Answer:
17%
Explanation:
On June 30, 2020, Sage Company issued $3,551,000 face value of 13%, 20-year bonds at $3,818,140, a yield of 12%. Sage uses the effective-interest method to amortize bond premium or discount. The bonds pay semiannual interest on June 30 and December 31. Your answer is partially correct.
Prepare the journal entries to record the following transactions. (Round answer to 0 decimal places, e.g. 38,548. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts,
(1) The issuance of the bonds on June 30, 2020.
(2) The payment of interest and the amortization of the premium on December 31, 2020.
(3) The payment of interest and the amortization of the premium on June 30, 2021.
(4) The payment of interest and the amortization of the premium on December 31, 2021.
Answer: See attachment
Explanation:
The journal entry to record the transactions has been attached.
1. The issuance of the bonds on June 30, 2020.
Debit Cash $3818140
Credit Premium on bonds payable $267140
Credit Bonds payable $3551000
(2) The payment of interest and the amortization of the premium on December 31, 2020.
Debit Interest expense $229088.4
Debit Premium on bonds payable $1726.6
Credit Cash $230815
(3) The payment of interest and the amortization of the premium on June 30, 2021.
Debit Interest expense $228984.8
Debit Premium on bonds payable $1830.2
Credit Cash $2380815
(4) The payment of interest and the amortization of the premium on December 31, 2021.
Debit Interest expense $228975
Debit Premium on bonds payable $1940
Credit Cash $230815
Assume that a gourmet food manufacturer has considered renting a booth at a local mall to sell gift boxes of candy, nuts, and cookies during the holiday season. The fixed costs to rent and operate the booth would be $27,900. The unit contribution margins and sales mix anticipated by the company are as follows: Unit Contribution Margin Sales Mix Candy $1.50 50% Nuts $2.00 30% Cookies $1.00 20% What would be the weighted average contribution margin
The Hershey Company uses the weighted-average method in its process costing system. The following data concern the operations of the company's first processing department for a recent month.
Work in process, beginning:
Units in process 3,750
Percent complete with respect to materials 80%
Percent complete with respect to conversion 20%
Costs in the beginning inventory:
Materials cost $6,711.00
Conversion cost $2,885.00
Units started into production during the month 21,400
Units completed and transferred out
Costs added to production during the month:
Materials cost $61,906
Conversion cost CA I Costs added to production during the month:
Materials cost $61,906
Conversion cost $543,602
Work in process, ending:
Units in process 900
Percent complete with respect to materials 66%
Percent complete with respect to conversion 48%
Required:
a. Determine the equivalent units of production for material and conversion.
b. Determine the costs per equivalent unit for material and conversion.
c. Determine the cost of ending work in process inventory.
d. Determine the cost of the units transferred to the next department.
Answer:
The Hershey Company
Materials Conversion
a. The equivalent units of production 24,844 24,632
b. Costs per equivalent unit $2.762 $22.186
c. The cost of ending work in process inventory is:
= $11,224.98
d. The cost of the units transferred to the next department is:
= $604,989
Explanation:
a) Data and Calculations:
Units Materials Conversion
Beginning work in process 3,750 80% 20%
Units started in the month 21,400
Units to be accounted for 25,150
Ending work in process 900 66% 48%
Units completed/transferred 24,250 100% 100%
Equivalent units of production:
Units Materials Conversion
Units completed/transferred 24,250 24,250 24,250
Ending work in process 900 594 432
Total equivalent units 24,844 24,632
Costs of production Materials Conversion Total
Costs of beginning WIP $6,711 $2,885 $9,586
Costs added during month 61,906 543,602 605,508
Total costs of production $68,617 $546,487 $615,094
Cost per equivalent unit:
Total costs of production $68,617 $546,487
Total equivalent units 24,844 24,632
Cost per equivalent unit $2.762 $22.186
Costs assigned to:
Materials Conversion Total
Units completed/transferred $66,978.50 $538,010.50 $604,989
(24,250 *$2.762) (24,250 * $22.186)
Ending work in process 1,640.63 $9,584.35 $11,224.98
(594 * $2.762) (432 * $22.186)
A firm suffering economic losses decides whether or not to produce in the short run on the basis of whether:_________
a. revenues from operating are sufficient to cover fixed plus variable costs
b. firms suffering economic losses will always shut down
c. Price cover minimum variable costs
d. revenues from operating are sufficient to cover fixed costs
Answer:
C
Explanation:
A firm is making economic losses if opportunity cost is greater than accounting profit.
