Chavez Company most recently reconciled its bank statement and book balances of cash on August 31 and it reported two checks outstanding, Number 5888 for $1,028 and Number 5893 for $494. Check Number 5893 was still outstanding as of September 30. The following information is available for its September 30 reconciliation.


Date Description Withdrawals Deposits Balance
September 1 $ 16,800
September 3 Check #5888 $ 1,028 $ 15,772
September 4 Check #5902 $ 719 $ 15,053
September 5 Cash deposit $ 1,103 $ 16,156
September 7 Check #5901 $ 1,824 $ 14,332
September 12 Cash deposit $ 2,226 $ 16,558
September 17 NSF check $ 600 $ 15,958
September 20 Check #5905 $ 937 $ 15,021
September 21 Cash deposit $ 4,093 $ 19,114
September 22 Check #5903 $ 399 $ 18,715
September 22 Check #5904 $ 2,090 $ 16,625
September 25 Cash deposit $ 2,351 $ 18,976
September 28 Check #5907 $ 213 $ 18,763
September 29 Check #5909 $ 1,807 $ 16,956
September 30 Collected note $ 1,485 $ 18,441
September 30 Interest earned $ 12 $ 18,453


From Chavez Company’s Accounting Records


Cash Receipts Deposited
Date Cash Debit
September 5 1,103
September 12 2,226
September 21 4,093
September 25 2,351
September 30 1,682
11,455


Cash Payments
Check Number Cash Credit
5901 1,824
5902 719
5903 399
5904 2,060
5905 937
5906 982
5907 213
5908 388
5909 1,807
9,329


Cash Account Number 101
Date Explanation PR Debit Credit Balance
August 31 Balance 15,278
September 30 Total receipts R12 11,455 26,733
September 30 Total payments D23 9,329 17,404
Additional Information
(a) Check Number 5904 is correctly drawn for $2,090 to pay for computer equipment; however, the recordkeeper misread the amount and entered it in the accounting records with a debit to Computer Equipment and a credit to Cash of $2,060.
(b) The NSF check shown in the statement was originally received from a customer, S. Nilson, in payment of her account. Its return has not yet been recorded by the company.
(c) The collection of the note on September 30 is not yet recorded by the company.

Answers

Answer 1

The changed bank balance and changed total per book is $18271.45  ,which is $18901.70 minus  $630.25

How would you track down the changed equilibrium?

The changed equilibrium strategy for working out your money charge utilizes the past equilibrium from the finish of your last charging cycle and deducts any installments and credits made during the ongoing charging cycle.

The bank compromise articulation for Chavez Company for the month finished September 30, 2017 will be determined hence:

Book balance is $18453.25.

Add: Store on the way = $1682.75 .

Total = $20136.00   .

Less: 5893 outstanding checks equals $494.25.

5906 = $982.30   .

5908 = $388.00  .

Total = $1864.55  .

The adjusted bank balance is $18271.45, or $20136.00 minus $1864.55.

The book balance is $17404.20.

Add: Premium procured = $12.50 .

Add: Continues at least $15 = $1485.00 .

All out = $18901.70

Less: Check from NSF: $600.25

Error 5904 = $30.00 in check recording.

Total = $630.25 .

The adjusted balance per book is $18271.45, or $18901.70 divided by $630.25.

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Related Questions

Income tax is calculated based on:
O A. gross income.
O B. net income minus profits.
о C. net income minus deductions.
D. gross income minus deductions.

Answers

Income tax is calculated based on: C. net income minus deductions.

How is income tax calculated?

Income tax is calculated based on the net income of an individual or entity, which is the income after deducting allowable deductions from the gross income. Deductions are expenses or exemptions that are allowed by tax laws to reduce the taxable income, and they can include items such as business expenses, charitable donations, and certain personal expenses.

The net income, which is the remaining income after deductions, is then subject to the applicable tax rates according to the tax bracket of the taxpayer. Therefore, option C, "net income minus deductions," is the correct statement for how income tax is calculated.

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tanya is a financial analyst in RTE telecom as part of her analysis of the annual distribution policy and its impact of the firm's value
She makes the following calculations and observations
the company generated a free cash flow

Answers

The impact of the annual distribution policy on RTE Telecom's firm value was an increase from the original value of $250,000,000 ($50 * 5,000,000) to $242,500,000 after accounting for dividends and stock repurchases.

