Answer: Sales
Explanation:
Vertical analysis is referred to as a form of financial statement analysis where the items that are shown in the financial statement is written as a percent of a base figure.
It is also known as common-size analysis. It should be noted that when one is using the vertical analysis, the income statement accounts are being expressed as a percentage of sales while the balance sheet accounts are been expressed as a percentage of the total assets.
A job was budgeted to require 3 hours of labor per unit at $8.00 per hour. The job consisted of 7,100 units and was completed in 19,300 hours at a total labor cost of $172,800. What is the total labor cost variance?
Answer:
$2,400 unfavorable
Explanation:
Given that;
Time = 3 hours
Cost of labor = $8 per hour
Number of units = 7,100
Total actual labor cost = $172,800
Standard labor cost = 7,100 × 3 × $8 = $170,400
Total labor cost variance = Standard labor cost - Actual labor cost variance
Total labor cost variance = $170,400 - $172,800
Total labor cost variance = -$2,400
The negative sign here means that it is unfavorable, hence total labor cost variance is $2,400 unfavorable
If an elevator in a large building malfunctions, the owners may ask someone from the Maintenance/Operations pathway of the Architecture and Construction career cluster to look at it.
true or false
Why is it important to demonstrate a positive work attitude in the workplace?
to be seen as trustworthy and reliable
to be seen as coachable and flexible
to be seen as willing to delegate tasks
to be seen as easily persuadable
Answer:
To be seen as trustworthy and reliable
Explanation:
Cause in a working environment, you want to be known as a trustworthy, and reliable worker. Which allows you to have much more career possibilitties.
Answer:
A. to be seen as trustworthy and reliable
Explanation:
i just took the test
Ken consumes two goods, Sprite and potato chips. Sprite costs $1 per can, and he consumes it to the point where the marginal utility he receives from his last Sprite is 3. Potato chips cost $2 per bag, and the relationship between the marginal utility he gets from eating a bag of potato chips and the number of bags he eats per month is as follows:
Bags of Potato chips 1 2 3 4 5 6
Marginal utility 30 20 12 6 2 0
Required:
If Ken is maximizing his utility, how much does he spend on potato chips each month?
a. $2
b. $6
c. $8
d. $10
e. $12
Answer:
The correct option is c. $8.
Explanation:
Ken will maximize utility where the following equation holds:
MU of Sprite / Price of Sprite = MU of potato chips / Price of potato chips ................. (1)
Where;
MU of Sprite = Marginal utility of Sprite = 3
Price of Sprite = $1 per can
From the table in the question, equation (1) holds at the point where Marginal utility of potato chips is 6 since the Potato chips cost $2 per bag.
Substituting the values into equation (1), we have:
MU of Sprite / Price of Sprite = MU of potato chips / Price of potato chips => 3 / 1 = 6 / 2 = 3
Since when the marginal utility of potato chips that maximizes utility is 6, Ken consumes 4 Bags of Potato chips monthly and pays $2 per bag at this point, the amount he spends on potato chips each month can be calculated as follows:
Amount spent on potato monthly = Number of bags of Potato chips consumed monthly * Cost of potato chips per bag = 4 * $2 = $8
Therefore, the correct option is c. $8.
