Answer:
A. It is applied when an insurer or risk manager has a specific problem to solve.
Explanation:
The descriptive approach to decision-making based on data is an approach that uses the provision of data that has already occurred in an organization so that there is a statistical understanding of the facts and that decision-making is carried out more effectively and based on evidence.
This approach makes it possible to solve specific problems by understanding the real situation of an organization financially and of all variables such as sales, production, operation, etc. that can be analyzed in a statistical way.
A constraint with a positive slack value:_____.
a. will have a positive dual price.
b. will have a negitive dual price.
c. will have a dual price of zero.
Answer:
c. will have a dual price of zero.
Explanation:
When solving a linear equation with constraint that means not a balanced equation, we introduce a slack variable that is almost equal to zero, in order to balance the equation.
In that case the slack variable can have positive or negative value depending upon equation, but it does equal to almost zero.
Thus, it can have dual shadow value almost equal to zero, as the value is not considered.
Question 6: Per capita real GDP is given by the equation y = Y/PN, where Y is nominal GDP, P is the GDP deflator, and N is population. In the United States, if the average growth rate of nominal GDP is 2.8 percent, inflation is 1.6 percent, and population growth is 0.5 percent, what is the growth of real GDP? Growth of per capita nominal GDP? Growth of per capita real GDP?
Answer:
Real GDP growth = Nominal GDP Growth - Inflation
Real GDP growth = 2.8 - 1.6
Real GDP growth = 1.2%
Therefore, the real GDP growth is 1.2%
Per-capita nominal GDP Growth = Nominal GDP Growth rate - Population Growth
Per-capita nominal GDP Growth = 2.8 - 0.5
Per-capita nominal GDP Growth = 2.3%
Therefore, the per capita nominal GDP Growth is 2.3%
Per capita Real GDP Growth = GDP Growth rate - Inflation - Population Growth
Per capita Real GDP Growth = 2.8 - 1.6 - 0.5
Per capita Real GDP Growth = 0.7%
Therefore, the Per capita Real GDP Growth is 0.7%
Civil engineering consulting firms that provide services to outlying communities are vulnerable to a number of factors that affect the financial condition of the communities, such as bond issues, real estate developments, etc. A small consulting firm entered into a fixed-price contract with a spec home builder, resulting in a stable income of $325,000 per year in years 1 through 5. At the end of that time, a mild recession slowed the development, so the parties signed another contract for $155,000 per year for 4 more years. Determine the present worth of the two contracts at an interest rate of 9% per year.
Answer:
Total Present Value = $2,890,983.32
Explanation:
The present value of the two contracts would be done as follows using the present value of an annuity formula:
The present value of an annuity is given as follows:
PV = A× (1- (1+r)^(-n))/r
Where
AV = Present value
A- annual income
n- numbers of years
r- annual interest rate
The first contract
DATA-
A- 325,000, n- 5, r- 0.09
PV = 325,000× ((1.09^(-5) -1)/0.09 = 1,264,136.66
Contract 2
The present value would be done in two (2) steps:
Step 1:
Present value in year 5 terms:
Data- A- 155,000, r- 0.09, n- 4
PV = 155,000 × 1-1,09^(-4)/0.09 = 502,156.58
Step 2:
PV in year 0 term:
=PV in year 4 × 1-1.09^(-5)
= PV = 502,156.58 × = 1,626,846.66
Total present value = 1,264,136.66 + 1,626,846.66 = 2,890,983.32
Total Present Value = $2,890,983.32
Google Calendar and Microsoft Outlook Calendar are examples of DSS.
A. True
B. False
Answer:
B. False
Explanation:
Note that Google Calendar and Microsoft Outlook Calendar are simply digital event organizer tools which allow a user schedule events or task via a registered Google or Outlook linked account.
However, DSS (Decision Support System) put simply, is an information system that assists users in making decisions.
