Answer:
Paid-in capital-stock options for $54,000
Cash for $180,000
Explanation:
Based on the information given the Corporation should recognize this event by debiting Paid-in capital-stock options for the amount of $54,000 and debiting Cash for the amount of $180,000
Paid-in capital-stock options for $54,000 is calculated as :
First step
($20 per share-$6 per option) *9,000 stock options
=$14*9,000 stock options
=$126,000
Second step
($20 per share*9,000 stock options)
=$180,000
Hence, Paid-in capital-stock options will be :.
$180,000-$126,000
Paid-in capital-stock options=$54,000
Cash for $180,000 is calculated as:
($20 per share*9,000 stock options)
=$180,000
Therefore Utta Corp. should recognize this event by debiting:
Paid-in capital-stock options for $54,000
Cash for $180,000
The following T-account is a summary of the Cash account of Skysong, Inc.. Cash (Summary Form) Balance, Jan. 1 8,100 Receipts from customers 362,500 Payments for goods 297,400 Dividends on stock investments 5,500 Payments for operating expenses 139,600 Proceeds from sale of equipment 35,600 Interest paid 12,000 Proceeds from issuance of Taxes paid 7,200 bonds payable 499,900 Dividends paid 60,100 Balance, Dec. 31 395,300 What amount of net cash provided (used) by financing activities should be reported in the statement of cash flows
Answer: $439,800
Explanation:
The financing activities of a firm are those that relate to the provision of capital to the business. This will therefore include long term liabilities and Equity transactions including Dividend payments.
The net cash provided (used) by financing activities = Proceeds from issuance of bonds payable (Inflow) - Dividends paid (Outflow)
= 499,900 - 60,100
= $439,800
Using simple supply and demand analysis (No Graphs - Just conceptualize), think about the system of allocating human kidneys. The law that forbids the sale of human organs, but allows their voluntary donation. This means that there is a bigger shortage of kidneys than there otherwise would be. Does this fact alter your view of the law forbidding the sale of human organs? How about blood?
Answer:
The prohibition of the sale of human organs effectively lowers the supply of organs, meaning that demand is much higher, and in the case of vital organs like kidneys, this means that lots of people die waiting for an available kidney for a transplant.
Explanation:
A market for organs could be opened but only in a very limited form: the organs should be more or less disposable, like a kinedy (becuase people can live with only one kidney), and the sales should be voluntary.
However, such a market is very unlikely to work well, and this is why it is best to further research in other areas that can help cure the medical diseases caused by organ failure.
A company's 2019 financial records included the following: Jan. 1, 2019 Dec. 31, 2019 Accounts Receivable $100,000 $80,000 Inventory $50,000 $70,000 Prepaid Expenses $100,000 $75,000 Accounts Payable $100,000 $110,000 Deferred Revenue $85,000 $70,000 The company's net income on its 2019 income statement is $155,000. Depreciation expense for 2019 is $25,000. What amount would the company report as net cash from operating activities for 2019
Answer:
The amount of net cash from operating activities for 2019 is $210,000.
Explanation:
Cash flows from operating activities refers to the section of the statement of cash flow that reveal the sources and utilization of cash got from ongoing normal business activities of a company in particular period.
Items that usually found under cash flows from operating activities are net income from the income statement, adjustments to reconcile net income, and changes in working capital.
The amount of net cash from operating activities for 2019 can be determined by preparing a statement of cash flow for operating activities only as follows:
Statement of cash flows
(Operating activities section only)
For the year ended 2019
Details Amount ($)
Net income 155,000
Adjustment to reconcile net income:
Depreciation expense 25,000
Changes in working capital:
(Increase) decrease in current assets
Accounts Receivable ($80,000 - $100,000) 20,000
Inventory ($70,000 - $50,000) (20,000)
Prepaid Expenses ($75,000 - $100,000) 25,000
Increase (decrease) in current liabilities
Accounts Payable ($110,000 - $100,000) 10,000
Deferred Revenue ($70,000 - $85,000) (15,000)
Net cash from operating activities 210,000
Answer:
Boxed like a fish
Explanation:
In March, Digby received an order of 103 units at the price of $26.00 for their product Daze, and in April receives an order for 48 units of product Dixie at $36.50. Digby uses the accrual method of accounting and offers 30-day credit terms. Digby delivers zero units in March, 103 units in April, and 48 units in May. How much revenue is recognized on March’s income statement? How much revenue is recognized on April’s income statement?
Answer:
March revenue is zero and the April revenue is $2678.
Explanation:
In March, the ordered received = 103 units at $26
In April, the order received = 48 units at $36.50
Order delivered by Digby in march = 0
Order delivered in April = 103 units
Order delivered in may = 48 units
The revenue of March will be zero because it has not delivered the product in march so the revenue will be zero in march.
