Convers Corporation (calendar-year-end) acquired the following assets during the current tax year: (ignore §179 expense and bonus depreciation for this problem): (Use MACRS Table 1, Table 2 and Table 5.)
Asset Date Placed in Service Original Basis
Machinery 10/25 70,000
Computer Equipment 2/3 10,000
Used Delivery Truck 3/17 23,000
Furniture 4/22 150,000
Total 253,000
The delivery truck is not a luxury automobile.
In addition to these assets, Convers installed new flooring (qualified improvement property) to its office building on May 12 at a cost of $300,000.
What is the allowable MACRS depreciation on Convers’s property in the current year assuming Convers does not elect §179 expense and elects out of bonus depreciation?

Answers

Answer 1

Answer:

$42,853

Explanation:

The computation of the allowable MACRS depreciation on Convers’s property in the current year is shown below:

Assets      Place in service    Quarter   Original Basis  Rate Depreciation

Machinery

(7 years)     Oct 25                   4th           $70,000         14.29%  $10,003

Computer

Equipment

(5 years)    Feb 03                   1st            $10,000         20%       $2,000

Used delivery

truck

(5 years)     Mar 17                   1st            $23,000        20%       $4,600

Furniture

(7 years)     Apr 22                  2nd         $150,000       14.29%    $21,435

Qualified

improvement

(39 years)    May 12                 2nd         $300,000     1.605%     $4,815

Total                                                        $553,000                       $42,853

Refer to the MACRS depreciation table

and we used the half year convention


Related Questions

The new union president has proposed a couple of ideas that are very unusual: 1. "We should make an effort to help solve problems in the business." 2. "We should encourage our members who have the right experience and training to apply for supervisor jobs." Are these ideas good or not?

Answers

Answer:

In simple words, supervisory jobs refers to those jobs in which an individual has to monitor the performance of other individuals working under his or her direction and guidance.

The opinion of the president, therefore, is not bad as an employee with relevant experience gets a certain respect and have adequate level of knowledge for teaching others.

Suppose on January 1 Andrew​'s Tavern prepaid rent of $ 16 comma 800 for the full year. At November 30​, how much rent expense should be recorded for the period January 1 through November 30​?

Answers

Answer:

The rent expense to be recorded on November 30 will be $15400.

Explanation:

The accrual principle in the accounting states that the revenues and expenses for a period should be matched and recorded in their respective periods. Following the principle, we should record the expenses in the period to which they belong. Thus, the rent that is paid in advance is an asset and it will be expensed out as it is consumed.

The rent of $16800 is paid for the period from January to December.

The rent to be recorded as rent expense on 30 November will be for 11 months from January to November.

Rent expense = 16800 * 11/12 = $15400

Local Co. has sales of $ 10.8 million and cost of sales of $ 5.7 million. Its​ selling, general and administrative expenses are $ 550,000 and its research and development is $ 1.2 million. It has annual depreciation charges of $ 1.2 million and a tax rate of 35 %.
a. What is Local's gross margin? (answer in %, Round to one decimal place.)b. What is Local's operating margin? (answer in %, Round to one decimal place.)c. What is Local's net profit margin? (answer in %, Round to two decimal places.)

Answers

Answer:

Gross profit Margin = 47.2%

Operating profit margin = 19.9%

Net Profit Margin = 12.93%

Explanation:

Requirement A:  Gross profit margin

Gross Profit = Sales - Cost of sales

Gross Profit = 5.1m

Gross profit Margin = Gross profit/Sales x 100

Gross profit Margin = 5.1/10.8 x 100

Gross profit Margin = 47.2%

Requirement B: Operating profit margin

Operating profit margin = Operating Profit/ Sales x 100

Operating Profit = Gross Profit - selling,general and administrative expense -research and development - depriciation

Operating Profit = 5.1m - 0.55m - 1.2m - 1.2m

Operating Profit = 2.15m

Operating profit margin = 2.15m/10.8m x 100

Operating profit margin = 19.9%

Requirement C: Net profit Margin

Net Profit margin = Net profit / Sales x100

Net Profit = Operating profit - tax

Net Profit = 2.15m - (2.15m x 35%)

Net Profit = 2.15m - 0.7525m

Net Profit = 1.3975m

Net Profit Margin = 1.3975m/10.8m x 100

Net Profit Margin = 12.93%

g "7. Explain how a company could: (a) avoid a backlog of orders when sales exceed expectations; (b) avoid product defects on new products; (c) offer more credit to its customers when it already has a bad debt problem; (d) improve its credit rating with suppliers after paying some late; (e) lower its cost of financing when the market interest rate has increased."

