Answer:
60%
Explanation:
A company purchased 10 units for $5 on January 3. It purchased 10 units for $7 each on February 28. It sold 10 units on March 1. If the company uses the last in, first out (LIFO) inventory costing method, what is the dollar amount for ending inventory on the December 31 balance sheet, assuming that the company uses a perpetual inventory system
Answer:
The dollar amount for ending inventory using the last-in-first-out method of inventory valuation is $50
Explanation:
Using LIFO,last-in-first-out method of inventory valuation,items received last into the store are deemed to be sold first, hence the sales of 10 units on March 1 was the inventory purchased on February 28, leaving the items of inventory purchased on January 3 as closing inventory
value of closing inventory using LIFO=10*$5=$50
An ad for Kool Kids, a kidswear company, is featured in the August issue of a teen magazine, Teen 360. The ad shows children between the ages of 3 and 12 on a ramp. In terms of the response stages of the persuasion matrix, the ad is ineffective in reaching the intended target audience, the parents, because:_________.
a. its portrayal is offensive.
b. it contains jargons that is incomprehensible to the target audience.
c. the media channel used is inappropriate.
d. of the extensive clutter.
e. it is not endorsed by a celebrity parent.
Answer:
c. the media channel used is inappropriate.
Explanation:
In the advert been shown, naturally as it is been stated to be that which has to portray or exhibit the qualities of a cool kid. And as a cool kid, as the words align, their could be other forms of play or kid plays to be done to qualify a child within the range of 3 to 13 as a cool kid. Therefore at the end of the day and session, it could easily be concluded that the media channel obviously inappropriate approach to their in their advertisement. It is looks a little weird because a ramp usage can be seen in scenarios where maybe stubborn or rough children are been gathered or play together at.
The 6.3 percent, semi-annual coupon bonds of PE Engineers mature in 13 years and have a price quote of 99.2. These bonds have a current yield of ________ percent, a yield to maturity of ________ percent, and an effective annual yield of ________ percent.
Answer:
Current yield is 6.35%
YTM is 6.40%
Effective annual yield is 6.50%
Explanation:
Current yield =coupon amount/price=6.3%*$1000/$1000*99.2%=6.35%
Yield to maturity can be computed using excel rate formula as below:
=rate(nper,pmt,-pv,fv)
nper is the number of coupon payments of the bond which is 13*2
pmt is the annual coupon=6.3%*$1000=$63/2=$31.5
pv is the current price=99.2%*$1000=$992
fv is the face value of $1000
=rate(13*2,31.5,-992,1000)=3.20%
Semiannual yield =3.20%
annual yield=3.20%*2=6.40%
effective annual yield=(1+YTM/2)^2-1
effective annual yield=(1+6.40%/2)^2-1=6.50%
Jose Reyes surrendered an endowment policy and received $50,000 from the ABC Insurance Company. Over time Jose had paid $35,000 in premiums. In addition, over time Jose had collected $5,000 of dividends on the policy. How much gain (loss), if any, must Jose recognize from surrendering the endowment policy
Answer:
$10,000
Explanation:
Calculation for Jose Reyes gain (loss) recognize from surrendering the endowment policy.
Endowment policy $50,000
Premium $35,000
Dividend $ 5,000
Hence:
Endowment policy $50,000 -Premium $35,000
=$15,000
$15,000 - Dividend $ 5,000
=$10,000
Therefore the gain (loss), if any that Jose recognize from surrendering the endowment policy will be $10,000
The concept of --------, while not mentioned in the U.S. Constitution, is an important part of our legal system.
Answer:
judicial review,
Explanation:
research lol
Selected operating data for two divisions of Outback Brewing, Ltd., of Australia are given below (the currency is the Australian dollar, denoted here as $):
Division
Queensland New South
Wales
Sales $4,000,000 $7,000,000
Average operating assets $2,000,000 $2,000,000
Net operating income $360,000 $420,000
Property, plant, and equipment (net) $950,000 $800,000
Requirement 1:
Compute the rate of return for each division using the return on investment (ROI) formula stated in terms of margin and turnover.
Requirement 2:
Which divisional manager seems to be doing the better job?