Revenue of April = 103×26 = $2678
The following are various management assertions related to sales and account receivable. Required: i) For each assertion, indicate whether it is an assertion about classes of transactions and events or an assertion about account balances. ii) Indicate the name of the assertion made by management. MANAGEMENT ASSERTION CATEGORY OF MANAGEMENT ASSERTION NAME OF ASSERTION a. Recorded accounts receivable exist. b. Disclosures related to sales are relevant and understandable. c. Recorded sales transactions have occurred. d. There are no liens or other restrictions on accounts receivable. e. All sales transactions have been recorded. f. Receivables are appropriately classified as to trade and other receivables in the financial statements and are clearly described. g. Sales transactions have been recorded in the proper period. Cut off h. Accounts receivable are recorded at the correct amounts. i. Sales transactions have been recorded in the appropriate accounts. j. All required disclosures about accounts receivables have been made. k. All accounts receivable have been recorded. l. Disclosures related to receivables are at the correct amounts. m. Sales transactions have been recorded at the correct amounts.
Answer:
The following are the solution to this question:
Explanation:
1) In the assertion groups or the title of the claim taken by the organization for each assertion
a. Sales and accounts receivable divulgations relate to the company.
Category of assertion: Introduction and publishing
List of the statement: Occurrence
b. There's been registered sales transactions.
Name of Assertion Class: Transactions and Events
Name of the statement: Occurrence
c. No accounts receivable bonds or other limitations exist.
Class assertion: the value of accounts s
Name of claim: rights and duties
d. All payments were registered.
Assertion class: Payment class and events
Title of the statement: Occurrence
e. Throughout the financial statements, accounts receivable are listed accordingly or specifically defined with relation to trade as well as other claims.
Activism class: submission and divulgation
Name of claim: plans for the future
f. Throughout the correct time, sales transactions are reported.
Assertion Class: Transactions and Occurrences
Name of the claim: Cutoff
g. The receivable accounts were reported throughout the right number.
Class assertion: Balances of account
Name of the statement: evaluation
h. In corresponding accounts, cash sales were registered.
Class of assertion: transaction and events
Name of claim: category.
i. All required sales and accounts receivable disclosures are made.
Class of assertion: presentation and exposing the name of claim name: completeness.
j. Both receivable records were registered.
Class assertion: Balance of account
Name of the statement: Life.
k. Assertions relating to damages shall be in the correct amounts.
Class of assertion: presentation and exposing
Name of claim: Precision.
l. Exchanges in the right amounts were registered.
Class of assertion: activity and occurrences
Name of claim: Accuracy
2) Differences between the leadership assertions groups
Presidency of transaction classes or events:
This would be to claim that its transfers were accurately recorded and during the proper fiscal quarter in terms of income and incident.
Checking account management assertions:
It is because the accounting report of any payments has also been properly accurately reported without any error and during the correct fiscal quarter.
Presentation and time in question management assertions:
Its point would be that the information contained in the financial statements is contained or disclosed appropriately.
Trailers R Us Company, which uses an activitybased costing system, produces travel trailers and boat trailers. The company allocates batch setup costs to the two products using the following basic data: Travel trailers Boat trailers Budgeted units to be produced 2,050 3,200 Budgeted number of setups 320 520 Budgeted number of direct labor hours per unit 40 80 Total budgeted setup costs for the year are $155,400. If the setup costs are allocated using number of setups, how much of the total setup costs would be allocated to boat trailers?
Answer:
Boat trailers= $96,200
Explanation:
Giving the following information:
Travel trailers Boat trailers:
Budgeted units to be produced 2,050 3,200
Budgeted number of setups 320 520 = 840
Total budgeted setup costs for the year are $155,400.
First, we need to calculate the predetermined activity rate:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Setup= 155,400/840= $185 per setup
Now, we can allocate costs to boat trailers:
Boat trailers= 185*520= $96,200
25. When you have disequilibrium, there are two possible outcomes. Identify and describe both of them.
A person works as a cashier in a major supermarket. She sells vegetables to
customers, including local restaurants that use these ingredients to make
meals for their customers. The supermarket pays the cashier wages for her
work, which she uses to buy her own groceries and pay bills.
The cashier in the passage is part of which element in the circular flow of
goods?
A. Business
B. Resource market
C. Household
D. Product market
The cashier in the passage is part of resource market in the circular flow of
goods. This can be further explained as follows:
In a nation's circular flow, the market in which families provide enterprises with the factors of production (land, labor, and capital) in exchange for money revenues (rent, wages and interest). In the resource market, firms are the buyers and households are the sellers. The cashier receives wages which he spends on the daily resource needs.
Therefore, it can be said that the cashier is a part of resource market.
