:
Purchasing order cost = $2,560 (6,400/550 * 22 * $10)
Quality inspection cost = $5,446 (6,400/550 * 18 * $26)
Total additional costs = $8,006
Gain from further processing of Flexalene into Lactine = $63,034 ($147,840 - $76,800 - $8,006)
Vaughn Manufacturing began the year with retained earnings of $654000. During the year, the company recorded revenues of $610000, expenses of $377000, and paid dividends of $143000. What was Vaughn's retained earnings at the end of the year
Answer:
$744,000
Explanation:
First and foremost, we need to determine the earnings after in the year which is the total earnings that would be used in computing the ending retained earnings
earnings after-tax=revenue-expenses
earnings after-tax= $610000-$377,000
earnings after-tax= $233,000
The closing retained earnings=beginning retained earnings+net income-dividends
The closing retained earnings=$654000+$233,000-$143,000
The closing retained earnings=$744,000
As a customer acquisition technique, events: a. Are considered mostly ineffective compared to mobile advertising or social media promotions b. Tend to be used independently of other acquisition techniques c. Can happen in an online environment d. Are primarily an offline channel
Answer: a. Are considered mostly ineffective compared to mobile advertising or social media promotions.
Explanation:
Customer acquisition techniques refers to the strategies that are helps in the identification of the potential leads which are then converted into active customers. Such techniques include personalized offer design, automated email marketing etc.
As a customer acquisition technique, events are considered mostly ineffective compared to mobile advertising or social media promotions.
Kết luận sự thích ứng tâm lý của sinh viên năm nhất
Answer:
I think I should ask in English language
Not all the items in your office supply store are evenly distributed as far as demand is concerned, so you decide to forecast demand to help plan your stock. Past data for legal-sized yellow tablets for the month of August are. Week 1 280 Week 2 380 Week 3 580 Week 4 680 a. Using a three-week moving average, what would you forecast week 5 to be
Answer: 547 yellow tablets
Explanation:
The three-week moving average would use the average of the tablets in the last three weeks before the 5th weeks to calculate the average for the 5th week.
= (Week 2 + Week 3 + Week 4) / 3
= (380 + 580 + 680) / 3
= 1,640 / 3
= 546.7
= 547 yellow tablets
On February 10, the corporation purchases back 2,000 shares of its own common stock for $50 per share. The entry to record the purchase would include a:____.
a. debit to Cash for $100,000.
b. credit to Treasury Stock for $100,000.
c. debit to Treasury Stock for $100,00.
d. debit to Common Stock for $100,000.
Answer:
c. debit to Treasury Stock for $100,00.
Explanation:
The journal entry to record the purchase is given below:
Treasury stock Dr (2,000 × $50) $100,000
To cash $100,000
(Being the purchase is recorded)
Here treasury stock should be debited as it decreased the stockholder equity and credited the cash as it also decreased the assets
Therefore the option c is correct
The Commissioner is empowered to examine the records of any person transacting insurance in the State as an agency, an agent or broker of record. If the Commissioner does examine a person, the expense of that examination will be paid by
Answer:
The person examined.
Explanation:
The California insurance code
This Insurance Code is known as a set of statutes set up by the state legislature and is responsible for the regulation of the business of insurance in California. The Commissioner does not have the authority to change the Insurance Code and only the state legislature has the authority to write or amend the Insurance Code.
The Insurance Commissioner
This office is elected by the people and usually serve up to two 4-year terms. The Commissioner's term runs concurrently with that of the Governor. The Commissioner has the authority to conduct examinations of an agent or insurer's books and records at any time.
The Insurance Commissioner's Duties and Responsibilities
1. File and keep all books and papers as required by law
2. Responsible for the Issue of Certificates of Authority to companies that meet the requirements of state law
3. Issue, refuse, revoke or suspend licenses or Certificates of Authority etc.
A minor bought an Ernie Banks baseball card from a baseball card store. The card was marked $12, and the inexperienced clerk who sold it did not know the store owner, who was gone at the time of the sale, meant it to be sold for $1,200. Can the owner get the card back because of the minor’s lack of capacity? Why?
Answer: No. The owner cannot get the card back because of the minor’s lack of capacity
Explanation:
From the information given, we are told that a minor bought a baseball card from a baseball card store for $12, even though the price was $1,200.
It should be noted that the owner cannot get the card back based on the minor’s lack of capacity. In this case, the idea is to protect the minor, therefore the minor who bought the baseball card is the one that can disaffirm or cancel the contract. In this case, the adults are bound to the contract.
The baseball card will only be gotten if the minor wishes to give it back.
Universal Travel, Inc. borrowed $500,000 on November 1, 2021, and signed a twelve-month note bearing interest at 6%. Principal and interest are payable in full at maturity on October 31, 2022. In connection with this note, Universal Travel, Inc. should report interest payable at December 31, 2021, in the amount of: (Do not round your intermediate calculations.)