A store uses the newsvendor model to manage its inventory. Demand for its product is normally distributed with a mean of 500 and a standard deviation of 300. Store A purchases the product for $10 each unit and sells each for $25. Inventory is salvaged for $5. What is the optimal quantity the store should order of its product
Answer:
702.20
Explanation:
Optimal order quantity Q = D+ z σ
Where D is the average demand = 500 units
And σ is the standard deviation of demand = 300
Cu = Cost of stock-out (underestimation) = Selling price – unit cost = $25 -$10 = $15
Co = Cost of excess inventory (overestimation) = Unit cost – Salvage Value = $10 – $5 = $5
Therefore Service level = Cu / (Cu + Co)
= $15/ ($15 + $5)
= 0.75 or 75%
For service level 75% the Z value = 0.674
Therefore, Q = 500+0.674*300 = 702.20
Kunze Corporation has $1 par value Common Stock with 100,000 shares authorized and 25,000 shares issued. The journal entry to record Kunze's purchase of 10,000 shares of common stock at $4 per share would be:
Answer and Explanation:
The journal entry to record the purchase of common stock is as follows:
Treasury stock (10,000 shares × $4 per share) $40,000
To cash $40,000
(being the purchase of common stock is recorded)
Here treasury stock is debited as it reduced the stockholder equity and the cash is credited as it also decreased the assets
Over the life of a firm, the capital invested in the firm by the shareholders plus the income of the firm will reflect:
Answer:
the value of the firm to shareholders
Explanation:
The firm value to the shareholders means the value in terms of the capital invested in the firm by the shareholders and the firm income
In equation form
Firm value to the shareholders = Capital invested + firm income
Therefore the second option is correct
Hence, the same is to be considered
And all the other options are incorrect
Koovuq131 is a division of a large corporation. Data concerning the most recent period appears below:
Sales $18,120,000
Net operating income $1,177,800
Average operating assets $4,450,000
What is Koovuq131's margin (closest to)?
Answer:
0.065
Explanation:
Koovuq131 has sales of $18,120,000
The net operating income is $1,177,800
The average operating assets is $4,450,000
Therefore the margin can be calculated as follows
= Net operating income/sales
= 1,177,800/18,120,000
= 0.065
Hence the margin is closest to 0.065
Trident Office is considering remodeling the office building it leases to Robert Roberts, CPA. The remodeling costs are estimated at $225,000. If the building is remodeled, Robert Roberts, CPA has agreed to pay an additional $75,000 per year in rent for the next five years. The discount rate is 10 percent. What is the benefit of the remodeling project to Professional Properties
Answer:
$59,309
Explanation:
Years Cash flow PV Factor at 10% Present value of cash flows
0 225,000 1.00000 225,000
1 75,000 0.90909 68,182
2 75,000 0.82645 61,983
3 75,000 0.75131 56,349
4 75,000 0.68301 51,226
5 75,000 0.62092 46,569
Benefit of remodeling project $59,309
Note: Year 0 PV factor = 1/(1+10%)^0 = 1
A firm has market power if it can a. maximize profits. b. minimize costs. c. influence the market price of the good it sells. d. hire as many workers as it needs at the prevailing wage rate.
Answer:
Option C: Influence the market price of the good as it sells
Explanation:
Market Power is simply when a firm is able to raise price above the equilibrium level by not and without losing all of its customers. It depends on largely on the closeness of substiutes.
A firm has market power if it can Influence the market price of the good as it sells to its customer and can regulate it when necessary.
What type of special title insurance policy covers the possibility of a mechanic's lien have priority over a mortgage or deed of trust
Answer:
Depending on the state this type of coverage is called slightly different names. E.g. in Colorado, this type of coverage in included under Comprehensive Coverage. In other states it is simply called Mechanic's Lien Coverage. Most title insurance companies that are registered in ALTA (American Land Title Association) offer some type of mechanic's lien coverage since it is one of the most common sources of litigation regarding real estate.
Mechanic's liens have priority over other types of liens and they are retroactive to the moment when the construction process began. E.g. the contractor started working on January 2, 2020, and decides to file a claim due to unpaid services on November. So the mechanic's lien is retroactive to January 2, 2020. If a mortgage was recorded on June, the mechanic's lien will have priority even though it was recorded at a later date.
Carlos bought a building (AB) for $113,000 in 2014. He added an leasehold improvements addition to the building for $26,000. In 2018, he sold (SP) it for $212,000. What was his long-term capital gain (LTCG) (ignore depreciation
Answer:
Long-term capital gain = $73,000
Explanation:
The long-term capital gain (LTCG) can be calculated using the following formula:
Long-term capital gain = Selling price - Cost of acquisition - Cost of improvement .............. (1)
Where;
Selling price = $212,000
Cost of acquisition = $113,000
Cost of improvement = $26,000
Substituting the values into equation (1), we have:
Long-term capital gain = $212,000 - $113,000 - $26,000 = $73,000
Note:
Since no information on cost inflation index is given in the question, that implies that there is no need to use indexed cost of acquisition and indexed cost of improvement in our calculation. Therefore, the Cost of acquisition and Cost of improvement has to be used as given in the question.