In the short run, a firm should shut down if price is less than variable cost.
A short run is the period where all the factors of production are fixed
Fixed costs are costs that do not vary with output. e,g, rent, mortgage payments
If production is zero or if production is a million, Mortgage payments do not change - it remains the same no matter the level of output.
Hourly wage costs and payments for production inputs are variable costs
Variable costs are costs that vary with production
If a producer decides not to produce any output, there would be no need to hire labour and thus no need to pay hourly wages.
Black Lilies is a fledgling apparel company which is run and managed by its creator Patricia. She has advertised for an accounting executive to manage the finances of the firm. Which of the following, if true, would result in a complementary fit having occurred for the post?
a. Patricia is well-versed in accounting and will manage the firm's finances jointly with the new employee.
b. There is already a dedicated finance team in the firm who would work with the new employee.
c. The existing accounting executive is planning to quit to take up a better opportunity.
d. Patricia lacks the requisite skills to manage the company's accounts,hence the opening.
Answer:
d. Patricia lacks the requisite skills to manage the company's accounts,hence the opening.
Explanation:
Businesses require various set of skills from their employees to function properly and make a profit.
Also duplication of these skills should be avoided to maximise profit.
In the given scenario if Patricia were well versed in accounting them it would be a duplication of duties employing an accountant.
It would be a complimentary fit if Patricia lacks the requisite skills to manage the company's accounts,hence the opening.
What is a BFOQ? Should BFOQs be allowed?
Answer:
In employment law, a bona fide occupational qualification (BFOQ) (US) or bona fide occupational requirement (BFOR) (Canada) or genuine occupational qualification (GOQ) (UK) is a quality or an attribute that employers are allowed to consider when making decisions on the hiring and retention of employees—a quality that when considered in other contexts would constitute discrimination and thus be in violation of civil rights employment law. Such qualifications must be listed in the employment offering.[citation needed]
Explanation:
Canada
The law of Canada regarding bona fide occupational requirements was considered in a 1985 Canadian court case involving an employee of the Canadian National Railway, K. S. Bhinder, a Sikh whose religion required that he wear a turban, lost his challenge of the CNR policy that required him to wear a hard hat.[1] In 1990, in deciding another case, the Supreme Court of Canada amended the Bhinder decision: "An employer that has not adopted a policy with respect to accommodation and cannot otherwise satisfy the trier of fact that individual accommodation would result in undue hardship will be required to justify his conduct with respect to the individual complainant. Even then the employer can invoke the BFOQ defence."[2]
United States
In employment discrimination law in the United States, both Title VII of the Civil Rights Act of 1964 and the Age Discrimination in Employment Act contain a BFOQ defense. The BFOQ provision of Title VII provides that:
[I]t shall not be an unlawful employment practice for an employer to hire and employ employees, for an employment agency to classify, or refer for employment any individual, for a labor organization to classify its membership or to classify or refer for employment any individual, or for an employer, labor organization, or joint labor-management committee controlling apprenticeship or other training or retraining programs to admit or employ any individual in any such program, on the basis of his religion, sex, or national origin in those certain instances where religion, sex, or national origin is a bona fide occupational qualification reasonably necessary to the normal operation of that particular business or enterprise ...[3]
i'm not able to add the balance of the answer so pls go to https://en.wikipedia.org/wiki/Bona_fide_occupational_qualification