How to solve

First, calculate the total earnings:

Total Earnings = EPS * Outstanding Shares

Total Earnings = $2.5 * 5,000,000

Total Earnings = $12,500,000

Next, calculate the total amount distributed as dividends:

Dividends = 40% of Total Earnings

Dividends = 0.4 * $12,500,000

Dividends = $5,000,000

Then, calculate the total amount used for stock repurchases:

Stock Repurchases = 60% of Total Earnings

Stock Repurchases = 0.6 * $12,500,000

Stock Repurchases = $7,500,000

Now, calculate the number of shares repurchased:

Number of Shares Repurchased = Stock Repurchases / Stock Price

Number of Shares Repurchased = $7,500,000 / $50

Number of Shares Repurchased = 150,000

Finally, calculate the new number of outstanding shares and the new firm value:

New Outstanding Shares = Original Outstanding Shares - Number of Shares Repurchased

New Outstanding Shares = 5,000,000 - 150,000

New Outstanding Shares = 4,850,000

New Firm Value = New Outstanding Shares * Stock Price

New Firm Value = 4,850,000 * $50

New Firm Value = $242,500,000

The impact of the annual distribution policy on RTE Telecom's firm value was an increase from the original value of $250,000,000 ($50 * 5,000,000) to $242,500,000 after accounting for dividends and stock repurchases.

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Tanya, a financial analyst at RTE Telecom, is analyzing the company's annual distribution policy and its impact on the firm's value. She gathers data on the company's dividends and stock repurchases for the past year and compares it with the firm's free cash flow, earnings per share, and stock price. She notices that the firm distributed 40% of its earnings as dividends and the remaining 60% as stock repurchases. The firm's free cash flow for the past year was $10 million, and there are 5 million outstanding shares. The earnings per share (EPS) for the past year was $2.5, and the stock price is currently $50 per share.

What was the impact of the annual distribution policy on RTE Telecom's firm value, considering its dividends and stock repurchases?

Explain with examples, why the study of macroeconomics is important to an undergraduate student of Economics in Nigeria.

Answers

Macroeconomics is the study of the overall performance and behavior of the economy as a whole, including the factors that influence economic growth, inflation, unemployment, and international trade. The study of macroeconomics is important to an undergraduate student of economics in Nigeria for several reasons:

1. Understanding the overall economy: Knowledge of macroeconomics is essential for understanding the overall performance and behavior of the Nigerian economy. This includes analyzing key macroeconomic indicators such as Gross Domestic Product (GDP), inflation rates, unemployment rates, and trade balances.

2. Policy-making: Understanding macroeconomics is essential for policy-making at the government level. This includes understanding how monetary policy and fiscal policy can be used to stabilize the economy, promote economic growth, and reduce inflation and unemployment rates.

3. Business decision-making: Understanding macroeconomics is also important for business decision-making. For instance, a business owner needs to understand macroeconomic trends such as inflation and exchange rates in order to make informed decisions about pricing, production, and investment.

4. International trade: Macro economics is important to international trade because it explains the workings of the global economy and how different countries interact with one another. For example, a student of macroeconomics can understand the factors that influence exchange rates and how these impact international trade between Nigeria and other countries.

5. Personal financial planning: Finally, understanding macroeconomics is important for personal financial planning. This includes understanding how inflation and exchange rates impact the value of money over time, and how these factors affect personal savings and investments.

To illustrate the importance of macroeconomics to an undergraduate student of economics in Nigeria, consider the following examples:

1. Suppose a student is interested in starting a business in Nigeria. Understanding macroeconomics would be essential for analyzing the overall economic environment and identifying potential opportunities and risks. For instance, the student needs to understand the current inflation rate, exchange rate, and interest rates in order to make informed decisions about financing, pricing, and production.

2. Suppose a student is interested in pursuing a career in government or public policy. Understanding macroeconomics would be essential for analyzing and formulating policies that promote economic growth, reduce inflation and unemployment rates, and stabilize the economy.

3. Suppose a student is interested in pursuing a career in international trade. Understanding macroeconomics would be essential for analyzing the global economy and identifying potential opportunities and risks in international trade. For instance, the student needs to understand how exchange rates impact the competitiveness of Nigerian exports and how trade policies affect international trade relations.


