In the Month of March, Chester received orders of 195 units at a price of $15.00 for their product Creak, and in April receives an order for 49 units of their product Creak at $15.00. Chester uses the accrual method of accounting and offers 30 day credit terms. Chester delivers 0 units in March, 195 units in April and 49 units in May. They received payment for 195 units in April, and payment for 49 units in May. How much revenue is recognized on the March income statement from this order

Answers

Answer 1

Answer:

Chester

The revenue that is recognized on the March income statement from this order is:

= $0.

Explanation:

a) Data and Calculations:

Selling price of Creak = $15 per unit

                                 March     April        May        Total

Orders received        195           49                         244

Orders delivered          0          195          49          244

Sales revenue            $0    $2,925     $735     $3,660

Cash receipt                       $2,925     $735     $3,660

Revenue recognized $0    $2,925     $735     $3,660

b) Revenue is to be recognized when performance obligations have been fulfilled according to the new Revenue standard IFRS 15 or GAAP ASC 606, as may be applicable.


Related Questions

Twix Dots Skor
Net income $4,200 $106,000 $76,800
Depreciation expense 31,600 8,400 25,600
Accounts receivable increase (decrease) 42,200 21,000 (4,200 )
Inventory increase (decrease) (21,200 ) (10,600 ) 10,600
Accounts payable increase (decrease) 25,400 (23,400 ) 14,800
Accrued liabilities increase (decrease) (46,600 ) 12,800 (8,400 )

Required:
For each separate company, compute cash flows from operations using the indirect method. (Amounts to be deducted should be indicated by a minus sign.)

Answers

Answer:

Twix, Dots, and Skor

                                                                      Twix            Dots           Skor

Net income                                                  $4,200    $106,000     $76,800

Depreciation expense                                 31,600          8,400       25,600

Accounts receivable increase (decrease) 42,200        21,000         (4,200 )

Inventory increase (decrease)                   (21,200 )     (10,600 )      10,600

Accounts payable increase (decrease)     25,400      (23,400 )      14,800

Accrued liabilities increase (decrease)    (46,600 )      12,800        (8,400 )

Cash flows from operations                     ($6,400)   $93,400   $102,400

Explanation:

a) Data and Calculations:

                                                                      Twix            Dots           Skor

Net income                                                  $4,200    $106,000     $76,800

Depreciation expense                                 31,600          8,400       25,600

Accounts receivable increase (decrease) 42,200        21,000         (4,200 )

Inventory increase (decrease)                   (21,200 )     (10,600 )      10,600

Accounts payable increase (decrease)     25,400      (23,400 )      14,800

Accrued liabilities increase (decrease)    (46,600 )      12,800        (8,400 )

b) Depreciation is added back to the net income.  Increases in current assets are cash outflows, reducing cash flows, while decreases are cash inflows, increasing cash flows.  On the other hand, increases in current liabilities are cash inflows, increasing cash flows, while decreases are cash outflows, reducing cash flows.

What is an example of goods?
O a hotel room
O a good haircut
O a car wash
O a hard cover book

Answers

Answer:

Hotel Room

Explanation:

a

An example of goods in the case is a hard cover book.

What is a goods?

Most time, this are often tangible product that are felt and seen, unlike the service which are rendered and often intangible product

An example of service includes a hotel room, a good haircut and a car wash.

Therefore, the Option D is correct.

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7. Which of the following is NOT a function of money * 3 points A Unit of account B Store of value C Protection against inflation D Medium of exchange

Answers

Answer:

C Protection against inflation

Explanation:

As we know that there are three functions of money i.e.

1. Unit of account

2. Store of value

3. Medium of exchange

There is only 3 functions of money that are shown above

So the protection against inflation would not be considered for the same

And, these 3 would represent the functions of money and can be treated as the unit of account, store of value and the medium of exchange

Hence, the option c is correct

Corporation M has $40,000 of current earnings and profits and $10,000 of accumulated earnings and profit. During the year Corporation M distributes $60,000 to is only shareholder – N. Before the distribution, N has basis in their stock of $100,000. What amount of capital gain income will N recognize related to this distribution?