Learn more about resource market here:
https://brainly.com/question/3964664
Became aware of poor tire performance.Became aware of poor tire performance. Open choices for matching3 Defined off-road performance specifications and sizes of tires needed. Defined off-road performance specifications and sizes of tires needed. Open choices for matching Invited vendors to bid via website. Invited vendors to bid via website. Open choices for matching Narrowed to three vendors, then chose Goodyear. Narrowed to three vendors, then chose Goodyear. Open choices for matching Specified number of tires needed and delivery schedule. Specified number of tires needed and delivery schedule. Open choices for matching Awarded scores to Goodyear on key issues.
Attached is the full question.
Explanation:
1. Need Recognition = Became aware of poor tire performance
2. Product Specification = Defined off-road performance specifications and sizes of tires needed.
3. RFP Process = Invited vendors to bid via website.
4. Proposal Analysis, Negotiation, Selection =
Awarded scores to Goodyear on key issues.Narrowed to three vendors, then chose Goodyear.5. Order Specification = Specified number of tires needed and delivery schedule.
6. Vendor Performance Assessment. This step is usually done after the vendor has done the task. It may also be called a post-performance assessment.
Problem solving 1:
Ali makes and sells natural soap out of his home. He charges 35 dhs per soap. For each soap he makes, he
must spend 10 dhs. This month he made and sold 50 soaps. What is Ali's total PROFIT?
SOLVE THE PROBLEM AND SHOW THE STEPS HOW YOU CALCULATE THE PROFIT:
WRITE THE FORMULA.
Answer:
1250 dhs
Explanation:
First, find the profit for each soap.
35 - 10 = 25
Since now you know the profit for each soap, and how much soap he sells. you can find out the profit altogether.
50 x 25 = 1250
____________________________________________
Steps explained.
For the first step, since he spends 10 dhs, and charges 35 dhs, find the profit by subtracting 35 and 10.
For the second step, i took 50 times 25 since there is 50 soaps sold and 25 dhs profited.
Acheson Corporation, which applies manufacturing overhead on the basis of machine-hours, has provided the following data for its most recent year of operations. Estimated manufacturing overhead $ 157,150 Estimated machine-hours 4,520 Actual manufacturing overhead $ 156,200 Actual machine-hours 4,620 The estimates of the manufacturing overhead and of machine-hours were made at the beginning of the year for the purpose of computing the company's predetermined overhead rate for the year. The applied manufacturing overhead for the year is closest to:
Answer:
$160,637.40
Explanation:
Calculation for the applied manufacturing overhead for the year
First step is to find the Predetermined overhead rate using this formula
Predetermined overhead rate=Estimated manufacturing overhead÷Estimated machine-hours
Let plug in formula
Predetermined overhead rate=157,150÷4,520
Predetermined overhead rate= 34.77
Last step is to calculate for the Applied Manufacturing overhead for the year using this formula
Applied manufacturing overhead for the year = Actual machine-hours*Predetermined overhead rate
Let plug in the formula
Applied manufacturing overhead for the year=
4,620*34.77
Applied manufacturing overhead for the year=$160,637.40
Therefore the applied manufacturing overhead for the year is closest to:$160,637.40
If incomes rise, and hot dogs are an inferior good, then we would expect the price of hot dogs to rise true kr false
Heather owns a two-story building. The building is used 40% for business use and 60% for personal use. During 2020, a fire caused major damage to the building and its contents. Heather purchased the building for $800,000 and has taken depreciation of $100,000 on the business portion. At the time of the fire, the building had a fair market value of $900,000. Immediately after the fire, the fair market value was $200,000. The insurance recovery on the building was $600,000. The contents of the building were insured for any loss at fair market value. The business assets had an adjusted basis of $220,000 and a fair market value of $175,000. These assets were totally destroyed. The personal use assets had an adjusted basis of $50,000 and a fair market value of $65,000. These assets were also totally destroyed. If Heather’s AGI is $100,000 before considering the effects of the fire, determine her itemized deduction as a result of the fire. Also determine Heather’s AGI.