Use the information below to answer the following questions. Currency per U.S. $ Australia dollar 1.2377 6-months forward 1.2356 Japan Yen 100.3300 6-months forward 100.0500 U.K. Pound .6792 6-months forward .6781 Suppose interest rate parity holds, and the current six month risk-free rate in the United States is 5 percent. Use the approximate interest rate parity equation to answer the following questions. a. What must the six-month risk-free rate be in Australia
Answer:
Missing word "a. What must the six-month risk-free rate be in Japan"
a. Spot rate = 1 US $ = 1.2377 Aus.dollar
Forward rate = 1 US $ = 1.2356 Aus.dollar
1.2356 = (1 + i Ad)
1.2377 (1 + 0.05)
0.9983 * (1.05) = 1 + i.Ad
1.048215 = 1 + i.Ad
i.Ad = 1.048215 - 1
i.Ad = 0.048215
i.Ad = 4.82%
b. Spot rate = 1 US $ = 100.3300 Japan Yen
Forward rate = 1 US $ = 100.0500 Japan Yen
100.0500 = (1 + i Ad)
100.3300 (1 + 0.05)
0.9972 * (1.05) = 1 + i.Ad
1.04706 = 1 + i.Ad
i.Ad = 1.04706 - 1
i.Ad = 0.04706
i.Ad = 4.71%
MNO was a partnership which contracted for and performed all types of painting jobs. Before the partnership was dissolved, MNO had entered into a contract under which MNO was to paint every room in the state capitol building. At the time of the partnership dissolution, MNO had not yet performed the work called for by such contract. If the partners involved in the winding up elect to perform the contract, they:
Answer: a. have the authority to enter into new contracts with subcontractors, material suppliers, and workers
Explanation:
If the partners elect to finish the job, they will legally have the authority to enter into new contracts with the necessary outside contractors needed to get the job done.
This is because the job was agreed to with the partners and with the dissolution of the partnership, contracts with these contractors were cancelled. Since the partners however want to pursue the job, they are free to do so but will need to get new contracts to replace the old cancelled ones.
Which is the best general statement about the role of government in business in the United States?
Answer: Government acts to allow markets to function efficiently
The best general statement is that "Government acts to allow markets to function efficiently". Therefore, option B is correct.
The United States has a mixed economy, which means that it is a combination of a market economy and a command economy. In a market economy, businesses are free to operate without much government interference.
The government's role in business in the United States is to allow markets to function efficiently. This means that the government creates a framework in which businesses can compete and innovate without being unduly burdened by regulations. The government also provides some services that would be difficult or impossible for businesses to provide on their own, such as national defense and education.
Learn more about the government, here:
https://brainly.com/question/29894427
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Your question is incomplete, most probably the full question is this:
Which is the best general statement about the role of government in business in the United States?
O A. Government owns the resources of production.
OB. Government acts to allow markets to function efficiently.
OC. The government determines what goods and services are produced.
O D. Government has no role in business.
Lynn has an account that ears interest at annual rate of 5% percent. Interest is compounded quarterly. Lynn’s account is $4000. What is the balance in her account at the end of the year
Answer:
Ending balance in account = $4,203.8 (Approx.)
Explanation:
Given:
Starting balance in account = $4,000
Rate of interest annually = 5%
Number of year = 1
Find:
Ending balance in account
Computation:
Compounded quarterly
So,
Number of interest period = 1 x 4 = 4
Rate of interest quarterly = 5% / 4 = 1.25% = 0.0125
So,
A = P[1+r]ⁿ
Ending balance in account = 4,000[1+0.0125]⁴
Ending balance in account = 4,000[1.0125]⁴
Ending balance in account = 4,000[1.05094]
Ending balance in account = 4203.76
Ending balance in account = $4,203.8 (Approx.)