Answers

Answer and Explanation:

a. Outsource the lesser portion of the order furnishings to third parties. Likewise, the company can improve its productivity while ensuring that the core knowledge of the business is not shared.

b. Implement strict quality assurance system to ensure that goods are of the highest quality. In order to initially acquire market share it is essential to maintain quality for new products.

c. By requesting collateral or non-funded guarantees such as "Credit Letter," "Bank Guarantee," "Corporate Guarantee," etc. That would provide additional cushion to mitigate the risk of counter parties.

d. By offering over collateralize or facilities dependent on non-funding as described above. The method works in both directions.

e. By improving the company's capital structure, either by lowering its debt obligation or by infusing more promoter capital.

Better cash accrual through increased productivity will also provide support for the forthcoming cash flow that would favorably impact the liquidity risk. Risk reduction thus gives way to lower borrowing costs irrespective of the rise in market interest rates.

In the long run, when price is less than average total cost for all possible levels of production, a firm in a competitive market will choose to exit (or not enter) the market.

a. True
b. False

Answers

Answer:

a. True

Explanation:

A competitive market is a market in which there are many buyers and sellers. Also, sellers have similar goods and and they don't have the power to influence the market. This means that in a competitive market companies have to accept the price define by the market and if the price is less than average total cost for all possible levels of production, a firm in a competitive  market will choose to exit (or not enter) the market as it doesn't have the possibility to do something to influence the price and it won't be able to make a profit. According to that, the statement is true.

You need to make 70
servings of Caesar dressing,
Each serving takes 2
teaspoons of crushed garlic,
How many teaspoons of
crushed garlic do you need?
Answer:​

Answers

Answer:

140 teaspoons of crushed garlic.

Explanation:

Since you're going to make 70 servings and each requires 2 tsp of crushed garlic, we simply multiply 70 x 2.

I hope this helps :)

a companys sales in year 1 were 250,000 and in year 2 were 287,500. Using Year 1 as the base year, the percetn change for year 2 ompared to the base year is:

Answers

Answer:

115%

Explanation:

Computation of the percentage change for year 2 when compared to the base year

Using this formula

Percentage change=(Year 2 Sales /Year 1 Sales )* 100

Let plug in the formula

Percentage change =($287,500/$250,000) * 100

Percentage change =1.15*100

Percentage change = 115%

Therefore the percentage change in year 2 when compared to the base year will be 115%

The marginal-cost curve intersects the average-total-cost curve at the output level where average fixed costs are zero.
1. True
2. False

Answers

Answer:

False

Explanation:

The marginal cost curve intersects across total curve at the options level where average costs are zeo

Work

Tate Company purchased equipment on November 1, 2015 and gave a 3-month, 9% note with a face value of $20,000. The December 31, 2015 adjusting entry is

Answers

Answer:

Dr Interest expense 300

Cr Interest payable 300

Explanation:

Preparation of December 31, 2015 adjusting entry for Tate Company

Since Tate Company had purchased the equipment on November 1, 2015 in which the company gave a 3-month with 9% note and a face value of $20,000, this means we have to record the transaction by Debiting Interest expense with 300 and Crediting Interest payable with the same amount . The amount of 300 is calculated as 2/12×9%×20,000

Therefore Tmthe December 31, 2015 adjusting entry will be :

Dr Interest expense 300

Cr Interest payable 300

Macintosh Inc. changed from LIFO to the FIFO inventory costing method on January 1, 2021.

Inventory values at the end of each year since the Inception of the company are as follows:

FIFO LIFO
2019 $196,000 $178,000
2020 392,000 356,000

Required:
Ignoring Income tax considerations. prepare the entry to report this accounting change

Answers

Answer:

You only need to adjust the ending inventory for 2020, since the ending inventory for 2019 no effect on the income statement. This happens because FIFO always uses the first units purchased to determine the cost of goods sold, and after one year, there is no real effect on net income.

The adjustment for ending inventory 2020 should be:

Dr Merchandise inventory 36,000

    Cr Cost of goods sold 36,000

This adjustment will decrease the expenses during 2020 and increase that year's net income.

