Answer: $14,426.43
Explanation:
At the end of 4 months and assuming a 12 months and 365 days in a year, the formula to be used to calculate how much Rahul owes is;
We use the formula:
Amount owed = Present Value ( 1 + rate/365 ) ^ 365 * time period
Amount owed = 14,000 * ( 1 + 0.09/365 ) ^ (365 *4/12 )
Amount owed = $14,426.43
Which of the following is an example of ADR? two sisters ask their mother to intervene in a fight to see if one sister improperly borrowed the other sister's sweater an arbitrator decides a dispute between a Target employee and Target, over whether she was paid the correct overtime wage amount two neighbors in a dispute hire a third neighbor who's a lawyer to help them resolve their argument All of the other answers are correct
Answer:
All of the other answers are correct
Explanation:
Alternative Dispute Resolution (ADR) is the process of procedure for settling disputes without taking legal actions. Alternative dispute resolutions employed can be arbitration, mediation, or negotiation.
two sisters ask their mother to intervene in a fight to see if one sister improperly borrowed the other sister's sweater is an example mediation
an arbitrator decides a dispute between a Target employee and Target, over whether she was paid the correct overtime wage amount two neighbors is an example of arbitation
in a dispute hire a third neighbor who's a lawyer to help them resolve their argument is an example mediation
please help i need to get a good grade
Answer:
Listening and being on target, checking my work.
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Lake Power Sports sells jet skis and other powered recreational equipment. Customers pay 1/3 of the sales price of a jet ski when they initially purchase the ski, and then pay another 1/3 each year for the next two years. Because Lake has little information about collectibility of these receivables, they use the installment method for revenue recognition. In 2010 Lake began operations and sold jet skis with a total price of $900,000 that cost Lake $450,000. Lake collected $300,000 in 2010, $300,000 in 2011, and $300,000 in 2012 associated with those sales. In 2011 Lake sold jet skis with a total price of $1,500,000 that cost Lake $900,000. Lake collected $500,000 in 2011, $400,000 in 2012, and $400,000 in 2013 associated with those sales. In 2013 Lake also repossessed $200,000 of jet skis that were sold in 2011. Those jet skis had a fair value of $75,000 at the time they were repossessed.
A) In 2010, Lake would recognize realized gross profit of:_____.
a. $0.
b. $450,000.
c. $300,000.
d. $150,000.
B) In 2012, Lake would recgonize a realized gross profit of:_____.
a. $700,000.
b. $310,000.
c. $450,000.
d. $0.
C) In 2013, Lake would record a lost on repossessions of:_______.
a. $80,000.
b. $45,000.
c. $200,000.
d. $120,000.
D) In its December 31, 2011, balance sheet, Lake would report:______.
a. deferred gross profit of $700,000.
b. installement receivables (net) of $900,000.
c. installment receivables (net) of $750,000.
d. deferred gross profit of $1,500,000.
Answer:
1) In 2010, Lake would recognize realized gross profit of:______.
a) $0.
Revenue for calculating gross profit is only recognized when the cost of goods sold (COGS) has been fully recovered.
2) In 2012, Lake would recognize a realized gross profit of:_______.
c) $450,000.
gross profit related to 2010 sales = $900,000 - $450,000 (remaining COGS) = $450,000
gross profit related to 2011 sales = $900,000 - $900,000 = $0
3) In 2013, Lake would record a lost on repossessions of:______.
c) $200,000.
4) In its December 31, 2011, balance sheet, Lake would report:_______.
b) installment receivables (net) of $900,000.
total installments receivables = $300,000 + $1,000,000 = $1,300,000
remaining COGS from 2011 sales = $400,000
installment receivables (net) = $1,300,000 - $400,000 = $900,000
Net cash flow from operating activities for 2021 Altoona Corporation was $300,000. The following items are reported on the financial statements for 2021: Depreciation and amortization $24,000 Cash dividends paid on common stock $10,000 Increase in accounts receivable $20,000 Based only on the information above, Altoona’s Net Income for 2021 was:
Answer:
Altoona’s Net Income for 2021 was: $296,000
Explanation:
The Net Income can be determined by reconciling the Net cash flow from operating activities to Operating Profit as follows :
Net cash flow from operating activities $300,000
Less Depreciation and amortization ($24,000)
Add Increase in accounts receivable $20,000
Operating Profit $296,000
Notes :
Reconcile the non-cash items previously added or deducted from Net cash flow from operating activities and any changes to Working Capital accounted for in determination of Net cash flow from operating activities .
