Answer:
$1,075,200
Explanation:
Calculation to determine the net amount expected to be collected of the receivable reported on the financial statements at Dec. 31, 2020
First step is to calculate the Estimated uncollectible
Estimated uncollectible = 4% x $1,120,000
Estimated uncollectible= $44,800
Second step is to calculateThe bad debts expense in 2020
Bad debts expense= $44,800 + $2,010
Bad debts expense = $46,810
Preparation of The adjustment entry:
Debit Bad debts expense $46,810
Credit Allowance for doubtful accounts $46,810
Third step is to calculate the Balances in Allowance for doubtful accounts
Balances in Allowance for doubtful accounts=$46,810-$2010
Balances in Allowance for doubtful accounts=$44,800 credit
Now let calculateThe net amount expected to be collected of the receivables reported on the financial statements at December 31, 2020:
Using this formula
Net amount expected to be collected =Balances in Accounts receivable - Balances in Allowance for doubtful accounts
Let plug in the formula
Net amount expected to be collected = $1,120,000 - $44,800
Net amount expected to be collected = $1,075,200
Therefore the net amount expected to be collected of the receivable reported on the financial statements at Dec. 31, 2020 will be $1,075,200
Laura smiles as her employees file into the meeting room of the small vet clinic for their weekly staff meeting. Laura has owned the clinic for the last 20 years, but next week will be her last week as owner before she retires and her son Matthew and his wife Ayla take over the clinic. During the meeting, her team members provide Laura with status updates on the work they've been doing. Laura learns that her team has successfully completed their current project. The team members have now dispersed to focus on other projects or responsibilities. Which stage of team development does this represent
Answer:
Adjourning
Explanation:
The adjourning is the stage where the team would be disperse when the project is finished
As in the given situation, since Laura's team has completed the project and they are moved to the other responsibilities
So as per the given situation, the team development represent the adjourning stage
hence, the same is relevant and considered too.
Jake Entertainment Corporation has three segments with revenue, operating income, and depreciation and amortization information (in millions) as follows: Segment Revenue Operating Income Depreciation and Amortization Film $5,000 $1,500 $525 Theme Park 1,000 320 112 Video Game 500 175 53 Totals $6,500 $1,995 $690 The EBITDA for the Theme Park segment is
Answer:
EBITDA = $2,685
Explanation:
EBITDA is the acronym for Earnings before interest taxes depreciation and amortization .
EBITDA is a common financial metric which is used to measure the a company's profitability unlike other profitability it is very useful to gauge how much cashflow a company's has. It is the profit earned by a firm before deducting non-cash items and other obligations. It quantifies how much cash is available to settle interest on debt obligations and taxes.
It is computed ad follows:
EBITDA = operating income + depreciation an amortization
= $1,995 + $690= $2,685
EBITDA = $2,685
Research question
Technology ,good or bad has a major impact on the way we do things Explain how technology influences the way we make decisions and do business in the logistics and supply chain arena
Answer:
Technology makes work more agile, safer and facilitates the organizational decision-making process.
Explanation:
Technology is essential in the area of logistics and supply chain in a competitive and globalized business environment, due to the fact that technology enables greater reliability in the processes and an aid in the organizational decision-making process.
Supply chain management with the use of technological systems becomes much more effective, due to the amount of data that such systems are able to store, in the speed of processes, in the monitoring of transport, in increasing the security and reliability of information, and other solutions that make work faster, safer, with less waste and improvement of continuous improvement.