A trial balance before adjustment included the following: Debit Credit Accounts receivable $120,000 Allowance for doubtful accounts 730 Sales $510,000 Sales returns and allowances 8,000 Give journal entries assuming that the estimate of uncollectibles is determined by taking (1) 5% of gross accounts receivable and (2) 1% of net sales.
Answer and Explanation:
The journal entries are as follows:
a. Allowance for doubtful debts Dr. $5,270 ($120,000 × 5% - $730)
To Accounts Receivables $5,270
(Being allowance for doubtful debts is recorded)
Here the allowance for doubtful debt is debited as it increased the assets and credited the account receivable as it decreased the assets
2. Allowance for doubtful debts Dr. $4,290 ($510,000 × 1% - $730)
To Accounts Receivables $4,290
(Being allowance for doubtful debts is recorded)
Here the allowance for doubtful debt is debited as it increased the assets and credited the account receivable as it decreased the assets
Consider Amanda and Zelda. They both will save $6,000 per year until they retire at age 70. Amanda and Zelda, however, will start saving at different ages. Amanda will start saving when she is 30 years old. Zelda will start saving when she is 50 years old. Assuming the interest rate each year is 8%, how much money will the first year of savings amount to when they retire
Answer:
Total FV= $1,828,910.9
Explanation:
Giving the following information:
Amanda:
Annual deposit= $6,000
Number of periods= 40 years
Interest rate= 8%
Zelda:
Annual deposit= $6,000
Number of periods= 20 years
Interest rate= 8%
To calculate the future value, we need to use the following formula:
FV= {A*[(1+i)^n-1]}/i
A= annual deposit
Amanda:
FV= {6,000*[(1.08^40) - 1]} / 0.08
FV= $1,554,339.11
Zelda:
FV= {6,000*[(1.08^20) - 1]} / 0.08
FV= $274,571.79
Total FV= $1,828,910.9
Your Aunt Ruth has $540,000 invested at 6.5%, and she plans to retire. She wants to withdraw $40,000 at the beginning of each year, starting immediately. How many years will it take to exhaust her funds, i.e., run the account down to zero
Answer:
It will take 28 years for Aunt Ruth to exhaust her funds.
Explanation:
This can be calculated using the formula for calculating the present value (PV) of annuity due given as follows:
PV = P * ((1 - [1 / (1 + r))^n) / r) * (1 + r) .................................. (1)
Where;
PV = Present value or amount invested = $540,000
P = Monthly withdraw = $40,000
r = interest rate = 6.5%, or 0.065
n = number of years = ?
Substitute the values into equation (1) and solve for n, we have:
540,000 = 40,000 * ((1 - (1 / (1 + 0.065))^n) / 0.065) * (1 + 0.065)
540,000 / 40,000 = ((1 - (1 / 1.065)^n) / 0.065) * 1.065
13.50 = ((1 - 0.938967136150235^n) / 0.065) * 1.065
13.50 / 1.065 = (1 - 0.938967136150235^n) / 0.065
12.6760563380282 = (1 - 0.938967136150235^n) / 0.065
12.6760563380282 * 0.065 = 1 - 0.938967136150235^n
0.823943661971833 = 1 - 0.938967136150235^n
0.938967136150235^n = 1 - 0.823943661971833
0.938967136150235^n = 0.176056338028167
Log linearizing, we have:
n log0.938967136150235 = log0.176056338028167
n = log0.176056338028167 / log0.938967136150235
n = -0.754348335711024 / -0.0273496077747565
n = 27.5816875299865
Rounding to a whole number, we have:
n = 28
Therefore, it will take 28 years for Aunt Ruth to exhaust her funds.