Flyaway Travel Company reported net income for 2021 in the amount of $90,000. During 2021, Flyaway declared and paid $2,125 in cash dividends on its nonconvertible preferred stock. Flyaway also paid $10,000 cash dividends on its common stock. Flyaway had 40,000 common shares outstanding from January 1 until 10,000new shares were sold for cash on April 1, 2021. What is 2021 basic earnings per share
Answer:
$1.85
Explanation:
Fyaway travels reported a net income of $90,000 for the year 2021
During 2021 they declared and paid a cash dividend of $2,125
They also paid $10,000 as cash dividend in common stock
Flyway has 40,000 shares outstanding
Therefore the 2021 basic earning per share can be calculated as follows
$90,000-2,125
= $87,875
40,000 shares+(10,000 shares×9/12)
40,000 shares +(10,000×0.75)
40,000+7500
= 47,500
87,875/47,500
= $1.85
Hence the basic earning per share for 2021 is $1.85
Sexual Violence Awareness (Campus SaVE Act):
Final Assessment
QUESTION 3 OF 15
Which is NOT a strategy for defusing potentially harmful
situations?
1
distract
2
direct
3
deactivate
4.
delegate
Answer: distract
Explanation:
Distraction is not a strategy for defusing potentially harmful situations. Option (a) is correct.
What do you mean by Strategy?Strategy is a plan for achieving a long-term or overall goal.
Hollaback's "5 D's" (Direct, Distract, Delay, Delegate, Document) are different methods that bystanders can use to support someone who is being harassed, emphasize that harassment is not okay, and demonstrate to people in your life that they too have the power to make our communities and workplaces safer.
It teaches students, faculty, and staff how to intervene by employing the three Ds: Direct, Distract, and Delegate. The three D's provide strategies for intervening in potentially dangerous situations.
Therefore, Option (a) is correct.
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Andrew has been asked to estimate future cash flows for his company. He is having a hard time remembering how to estimate future cash flows from his accounting classes. Where should Andrew look to find this information, and which level of the conceptual framework will his new knowledge apply to
Answer: Andrew should look to find the information in SFAC No. 7. The level of the conceptual framework that his new knowledge will apply to is level 3.
Explanation:
From the question, we are informed that Andrew has been asked to estimate future cash flows for his company and that he is having a hard time remembering how to estimate future cash flows from his accounting classes.
Andrew should look to find the information in SFAC No. 7. The level of the conceptual framework that his new knowledge will apply to is level 3.
Which of the following statements about the relationship between interest rates and bond prices is true? I) There is an inverse relationship between bond prices and interest rates. II) There is a direct relationship between bond prices and interest rates. III) The price of short-term bonds fluctuates more than the price of long-term bonds for a given change in interest rates. (Assuming that coupon rate is the same for both) IV) The price of long-term bonds fluctuates more than the price of short-term bonds for a given change in interest rates. (Assuming that the coupon rate is the same for both)
Answer: A. I and IV only
Explanation:
The relationship between bond prices and interest is an inverse one. This is because bonds have fixed rates so when for instance interest rates increase, the fixed rate of bonds will become less attractive as people would want to make the higher interest. They will therefore demand less of bonds and the prices will drop. The reverse is true.
Also, long term bonds are more affected by interest rate changes then short term bonds. This is because, as they have a longer term till maturity, they will be even less attractive when interest rates rise.
Because the coupon rate is fixed, if the necessary rate rises, the bond price falls, and vice versa.
When interest rates vary, the value of long-term bonds fluctuates more than the value of short-term bonds. This is due to the bond's convex hull.
The price of a bond as well as the rate of interest have an inverse relationship.
So, Option "A" and "D" is the correct answer to the following question.
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How much income should the taxpayer recognize in each of the following situations? a. Julius owns a 25% interest in the Flyer Company, which is organized as a partnership. During the current year, he is paid $14,000 by Flyer as a distribution of earnings. Flyer's taxable income for the year (calculated without any payments made to partners) is $60,000. Julius should recognize an income of $ .
