Answer:
Novak Computer Services
Adjusting Journal Entries on August 31, 2014:
1. Debit Wages Expense $1,900
Credit Wages Payable $1,900
To accrue unpaid wages for the month.
2. Debit Utilities Expense $600
Credit Utilities Payable $600
To accrue unpaid utilities for the month.
3. Debit Interest Expense $200
Credit Interest Payable $200
To accrue unpaid interest for the month.
4. Debit Telephone Expense $117
Credit Telephone Payable $117
To accrue unpaid telephone bill for the month.
Explanation:
The above adjusting journal entries are made to Novak's journal at the end of August, 2014. Adjusting entries ensure that income and expenses are allocated to the actual month in which the income or expense was incurred, whether cash exchanged hands or not. Adjusting entries are required in line with the accrual concept and the matching principle of the generally accepted accounting principles.
A mission statement is usually very specific including the company's financial forecast. Group of answer choices True False
Answer:
False
Explanation:
The mission statement is the statement that defines the existence of the organization. The overall goal, how to identify its goals with regard to its operations, what type of products or services the company is dealing, its main customers or market, ist geographical location, etc
It does not involve the financial forecast of the company
Therefore the given statement is false
What does it mean that stocks and bonds are relatively liquid? a. They are easier to buy and sell than other forms of investment. b. They tend to go up and down in value. c. The amount of income they can bring changes frequently. d. There are more of them to choose from than other forms of investment. Please select the best answer from the choices provided A B C D
Answer:
A.they are easier to buy and sell than other forms of investment
Explanation:
got a 100 on edgn!
An investor has $20,000 in his trading account and he borrows an additional $20,000 from his broker. He invests the total amount in a stock at $30 per share. Assume the maintenance margin is 40%, at what price will the investor first receive a margin call
Answer: $25
Explanation:
Margin call = Initial price * (1 - initial margin) / ( 1 - maintenance margin)
Initial margin = Personal amount invested / Total amount invested
= 20,000 / (20,000 + 20,000)
= 0.5
Margin call = 30 * (1 - 0.5) / ( 1 - 0.4)
= 30 * 0.8333
= $25
Calculate, to the nearest cent, the future value FV (in dollars) of an investment of $10,000 at the stated interest rate after the stated amount of time. 1% per year, compounded annually, after 11 years
Answer:
$11,046
Explanation:
Present value = $10,000
Interest rate = 1%
Years = 11 years annually
Future value = A(1 + i/)^n
Future value = $10,000*(1 + 0.01)^10
Future value = $10,000*(1.01)^10
Future value = $10,000*1.10462212541
Future value = $11046.2212541
Future value = $11,046
So, the future value FV of the investment after 11 years is $11,046
Consider Miray's decision to go to college. If she goes to college, she will spend $24,000 on tuition, $12,000 on room and board, and $1,900 on books. If she does not go to college, she will earn $16,000 working in a store and spend $8,000 on room and board. Miray's cost of going to college is Group of answer choices $37,900. $45,900. $53,900. $61,900.
Answer:
Total cost of going to college= $45,900
Explanation:
We need to consider the opportunity cost of not working and earning a salary. Of room and board, we will take into account the incremental difference.
Tuituion= $24,000
Room and board= 12,000 - 8,000= $4,000
Books= $1,900
Salary= $16,000
Total cost of going to college= $45,900
Suppose that the external cost associated with chewing gum (sticky sidewalks) is 0.5 cents per packet chewed. Most economists would suggest:
Answer:
Doing nothing. Ignore small external costs because the cost of administering a chewing gum tax is likely large relative to the harm prevented
Explanation:
As in the given question it can be seen that the external cost that is attached with the chewing cume would not even a cent as it is only 0.5 cents. Here the value is negligible if the tax is t be charged on this than it would not generate any revenue instead of this the cost of administrative would become high
Therefore the first option is correct
Use the company's financial information below to help answer this question: Market Cap. 3000 Cost of Equity from Security Market Line 16.0% Market Value of Debt Outstanding 2000 YTM on Debt Outstanding 8.0% Effective Tax Rate 30% The company's WACC is closest to: Group of answer choices 9.3% 9.8% 10.6% 11.8% 12.8%
Answer:
The company's WACC is closest to 11.8%
Explanation:
Weighted Average Cost of Capital (WACC) is the Cost to the Company arising from the sources of finance. It shows the return required by holders of permanent capital in the company.