Answers

Answer:

$40,000

Explanation:

Calculation to determine What amount of capital gain income will N recognize related to this distribution

Using this formula

N Capital gain income=N stock basis- M distribution

Let plug in the formula

N Capital gain income=$100,000-$60,000

N Capital gain income=$40,000

Therefore The amount of capital gain income that N will recognize related to this distribution is $40,000

Jessie purchased land as an investment on January 12, 2015 for $80,000. On January 31, 2020, Jessie sold the land for $33,000 cash. In addition, the purchaser assumed the mortgage of $70,000 on the land. What is the amount of the realized gain or loss on the sale

Answers

Answer:

$23,000 gain

Explanation:

In the given scenario the initial cost of purchase of the land by Jessie was $80,000

She finally sold the land for $33,000 cash and the purchaser also assumed a mortgage of $70,000.

That is a total sale price of 33,000 + 70,000 = $103,000

The gain on this transaction will be 103,000 - 80,000 = $23,000

Since part of the payment is in mortgage the gain is a long term capital gain for Jessie

Joel is the sole shareholder of Manatee Corporation, a C corporation. Because Manatee’s sales have increased significantly over the last several years, Joel has determined that the corporation needs a new distribution warehouse. Joel has asked your advice as to whether (1) Manatee should purchase the warehouse or (2) he should purchase the warehouse and lease it to Manatee. What relevant tax issues will you discuss with Joel?

Answers

Answer:

If Joel purchases the warehouse, he can rent it to the corporation and charge the highest possible rent within reasonable terms. Joel can avoid double taxation and the corporation will be able to deduct rent expense.

Joel is also able to deduct depreciation expenses, real estate taxes, and other costs from his passive income.

As an individual, Joel is taxed differently for capital gains in case he sells the warehouse, and that rate is generally lower than corporate tax rates.

Kierofree Air Tours has the following payroll data for its November 5 pay date:
Nov 5 Wages and salaries expense 522 $199,023.00
Federal withholding tax payable 220 $33,833.91
Social Security tax payable 221 11,442.35
Medicare tax payable 222 2,676.03
401(k) contributions payable 223 6,965.81
Health Insurance payable 224 14,468.97
Union Dues payable 227 4,975.58
Wages and salaries payable 226 ???
How much is the net pay?
a) $199,023.00
b) $185,216.26
c) $142,578.94
d) $124,660.35

Answers

Answer:

a probably as far as I can solve

Your friend Harold is trying to decide whether to buy or lease his next vehicle. He has gathered information about each option but is not sure how to compare the alternatives. Purchasing a new vehicle will cost $28,500, and Harold expects to spend about $700 per year in maintenance costs. He would keep the vehicle for five years and estimates that the salvage value will be $11,300. Alternatively, Harold could lease the same vehicle for five years at a cost of $3,705 per year, including maintenance. Assume a discount rate of 10 percent.
Requirement:
1. Calculate the net present value of Harold’s options. (Future Value of $1, Present Value of $1, Future Value Annuity of $1, Present Value Annuity of $1.) (Use appropriate factor(s) from the tables provided. Negative amounts should be indicated by a minus sign. Round your final answers to 2 decimal places.
2. Advise Harold about which option he should choose.
Lease Option
Purchase Option

Answers

Answer:

$-24,137.14

$-14,044.86

He should choose the lease option

Explanation:

Net present value is the present value of after-tax cash flows from an investment less the amount invested.  

NPV can be calculated using a financial calculator  

Purchase option

Cash flow in year 0 = $-28,500

Cash flow in year 1 - 4 = -700

Cash flow in year 2 = 11,300 - 700 = 10,600

I = 10%

NPV= -24,137.14

Lease option  

Cash flow in year 1 - 5 = 3705

I = 10%

NPV= -14,044.86

the lease option is less expensive and should be chosen

To find the NPV using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.  

3. Press compute  

On January 1, 2021, Ellison Company granted Sam Wine, an employee, an option to buy 1,000 shares of Ellison Co. stock for $30 per share, the option exercisable for 5 years from date of grant. Using a fair value option pricing model, total compensation expense is determined to be $6,000. Wine exercised his option on October 1, 2021 and sold his 1,000 shares on December 1, 2021. Quoted market prices of Ellison Co. stock in 2021 were:

July 1 $30 per share
October 1 $36 per share
December 1 $40 per share

The service period is for three years beginning January 1, 2021. As a result of the option granted to Wine, using the fair value method, Ellison should recognize compensation expense for 2021 on its books in the amount of:________

a. $6,000 21
b. $2,000
c. $1,500
d. $0

Answers

Answer:

b. $2,000

Explanation:

Using a fair value option pricing model, total compensation expense is determined to be $6,000.

