Complete Question:
Center Company makes collections on sales according to the following schedule:
30% in the month of sale
60% in the month following sale
10% in the second month following sale
The following sales are expected:
Expected Sales
January $ 141,000
February $ 155,000
March $ 146,000
Cash collections in March should be budgeted to be:
A. $146,500.
B. $146,000.
C. $136,800.
D. $150,900.
Answer:
Center Company
Cash collections in March should be budgeted to be:
D. $150,900.
Explanation:
a) Data and Calculations;
January February March
Expected Sales $141,000 $155,000 $146,000
Cash Collections:
30% month of sale 42,300 46,500 43,800
60% following sale 84,600 93,000
10% second month 14,100
Total budgeted cash collections in March $150,900
Cash collections for March:
30% in the month of sale = $43,800 ($146,000 * 30%)
60% in the month following sale = $93,000 ($155,000 * 60%)
10% in the second month following sale = $14,100 ($141,000 * 10%)
who was the 3rd overall pick in the 2020 nba draft and what team selected him?
Answer:
The Charlotte Hornets selected LaMelo Ball :)
The 3rd Overall Pick was LaMelo Ball ,Selected by the Charlotte Hornets
Using a dividend discount model, what is the value of a stock that pays an annual dividend of $5 that is not expected to grow, and the discount rate is 10%? What will be the value of the stock if the dividend is expected to grow 5% per year?
Answer:
a. Value of the stock without growth rate
= D1 / (r - g)
= $5 / (10% - 0)
= $5 / 10%
= $5 / 0.10
= $50
b. Value of the stock with growth rate
= D1 / (r - g)
= $5 / (10% - 5%)
= $5 / 5%
= $5 / 0.05
= $100
Selena Company has two products: A and B. The company uses activity-based costing. The estimated total cost and expected activity for each of the company's three activity cost pools are as follows: The activity rate under the activity-based costing system for Supporting Customers is closest to: Multiple Choice $18.53 $46.33 $21.67 $65.00
Answer:
the activity rate for Supporting Customers is $21.67
Explanation:
The computation of the activity rate under the activity-based costing system for Supporting Customers is shown below;
= Estimated overhead cost ÷ Total expected activity
= $26,000 ÷ 1,200
= $21.67
hence, the activity rate for Supporting Customers is $21.67
Therefore the third option is correct
If a portfolio had a return of 8%, the risk-free asset return was 3%, and the standard deviation of the portfolio's excess returns was 20%, the Sharpe measure would be
Answer: 25%
Explanation:
The Sharpe Ratio will be calculated by using the formula:
= (Rp−Rf)/σp
where,
Rp = return of portfolio = 0.08
Rf = risk-free rate = 0.03
σp = standard deviation of portfolio’s excess return = 0.20
Therefore, Sharpe Ratio will be:
= (Rp−Rf)/σp
= (0.08 - 0.03)/0.20
= 0.05/0.20
= 0.25 or 25%
The Sharpe ratio is 25%.
Sound Audio manufactures and sells audio equipment for automobiles. Engineers notified management in December 2021 of a circuit flaw in an amplifier that poses a potential fire hazard. An intense investigation indicated that a product recall is virtually certain, estimated to cost the company $2 million. The fiscal year ends on December 31. Required: 1. Should this loss contingency be accrued
Answer:
Sound Audio
Yes. This loss should be accrued.
Explanation:
Accruing the loss contingency gives the readers of the financial statements an early warning of the probable existence of a future loss. A loss contingency arises from a probable future event, which gives rise to an adverse outcome from a lawsuit. Since the cost of the loss can be reasonably estimated and the product recall is virtually certain, it is prudent for Sound Audio to provide for this loss in its December 2021 financial statements.
what is the companys net income, according to the following data. credit sales 80000 cash sales 500000 opperation expenses on credit 200000 chas operaitng expenses 700000 accounts receivable (beg o year) 50000 g
Answer:
$240,000
Explanation:
Note: Question is incomplete and the complete question is attached as picture below
Particulars Amount
Total sales $1,300,000 ($800000+$500000)
Less: Total operating expenses $900,000 ($200000+$700000)
Income before tax $400,000
Less: Corporate tax $160,000 ($400,000*40%)
Net Income $240,000
According to the video, what do many Accountants and Auditors decide to do?
specialize in a specific area
volunteer in schools to teach finance
become Managers later in their careers
take writing classes
Answer:
specialize in a specific area is the correct answer.