Peace of Mind, Inc. (PMI) sells extended warranties for durable consumer goods such as washing machines and refrigerators. When PMI sells an extended warranty, it receives cash up front from the customer but later, it must cover any repair costs that arise.
An analyst working for PMI is considering a warranty for a new line of big-screen TVs. A consumer who purchases the 2-year warranty will pay PMI $210. On average, the repair costs that PMI must cover will average $106 for each of the warranty's 2 years.
If PMI has a cost of capital of 7%, should it offer this warranty for sale?
Answer:
Yes
Explanation:
The computation of the Internal rate of return and the net present value is shown below:
Year Particulars Cash flows PVIF at 7% Present value
0 Initial cost 210 1 210
1 Year 1 cash inflows -106 0.934579439 -99.06542056
2 Year 2 cash inflows -106 0.873438728 -92.5845052
IRR 0.63%
NPV $18.35
The IRR and the NPV is 0.63% and $18.35 so it should be accepted as the NPV comes in a positive amount
Precision Manufacturing had the following operating results for 2014: sales = $38,900; cost of goods sold = $24,600; depreciation expense = $1,700; interest expense = $1,400; dividends paid = $1,000. At the beginning of the year, net fixed assets were $14,300, current assets were $8,700, and current liabilities were $6,600. At the end of the year, net fixed assets were $13,900, current assets were $9,200, and current liabilities were $7,400. The tax rate for 2014 was 34 percent. What is the cash flow from assets for 2014?
Answer:
$4,284
Explanation:
The Computation of the cash flow from assets for the year 2014 is shown below
= Operating cash flow - net capital spending - changes in working capital
where,
Operating cash flow is
= EBIT + depreciation - taxes
The EBIT could come from
= Sales - cost of goods sold - depreciation expense - interest expense - tax expense
= $38,900 - $24,600 - $1,700 - $1,400 - $34% of $11,200
= $7,392
Now operating cash flow is
= $7,392 + $1,700 - $3,808
= $5,284
net capital spending = ending fixed assets - beginning fixed assets + depreciation
= $13,900 - $14,300 + $1,700
= $1,300
Changes in working capital = (ending balance of current assets - ending balance of current liabilities) - (beginning balance of current assets - beginning balance of current liabilities)
= ($9,200 - $7,400) - ($8,700 - $6,600)
= $1,800 - $2,100
= -$300
Now the cash flow from assets is
= $5,284 - $1,300 -(-$300)
= $4,284
the market value of the equity of Ginger, Inc., is $710,000. The balance sheet shows $45,600 in cash and $227,800 in debt, while the income statement has EBIT of $102,800 and a total of $164,600 in depreciation and amortization. What is the enterprise value−EBITDA multiple for this company? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Enterprise value−EBITDA multiple times
Answer:
3.34 times
Explanation:
Ginger incorporation has a market valu of equity of $710,000
The debt is $227,800
Cash is $45,600
EBIT is $102,800
The first step is to find the enterprise value
= market capitalization + debt -cash
= $710,000 +$227,800 - $45,600
= $937,800-$45,600
= $892,200
The EBITDA can be calculated as follows
= EBIT + depreciation and amortization
= $102,800 + $164,600
= $267,400
Therefore the enterprise value-EBITDA can be calculated as follows
= 892,200/267,400
= 3.34 times
Given the following tax structure, what minimum tax would need to be assessed on Shameika to make the tax progressive with respect to effective tax rates?Taxpayer Salary Muni-Bond Interest Total TaxMihwah $22,500 $4,850 $1,665 Shameika $87,500 $40,000 ???
Answer:
$6,475
Explanation:
Calculation for the minimum tax
The following details were given
Taxpayer Salary Muni-Bond Interest
Total Tax
Mihwah $22,500 $4,850 $1,665
Shameika $87,500 $40,000 ???