Answer:
Explanation:
cost of building = $800,000
business = $800,000 x 40% = $320,000 - $100,000 (depreciation) = $220,000
personal use = $800,000 x 60% = $480,000
adjusted basis:
business = $220,000
personal use = $480,000
decline in FMV:
business = $700,000 x 40% = $280,000
personal use = $700,000 x 60% = $420,000
loss on building (lesser of basis of decline in FMV):
business = $220,000
personal use = $420,000
recovery from insurance company $600,000
business = $600,000 x 40% = $240,000
personal use = $600,000 x 60% = $360,000
gain/loss on building:
business = $175,000 - $220,000 = -$45,000 (loss)
personal use = $360,000 - $420,000 = -$60,000 (loss)
gain/loss on contents:
business = $240,000 - $220,000 = $20,000 (loss)
personal use = $65,000 - $50,000 = $15,000 (gain)
AGI before the fire = $100,000
+ business gain on building $20,000
- business loss on contents ($45,000)
- personal loss on building up to personal gain ($15,000)
+ personal gain on contents $15,000
heather's AGI after the fire = $75,000
Dehner Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Total direct labor-hours 101,000 Total fixed manufacturing overhead cost $ 595,900 Variable manufacturing overhead per direct labor-hour $ 3.00 Recently, Job P951 was completed with the following characteristics: Number of units in the job 25 Total direct labor-hours 100 Direct materials $ 840 Direct labor cost $ 10,100 The unit product cost for Job P951 is closest to: (Round your intermediate calculations to 2 decimal places.)
Community centers, libraries or churches are all places that
a. Lend books to students
C. Do not offer tutoring
b. May offer tutoring
d. All of the above
Answer:
The answer is "Option b".
Explanation:
In the centers are public sites, in which members of the community appear together to collect for group activities, social service, publicly available, as well as other uses and they, are often open to the entire community or even a specialist group within the wider community, that's its museums or temples are places where tutoring may take place.
Answer:
B.
Explanation:
Walbin Corporation uses the weighted-average method in its process costing system. The beginning work in process inventory in a particular department consisted of 16,500 units, 100% complete with respect to materials cost and 40% complete with respect to conversion costs. The total cost in the beginning work in process inventory was $24,600. A total of 50,000 units were transferred out of the department during the month. The costs per equivalent unit were computed to be $1.30 for materials and $3.00 for conversion costs. The total cost of the units completed and transferred out of the department was:
Answer:
Total cost of units transferred out =$215,000
Explanation:
The total cost of units transferred out would be determined as follows
Value of units transferred out =
Material cost of units transferred out + Labor cost of units transferred out
Cost for each element= cost per equivalent unit× no of equivalent units
Note that using the weighted average method, the number of equivalent unit for material and labour is taken to be 100% for the unit transferred out.
Material cost = $1.30 × 50,000 = 65,000
Labour cost = $3.00× 50,000 = 150,000
Total cost of units transferred out =65,000 + 150,000 = $215,000
Frank has just completed a study in which he gave a survey to each of 7,000 employees and their supervisors in a large bank. His results show that job satisfaction (as evaluated by employees) was positively and significantly correlated with task performance (as evaluated by supervisors). The correlation was .54. Frank says that his results prove that job satisfaction causes task performance. Is he correct
Answer:
The declaration is mostly accurate or correct.
Explanation:
Task success can be induced by work satisfaction. But that could also be accurate the opposite way round, i.e. work success affects employee satisfaction. The inference reached here does not specify which incident seems to be the reason and which one is the trigger's consequence. A significant direct connection between the two can not be identified. Other than that, there could be other variables that may control the two variables.HELP PLEASE NOW!!!!!List the four stages of ability development. Provide an example of a person developing a specific ability. What would each stage look like?
Answer:
Sensorimotor Stage (0 - 2 years)
Preoperational Stage (2 - 7 years)
Concrete Operational Stage (7 - 11 years)
Formal Operational Stage (11 - 15 years)
Explanation:
Read the Original Text and Paraphrased Text below:Original Text (found on page 3 of a book by Edward Orr):When teaching world religions in the classroom, it is helpful to introduce artworks that are representative of each religion. This allows the teacher to address each religion on neutral ground, thus avoiding indoctrination.Paraphrase:Orr suggests that teachers use sacred objects of art as vehicles to teach world religions in our schools. Doing so can help the teacher to present each religion objectively (3).Which of the following statements about the above paraphrase is correct?A) The paraphrase skews the meaning intended by the author of the original document.B) Quotation marks need to be used.C) The wording is too close to the original.
D) Nothing is wrong with the paraphrasing.
Answer:
D) Nothing is wrong with the paraphrasing
Explanation:
We can reach this conclusion because the paraphrasing indeed reduces the length of the original text and yet still covey's the original message clearly, while also obeying the rules of grammar and writing.
For example, Edward Orr is directly mentioned as the source of the suggestion giving clear insight into who is speaking.