Answer:
Mr Julius income in the partnership is $15,000
Explanation:
In a partnership, partners are taxed on the individual share of income. Here, the interest sharing of Mr Julius in Flyer Company is 25% and the taxable income of Flyer Company is $60,000. Hence, Mr Julius income in the partnership is $60,000 * 25% = $15,000.
Note: $14,000 is not included in Mr Julius income because it is a return on partnership investment. It is treated as reduction in basis of the investment.
Which is a possible benefit of having a good credit history?
O getting a high interest rate on a credit card offer
O obtaining a low interest rate on a loan
obtaining a savings account
O having a paycheck garnished
Mark this and return
Save and Exit
Answer:
B. obtaining a low interest rate on a loan
Explanation:
Answer:
b
Explanation:
got it right on test
g Dan Watson started a small merchandising business in Year 1. The business experienced the following events during its first year of operation. Assume that Watson uses the perpetual inventory system. Acquired $30,000 cash from the issue of common stock. Purchased inventory for $18,000 cash. Sold inventory costing $15,000 for $32,000 cash. Required a. Record the events in general journal format. b. Post the entries to T-accounts. c. Determine the amount of gross margin. d. What is the amount of net cash flow from operating activities for Year 1
Answer:
a. Journals
Cash $30,000 (debit)
Common Stock $30,000 (credit)
Cash in Exchange of Common Stock
Inventory $18,000 (debit)
Cash $18,000 (credit)
Cash Purchase of Inventory
Cash $32,000(debit)
Cost of Sales $15,000 (debit)
Sales Revenue $32,000 (credit)
Inventory $15,000 (credit)
Sale of Inventory on cash basis
b. T - Accounts
Cash Account
Debit :
Common Stock $30,000
Sales Revenue $32,000
Credit :
Inventory $18,000
Balance $44,000
Common Stock
Debit :
Balance $30,000
Credit :
Cash $30,000
Balance
Inventory
Debit :
Cash $18,000
Credit :
Cost of Sales $15,000
Balance $3,000
Sales
Debit :
Balance $32,000
Credit :
Cash $32,000
Cost of Sales
Debit :
Inventory $15,000
Credit :
Balance $15,000
c. Gross Margin = $17,000
d. net cash flow from operating activities for Year 1 = $14,000
Explanation:
Gross Margin = Sales - Cost of Sales
= $32,000 - $15,000
= $17,000
Net Cashflow from Operating Activities
Cash Paid to Suppliers ($18,000)
Calculation :
Cost of Sales $15,000
Add Increase in Inventory $3,000
Cash Paid to Suppliers $18,000
Cash Receipts from Customers $32,000
Net Cash From Operating Activities $14,000
1. Descriptive statistics ________. quickly describe large amounts of data can predict future stock returns with surprising accuracy help statisticians understand non-numeric information, like colors refer mainly to patterns that can be found in data 2. A 15% return on a stock means that ________. 15% of the original purchase price of the stock returns to the seller at the end of the year 15% of the people who purchased the stock will see a return the stock is worth 15% more at the end of the year than at the beginning the stock has lost 15% of its value since it was originally sold 3. A stock purchased on January 1 cost $4.35 per share. The same stock, sold on December 31 of the same year, brought in $4.75 per share. What was the approximate return on this stock
Answer:
1. quickly describe large amounts of data
2. the stock is worth 15% more at the end of the year than at the beginning
3. 9.2%
Explanation:
Descriptive statistics helps to quickly describe large amounts of data because it simply involves using certain measurement tools to describe the data seen such that patterns emerge that will help in analyzing the data. Examples include, frequency tables and measures of variation like range and standard deviation.
When a stock has a 15% return, it means that the owner is getting 15% more than the amount that the stock cost them therefore showing that the stock is worth 15% more at the end of the year than at the beginning.
