1) Spreading the overhead refers to the process of dividing a company's overhead expenses (such as rent, utilities, and insurance) among the products it produces.
This is done to determine the cost of each product and set a price that covers the cost and allows for a profit margin.
2) The rational range of production refers to the range of production where a company can maximize its profits. It is determined by the point where the marginal cost (the cost of producing an additional unit) is equal to the marginal revenue (the revenue earned by selling an additional unit).
3) Average revenue is the revenue earned per unit sold, while marginal revenue is the revenue earned by selling an additional unit. The relationship between the two is that when marginal revenue is greater than average revenue, the average revenue will increase. When marginal revenue is less than average revenue, the average revenue will decrease.
4) The point of profit maximization is where the marginal cost and marginal revenue curves intersect. At this point, the company is producing the optimal level of output where the cost of producing an additional unit is equal to the revenue earned by selling an additional unit, resulting in the maximum profit.
5) The break-even point is the point where a company's total revenue is equal to its total cost, resulting in zero profit or loss. The shut-down point is the point where a company's total revenue is less than its total variable cost, resulting in a loss.
The difference between the two is that the break-even point is where a company is covering all of its costs, while the shut-down point is where a company should stop producing because it is losing money.
To know more about margin visit:
https://brainly.com/question/28481234
#SPJ11
after receiving financial information about the riding toy division at rainbow toys, management is considering closing the riding toy division. the division generated revenues of $950,500, the contribution margin was $239,800, and division income was ($162,700). however management discovered that $395,200 of corporate fixed overhead has been allocated to the division and included in the computation of division income. with this additional information, should rainbow close the riding toy division? why or why not?
The revised division income after considering the allocated fixed overhead is $232,500.
To determine whether Rainbow Toys should close the riding toy division, to recalculate the division's income by considering the allocation of corporate fixed overhead. The allocated fixed overhead may impact the division's profitability and decision-making.
Given information:
Revenues of the riding toy division = $950,500
Contribution margin = $239,800
Division income (before considering fixed overhead) = ($162,700)
Corporate fixed overhead allocated to the division = $395,200
Let's calculate the revised division income:
Division Income (after considering fixed overhead) = Division Income (before fixed overhead) + Allocated Fixed Overhead
Division Income (after considering fixed overhead) = ($162,700) + $395,200
Division Income (after considering fixed overhead) = $232,500
To know more about income here
https://brainly.com/question/2386757
#SPJ4
suppose a homeowner has an existing mortgage loan with these terms remaining balance of 150,000 interest rate of 8% in remaining term of 10 years with monthly payments this loan can be replaced by loan at an interest rate of 6% at a cost of 8% of the outstanding loan amount what should be the monthly payment on the new loan
Suppose a homeowner has an existing mortgage loan with the following terms:Remaining balance of 150,000.Interest rate of 8%.Remaining term of 10 years.Monthly payments.This loan can be replaced by a loan at an interest rate of 6% at a cost of 8% of the outstanding loan amount.
We need to find out what should be the monthly payment on the new loan.Let's calculate the cost of the outstanding loan amount:
Cost of outstanding loan amount = 8% of remaining balance on the
loan= 8% of 150,000= 12,000
This means the homeowner will have to pay a 12,000 penalty to replace the existing loan.Let's calculate the new loan amount:
New loan amount = outstanding balance + penalty
New loan amount= 150,000 + 12,000
New loan amount= 162,000
Now let's calculate the monthly payment for the new loan using the loan calculator and the following values:Loan amount = 162,000
Interest rate = 6%
Loan term = 10 years (120 months)
Monthly payment for the new loan = 1,804.69
Therefore, the monthly payment on the new loan should be 1,804.69.
To know more about Interest rate visit :
https://brainly.com/question/28236069
#SPJ11
Acme Fashion Company Acme Fashion Company (Acme) was founded fifteen years ago in England, when a small retail store was opened to sell premium-priced women's clothing based on traditional Indian designs. During its first five years business expanded quite quickly and two more product ranges were introduced. The three product ranges have remained essentially the same, with minor styling changes, for the last ten years. Although Acme continues to own the original retail store, the store forms a small part of its operations and has little impact on the main business of selling premium-priced women's clothing to retailers in Europe. The market for their products is well defined and there are many similar supply companies. The business experienced many ups and downs during its lifetime before Acme recognised that the business was directly linked to changes in the various European economies. When the economy expanded super profits could be made. When the economy slowed it was necessary to curtail operations. Outsourcing some production to other manufacturers assists in handling the business peaks and troughs. Today, Acme has sales of around £10 million per annum, profits of £2 million, and around 200 employees who are organised on a functional structure. There are no borrowings. Mr Patel is now Chairman of the company and has an executive board of experienced professionals who have been with the company for many years. They have detailed knowledge of both the business and the European market places, but are more limited when it comes to discussing developments outside these markets. The Chairman called a meeting of the board to discuss the strategic development and direction for Acme. After the meeting, the following statement was prepared for circulation to the board members and senior managers for their comments and observations. Five-year plan for Acme Fashion Company Business Definition Acme remains committed to the business of selling premium-priced women's clothing based on traditional Indian designs. Key Objective To increase sales from £10 million to £20 million per annum over the next five years. Environment At present Acme sells only in Europe. Global competition is increasing and foreign players have been entering the European markets. To date, Acme has held its market share but there is some evidence that prices can be expected to fall in the near future. We foresee a slow expansion of the European and world economies during the next five years. Some of our European-based competitors, particularly the smaller ones, are now in difficulties as a result of the increases in competition and high labour costs. Labour forms a high percentage of our cost structure also and it may be necessary to consider moving some of our production offshore to lower-cost economies, for example in Asia. Most market places are believed to be facing similar conditions and if we are to grow we must expand our horizons and be more dynamic. Test marketing, through a retailer owned by a relative in New York, suggests the USA market finds our products attractive. Strategy To increase sales from £10 million to £20 million per annum by: - developing and selling new ranges of premium-priced women's clothing to retailers and wholesalers. This will give us a means of defending our home markets and attacking foreign markets. - entering new geographic markets, commencing with the USA. This will assist our growth. - acquiring a related business with a turnover in the range of £2 million to £4 million per annum. This will accelerate our growth as the sales levels will be difficult to achieve by organic growth alone. Critical Success Factors In order to deliver the strategy it is essential that we: 1. Maintain the quality of our products 2. Maintain inventory at current levels 3. Increase European PR and advertising spend 4. Increase sales by 20 per cent per year 5. Increase market share Key Business Activities By carrying out the following activities to the best of our abilities, we will ensure Acme's success. 1. Monitoring sales performance 2. Establishing new sources of supplies 3. Hiring experienced financial advisors, perhaps a merchant banker or consultant 4. Defining profiles for desirable market places 5. Hiring new designers Reward System The board intends to share the benefits of future success with the senior management team and has decided that a bonus will be paid annually of 25 per cent or more if the following targets are achieved: 1. Increase sales by 20 per cent per annum 2. Recruit new dealers and retailers 3. Maintain inventory at current levels 4. Maintain receivables at current level of 45 days outstanding You have been asked to review the above statement and answer the questions below. 2 Questions 1) Critically review the elements of the Making Strategies Work statement from business definition through to strategy inclusive and comment on how appropriate they are.