According to the Census Bureau, in October 2016, the average house price in the United States was $27,358. 8 years earlier, the average price was $21,808. What was the annual increase in the price of the average house sold
Answer:
Annual increase in price=3.3%
Explanation:
Using the cumulative average growth formula, we can compute the average annual increase as follows;
Average annual increase =( Recent price/Initial price)^1/(n-1)
Initial price =$27,358. 8
Recent price = $21,808
n=8
Average annual increase= (27,358. 8/21,808)^(1/(8-1))=3.3%
Annual increase in price
Rates and taxes
amount to R 14000
per month, and must
be apportioned in
relation to floor space
(the factory takes up
75% of the total floor
space of the entire
premises
Answer:
The Rates and Taxes:
Factory = R 10,500
Office = R 3,500
Explanation:
a) Data and Calculations:
Total amount for Rates and Taxes = R 14,000
Factory space = 75%
Therefore, office space = 25% (100 - 75%)
Apportionment of the Rates and Taxes for the month:
Factory = R 10,500 (R 14,000 * 75%)
Office = R 3,500 ( R 14,000 * 25%)
b) Each function of the business entity is apportioned a part of the Rates and Taxes according to the size of the floor space they take up. This shows that Rates and Taxes are dependent on floor space.
Raphael's Performance Pizza is a small restaurant in San Diego that sells gluten-free pizzas. Raphael's very tiny kitchen has barely enough room for the four ovens in which his workers bake the pizzas. Raphael signed a lease obligating him to pay the rent for the four ovens for the next year. Because of this, and because Raphael's kitchen cannot fit more than four ovens, Raphael cannot change the number of ovens he uses in his production of pizzas in the short run.
However, Raphael's decision regarding how many workers to use can vary from Raphael lets them know how many workers he needs for each day of the week. week to week because his workers tend to be students. Each Monday,
In the short run, these workers are _________ inputs, and the ovens are ________ inputs.
Answer:
In the short run, these workers are VARIABLE inputs, and the ovens are FIXED inputs.
Explanation:
Workers are variable inputs since Raphael can decide to change the number of employees hired every week or every certain period of time. On the other hand, the number of ovens cannot change immediately since Rapheal would need to move to some other place in order to increase the number of ovens.
Help! I dont have much lime left ;-;
Answer:
Anthropologist - researches and analyzes historical human characteristics
Agricultural Technician - gathers and test materials from plants and animals
Archivist - organizes, maintains and protects documents and records
Statistician - analyzes and explains numerical information
Iona wrote her will. The following year, she wrote another will that expressly revoked the earlier will.Later, while cleaning house, she came across the second will. She mistakenly thought that it was the first will and tore it up because the first will had been revoked. Iona died shortly thereafter.The beneficiaries named in the second will claimed that the second will should be probated.The beneficiaries named in the first will claimed that the second will had been revoked when it was torn up. Had the second will been revoked?
Answer and Explanation:
In the given case, the second will would be destroyed non-intentionally by the testatrix that represent the person who writes the will. Also the second will would have be intended to revoke the first will
In addition to this, Testatrix intends the second will to be value also at the same time she dont want the first will to be probated
So the second will would be upheld because of testamentary motive.
1 points eBookPrintReferencesItem 2 On December 29, year 7, Almond Company granted 100,000 stock options to a group of 100 employees, enabling each employee to buy 1,000 shares for $20 per share. On the grant date, the shares had a market value of $16 per share and the options had a market value of $3.00 per option. The options vest over a 3-year period and become exercisable on January 1, year 11. Almond Company expects that, based on historical turnover, they will lose approximately 3 of the employees receiving the options per year during the vesting period. Compensation expense will be recognized uniformly over the vesting period. How much compensation expense will Almond Company recognize in year 8
Explanation:
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choosing to sell your house
is an example of property rights providing the right for you to
enjoy property
control property
exchange property
own property
Answer:
d. own property
Explanation:
it is not a right to enjoy, control or exchange. but it is your right to own
mention any three differences between bookkeeping and accounting
Answer and Explanation:
The three differences between the bookkeeping and accounting is as follows:
1. The preparation of the financial statements would not be part of this but it should be the part of the accounting
2. The bookkeeping does not required any kind of skill set but in the accounting it require skill set to perform the calculations
3. Bookkeeping does not do any kind of analysis but the accounting perform the analyses, it use the bookkeeping information so that it would help to interpret the data.
All yearly government spending is broken up into two categories; Mandatory spending which is required by law and Discretionary spending which is spending that must be approved each year by Congress.