WACC = Cost of Equity x Market Weight of Equity + After Tax Cost of Debt x Market Weight of Debt
where,
Cost of Equity = 16.0 %
Market Weight of Equity = 3,000 ÷ 5,000 = 0.60
Market Weight of Debt = 2,000 ÷ 5,000 = 0.40
After Tax Cost of Debt = interest x ( 1 - tax rate) = 8.0% x (1 - 0.30) = 5.60%
therefore,
WACC = 16.0% x 0.60 + 5.60% x 0.40 = 11.84 %
Bonita Industries purchased a machine for $65600 on July 1, 2020. The company intends to depreciate it over 8 years using the double-declining balance method. Salvage value is $5100. Depreciation for 2020 to the closest dollar is:_________
a. $16400
b. $14350
c. $32800
d. $8200
Answer:
d. $8200
Explanation:
The computation of the depreciation expense for the year 2020 is given below:
But before that the depreciation rate is
= 1 ÷ useful life × 2
= 1 ÷ 8 × 2
= 25%
Now the depreciation expense is
= Machine value × depreciation rate × given months ÷ total months
= $65,600 × 25% × 6 months ÷ 12 months
= $8,200
Suppose that the rural part of a country is hit by a major earthquake
that destroys 10% of the countries housing stock. The government and private sector respond with a major construction effort to help rebuild houses. Discuss how this episode is likely to affect:
(a) the economic well-being of people in the country, and
(b) the economy’s measured GDP.
Answer:
(a) How this episode is likely to affect the economic well-being of people in the country
In the short-run, there will be an increase in labor demanded, increasing jobs to build homes and repair the damage caused by the earthquake. In the long-run, things will begin to go back to normal.
(b) How this episode is likely to affect the economy’s measured GDP
In this case, GDP measurements will shift causing less of an input in private spending and an increase in government spending due to subsidies to increase home-building.
You receive a $100 cash prize for winning a pie-eating contest. How will you spend the money? Explain your decision-making in terms of behavioral economics, marginal utility, budget constraints, and other economic concepts. (HINT - Define each economic term before applying it) *
Answer:
Behavioural economics: the study of how human behaviour, and the variables that relate to human behaviour, affect economic decisions of groups and individuals.
Marginal utility: the extra satisfaction or benefit obtained from purchasing/consuming an extra unit of a good or service.
Budget constraint: the combinations of goods and services that a person can buy given the person's current income.
Explanation:
If I earned a $100 cash price, the the way I spend this money would be affected by the three concepts above.
Behavioural economics would determine my general dispositions. For example, if I'm a person who is risk-averse, behavioral economics would indicate that I would be unlikely to spend the money on risky goods or services, for example, online bets, or casinos.
Marginal utility would establish which goods and services I would buy depending on the quantities that I already posses, or on the level of utility each unit of them provides. For example, if I have lots of meat in my freezer, I am unlikely to buy more meat, because marginal utility from extra meat will be low.
Finally, my budget constraint will determine my actual spending possibilities. As I have $100, no matter how safe, or how high the marginal utility of a good is, if it costs over $100 dollars, I will not be able to spend the cash price on it.
What are payroll taxes?
Answer:
This is all the information I could find.
Several types of risk are present in the U.S. economy. For each of the following, identify the type of risk that is present. Explain your answer.
a. The Department of Homeland Security alerts the nation of a possible attack by terrorists.
b. A house may be severely damaged in a fire.
c. A family head may be totally disabled in a plant explosion.
d. An investor purchases 100 shares of Microsoft stock.
e. A river that periodically overflows may cause substantial property damage to thousands of homes in the floodplain.
f. Home buyers may be faced with higher mortgage payments if the Federal Reserve raises interest rates at its next meeting.
g. A worker on vacation plays the slot machines in a casino.