In the Vasquez Corporation, any overapplied or underapplied manufacturing overhead is closed out to Cost of Goods Sold. Last year, the Corporation incurred $27,000 in actual manufacturing overhead cost, and applied $29,000 of manufacturing overhead cost to jobs. The beginning and ending balances of Finished Goods were equal, and the Corporation's Cost of Goods Manufactured for the year totaled $71,000. Given this information, Cost of Goods Sold, after adjustment for any overapplied or underapplied manufacturing overhead, for the year must have been: Multiple Choice $98,000 $73,000 $71,000 $69,000
Answer:
$69,000
Explanation:
Calculation for overapplied or underapplied manufacturing overhead
Using this method
Manufacturing overhead=Cost of Goods Manufactured-( Actualmanufacturing overhead cost-Applied manufacturing overhead cost to job)
Let plug in the formula
Manufacturing overhead=71,000-(27,000-29,0000)
Manufacturing overhead=71,000-2,000
Manufacturing overhead=$69,000 overapplied
Therefore Manufacturing overhead for the year will be $69,000 overapplied
Read the following paragraph and its possible revisions. Then choose the revision that has the best paragraph coherence and that most accurately supports the original paragraph.Communication with the public and employees should be overseen by the director of PR. The duties of the crisis team should be divided according to each member’s area of expertise. Since communicating accurate information is critical, you will need to assign specific members to interface with your own employees and public-safety agencies. If your company does not have a public relations executive, this job should be handled by the head of marketing or human resources. Furthermore, all members of your crisis team should receive training in crisis communication.1. Communication with the public and employees should be overseen by the director of PR. The duties of the crisis team should be divided according to each member’s area of expertise. Since communicating accurate information is critical, you will need to assign specific members to interface with your own employees and public-safety agencies. If your company does not have a public relations executive, this job should be handled by the head of marketing or human resources. Furthermore, all members of your crisis team should receive training in crisis communication.2. All members of your crisis team should receive training in crisis communication, and the duties of the crisis team should be divided according to each member’s area of expertise. Since communicating accurate information is critical, you will need to assign specific members to interface with your own employees and public-safety agencies. Communication with the public and employees should be overseen by the director of PR. If your company does not have a public relations executive, this job should be handled by the head of marketing or human resources.3. The duties of the crisis team should be divided according to each member’s area of expertise. Since communicating accurate information is critical, you will need to assign specific members to interface with your own employees and public-safety agencies. Communication with the public and employees should be overseen by the director of PR. If your company does not have a public relations executive, this job should be handled by the head of marketing or human resources. Nevertheless, all members of your crisis team should receive training in crisis communication.The best revision of the original paragraph is: .Select the most appropriate transitions to promote paragraph coherence in the paragraphs that follow.Effective business messages are well organized and context appropriate; , your first step in crafting effective messages is appropriate planning. You should begin planning by conducting a situational analysis. , you should gather all appropriate and relevant data or information. The amount of research you conduct will be determined by the purpose and scope of the message. , you should develop an outline for your message. , you are ready to begin writing. You may have to write several drafts before you finish your message. Don’t be afraid to rewrite multiple times. , spending a little extra time on the planning and drafting process is always wise.Shorter paragraphs are more readable and inviting to business audiences. Answer the following question about paragraph length.Which one of the following techniques will help you control the length of your paragraphs?A) Develop shorter sentences.B) Limit the use of bullets and lists.C) Break large topics into smaller segments.
Answer:
1. 3. The duties of the crisis team should be divided according to each member’s area of expertise. Since communicating accurate information is critical, you will need to assign specific members to interface with your own employees and public-safety agencies. Communication with the public and employees should be overseen by the director of PR. If your company does not have a public relations executive, this job should be handled by the head of marketing or human resources. Nevertheless, all members of your crisis team should receive training in crisis communication.
- The first sentence here needs to stand alone unlike in option 2. Option 1 is just a repeat of the original paragraph so is not a revision and does not count.
2. Effective business messages are well organized and context appropriate; therefore, your first step in crafting effective messages is appropriate planning.
You should begin planning by conducting a situational analysis. Following this, you should gather all appropriate and relevant data or information. The amount of research you conduct will be determined by the purpose and scope of the message.
After completing these two steps, you should develop an outline for your message. Finally , you are ready to begin writing. You may have to write several drafts before you finish your message. Don’t be afraid to rewrite multiple times.
Since the most effective (successful) messages are well crafted, spending a little extra time on the planning and drafting process is always wise.
3. C) Break large topics into smaller segments.
By breaking large topics into small segments, each segment can then be explained in its own paragraph which will limit the length of paragraphs unlike if you had to talk about one larger topic in one paragraph.