Mandatory spending is spending that is required by current law. Most federal mandatory spending is in the form of safety net and entitlement programs, including the Food Stamp program, Social Security, Medicaid, and Medicare. Safety net programs represent “transfer payments” by which the government redistributes the income of the taxpayers by collecting taxes and providing services for those less fortunate and who do not provide any type of good or service in return. Entitlement expenditures include Medicaid and Social Security in which money that has been collected from taxpayers is then given back to those that contributed once they reach a certain age or meet other requirements. Other forms of mandatory spending include veterans benefits. For example, being a veteran means that you have already provided a service for which you were guaranteed, by law, certain benefits and payments (salary once you served your term/retirement, college benefits once you served your term, health insurance after you served your term, etc.). Because the law requires that these benefits be paid once the military personnel has served their term, these expenditures are mandatory and are automatically included in the US budget each year. The amount included for these expenditures is based on the number of citizens who “qualify” for these payments whether safety net, entitlement, or veteran benefits. Many other mandatory expenditures fall under the US budget. Over half of the entire US budget is mandatory which means that it cannot be changed without a change to the law.
About one-third of federal spending is Discretionary. This means that while this spending is for programs that are considered necessary to the operation of the US, they must be re-approved each year by Congress through a vote. The largest category of Discretionary spending is National Defense which must be approved each year. Other categories of Discretionary spending include education assistance, Interstate transportation programs, national parks, the Justice / Court system, and science, space, and technology research programs.
An appropriation is an Act which congress passes to approve discretionary spending. For example, one category of spending on education may be mandatory but congress may want to increase spending through an appropriation (or a special vote) which places the extra spending under the discretionary piece of the budget. One example of an appropriation that increased mandatory spending in the US annual budget is that of the Veteran’s Choice program. Veteran’s health benefits are required by law (they have served and part of their payment for serving is free health care after they retire). However, to receive their health benefits veterans have historically been required to utilize specific Doctors and hospitals. This is the law and therefore part of the mandatory budget. However, an appropriation was passed in 2019 which added extra funding to allow veterans to visit any Doctor they chose and be treated at any hospital of their choosing. The funding for this change is part of the discretionary budget and had to be approved by congress.
Questions:
1) Name and define the two types of spending that are included in the US budget each year.
2) What does it mean that mandatory spending is spending required by law? Give an example.
3) How much of the US yearly budget is required by law?
4) Who must vote to approve additional (Discretionary) spending each year?
5) What is the largest category of spending that must be voted on each year?
6) What is appropriation? Give an example.
Answer:
In the decade leading up to the Great Recession, the government kept federal spending below 20% of GDP. It grew no faster than the economy, around 2% to 3% per year. During the recession, spending grew to a record 24.4% of GDP in FY 2009. This increase was due to economic stimulus and two overseas wars.3
Explanation:
At the same time, growth slowed, which reduced tax receipts. Congress worried about the ballooning U.S. debt. No one could agree on how to reduce it. As a result, Congress enacted across-the-board budget cuts, called "sequestration."4 That finally reduced spending to 20.4% of GDP in FY 2015.5
Since then, spending has crept up again despite the sequester. Congress and the president rely on deficit spending to boost economic growth.6 But deficit spending is out of control. It rises each year, even when the economy is doing well.
Suppose people expect inflation to equal 3 percent but in fact, prices have risen by 5%. Describe how this unexpectedly high inflation would help or hurt these individuals?
a. The US government
b. A homeowner with a fixed-rate mortgage
c. Union Worker in the second year of a fixed raise labor contract.
d. A college that has invested some of it endowment in government bonds.
how can gdp per capita and poverty rates indicate standards of living in each system?