Diamond Boot Factory normally sells their specialty boots for $26 a pair. An offer to buy 70 boots for $18 per pair was made by an organization hosting a national event in Norfolk. The variable cost per boot is $9 and special stitching will add another $2 per pair to the cost. Determine the differential income or loss per pair of boots from selling to the organization. Enter the amount as a positive number. Differential per pair of boots from accepting the special order is $fill in the blank 2 .
Answer:
Diamond Boot Factory
Differential income per pair of boots from accepting the special order is:
= $7.00.
Explanation:
a) Data and Calculations:
Selling price of specialty boots = $26 a pair
Variable cost per boot = $9
Special offer for 70 boots at $18 per pair
Additional stitching cost = $2
Total variable cost for the special order = $11 ($9 + $2)
Revenue from the special order = $1,260 ($18 * 70)
Variable cost for the special order 770 ($11 * 70)
Differential income = $490 ($7 * 70)
The eleven southern New Jersey stores of Elder Dry Goods have been hurt in recent months by a large increase in shoplifting losses. The company's risk manager concluded that while the frequency of shoplifting losses has been high, the severity remains relatively low.
Required:
Which risk management techniques would be most appropriate for this problem?
Answer: loss control and retention
Explanation:
The options to the question are:
A. retention
B) loss control and retention
C) transfer through insurance
D) avoidance
Based on the information given in the question, management techniques would be most appropriate for this problem is the loss control and retention.
Loss control also referred to as risk reduction can be done through the prevention of loss by reducing the probability of risk, thereby minimizing the loss. This will be vital in this scenario as the shoplifting will reduce.
alser Corporation manufactures and sells a number of products, including a product called JYMP. Results for last year for the manufacture and sale of JYMPs are as follows: Sales $ 960,000 Less expenses: Variable production costs $ 464,000 Sales commissions 144,000 Salary of product manager 100,000 Fixed product advertising 160,000 Fixed manufacturing overhead 132,000 1,000,000 Net operating loss $ (40,000) Balser is trying to decide whether to discontinue the manufacture and sale of JYMPs. All expenses other than fixed manufacturing overhead are avoidable if the product is dropped. None of the fixed manufacturing overhead is avoidable. Assume that dropping Product JYMP will have no effect on other products. The annual financial advantage (disadvantage) for the company of eliminating this product should be:
Answer:
($2,000)
Explanation:
Missing word "Assume that dropping Product JYMP would result in a $90,000 increase in the contribution margin of other products"
Particulars Amount
Loss in contribution margin of JYMP ($352,000)
($960000-$464000-$144000)
Avoidable fixed costs $260,000 ($160000+$100000)
Additional contribution margin $90,000
Financial (disadvantage) ($2,000)
So, the annual financial (disadvantage) for the company of eliminating this product will be ($2,000)
Teal Mountain Corporation recorded a right-of-use asset for $312,900 as a result of a finance lease on December 31, 2019. Teal Mountain’s incremental borrowing rate is 10%, and the implicit rate of the lessor was not known at the commencement of the lease. Teal Mountain made the first lease payment of $58,429 on on December 31, 2019. The lease requires 7 annual payments. The equipment has a useful life of 7 years with no residual value.
Prepare Teal Mountain's December 31, 2017, entries. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to O decimal places e.g. 5,275.)
Date Account Titles and Explanation Debit Credit
December 31, 2017
Answer:
Date Account titles and Explanation Debit Credit
31 Dec 19 Lease liability $32,982
Interest expense $25,447
[(312900-58,429)*10%]
Cash $58,429
(To record interest expense)
31 Dec 19 Amortization expense $44,700
[312,900/7]
Right of use asset $44,700
(To record amortization of the right of use asset)
The operations manager of a body and paint shop has five cars to schedule for repair. He would like to minimize the makespan to complete all work on these cars. Each car requires body work prior to painting. The estimates of the times required to do the body and paint work on each are as follows:
Body work Paint
Car (hrs) (hrs)
A 10 2
B 5 4
C 7 5
D 3 6
E 1 7
Where in the optimum sequence should car A be scheduled?
a. first
b. second
c. third
d. fourth
e. fifth
Answer:
e. fifth
Explanation:
Car A should be scheduled as fifth in the sequence to repair and repaint. The Car A will take 10 hours for repair work which is highest of all other cars. The paint work is however lower than all other cars but since the repair work is to be done prior to repainting the car A should be schedule in the last.