The return on the stock is;
= (4.75 - 4.35) / 4.35
= 9.2%
In one year the sales of a company increase at a constant rate. At 2 months the company sells 12 products, and after 8 months the company sells 30,000 products. (At t-0, the company does not necessarily have 0 sales)
a. Write an equation to model the situation.
b. If the company's sales continue to increase at the same rate, how long would it take before the company reached 145,000 sales? (Calculator permitted-round to 3 decimal places)
Answer:
The answer is below
Explanation:
a) Since sales of the company increases at a constant rate, it means that the function is a linear function. Let the time in months be the independent variable x and the sales be the dependent variable y. It can be represented as (x, y)
At 2 months the company sells 12 products, this can be represented by (2, 12). Also after 8 months the company sells 30,000 products, this can be represented by (8, 30000). The formula for a linear function is:
[tex]y-y_1=\frac{y_2-y_1}{x_2-x_1}(x-x_1)[/tex]
Using (2, 12) and (8, 30000):
[tex]y-y_1=\frac{y_2-y_1}{x_2-x_1}(x-x_1)\\\\y-12=\frac{30000-12}{8-2}(x-2)\\ \\y-12=4998(x-2)\\\\y-12=4998x-9996\\\\y=4998x-9984[/tex]
b) For a sales of 145000, i.e y = 145000
y = 4998x - 9984
145000 = 4998x - 9984
4998x = 145000 + 9984
4998x = 154984
x = 31.009
It would take about 31.009 months to make a sales of 145000
The primary objective of financial reporting is to provide information:___________.
a. About a firm’s management teamb. Useful to capital providersc. Concerning the changes in financial position resulting from he income-producing efforts of the entityd. About a firm’s financial and investing activities
Answer:
b. Useful to capital providers.
Explanation:
Financial reporting can be defined as the formal communication or disclosure of financial information and statements to present and potential users such as investors and creditors.
The objective of financial reporting include all of the following to provide information that:
1. Is useful to those making investment decisions. This information would help creditors to determine whether they should lend to a client or not; or assist investors in deciding whether they should invest in a business or not.
2. Is useful to those lending out money to business entities. When investors and creditors are well furnished with financial information about an organization, they would be able to assess the amounts of cash, timing, and uncertainty of cash flows from dividends or interest.
3. Is useful to creditors in making decisions about providing resources to business entities.
Hence, the primary objective of financial reporting is to provide information useful to capital providers.
Additionally, financial accounting standards board (FASB) is a private, non-profit organization saddled with the responsibility of establishing and maintaining financial accounting and reporting standards for general guidance of individuals or capital providers such as investors, issuers and auditors.
In a simple CAPM world, which of the following statements is/are correct?
I. All investors will choose to hold the market portfolio, which includes all risky assets in the world
II. Investors' complete portfolio will vary depending on their risk aversion
III. The return per unit of risk will be identical for all individual assets
IV. The market portfolio will be on the efficient frontier and it will be the optimal risky portfolio
a. I, II and III only
b. I, II, III and IV
c. II, III and IV only
d. II and IV only
e. I, III and IV only
Answer: I, II, III, IV
Explanation:
CAPM is used for pricing of risky securities and also for the generation of expected returns for an asset given the risk involved with regards the assets and the cost of capital
In a simple CAPM world, the correct statements are:
I. All investors will choose to hold the market portfolio, which includes all risky assets in the world
II. Investors' complete portfolio will vary depending on their risk aversion
III. The return per unit of risk will be identical for all individual assets
IV. The market portfolio will be on the efficient frontier and it will be the optimal risky portfolio
Therefore, I, II, III, IV is the best option.
Go to www.federalreserve.gov/releases/h6/Current/ to access the information. 1. Answer these questions about the money supply. a. Differentiate between M1 and M2 b. What has been the growth rate in M1 and M2 over the last twelve months? c. From what you know about the state of the economy, does this seem expansionary or restrictive? Why?
Explanation:
Note, M1 and M2 represents the value of the United States money supply.
According to information found on the Federal Reserve website, the growth rate in M1 and M2 over the last twelve months for
M1= 38.1
M2= 23.3
They are expansionary considering the effect of the pandemic on the economy.
Foreign tourists have been visiting the Dogon for decades. As time goes by more and more Dogon perform with their art in order to earn an income from the tourist trade. This has completely changed the context in which Dogon art is made, used, and understood. What could some of the social, cultural, global, and economic benefits of this change be
Explanation:
There may be several social, cultural, global and economic benefits from tourism.