Answer:
Queensland Wale -18%
New South Wales-21%
The manager of New South seems to be doing a better job with a higher return on investment of 21%
Explanation:
Return on investment stated in terms of margin and turnover combines the margin formula and the asset the turnover formula as below:
Return on investment=Net operating income/sales*sales/average operating assets:
Queensland Wales:
Net operating income is $360,000
sales is $4,000,000
average operating assets is $2,000,000
return on investment=$360,000/$4000,000*$4000,000/$2000,0=18%
New South :
Net operating income is $420,000
sales is $7,000,000
average operating assets is $2,000,000
return on investment=$420,000/$7000,000*$7000,000/$2000,000=21%
Prince Electronics, a manufacturer of consumer electronic goods, has five distribution centers in different regions of the country. For one of its products, a highspeed modem priced at $330 per unit, the average weekly demand at each distribution center is 70 units. Average shipment size to each distribution center is 350 units, and average lead time for delivery is 2 weeks. Each distribution center carries 2 weeks' supply as safety stock but holds no anticipatory inventory.a. On average, how many dollars of pipeline inventory will be in transit to each distribution center?b. How much total inventory (cycle, safety, and pipeline) does Prince hold for all five distribution centers?
Answer:
a. $231,000
b. 2,450 units
Explanation:
a. On average, how many dollars of pipeline inventory will be in transit to each distribution center?
This is the inventory level that has to be in transit every 2 weeks in order to meet average demand. This can be calculated as follows:
Pipeline inventory = Number of distribution centers * Price per unit * Average weekly demand * Average delivery lead time = 5 * $330 * 70 * 2 = $231,000.
Therefore, the dollars of pipeline inventory that will be in transit to each distribution center is $231,000.
b. How much total inventory (cycle, safety, and pipeline) does Prince hold for all five distribution centers?
Inventory in hand = Average shipment size * Number of distribution centers = 350 * 5 = 1,750
Safety inventory = Number of distribution centers * Average weekly demand * Average delivery lead time = 5 * 70 * 2 = 700
Note: Safety inventory is the inventory held in the store for the purpose of meeting rise in demand or for overcoming delay in supply.
Inventory cycle = Inventory in hand - safety inventory = 1,750 - 700 = 1,050
Pipeline inventory = Number of distribution centers * Average weekly demand * Average delivery lead time = 5 * 70 * 2 = 700
Total inventory held = Inventory cycle + Safety inventory + Pipeline inventory = 1,050 + 700 + 700 = 2,450 units.
Therefore, the total inventory (cycle, safety, and pipeline) Prince holds for all five distribution centers is 2,450 units.
The following equity investment transactions were completed by Romero Company during a recent year:
Apr. 10 Purchased 3,600 shares of Dixon Company for a price of $51 per share plus a brokerage commission of $95.
July 8 Received a quarterly dividend of $0.95 per share on the Dixon Company investment.
Sept. 10 Sold 2,000 shares for a price of $41 per share less a brokerage commission of $75.
Journalize the entries for these transactions.
Answer:
The journal entries will look as follows:
Explanation:
Date Particulars Dr ($) Cr ($)
Apr 10 Investments - Dixon (w.1.) 183,695
Cash (w.1.) 183.695
(To record total value of investment in Dixon Company.)
July 8 Cash 3,420
Dividend revenue (w.2.) 3,420
(To record dividend revenue from Dixon Company shares.)
Sept. 10 Cash (w.3.) 81,925
Loss on investment sold (w.5.) 20,128
Investments - Dixon (w.4.) 102,053
(To record sales of investment in Dixon Company.)
Workings:
w.1. Total value of investment in Dixon Company = (3,600 * $51) + $95 = $183,695
w.2. Dividend revenue = 3,600 * $0.95 = $3,420
w.3. = Cash = (2,000 * 41) - $75 = $81,925
w.4. Value of investment in Dixon = ($183,695 / $3,600) * 2,000 = $102,053
w.5. Loss on sale of investment = w.3. - w.4. = $102,053 - $81,925 = $20,128
Interstate Delivery Service is owned and operated by Katie Wyer. The following selected transactions were completed by Interstate Delivery during May:Indicate the effect of each transaction on the following accounting equation elements (Assets, Liabilities, Common Stock, Dividends, Revenue, and Expense). Also indicate the specific item within the accounting equation element that is affected. To illustrate, the answer to (1) follows:(1) Asset (Cash) increases by $18,000; Common Stock increases by $18,000. Element Item Direction1. Received cash in exchange for common stock, $18,000. Asset Cash Increases Common Stock Increases2. Paid advertising expense, $4,850. 3. Purchased supplies on account, $2,100. 4. Billed customers for delivery services on account, $14,700. 5. Received cash from customers on account, $8,200.