A project begins in January 2014; it is to be completed in October 2016. The contract price is $3,900 and the estimated total cost of the project is $3,000. Additional data for the project is provided below:
2014 2015 2016
Costs Incurred To Date $300 $2,400 $4,200
Estimated cost to Complete 2,700 1,600
Estimated Total Cost $3,000 $4,000 $4,200
Percentage of completion [PC]= (Costs incurred to date)/(Estimated total cost)
Required:
Compute the gross profit/loss recognized for each year under the PC method.
Answer:
The Gross profit/loss recognized for each year under the PC method:
2014 2015 2016
Gross profit(loss) $90 $240 ($630)
Explanation:
a) Data and Calculations:
Project's contract price = $3,900
Estimated total cost of the project = $3,000
2014 2015 2016
Costs Incurred To Date $300 $2,400 $4,200
Estimated cost to Complete 2,700 1,600 0
Estimated Total Cost $3,000 $4,000 $4,200
Percentage of completion [PC]= (Costs incurred to date)/(Estimated total cost)
2014 2015 2016
Percentage of completion: $300/$3,000 $2,400/$4,000
Percentage of completion: 10% 60% 30% (100 - 70)
Revenue Allocation: 2014 2015 2016 Total
2014 $390 (10% of $3,900) $390 $390
2015 $2,340 (60% of $3,900) $2,340 $2,340
2016 $1,170 (30% of $3,900) $1,170 $1,170
Total Revenue $3,900
Actual costs incurred ($300) ($2,100) ($1,800) ($4,200)
Gross profit $90 $240 ($630) ($300)
The adjusted tabular summary of Warbocks Corporation at December 31, 2022 includes the following accounts: Retained Earnings $12,600; Dividends $5,000; Service Revenue $30,000; Salaries and Wages Expense $15,000; Insurance Expense $2,000; Rent Expense $4,500; Supplies Expense $500; and Depreciation Expense $1,000. Prepare a retained earnings statement for the year.
Answer:
First calculate Net Income;
= Service revenue - Salaries and Wages Expense - Insurance Expense - Rent Expense - Supplies Expense - Depreciation Expense
= 30,000 - 15,000 - 2,000 - 4,500 - 500 - 1,000
= $7,000
Statement of Retained Earnings
Beginning Balance $12,600
Add: Net Income $ 7,000
$19,600
Less: Dividends $5,000
Closing Balance $14,600
Novak Corp. had accounts receivable of $140,000 on January 1, 2022. The only transactions that affected accounts receivable during 2022 were net credit sales of $3,795,000, cash collections of $3,725,000, and accounts written off of $20,000.
Required:
a. Compute the ending balance of accounts receivable.
b. Compute the accounts receivable turnover for 2016.
c. Compute the average collection period in days.
Answer:
a $210,000
b 21.69 times
c 16.83 average days
Explanation:
a. The ending balance of accounts receivable
= Accounts receivables at the beginning - Cash collections + Net Credit sales
Given that;
Accounts receivables at the beginning = $140,000
Cash collections = $3,725,000
Net Credit sales = $3,795,000
Ending balance of accounts receivable
= $140,000 + $3,795,000 - $3,725,000
= $210,000
b. Compute the accounts receivable turnover
= Net credit sales + [(Beginning account receivable + Ending account receivable) / 2]
= $3,795,000 ÷ [ ($140,000 + $210,000)/2]
= $3,795,000 ÷ $175,000
= 21.69 times
c. Compute the average collection period
= Average accounts receivable ÷ [Annual sales ÷ 365]
= $175,000 ÷ ($3,795,000 ÷ 365)
= $175,000 ÷ $10,397
= 16.83 average days to collect receivables
A company has 46,000 shares of common stock outstanding. The stockholders' equity applicable to common shares is $554,300, and the par value per common share is $10. The book value per share is:
Multiple Choice
$0.08.
$2.05.
$55.43.
$12.05.
$10.00.