Hammes Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During February, the company budgeted for 5,500 units, but its actual level of activity was 5,510 units. The company has provided the following data concerning the formulas to be used in its budgeting: Fixed element per month, Variable element per unit:
Revenue −−−−, $ 43.10
Direct labor $ 0, $ 6.20
Direct materials 0, 15.70
Manufacturing overhead 47,800, 1.40
Selling and administrative expenses 27,300, 0.70
Total expenses $ 75,100, $ 24.00
The activity variance for net operating income in February would be closest to:
A. $191 U
B. $1,651 U
C. $191 F
D. $1,651 F
Answer:
c. $191 Favorable
Explanation:
Flexible budget Planning budget Activity variance
Units produced 5,510 units 5,500 units
Revenue $237,481 $237,050
Total Expenses ($207,340) ($207,100)
Net Operating Income $30,141 $29,950 $191 F
Workings
Flexible budget revenue = 5,510 units*$43.10 = $237,481
Planning budget revenue = 5,500 units*$43.10 = $237,050
Flexible budget expenses = $75,100 + $24*5510 = $207,340
Planning budget expenses = $75,100 + $24*5500 = $207,100
The company is now using only 70% of its normal capacity; it could fully use its normal capacity by processing the assembly further and selling it for $51 per unit. If the company does this, material and labor costs will each increase by $2 per unit and variable overhead will go up by $1 per unit. Fixed costs will increase from the current level of $160,000 to $225,000. Prepare an analysis showing whether Jensen should process the assemblies further.
Use a negative sign with answer to only indicate a loss from processing assemblies further; otherwise do not use negative signs with your answers.
Sell of Process Further Differential Analysis
Differential revenue
Differential costs
Direct material
Direct labor
Variable overhead
Fixed costs
Additional income (loss) from processing further $
Question Completion:
Jensen Manufacturing Company makes a partially completed assembly unit that it sells for $36 per unit. Normally, 42,000 units are sold each year. Variable unit cost data on the assembly are as follows:
Direct material $10
Direct labor 8
Variable manufacturing overhead 4
Answer:
Jensen Manufacturing CompanySell or Process Further Differential AnalysisDifferential revenue $630,000
Differential costs
Direct material -84,000
Direct labor -84,000
Variable overhead -42,000
Fixed costs -65,000
Additional income (loss) from processing further $355,000
Explanation:
a) Data and Calculations:Sell Process Further Difference
Sales price per unit $36 $51 $15
Costs:
Direct material $10 12 2
Direct labor 8 10 2
Variable manufacturing
overhead 4 5 1
Fixed costs $160,000 $225,000 $65,000
Normal annual production and sales = 42,000 units
Differential revenue = $630,000 ($15 * 42,000)
Differential costs:
Differential direct material cost = $84,000 ($2 * 42,000)
Differential direct labor cost = $84,000 ($2 * 42,000)
Differential overhead cost = $42,000 ($1 * 42,000)
Differential fixed cost = $65,000 ($225,000 - $160,000)
Total differential costs = $275,000
b) Jensen Manufacturing should process the assembly units further as it will gain additional $355,000 income by so doing.
A young couple has made a nonrefundable deposit of the first month’s rent (equal to $1,000) on a 6-month apartment lease. The next day they find a different apartment that they like just as well, but its monthly rent is only $900. They plan to be in the apartment only 6 months. Should they switch to the new apartment? What if they plan to stay 1 year? Assume an interest rate of 12%
Answer:
Should they switch to the new apartment? If they plan to stay 6 months.
No, since the difference in rent is too small and it is simply not worth it.
If they were planning to saty in teh new apartment for 1 year, they would need to find the epresent value of the difference between one apartment and the other = $100 x 11.255 (PVIFA, 1%, 12 peridos) = $1,125.50. This amount is higher than the initial deposit, so they should choose the other apartment.
The major advantage of margin trading is the
Answer:
The appropriate response is "Margin trading can influence a far bigger place".
Explanation:
The given topic Trading on margins offers shareholders not just the possibility of taking more opportunities unlike average, and perhaps moreover versatility for purchasing many more securities.Whilst also investing even from one's dealer, clients can leverage a far bigger role and use only existing leverages.What time of the year does tax day always occur in the US
Answer:
Around April 15th!
Explanation:
Every year except this year has been April 15th! But since CO VID- 19 hit the IRS pushed it back until May 17th! Hope this helps! Plz mark as brainliest!