Addison Corporation is considering the purchase of equipment that would increase sales revenues by $250,000 per year and cash operating expenses by $100,000 per year. The equipment would cost $400,000 and have a 5-year life with no salvage value. The simple rate of return on the investment is closest to ________. multiple choice
Answer:
17.5%
Explanation:
depreciation = 400,000 / 5 = 80,000
return = $250,000 - %100,000 - $80,000 = 70,000
70,000 / 250,000 =
Sales Mix and Break-Even Sales Data related to the expected sales of laptops and tablets for Tech Products Inc. for the current year, which is typical of recent years, are as follows: Products Unit Selling Price Unit Variable Cost Sales Mix Laptops $1,200 $600 40% Tablets 700 350 60% The estimated fixed costs for the current year are $4,500,000. Required: 1. Determine the estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for the current year. fill in the blank 1 units 2. Based on the break-even sales (units) in part (1), determine the unit sales of both laptops and tablets for the current year. Laptops fill in the blank 2 units Tablets fill in the blank 3 units 3. Assume that the sales mix was 60% laptops and 40% tablets. Compare the break-even point with that in part (1). Why is it so different
Answer: See explanation
Explanation:
1. The estimated units of sales of the overall (total) product, E, necessary to reach the break-even point for the current year will be calculated thus:
Selling price per unit will be:
= ($1200 × 40%) + ($700 × 60%)
= 480 + 420
= $900
Variable cost per unit will be:
= ($600 × 40%) + ($350 × 60%)
= 240 + 210
= $450
Contribution margin will then be
= selling price per unit-variable cost
= $900 - $450
= $450
Therefore, the breakeven point in sales units of the overall product will be:
= fixed cost /contribution per unit
= $4,500,000 / $450
= 10000 units
2. The unit sales of both laptops and tablets for the current year will be:
Laptop = 10000 × 40% = 4000
Tablet = 10000 × 60% = 6000
3. Assume that the sales mix was 60% laptops and 40% tablet, the break-even will be:
Selling price per unit will be:
= ($1200 × 60%) + ($700 × 40%)
= 720 + 280
= $1000
Variable cost per unit will be:
= ($600 × 60%) + ($350 × 40%)
= 360 + 140
= $500
Contribution margin will then be
= selling price per unit-variable cost
= $1000 - $500
= $500
Therefore, the breakeven point in sales units of the overall product will be:
= fixed cost /contribution per unit
= $4,500,000 / $500
= 9000 units
According to the Florentine humanist, Leonardo Bruni, history should be studied first (after a mastery of Latin grammar) because: Group of answer choices studying the past makes it easier to understand the affairs of the current era people are doomed to repeat past mistakes understanding the past is the key to making better business decisions and gaining wealth religion is not a reliable source of wisdom and inspiration
Answer: studying the past makes it easier to understand the affairs of the current era
Explanation:
Leonardo Bruni was such an influence in the field of history that he has been known as the first modern historian for his contribution to history during the Renaissance.
Leonardo Bruni urged people to read history because he believed that in doing so, one would be able to better understand the affairs of the present because they will have a reference point to an event that occurred in the past.
Two neighbors, Molly and Sandy, are separated by a white picket fence. Each neighbor has a garden that grows tomatoes and peppers. How could Molly and Sandy gain from trade? 1 point Sandy could trade tomatoes to Molly in exchange for peppers if Sandy was the more efficient grower of peppers. Sandy could trade peppers to Molly in exchange for tomatoes if Molly was the more efficient grower of peppers. Molly could trade peppers to Sandy in exchange for tomatoes if Molly was the more efficient grower of peppers. Molly could trade tomatoes to Sandy in exchange for peppers if Molly was the more efficient grower of peppers.