Answer:
$10.00
Explanation:
For the following statement/questions match the assertion that best matches: When auditing the following accounts identify what auditors are primarily concerned with:
a. Revune
b. Assests
c. Liabilities
d. Expenses
1. Overstatments
2. Understatments
Answer:
When auditing the following accounts, auditors are primarily concerned with:
Accounts Assertions
a. Revenue Overstatements
b. Assets Overstatements
c. Liabilities Understatements
d. Expenses Understatements
Explanation:
Auditors are generally concerned about these assertions when auditing financial statements and their related disclosures: accurate recording, completeness, cut-off, existence, rights and obligations, and valuation. For revenue and assets, they want to ensure that these are not overstated. Their overstatement will increase the reported profits of the entity, which is a kind of cooking the books to please analysts. They are also interested in ensuring that liabilities and expenses are not understated for the same purpose.
Which consequences can victims of identity theft face?
Check all that apply.
1. difficulty getting a loan or credit card
2. an increase in debt
3. the loss of a job
4. difficulty keeping assets
5. a loss of money
6. difficulty landing a new job
Answer:
The correct answers would be
1. Difficulty getting a loan or credit card
2. An increase in debt
4. Difficulty keeping assets
5. Loss of money
Explanation:
Hope this helps! Have a Happy New Year!
Suppose a food pantry received a donation and allowed volunteers to vote on how the funds were to be spent. Three options were provided, with the donation only covering the cost of one project. The projects included improvements to the building, additional purchases of food, and purchasing a vehicle for food delivery. The majority of volunteers voted for purchasing a vehicle for food delivery with building improvements coming in second. Since only one project could be funded, what is the opportunity cost of the decision to purchase a vehicle
Answer:
improvements to the building
Explanation:
As we know that the opportunity cost is the cost that gives the benefit in the altnernative when the other thing is sacrifice. Now the
As the second best choice is that there should be an improvement in the building so here the opportunity cost related to the purchase of a vehicle is building improvement
Hence, the same is to be considered
Although the cost-plus method approach to product pricing may be used by management as a general guidance, when are some examples of other factors that managers should also consider in setting product prices?
Answer: value-based pricing.
Explanation:
In its literal sense, value-based pricing means basing pricing on the advantages of the product perceived by the consumer rather than on the exact cost of product creation. A painting, for example, may be priced as much more than canvas and paint prices: in fact, the price depends a lot on who the painter is.
From 2006 to 2010, per capita real gross domestic product (GDP) in Japan grew an average of 0.46 percent per year. At that rate, according to the Rule of 70, in roughly how many years will the Japanese economy double in size?
Answer:
152.17 years
Explanation:
The rule of 70 is used to calculate how long it would take the GDP of a country to double given its growth rate
Number of years it would take GDP to double = 70 / average annual growth rate
70 / 0.46% = 152.17 years
Barbara's employer offers health coverage to its employees. However, Barbara feels it is unaffordable and wants to apply for a health insurance premium tax credit. In order for the coverage to be deemed unaffordable in 2020, Barbara's self-only premium must exceed ___% of her household income.
Answer:
9.83%
Explanation:
If the health insurance premium represents 9.83% of Barbara's income or less, it is considered affordable coverage. Only if it exceeds the 9.83% threshold, will Barbara be able to request a health insurance premium tax credit. Theoretically, if Barbara's health insurance was purchased in the Health Insurance Marketplace, the tax credit should be automatic and her premium should be lowered so that it can become affordable.
On July 1, 2011, Hale Kennels sells equipment for $66,000. The equipment was originally purchased on July 1, 2007 at a cost $180,000, had an estimated 5-year life and an expected salvage value of $30,000. The company books depreciation annually. What is the balance in Accumulated Depreciation as of December 31, 2010? What is the journal entry to update depreciation as of July 1, 2011? What is the journal entry to record the sale of the equipment?