The statement from business definition to strategy inclusive consists of the following elements: Business Definition: Acme Fashion Company (Acme) was founded fifteen years ago in England, when a small retail store was opened to sell premium-priced women's clothing based on traditional Indian designs.
Key Objective: To increase sales from £10 million to £20 million per annum over the next five years. Environment: At present, Acme sells only in Europe. Global competition is increasing, and foreign players have been entering the European markets. To date, Acme has held its market share, but there is some evidence that prices can be expected to fall in the near future.
Strategy: To increase sales from £10 million to £20 million per annum by developing and selling new ranges of premium-priced women's clothing to retailers and wholesalers; entering new geographic markets, commencing with the USA; and acquiring a related business with a turnover in the range of £2 million to £4 million per annum.
This will accelerate our growth as the sales levels will be difficult to achieve by organic growth alone. Critical Success Factors: It is essential that Acme maintain the quality of its products; maintain inventory at current levels; increase European PR and advertising spend; increase sales by 20 per cent per year; and increase market share.
Key Business Activities: Monitoring sales performance; establishing new sources of supplies; hiring experienced financial advisors, perhaps a merchant banker or consultant; defining profiles for desirable market places; and hiring new designers. Reward System:
To know more about traditional visit:
https://brainly.com/question/27992543
#SPJ11
Demo Problem 2 Solving T-Account
Candy's Cups manufactures and sells plastic party cups. At the beginning of the period they had 37,000 tons of plastic in direct materials inventory. During the period the firm purchased an additional 45,000 tons of plastic. At the end of the period the firm had 39,000 tons of plastic remaining in inventory. How many tons of plastic were used in production during the period?
According to the question 43,000 tons of plastic were used in production during the period.
To determine the number of tons of plastic used in production during the period, we can use the concept of the T-account.
The formula for calculating the plastic used in production is as follows:
Plastic Used in Production = Beginning Direct Materials Inventory + Purchases - Ending Direct Materials Inventory
Given information:
Beginning Direct Materials Inventory = 37,000 tons
Purchases = 45,000 tons
Ending Direct Materials Inventory = 39,000 tons
Using the formula, we can calculate the plastic used in production:
Plastic Used in Production = 37,000 tons + 45,000 tons - 39,000 tons
Plastic Used in Production = 43,000 tons
Therefore, 43,000 tons of plastic were used in production during the period.
To learn more about Materials
https://brainly.com/question/30418755
#SPJ11
samtech manufacturing purchased land and a building for $4 million. in addition to the purchase price, samtech made the following expenditures in connection with the purchase of the land and building: title insurance $ 16,000 legal fees for drawing the contract 5,000 pro-rated property taxes for the period after acquisition 36,000 state transfer fees 4,000
According to the information we can infer that the total cost of the land and building purchase for Samtech Manufacturing is $4,061,000.
How to calculate the total cost of the land and building purchase?To calculate the total cost of the land and building purchase, we need to add the purchase price to the expenditures made in connection with the purchase:
Purchase price: $4,000,000Title insurance: $16,000Legal fees: $5,000Pro-rated property taxes: $36,000State transfer fees: $4,000Total cost = Purchase price + Title insurance + Legal fees + Pro-rated property taxes + State transfer feesTotal cost = $4,000,000 + $16,000 + $5,000 + $36,000 + $4,000Total cost = $4,061,000According to the above we can conclude that the total cost of the land and building purchase for Samtech Manufacturing is $4,061,000.
Learn more about costs in: https://brainly.com/question/14566816
#SPJ4
"
1. What is the magnitude of cost of quality problems at the R2 plant? How effective were its past procedures for quality management?
To determine the magnitude of cost of quality problems and assess the effectiveness of past quality management procedures at the R2 plant, a detailed evaluation of financial records and quality-related expenses is necessary.
The financial impact suffered as a result of problems with product quality is referred to as the extent of the cost of quality problems at the R2 facility. Costs for identifying, averting, and resolving quality issues are included, as are those brought on by customer complaints, returns, and missed business opportunities. A thorough examination of the plant's financial records and costs associated with maintaining the plant's quality would be necessary to appropriately estimate the size of these costs.
A thorough evaluation would need to be done to determine the effectiveness of the R2 plant's previous quality management measures. This evaluation ought to look at things like the plant's compliance with quality standards, the frequency and seriousness of quality problems, customer satisfaction levels, and the plant's capacity for quality improvement.
Learn more about management procedures here:
https://brainly.com/question/32052522
#SPJ11
a brand story is a platform from which recognition, loyalty, and revenue are driven. what are the core components of a brand? (select all that apply.)
The core components of a brand are: Name, Logo, Tagline, Jingle, Visual Identity, Brand Voice, and Corporate Culture.
A brand story is a platform from which recognition, loyalty, and revenue are driven. The following are the core components of a brand:
Name: The name is the primary component of a brand. It is how your audience recognizes your brand.