First step is to find Mihwah’s average tax
using this formula
Mihwah’s average tax rate =Total tax / Taxable income
Let plug in the formula
Mihwah’s average tax rate=$1,665/$22,500
Mihwah’s average tax rate=0.074×100
Mihwah’s average tax rate=7.4%
Second step is to calculate for the minimum tax
7.4% average tax rate on Shameika’s $87,500 taxable income will give us the minimum tax
Hence,
Minimum tax=7.4%×$87,500
Minimum tax=$6,475
Therefore the minimum tax would need to be assessed on Shameika to make the tax progressive with respect to effective tax rates will be $6,475
The minimum tax should be $6,475
The calculation is as follows:Mihwah’s average tax rate =Total tax ÷ Taxable income
=$1,665 ÷$22,500
=0.074×100
=7.4%
Now the minimum tax should be
=7.4%×$87,500
=$6,475
Learn more: https://brainly.com/question/15622851?referrer=searchResults
You and your friends are organizing a trip to Europe. Your plan is to rent a car and drive through the major European capitals. By consulting a map you estimate that you will cover a total distance of 5000 km. Consider the euro-dollar exchange rate given in the introduction and use unit conversion to work through these simple problems. Part A You select a rental package that includes a car with an average consumption of 6.00 liters of fuel per 100 km. Considering that in Europe the average fuel cost is 1.063 euros/liter, how much (in US dollars) will you spend in fuel on your trip
Answer:
To spend $376.302 as cost of fuel for the trip
Explanation:
Total cost of petrol = Fuel consumption per km * distance * cost of petrol
6/100 * 5000km * 1.063 Euro = 318.9 Euro
Taking 1 Euro = 1.18 U.S dollars
Therefore, 318.9 Euro * 1.18 = $376.302
You have been hired as a consultant to the central bank for a country that has for many years suffered from repeated currency crises and depends heavily on the U.S. financial and product markets. Which of the following policies would have the greatest effectiveness for reducing currency volatility of the client country with the United States? an exchange rate pegged to the U.S. dollar an internationally floating exchange rate an exchange rate with a fixed price per ounce of gold dollarization
Answer: dollarization
Explanation:
Of the following policies given in the question, the one that would have the greatest effectiveness for reducing currency volatility of the client country with the United States is dollarization.
Dollarization occurs when a country recognizes the dollar as a legal tender or medium of exchange in place of the domestic currency of a particular country.
It should be noted that dollarization occurs due to instability of the local currency which has resulted into its loss of usefulness to function well as a medium of exchange.
While discussing their marketing campaign for a new product, the members of the cross-functional team responsible for Carver Inc. realized that a couple of changes relating to their prior plan would be beneficial. The offer of a franchising that had earlier been brushed off by the company head was discussed thoroughly, and it was decided that it would be implemented on a trial basis initially and on full scale if found to work well. From the information provided, it can be concluded that this cross-functional team has a high degree of ________
Question Completion with Options:
A) uncertainty
B) reflexivity
C) diversity
D) conformity
E) demography
Answer:
Cross-functional Team (Carver, Inc.)
From the information provided, it can be concluded that this cross-functional team has a high degree of ________
B) reflexivity
Explanation:
The team at Carver Inc. certainly do not make decisions without thinking deeply about them in order to make required changes if their re-examinations of issues reveal some benefits that they did not realize initially. This implies that they usually take action with the knowledge that they acquire while researching a problem and they are always ready to reverse their formerly held hypothesis in the light of new findings. This the reason it could reconsider the offer of a franchising that was earlier brushed off by the company head. It did not just stop at the reconsideration, it went further to decide for trial implementation of the idea so that it could decide to embark on full-scale implementation after the testing period.
As the level of inventory increases to provide better customer service both inventory costs and quality-related customer service costs increase.
a) true
b) false
Answer:
A. True
Explanation:
level of inventory is very essential as far as customer service is concerned, inventory are amount of goods that is stocked for some purposes, this could be to sell, to distribute.
It should be noted that As the level of inventory increases to provide better customer service both inventory costs and quality-related customer service costs increase.