Goddard Company has used the FIFO method of inventory valuation since it began operations in 2018. Goddard decided to change to the average cost method for determining inventory costs at the beginning of 2021. The following schedule shows year-end inventory balances under the FIFO and average cost methods: Year FIFO Average Cost 2018 $ 45,700 $ 55,400 2019 80,100 71,700 2020 85,800 80,100 Required: 1. Ignoring income taxes, prepare the 2021 journal entry to adjust the accounts to reflect the average cost method. 2. How much higher or lower would cost of goods sold be in the 2020 revised income statement
Answer:
1. Adjusting to Average Cost
DR Retained Earnings ........................................................$5,700
CR Inventory .......................................................................................$5,700
Working
Inventory = FIFO Ending Inventory 2020 - FIFO Ending Inventory 2019
= 85,800 - 80,100
= $5,700
2. The beginning inventory for 2020 will be lower by;
= 2019 FIFO Inventory - 2019 Average Cost inventory
= 80,100 - 71,700
= $8,400
The ending inventory will be lower by;
= 2020 FIFO Inventory - 2020 Average Cost inventory
= 85,800 - 80,100
= $5,700
Cost of Goods sold = Beginning inventory + purchases - ending inventory
= -8,400 - (-5,700)
= $2,700
Cost of Goods sold in 2020 income statement will be $2,700 lower.
Milano Co. manufactures and sells three products: product 1, product 2, and product 3. Their unit selling prices are product 1, $40; product 2, $30; and product 3, $20. The per unit variable costs to manufacture and sell these products are product 1, $30; product 2, $15; and product 3, $8. Their sales mix is reflected in a ratio of 6:4:2. Annual fixed costs shared by all three products are $270,000. One type of raw material has been used to manufacture products 1 and 2. The company has developed a new material of equal quality for less cost. The new material would reduce variable costs per unit as follows: product 1 by $10 and product 2 by $5. However, the new material requires new equipment, which will increase annual fixed costs by $50,000. If the company continues to use the old material, determine its break-even point in both sales units and sales dollars of each individual product. If the company uses the new material, determine its new break-even point in both sales units and sales dollars of each individual product. (Round to the next whole unit.) What insight does this analysis offer management for long-term planning? Please explain your work in detail and provide in-text citations. At least 5 references are required among which one should be the textbook as source of the data. Include the initial situation and initial assumptions in your answer.
Answer:
1. break even number in units = $270,000 / $12 = 22,500
product 1 units = 22,500 x 6/12 = 11,250 units
total sales = 11,250 x $40 = $450,00 0
product 2 units = 22,500 x 4/12 = 7,500 units
total sales = 7,500 x $30 = $225,000
product 3 units = 22,500 x 2/12 = 3,750 units
total sales = 3,750 x $20 = $75,000
total sales = $750,000
2. break even number in units = $320,000 / $18.67 = 17,139.8 units
product 1 units = 17,139.8 x 6/12 = 8,569.9 ≈ 8,567 units
total sales = 8,567 x $40 = $342,680
product 2 units = 17,139.8 x 4/12 = 5,713.27 ≈ 5,714 units
total sales = 5,714 x $30 = $171,420
product 3 units = 17,139.8 x 2/12 = 2,856.63 ≈ 2,857 units
total sales = 2,857 x $20 = $57,140
total sales = $571,240
c. Management should start using the new material as soon as possible since it doesn't only decrease the break even point, if sales level remain the same, it will increase operating profits.
Explanation:
product 1's contribution margin = $10
product 2's contribution margin = $15
product 3's contribution margin = $12
sales mix = 6:4:2
weighted contribution margin = ($10 x 6/12) + ($15 x 4/12) + ($12 x 2/12) = $5 + $5 + $2 = $12
new contribution margin:
product 1's contribution margin = $20
product 2's contribution margin = $20
product 3's contribution margin = $12
sales mix = 6:4:2
weighted contribution margin = ($20 x 6/12) + ($20 x 4/12) + ($12 x 2/12) = $10 + $6.67 + $2 = $18.67
The answers to the given questions are as follows:
a). $ 7.50,000
b). $571,240
c). The management should employ new material immediately.
Find the total salesa). Given that,
Number of break-even units = Annual fixed cost/number of months
= $270,000/12
= $ 22,500
Now, we will find the units of all three products to determine the total sales.
No. of units of product 1 = 22,500 x 6/12
= 11,250 units
No. of units of product 2 = 22,500 x 4/12
= 7,500 units
No. of units of product 3 = 22,500 x 2/12
= 3,750 units
We have the prices of products 1, 2, and 3 as $40, $30, and $20 respectively.
Using this,
We can find the total sales = 11,250 × $40 + 7,500 × $30 + 3,750 × $20
= 4,50,000 + 2,25,000 + 75000
= $ 7,50,000
b). Similarly,
Given that,
Number of break-even units = Annual fixed cost/new contribution margin
= $320,000 / $18.67
= 17,139.8 units
Now, we will find the units of all three products to determine the total sales.
No. of units of product 1 = 17,139.8 units x 6/12
= 8,567 units
No. of units of product 2 = 17,139.8 units x 4/12
= 5,714 units
No. of units of product 3 = 17,139.8 units x 2/12
= 2,857 units
We have the prices of products 1, 2, and 3 as $40, $30, and $20 respectively.