Logo: A brand logo is the next important element of a brand. A logo should be straightforward, easy to read, and attractive to look at.
Tagline: A tagline is a brief phrase that summarizes the essence of your brand. A great tagline can help a brand stick in people's minds.
Jingle: A jingle is a song or tune that is commonly associated with your brand. A good jingle can be remembered for years to come and may help people to remember your brand.
Visual Identity: Visual identity includes everything that is visible in your brand, from color schemes to fonts and visual symbols.
Brand Voice: A brand's voice refers to the way that the brand communicates with its audience, from the tone of the content to the choice of words used to convey messages.
Corporate Culture: Corporate culture is an essential component of any brand, as it reflects the values and beliefs of a brand and informs how employees engage with customers and the public in general.
Learn more about Corporate Culture from the given link:
https://brainly.com/question/19564565
#SPJ11
The person who is elected by stockholders to determine and carry out the goals and policies of a corporation is legally called:
1.The board advisor
2.The director
3.The chief operating officer
4.The corporate agent
The person who is elected by stockholders to determine and carry out the goals and policies of a corporation is legally called the director. Option 2 is the right answer.
What is a director?A director is an individual elected by the shareholders of a corporation to run the corporation on their behalf.
The director's duties include setting the corporation's strategy, making critical business judgments, and overseeing corporate operations to meet the corporation's objectives.
A director's liability is imposed under both state and federal law, and it can be both civil and criminal liability.
Being a director is a serious responsibility, and it is critical that individuals who accept director positions comprehend the level of responsibility and liability that comes with the position.
Directors have a fiduciary duty to the corporation and the shareholders, meaning they must act in good faith and with the corporation's best interests at heart.
To know more on Stockholders visit:
https://brainly.com/question/18523103
#SPJ11
Entry of Notes Payable in Installments
On the first of January 2022, Empresas Buenapaga took out a loan of $100,000 in cash by signing an installment note payable that requires four annual payments that include payment to the principal and interest at 7% payable every December 31, 2022 to 2025.
Required:
Compute the amount of the annual loan payment assuming that the applicable present value of annuity factor is 3.3872
Make the journal entry to recognize the loan taken on the first of January 2022.
Make the journal entry to recognize the payment of the first term of the loan on December 31 , 2022.
The entry of notes payable in installments refers to the acquisition of a loan by a company that is paid in periodic installments. The loan amount is paid back in small amounts over time with interest. The journal entry is made to record the acquisition of the loan and its payments.
Annual loan payment = Loan amount / Present value of annuity factor
Given that Empresas Buenapaga took out a loan of $100,000 and the present value of annuity factor is 3.3872, we can calculate the annual loan payment as follows:
Annual loan payment = $100,000 / 3.3872 = $29,513.17 (rounded to the nearest cent)
The journal entry to recognize the loan taken on the first of January 2022 is as follows:
Date Account Title and Explanation Debit Credit
Jan. 1, 2022Cash100,000
Notes Payable100,000
To know more about installments visit:
https://brainly.com/question/24282472
#SPJ11
Consider FASB standards for reporting revenues from government grants received by a not-for-profit organization. Answer the following questions:
a. What features of government grants indicate they are conditional contributions?
b. When should revenue be recognized under a cost-reimbursement grant?
Please do not use an answer that was already posted
FASB (Financial Accounting Standards Board) standards have specific guidelines for reporting revenues from government grants for not-for-profit organizations.
These standards must be followed by such organizations in order to comply with the rules. Below are the answers to the given questions:
a. Features of government grants that indicate they are conditional contributions The following features indicate that a government grant is a conditional contribution:
If the grant requires the organization to undertake specific activities or carry out certain tasks or provide services, then it is a conditional contribution.
The government may require an organization to achieve a specific outcome or objective within a stipulated time frame. This means that the government has set specific conditions that the organization must meet to be eligible for the grant. Thus, it is a conditional contribution.
The grant agreement may also specify the conditions of eligibility. This means that the organization must meet certain criteria or comply with certain regulations to be eligible for the grant. The government may require that the funds be used for research, training, or other specific purposes. In such cases, the government is setting a condition that the funds must be used for a specific purpose.
b. Recognition of revenue under a cost-reimbursement grant Revenue should be recognized under a cost-reimbursement grant only when the costs have been incurred. This means that the revenue should be recognized when the expenses have been recorded in the books of accounts.
Cost-reimbursement grants are granted to reimburse the organization for the costs incurred in undertaking a project or providing services. This will ensure that the revenue is recognized in the same period as the expenses.
To know more about FASB visit:
https://brainly.com/question/30464283
#SPJ11
If French-based Affiliate A owes U.S.-based affiliate B$1,000 and Affiliate B owes Affiliate A∈2,000 when the exchange rate is $1.50=E1.00. The net payment between A and B should be closest to $2,000 from B to A E2,000 from A to B. $1.000 from B10 A none of the options
The net payment between A and B should be closest to $2,000 from B to A . Correct option is A
The net payment between Affiliate A and B in dollars can be calculated as follows;
$1,000 × (1/1.5) = €666.67;
and
$2,000 ÷ (1/1.5) = €3,000.
Therefore, A owes B $666.67 (€1,000 × (1/1.5)),
and B owes A $3,000 (€2,000 ÷ (1/1.5)).
Thus, the net payment from B to A should be the difference between what B owes A and what A owes B, that is $3,000 − $666.67 = $2,333.33 which is closest to $2,000 from B to A.
Hence the correct option is $2,000 from B to A.
To know more about owes :
https://brainly.com/question/26236649
#SPJ11
A black swan event has which of the following characteristics?
a It has little impact on society.
b It is an everyday occurrence.
c It is something that is planned.
d It is viewed as a negative event.
A black swan event has which of the following characteristics by (d). It is viewed as a negative event.
A black swan event is characterized by being an unpredictable and rare event that has a significant impact and is typically viewed as a negative occurrence. It is an event that deviates from normal expectations, is difficult to anticipate, and often has far-reaching consequences.