Answer and Explanation:
The indication and effect of each transaction are as follows
Particulars Element Item Direction
1. Received cash in exchange
for common stock, $18,000. Asset Cash Increases
Common Stock Increases
It increased both assets and the common stock
2. Paid advertising expense,
$4,850. Expense Advertising Expense Increases
Asset Cash Decreases
It increased the expenses and reduced the assets
3. Purchased supplies on account,
$2,100. Asset Supplies Increases
Liability Accounts Payable Increases
It increased the assets and also increased the liabilities
4. Billed customers for delivery
services on account, $14,700. Asset Accounts Receivable Increases
Revenue Delivery Service Fees Increases
It increased the assets and the revenue is also increased
5. Received cash from
customers on account, $8,200. Asset Cash Increases
Asset Accounts Receivable Decreases
It increased the assets in cash but it reduced the assets i.e account receivable
Answer: I took this class, these are the answers
Explanation:
The indication and effect of each transaction are as follows
Particulars Element Item Direction
1. Received cash in exchange
for common stock, $18,000. Asset Cash Increases
Common Stock Increases
It increased both assets and the common stock
2. Paid advertising expense,
$4,850. Expense Advertising Expense Increases
Asset Cash Decreases
It increased the expenses and reduced the assets
3. Purchased supplies on account,
$2,100. Asset Supplies Increases
Liability Accounts Payable Increases
It increased the assets and also increased the liabilities
4. Billed customers for delivery
services on account, $14,700. Asset Accounts Receivable Increases
Revenue Delivery Service Fees Increases
It increased the assets and the revenue is also increased
5. Received cash from
customers on account, $8,200. Asset Cash Increases
Asset Accounts Receivable Decreases
It increased the assets in cash but it reduced the assets i.e account receivable
The following transactions occur for Badger Biking Company during the month of June:
a. Provide services to customers on account for $36,000.
b. Receive cash of $28,000 from customers in (a) above.
c. Purchase bike equipment by signing a note with the bank for $21,000.
d. Pay utilities of $3,600 for the current month.
Required:
Analyze each transaction and indicate the amount of increases and decreases in the accounting equation.
Answer:
A pdf file is attached to show the effect of each transaction on accounting equation, Please find it.
Explanation:
Accounting equation is
Assets = Equity + Liabilities
a.
The services are performed on account means that the revenue of $36,000 is recorded against the receivable of the same value.
b.
Receiving cash will increases the cash balance as an asset and reduces the receivable value.
c.
Bike Equipment are assets and it will increase the value of assets and Note payable is a liability instrument which will increase the liabilities.
d.
Utilities payment will decrease the cash in the assets section and reduce the equity balance as an expense.
Deere is a global manufacturer and distributor of agricultural, construction, and forestry equipment. Suppose it reported the following information in its 2017 annual report. (In millions)
2017 2016 Inventories (LIFO) $2,267 $2,999
Current asset 32,910
Current liabilities 11,711
LIFO reserve 1,389
Cost of goods sold 15,661
Compute Deere inventory turnover for 2017 ratio.
Answer:
5.95
Explanation:
Deere inventory turnover for 2017 ratio is:
Formula for Inventory Turnover Ratio= Cost of Goods sold / Average Inventory
Where Average Inventory = (Previous Inventory + Current Inventory) / 2
= ($2,267 + $2,999) / 2
=$5,266 / 2
=$2,633
Average Inventory = $2,633
Therefore, Inventory Turnover Ratio = $15,661 / $2,633 = 5.9479 = 5.95
Deere Inventory Turnover for 2017 Ratio is 5.95.
Chobani's equipment runs for 10 hours and must be idle for 4 hours while being cleaned. Its plants operate day and night all week long. What are the implications for the company's purchasing, inventory control, scheduling and quality control functions. Your answer should be detailed and well thought out.