The service period is for three years beginning January 1, 2021.

So, Ellison should recognize compensation expense for 2021 on its books in the amount of:

= $6,000 / 3 years

= $2,000.

As a result of the option granted to Wine, using the fair value method, Ellison should recognize $2,000 as compensation expense.

Bindy Crawford created a corporation providing legal services, Skysong, Inc., on July 1, 2022. On July 31 the balance sheet showed: Cash $4,600; Accounts Receivable $7,400; Supplies $730; Equipment $9,900; Accounts Payable $9,100; Common Stock $11,700; and Retained Earnings $1,830. During August the following transactions occurred.
Aug. 1 Collected $1,200 of accounts receivable due from customers.
4 Paid $2,770 cash for accounts payable due.
9 Performed services worth $6,050, of which $3,510 is collected in cash and the balance is due in September.
15 Purchased additional office equipment for $4,180, paying $510 in cash and the balance on account.
19 Paid salaries $1,390, rent for August $760, and advertising expenses $330. 23 Paid a cash dividend of $670.
26 Borrowed $5,700 from American Federal Bank; the money was borrowed on a 4-month note payable.
31 Incurred utility expenses for the month on account $370.
Prepare a tabular analysis of the August transactions beginning with July 31 balances.
Prepare an income statement for August, a retained earnings statement for August and a classified balance sheet at August 31.

Answers

Answer:

Bindy Crawford

1. Tabular Analysis of the August Transactions:

       Cash   Accounts  Supplies  Equipment  Accounts  Common  Retained

                  Receivable                                      Payable                    Earnings

7/31   $4,600  $7,400      $730        $9,900      $9,100    $11,700       $1,830

8/1      +1,200   -1,200

8/4     -2,770                                                        -2,770

8/9     +3,510  +2,540                                                                           +6,050

8/15       -510                                       +4,180     +3,670

8/19   -2,480                                                                                          -2,480

8/23     -670                                                                                             -670

8/26 +5,700                                                      +5,700

8/31      -370                                                                                             -370

8/31  $8,210  $8,740       $730       $14,080  $15,700     $11,700     $4,360

2. Income Statement for the month of August

Service revenue                $6,050

Salaries expense    $1,390

Rent expense              760

Advertising expenses 330

Utility expenses          370   2,850

Net income                        $3,200

3. Retained Earnings Statement for the month of August

Retained earnings, July 31    $1,830

Net income                             3,200

Dividends                                  (670)

Retained earnings, Aug. 31 $4,360

4. Classified Balance Sheet as of August 31

Assets

Current Assets:

Cash                        $8,210

Accounts receivable 8,740

Supplies                       730     $17,680

Long-term Assets:

Equipment                              $14,080

Total assets                            $31,760

Liabilities and Equity

Current liabilities:

Accounts Payable 10,000

Notes Payable        5,700      $15,700

Equity:

Common stock      11,700

Retained earnings 4,360     $16,060

Total liabilities and equity    $31,760

Explanation:

a) Data and Analysis:

8/1 Cash $1,200 Accounts receivable $1,200

8/4 Accounts payable $2,770 Cash $2,770

8/9 Accounts receivable $2,540, Cash $3,510 Service revenue $6,050

8/15 Equipment $4,180 Cash $510 Accounts payable $3,670

8/19 Salaries expense $1,390, Rent expense $760, Advertising expenses $330 Cash $6,150

8/23 Cash dividend $670 Cash $670

8/26 Cash $5,700 Note payable (American Federal Bank) $5,700

8/31 Utility expenses $370 Cash $370

Tabular Analysis of the August Transactions:

       Cash   Accounts  Supplies  Equipment  Accounts  Common  Retained

                  Receivable                                      Payable                    Earnings

7/31   $4,600  $7,400      $730        $9,900      $9,100    $11,700       $1,830

8/1      +1,200   -1,200

8/4     -2,770                                                        -2,770

8/9     +3,510  +2,540                                                                           +6,050

8/15       -510                                       +4,180     +3,670

8/19   -2,480                                                                                          -2,480