Lynette Company's Inventory balance at 12/31/04 was $200,000 and was $188,000 at 12/31/05. Its Accounts Payable balance e at 12/31/04 was $80,000 and was $84,000 at 12/31/05, and its cost of goods sold for 2005 was $720,000. The company's total amount of cash payments for merchandise in 2005 equals: A) $704,000. B) $712,000. C) $720,000. D) $728,000. E) $736,000.
Answer:
A) $704,000.
Explanation:
For computing the cash payments we need to calculate the following amounts which are as follows
Total purchases = cost of goods sold + ending inventory - opening inventory
= $720,000 + $188,000 - $200,000
= $708,000
Now cash payment to merchandise is
= Beginning account payable balance + purchased made - ending account payable balance
= $80,000 + $708,000 - $84,000
= $704,000
Hence, the correct option is A. $704,000
A capital investment firm placed $1.5 million 2 years ago to acquire part-ownership in an innovative chip making company. How long will it take from the date of their initial investment for their share of the chip company to be worth $3 million, if the company is realizing a 20% per year return?A capital investment firm placed $1.5 million 2 years ago to acquire part-ownership in an innovative chip making company. How long will it take from the date of their initial investment for their share of the chip company to be worth $3 million, if the company is realizing a 20% per year return?
Answer:
t = 3.801784017 years rounded off to 3.80 years
Explanation:
We need to calculate the time it takes for the initial investment of $1.5 million to grow and have a future value of $3 million. The formula to calculate the future value of a sum of money is,
FV = I * (1+r)^t
Where,
FV is the future valueI is the initial investment amountr is the rate of returnt is the time in years3 = 1.5 * (1+0.2)^t
3 / 1.5 = 1.2^t
2 = 1.2^t
log (2) / log (1.2) = t
t = 3.801784017 years rounded off to 3.80 years
5. You purchase a 1-year European call option on ABC stock with strike price 100. The option premium is $10. The effective annual interest rate is 5%, so that 100 dollars lent for 1 year will return 105 dollars. What is the PROFIT if ABC stock is trading at 115 on the expiration day?
Answer:
Profit on the stock is $5
Explanation:
The strike price of ABC stock = 100
Premium amount = $10
Effective annual interest rate = 5%
The price of the stock at the time of expiration = $115
Now we have to find the profit when the ABC is sold at $115. Below is the formula to find the profit.
Profit on the ABC stock = Price at time of expiration – strike price – premium amount
Now insert all the values in the above formula.
Profit on the ABC stock = 115 – 100 – 10
Profit on the ABC stock = $5
All of the following use financial ratios except:__________A. current ratio.B. cash coverage ratio.C. total debt ratio.D. times interest earned ratio.E. equity multiplier.
Answer:
A
Explanation:
Here is the correct question :
All of the following are financial leverage ratios except the
A. current ratio.
B. cash coverage ratio.
C. total debt ratio.
D. times interest earned ratio.
E. equity multiplier.
Current ratio is a liquidity ratio. It measures the ability of a company to meet its short term obligations
Current ratio = current assets / current liabilities
An economic model: Group of answer choices A. applies economic theory to understand real-world events. B. is so abstract that it cannot be applied to real-world events. C. can only be used to understand free markets. D. is an action taken to influence the course of economic events.
Answer:
A. applies economic theory to understand real-world events.
Explanation:
An economic model is a simplified version of reality that allows us to understand and predict economic phenomena.
characteristics of economic models are ;
They capture the fcomplexity of a phenomenon
They are able to make powerful predictions they are simple to understand
An example of an economic model is the production possibility frontier (PPF) . The PPF is a curve that shows the two combinations of goods that can be produced given the resources of an economy
State whether the following sentences are true or false regarding the nature of fiduciary-type funds and the accounting measurements within them. If the sentence is false, state why. a. Governments may access the resources of fiduciary funds to help support their own programs. b. When a government sponsors an Investment Trust Fund, the portion that belongs to other governments is reported as assets of the Fund, but the portion belonging to the sponsoring government is not. c. The statement of net position for a typical Agency Fund shows assets and liabilities, but no fund balance. d. When reporting on the resources of Pension Trust Funds, equity securities held by the Funds are reported at original cost.