On December​ 2, 2018,​ Eshares, Inc. purchases land. In payment for the​ land, Eshares, Inc. issues 6 comma 000shares of common stock with $ 10par value. The land has been appraised at a market value of $ 480 comma 000.Which of the following is included in the journal entry to record this​ transaction?

a. debit Cash $500,000
b. credit Common Stock-$10.00 Par Value for $100.000 and credit Paid-In Capital in Excess of Par-Common $400000
c. $1000 Par Value for S100 000 and debit Paid-In Capital in Excess of Par debit omm on Stock -Common $400,000
d. credit Common Stock--$10 00 Par Value for $500,000 Click to select your answer

Answers

Answer:

Credit Common Stock $ 10 Par Value for $ 60,000 and Credit Paid-In Capital in Excess of Par-Common $ 420, 000

Explanation:

Since we were told that On December​ 2, 2018,​ Eshares, Inc. purchases a land in which Eshares issues 6 ,000 shares of common stock with $ 10par value and the land was appraised at a market value of $ 480,000 this means the Journal entry will be recorded as:

Credit Common Stock $ 10 Par Value for $ 60,000

Credit Paid-In Capital in Excess of Par-Common $ 420, 000

Calculated as:

Common stock = 6,000 shares x $10 = $60,000

Paid-in Excess of par = $480,000 - $60,000

= $420,000

Trak Corporation incurred the following costs while manufacturing its bicycles.
Bicycle components $100,000 Advertising expense $45,000
Depreciation on plant 60,000 Property taxes on plant 14,000
Property taxes on store 7,500 Delivery expense 21,000
Labor costs of assembly-
line workers 110,000 Sales commissions 35,000
Factory supplies used 13,000 Salaries paid to sales clerks 50,000
Identify each of the above costs as direct materials, direct labor, manufacturing overhead, or period costs.
Bicycle components
Depreciation on plant
Property taxes on store
Labor costs of assembly-line workers
Factory supplies used
Advertising expense
Property taxes on plant
Delivery expense
Sales commissions
Salaries paid to sales clerks

Answers

Answer:

Required: Identify the costs as direct materials, direct labor, manufacturing overhead, or period costs.

They are classified below:

Bicycle components: DIRECT MATERIALS

Depreciation on plant: MANUFACTURING OVERHEAD

Property taxes on store: PERIOD COST

Labor costs of assembly-line workers: DIRECT LABOUR

Factory supplies used: MANUFACTURING OVERHEAD

Advertising expense: PERIOD COST

Property taxes on plant: MANUFACTURING OVERHEAD

Delivery expense: PERIOD COST

Sales commissions: PERIOD COST

Salaries paid to sales clerks: MANUFACTURING OVERHEAD

Definition of terms used:

Period cost is any cost incurred which was not directly involved during production.

Manufacturing overhead can be said to be indirect costs incurred during production.

Direct labour costs involves payment made to workers involved in production.

Direct materials cost are costs of raw materials used in production.

Therefore,

Bicycle components are classified as direct materials.

Depreciation on plant are classified as manufacturing overhead.

Property taxes on store are classified as period cost.

Labor costs of assembly-line workers are classified as direct labour.

Factory supplies used are classified as manufacturing overhead.

Advertising expense is classified as period cost

Property taxes on plant are classified as manufacturing overhead.

Delivery expenseis classified as period cost.

Sales commissions is classified as period cost.

Henry Jones contributed equipment, inventory, and $53,300 cash to a partnership. The equipment had a book value of $25,500 and market value of $32,900. The inventory had a book value of $51,900 but only had a market value of $16,000 due to obsolescence. The partnership also assumed a $14,500 note payable owed by Henry that was originally used to purchase the equipment.

What amount should Henry's capital account be recorded?
a. $69,000
b. $104,000
c. $84,000
d. $89,000

Answers

Answer:

$94,000

Explanation:

Henry Jones contributed a cash of $53,300 to the partnership

The equipment had a book value of $25,500 and a market value of $32,900

The inventory had a book value of $51,900 and a market value of $16,000

The partnership assumed a note payable of $14,500 that was owed by Henry

Therefore, the amount that should be recorded in Henry's capital can be calculated as follows

= $53,300+$39,200+$16,000-$14,500

= $108,500-$14,500

= $94,000

Hence $94,000 should be recorded in Henry's capital account

Identify the best definition of money. whatever serves society in three functions: medium of exchange, store of value, and unit of account paper bills and coins metal or paper currency produced by governments to enable the exchange of goods and services the exchange of goods and services enabled via the double coincidence of wants

Answers

Answer:

Unit account of paper bills

Explanation:

I took test during school

The following table gives the number of pints of type A blood used at Damascus Hospital in the past 6​ weeks:

Week Of Pints Used
31-Aug 350350
7-Sep 389389
14-Sep 408408
21-Sep 383383
28-Sep 368368
5-Oct 378378

Required:
The forecasted demand for the week of October 12 using a​3-week moving average is:______

Answers

Answer:

The forecasted demand for the week of October 12 using a 3-week moving average is 376,710

Explanation:

a) Data

21-Sep  383,383

28-Sep 368,368

5-Oct    378,378

Total  1,130,129

Average = 1,130,129/3 = 376,710

b) To calculate the moving average, the quantities for three weeks' demand are added and divided by 3.  This shows that the average demand for type A blood at the Damascus Hospital will be 376,710, going by the figures provided.  If the correct figures should have been 383, 368, and 378, the average would have equal to 376 pints.