Answer:
the date is usually on or around April 15
The calculation of WACC involves calculating the weighted average of the required rates of return on debt, preferred stock, and common equity, where the weights equal the percentage of each type of financing in the firm’s overall capital structure. is the symbol that represents the before-tax cost of debt in the weighted average cost of capital (WACC) equation. Mitchell Co. has $2.3 million of debt, $2.5 million of preferred stock, and $1.8 million of common equity. What would be its weight on preferred stock?
Answer:
37.88 %
Explanation:
The weight on preferred stock mean, what percentage out of the Total Market Value of the Sources of Capital pooled together is taken by Preferred Stock.
Weight on preferred stock = Market Value of Preferred Stock / Total Market Value of Sources of Capital x 100
where,
Market Value of Preferred Stock = $2.5 million
and
Total Market Value of Sources of Capital :
Debt $2.3 million
Preferred Stock $2.5 million
Common Equity $1.8 million
Total $6.6 million
therefore,
Weight on preferred stock = $2.5 million / $6.6 million x 100 = 37.88 %
Finishing Touches has two classes of stock authorized: 7%, $10 par preferred, and $1 par value common. The following transactions affect stockholders' equity during 2021, its first year of operations: January 2 Issues 100,000 shares of common stock for $24 per share. February 6 Issues 1,900 shares of 7% preferred stock for $13 per share. September 10 Purchases 12,000 shares of its own common stock for $29 per share. December 15 Resells 6,000 shares of treasury stock at $34 per share. In its first year of operations, Finishing Touches has net income of $149,000 and pays dividends at the end of the year of $94,000 ($1 per share) on all common shares outstanding and $1,330 on all preferred shares
Required:
Prepare the stockholders' equity section of the balance sheet for Finishing Touches as of December 31, 2018. (Amounts to be deducted should be indicated by a minus sign.)
Answer:
Total Stockholders' Equity = $2,334,370
Explanation:
Note: See the attached excel file for the stockholders' equity section of the balance sheet for Finishing Touches as of December 31, 2018 with all the formulae used.
In the attached excel file, the retained earnings is calculated as follows:
Retained earnings = Net income – Common dividends - Preferred dividends = $149,000 - $94,000 - $1,330) = $53,670
From the attached excel file, we have:
Total Stockholders' Equity = $2,334,370
Presented below are partial October, November, and December cash budgets for Holidays Events. Loans are obtained in increments of $1,000 at the start of each month to maintain a minimum end-of-month balance of $12,000. Interest is one percent simple interest (no compounding) per month, payable when the loan is repaid. Repayments are made as soon as possible, subject to the minimum end-of-month balance.
Required:
Complete the short-term financing section of the cash budget and all missing figures
October November December Total
Cash balance, beginning $24,0005
Collection on sales 36,000 41,000 81,000
Cash available for operations
Disbursements for operations (51,000) (61,000) (40,000)
Ending cash before borrowings or replacements
Short-term finance:
New loans
Repayments
Interest
Cash balance, ending
Answer:
Holidays EventsCash Budget
October November December Total
Cash balance, beginning $24,000 $12,000 $12,000 $24,000
Collection on sales 36,000 41,000 81,000 158,000
Cash available for operations $60,000 $53,000 $93,000 $182,000
Disbursements for operations (51,000) (61,000) (40,000) (152,000)
Ending cash before borrowings
or repayments $9,000 ($8,000) $53,000 $30,000
Short-term finance:
New loans 3,000 20,000 23,000
Repayments (23,260) (23,260)
Interest 30 230 0
Cash balance, ending $12,000 $12,000 $29,740 $29,740
Explanation:
a) Data and Calculations;
Loans obtained in increments of $1,000
Minimum end-of-month balance = $12,000
Simple Interest rate = 1% per month
Cash Budget
October November December Total
Cash balance, beginning $24,000 $12,000 $12,000 $24,000
Collection on sales 36,000 41,000 81,000 158,000
Cash available for operations $60,000 $53,000 $93,000 $182,000
Disbursements for operations (51,000) (61,000) (40,000) (152,000)
Ending cash before borrowings
or repayments
Short-term finance:
New loans
Repayments
Interest
Cash balance, ending
b) Holidays' Cash Budget is a Schedule that estimates the cash inflows and outflows during a period of its financial cycle. The purpose of preparing one is to determine availability of cash for continuing operational activities. In addition, the Cash Budget shows when Holidays needs to borrow cash to continue operations. Excess cash is also determined from the Cash Budget for investment purposes.