Black swan events are typically associated with extreme events or shocks that disrupt traditional models or beliefs. They are often retrospectively analyzed and considered obvious in hindsight but are challenging to predict or prepare for beforehand.
These events can have significant implications for society, economies, financial markets, or other systems.
Therefore, option d, "It is viewed as a negative event," accurately describes the characteristic of a black swan event.
Learn more about event from the given link
https://brainly.com/question/33448950
#SPJ11
-Write an essay consisting of 150300 words on this topic. "Role of Nanotechnology in our Lives and Societies and Its Possible Risks".
Nanotechnology is a field that deals with the design, production, and use of materials, devices, and systems that are at the nanometer scale. It is a rapidly growing field with applications in various areas of human endeavor, including medicine, electronics, energy production, and environmental remediation.
Nanotechnology has enormous potential to improve our lives and societies, but it also poses potential risks. One of the main benefits of nanotechnology is its use in medicine. Nanoparticles can be engineered to target specific cells in the body, allowing for the delivery of drugs directly to those cells. This can increase the effectiveness of treatments while reducing side effects. Nanoparticles can also be used for imaging purposes, allowing doctors to visualize tumors or other abnormalities in the body.
Other applications of nanotechnology include the production of stronger and lighter materials, such as carbon nanotubes, which have potential applications in the aerospace industry. Nanoparticles can also be used to purify water and clean up pollutants in the environment. In the electronics industry, nanotechnology is used to produce smaller and more powerful electronic components, which are used in computers, smartphones, and other devices.
Despite the potential benefits of nanotechnology, there are also concerns about its possible risks. One concern is that nanoparticles may have negative effects on human health. Some studies have suggested that exposure to certain nanoparticles may cause inflammation, oxidative stress, or other harmful effects in the body. Another concern is that nanoparticles may have negative effects on the environment. For example, nanoparticles released into the air or water may accumulate in the environment and cause harm to plants and animals.
Nanotechnology is a rapidly growing field with potential applications in many areas of human endeavor, including medicine, electronics, energy production, and environmental remediation. While nanotechnology has enormous potential to improve our lives and societies, it also poses potential risks. These risks include concerns about the possible negative effects of nanoparticles on human health and the environment. Despite these risks, however, the potential benefits of nanotechnology are significant, and researchers and policymakers are working to address the challenges associated with this emerging field.
Learn more about Nanotechnology: https://brainly.com/question/26155132
#SPJ11
mexican president porfirio diaz implemented liberal economic reforms that encouraged foreign capitalists to invest in the country, giving them control of what
Mexican President Porfirio Diaz implemented liberal economic reforms that encouraged foreign capitalists to invest in the country, giving them control of Railroads and oil fields.
Mexican President Porfirio Diaz implemented liberal economic reforms in the late 19th and early 20th centuries with the aim of modernizing and developing Mexico's economy. These reforms aimed to attract foreign capitalists and promote investment in the country. Diaz's government provided incentives and concessions to foreign investors, particularly in industries such as railroads and oil fields.
As a result, foreign capitalists gained significant control over these sectors, acquiring ownership and influence over strategic resources and infrastructure. While these reforms did bring some economic development and modernization, they also led to foreign dominance and exploitation of Mexico's natural resources, contributing to social inequalities and political tensions that eventually sparked the Mexican Revolution in 1910.
Learn more about Porfirio Diaz here:
https://brainly.com/question/55966
#SPJ4
benson electronics reports net income of $520,000. depreciation expense is $37,000, accounts receivable increases $11,000, and accounts payable decreases $17,000. calculate net cash flows from operating activities using the indirect method. (amounts to be deducted should be indicated with a minus sign.)
The net cash flows from operating activities using the indirect method is $563,000. This indicates the amount of cash generated or used by the company's core operations during the period, after accounting for non-cash expenses and changes in working capital.
To calculate the net cash flows from operating activities using the indirect method, we need to consider the changes in non-cash items and adjustments to net income. Here's how you can calculate it:
1. Start with the net income of $520,000.
2. Add back the depreciation expense of $37,000 since it is a non-cash expense. This is because depreciation is an accounting entry that reduces the value of an asset over its useful life.
3. Adjust for the increase in accounts receivable of $11,000. An increase in accounts receivable means that less cash was received from customers during the period, so it needs to be subtracted.
4. Adjust for the decrease in accounts payable of $17,000. A decrease in accounts payable means that more cash was paid to suppliers during the period, so it needs to be added.
5. Sum up all the adjustments:
- Depreciation expense: +$37,000
- Increase in accounts receivable: -$11,000
- Decrease in accounts payable: +$17,000
6. Calculate the net cash flows from operating activities by adding the adjustments to the net income:
$520,000 + $37,000 - $11,000 + $17,000 = $563,000
Therefore, the net cash flows from operating activities using the indirect method is $563,000. This indicates the amount of cash generated or used by the company's core operations during the period, after accounting for non-cash expenses and changes in working capital.
Know more about operating activities here:
https://brainly.com/question/28903370
#SPJ11
Banks attempt to screen good credit risks from bad to reduce the incidence of loan defaults. To do this, banks
A) specialize in lending to certain industries or regions.
B) write restrictive covenants into loan contracts.
C) expend resources to acquire accurate credit histories of their potential loan customers. D) do all of the above.
Banks use a variety of methods to screen good credit risks from bad, including acquiring accurate credit histories, specializing in lending to certain industries or regions etc.
Acquiring accurate credit histories of their potential loan customers. This is one of the most important ways that banks screen for good credit risks. A credit history shows how a person or business has managed their debt in the past, and it can be a good indicator of how they will manage their debt in the future.
Specializing in lending to certain industries or regions. Banks may specialize in lending to certain industries or regions because they have more knowledge about those industries or regions and the risks associated with them.
Writing restrictive covenants into loan contracts. Restrictive covenants are clauses in loan contracts that place restrictions on the borrower's activities. Restrictive covenants can help to reduce the risk of default by making it more difficult for the borrower to get into financial trouble.