Explanation:
Answer:
its A
Explanation:
got it right on edge
Every night after working the swing shift, Sierra stops by the 24-Store near her house. She often buys bread, cold cuts, and Dr. Pepper while she's there even though the prices at the 24-Store are higher than at her local supermarket. The 24-Store is an example of a __________.
Answer:
convenience store
Explanation:
Convenience store is basically a small shop that usually works as small retail shop that keeps every item of daily use and is easily reachable.
The items kept in stock here include coffee, groceries, snack foods, mil and dairy products, stationary etc.
Since it is convenient for people to buy every day product from these shops it is called as Convenience store
Star Wars Cereal started a program at the beginning of 2021 in which it would provide a figurine of Baby Yoda in exchange for four proof-of-purchase box tops. Star Wars Cereal estimates that 40% of box tops will be redeemed. The Baby Yoda figurines cost Yummy Rice $1.20 each. In 2021, 5,480,000 boxes of cereal were sold. By year-end 912,000 box tops had been redeemed.
Required:
Calculate the premium expense that Star Wars Cereal should recognize for the year ended December 31, 2021.
Answer:
sorry here for points
Explanation:
Cullumber Co. processes jam and sells it to the public. Cullumber leases equipment used in its production processes from Marin, Inc. This year, Cullumber leases a new piece of equipment from Marin. The lease term is 5 years and requires equal rental payments of $15,000 at the beginning of each year. In addition, there is a renewal option to allow Cullumber to keep the equipment one extra year for a payment at the end of the fifth year of $13,000 (which Cullumber is reasonably certain it will exercise). The equipment has a fair value at the commencement of the lease of $75,077 and an estimated useful life of 7 years. Marin set the annual rental to earn a rate of return of 7%, and this fact is known to Cullumber. The lease does not transfer title, does not contain a bargain purchase option, and the equipment is not of a specialized nature. Click here to view factor tables. How should Cullumber classify this lease
Answer: Cullumber should classify this lease as a financial lease
Explanation:
Financial Leasing is a method of financing whereby a the lessor buys asset on the lessee whom is the customer.
The above is a financial lease due to:
1. With regards to the property's estimated economic life the lease term is about 75% or more.
2. At the end of the lease term, the asset will have no alternative use to the lessor.
3. The present value with regards to the minimum lease payments is not reflected in the lease payments.
In the short run, any fall in EP /P, regardless of its causes, will cause A) an upward shift in the aggregate demand function and an expansion of output. B) an upward shift in the aggregate demand function and a reduction in output. C) a downward shift in the aggregate demand function and an expansion of output. D) an downward shift in the aggregate demand function and a reduction in output. E) an upward shift in the aggregate demand function but leaves output intact.
Answer: D) an downward shift in the aggregate demand function and a reduction in output.
Explanation:
EP/P is the real exchange rate. Any fall in this rate will mean that the demand will decrease because the currency becomes weaker and is therefore unable to buy as much as it used to.
For that same reason, output will reduce because producers will find that the inputs to production will become more expensive which would mean that they have to produce less in order to maintain profitability.
If the U.S. federal government's expenditures exceeded its receipts, it would likely a. lend money to a bank or other financial intermediary. b. sell bonds directly to the public. c. buy bonds directly from the public d. borrow money from a bank or other financial intermediary.
Answer:
Directly sell bonds to the public
Explanation:
Financial System
This is simply called an Institutions in the economy of any country that is concerned matching one person's saving with another individual's investment collectively. They save and lends money to the public.
When the government's expenditures is far greater than its receipts, they would likely directly sell bonds to the public. The expenditures of government always goes on goods, services, or transfer payments and when they become bigger than their tax revenue, the government therefore runs into a budget deficit. This can therefore make a government borrow some amount of money from financial system to pay for budget deficits, and the results of government borrowing can increase a nation's debt rate.
A Bond
A certificate othat shows one is indebted as it shows or specifies the obligations of the borrower to the holder.
Internalizing an externality with a Pigovian tax will ... a. increase consumer surplus but reduce producer surplus. b. Reduce consumer surplus but increase producer surplus. c. increase total social costs. d. result in a net social loss. e. result in a net social gain.
Answer:
e. result in a net social gain.
Explanation:
Taxation can be defined as the involuntary or compulsory fees levied on individuals or business entities by the government to generate revenues used for funding public institutions and activities.
The different types of tax include the following;
1. Income tax: a tax on the money made by workers in the state. This type of tax is paid by employees with respect to the amount of money they receive as their wages or salary.
2. Property tax: a tax based on the value of a person's home or business. It is mainly taxed on physical assets or properties such as land, building, cars, business, etc.