Answer:
For the company's purchasing ;leasing the machine for the active period i.e 10 hours a day would be cheaper because the cost of cleaning and maintenance would be eliminated
For the company's inventory control; if the company leases the equipment that would reduce it's setup cost keeping its inventory low
For the company's scheduling; scheduling deals with completing a job within a given time and it is very essential to utilize the productive time
For the company's quality control functions; the company has to ensure that in as much as it has to meet its production schedule the quality of the products should be paramount
Explanation:
Running time = 10 hours. Idle time = 4 hours
The implications of the machine:
For the company's purchasing ; since the equipment has to be used everyday and after the 10 hours it will run, it has to be ideal for 4 hours for it to be cleaned and maintained every day. therefore the purchasing department of the company will have to sort for an alternative equipment which would be less expensive and would have less idle time during cleaning and maintenance. but if this alternative is more expensive, then leasing the machine for the active period i.e 10 hours a day would be cheaper because the cost of cleaning and maintenance would be eliminated
For the company's inventory control : inventory for every company is the stock of the company that remains unsold and every company should aim to keep this as low as possible and one way is by reducing setup costs and safety cost. if the company leases the equipment that would reduce it's setup cost keeping its inventory low
For the company's scheduling : scheduling deals with completing a job within a given time and it is very essential to utilize the productive time i.e 10 hours of the equipment in order to avoid unwanted direct and indirect cost.
For the company's quality control functions: As the equipment runs for 10 hours day and night in other to meet up with the production and scheduling the quality of the products might be adversely affected hence the company has to ensure that in as much as it has to meet its production schedule the quality of the products should be paramount
assume yourself as a marketing specialist of a company and determine the new product development process by manufacturing a new product for your company ??
anyone have answere ?
Answer:
The Productisation produce is:
1. Ideation/Conceptualisation
This has to do with the generation of a product or service idea;
2. Research / Concept Testing Stage / Analysis
This stage has to do with the research around the idea to determine the availability of market for the product, size and target segment within the market, Growth Potential, competition analysis and current and potential issues that may arise due to the creation of the product;
As a substage of the research phase, a business analysis of the viability of the product is also carried out. this will entail
Cost-Benefit Analysis Resources Required Capital Expenses Profitability/Margin Anticipated Sales
3. Design/Creation of Prototype/Development
For physical products, this stage will look at on-paper design from which a prototype will be created.
After testing to ensure that the prototype works, it is then sent for development. This stage also involves market tests.
4. Launch
This is the final stage of the product development process.
It entails all the go-to-market activities such as market plan execution, sales/production training, execution of distribution plan.
It is possible at this stage to still collect product-related feedback from the market for consideration in the upgrade version of the product to be launched at a later date.
Cheers!
Writers should use words carefully and construct sentences skillfully to emphasize main ideas and de-emphasize minor ideas. Choose the best response. Which of the following labels the main idea for the reader?
a. Janes needs to proofread the proposal and changes need to be made
b. First, please make the changes to the second section of the proposal changes, and then have Jane proofread the entire proposal.
Answer:
Option b is correct.
Explanation:
The statement in option ''b" is the correct option for laying emphasis on the main idea and de-emphasizing the minor ideas, that is;
"First, please make the changes to the second section of the proposal changes, and then have Jane proofread the entire proposal."
The above statement is a detailed one and shows the step by step instructions or requirements;
1." First, please make the changes to the SECOND SECTION of the proposal changes.''
The SECOND SECTION the writer mentioned lay emphasis on the second section of the proposal CHANGES AND NOT THE WHOLE.
2. "and then have Jane proofread the ENTIRE proposal"
The writer wants Jane to do the PROOFREADING of the ENTIRE proposal.
Consider the following data for the United States: Year Real GDP ($ billion) 20172017 18 comma 108.118,108.1 20182018 18 comma 638.218,638.2 *Real-time data provided by Federal Reserve Economic Data (FRED), Federal Reserve Bank of Saint Louis. The percentage change in real GDP from 20172017 to 20182018equals= 2.932.93%. (Enter your response rounded to two decimal places and include a minus sign if necessary.) This percentage change in real GDP is also known as
Answer:
The percentage change in real GDP is 2.93%
Real economic growth rate
Explanation:
The percentage in real GDP between year 2017 and 2018 can be computed using the below formula:
% change in real GDP=2018 real GDP-2017 real GDP/2017 real GDP
2017 real GDP is 18,108.1
2018 real GDP is 18,638.2
% change in real GDP=(18,638.2- 18,108.1)/ 18,108.1=2.93%
This percentage change in real GDP is also known as real economic growth rate.Economic growth rate is the rate of improvement in the economy with respect to additional value-adding goods and services produced by an economy with viz-a-viz the prior year
If a perpetual inventory system is in use _____. a physical inventory count is not required because the Inventory account is updated for each purchase and sale. a physical inventory count is not required because the Inventory account is updated every time a transaction or event occurs. a physical inventory count should be taken at least annually. a physical inventory count is required because the Inventory account is not updated when inventory is purchased or sold.