For the Dogon, the attraction of foreign tourists may imply greater recognition of their art and therefore the benefit of achieving through tourism the benefits of greater appreciation of their cultural heritage, strengthening the Dogon society and preserving their culture, in addition to the tourism encourages income generation for dogon citizens that promotes greater economic development for the country and greater global recognition.
Tasty Ice Cream is a year-round take-out ice cream restaurant that is considering offering an additional product, hot chocolate. Considering the additional machine it would need plus cups and ingredients, it estimates fixed costs to be $204 per year and the variable cost to be $0.26. If it charges $1.01 for each hot chocolate, how many hot chocolates does it need to sell in order to break even
Answer: 272 hot chocolates
Explanation:
Assume the quantity sold is x.
Fixed cost = $204
Variable cost = $0.26x
Sales = $1.01x
Breakeven point is where profits are $0.
1.01x - 0.26x - 204 = 0
0.75x -204 = 0
0.75x = 204
x = 272 hot chocolates
Harrison Inc. applies overhead based on machine hours. Harrison reports the following for the year just ended: Budgeted overhead for the year $500,000 Budgeted machine hours 25,000 Actual overhead for the year $505,000 Actual machine hours 24,000 What is the amount of over- or under-applied overhead for the year
Answer:
idfk
Explanation:
Ray Schultz, a highly competent employee, had been overlooked for a promotion twice in the span of six months and he recently filed a claim for discrimination with the EEOC. Ever since he filed the discrimination suit, Ray has been suffering from hostility in the workplace. His schedules were changed without notifying him and he received an unfair performance review from his superiors. This is an example of _______.
Answer: retaliation
Explanation:
Ray Schultz, a highly competent employee, had been overlooked for a promotion twice in the span of six months and he recently filed a claim for discrimination with the EEOC. Ever since he filed the discrimination suit, Ray has been suffering from hostility in the workplace. His schedules were changed without notifying him and he received an unfair performance review from his superiors. This is an example of retaliation.
Retaliation occurs the employer of a particular company takes an adverse action against a worker because the worker file a charge of discrimination with EEOC.
Indicate the effect of each transaction during the month of October 20Y8 and the balances for the accounting equation after all transactions have been recorded. No beginning balances exist in the accounts. An accounting equation has been provided. Opened a business bank account for Jones, Inc., with an initial deposit of $45,000 in exchange for common stock. Paid rent on the office building for the month, $2,000. Received cash for fees earned of $5,000. Purchased equipment, $7,000. Borrowed $20,000 by issuing a note payable. Paid salaries for the month, $1,000. Received cash for fees earned of $8,000. Paid dividends, $3,000. Paid interest on the note, $100.
Answer:
For better visualization, the answer is presented in a table
[tex]\left[\begin{array}{ccccc}&Assets&=&Liabilities +&Equity\\1&45,000&=&&45,000\\2&-2,000&=&&-2,000\\Bal.&43,000&=&0&43,000\\3&5,000&=&&5,000\\Bal.&48,000&=&0&48,000\\4&&=&&\\Bal.&48,000&=&0&48,000\\5&20,000&=&20,000&\\Bal.&68,000&=&20,000&48,000\\6&-1,000&=&&-1,000\\Bal.&67,000&=&20,000&47,000\\7&8,000&=&&8,000\\Bal.&75,000&=&20,000&55,000\\8&-3,000&=&&-3,000\\Bal.&72,000&=&20,000&52,000\\9&-100&=&&-100\\Bal.&71,900&=&20,000&51,900\\\end{array}\right][/tex]
Procedure details described below:
Explanation:
Opened a business bank account for Jones, Inc., with an initial deposit of $45,000 in exchange for common stock.
The cash is an asset for the company And Jones Is the Owner thus, asset and equity increase by 45,000
Paid rent on the office building for the month, $2,000.
The rent is an expense is an incurred cost to continue the operations of the business It decreases the equity and asset (cash used to pay the rent)
Received cash for fees earned of $5,000.
The fees are revenue from the business operations this is a realized gain, therefore, increases equity. Also, Assets increase as cash is an asset.