3. Sales tax: a tax that is a percent of the price of goods sold in retail stores. It is being paid by the consumers (buyers) of finished goods and services and then, transfered to the appropriate authorities by the seller.
A positive externality arises when the production or consumption of a finished product or service has a significant impact or benefits to a third party that isn't directly involved in the transaction.
On the other hand, a negative externality arises when the production or consumption of a finished product or service has negative impact (cost) on a third party.
Internalizing an externality with a Pigovian tax will result in a net social gain.
Beauty Island Corporation began operations on April 1 by issuing 60,000 shares of $5 par value common stock for cash at $13 per share. On April 19, it issued 2,000 shares of common stock to attorneys in settlement of their bill of $27,500 for organization costs. In addition, Beauty Island issued 1,000 shares of $1 par value preferred stock for $6 cash per share.Journalize the issuance of the common and preferred shares, assuming the shares are not publicly traded
Answer:
Date Account Title Debit Credit
April 1 Cash $780,000
Common stock $300,000
Paid in Capital in excess of par - $480,000
Common stock
Working
Cash = 60,000 shares * 13 = $780,000
Common stock = 60,000 * 5 = $300,000
__________________________________________________________
Date Account Title Debit Credit
April 1 Organization costs - Attorney fees $27,500
Common Stock $10,000
Paid in Capital in excess of par - $17,500
Common stock
Working
Common stock = 2,000 * 5 par value = $10,000
__________________________________________________________
Date Account Title Debit Credit
April 1 Cash $6,000
Preferred stock $1,000
Paid in Capital in excess of par - $5,000
Common stock
Working
Cash = 1,000 * $6 = $6,000
Preferred stock = 1,000 * $1 = $1,000
Hanover Tech is currently an all-equity firm with a WACC of 15%. The firm has 320,000 shares of stock outstanding with a market price of $19 per share. The tax rate is 34%. The firm is considering borrowing $1.2 million at 10% and use the proceeds to repurchase shares.
Required:
What is the levered value of the equity after adding $1.2 million debt if we assume that the tax is the only market imperfection?
Answer:
$5,288,000
Explanation:
Calculation to determine the levered value of the equity
First step is to determine the VL
VL = (320,000 × $19) + (.34 × $1,200,000)
VL= $6,488,000
Now let calculate levered value of the equity
VE = $6,488,000 - 1,200,000
VE= $5,288,000
Therefore the levered value of the equity is $5,288,000
During 2020, Royce has an adjusted gross income (AGI) of $40,000. What is the maximum amount Royce can deduct for qualified contributions charitable made to qualified organizations if he itemizes his deductions? A. $0 B. $10,000 C. $24,000 D. $40,000
The maximum amount Royce can deduct for qualified contributions charitable made to qualified organizations is Option C. $24,000.
The calculation is as follows;Contributions to charity as the deduction is limited to 60% of adjusted gross income.
But qualified contributions are not subject to this limitation.
Since AGI = $40,000
So,
Deduction as charitable contribution should be
[tex]= \$40,000 \times 60\%[/tex]
= $24,000
Learn more: brainly.com/question/16911495
Based on Royce's Adjusted Gross Income (AGI), the amount that Royce can deduct is D. $40,000.
When a person is deducting for charity, charity contributions are capped at 60% of AGI.
If these contributions are qualified contributions however, they will not be subject to this cap and so can be deducted entirely from the AGI.
In conclusion, Royce can deduct $40,000.
Find out more about qualified contributions at https://brainly.com/question/25995915.
The per-unit standards for direct materials are 2 gallons at $4 per gallon. Last month, 12200 gallons of direct materials that actually cost $45140 were used to produce 7200 units of product. The direct materials quantity variance for last month was $8800 favorable. $8800 unfavorable. $6100 unfavorable. $6600 favorable.
Answer:
$8,800 favourable
Explanation:
The computation of direct material quantity variance is seen below;
= Standard price × ( Standard quantity - Actual quantity)
= $4 × [(2 gallons × 7,200 units) - 12,200 gallons)
= $4 (14,400 gallons - 12,200 gallons)
= $4 × 2,200 gallons
= $8,800 favorable
Therefore, the direct materials quantity variance for last month is $8,800 favourable
If Smith believes the economy is self-regulating, then Smith a. is less likely to advocate expansionary fiscal policy when the economy is in a recessionary gap than Jones, who believes the economy is not self-regulating. b. will believe that wages are inflexible downward, too. c. will believe that there is zero crowding out, too. d. is more likely to advocate expansionary fiscal policy when the economy is in a recessionary gap than Jones, who believes the economy is not self-regulati
Answer:
The correct answer is the option A: Is less likely to advocate expansionary fiscal policy when the economy is in a recessionary gap than Jones, who believes the economy is not self-regulating.