8/23     -670                                                                                             -670

8/26 +5,700                                                      +5,700

8/31      -370                                                                                             -370

8/31  $8,210  $8,740       $730       $14,080  $15,700     $11,700     $4,360

Direct Materials Variances
The following data relate to the direct materials cost for the production of 2,100 automobile tires:
Actual: 58,400 lbs. at $1.95 $113,880
Standard: 56,600 lbs. at $2.00 $113,200
a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
Price variance $
Quantity variance $
Total direct materials cost variance $

Answers

Answer and Explanation:

The computation is given below:

We know that

Direct Material Price variance = (Actual Price - Standard Price) × 58400

= ($1.95 - $2) × 58400

= $2,920 Unfavourable

Direct Material Quantity variance = (Standard Quantity - Actual Quantity) ÷ Standard Price

= (56,600 - 58,400) × 2

= $3,600 Unfavourable

and,

Direct Material Cost variance = Standard Cost - Actual Cost

= $113,200 - $113,880

= $680 Unfavourable

A firm with unlimited funds must evaluate five projects. Projects 1 and 2 are independent and Projects 3, 4, and 5 are mutually exclusive. The projects are listed with their returns. A ranking of the projects on the basis of their returns from the best to the worst according to their acceptability to the firm would be ________.

Answers

Answer:

4, 1, 2,

Explanation:

Here are the projects and their returns

Project Return (%)

1 14

2 12

3 10

4 15

5            12

the firm should choose the project with the highest returns

Projects are mutually exclusive if the projects cannot occur at the same time. If one project is chosen, the others cannot be chosen.

Project 3,4,5 are mutually exclusive. If one of the projects are chosen, other projects cannot be chosen.

Project 4 has the highest return, so it would be chosen first.

the next project with the next highest return is project 1 and then project 2

Rebecca wants to start her own hair salon as a side business. In order to do so, she needs to buy a professional hair dryer for $700.00 and hair coloring supplies for $232.00. She believes she will be able to schedule 18 clients in per week. If she wants to begin making a profit at the end of two weeks, how much will each client need to pay Rebecca for their hair

Answers

Answer:$25.89

Explanation:

The amount that each client need to pay Rebecca for their hair in order to make a profit goes thus:

Total cost = $700 + $232 = $932

Number of clients in 2 weeks = 2 × 18 = 36

Therefore, each client will pay:

= $932/36

= $25.89

Do It! Review 11-3a Skysong, Inc. has 2,600 shares of 7%, $130 par value preferred stock outstanding at December 31, 2019. At December 31, 2019, the company declared a $132,000 cash dividend. Determine the dividend paid to preferred stockholders and common stockholders under each of the following scenarios.

Answers

Answer:

1. We have:

Dividend paid to preferred stockholders = $23,660

Dividend paid to common stockholders = $108,340

2. We have:

Dividend paid to preferred stockholders = $23,660

Dividend paid to common stockholders = $108,340

3. We have:

Dividend paid to preferred stockholders = $70,980

Dividend paid to common stockholders = $61,020

Explanation:

1. The preferred stock is noncumulative, and the company has not missed any dividends in previous years.

Dividend paid to preferred stockholders = Number of preferred stock outstanding * Preferred stock par value * Preferred stock = 2,600 * $130 * 7% = $23,660

Dividend paid to common stockholders = Dividend declared - Dividend paid to preferred stockholders = $132,000 - $23,660 = $108,340

2. The preferred stock is noncumulative, and the company did not pay a dividend in each of the two previous years.

Since the preferred stock is noncumulative, the answers are the as in part 1 as follows:

Dividend paid to preferred stockholders = Number of preferred stock outstanding * Preferred stock par value * Preferred stock = 2,600 * $130 * 7% = $23,660

Dividend paid to common stockholders = Dividend declared - Dividend paid to preferred stockholders = $132,000 - $23,660 = $108,340

3. The preferred stock is cumulative, and the company did not pay a dividend in each of the two previous years.

Since the preferred stock is cumulative, this means that the accrued fixed dividends for the two previous years have to be paid together with the current year’s dividend making 3 fixed dividends as follows:

Dividend paid to preferred stockholders = (Number of preferred stock outstanding * Preferred stock par value * Preferred stock) * 3 = (2,600 * $130 * 7%) * 3 = $70,980