Determinants of the price elasticity of demand
Consider some determinants of the price elasticity of demand:
1. The availability of close substitutes
2. Whether the good is a necessity or a luxury
3. How broadly you define the market
4. The time horizon being considered
A good with many close substitutes is likely to have relatively demand, since consumers can easily choose to purchase one of the close substitutes if the price of the good rises.
A good’s price elasticity of demand depends in part on how necessary it is relative to other goods. If the following goods are priced approximately the same, which one has the least elastic demand?
A heart valve for heart attack victims
Diamond necklace
The price elasticity of demand for a good also depends on how you define the good.
Organize the goods found in the following table by indicating which is likely to have the most elastic demand, which is likely to have the least elastic demand, and which will have demand that falls in between.
Categories Most Elastic In Between Least Elastic
Red bell peppers
Vegetables
Food
The price elasticity of demand is also affected by the given time horizon.
Other things being equal, the demand for natural gas will tend to be elastic in the short run than in the long run.

Answers

Answer:

Elastic

A heart valve for heart attack victims

Red bell peppers  - least elastic

Vegetables  - in between

Food - most elastic

less elastic

Explanation:

Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.

If the absolute value of price elasticity is greater than one, it means demand is elastic. Elastic demand means that quantity demanded is sensitive to price changes.

Demand is inelastic if a small change in price has little or no effect on quantity demanded.

a good that is considered a necessity usually has a less elasticity of demand.

the more narrowly defined a good is, the less elastic demand is. for example, there are many substitutes for food because it is largely defined, so its elasticity of demand would be more elastic

in the short run, demand is usually less elastic because there is a short time to find suitable substitutes. but in the long run, consumers have enough time to find suitable substitutes so demand is usually more elastic

As settlement of a 100,000 death benefit, a beneficiary elected to take an annuity-immediate payable monthly for 25 years. The monthly payment was calculated using an effective annual interest rate of 3 percent. After making payments for 10 years, the insurance company decided to increase the monthly payments for the remaining 15 years by changing the effective annual interest rate to 5 percent. Calculate the increase in the monthly payment.

Answers

Answer:

Increase in monthly payment = 66

Explanation:

Given:

Amount = 100,000

Time, n = 25 years

Rate of 3% was used for the first 10 years.

Rate of 5% was used for the remaining 15 years.

Required:

Calculate the increase in the monthly payment.

To find the increase we are to subtract the original monthly payment from the new monthly payment.

First find the original monthly payment:

Original monthly payment [tex]= 100000* \frac{(1+0.03)^(^1^/^1^2^)-1)}{(1-1/(1+((1+0.03)^(^1^/^1^2^)-1))^(^1^2^*^2^5^))} = 472.108741438514[/tex]

Therefore, original monthly payment % 472.109

Now calculate the new monthly payment:

New monthly payment [tex]= 472.108741438514 / [((1+0.03)^(^1^/^1^2^)-1)* (1-1/(1+((1+0.03)^(^1^/^1^2^)-1)^(^1^2^*^1^5^))*((1+0.05)^(^1^/^1^2^)-1)/(1-1/(1+((1+0.05)^(^1^/^1^2^)-1))^(^1^2^*^1^5^))] = 538.1868715[/tex]

New monthly payment = 538.187

Increase in monthly payment = 538.187 - 472.109 = 66.078

Increase in monthly payment ≈ 66

After researching the different forms of business organization, Natalie Koebel decides to operate "Cookie Creations" as a corporation. She then starts the process of getting the business running. In November 2015, the following activities take place.
A. Natalie cashes her U.S. Savings Bonds and receives $520, which she deposits in her personal bank account.
B. She opens a bank account under the name "Cookie Creations" and transfers $500 from her personal account to the new account in exchange for common stock.
C. Natalie pays $65 to have advertising brochures and posters printed. She plans to distribute these as opportunities arise.
D. She buys baking supplies, such as flour, sugar, butter, and chocolate chips, for $125 cash.
E. Natalie starts to gather some baking equipment to take with her when teaching the cookie classes. She has an excellent top-of-the-line food processor and mixer that originally cost her $750. Natalie decides to start using it only in her new business. She estimates that the equipment is currently worth $300. She invests the equipment in the business in exchange for common stock.
F. Natalie realizes that her initial cash investment is not enough. Her grandmother lends her $2,000 cash, for which Natalie signs a note payable in the name of the business. Natalie deposits the money in the business bank account. (Hint: The note does not have to be repaid for 24 months. As a result, the notes payable should be reported in the accounts as the last liability and also on the balance sheet as the last liability.)
G. She buys more baking equipment for $900 cash.
H. She teaches her first class and collects $125 cash.
I. Natalie books a second class for December 4 for $150. She receives $30 cash in advance as a down Natalie pays $1,320 for a one-year insurance policy that will expire on December 1, 2016.
(a) Prepare journal entries to record the November transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
(b) Post the journal entries to general ledger accounts.
(c) Prepare a trial balance at November 30.