Using this,
We can find the total sales = 8,567 × $40 + 5,714 × $30 + 2,857 × $20
= $342,680 + $171,420 + $57,140
= $571,240
C). The firm is required to employ the new material with immediate response for increasing profit and decreasing break-even points.
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A useful approach for understanding a client's business environment and associated business risks is to perform a PESTLE analysis. PESTLE is an acronym for Political, Economic, Social,Technological, Legal and Environmental factors that are used to assess the client's business environment. A PESTLE analysis focuses on factors that may affect an entity's business model, but are beyond the control or influence of the client. While beyond management's direct influence, such factors may significantly impact an entity's business risk. Read the background information about the poultry industry and conduct additional research on the intemet to obtain the latest news and information on the industry. Brainstorm political, economic, social, technological, legal and environmental factors that could affect Asher Farms' business risk. Unless your instructor indicates otherwise, identify at least one business risk factor for each component of the PESTLE acron
Answer:
Business ricks factors for Poultry industry using PESTEL:
Political : Government imposes ban on hormone injections and artificial feeds.
Economic: Demand is high but supply is insufficient causing rise in prices.
Social: People taste changes and they are switched to beef.
Technological: Genetic manufacturing of eggs incurs high cost.
Environmental: Poultry industry creates smell pollution which can affect nearby societies.
Legal: Contract issues and termination of contract can cause industry failure.
Explanation:
PESTEL analysis is widely used in the business to identify the associated risks with the operations. In the pestel analysis all factors are analyzed in detail. Political, economic, social, technological, environmental and legal factors are analyzed in detail and risks associated with these factors are identified to improve business strategies.
The sentences in the following paragraph have been purposely placed in the wrong order. Examine key terms and transitional devices, and then rearrange the sentences so that the paragraph moves smoothly and logically from one sentence to the next. Indicate the correct order of the sentences by placing the sentence numbers in the order in which the sentences should appear. Briefly explain why you chose that particular order.
1) If such improvements could be achieved, the consequences would be significant for many different applications.
2) However, the most challenging technical problem is to achieve substantial increases in the quantities of electrical energy that can be stored per unit weight of the battery.
3) The overall process yields about 70% of the electricity originally put into the battery.
4) A storage battery is a relatively efficient way of storing energy.
Answer:
the order in which the sentences should appear is 4, 2, 3, 1
Explanation:
That means that the correct order should be;
"A storage battery is a relatively efficient way of storing energy.
However, the most challenging technical problem is to achieve substantial increases in the quantities of electrical energy that can be stored per unit weight of the battery.
The overall process yields about 70% of the electricity originally put into the battery.
If such improvements could be achieved, the consequences would be significant for many different applications."
Choosing this particular order allows the reader to easily understand;
what the object (storage battery ) is?the improvements the object needs? and the importance or consequences of such improvements?Journalize the following transactions for Lewis Company using the gross method of accounting for sales discounts. Assume a perpetual inventory system. Also, assume a constant gross profit ratio for all items sold. Make sure to enter the day for each separate transaction. August 10 Sold goods costing $5,160 to Henderson Company on account, $8,600, terms 4/10, n/30. August 16 Henderson Company was granted an allowance of $2,150 for returned merchandise that was previously purchased on account. The returned goods are damaged and have no scrap value. August 20 Received the amount due from Henderson Company.
Required:
prepare journal entry.
Answer and Explanation:
The Journal entry is shown below:-
1. Accounts receivable Dr, $8,600
To Sales $8,600
(Being sales made is recorded)
2. Cost of goods sold Dr,$5,160
To Merchandise inventory $5,160
(Being cost of goods sold is recorded)
3. Sales return and allowances Dr, $2,150
To Accounts receivable $2,150
(Being return of the merchandise is recorded)
4. Merchandise inventory Dr, $1,290 ($2,150 × $5,160 ÷ $8,600)
To Cost of goods sold $1,290
(Being cost of merchandise returned is recorded)
5. Cash Dr, $6,450 ($8,600 - $2,150)
To Accounts receivable $6,450
(Being receipt of cash iks recorded)
You manage a risky portfolio with an expected rate of return of 20% and a standard deviation of 36%. The T-bill rate is 5%.Your client chooses to invest 60% of a portfolio in your fund and 40% in an essentially risk-free money market fund. What are the expected return and standard deviation of the rate of return on his portfolio? (Do not round intermediate calculations. Round "Standard deviation" to 2 decimal places.)