Answer:
a. Governments may access the resources of fiduciary funds to help support their own programs.
True
b. When a government sponsors an Investment Trust Fund, the portion that belongs to other governments is reported as assets of the Fund, but the portion belonging to the sponsoring government is not.
True
c. The statement of net position for a typical Agency Fund shows assets and liabilities, but no fund balance.
True
d. When reporting on the resources of Pension Trust Funds, equity securities held by the Funds are reported at original cost.
True
Explanation:
Khan Corporation has budgeted the unit sales for April to be 5,000 units. The sales price is $25 per unit, and production costs are $10 per unit. Monthly utility expenses are estimated to be $2,000 plus $2 per unit, whereas selling expenses are estimated to be $12,000. The company pays a monthly rent of $2,000. What would be the utility expenses on the company's flexible budget if actual unit sales for April were 6,000 units
Answer:
$14,000
Explanation:
Given that;
Monthly utility expenses = $2,000
Monthly utility expenses per unit = $2
Actual units = 6,000
Therefore,
The amount of utility expenses on the flexible budget for 6,000 units
= $2,000 + [ $2 × 6,000 units ]
= $2,000 + $12,000
= $14,000
Discuss three traditional roles of the board of directors. Also, identify and discuss the most urgent governance issue impacting Apple's company’s board – what are they doing to manage this important issue?
Answer:
Hi, the question you have provided is missing information / scenario on Apple Company.
However important principles to help answer the question are given below :
The board of directors includes members of the Management who act as stewards for the company on behalf of the shareholders or owners. Directors are appointed during an Annual General Meeting (AGM) set by shareholders.
The roles of the Board of Directors include, Providing direction for the organisation, govern the organisation, monitor and control function, fiduciary duty to protect the organisation`s asset, establish a policy based government system and members investment and human resources functions (Recruitment, Training and Compensation) .
With this knowledge, the issue impacting Apple's company’s board can now be identified in the scenario (scenario is missing) and what management is doing to manage this important issue can be provided.
Informal organization suggests that cliques and other social groups can affect employee behavior.a. Trueb. False
Answer:
false
Explanation:
the answer is false.
Michael doesn’t agree with the direction his teammates want to go with the team’s project. Michael wants to understand his teammates’ reasoning. As they attempt to explain it to him, he keeps interrupting with questions and strong objections. Michael is becoming more and more frustrated as the meeting goes on. What can Michael do to reduce his frustration and listen more effectively? Check all that apply.
Answer:
The overview of the discussion is summarized in the subsection elsewhere here.
Explanation:
Frustration throughout the office sometimes doesn't pass out like that, it can always get worse whether it's left behind. Frustrated group members or teammates rarely do their excellent efforts, although anger can be an indication that perhaps the organization is having a challenge. I guess collaboration is a gathering of persons, perhaps and sometimes it might just be yourself and someone else, so it's coming together. Reveal the issue around to do the opportunity they need to do to get whatever they're seeking to do.So that Michael could start by writing his questions in the first place everything for the end, and then he can stop interrupting and annoying his colleagues.
During March, Pendergraph Corporation incurred $66,000 of actual Manufacturing Overhead costs. During the same period, the Manufacturing Overhead applied to Work in Process was $68,000. The journal entry to record the incurrence of the actual Manufacturing Overhead costs would include a: Multiple Choice debit to Work in Process of $68,000 credit to Work in Process of $68,000 credit to Manufacturing Overhead of $66,000 debit to Manufacturing Overhead of $66,000
Answer:
debit to manufacturing overhead of $66,000
Explanation:
The answer to the above is debit to manufacturing overhead of $66,000, hence the journal entry to record the actual manufacturing overhead costs would be;
Dr Manufacturing overhead account $66,000
Cr Work in process account $66,000
Please note that the manufacturing overhead applied to work in process will not be considered for this transaction.