To learn more about loan: https://brainly.com/question/32290519
#SPJ11
Listening 2.3 - Libby Larson: "Kyrie" from Missa Gaia
No unread replies.55 replies.
After listening to Listening 2.3, respond to the following questions:
1. How does Larsen's use of consonance and dissonance impact your experience listening to this setting of a "Kyrie"? Be specific.
2. How does your experience listening to Larsen's "Kyrie" differ from your experience listening to Hildegard von Bingen's "Kyrie"?
1. The way in which Libby Larson utilizes consonance and dissonance influences the listener's experience of her Kyrie setting in a variety of ways. Consonance generates a sense of stability and calm, while dissonance produces a sense of tension and disharmony.
In "Kyrie," there is a great deal of dissonance, which contributes to the music's contemporary style. The dissonance causes a sense of restlessness, as if the music is constantly struggling to break free of its established structure. It is a very anxious, modern composition that differs from the traditional Kyrie settings that we have become accustomed to.
2. Hildegard von Bingen's "Kyrie" is written in a Gregorian Chant style, which is drastically different from Libby Larson's. Bingen's Kyrie has a more stable structure, and the repetition of the chant creates a serene and contemplative mood. This contrasts significantly from Larson's Kyrie, which is full of tense energy and dissonance. While listening to Bingen's "Kyrie," you may feel a sense of calm and peace, while listening to Larson's "Kyrie," you may feel anxious and apprehensive.
To know more about influences visit:
https://brainly.com/question/30364017
#SPJ11
Talk about (Revised) IAS No. 1: Presentation of
Financial Statements in term of assets
classification.
(Revised) Guidelines for the presentation and disclosure of financial statements are outlined in IAS No. 1: Presentation of Financial Statements.
The updated standard offers a structure for the reporting of assets in a balance sheet in terms of asset classification. According to whether their estimated realisation would occur within the regular operating cycle or 12 months from the reporting date, it requires companies to categorise assets as either current or non-current. Non-current assets are those that are planned for usage outside of the operating cycle while current assets are those that are anticipated to be turned into cash or consumed inside the operating cycle. This classification aids readers of financial accounts in comprehending the assets of an entity's liquidity and long-term survival.
learn more about financial here:
https://brainly.com/question/32292990
#SPJ11
A firm started the year with retained earnings of $8,700 and ended the year with retained earnings of $8,250. During the year, the firm earned a net income of $3,100. How much did the firm pay in dividends?
Multiple Choice
$3,550
$2,650
$550
$2,550
$3,650
The firm paid in $3,550 dividends.
The correct answer to the given question is option a.
A firm began the year with retained earnings of $8,700 and ended the year with retained earnings of $8,250.
In other words, the firm had a reduction in its retained earnings account of $450 (i.e. $8,700 - $8,250). The firm's net income for the year is $3,100, which means that the total amount of dividends paid by the firm during the year is equal to:
Dividends = Beginning Retained Earnings - Ending Retained Earnings + Net Income
Dividends = $8,700 - $8,250 + $3,100Dividends = $3,550
However, if the firm's dividends paid during the year were more than its net income, then the value calculated would be negative, which is not the case here. As a result, the amount of dividends paid by the firm during the year is $550.
For more such questions on dividends, click on:
https://brainly.com/question/2960815
#SPJ8
During May 2022, your company used $400 of cleaning supplies in the factory. When the use of these supplies is recorded in your company’s accounting system: (select only one option from below)
The balance in the factory supplies account will increase, and the balance in the factory overhead account will decrease.
The balance in the work-in-process inventory account will increase, and the balance in the factory supplies account will decrease.
The balance in the factory overhead account will increase, and the balance in the work-in-process inventory account will decrease.
The balance in the work-in-process inventory account will increase, and the balance in the factory overhead account will decrease.
The balance in the factory overhead account will increase, and the balance in the factory supplies account will decrease
When the use of $400 of cleaning supplies in the factory is recorded in a company's accounting system during May 2022, the balance in the factory supplies account will decrease, and the balance in the factory overhead account will increase.
Here's why: The factory supplies account is a control account that records all purchases and usage of direct materials (in this case, cleaning supplies) used in the factory. When these supplies are used, the balance in the factory supplies account is decreased because the supplies are no longer available for use. However, the use of these supplies is also a direct cost of the factory, which is recorded in the factory overhead account.
Thus, the balance in the factory overhead account will increase when the supplies are used up. The other options in the question are incorrect. The balance in the work-in-process inventory account is not affected by the use of cleaning supplies. This account is used to track the cost of products that are still being manufactured in the factory but are not yet complete.
To know more about factory visit :-
https://brainly.com/question/1483309
#SPJ11
Which of the following correctly matches prior terminology under accounting standards with updoted torminology under Asu 2016−i4? a. Unrestricted net assots are still unrostricted; temporarily and permanently restricted net assats dre now "With donor restrictions" under AsU 20l6-l4. b. Unrestricted net assets are now "Without donor restrictions." Temporarily restricted net assets ote now "with donor restrictions," and permanenthy restricted net assets remain permanently restricted. c. Unrestricted and temporarily restricted net assets are now "without donor restrictions." Permanently restricted nat assets are now "with donoe restrictions." d. Unrestricted not assets are now "without donor restrictions." Temporarily and permanently restrioted net assets are now "with donor restrictions"
As per ASU 2016-14, the updated terminology is as follows:a. Unrestricted net assets are still unrestricted; temporarily and permanently restricted net assets are now "with donor restrictions" under ASU 2016-14.b. Unrestricted net assets are now "without donor restrictions.
" Temporarily restricted net assets are now "with donor restrictions," and permanently restricted net assets remain permanently restricted. c. Unrestricted and temporarily restricted net assets are now "without donor restrictions." Permanently restricted net assets are now "with donor restrictions.
"d. Unrestricted net assets are now "without donor restrictions." Temporarily and permanently restricted net assets are now "with donor restrictions.
"Hence, option b is correct: Unrestricted net assets are now "Without donor restrictions." Temporarily restricted net assets are now "With donor restrictions," and permanently restricted net assets remain permanently restricted.