interest cost (the increase in pension costs due to the passage of time), the expected return on plan assets (the amount that managers anticipate they will earn on the plan's investments), and other costs were all reflected in operating income. Under the new rules (which are now in effect), service costs will be reported as an operating cost and all the other pension costs and any expected returns will be reported as non-operating items. What will be the change in operating income for GM
Answer:
The change in operating income for GM is that the operating income will increase by the amount of other pension costs less expected returns.
However, this change will not affect the net income, as all the items will still be accounted for, accordingly.
Explanation:
GM's pension service cost is the present value of the amount that the GM is required by law to set aside annually to meet its employees' pension-benefits obligations. The reason for the separation is that the service cost is a compensation cost, whereas other pension costs are financial costs and not compensation costs. By this separation, the operating income of GM will increase.
As the owner of La Boulangerie Bakery in Baton Rouge, Louisiana, you have a devoted clientele savoring your delicacies. Your salty caramel cupcakes offer an irresistible salty-sweet flavor combination using fleur de sel crystals hand harvested from the pristine seas off Brittany, France. Although your cupcakes are a trendy hit, you also feature delicious cakes, squares, cookies, and breads. Your bakery has a medium-sized storefront; however, most of your business comes from supplying local restaurants and coffee shops with your tantalizing treats. You own two trucks that make deliveries to customers throughout the Baton Rouge metropolitan area.
Although La Boulangerie is financially successful, rising costs have severely undercut your profits over the past few months. You know that you are not the only business owner dealing with rising prices. Many of your suppliers have raised their prices over the past year. Specifically, the higher prices of wheat and sugar have resulted in a drastic increase in your production costs. Previously, you did not charge for deliveries made to your wholesale clients. However, you now feel that you have no choice but to add a delivery charge for each order to cover your increased costs and the rising price of gas.
Required:
As the owner of La Boulangerie Bakery, write a letter to your wholesale clients in which you announce a $20 charge per delivery. Try to think of a special offer to soften the blow.
Answer:
La Boulangerie Bakery,
Baton Rouge,
Louisiana, U.S.A
25th April, 2021
Dear esteemed customers,
I bring to you an unpalatable news about the changes that would be initiated in our business approach to our customers.
As you can bear witness to, there has been a drastic increase in the cost of doing business in our industry with the notable changes being in the wheat used in producing our confectioneries, the sugar as well as the rising cost of transportation to various customers' locations.
Taking this into account, our company decided to introduce a flat rate delivery cost of $20 irrespective of the location of our customers. This would help us to minimize our production cost. Inorder to also consider our customers, there is a free 20 pieces cake (box) offered to every customer who buys 50 box of each product. This means, 50 box of cupcakes earns you one box free, 100 box cupcake purchase earns you 2 free boxes.
I do hope you would understand our challenges as a company and bear with us regarding to this delivery charge introduction.