Answer: a physical inventory count should be taken at least annually
Explanation: That an inventory is perpetual does not discount the need for taking physical inventory at least once a year. This is important because it helps in the identification of shrinkage or shortages and to also test the accuracy of the perpetual records under use. Now, a perpetual inventory is a kind of inventory that tracks and records continuously, items as they are added to or subtracted from the inventory thus keeping it updated and aids in keeping the track of the cost of goods bought and sold.
Due to the adoption of a just in time assembly line system, NWC is expected to decrease. Inventory is expected to decrease from $254600 to $143072 while accounts payable will also decrease by $26648. What is the cash flow impact for the change in net working capital to be included in the initial investment
Answer:
$84,880
Explanation:
Since there is a decrease in inventory from $254,600 to $143,072 i.e $111,528 and the account payable is also decreased by $26,648
So, there is an increase in cash flow due to the change in net working capital of
= Decrease in inventory - decrease in account payable
= $111,528 - $26,648
= $84,880
Hence, the cash flow impact is of $84,880 i.e to be included in the initial investment
Thomlin Company forecasts that total overhead for the current year will be $11,597,000 with 164,000 total machine hours. Year to date, the actual overhead is $7,833,000 and the actual machine hours are 83,000 hours. The predetermined overhead rate based on machine hours is Round the factory overhead rate to the nearest dollar before multiplying by the number of hours. a.$94 per machine hour b.$48 per machine hour c.$71 per machine hour d.$140 per machine hour
Answer: c.$71 per machine hour
Explanation:
The Pre-determined Overhead rate is the rate Thomlin Company forecasted that the company would incur total overhead for the current year.
They forecasted total overhead of $11,597,000 with 164,000 total machine hours.
Since the rate is based on Machine Hours the rate would be,
= Total Forecasted Overhead / Total Forecasted Machine Hours
= 11,597,000 / 164,000
= 70.71
= $71
To sum up international trade theory, we can say that the primary reason for trade is
Answer:
The primary reason for trade is for the economic development of a country.
Explanation:
Trade makes a significant and necessary contribution to the economy and the country's development particularly in underdeveloped countries. The rapid progress of underdeveloped countries in the Industrial field is due to their exports. In most countries, such would represent a significant share of their gross domestic product (GDP).
A worker can choose high (H) or low (L) effort. If the worker chooses high effort, she incurs a personal cost of 1. In this case, output is high with probability one. If the worker chooses low effort, she incurs a personal cost of 0. In this case, output is low with probability one. When output is high, the firm receives revenue of O and zero otherwise. Can the same outcome be achieved when effort is unobservable?
A. Yes, because the firm would find it wothwhile to pay the bonus for high effort.
B. No, because for any bonus offered, the worker will claim to have exerted high effort.
C. No, because the firm has to pay the bonus based on output.
D. Yes, because effort can be perfectly inferred from output, which is observable.
Answer:
B. No, because for any bonus offered, the worker will claim to have exerted high effort.
Explanation:
This question required some basic reasoning about how human beings function. We all like to receive things from others, and if they are free (or without cost or effort) the more we like them. And we all believe that good things should happen to us and that we are entitled to receive good things. That is the basic reason why jealousy and envy exist.
Now, back to our case. If the company simply hands out bonuses to everyone regardless of their personal effort, every single worker will be convinced that they really deserve the bonus. Even if the worker didn't even try to do his best or didn't do anything right at all, he/she will be convinced that they deserve the bonus. Each and every single worker will claim that the reason they are receiving the bonus is due to their work. Everyone will say that they worked hard and their work was good.
Imagine this happened at school. One day, the teacher decides to give As to half the class in alphabetical order (or any other random way). The half that got the As will believe that they deserved the As while the other half will be very unhappy. If everyone got As, then everyone will be convinced that thy got As because they deserved them.
Gangsta Industries,INC produces a variety of anti-crime and safety products such as burglar alarms, smoke detectors, surveillance cameras, and specialty locks. Gangsta sells to households, businesses, and government agencies. They have found that each market group requires a different marketing strategy. Gangsta would probably benefit from departmentalization by:
Answer:
Customer type.