Purchased equipment, $7,000.
There is no change in the quantities but, the composition of the asset did change. Cash decrease while equipment increase.
Borrowed $20,000 by issuing a note payable.
The note payable is a future obligation to pay. It is a liability for the company assumed in exchange for an asset (cash)
Paid salaries for the month, $1,000.
Like rent, this is an incurred cost(expense) It decreases Equity also, assets as we use cash to pay it.
Received cash for fees earned of $8,000.
Exactly like the previous time, a realized gain generates an increase in equity and assets.
Paid dividends, $3,000.
The dividends are paid to the company's owners thus, the cash leaves the company into the owner's pocket. Both, assets and equity decrease (as there are fewer assets available for the owners to take)
Paid interest on the note, $100.
The interest also is an incurred cost thus, like salaries and rent expense we decrease equity and assets.
Which of the following are examples of positive externalities?
a. You are a bird watcher, and your neighbor puts up birdhouses and gardens to attract birds.
b. Your roommate is a smoker, but you are a nonsmoker.
c. Investments in private education raise your country's standard of living.
Answer:
Option “a” and “c”.
Explanation:
Option “a” and “c” are the positive externalities because the positive externalities are the ones that benefit to others. The activity of one person benefits the other person. So in the option, “A” neighbor put the birdhouses that will attract the birds that means another person who is a bird watcher will be benefited. Secondly, the investment in education will increase the country's GDP and the many people will be benefited from the education.
Martin operates a law practice as a sole proprietorship using the cash method of accounting. Martin incorporates the law practice and transfers the following items to a new, solely owned corporation.Adjusted BasisFMVCashEquipmentAccounts receivableAccounts payable (deductible expenses)Note payable (on equipment)$10,000 80,000 0 0 50,000$ 10,000 100,000 120,000 60,000 50,000Martin must recognize a gain of ________ and has a stock basis of ________:
Answer: $0; $40,000
Explanation:
The accounts payable is the money that a business or company owes its suppliers. It should be noted that on the balance sheet of a company, the accounts payable is a liability.
But under Sec 357(c), accounts payable are regarded as liabilities as the payable payment result in a deduction.
From the information given in the question, the stock basis will be equal to the addition of the cash basis and the equipment basis minus the liability transferred. This will be:
= $10,000 + 80,000 - $50,000
= $40,000
Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the following questions. Assume that the base year is 2015. Good 2015 Price 2015 Quantity 2016 Price 2016 Quantity A $2 250 $3 200 B $3 300 $2 400 C $4 400 $5 500 What was the growth rate of real gross domestic product (GDP) between the two years
Answer:
20%
Explanation:
Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year
GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export
Nominal GDP is GDP calculated using current year prices while Real GDP is GDP calculated using base year prices. Real GDP has
Real GDP in 2015 = ( $2 x 250) + ($3 x 300) + ($4 x 400) = $3000
Real GDP in 2016 = ( $2 x 200) + ($3 x 400) + ($4 x 500) = $3600
Growth rate in real GDP = $3600 / $3000 - 1 = 0.2 = 20%
The agency problem wherein ownership and control of a corporation are separate is associated with:_______
Answer: The shareholder model of corporate governance
Explanation:
The agency problem is typically a conflict of interest in a relationship whereby a party is expected to act in the best interest of the other party. It should be noted that in corporate finance, the agency problem is a conflict of interest that takes place between the management of the company and the stockholders.
The agency problem wherein ownership and control of a corporation are separate is associated with the shareholder model of corporate governance.
Whenever possible, write on a subject _____.
a. that interests you.b. that you already know something about.c. that you have researched.
d. all of these.
Answer: d. All of these
Explanation:
When writing on a particular subject or topic, it's important to write on some things that interests you about what you're writing on, what you already know something about and what you have researched.
All the three options are vital if one wants to pay vivid attention to the subject that one is writing on. Having a previous knowledge gives one an advantage as one will be able to write on the subject well.