Sincerely,
Maris Albert (For the company)
Explanation:
You currently own 900 shares of JKL which is an all-equity firm with 250,000 shares of stock outstanding at a market price of $40 a share. The company's earnings before interest and taxes are $120,000. JKL has decided to issue $1 million of debt at 6.5 percent interest and use the proceeds to repurchase shares of stock. How many shares of JKL stock must you sell to unlever your position if you can loan out funds at 6.5 percent interest
Answer:
90 shares
Explanation:
Calculation to determine How many shares of JKL stock must you sell to unlever your position if you can loan out funds at 6.5 percent interest
First step is to calculate Your initial investment
Your initial investment = 900 x $40
Your initial investment = $36,000
Second step is to calculate JKL value of stock
JKL value of stock = [250,000 - ($1M/$40)] x $40 JKL value of stock = $9M
Third step is to calculate JKL Total value
Value of Debt = 1M
JKL Total value = 9M + 1M
JKL Total value = 10M
Fourth Step is to calculate You new stock position
JKL Wight Stock = 9M/10M = 9/10
You new stock position = [9/10($36,000)]/10
You new stock position= $32,400/40
You new stock position=810 shares
Now let calculate the Number shares sold
Number shares sold = 900 Shares - 810 Shares
Number shares sold = 90 shares
Therefore the numbers or shares of JKL stock that must you sell to unlever your position if you can loan out funds at 6.5 percent interest is 90 shares
A company's current assets are $30000 and current liabilities are $19000. Calculate the company's current ratio as a percentage. Does the company have enough assets to pay its liabilities?
Answer:
Current Ratio (in %) = 157.89473684211% rounded off to 157.89%
The current ratio of 157.89% means that the company has 157.89% of current assets to pay off 100% or all of its current liabilities. To understand it better, we can say that to pay off every $1 of current liability, the company has $1.5789 of current assets. Thus, the company has enough current assets to pay off its current liabilities.
Explanation:
The current ratio is a measure of liquidity of a business. It is calculated by dividing the current assets by the current liabilities of the company. To express current ratio in a percentage form, we use the following formula,
Current Ratio (in %) = [Current Assets / Current Liabilities] * 100
Current Ratio (in %) = [30000 / 19000] * 100
Current Ratio (in %) = 157.89473684211% rounded off to 157.89%
Answer:
Part 1
1.58
Part 2
the company does not have enough assets to pay its liabilities.
Explanation:
Current ratio = Current Assets ÷ Current Liabilities
therefore,
Current ratio = $30000 ÷ $19000 = 1.58
conclusion
A current ratio of above 2.0 is usually preferred, therefore the company does not have enough assets to pay its liabilities.
How can life expectancy and literacy rates affect the quality of labor in the economy?
Answer:
Healthier and better educated labor force = more productive and inventive.
The before-tax income for Lonnie Holdiman Co. for 2020 was $101,000 and $77,400 for 2021. However, the accountant noted that the following errors had been made: 1. Sales for 2020 included amounts of $38,200 which had been received in cash during 2020, but for which the related products were delivered in 2021. Title did not pass to the purchaser until 2021. 2. The inventory on December 31, 2020, was understated by $8,640. 3. The bookkeeper in recording interest expense for both 2020 and 2021 on bonds payable made the following entry on an annual basis. Interest Expense 15,000 Cash 15,000 The bonds have a face value of $250,000 and pay a stated interest rate of 6%. They were issued at a discount of $15,000 on January 1, 2017, to yield an effective-interest rate of 7%. (Assume that the effective-yield method should be used.) 4. Ordinary repairs to equipment had been erroneously charged to the Equipment account during 2017 and 2018. Repairs in the amount of $8,500 in 2017 and $9,400 in 2018 were so charged. The company applies a rate of 10% to the balance in the Equipment account at the end of the year in its determination of depreciation charges.
Required:
Prepare a schedule showing the determination of corrected income before taxes for 2017 and 2018.
Answer:
Lonnie Holdiman Co.
A Schedule showing the determination of the corrected income before taxes for 2020 and 2021:
2020 2021
Before-tax income $101,000 $77,400
1. Excess Sales revenue (38,200) 38,200
2. December 31, 2020 Inventory understated 8,640 (8,640)
3. Amortized bonds discount not expensed (1,776) (1,901)
4. Equipment repairs not expensed (8,500) (9,400)
5. Overstated depreciation from capitalized
Equipment repairs 850 940
Corrected income before taxes $62,014 $96,599
Explanation:
a) Data and Calculations:
Before-tax income for 2020 = $101,000
Before-tax income for 2021 = $77,400
1. 2020 Sales Revenue $38,200; 2021 Sales Revenue $38,200
2. 2020 Understated inventory $8,640; 2021 Understated inventory $8,640
3. 2020 Unstated bonds interest expense $1,776
2021 Unstated bonds interest expense $1,901
4. 2020 Unstated equipment repairs $8,500 Overstated Equipment account $8,500
2021 Unstated equipment repairs $9,400 Overstated Equipment account $9,400
2020 Overstated Depreciation expense $850
2021 Overstated Depreciation expense $940.
Bonds Calculations:
Bonds outstanding value:
Bond's face value = $250,000
Discount = 15,000
Proceeds from bonds = $235,000
Bonds coupon payment = $15,000 ($250,000 * 6%)
Bonds Interest expense = $16,450 ($235,000 * 7%)
Amortized discount = $1,450
December 31, 2017:
Bonds coupon payment = $15,000 ($250,000 * 6%)
Bonds Interest expense = $16,450 ($235,000 * 7%)
Amortized discount = $1,450 ($16,450 - $15,000)
Outstanding value = $236,450 ($235,000 + 1,450)
December 31, 2018:
Bonds coupon payment = $15,000 ($250,000 * 6%)
Bonds Interest expense = $16,552 ($236,450 * 7%)
Amortized discount = $1,552 ($16,552 - $15,000)
Outstanding value = $238,002 ($236,450 + 1,552)
December 31, 2019:
Bonds coupon payment = $15,000 ($250,000 * 6%)
Bonds Interest expense = $16,660 ($238,002 * 7%)
Amortized discount = $1,660 ($16,660 - $15,000)
Outstanding value = $239,662 ($238,002 + 1,660)
December 31, 2020:
Bonds coupon payment = $15,000 ($250,000 * 6%)
Bonds Interest expense = $16,776 ($239,662 * 7%)
Amortized discount = $1,776 ($16,776 - $15,000)
Outstanding value = $241,438 ($239,662 + 1,776)
December 31, 2021:
Bonds coupon payment = $15,000 ($250,000 * 6%)
Bonds Interest expense = $16,901 ($241,438 * 7%)
Amortized discount = $1,901 ($16,901 - $15,000)
Outstanding value = $243,339 ($241,438 + 1,901)
Depreciation on Capitalized Equipment Repairs:
Excess depreciation expense:
2020 = $850 ($8,500 * 10%)
2021 = $940 ($9,400 * 10%)
Question 8
The economic theory of scarcity states that because resources are limited, people have to do which of the following?
А
make choices
B
borrow money
С
share with others
D
pay taxes
Answer:
A
Explanation:
people have to make choice due to limited (opportunity cost)
The economic theory of scarcity states that because resources are limited, people have to make choice. Option (a) is correct.
What do you mean by Scarcity?One of the fundamental ideas in economics is scarcity. It indicates that there is a gap between the supply and demand for an item or service. As a result, scarcity may restrict the options available to consumers, who in the end drive the economy.
An economic theory that describes the price link between dynamic supply and demand is the scarcity principle. The scarcity principle states that when an item has a low supply and a high demand, its price rises to accommodate the anticipated demand.
Economic scarcity is primarily caused by structural, supply- and demand-induced factors. Demand-induced refers to situations where demand increases despite a stable supply.
Therefore, Option (a) is correct. The economic theory of scarcity states that because resources are limited, people have to make choice.
Learn more about Scarcity, here;
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Select the examples that best demonstrate likely tasks for Transportation Systems/Infrastructure Planning, Management, and Regulation workers. Check all that apply.
Tanya sells airplane tickets to customers.
Stefan repairs bus engines that aren’t working properly.
Fletcher gathers and analyzes information about traffic accidents at an intersection.
Heidi sells vehicle parts to repair shops.
Jay inspects the cargo being loaded onto a ship.
Edie explains the goals of a transportation project to members of the community.
Answer:
C,E,F
Explanation:
Edge 2021
Answer:
C, E, F
Explanation:
Its correct i did it