Explanation:
From the scenario described in the question above, Gangsta Industries would benefit from departmentalization by type of consumer.
In this type of departmentalization, the company groups its activities according to its common customer base, or the types of customers that the organization serves.
This is a strategy that enables the company to better serve a group of specific customers based on their problems, needs and preferences, which results in a more targeted and effective service.
An all-equity business has 100 million shares outstanding selling for $20 a share. Management believes that interest rates are unreasonably low and decides to execute a leveraged recapitalization (a recap). It will raise $1 billion in debt and repurchase 50 million shares. a. What is the market value of the firm prior to the recap? What is the market value of equity? b. Assuming the Irrelevance Proposition holds, what is the market value of the firm after the recap? What is the market value of equity? c. Do equity shareholders appear to have gained or lost as a result of the recap? Please explain. d. Assume now that the recap increases total firm cash flows, which adds $100 million to the value of the firm. Now what is the market value of the firm? What is the market value of equity? e. Do equity shareholders appear to have gained or lost as a result of the recap in this revised scenario?
Answer:
a) Market Value = $100 million × $20 = $2,000 million = $2 billion
Market value of equity would remain same = $2 billion
b) Market value would remain same after recap. Only market capitalization would reduce to half.
Market value of equity = 1 billion
c) Buying back shares increases the stock price which demonstrates the faith of the company in its work. But creditors have capital gains.
d) After recap and cash flow firm total value has increased to $2 billion + $100 Million = $2.1 billion and market value of equity has increased from $20 to $22 . ($1000 + $100)/50 = $22.
e) Equity shareholders have gained due to increase in there share value
Explanation:
If your risk-aversion coefficient is A = 4.4 and you believe that the entire 1926–2015 period is representative of future expected performance, what fraction of your portfolio should be allocated to T-bills and what fraction to equity? Assume your utility function is U = E(r) – 0.5 × Aσ2
Answer:
=> fraction of the portfolio that should be allocated to T-bills = 0.4482 = 44.82%.
=> fraction to equity = 0.5518 = 55.18%.
Explanation:
So, in this question or problem we are given the following parameters or data or information which are; that the utility function is U = E(r) – 0.5 × Aσ2 and the risk-aversion coefficient is A = 4.4.
The fraction of the portfolio that should be allocated to T-bills and its equivalent fraction to equity can be calculated by using the formula below;
The first step is to determine or Calculate the value of fraction to equity.
Hence, the fraction to equity = risk premium/(market standard deviation)^2 - risk aversion.
= 8.10% ÷ [(20.48%)^2 × 3.5 = 0.5518.
Therefore, the value for fraction of the portfolio that should be allocated to T-bills = 1 - fraction to equity = 1 - 0.5518 =0.4482 .
Quality Jewelers uses the perpetual inventory system. On April 2, Quality sold merchandise for $50,000 to a customer on account with terms of 3/15, n/30. The allowances and returns on this sale amounted to $3,000 and $9,000, respectively. The cost of goods sold was $20,000. On April 20, Quality received payment from the customer. Calculate the amount of gross profit.
Answer:
The Gross profit is $18,000
Explanation:
In order to calculate the amount of gross profit we would have to make the following calculation:
Gross Profit = Sale - Allowance - Sales Returns - Discount - Cost of Goods Sold
Sale=$50,000
Allowance=$3,000
Sales Returns=$9,000
Cost of Goods Sold =$20,000
Discount. As the payment is done after the expiry of 15 days is discount is 0
Gross Profit= $50,000 - $3,000 - $9,000 - 0 - $20,000
Gross Profit= $18,000
The Gross profit is $18,000
Lipman Auto Parts, a family-owned auto parts store, began January with $10,300.00 in cash. Management forecasts that collections from credit customers will be $11,400.00 in January and $14,800.00 in February. The store is scheduled to receive $5,000.00 in cash on a business note receivable in January. Projected cash payments include inventory purchases ($13,000.00 in January and $13,600.00 in February) and operating expenses ($2,700.00 each month). Lipman Auto Parts’ bank requires a $10,000.00 minimum balance in the store’s checking account. At the end of any month when the account balance dips below $10,000.00, the bank automatically extends credit to the store in multiples of $1,000.00. Lipman Auto Parts borrows as little as possible and pays back loans in quarterly installments of $2,000.00, plus 4 percent interest on the entire unpaid principal. The first payment occurs three months after the loan.