Answer and Explanation:
a. This is a fundamental risk case since there is a loss possibility. As the attack is done by the terrorists and the loss is definite in terms
b. It is a property risk as the house is damaged in a fire that resulted into a financial loss
c. It is a personal risk case as the head of the family is totally disabled that directly impact the family which leads to non-fulfillment of the financial liabilities so ultimately its an income loss.
d. It is a case of speculative as the investor purchase 100 shares that resulted in either profit or loss
e. This is a case of fundamental risk as the overflow of the river impacts the property of thousands people
f. This is a case of financial risk as the risk impacted the opposite changes in the price of the commodity, rate of interest, etc
g. It is a speculative case as the worker could either win or loss
Prepare the following adjusting entries at August 31 for Walgreens. (a) Interest on notes payable of $286 is accrued. (b) Services performed but unbilled total $1,314. (c) Salaries and wages earned by employees of $767 have not been recorded. (d) Bad debt expense for year is $876.
Answer and Explanation:
The adjusting entries are as follows:
a. Interest Expense $286
To Interest Payable $286
(Being the interest expense is recorded)
b. Accounts Receivable $1,314
To Service Revenue $1,314
(Being the service performed but unbilled is recorded)
c. Wages and Salary Expense $767
To Salary and Wages Payable $767
(Being wages and salary expense is recorded)
d Bad Debt Expense $876
To Allowance for Doubtful Accounts $876
(Being the bad debt expense is recorded)
Why do you think most of the jobs in the United States and Canada are service jobs?
Answer:
Canada is also important to us for reasons of security.as the United States is to Canada. Explanation:
Through Canada pass the shortest flying routes from our country to Europe and Asia, the two continents that contain most of the world's population, wealth, and power.
Generally, ____ indicate(s) the size of a firm relative to their sector. Group of answer choices sector ratios market share ratio production ratio concentration ratio
Answer:
b. Market share ratio
Explanation:
When the sizes of firms of a particular sector/market are being compared, a common basis for comparison is on the basis of total sales, a larger firm will have a higher ratio of total sales in the sector.
The "concentration ratio" is derived from the market shares. It gives the sum of market shares of the few largest firms in the sector, and is a measure of market power. It is not the correct choice in this case.
Find the no-arbitrage cross exchange rate. The dollar-euro exchange rate is quoted as $1.60 = €1.00 and the dollar-yen exchange rate is quoted at $1.00 = ¥120. Group of answer choices ¥192/€1.00 €1.25/¥1.00 €1.00/¥1.92 €1.92/¥100
Answer:
¥192/€1.00
Explanation:
In order to determine the cross rate, we need a formula such that the dollar sign in one exchange rate cancels the other dollar sign in the second exchange such that we are left with both Yen and the Euro as shown by the formula below:
S(€/¥) = S($/¥) / S($/€)
S($/¥) =$1/¥120
S($/€)=$1.60/ €1.00
S(€/¥) =($1/¥120)/($1.60/ €1.00)
if we change the division to multiplication we would have the below
S(€/¥) =$1/¥120*€1.00/$1.60
S(€/¥) =€0.005208333
This means that €0.005208333 =1¥
1¥/ €0.005208333=¥192
The net present value method Group of answer choices all of the above. is consistent with the goal of shareholder wealth maximization. recognizes the time value of money. uses all of a project's cash flows.
Answer:
all of the above
Explanation:
Net present value is the present value of after-tax cash flows from an investment less the amount invested.
Only projects with a positive NPV should be accepted. A project with a negative NPV should not be chosen because it isn't profitable.
When choosing between positive NPV projects, choose the project with the highest NPV first because it is the most profitable. This ensures that shareholder wealth is maximised
The NPV method uses discounted cash flows. so the time value of money is considered
You manage employees in several cities, and while you try to visit the various offices as much as possible, your travel schedule is unpredictable. When you do see an employee performing a desirable behavior, you are quick to praise that person. What reinforcement schedule are you using, and is it likely to be effective in promoting desirable behavior
Answer:
Variable ratio schedule; effective
Explanation:
Reinforcement schedules are designed to introduce or remove reinforcers of punishment after observation of operational behaviour of a given set of people.
There are 3 types: ratio schedule, interval schedule, and extinction schedule.
The most effective type of reinforcement schedule is the variable ratio schedule.
It involves introduction of reinforcers after a particular number of observed responses from the subjects, also for subjects that are exhibiting favourable behaviour reinforcers are removed.
This is more efficient because more focus is given to those people that are lagging behind.
For interval schedule there continues to be a schedule despite variability in behaviour across employees. This is inefficient and stressful.
Variable ratio schedule is exemplified in this instance where visits are variable, and employee performing a desirable behaviour are quick to be praised.