To know more about terminology visit:
https://brainly.com/question/28266225
#SPJ11
market supply is the:a tabular representation of the relationship between the price of a good, service, or resource and the quantities producers are willing and able to supply is known as the supply
Market supply refers to the total amount of goods and services that producers are willing and able to offer at various prices in a given market or during a specific period.
It's calculated by adding up all of the individual supplies of each supplier. The supply of a commodity is the amount of the good or service that producers are willing and able to sell at various prices, ceteris paribus, over a given period of time. At higher prices, suppliers are more willing to provide more, and at lower prices, they are less willing to provide more.
Producers' willingness to produce is influenced by many factors, including the cost of production, technology, input prices, and government policies. A higher price may cause existing producers to increase production, but it may also encourage new producers to enter the market. On the other hand, a lower price may cause some producers to leave the market, resulting in a decrease in supply. As a result, the supply curve is upward-sloping, indicating that as the price rises, the quantity supplied rises.
In conclusion, the market supply is the total amount of goods and services that producers are willing and able to provide at various prices in a particular market. The supply curve is a graphical representation of the relationship between price and quantity supplied.
To know more about amount visit:
https://brainly.com/question/32453941
#SPJ11
Explain the disadvantages of the open-outcry system compare to
screen-based system (electronic).
(8 marks)
The open-outcry system and the screen-based system are two methods of conducting trading activities in the financial markets. The open-outcry system is a traditional method of trading that involves traders gathering on a trading floor and shouting out bids and offers to buy and sell securities.
On the other hand, the screen-based system, also known as an electronic trading system, is a modern method of trading that involves the use of computer systems and the internet to connect traders from different locations.
The open-outcry system has a number of disadvantages when compared to the screen-based system. Firstly, the open-outcry system is time-consuming and expensive. Traders have to travel to a trading floor to conduct their trading activities. This requires a lot of time and money, especially for traders who are located far away from the trading floor. Additionally, the open-outcry system requires the hiring of a large number of support staff such as brokers, clerks, and messengers. These additional staff members increase the cost of trading and reduce its efficiency.
Secondly, the open-outcry system is prone to errors and fraud. Traders can easily make mistakes in their bids and offers due to the noise and chaos of the trading floor. This can lead to losses for traders and investors. Additionally, the open-outcry system is susceptible to insider trading, where traders use non-public information to gain an unfair advantage over other traders.
To know more about open-outcry system visit:
https://brainly.com/question/3321753
#SPJ11
Each of the four independent situations below describes a sales-type lease in which annual lease payments of $100,000 are payable at the beginning of each year. Each is a finance lease for the lessee. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1 (Use appropriete fector(s) from the tebles provlded.) Situation Lease term (years) Lessor's and lessee's interest rate Residual value: 9% 11% 18% 12% Estimated fair value Guaranteed by lessee $58,80 $8,98e $8,800 $58,8e $60,8e0 Determine the following amounts at the beginning of the lease. (Round your Intermedlate and final answers to the nearest whole doller amount.) A The lessor's: 1. Lease payments 2. Gross investment in the lease 3. Net investment in the lease 5 700,000 700,000 800,000 808,000 590,574 700,000 750,000 548,592 547.137 B The lessee's: 4. Lease payments 5. Right-of-use asset 6. Lease payable 700,000 548,592 548,592 700,000 800,000 586,842 586,842
Situation Lease term (years) Lessor's and lessee's interest rate Residual value: 9% 11% 18% 12% Estimated fair value Guaranteed by lessee $58,80 $8,98e $8,800 $58,8e $60,8e0
Determine the following amounts at the beginning of the lease. (Round your Intermediate and final answers to the nearest whole dollar amount.)A) The lessor's:1. Lease payments 2. Gross investment in the lease 3. Net investment in the lease Situation Lease term (years) Lessor's and lessee's interest rate Residual value: 9% 11% 18% 12%
Estimated fair value Guaranteed by lessee $58,80 $8,98e $8,800 $58,8e $60,8e
$100,000 × 3.890 = $389,000 per year2. Gross Investment in the lease:
PV of lease payment + Residual value of the asset which is $58,800.
$389,000 + $58,800 = $447,800.3.
Net Investment in the lease: Gross Investment - Guaranteed Residual Value;
which means $447,800 - $58,800 = $389,000. Situation 2:11%
$303,800 + $8,800 = $312,600.3. Net Investment in the lease:
Gross Investment - Guaranteed Residual Value; which means
$312,600 - $8,800 = $303,800. Situation 4:12% lessee's interest rate Solution:
First, we need to find the present value of annuity factor for 5 years at 12% interest rate from the PV of an Annuity Table which comes out to be 3.604.1. Lease Payments: $100,000 × 3.604 = $360,400 per year2.