Dividend paid to common stockholders = Dividend declared - Dividend paid to preferred stockholders = $132,000 - $70,980 = $61,020

Gallatin County Motors Inc. assembles and sells snowmobile engines. The company began operations on July 1 and operated at 100% of capacity during the first month. The following data summarize the results for July: 1 Sales (38,000 units) $9,500,000.00 2 Production costs (44,000 units): 3 Direct materials $4,400,000.00 4 Direct labor 1,760,000.00 5 Variable factory overhead 1,100,000.00 6 Fixed factory overhead 660,000.00 7,920,000.00 7 Selling and administrative expenses: 8 Variable selling and administrative expenses $1,170,000.00 9 Fixed selling and administrative expenses 200,000.00 1,370,000.00 Required: a. Prepare an income statement according to the absorption costing concept\.\* b. Prepare an income statement according to the variable costing concept\.\* c. What is the reason for the difference in the amount of Operating income reported in (a) and (b)

Answers

Answer:

a.

income statement according to the absorption costing concept.

Sales                                                                  $9,500,000.00

Less Cost of Sales                                           ($6,840,000.00)

Gross Profit                                                       $2,660,000.00

Less Expenses

Variable selling and administrative expenses ($1,170,000.00)

Fixed selling and administrative expenses       ($200,000.00)

Net Income                                                          $1,290,000.00

b.

income statement according to the variable costing concept

Sales                                                                  $9,500,000.00

Less Cost of Sales                                           ($6,270,000.00)

Contribution                                                      $3,230,000.00

Less Expenses

Fixed factory overhead                                      ($660,000.00)

Variable selling and administrative expenses ($1,170,000.00)

Fixed selling and administrative expenses       ($200,000.00)

Net Income                                                          $1,200,000.00

c.

The difference is due to fixed cost included in closing inventory under the absorption costing concept.

Explanation:

Production Cost - Absorption Costing

Direct materials                                $4,400,000.00

Direct labor                                       $1,760,000.00

Variable factory overhead                $1,100,000.00

Fixed factory overhead                      $660,000.00

Total                                                  $7,920,000.00

therefore,

Cost of Sales = 38,000 units/ 44,000 units x $7,920,000.00

                      = $6,840,000

Production Cost - Variable Costing

Direct materials                                $4,400,000.00

Direct labor                                       $1,760,000.00

Variable factory overhead                $1,100,000.00

Total                                                  $7,260,000.00

therefore,

Cost of Sales = 38,000 units/ 44,000 units x $7,260,000.00

                      = $6,270,000

a. Income Statement according to Absorption Costing Concept:

Sales: $9,500,000.00

Cost of Goods Sold:

Direct Materials: $4,400,000.00

Direct Labor: $1,760,000.00

Variable Factory Overhead: $1,100,000.00

Fixed Factory Overhead: $660,000.00

Total Manufacturing Costs: $7,920,000.00

Gross Profit: $1,580,000.00

Selling and Administrative Expenses:

Variable Selling and Administrative Expenses: $1,170,000.00

Fixed Selling and Administrative Expenses: $200,000.00

Total Selling and Administrative Expenses: $1,370,000.00

Operating Income: $210,000.00

b. Income Statement according to Variable Costing Concept:

Sales: $9,500,000.00

Variable Costs:

Direct Materials: $4,400,000.00

Direct Labor: $1,760,000.00

Variable Factory Overhead: $1,100,000.00

Variable Selling and Administrative Expenses: $1,170,000.00

Total Variable Costs: $8,430,000.00

Contribution Margin: $1,070,000.00

Fixed Costs:

Fixed Factory Overhead: $660,000.00

Fixed Selling and Administrative Expenses: $200,000.00

Total Fixed Costs: $860,000.00

Operating Income: $210,000.00

In absorption costing, fixed manufacturing overhead is treated as a product cost and is included in the cost of goods sold. This means that a portion of fixed overhead is allocated to each unit produced, resulting in higher inventory values and a higher cost of goods sold.

In variable costing, fixed manufacturing overhead is treated as a period cost and is not included in the cost of goods sold. It is instead expensed in the period incurred. This means that fixed overhead is only expensed when it is incurred and is not allocated to units in inventory.