Answer:
The answer is "the third choice".
Explanation:
In this question, the picket fence use for separating the two neighbors, Molly and Sandy, which is growing neighbor has both a tomato or pepper garden. although Molly was a more powerful grower with peppers, she would sell them to Sandy in return with tomatoes, almost as Molly and Sandy profit through trade.
Sweet Company has the following securities in its investment portfolio on December 31, 2020 (all securities were purchased in 2020): (1) 2,800 shares of Anderson Co. common stock which cost $56,000, (2) 10,500 shares of Munter Ltd. common stock which cost $588,000, and (3) 6,000 shares of King Company preferred stock which cost $252,000. The Fair Value Adjustment account shows a credit of $10,600 at the end of 2020.
In 2021, Parnevik completed the following securities transactions.
1. On January 15, sold 3,240 shares of Andersonâs common stock at $23 per share less fees of $2,120.
2. On April 17, purchased 1,200 shares of Castleâs common stock at $33 per share plus fees of $1,840.
On December 31, 2021, the market prices per share of these securities were Munter $64, King $40, and Castle $23. In addition, the accounting supervisor of Parnevik told you that, even though all these securities have readily determinable fair values, Parnevik will not actively trade these securities because the top management intends to hold them for more than one year.
Required:
a. Prepare the entry for the security sale on January 15, 2021.
b. Prepare the journal entry to record the security purchase on April 17, 2021.
c. Compute the unrealized gains or losses.
Answer: See attachment
Explanation:
a. Prepare the entry for the security sale on January 15, 2021.
Jan 15, 2021:
Debit Cash $72400
Credit Gain on equipment sale $16400
Credit Equity Investment $56000
b. Prepare the journal entry to record the security purchase on April 17, 2021.
April 17, 2021:
Debit Equity Investment $41440
Credit Cash $41440
c. Compute the unrealized gains or losses.
The unrealized gain is $68760
Check the attachment for further details.
On April 1, 2020, Republic Company sold equipment to its wholly owned subsidiary, Barre Corporation, for $40,000. At the time of the transfer, the asset had an original cost (to Republic) of $60,000 and accumulated depreciation of $25,000. The equipment has a five year estimated remaining life. Barre reported net income of $250,000, $270,000 and $310,000 in 2020, 2021, and 2022, respectively. Republic received dividends from Barre of $90,000, $105,000 and $120,000 for 2020, 2021, and 2022, respectively. What was the amount of the gain or loss on the sale of equipment reported by Republic on its pre-consolidation income statement in 2020
Answer:
Republic Company and Barre Corporation
The amount of the gain or loss on the sale of equipment reported by Republic on its pre-consolidation income statement in 2020 is:
= $5,000.
Explanation:
a) Data and Calculations:
Original cost of Equipment sold to subsidiary = $60,000
Accumulated depreciation of the equipment = 25,000
Book value of equipment = $35,000
Sales proceeds for the sale of the equipment 40,000
Gain on the sale of the equipment = $5,000
Reported net income of Barre Corporation:
2020 $250,000
2021 $270,000
2022 $310,000
Dividends received by Republic from Barre:
2020 $90,000
2021 $105,000
2022 $120,000
How can you best protect your own intellectual property?
Answer:
Explanation:
The four primary ways to protect intellectual property are:
Copyrights.
Trademarks.
Patents.
Trade secrets.
a. How can increases in government spending crowd out investment spending? An increase in government spending increases the use of automatic stabilizers, which reduces private investment spending. causes firms to worry about inflation, which reduces private investment spending. increases the real interest rate, which reduces private investment spending. lowers the real interest rate, which reduces private investment spending. b. Is crowding out a major concern when actual output is below potential output? Why? Crowding out is a major concern, because the goal is always to increase investment spending. is not a major concern, because the Fed will likely lower the real interest rate when actual output is far below potential. is a major concern, because the crowding out effect will outweigh the increase in government spending. is not a major concern, because the Fed will likely raise the real interest rate when actual output is above potential output.