To know more about interest visit:
https://brainly.com/question/30393144
#SPJ11
Teal Mountain Sporting Goods Inc. has been experiencing growth in the demand for its products over the last several years. The last two Olympic Games greatly increased the popularity of basketball around the world. As a result, a European sports retailing consortium entered into an agreement with Teal Mountain's Roundball Division to purchase an increasing number of basketballs and other accessories over the next five years. To meet the quantity commitments of this agreement, Teal Mountain had to increase its manufacturing capacity. A real estate firm found an available factory close to Teal Mountain's Roundball manufacturing facility, and Teal Mountain agreed to purchase the factory and used machinery from Encino Athletic Equipment Company on October 1, 2019. Renovations were needed to convert the factory for Teal Mountain's manufacturing use. The terms of the agreement required Teal Mountain to pay Encino $50,000 when renovations started on January 1,2020 , with the balance to be paid as renovations were completed. The overall purchase price for the factory and machinery was $450,000. The building renovations were contracted to Malone Construction at $112.500. The payments made as renovations progressed during 2020 are shown below. The factory began operating on January 1, 2021. On January 1, 2020, Teal Mountain secured a $562,500 line of credit with a 12% interest rate to finance the purchase cost of the factory and machinery and the renovation costs. Teal Mountain drew down on the line of credit to meet the payment schedule shown above; this was Teal Mountain's only outstanding loan during 2020. Bob Sprague, Teal Mountain's controller, will capitalize the maximum allowable interest costs for this project, which he has calculated to be $23,000. Teal Mountain's policy regarding purchases of this nature is to use the land's appraisal value for book purposes and prorate the balance of the purchase price over the remaining items. The factory had originally cost Encino $350,000 and had a carrying amount of $50,000, while the machinery originally cost $137,500 and had a carrying amount of $40,000 on the date of sale. The land was recorded on Encino's books at $50,000. An appraisal, conducted by independent appraisers at the time of acquisition, valued the land at $330,000, the factory at $133,000, and the machinery at $57,000. Angie Justice, chief engineer, estimated that the renovated factory would be used for 15 years, with an estimated residual value of $20,000. Justice estimated that the productive machinery would have a remaining useful life of 5 years and a residual value of $2,000. Teal Mountain's depreciation policy specifies the 200% declining-balance method for machinery and the 150% declining-balance method for the factory. Half a year's depreciation is taken in the year the factory is placed in service and half a year's depreciation is allowed when the property is disposed of or retired. (a) Determine the amounts to be recorded on the books of Teal Mountain Sporting Goods Inc. as at December 31, 2020, for each of the following assets acquired from Encino Athletic Equipment Company: (1) land, (2) factory, and (3) machinery. (1) Land $ (2) Factory (3) Machinery Totals
The answer is as follows: (1) Land $330,000, (2) Factory $119,600, and (3) Machinery $102,900.
The amount to be recorded on the books of Teal Mountain Sporting Goods Inc. as at December 31, 2020, for each of the following assets acquired from Encino Athletic Equipment Company is given below:
(1) Land $330,000
Book value as per Encino's books = $50,000, Appraised value = $330,000)
(2) Factory $119,600
Purchase price = $350,000 - $50,000 + ($450,000 - $350,000) × $133,000 / ($133,000 + $57,000) = $119,600)
(3) Machinery $102,900
Purchase price = $137,500 - $40,000 + ($450,000 - $350,000) × $57,000 / ($133,000 + $57,000) = $102,900)
Learn more about Purchase price: https://brainly.com/question/15623552
#SPJ11
Suppose Oppenheimer Bank is offering a 30-year mortgage with an EAR of 5.375%. If you plan to borrow $150,000, what will be your monthly payment?
- Your monthly payment will be $_____
The monthly payment of the Oppenheimer bank would be $828.85.What is EAR?EAR is the effective annual rate, a proportionate rate that incorporates the interest rate that is applied on the principal and the compound interest that accrues on the previous year's interest.
The formula for calculating EAR is given by EAR = (1 + r/m)m - 1, where r is the annual nominal interest rate and m is the number of times interest is compounded annually.Given below are the relevant details:Mortgage amount = $150,000Nominal interest rate = 5.375%Compounding period = MonthlyTerm of the loan = 30 yearsWe need to determine the monthly payment of the mortgage using the above details.The formula to calculate monthly payments is:PV = PMT * [(1 - (1 / (1 + r)n)) / r], where PV is the present value of the mortgage, PMT is the monthly payment, r is the monthly interest rate, and n is the number of monthly payments over the term of the mortgage.Converting nominal rate into monthly rate:Since the compounding period is monthly, we convert the nominal interest rate into the monthly interest rate using the formula: r = (1 + i)1/12 - 1where i = nominal interest rate per annum= 5.375% / 100 = 0.05375r = (1 + 0.05375)1/12 - 1r = 0.00435Calculation of monthly payment using the formula:PV = PMT * [(1 - (1 / (1 + r)n)) / r]Here, PV = $150,000, r = 0.00435, and n = 30 x 12 = 360 yearsPutting the values, we get:150000 = PMT * [(1 - (1 / (1 + 0.00435)360)) / 0.00435]PMT = 150000 / [(1 - (1 / (1.00435)360)) / 0.00435]PMT = $828.85Therefore, the monthly payment will be $828.85.
To know more about proportionate rate visit:
https://brainly.com/question/21647551
#SPJ11
Donner Company is selling a plece of land adjacent to its business premises, An appraisal reported the market value of the land to be $218,269. The Focus Company initialy offered to buy the land for $178,411. The companies setbed on a purchase price of $213,307, On the same day, another piece of iand on the same block sold for 3237,908. Under the cost concept, at what amount should the land be recorded in the accounting records of Focus Company? a. 5737,008 b. $218π20 c. 3213,397 d. \$178.411
Donner Company is selling a piece of land adjacent to its business premises. An appraisal reported the market value of the land to be $218,269.
The Focus Company initially offered to buy the land for $178,411.
The companies settled on a purchase price of $213,307. On the same day, another piece of land on the same block sold for 3237,908.
Under the cost concept, the land should be recorded in the accounting records of Focus Company at the amount at which it was purchased, i.e., $213,307.
Although another piece of land on the same block was sold for $237,908 on the same day, that transaction doesn't relate to the cost of the land purchased by the Focus Company.
A cost concept is an accounting concept that is applied to the records of business organizations and assets.
The cost concept establishes that assets should be recorded at the price at which they were purchased.
Any subsequent rise in their value cannot be recorded in the books.
Likewise, if the value of an asset falls, it is not to be written off, as that is not permissible under the cost concept.
Thus, under the cost concept, the amount at which the land should be recorded in the accounting records of Focus Company is $213,307. Option C is the correct answer.
To know more about business visit:
https://brainly.com/question/29608710
#SPJ11
1. How do airlines practice price discrimination?
2. Does price discrimination increase revenue for airlines?
Airlines often practice price discrimination by offering different prices for the same seat based on factors such as time of purchase, length of stay, and class of service.
This enables airlines to charge a higher price to customers who are willing to pay more while filling seats that would otherwise go unsold. Price discrimination can also be used to increase revenue for airlines. By charging different prices to different customers, airlines can increase their revenue by capturing more of the consumer surplus.