Explanation:
On the one hand, in the macroeconomics theory when it comes to terms of self-regulating it means that the economy does not need the intervention of the government in order to act properly and satisfy everyone in it.
On the other hand, when it comes to expansionary policy the term is most likely to belong to a situation in where the government does intervene in the economy and therefore that it will try to expand the taxes or other fiscal rates that will improve the collection of the state itself.
And that is why that if Smith believes in self-regulating economies then he will not be in favor of a expansionary fiscal policy in a recessionary gap because he will believe that the economy will fix itself in the right time.
Considering the macroeconomic theory, if Smith believes the economy is self-regulating, then Smith "is less likely to advocate expansionary fiscal policy when the economy is in a recessionary gap than Jones, who believes the economy is not self-regulating."
This is because when the economy is self-regulating, regardless of how the economy is currently, the economy will revert to normal sooner without the government trying to change the situation.
Thus, in a situation whereby there is a recessionary gap, someone who believes that the economy is self-regulating would be less likely to advocate expansionary fiscal policy.
Expansionary fiscal policy is the policy that injects more money supply into the economy.
The recessionary gap occurs when the economy functions below the average rate, usually due to a low money supply.
Hence, in this case, it is concluded that a correct answer is an option. A.
Learn more here: https://brainly.com/question/24139116
A compliance-based approach to ethics management combines a concern for law with an emphasis on managerial responsibility for ethical behavior. True False
Answer:
False
Explanation:
The question is false, since the approach described in the question refers to the concept of integrity-based ethics.
The compliance-based approach to ethics management refers to the rules and guidelines that individuals must comply with as employees of a particular company. Compliance ensures that organizational legislation is strictly enforced, based on prevention, detection and punishment for employees who do not follow it in accordance with the regulations and policies of a company.
When a bus with a seating capacity of 50 passengers is carrying on 40 passengers. The cost of passenger ticket is Rs. 100. What would be the Marginal Cost of carrying one additional passenger
Answer:
4.1
Explanation:
Both production lines can produce all the different types of nozzles. The bronze machines needed for the bronze sprinklers require four operators and can produce up to 15,000 sprinklers. The plastic injection molding machine needed for the plastic sprinklers requires five operators and can produce up to 240,000 sprinklers. Three bronze machines and only one injection molding machine are available. What are the capacity requirements for the next four years
Answer:
Demand for plastic sprinklers for year 1 Year 2 Year 3 and Year 4 is 98 (33 + 14 + 51) , 111 , 133, 136.
Explanation:
The Production line capacity requirement for the next four years will be equal to the demand for the next four years. The production line needs to meet the annual demand for the plastic sprinklers. The production line is extended and economies of scale is introduced with helps the company save additional cost of extension in the production line.
A report was given to you by one of your interns, Greta, that contains the following information: Current statusMaximizing profits given current costs and demand Price charged$142 Cost per unit to produce, total$43 Cost per unit to produce, variable$15 Marginal cost of last unit produced$17 What is your current profit margin
Answer:
47.18%
Explanation:
Revenue generated = $142
Total cost = $75 [$43+$15+$17]
Current profit margin = (Revenue - Cost) / Revenue * 100
Current profit margin = ($142 - $75) / $142 * 100
Current profit margin = $67/$142 * 100
Current profit margin = 0.471830986 * 100
Current profit margin = 47.18%
Suppose bond market liquidity condition has substantially improved after introducing high frequency traders in recent years. The trading costs of Bond B is significantly reduced. Suppose initially LTCM could make 0.4 billion dollars from using a bond trading strategy with a total equity investment of 1 billion dollars, i.e., 40% return on equity. Now after the reduction of transaction costs, they can only make 10% return on equity from trading (i.e., 0.1 billion dollars). In order to bring equity return back to 40%, what they should do?
a. Put 0.5 billion dollars in trading Bond A and 0.5 bilion dollars in trading Bond B
b. Borrow another 3 billion dollars from brokers and use this additional money to trade on the same trading strategy.
c. Borrow another 2 billion dollars from brokers and use this additional money to trade on the same trading strategy
d. Borrow another 1 illion dollars from brokers and use this additional money to trade on the same trading strategy
Answer:
b. Borrow another 3 billion dollars from brokers and use this additional money to trade on the same trading strategy.