The Alpine House, Inc., is a large retailer of snow skis. The company assembled the information shown below for the quarter ended March 31: Amount Sales $ 150,000 Selling price per pair of skis $ 750 Variable selling expense per pair of skis $ 50 Variable administrative expense per pair of skis $ 10 Total fixed selling expense $ 20,000 Total fixed administrative expense $ 20,000 Beginning merchandise inventory $ 30,000 Ending merchandise inventory $ 40,000 Merchandise purchases $ 100,000 Required: 1. Prepare a traditional income statement for the quarter ended March 31. 2. Prepare a contribution format income statement for the quarter ended March 31. 3. What was the contribution margin per unit?
Answer:
Results are below.
Explanation:
First, we need to calculate the cost of goods sold:
COGS= beginning finished inventory + cost of goods purchased - ending finished inventory
COGS= 30,000 + 100,000 - 40,000
COGS= 90,000
Now, the number of skis sold:
Units sold= 150,000/750= 200 units
Traditional income statement:
Sales= 150,000
COGS= (90,000)
Gross profit= 60,000
Total selling expense= (50*200 + 20,000)= (30,000)
Total administrative expense= (10*200 + 20,000)= (22,000)
Net operating income= 8,000
Contribution format income statement:
Sales= 150,000
Total variable cost= (90,000 + 50*200 + 10*200)= (102,000)
Contribution margin= 48,000
Total fixed selling expense= (20,000)
Total fixed administrative expense= (20,000)
Net operating income= 8,000
1. Traditional income statement for the quarter ended March 31 is $8,000.
2. Contribution format income statement for the quarter ended March 31 is $8,000.
3. The contribution margin per unit is 240.
Income statement:1. Alpine House, Inc., Traditional Income Statement
Sales revenue $150,000
Cost of goods sold $90,000
($30,000 + $100,000 - $40,000)
Gross margin $60,000
Selling and administrative expenses:
Selling expenses $30,000
[(150,000/750×50)+$20,000)]
Administrative expenses $22,000
[(150,000/750×10)+$20,000)]
Total selling and administrative expenses $52,000
Net operating income $8,000
2. Alpine House, Inc., Contribution format Income Statement
Sales revenue $150,000
Variable expenses:
Cost of good sold sold $90,000
Selling expenses $10,000
Administrative expenses $2,000
Total variables expenses $102,000
Contribution margin $48,000
Fixed expenses:
Selling expenses $20,000
Administrative expenses $20,000
Total fixed cost $40,000
Net operating income $8,000
3. Selling price per unit 750
Variable cost per unit 510
(102,000/200)
Contribution margin per units 240
Inconclusion traditional income statement for the quarter ended March 31 is $8,000, contribution format income statement for the quarter ended March 31 is $8,000, and the contribution margin per unit is 240.
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Shire Computer’s predetermined overhead rate is based on direct labor cost. Management estimates the company will incur $728,000 of overhead costs and $560,000 of direct labor cost for the year. During March, Shire began and completed Job 13-56. 1. What is the predetermined overhead rate for the year? 2. Use the information on the following job cost sheet to determine the total cost of the job.
Answer:
Results are below.
Explanation:
We weren't provided with information regarding Job 13-56
To calculate the predetermined overhead rate, we need to use the following formula:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= 728,000 / 560,000
Predetermined manufacturing overhead rate= $1.3 per direct labor dollar
To allocate overhead, we need to use the following formula:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Cash flows from investing activities do not include cash flows from:a. Lending.b. The sale of equipment.c. Borrowing.d. The purchase of land and buildings.
Answer:
c. Borrowing
Explanation:
Borrowing in the Cash flow section is a financing activity for an organisation. Neither does it relates to Operating nor investing activities section. Cash flow from investing activities is the section on the cash flow statement that reports changes resulting from amounts spent activities such as investments in capital assets such as plant and equipment, investments.
You have just received notification that you have won the $2.5 million first prize in the Centennial Lottery. However, the prize will be awarded on your 100th birthday (assuming you're around to collect), 63 years from now. What is the present value of your windfall if the appropriate discount rate is 7 percent
Answer:
PV= $35,217,78
Explanation:
Giving the following information:
Future value= $2,500,000
Number of periods= 63 years
Interest rate= 7% compounded annually
To calculate the value of the prize today, we need to use the following formula:
PV= FV/(1+i)^n
PV= 2,500,000 / (1.07^63)
PV= $35,217,78