Sanyu Sony started a new business and completed these transactions during December.
Dec. 1 Sanyu Sony transferred $67,300 cash from a personal savings account to a checking account in the name of Sony Electric in exchange for its common stock
2 The company rented office space and paid $1,400 cash for the December rent.
3 The company purchased $14,100 of electrical equipment by paying $5,900 cash and agreeing to pay the $8,200 balance in 30 days.
5 The company purchased office supplies by paying $800 cash.
6 The company completed electrical work and immediately collected $1,100 cash for these services.
8 The company purchased $2,540 of office equipment on credit.
15 The company completed electrical work on credit in the amount of $7,000.
18 The company purchased $330 of office supplies on credit.
20 The company paid $2,540 cash for the office equipment purchased on December 8.
24 The company billed a client $800 for electrical work completed; the balance is due in 30 days.
28 The company received $7,000 cash for the work completed on December 15.
29 The company paid the assistant’s salary of $1,500 cash for this month.
30 The company paid $580 cash for this month’s utility bill.
31 The company paid $950 cash in dividends to the owner (sole shareholder).
Prepare an income statement for the current month. sony statement
Answer:
Income statement for the month ended, December 31
Service Revenue ( $800 + $7,000 + $1,100) $8,900
Less Expenses :
Rent Expense $1,400
Salaries Expenses $1,500
Utility Expenses $580 ($3,480)
Net Income / (Loss) $5,420
Explanation:
First Record the transactions as follows :
Dec. 1
Cash $67,300 (debit)
Common Stock $67,300 (credit)
Dec. 2
Rent Expense $1,400 (debit)
Cash $1,400 (credit)
Dec. 3
Electric Equipment $14,100 (debit)
Cash $5,900 (credit)
Account Payable $8,200 (credit)
Dec. 5
Office Supplies $800 (debit)
Cash $800 (credit)
Dec. 6
Cash $1,100 (debit)
Service Revenue $1,100 (credit)
Dec. 8
Office Equipment $2,540 (debit)
Account Payable $2,540 (credit)
Dec. 15
Account Receivable $7,000 (debit)
Service Revenue $7,000 (credit)
Dec. 18
Office Supplies $330 (debit)
Account Payable $330 (credit)
Dec. 20
Accounts Payable $2,540 (debit)
Cash $2,540 (credit)
Dec. 24
Account Receivable $800 (debit)
Service Revenue $800 (credit)
Dec. 28
Cash $7,000 (debit)
Account Receivable $7,000 (credit)
Dec. 29
Salaries Expenses $1,500 (debit)
Cash $1,500 (credit)
Dec. 30
Utility Expenses $580 (debit)
Cash $580 (credit)
Dec. 31
Dividends $950 (debit)
Cash $950 (credit)
Gusler Corporation makes one product and has provided the following information: Budgeted sales, May 9,500 units Raw materials requirement per unit of output 2 pounds Raw materials cost $ 2.00 per pound Direct labor requirement per unit of output 2.7 direct labor-hours Direct labor wage rate $ 20.00 per direct labor-hour Predetermined overhead rate (all variable) $ 10.00 per direct labor-hour The estimated cost of goods sold for May is closest to:
Answer:
COGS= $807,500
Explanation:
First, we need to calculate the unitary cost for direct material, direct labor, and manufacturing overhead:
direct material= 2*2= $4
direct labor=2.7*20= $54
overhead= 2.7*10= $27
Total unitary cost= $85
Now, the cost of goods sold:
COGS= 85*9,500= $807,500
Live Trap Corporation received the following data for its rodent cage production unit. OUTPUT INPUT 50,025 cages Production time 652 labor hours Sales price: $3.60 per unit Wages $ 7.60 per hour Raw materials (total cost) $ 31,550 Component parts (total cost) $ 15,900 Find the total productivity in Units Sold and Dollars of Sales per Dollar Input. (Round your answers to 2 decimal places
Answer:
1. 0.95 per dollar input
2. $3.44 per unit input.