There are risks associated with price discrimination, including the possibility of alienating customers who feel they are being unfairly charged and the potential for reduced consumer welfare. In conclusion, airlines use price discrimination by offering different prices for the same seat based on different factors.
To know more about discrimination visit:
https://brainly.com/question/14896067
#SPJ11
For 2012, the New Products Division, of Testar Company, had operating income of $9,600,000 and operating assets of $46,400,000. The New Products Division has developed a potential new product that would require $10,100,000 in operating assets and would be expected to provide $3,000.000 in operating income each year. Testar has set a target return on investment (RO1) of 21% for each of its divisions, Assuming that the new product is put into production, calculate the residual income for the division. Multiple Choice $2,265,000 $695,000 $735,000 $535,000
The residual income for the New Products Division, assuming the new product is put into production, is $735,000.
Residual income is calculated as operating income minus the required return on investment (ROI). The required ROI is determined by multiplying the target ROI (21%) by the operating assets. In 2012, the operating income for the division was $9,600,000, and the operating assets were $46,400,000.
If the new product is implemented, the additional operating assets required would be $10,100,000, and the expected operating income would be $3,000,000 annually.
The required ROI for the new product would be $2,121,000 (10,100,000 x 21%), and the residual income would be the difference between the expected operating income ($3,000,000) and the required ROI ($2,121,000), resulting in $879,000.
However, since the question asks for the residual income specifically for the new product, we subtract the residual income of the existing division ($9,600,000 - $2,121,000 = $7,479,000) to get the final answer of $735,000 ($879,000 - $7,479,000).
Learn more about income here-
brainly.com/question/14826727
#SPJ11
On 15t January 2021 Hagrid ttd, acquired a castle to install its factory for E1,200,000 on cast. The castle has a useful life of 100 years and 0 residual value. Hagrid Lid. uses the straight-line depreciation method. The accounting year-end for Hagrid Ltd. is 3 ist December. On 30 th April 2022. Hagrid Ltd. sells the castle for £800,000. Which are all the accounting entries related to these economic transactions? d. None of the answers is true.
Since the question asks for the accounting entries, the loss is not explicitly recorded in this scenario.
The accounting entries related to the economic transactions involving Hagrid Ltd.'s acquisition and subsequent sale of a castle are as follows: On January 15, 2021, Hagrid Ltd. would record a debit entry to the Castle asset account for £1,200,000 and a credit entry to the Cash/Bank account for the same amount.
Additionally, a contra-asset account called Accumulated Depreciation - Castle would be created with an initial credit entry of £0. On April 30, 2022, when Hagrid Ltd. sells the castle for £800,000, the following entries would be made: a debit entry to the Cash/Bank account for £800,000
A debit entry to the Accumulated Depreciation - Castle account for the depreciation expense accumulated until the sale date, and a credit entry to the Castle asset account for the original cost of £1,200,000. The net effect of these entries would result in a loss on the sale of the castle.
The first transaction occurred on January 15, 2021, when Hagrid Ltd. acquired the castle. The acquisition cost of £1,200,000 is debited to the Castle asset account, representing an increase in the company's assets. The corresponding credit entry is made to the Cash/Bank account since cash was used to make the purchase.
As the castle has a useful life of 100 years with no residual value, the depreciation is calculated using the straight-line method, where an equal amount is allocated to each accounting period. However, no depreciation entry is required at the time of acquisition because the year-end is on December 31, and the acquisition took place on January 15.
The second transaction occurred on April 30, 2022, when Hagrid Ltd. sold the castle. The sale proceeds of £800,000 are debited to the Cash/Bank account, representing an increase in cash inflow. The Accumulated Depreciation - Castle account, which tracks the depreciation expense over time, is debited for the total depreciation accumulated until the sale date.
The credit entry is made to the Castle asset account, reducing its balance by the original cost of £1,200,000. Since the castle was sold for £800,000, the difference between the sale proceeds and the original cost results in a loss on the sale. However, since the question asks for the accounting entries, the loss is not explicitly recorded in this scenario.
Learn more about depreciation click here: brainly.com/question/30531944
#SPJ11
Since the question asks for the accounting entries, the loss is not explicitly recorded in this scenario.
The accounting entries related to the economic transactions involving Hagrid Ltd.'s acquisition and subsequent sale of a castle are as follows: On January 15, 2021, Hagrid Ltd. would record a debit entry to the Castle asset account for £1,200,000 and a credit entry to the Cash/Bank account for the same amount.
Additionally, a contra-asset account called Accumulated Depreciation - Castle would be created with an initial credit entry of £0. On April 30, 2022, when Hagrid Ltd. sells the castle for £800,000, the following entries would be made: a debit entry to the Cash/Bank account for £800,000
A debit entry to the Accumulated Depreciation - Castle account for the depreciation expense accumulated until the sale date, and a credit entry to the Castle asset account for the original cost of £1,200,000. The net effect of these entries would result in a loss on the sale of the castle.
The first transaction occurred on January 15, 2021, when Hagrid Ltd. acquired the castle. The acquisition cost of £1,200,000 is debited to the Castle asset account, representing an increase in the company's assets. The corresponding credit entry is made to the Cash/Bank account since cash was used to make the purchase.
As the castle has a useful life of 100 years with no residual value, the depreciation is calculated using the straight-line method, where an equal amount is allocated to each accounting period. However, no depreciation entry is required at the time of acquisition because the year-end is on December 31, and the acquisition took place on January 15.
The second transaction occurred on April 30, 2022, when Hagrid Ltd. sold the castle. The sale proceeds of £800,000 are debited to the Cash/Bank account, representing an increase in cash inflow. The Accumulated Depreciation - Castle account, which tracks the depreciation expense over time, is debited for the total depreciation accumulated until the sale date.
The credit entry is made to the Castle asset account, reducing its balance by the original cost of £1,200,000. Since the castle was sold for £800,000, the difference between the sale proceeds and the original cost results in a loss on the sale. However, since the question asks for the accounting entries, the loss is not explicitly recorded in this scenario.
Learn more about depreciation click here: brainly.com/question/30531944
#SPJ11