Prepare Lipman Auto Parts
Answer: The answer has been attached below
Explanation:
The question says we should prepare Lipman Auto Parts cash budget for January and February.
A cash budget is a budget of expected cash receipts and the disbursements during a period. The cash inflows and cash outflows include revenues collected, the expenses paid, and the loans receipts and payments. A cash budget is an estimated projection of a company's cash position in the future.
Lipman Auto Parts cash budget for January and February has been solved and attached.
you work at an electronYou work at a local electronics store, Electronics Warehouse. While you are working you spot a customer who appears to place something into their backpack (which you think is an item they haven't paid for). Before they exit the store you yell "STOP THAT THIEF" and another employee tackles the customer at the exit. When the customer is tackled he injures his knee and is spotted by his current boss. You and the employee escort the customer back to the security office and rummage through his backpack, but unfortunately you don't find any evidence that something was stolen, so you release the customer and apologize for the mix-up. The next day the customer returns to his job and is fired for being "a thief" by his boss who witnessed the events at the electronics store the day before. a. Explain in detail what tort theories the customer can sue the Electronics Warehouse. Would he be successful? b. Can you or the other employee be sued for a tort? If so, what tort(s)? c. What defenses would the Electronics Warehouse raise? Would they be successful?
Answer: The answers are provided below
Explanation:
a. Yes, the customer can sue the Electronics warehouse. The customer was wrongly accused of stealing and was called a thief in front of everyone present in the store. In this case, the customer has lost his reputation.
The customer can be successful because he was called a thief which he wasn't. He got injured due to this and also lost his job. This is a serious misconduct and offense and the customer can be successful if he sue the Electronics company.
b. Yes, the employee and I can be sued for tort as we called him a thief without investigation and injured him. This has led to a big harm for the customer who lost his job due to this issue. With the illegal approach, both the employee and the electronic store can face the legal proceedings asnthey can be sued for major loss for the customer.
c. The Electronic Warehouse can raise the defense that they have apologized to the customer and they can also say that they took the measure to protect their stores from theft.
No, they can't be successful as they easily stop the customer without tackling him and making a mockery of him by calling him a thief. He also lost his job due to this. Hence, this is a serious issue that has created emotional and financial damage for the customer.
At the end of 2001, Lehnhoff Inc. had $75 million in cash on its balance sheet. During 2002, the following events occurred: The cash flow from Lehnhoff's operating activities totaled $325 million. Lehnhoff issued $500 million in common stock. Lehnhoff's notes payable decreased by $100 million. Lehnhoff purchased fixed assets totaling $600 million. How much cash did Lehnhoff Inc. have on its balance sheet at the end of 2002
Answer:
The multiple choices are:
a. $200 Million
b. $50 Million
c. $1.4 Billion
d. $100 Million
The correct option is A,$200 million
Explanation:
The increase in cash recorded from the statement of cash flows prepared in the year plus the opening balance of cash at the beginning of the year gives the cash balance at the end of the year shown below:
Increase in cash in the year=cash flow from operations+cash flow from financing activities-cash flow used on investing activities
increase in cash in the year=$325+($500-$100)-$600=$125 million
cash at the end of the year=$125 +$75=$200 million
You own a farm, you hire labor and capital to produce apples. The marginal product of the last unit of labor input is 15 and the marginal product of the last unit of capital input is 45. The market wage for labor is $8. If you are using the optimal combination of inputs, then the price of capital is
Answer:
$24
Explanation:
We can say the Optimal combination of inputs can be expressed as the ratio of marginal productivity of labor to the marginal productivity of capital is equal to the ratio of price of labor(wage) to the price of capital(RENT).