Since the number of units produced (44,000 units) exceeded the number of units sold (38,000 units), the fixed overhead allocated to the 6,000 unsold units under absorption costing contributes to the difference in reported operating income between the two methods. In this case, the absorption costing method reports higher operating income due to the allocation of fixed overhead to units in inventory.

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At 60,000 machine hours, Boris Company static budget for variable overhead costs is $180,000. At 60,000 machine hours, the company's static budget for fixed overhead costs is $300,000. Machine hours are the cost driver of all overhead costs. The static budget is based on 60,000 machine hours. At 60,000 machine hours, the company produces 40,000 units. The following data is available:
Actual units produced and sold 42,000
Actual machine hours 64,000
Actual variable overhead costs $185,600
Actual fixed overhead costs $302,400
What is the fixed overhead spending variance?
A) $2,400 Favorable
B) $2,400 Unfavorable
C) $1,000 Unfavorable
D) $1,000 Favorable

Answers

Answer:

$2,400 unfavorable

Explanation:

The computation of the fixed overhead spending variance is shown below;

We know that

fixed overhead spending variance = actual fixed overhead - budgeted fixed overhead

= $302,400 - $300,000

= $2,400 unfavorable

As actual fixed overhead is more than the standard fixed overhead so it should be unfavorable else it is favorable

Bryant Company has a factory machine with a book value of $93,700 and a remaining useful life of 7 years. It can be sold for $34,700. A new machine is available at a cost of $378,500. This machine will have a 7-year useful life with no salvage value. The new machine will lower annual variable manufacturing costs from $605,900 to $457,900. Prepare an analysis showing whether the old machine should be retained or replaced

Answers

Answer:

                                               Retain      Replace     Net income

                                                                                           Increase/Decrease

Variable manufacturing costs    4241300    3205300    1036000

New machine cost                            0           378500     -378500

Sell old machine                                0          -34700         34700

Total                                              4241300   3549100    692,200

Conclusion: The old factory machine should be replaced as its net income is lesser

Workings

Variable manufacturing costs

a. Retain Equipment = 605900*7 =  4241300  

b. Replace Equipment =457900*7 = 3205300

Jasmine owned rental real estate that she sold to her tenant in an installment sale. Jasmine acquired the property in 2008 for $1,840,000; took $644,000 of depreciation on it; and sold it for $1,012,000, receiving $101,200 immediately and the balance (plus interest at a market rate) in equal payments of $91,080 for 10 years. What is the nature of the recognized gain or loss from this transaction?

Answers

Answer:

The nature of recognized gain or loss from this transaction is known as capital gain or loss and its important for the computation of individual income taxes

Explanation:

Given the above information, the gain or loss on sale of real estate is computed as;

Original cost

$1,840,000

Less:

Depreciation

($644,000)

Current value of property

$1,196,000

Less:

Sales value

($1,012,000)

Loss on sale

$184,000

Here, there is loss on sale because sales is less than the present value of the property taken into consideration, hence a capital loss is recognized.

Crane Co. leased equipment to Union Co. on July 1, 2021, and properly recorded the sales-type lease at $144000, the present value of the lease payments discounted at 8%. The first of eight annual lease payments of $21500 due at the beginning of each year of the lease term was received and recorded on July 3, 2021. Crane had purchased the equipment for $113000. What amount of interest revenue from the lease should Crane report in its 2021 income statement

Answers

Answer:

$4,900

Explanation:

Calculation to determine What amount of interest revenue from the lease should Crane report in its 2021 income statement

Interest revenue=8%/2*($144000 - $21500)

interest revenue=4%*$122,500

interest revenue = $4,900.

Therefore the amount of interest revenue from the lease should Crane report in its 2021 income statement is $4,900

Although the Fed has very strong influence over the money supply, it does not have complete control a.Because the Fed has no idea how much reserves will change when it buys or sells securities. b.Because of unpredictable changes in the public's desire to hold cash or borrow and banks' desires to hold reserves or lend. c.Because of unpredictable changes in reserve requirements. d.Because the FOMC meets only twice a year.

Answers

Answer: b. Because of unpredictable changes in the public's desire to hold cash or borrow and banks' desires to hold reserves or lend.

Explanation:

The Fed is able to embark on monetary policy that influences the entire country - and the world to some extent - because they have very strong influence over the money supply of the US$.