Answer:
$5,000
Explanation:
Calculation to determine what Travel, Inc. should report as interest payable at December 31, 2021
Interest payable at Dec 31,2021= $500,000 * 6% * 2 months/12 months
Interest payable at Dec 31,2021= $5,000
(November 1 - December 31 = 2 months)
Therefore Travel, Inc. should report interest payable at December 31, 2021, in the amount of:$5,000
Using the following information, what is the amount of gross profit?
Purchases $37,000
Merchandise inventory, September 1 6,100
Selling expense 1,050
Merchandise inventory, September 30 6,800
Sales 91,000
Interest expense 1,040
Administrative expense 1,010
Rent revenue 1,700
Answer:
Gross profit= $54,700
Explanation:
Giving the following information:
Purchases $37,000
Merchandise inventory, September 1 6,100
Merchandise inventory, September 30 6,800
Sales 91,000
First, we need to calculate the cost of goods sold:
COGS= beginning finished inventory + cost of goods purchased - ending finished inventory
COGS= 6,100 + 37,000 - 6,800
COGS= $36,300
Now, the gross profit:
Gross profit= sales - COGS
Gross profit= 91,000 - 36,300
Gross profit= $54,700
Assume that Zonk is a potential leveraged buyout candidate. Assume that the buyer intends to put in place a capital structure that has 70 percent debt with a pretax borrowing cost of 14 percent and 30 percent common equity. Compute the revised equity beta for Zonk based on the new capital structure.
Answer: 4.35
Explanation:
The revised equity beta for Zonk based on the new capital structure will be gotten as follows:
= 1.13 × [1 + (1 - 35%)][70% /30%]
= 1.13 × [1+(1-0.35)][0.70/0.30]
= 1.13 × [1 + 0.65][2.33]
= 1.13 × (1.65)(2.33)
= 4.35
Therefore, the revised equity beta for Zonk is 4.35.
A firm has estimated Free Cash Flows of $300,000, $310,000 and $360,000 for the next three (3) years. If this firm has a WACC of 9.40% and expects these cash flows to grow by 2.10% in perpetuity, then what is the Terminal Value of these expected perpetual cash flows.
Answer: $5,035,068.49
Explanation:
Terminal value is calculated based on the last cashflow and the growth rate in perpetuity.
The Gordon Growth Model is best used here:
= Free Cash Flow₄ / (WACC - Growth rate)
= (FCF₃ * (1 + growth rate) ) / (WACC -Growth rate)
= (360,000 * (1 + 2.10%)) / (9.40% - 2.10%)
= 367,560 / 7.3%
= $5,035,068.49
On September 1, 2018, Drill Far Company purchased a tract of land for $2,300,000. The land is estimated to have a salvage value or $50,000, a useful life of four years, and contain an estimated 4,234,000 tons of iron ore. The company also purchased equipment to use in the extraction process that cost $220,450. The company plans to abandon the equipment when the ore is completely mined. During 2018, the company extracted and sold 1.25 million tons of ore. What is the depletion expense recorded for 2018
Answer:
$562,500
Explanation:
Depletion expenses = Land expenses
Depletion expenses = [$2,300,000 - $50,000 / 4]
Depletion expenses = $2,250,000 / 4
Depletion expenses = $562500
So, the depletion expense recorded for 2018 is $562,500
Brian lives in San Francisco and runs a business that sells guitars. In an average year, he receives $704,000 from selling guitars. Of this sales revenue, he must pay the manufacturer a wholesale cost of $404,000; he also pays wages and utility bills totaling $286,000. He owns his showroom; if he chooses to rent it out, he will receive $3,000 in rent per year. Assume that the value of this showroom does not depreciate over the year. Also, if Brian does not operate this guitar business, he can work as an accountant, receive an annual salary of $20,000 with no additional monetary costs, and rent out his showroom at the $3,000 per year rate. No other costs are incurred in running this guitar business.
Identify each of Jake's costs in the following table as either an implicit cost or an explicit cost of selling guitars.
Implicit Cost Explicit Cost
The wholesale cost for the guitars that Charles pays
the manufacturer.
The wages and utility bills that Charles pays.
The salary Charles could earn if he worked as an accountant.
The rental income Charles could receive if he chose to rent
out his showroom .
Complete the following table by determining Jake's accounting and economic profit of his guitar business.
Profit (Dollars)
Accounting Profit
Economic Profit
If Jake's goal is to maximize his economic profit, he___stay in the guitar business because the economic profit he would earn as an accountant would be___.
Answer:
The wholesale cost for the guitars that Charles pays the manufacturer - Explicit Cost
The wages and utility bills that Charles pays. - Explicit Cost
The salary Charles could earn if he worked as an accountant. - Implicit Cost
The rental income Charles could receive if he chose to rent
out his showroom - Implicit Cost
$14000
$-9000
should not
$6,000
Explanation:
Accounting profit= total revenue - explicit cost
Total revenue =price x quantity sold
Explicit cost includes the amount expended in running the business.
They include rent , salary and cost of raw materials
$704,000 - ($404,000 + $286,000) = $14000
Economic profit = accounting profit - implicit cost
Implicit cost is the cost of the next best option forgone when one alternative is chosen over other alternatives.
Implicit costs = 20,000 + 3000 = 23,000
14,000 - 23,000 = -9000