Explanation:
There is 40% return on the equity investment which means if $1 billion are invested then there can be $0.4 billion profit. LTCM can borrow funds and could earn from investing in equity investment. The return on equity investment is higher than the bonds so it should trade on the same strategy.
The manufacturing overhead budget at Polich Corporation is based on budgeted direct labor-hours. The direct labor budget indicates that 9,400 direct labor-hours will be required in February. The variable overhead rate is $8.60 per direct labor-hour. The company's budgeted fixed manufacturing overhead is $127,840 per month, which includes depreciation of $18,290. All other fixed manufacturing overhead costs represent current cash flows. The company recomputes its predetermined overhead rate every month. The predetermined overhead rate for February should be: Multiple Choice $19.90 per direct labor-hour $22.20 per direct labor-hour $13.60 per direct labor-hour $8.60 per direct labor-hour
Answer:
Predetermined manufacturing overhead rate= $22.2 per direct labor hour
Explanation:
Giving the following information:
Fixed manufacturing overhead= $127,840 per month
Estimated direct labor hours= 9,400
The variable overhead rate is $8.60 per direct labor hour
To calculate the predetermined manufacturing overhead rate we need to use the following formula:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= (127,840 / 9,400) + 8.6
Predetermined manufacturing overhead rate= $22.2 per direct labor hour
Assume that Bank A holds total reserves of $978, the required reserves are $432 and total deposit is $3,600. If the government purchases bonds worth $250 from Bank A, excess reserves of this bank will increase by _____.
Answer:
$37.92
Explanation:
546
Suppose that the Central Bank of the country of Keynesland decreases the supply of money; at the same time, the governmet of Keynesland passes a new investment tax credit. How would each policy affect the aggregate demand (AD)
Answer: a. The money supply decrease would shift the AD to the left; the new investment tax credit would shift AD to the right.
Explanation:
If the money supply is decreased, it means the amount of money available in the economy for people to buy goods and services will reduce. When this happens, people will demand less because they have less cash. This will end up pushing the demand curve to the left.
When an investment tax credit is declared however, companies will feel more inclined to invest in the economy because they will pay less tax. As they invest more, people will be employed and will increase their spending thereby pushing the AD curve to the right.
Most payments in the United States for goods and services are made using Group of answer choices traveler's checks. checking account deposits. currency. gold.
Answer:
checking account deposits.
Explanation:
In economics or financial accounting, money can be defined as any asset used by an individual or business entity to make purchases of goods and services at a specific period of time.
Simply stated, money refers to any asset which can be used to purchase goods and services by customers.
This ultimately implies that, money is any recognized economic unit that is generally accepted as a medium of exchange for goods and services, as well as repayment of debts such as loans, taxes across the world.
Additionally, the rate at which an asset can be used to purchase any goods or services refers to its liquidity. Thus, liquidity is a quality or characteristics of money as a medium of exchange. Therefore, money is a generally accepted medium of exchange around the world.
The three (3) main functions of money all over the world are;
I. Medium of exchange.
II. Unit of account.
III. Store of value.
However, most payments in the United States for goods and services are made using checking account deposits.
A company's year-end financial information shows the following amounts. Current assets $75,000 Current liabilities $30,000 Net income $34,000 Net sales $164,500 Average total assets $150,000 Based on this information, what is the company's asset turnover ratio
Answer:
1.1 times
Explanation:
Calculation to determine the company's asset turnover ratio
Using this formula
Asset turnover ratio=Net sales/Average total assets
Let plug in the formula
Asset turnover ratio=$164,500 / $150,000
Asset turnover ratio=1.1 times
Therefore the company's asset turnover ratio is 1.1 times
Admire County Bank agrees to lend Sheridan Brick Company $594000 on January 1. Sheridan Brick Company signs a $594000, 8%, 9-month note. What entry will Sheridan Brick Company make to pay off the note and interest at maturity assuming that interest has been accrued to September 30
Answer:
Interest Expenses $35,640, Interest payable $35,640
Explanation:
Notes payable = $594,000
Months passed till September = 9
Interest on notes accrued for 9 months = (594,000*8%*9/12) = $35,640
Adjusting Entry
Journal Entry Debit Credit
Interest Expenses $35,640
Interest payable $35,640
Select the correct answer.
The Bauhaus art movement emphasized simple, easily reproducible designs using basic materials. Who founded this art movement?
A.
Gerrit Reitveld
B.
Piet Mondrian
C.
Walter Gropius