This influence is not absolute however because as the old adage goes, "you can lead a horse to water but you can't make him drink". In other words, the Fed can relax(impose) restrictions to make money more(less) available but they cannot force people to borrow(hold) that money.

They can't force banks either to either hold reserves or lend money out because banks are free to impose their own reserve limits on top of those of the Fed.

Every good speaker adapts to the audience. When adapting presentations for intercultural audiences, most people understand that they must make the basic language adaptations; however, more fundamental sensitivity is sometimes needed in relation to organization, speaking conventions, values, and nonverbal communication. When addressing cross-cultural audiences:__________.
a. use first names
b. anticipate differing expectations
c. deliver your main point first
What should you do when adjusting multimedia slides to intercultural audiences?
a. Progress through your slides rapidly.
b. Use a little more text than usual in your slides.
c. Put very little information in your slides.

Answers

Answer: 1. anticipate differing expectations

2. Use a little more text than usual in your slides.

Explanation:

1. Based on the fact that the presentation is for intercultural audiences, it is important for the speaker to anticipate differing expectations. The audience have different values, languages etc and their opinions and expectations may be quite different.

2. During the adjustment of multimedia slides to intercultural audiences, it's important to use a little more text than usual in your slides. This is vital so that the audience can comprehend the message that's being passed across. Progressing through the slides rapidly isn't ideal and there should be detailed information in the slides.

Many employees of a local restaurant suddenly quit and seek other opportunities. What is the most likely explanation for the large number of employees quitting?
A. a developing price war
B. a protest action by the union
C. decrease in positive incentives to work
D. decrease of negative incentives to being unemployed

Answers

Answer:

A. a developing price war

Ramses Corporation produces a product that passes through two processes. During April, the first department transferred 19,000 units to the second department. The cost of the units transferred was $30,000. Material are added uniformly in the second process. The following information is provided about the second department's operations during October:
Units: beginning work-in-process, 4,000
Units: ending work-in-process, 5,500
A) Calculate the number of units started in the second department during April.
B) Calculate the number of units completed in the second department during April.
C) Calculate the number of units started and completed in the second department during April.

Answers

Answer: See explanation

Explanation:

A. The number of units started in the second department during April will be the number of units that is transferred in from the first department. This will be

= 19000 units

B. The number of units completed in the second department during April will be:

= Beginning units + Started Unit - Ending units

= 4000 + 19000 - 5500

= 17500 units

C. The number of units started and completed in the second department during April will be:

= Completed units - units in beginning WIP

= 17500 – 4000

= 13500 units.

You need to earn 6% annul real rate of return and, in addition, you need to keep up with the annual inflation rate. Exactly 4 years ago, the expected inflation rate was 2% per year. At that time, you decided to invest in a 7-year annuity with $20,000 deposited at the end of each year. Now, right after you made the 4th deposit, the expected annual inflation rate for the next 3 years is 3% per year. To keep your investment goal of 6% real annual return and keeping up with the new inflation rate, how much more each year for the last 3 years you will need to deposit in addition to the $20,000 per year to reach that goal?

Answers

Answer:

"4,000" is the appropriate option.

Explanation:

Given:

Real interest rate,

= 6%

Inflation rate,

= 2%

Annual deposit,

= $20,000

Now,

The nominal interest rate will be:

= [tex]Real \ interest \ rate+Inflation \ rate[/tex]

= [tex]6+2[/tex]

= [tex]8[/tex] (%)

As per the annual deposit, I was making,

= [tex]20000\times 0.6[/tex]

= [tex]1200 \ every \ year[/tex]

Inflation rate rise 3% i.e.,

= [tex]2+3[/tex]

= [tex]5[/tex] (%)

Just to earn 1200, I have to:

= [tex]\frac{1200}{0.05}[/tex]

= [tex]24,000[/tex]

Thus the above is the appropriate answer.