Assume an annual interest rate of 8%. You have $1. What is the value of the $1 one year in the future
Answer:
the future value is $1.08
Explanation:
The computation of the future value is shown below:
As we know that
Future value = Present value × (1 + rate of interest)^number of years
= $1 × (1 + 0.08)^1
= $1 × 1.08
= $1.08
Hence, the future value is $1.08
Pharoah Chemicals Company acquires a delivery truck at a cost of $35,000 on January 1, 2022. The truck is expected to have a salvage value of $2,900 at the end of its 5-year useful life. Assuming the declining-balance depreciation rate is double the straight-line rate, compute annual depreciation for the first and second years under the declining-balance method.
Answer:
$14,000
Year 2 = $8400
Explanation:
Depreciation expense using the double declining method = Depreciation factor x cost of the asset
Depreciation factor = 2 x (1/useful life)
Depreciation expense in year 1 = 2/5 x $35,000 = $14,000
Book value at the beginning of year 2 = $35,000 - $14,000 = $21,000
Depreciation expense in year 2 = 2/5 x $21,000 = $8400
Compute the total annualized inventory holding and ordering costs when the cost per order (S) is $75, the annual demand (D) is 120,000, the annual carrying charge (i) is 25%, the order quantity (Q) is 1200, and the item’s cost is $50
Answer:
total annualized inventory holding and ordering costs = $15,000
Explanation:
total number of orders per year = 120,000 units / 1,200 units per order = 100 orders per year
total ordering cost per year = cost per order x number of orders per year = 100 orders per year x $75 per order = $7,500
average inventory = 1,200 units / 2 = 600 units
annualized inventory holding costs = 600 units x 25% holding cost x $50 cost per unit = $7,500
Due to increase in GST the supply of Air conditioner decease from 20 units to 10 units at same price this situation leads to what?
Answer:
The answer is "The contraction in supply".
Explanation:
It contributes to supply constriction with manufacturers, which helps to overcome the tax liabilities and decline as product demand only drops as the consequence of a decline in the cost of its product.
It providers prefer, irrespective of high value-added tax or GST, to sustain rates to sustain their clients. The price change contracts credit policies when the prices increase, the certain factors remained amount produced will be increased, which is considered a supply extension.When we assume that hard workers are all honest or that slow workers are not very bright, this is considered projection.
Select one:
True
False
Answer:
It's False :-)Thank you for the questionOn July 1, 2019, Noble, Inc. issued 9% bonds in the face amount of $10,000,000, which mature on July 1, 2025. The bonds were issued for $9,560,000 to yield 10%, resulting in a bond discount of $440,000. Noble uses the effective-interest method of amortizing bond discount. Interest is payable annually on June 30. At June 30, 2021, Noble's unamortized bond discount should be
Answer:
$322,400
Explanation:
Calculation for At June 30, 2021, Noble's unamortized bond discount
First step is to calculate unamortized bond for 2019-2020
Unamortized bond 2019-2020= $9,560,000 + [($9,560,000 × .1) - ($10,000,000 × .09)]
Unamortized bond 2019-2020=$9,560,000 + [($9,560,000 - $900,000)]
Unamortized bond 2019-2020=$9,560,000 + $56,000
Unamortized bond 2019-2020= $9,616,000
Second step is to calculate Unamortized bond for 2020-2021
Unamortized bond 2020-2021= $9,616,000+ [( × $9,616,000.1) - ($10,000,000 × .09)]
Unamortized bond 2020-2021=$9,616,000 + ($961,600 - $900,000)
Unamortized bond 2020-2021 = $9,677,600
Now let calculate unamortized bond discount
Unamortized bond discount =$10,000,000 - $9,677,600
Unamortized bond discount = $322,400
Therefore At June 30, 2021, Noble's unamortized bond discount should be $322,400
with emphasis on at least five factors, show the importance of scanning the business environment
Answer:
. Identification of strength:
Strength of the business firm means capacity of the firm to gain advantage over its competitors. Analysis of internal business environment helps to identify strength of the firm.
2. Identification of weakness:
Weakness of the firm means limitations of the firm. Monitoring internal environment helps to identify not only the strength but also the weakness of the firm. A firm may be strong in certain areas but may be weak in some other areas. For further growth and expansion, the weakness should be identified so as to correct them as soon as possible.
3. Identification of opportunities:
Environmental analyses helps to identify the opportunities in the market. The firm should make every possible effort to grab the opportunities as and when they come.