Answer and Explanation:
The computation of the expected rate of return and the standard deviation is shown below;
The Expected Rate of Return is
= Weighted × expected rate of return + weighted × t-bill rate
= 0.60 × 20 + 0.40 × 5
= 14%
And,
The Standard Deviation is
= Weighted × standard deviation + weighted × 0
= 0.60 × 36 + 0.40 × 0
= 21.60%
The FIFO method provides a major advantage over the weighted-average method in that: A. the calculation of equivalent units is less complex under the FIFO method. B. the FIFO method treats units in the beginning inventory as if they were started and completed during the current period. C. the FIFO method separates the work done during the current period to provide measurements of work done during the current period. D. the FIFO method considers units in the work done in the ending work-in-process inventories. E. the FIFO method more correctly computes the equivalent units of direct materials when they are added at the beginning of the production process.
Answer:
C. the FIFO method separates the work done during the current period to provide measurements of work done during the current period.
Explanation:
When you are calculating production costs and equivalent units, FIFO method only focuses on the goods produced during the accounting period and basically doesn't consider previous costs associated to beginning inventory. On the other hand, the weighted average method includes both current costs and costs associated to beginning WIP.
Ricardo Construction began operations on December 1. In setting up its accounting procedures company decided to debit expense accounts when it prepays its expenses and to credit revenue accounts. Prepare journal entries for items a through d and the ad when customers pay for services in advance just and ng entries as of its December 31 period-end for items e through g. (Entries can draw from the following partial chart of accounts: Cash; Accounts Receivable; Interest Receivable; Supplies; Prepaid Engpeme in erred Bp nKemodeling Fees: Remodeling Fees Earned Supplies Expense Expense; Interest Expense.)a. Supplies are purchased on December 1 for $2,000 cash.b. The company prepaid its insurance premiums for $1,540 cash on December 2c. On December 15, the company receives an advance payment of $13,000 cash from a customer for remodeling work.d. On December 28, the company receives $3,700 cash from another customer for remodeling work to be performed in Januarye. A physical count on December 31 indicates that the company has $1,840 of supplies available.f. An analysis of the insurance policies in effect on December 31 shows that $340 of insurance had expired.g. As of December 31, only one remodeling project has been worked on and completed. The s5,570 fee for this project had been received in advance and recorded as remodeling fees earned
Answer:
Date Account title and Explanation Debit Credit
Dec 01 Supplies expenses $2,000
Cash $2,000
(To record Supplies inventory purchases)
Dec 02 Insurance Expenses $1,540
Cash $1,540
(To record prepaid insurance premiums)
Dec 15 Cash $13,000
Remodeling fees earned $13,000
(To record upfront remodeling fees)
Dec 28 Cash $3,700
Remodeling fees earned $3,700
(To record upfront remodeling fee)
Dec 31 Supplies $1,840
Supplies expenses $1,840
(To adjust supplies purchase asset to expense)
Dec 31 Prepaid Insurance $1,200
Insurance Expenses $1,200
($1,540 - $340)
(To adjust prepayment from asset to expense)
Dec 31 Remodeling fees earned $11,130
Unearned remodeling fees $11,130
($13,000 + $3,700 - $5,570)
(To adjust Unearned Remodeling Fees to
Remodeling Fees earned)
When Alfred Nobel died, he left the majority of his estate to fund five prizes, each to be awarded annually in perpetuity starting one year after he died (the sixth one, in economics, was added later). a. If he wanted the cash award of each of the five prizes to be $ and his estate could earn % per year, how much would he need to fund his prizes? b. If he wanted the value of each prize to grow by % per year (perhaps to keep up with inflation), how much would he need to leave? Assume that the first amount was still $. c. His heirs were surprised by his will and fought it. If they had been able to keep the amount of money you calculated in (b), and had invested it at % per year, how much would they have in 2014, 118 years after his death?
Answer:
the numbers are missing, so I looked for similar questions:
When Alfred Nobel died, he left the majority of his estate to fund five prizes, each to be awarded annually in perpetuity starting one year after he died (the sixth one, in economics, was added later). a. If he wanted the cash award of each of the five prizes to be $33,000 and his estate could earn 7% per year, how much would he need to fund his prizes? b. If he wanted the value of each prize to grow by 6% per year (perhaps to keep up with inflation), how much would he need to leave? Assume that the first amount was still $33,000 c. His heirs were surprised by his will and fought it. If they had been able to keep the amount of money you calculated in (b), and had invested it at 7% per year, how much would they have in 2014, 118 years after his death?
a) total amount of prizes = $33,000 x 5 = $165,000
using the perpetuity formula, present value = annual payment / discount rate
money needed in trust fund = $165,000 / 0.07 = $2,357,142.86
b) we need to use the growing perpetuity formula:
money needed in trust fund = $165,000 / (0.07 - 0.06) = $165,000 / 0.01 = $16,500,000
c) future value = present value x (1 + r) = $16,500,000 x (1 + 7%)¹¹⁴ = $36,917.7 million