Answer:
a. increases the real interest rate, which reduces private investment spending.
b. is not a major concern, because the Fed will likely lower the real interest rate when actual output is far below potential.
Explanation:
Increase in government spending means that the government would probably have to borrow money from the credit market. Because the government is so large, it will borrow in large amounts which would force rates to rise. At these higher rates, the private sector might find it too expensive to borrow money and so would be crowed out such that they reduce their investment spending.
When the economy is facing an output that is lower than potential, the Fed will engage in monetary policy aimed at reducing interest rates to improve investment spending. This therefore negates the effect of crowing out which means that it would no longer be a major concern.
Nichols Enterprises has an investment in 31,000 bonds of Elliott Electronics that Nichols accounts for as a security available-for-sale. Elliott bonds are publicly traded, and The Wall Street Journal quotes a price for those bonds of $12 per bond, but Nichols believes the market has not appreciated the full value of the Elliott bonds and that a more accurate price is $19 per bond. Nichols should carry the Elliott investment on its balance sheet at:
Answer:
the nichols should carry the elliott investment on the balance sheet is of $372,000
Explanation:
The computation is shown below;
= Number of bonds × price per bond
= 31,000 bonds × $12
= $372,000
Simply we multiply the no of bonds with the price per bond so that the correct amount could come
Hence, the nichols should carry the elliott investment on the balance sheet is of $372,000
which term best completes the diagram
A) Captial
B) Goods
C) Wages
D) Natural resources
Answer:
C) Wages
Explanation:
A.P.E.X.
Mountain Springs Water Company has two departments, Purifying and Bottling. The Bottling Department had 2,900 liters in beginning work in process inventory (30% complete). During the period, 59,110 liters were completed. The ending work in process was 5,180 liters (70% completed). All inventories are costed by the first-in, first-out method. What is the total equivalent units for direct materials (using the FIFO method) if materials were added at the beginning of the process?
Answer: 61,390 liters
Explanation:
If materials were added at the beginning, they will be 100% accounted for at the end of the process.
Equivalent Units = Units started and completed + Ending inventory
= Units completed - Beginning WIP + Ending inventory
= 59,110 - 2,900 + 5,180
= 61,390 liters
13. Oriole Corp. incurred $750,000 of research and development costs to develop a product for which a patent was granted on January 2, 2015. Legal fees and other costs associated with registration of the patent totaled $151,000. On March 31, 2018, Oriole paid $305,000 for legal fees in a successful defense of the patent. The total amount capitalized for the patent through March 31, 2018 should be
Answer:
The total amount capitalized for the patent through March 31, 2018 should be $456,000
Explanation:
All the costs incurred to make the asset usable will be capitalized.
The research cost is the sunk cost because it is already been incurred and it does not affect the decision of making the patent.
Hence the capitalized cost can be calculated as follow
Capitalized cost = Legal Fee for registration + Legal fee of successful defense of the patent
Capitalized cost = $151,000 + $305,000
Capitalized cost = $456,000
Amy, Becky, and Chau form a business entity with each contributing the following. Adjusted Basis Fair Market Value Amy: Cash $100,000 $100,000 Becky: Land $60,000 120,000 Chau: Services 50,000 Their ownership percentages will be as follows. Amy 40% Becky 40% Chau 20% Becky's land has a $20,000 mortgage that is assumed by the entity. Chau is an attorney who receives her ownership interest in exchange for legal services. Determine the recognized gain to the owners, the basis for their ownership interests, and the entity's basis for its assets under each entity scenario.