Lets denote:
marginal productivity of labor = MPL
marginal productivity of capital = MPC
Wage= W
Rent= R
Then the formula will be
[tex]\frac{MPL}{MPC}=\frac{W}{R}[/tex]
Workings:
Lets put in the values in the formula
[tex]\frac{15}{45} = \frac{8}{R}[/tex]
We have to find out R(Rent)
R= 8x3
R= $24
Nash's Trading Post, LLC issued a five-year interest-bearing note payable for $222000 on January 1, 2019. Each January the company is required to pay $44000 on the note. How will this note be reported on the December 31, 2020, balance sheet
Answer:
balance sheet
liabilities
note payables (current portion) 44,000
non-current liabilities
long-term note payable 178,000
Explanation:
On December 31,2020 there will be a portion of the note that will be declared as current liability while another non-current as within 12-months there is payment due (to be more precise next day after the balance close)
Thus 222,000 - 44,000 = 178,000 long-term
while the 44,000 are declared short-term
Perpetual Inventory Using FIFO Beginning inventory, purchases, and sales data for DVD players are as follows: November 1 Inventory 120 units at $39 10 Sale 90 units 15 Purchase 140 units at $40 20 Sale 110 units 24 Sale 45 units 30 Purchase 160 units at $43 The business maintains a perpetual inventory system, costing by the first-in, first-out method. a. Determine the cost of goods sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 3. Under FIFO, if units are in inventory at two different costs, enter the units with the LOWER unit cost first in the Cost of Goods Sold Unit Cost column and in the Inventory Unit Cost column. Cost of Goods Sold Schedule First-in, First-out Method DVD Players Date Quantity Purchased Purchases Unit Cost Purchases Total Cost Quantity Sold Cost of Goods Sold Unit Cost Cost of Goods Sold Total Cost Inventory Quantity Inventory Unit Cost Inventory Total Cost Nov. 1 Nov. 10 Nov. 15 Nov. 20 Nov. 24 Nov. 30 Nov. 30 Balances b. Based upon the preceding data, would you expect the inventory to be higher or lower using the last-in, first-out method?
Answer:
a) UNDER FIFO
November 1 Inventory 120 units at $39
November 10 Sale 90 units
COGS = 90 X $39 = $3,510remaining inventory = 30 x $39 = $1,170November 15 Purchase 140 units at $40
November 20 Sale 110 units
COGS = (30 x $39) + (80 x $40) = $1,170 + $3,200 = $4,370remaining inventory = 60 x $40 = $2,400November 24 Sale 45 units
COGS = 45 x $40 = $1,800remaining inventory = 15 x $40 = $600November 30 Purchase 160 units at $43
remaining inventory = $600 + (160 x $43) = $7,480b. UNDER LIFO
November 1 Inventory 120 units at $39
November 10 Sale 90 units
COGS = 90 X $39 = $3,510remaining inventory = 30 x $39 = $1,170November 15 Purchase 140 units at $40
November 20 Sale 110 units
COGS = 110 x $40 = $4,400 remaining inventory = (30 x $40) + (30 x $39) = $2,370November 24 Sale 45 units
COGS = (30 x $40) + (15 x $39) = $1,785remaining inventory = 15 x $39 = $585November 30 Purchase 160 units at $43
remaining inventory = $585 + (160 x $43) = $7,465Under LIFO, the ending inventory is lower than under FIFO.
"First in first out" or FIFO is a method of inventory evaluation by which the process of goods buying and selling are assumed as having same chronological order.
FIFOAs per the question, if units are in inventory at two different costs, than the Cost of Goods Sold (COGS), and Inventory will be different, as per the given information:
⇒November 1, Inventory 120 units at $39
November 10, Sale 90 units
Cost of Goods Sold = 90 X $39 = $3,510
Remaining inventory = (120-90) x $39 = $1,170
⇒ November 15, Purchase 140 units at $40
November 20, Sale 110 units
Cost of Goods Sold = (30 x $39) + (80 x $40) = $1,170 + $3,200 = $4,370
Remaining inventory = 60 x $40 = $2,400
⇒ November 24, Sale 45 units
COGS = 45 x $40 = $1,800
Remaining inventory = 15 x $40 = $600
⇒November 30, Purchase 160 units at $43
Remaining inventory = $600 + (160 x $43) = $7,480
B. Under Last in, First Out (LIFO)
⇒November 1, Inventory 120 units at $39
November 10, Sale 90 units
COGS = 90 × $39 = $3,510
Remaining inventory = 30 x $39 = $1,170
⇒November 15, Purchase 140 units at $40
November 20, Sale 110 units
COGS = 110 x $40 = $4,400
Remaining inventory = (30 x $40) + (30 x $39) = $2,370
⇒November 24, Sale 45 units
COGS = (30 x $40) + (15 x $39) = $1,785
Remaining inventory = 15 x $39 = $585
⇒November 30, Purchase 160 units at $43
Remaining inventory = $585 + (160 x $43) = $7,465
Hence, the results shows that the Inventory is LOWER when used Last-in, First out Method.
Learn More about LIFO here:
https://brainly.com/question/13510592