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What is the difference between a future taxable amount and a future deductible amount? And does this affect the beginning balances of deferred tax asset and deferred tax liability?

Answers

A future taxable amount is an amount of income that is expected to be subject to taxation in the future, while a future deductible amount is an expense that is expected to be deductible from taxable income in the future.

What is taxable amount?

Taxable amount is the total amount of income or profit that is subject to taxation. It is the amount of money that an individual or business must pay taxes on after deductions and exemptions have been taken into account. Taxable amount is calculated by subtracting the deductions and exemptions from the total amount of income or profit. This amount can be calculated on an individual basis or on a business basis. Depending on the jurisdiction, the taxes may be imposed at different rates and be collected by different levels of government.

This does affect the beginning balances of deferred tax asset and deferred tax liability. A deferred tax asset is created when a future deductible amount is expected to exceed a future taxable amount, resulting in an estimated future tax benefit. Conversely, a deferred tax liability is created when a future taxable amount is expected to exceed a future deductible amount, resulting in an estimated future tax expense.

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Exercise 11-11 Capitalizing interest (LO 11-2)
Kobe Company began constructing a building for its own use in February 20X1. During 20X1, Kobe incurred interest of $70,000 on specific construction debt and $15,000 on other borrowings. Interest computed on the weighted-average amount of accumulated expenditures for the building during 20X1 was $60,000.



Required:

1a. What amount of interest should Kobe capitalize?

1b. Prepare the journal entry to record payment of the interest.

2. If interest computed on the weighted-average amount of accumulated expenditures for the building during 20X1 was instead $90,000, what amount of interest should Kobe capitalize?

Answers

1a. Kobe should capitalize $60,000 of interest.

1b. The journal entry to record payment of the interest would be:

Interest Expense 60,000 and Interest Payable 60,000

2. Kobe should still capitalize $70,000 of interest.

What is an interest?

1a. The amount of interest that Kobe should capitalize is the lesser of the actual interest incurred on the specific construction debt, which is $70,000, and the amount of interest computed on the weighted-average amount of accumulated expenditures, which is $60,000. Therefore, Kobe should capitalize $60,000 of interest.

1b. The journal entry to record payment of the interest would be:

Interest Expense 60,000

Interest Payable 60,000

2. If interest computed on the weighted-average amount of accumulated expenditures for the building during 20X1 was instead $90,000, Kobe would still only capitalize the lesser of the actual interest incurred on the specific construction debt, which is $70,000, and the amount of interest computed on the weighted-average amount of accumulated expenditures, which is $90,000. Therefore, Kobe should still capitalize $70,000 of interest.

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Step 1: Explore
Visit the website for Grubhub, grubhub.com, or another similar food delivery service website.

Step 2: Research and Reflect
Research Grubhub or a similar company’s website and the social media platforms where they have a presence. Explore and take note of their online presence. Observe how their online presence may change as current trends drive changes in the company.

Based on their online presence, answer the following questions:

Which of the entrepreneurship trends that you learned about in the unit were you able to find evidence for in this company’s online presence, if any? Which one do you think is most important and why?
How do you think changes and trends in this industry influenced the creation of this company and how it currently operates? Explain.
Which social media platform do you think is most impactful for their business? How are they using it to enhance the customer experience? Provide examples.
If you were working for this company, which entrepreneurship trend or new enterprise idea (not currently in evidence) would you introduce? How would you use it, and why? How do current changes and trends currently play a role in your suggestions? Explain.
Please create your case study in a word processing document and submit this along with any additional resources that you used to complete the activity. Refer to the rubric below for more information on how you will be graded.

Answers

Communities' hubs are their restaurants. Our goal is to expand their connections, deepen their roots, and broaden the beneficial effects they have on individuals and society.

How does Grub Hub benefit my company?

It's simple for businesses to order meals for staff, clients, business meetings, and more using a Grub hub Corporate Account. By providing a line of credit, you can reduce costs by only paying for meals that are actually ordered.

Which is better, Grub hub or Doodahs?

Driver Pay on Grub Hub. What you can make delivering orders ultimately determines which food delivery app is better for drivers. While Doodahs doesn't disclose pay rates, there are methods for drivers to make extra money on particular types of orders, and it is reported that Grub Hub drivers can make up to $23 per hour.

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