The following questions highlight how changes in numbers can be measured in both absolute and relative percentage terms. Two stores in a mall are having promotions. The first, Annie's Attic, is offering $15 off any purchase. The other, Betty's Breakables, is offering 25% off any purchase. Each store offers an antique music box at a (non-discounted) price of $80, and a faux Ming vase for $40. The promotional price of an antique music box at Annie's Attic is _____, and the promotional price of an antique music box at Betty's Breakables is _____. Therefore, if you are in the market for an antique music box, you should buy it at _____. The promotional price of a faux Ming vase at Annie's Attic is _____, and the promotional price of a faux Ming vase at Betty's Breakables is _____. Therefore, if you are in the market for a faux Ming vase, you should buy it at _____. If the promotional price of a crystal candlestick is the same at the two stores, that means the non-discounted price of the candlestick must be _____.
Answer:
Absolute and Relative Percentage Terms
The promotional price of an antique music box at Annie's Attic is _$65_, and the promotional price of an antique music box at Betty's Breakables is _$60_.
Therefore, if you are in the market for an antique music box, you should buy it at _Betty's Breakables_.
The promotional price of a faux Ming vase at Annie's Attic is _$25_, and the promotional price of a faux Ming vase at Betty's Breakables is _$30_.
Therefore, if you are in the market for a faux Ming vase, you should buy it at _Annie's Attic_.
If the promotional price of a crystal candlestick is the same at the two stores, that means the non-discounted price of the candlestick must be __$60_.
Explanation:
a) Data and Calculations:
Annie's Attic Betty's Breakable
Promotional offers $15 25%
Non-discounted prices:
Antique music cost $80 $80
Faux Ming Vase $40 $40
Promotional prices:
Antique music $65 ($80 - $15) $60 (1 - 0.25) * $80
Faux Ming Vase $25 ($40 - $15) $30 (1 - 0.25) * $40
For the promotional price to be the same at the two stores, $15 will be equal to 25%, the two promotional offerings.
Therefore, the non-discounted price of the candlestick must be = $15/25% = $60
Annie's Attic = $45 ($60 - $15)
Betty's Breakables = $45 (1 - 0.25) * $60
The income statement and additional data of Minerals Plus, Inc. follows:
Prepare Minerals Plus's statement of cash flows for the year ended September 30, 2024, using the indirect method. Include a separate section for non-cash investing and financing activities.
Additional information:
a. Acquisition of plant assets is $115.000. Of this amount, $100,000 is paid in cash and S15,000 by signing a note payable.
b. Cash receipt from sale of land totals $21,000. There was no gain or loss.
c. Cash receipts from issuance of common stock total $28.000.
d. Payment of note payable is $14,000.
e. Payment of dividends is $6.000.
f. From the balance sheet:
September 30
2018 2017
Cash $35,000 $17,000
Accounts Receivable 40,000 54,000
Merchandise Inventory 98,000 94,000
Land 74,000 95,000
Plant Assets 185.000 50,000
Accumulated Depreciation (51.000) (22,000)
Accounts Payable 35,000 21,000
Accrued Liabilities 16,000 21,000
Notes Payable (long-term) 15.000 14,000
Common Stock, no par 41.000 13,000
Retained Earnings 255,000 219.000
Net Income
Answer:
Minerals Plus, Inc.
Cash Flow Statement
For year ended 31st December 2024
Cash Flows from Operating Activity
Net Income $42,000
Adjustments to reconcile net income to
net cash provided by operating activities
Depreciation expense $29,000
Decrease in Accounts receivables $14,000
Increase in Inventory $(4,000)
Increase in Accounts Payable $14,000
Decrease in accrued liabilities $(5,000) $48,000
Net cash provided Operating activities $90,000
Cash flows from Investing Activities
Sales of land $21,000
Purchase of plant asset $(100,000)
Net Cash used by Investing activities $(79,000)
Cash Flows from Financing activities
Payments of dividends $(6,000)
Payment of notes payable $(14,000)
Issue of common stock $28,000
Net Cash Provided by Financing activities $8,000
Net Increase (Decrease) in Cash [A+B+C] $19,000
Cash at the beginning $17,000
Cash at the end $36,000