4. Identification of threat:
Business is subject to threat from competitors and various factors. Environmental analyses help them to identify threat from the external environment. Early identification of threat is always beneficial as it helps to diffuse off some threat.
5. Optimum use of resources:
Proper environmental assessment helps to make optimum utilisation of scare human, natural and capital resources. Systematic analyses of business environment helps the firm to reduce wastage and make optimum use of available resources, without understanding the internal and external environment resources cannot be used in an effective manner.
Ag Bio Tech (ABT) was organized on January 1 by four friends. Each organizer invested $10,000 in the company and, in turn, was issued 8,000 shares of common stock. To date, they are the only stockholders. During the first month (January), the company had the following five events: a. Collected a total of $40,000 from the organizers and, in turn, issued common stock. b. Purchased a building for $65,000, equipment for $16,000, and three acres of land for $18,000; paid $13,000 in cash and signed a note for the balance, which is due to be paid in 15 years. c. One stockholder reported to the company that 500 shares of his ABT stock had been sold and transferred to another stockholder for $5,000 cash. d. Purchased supplies for $3,000 cash. e. Sold one acre of land for $6,000 cash to another company.
Answer:
a. Cash is received of $40,000 which is the stock capital equity part of financial statement.
b. Purchase are made of which notes payable are signed which will increase the non current liability of the company.
c. no effect on financial statements.
d. Cash is paid in turn of supplies.
e. Cash is received by selling partial land.
Explanation:
The effects of transaction on financial statements of company is mentioned above. The transaction c will not have any effect on the company's financial statement. The liability and equity part is increased in the transactions a and b.
On June 1, 2017, Vaughn Manufacturing was started with an initial investment in the company of $22,410 cash. Here are the assets, liabilities, and common stock of the company at June 30, 2017, and the revenues and expenses for the month of June, its first month of operations:
Cash $5,420 Notes payable $13,640
Accounts receivable 4,470 Accounts payable 970
Service revenue 8,320 Supplies expense 1,080
Supplies 2,320 Maintenance and repairs expense 680
Advertising expense 400 Utilities expense 220
Equipment 26,820 Salaries and wages expense 2,220
Common stock 22,410
Required:
In June, the company issued no additional stock but paid dividends of $1,710. Prepare an income statement for the month of June.
Answer:
Net profit is $3,720
Retained earning for the month is $2,010.
Explanation:
Income statement can be described as a financial statement that shows revenue, minus expenses and losses of a company in order to show it net profit. This can be prepared as follows:
Vaughn Manufacturing
Income Statement for the month of June 2017
Particulars Amount ($)
Revenue:
Service revenue 8,320
Expenses:
Supplies expense (1,080)
Maintenance and repairs expense (680)
Advertising expense (400)
Utilities expense (220)
Salaries and wages expense (2,220)
Net profit 3,720
Dividends paid (1,710)
Retained earning for the month 2,010
Question
Given that Janet is collecting data on favorite sports teams, what type of data is she working with?
Answer:
using data to increase revenue and to enhance the fan experience. When ticket sales and attendance are down, it is the sports analyst job to communicate the numbers and changes from previous seasons.
Explanation:
abburi Company's manufacturing overhead is 40% of its total conversion costs. If direct labor is $86,400 and if direct materials are $23,200, the manufacturing overhead is:
Answer:
Manufacturing overhead= $57,600
Explanation:
To calculate the Conversion costs, we need to use the following formula:
Conversion costs= direct labor + manufacturing overhead
Now, if direct labor is 60% of conversion costs, then:
Conversion costs= direct labor / (1 - 0.4)
Conversion costs= 86,400 / 0.6
Conversion costs= $144,000
Finally, we determine the manufacturing overhead:
Manufacturing overhead= 144,000 - 86,400
Manufacturing overhead= $57,600
The following costs were incurred in May: Direct materials$40,500 Direct labor$36,700 Manufacturing overhead$28,800 Selling expenses$21,400 Administrative expenses$38,800 Conversion costs during the month totaled:
Answer:
$77,200
Explanation:
Conversion cost is calculated as;
= Direct labor cost + Manufacturing overhead.
Given that;
Direct labor cost = $40,500
Manufacturing overhead = $36,700
Conversion cost = $40,500 + $36,700
= $77,200