Nash Company purchased a computer for $8,160 on January 1, 2019. Straight-line depreciation is used, based on a 5-year life and a $1,020 salvage value. On January 1, 2021, the estimates are revised. Nash now feels the computer will be used until December 31, 2022, when it can be sold for $510. Compute the 2021 depreciation. (Round answer to 0 decimal places, e.g. 45,892.) Depreciation expense, 2021 $

Answers

Answer:

$2,397

Explanation:

Straight line method charges a fixed amount of depreciation

Depreciation Charge = (Cost - Residual Value) ÷ Estimated useful life

therefore,

Annual depreciation charge

2019

Depreciation Charge = $1,428

2020

Depreciation Charge = $1,428

2021

Depreciation Charge = ($8,160 - $1,428 - $1,428 - $510) ÷ 2

                                    = $2,397

therefore,

Depreciation expense, 2021 is $2,397

For this question, use the Grove Analytics Financials. Calculate 2018 cash from financing activities for Grove Analytics. Hint: Remember to capture dividends. Also, remember that stock based compensation expense is a credit to common stock & APIC.
Below is income statement and balance sheet data for Grove Analytics. ($ in millions) Income statement 12/31/2018 Revenue 230 Operating expenses 68 Depreciation 20 Stock based compensation 13 Operating profit 129 Interest expense 5 Taxes 31 Net income 93 Balance sheet 12/31/2017 12/31/2018 Cash 50 Not provided Accounts receivable 20 25 Inventory 15 18 PP&E 30 40 Total assets 115 83 Accounts payable 8 11 Short term debt 20 22 Long term debt 48 60 Treasury stock (30) (40) Common stock & APIC 25 40 Retained earnings 44 95 Total liabilities & equity 115 188

Answers

Answer: -36

Explanation:

The 2018 cash from financing activities for Grove Analytics will be calculated as:

Issued short term debt = 22 - 20 = 2

Add: Issued long term debt = 60 - 48 = 12

Less: Purchase of treasury stock = 10

Add: Issue of common stock = (40 - 13 - 25) = 2

Less: Dividend paid = (44 + 93 - 95) = 42

Net cash used by financing activities = -36

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Answers

Answer:

what this?

Explanation:

thanks for the points have great day im so sorry if  this was suppose to be an educational question

Your child is planning attend summer camp for 3 months, starting 12 months from now. The cost for camp is $2,676 per month, each month, for the 3 months she will attend. If your investments earn 2.3% APR (compounded monthly), how much must you invest each month, starting next month, for 3 months such that your investment will grow to just cover the cost of the camp

Answers

Answer:

Monthly deposit= $2,625.16

Explanation:

Giving the following information:

Total cost= 2,676*3= $8,028

Monthly interest rate0 0.023/12= 0.00192

First, we need to calculate the nominal value required at the end of the third month:

PV= FV / (1 + i)^n

FV= 8,028

i= 0.00192

n= 9 months

PV= 8,028 / (1.00192^9)

PV= $7,890.6

Now, the monthly investment to reach $7,890.6:

FV= {A*[(1+i)^n-1]}/i

A= monthly deposit

Isolating A:

A= (FV*i)/{[(1+i)^n]-1}

A= (7,890.6*0.00192) / [(1.00192^3) - 1]

A= $2,625.16

Question: According to a Honda press release on October 23, 2006, sales of the fuel-efficient four-cylinder Honda Civic rose by 7.1% from 2005 to 2006. Over the same period, according to data from the U.S. Energy Information Administration, the average price of regular gasoline rose from $2.27 per gallon to $2.57 per gallon. Using the midpoint method, calculate the cross-price elasticity of demand between Honda Civics and regular gasoline. According to your estimate of the cross-price elasticity, are the two goods gross complements or gross substitutes

Answers

Answer:i don't know

Explanation:

because im a grade 3

Chahana acquired and placed in service $1,185,000 of equipment on August 1, 2019 for use in her sole proprietorship. The equipment is 5-year recovery property. No other acquisitions are made during the year. Chahana elects to expense the maximum amount under Sec. 179, and bonus depreciation is not applied. Chahana's total deductions for 2019 (including Sec. 179 and depreciation) are:___________.
A) $1,020,000.
B) $237,000.
C) $1.185,000.
D) $1,053,000

Answers

Answer:

D) $1,053,000

Explanation:

Calculation to determine what Chahana's total deductions for 2019 (including Sec. 179 and depreciation) are

Sec 179 immediate expensing $1,020,000

MACRS depreciation:

Add Basis for depreciation $33,000

[($1,185,000 - $1,020,000 Sec. 179) × .20]

Total depreciation $1,053,000

($1,020,000+$33,000)

Therefore Chahana's total deductions for 2019 (including Sec. 179 and depreciation) are:$1,053,000

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