Answer:
journal entry to update depreciation as of July 1, 2011
Depreciation Expense $16,000 (debit)
Accumulated Depreciation $16,000 (credit)
journal entry to record the sale of the equipment
Cash $66,000 (debit)
Accumulated Depreciation $128,000 (debit)
Equipment $180,000 (credit)
Profit and Loss $14,000 (credit)
Explanation:
If Hale Kennels uses the straight line method then the calculations will be as follows :
Annual Depreciation Charge = (Cost - Residual Value) ÷ Estimated Useful Life
= ($180,000 - $30,000) ÷ 5
= $32,000
Therefore,
Depreciation Charges for the period in use will be as follows :
2007 = $16,000 ($32,000 × 1/2)
2008 = $32,000
2009 = $32,000
2010 = $32,000
2011 = $16,000 ($32,000 × 1/2)
Total Accumulated depreciation = $128,000
Explaining journal entry to record the sale of the equipment
1. Derecognize the Cost of the Asset
2. Derecognize the Accumulated depreciation
3. Recognize the Cash Proceeds
4. Recognize the Profit or Loss arising from the sale
Claire Corporation is planning to issue bonds with a face value of $240,000 and a coupon rate of 8 percent. The bonds mature in two years and pay interest quarterly every March 31, June 30, September 30, and December 31. All of the bonds were sold on January 1 of this year. Claire uses the effective-interest amortization method and also uses a discount account. Assume an annual market rate of interest of 12 percent.
Required:
a. Provide the journal entry to record the issuance of the bonds.
b. Provide the journal entry to record the interest payment on March 31, June 30, September 30, and December 31 of this year.
c. What bonds payable amount will Claire report on this year’s December 31 balance sheet?
Answer:
a) issue price
PV of face value = $240,000 / (1 + 3%)⁸ = $189,458
PV of coupon payments = $4,800 x 7.0197 (PV annuity factor, 3%, 8 periods) = $33,695
market price = $223,153
January 1, bonds issued at a discount
Dr Cash 223,153
Dr Discount on bonds payable 16,847
Cr Bonds payable 240,000
b) discount amortization = ($223,153 x 3%) - $4,800 = $1,895
discount amortization = ($225,048 x 3%) - $4,800 = $1,951
discount amortization = ($226,999 x 3%) - $4,800 = $2,010
discount amortization = ($229,009 x 3%) - $4,800 = $2,070
March 31, first coupon payment
Dr Interest expense 6,695
Cr Cash 4,800
Cr Discount on bonds payable 1,895
June 30, second coupon payment
Dr Interest expense 6,751
Cr Cash 4,800
Cr Discount on bonds payable 1,951
September 30, third coupon payment
Dr Interest expense 6,810
Cr Cash 4,800
Cr Discount on bonds payable 2,010
December 31, fourth coupon payment
Dr Interest expense 6,870
Cr Cash 4,800
Cr Discount on bonds payable 2,070
c) bonds' carrying value at December 31 = $231,169
I Need help ASAP pls
Answer:
THis is hard
Explanation:
good luck
What notation, if any, is made in a formal business letter that contains additional documents in the envelope?
“More”
“Enc.” or “Att.”
“Add plus 1”
None of the above
Answer:
The notation that is made in a formal business letter that contains additional documents in the envelope is:
“Enc.” or “Att.”
Explanation:
"Enc." means "Enclosures," while "Att." means "Attention." These notations draw the attention of the letter recipient to the fact that there are other documents that may be accompanying the business letter. The plural form of the word "Enclosures" is regularly used with the number of enclosures indicated. But if it is one document, then the word "Enclosure" is preferred, indicating that the document is not more than one. When "Attention" or "Att." is used, the documents are listed.
Suppose a food pantry received a donation and allowed volunteers to vote on how the funds were to be spent. Three options were provided, with the donation only covering the cost of one project. The projects included improvements to the building, additional purchases of food, and purchasing a vehicle for food delivery. The majority of volunteers voted for purchasing a vehicle for food delivery with building improvements coming in second. Since only one project could be funded, what is the opportunity cost of the decision to purchase a vehicle
Answer:
improvements to the building,
Explanation:
Opportunity cost is the foregone advantage of not setting certain options in decision making. When a particular option is preferred over others, then benefit from the other options not selected are forfeited. The forfeited benefits represent the opportunity cost.
The value of opportunity cost is equated to the value of the next best alternative. Where there were more than two alternatives available, the next best alternative from the chosen option becomes the opportunity cost. In this case, improvement to the building was voted the second preferred option; hence it becomes the opportunity cost.