Explanation:
1. Total output (sales revenue )
= Output cages × sales price per unit
= 50,025 cages × $3.60 per unit
= $180,090
Computation of total input
Wages(652 × 7.6). $4,955.2
Component parts $15,900
Raw materials $31,550
Total input. $52,405.2
Therefore, total productivity in units sold
= Output in units / input in dollars
= 50,025 cages / $52,405.2
= 0.95 per dollar input
2. Total productivity in dollars
= Output in dollars / input
= $180,090 / $52,405.2
= $3.44 per unit input
What is the meaning of ledger ?
Answer:
noun
1.
a book or other collection of financial accounts of a particular type.
"the total balance of the purchases ledger"
Similar:
book
account book
record book
register
registry
log
records
archives
books
balance sheet
financial statement
2.
a flat stone slab covering a grave.
Explanation:
Can you please answer this
https://brainly.com/question/17736683
Answer:
a book or other collection of financial accounts of a particular type.
Explanation:
i looked up the definition
Failure to record which item is a counter-balancing (self-correcting) error?
a. Common Stock Issuance
b. Equipment Purchase
c. Prepaid Expense
d. Purchase of Treasury Stock
Answer:
c. Prepaid Expense
Explanation:
A counterbalancing error happens when one accounting mistake cancels out another accounting mistake. For example, a prepaid expense is not recorded properly:
January 1, 2020, prepaid rent for the year:
Dr Rent expense 12,000
Cr Cash 12,000
The correct journal entry should have been:
Dr Rent expense 1,000
Dr Prepaid rent 11,000
Cr Cash 12,000
But at the end of the year, the prepaid rent account should be adjusted:
December 31, 2020, adjustment to prepaid rent account
Dr Rent expense 11,000
Cr Prepaid rent 11,000
Even though an accounting mistake existed, it was eventually a self correcting error.
The chart of accounts for the Miguel Company includes the following: Account Name Account Number Cash 11 Accounts Receivable 13 Prepaid Insurance 15 Accounts Payable 21 Unearned Revenue 24 Common Stock 31 Dividends 32 Fees Earned 41 Salaries Expense 54 Rent Expense 56 Page 5 of the journal contains the following transaction: Description Post. Ref. Debit Credit Salaries Expense 525 Cash 525 What is the posting reference that will be found in the salaries expense account
Answer:
In the salary expense account, the posting reference that will be found is Cash 11.
Explanation:
This posting reference shows that the contra entry was made in the Cash account which has a reference number of 11. The Posting Reference is a field that facilitates cross-referencing (showing the other account involved in the transaction) or interlinking between the journal and the ledger in the posting process. Posting reference columns are present in both the journal and the ledger. It is also known as the Folio. This is because with the double entry system of accounting, each transaction must reflect at least two accounts that are affected on the debit side and the credit side.
he Charade Corporation is preparing its Manufacturing Overhead budget for the fourth quarter of the year. The budgeted variable manufacturing overhead is $5.00 per direct labor-hour; the budgeted fixed manufacturing overhead is $75,000 per month, of which $15,000 is factory depreciation. If the budgeted direct labor time for November is 7,000 hours, then the total budgeted manufacturing overhead for November is:
Answer:
the total budgeted factory overhead is $110,000
Explanation:
The computation of the total budgeted manufacturing overhead for the month of November is shown below:
Total budgeted factory overhead for November is
= Variable Factory Overhead rate per direct labor hour × budgeted direct labor time for November + Fixed Factory Overhead per month
= $5 × 7,000 hours + $75,000
= $35,000 + $75,000
= $110,000
hence, the total budgeted factory overhead is $110,000