Answers

Answer:

ANatalie cashes her U.S. Savings Bonds and receives $520, which she deposits in her personal bank account.

Natalie cashes her U.S. Savings Bonds and receives $520, which she deposits in her personal bank account.

which 2 statements regarding intuit approved quickbooks online apps are true? Select all that apply 1. It is recommended that the master administrator of the quickbooks company complete the setup. 2.You can sign up for quickbooks payments fro the dashboard in quickbooks online. 3. You can connect an existing qucibooks payments,Go payment or intiut merchant services account 4.it is a best practice for the proadvisor to complete and sign the quickbooks paymment agreement on behalf of client 5. you mus record the receive payment for each invoice paid using the pay on button.

Answers

Answer:

1. It is recommended that the master administrator of the quick-books company complete the setup.

3. You can connect an existing quick-books payments, Go payment or intuit merchant services account.

Explanation:

Quickbook is an accounting software which help in recording and processing a financial transaction. This software is best suited for small to medium sized organisations. Master administrator has all the access rights of a company administrator. Master administrator is the one who initially creates the quick book company file and he is then assigned as Master administrator.

The Quickbook is accounting software that helps in recording and processing financial transactions that are in monetary terms. This software is easy to access and therefore best for small and medium-sized business firms.

The 2 statements that are true about the intuit approach in the app are as follows:

1. It is recommended that the master administrator of the quick-books company complete the setup.

3. You can connect an existing quick-books payment, Go payment, or intuit merchant services account.

Under the Quickbook online apps, there is a Master administrator that gives access to all the rights of the business to the operating administrator. The master administrator is known for making or creating the initial book in the Quickbooks company file.

To know more about Quickbook, refer to the link:

https://brainly.com/question/17490243

When asset specificity is very high and there is market uncertainty, then it is best for a firm to:

a. Vertically integrate.
b. Ngage in a strategic alliance.
c. Use a short-term contract.
d. Buy in the open market.

Answers

Answer:

a. Vertically integrate.

Explanation:

a. Vertically integrate as this is the only way to reach the standards requirements of the product features at the reasonable amount.

Therefore according to the given situation, If the specificity of the assets is very high and there is market instability so it is appropriate for a company to vertical intergrate.

So, the correct answer is a.

Suppose there is an ordinary deductible of $40 and the maximum payment by the insurer is $130. Determine the standard deviation of annual losses incurred by the automobile owner before the insurance reimbursement.

Answers

An automobile owner has 40% chance of having exactly one accident in a year and 60% chance of having no accidents in a year. There is no chance that the automobile owner incurs more than one accident in a year.

If there is an accident, the loss amount has the following distribution:

Loss amount & Prob

30 0.3

60 0.15

100 0.45

180 0.1

Suppose there is an ordinary deductible of $40 and the maximum payment by the insurer is $130.

Determine the standard deviation of the payment made by the insurer to the automobile owner.

Answer:

The answer is 32.437

Explanation:

Let X be the loss and let Y be the payment by the insurer.

Hence, we have Y = o if x<= 40,

x-40 if 40 < x < 130

130 if x > = 170

Therefore, Var (y) = E (y^2) - [E(y)]^2

E(y) = 0.4[130 (0.1)+60 (0.45) +20 (0.15)] = 17.2

E(^2) = 0.4 [130^2(0.1) + 60^2(0.45) +20^2(0.15)] = 1348

Finally, Var(y) = 1348 -17.2^2 = 1052.16

Sqrt(1052.16) = 32.437

Therefore, the standard deviation of the payment made by the insurer to the automobile owner is 32.437

Knowledge Check 01 Cartier Corporation currently sells its products for $50 per unit. The company’s variable costs are $20 per unit. Fixed expenses amount to a total of $5,000 per month. What is the company’s contribution margin ratio?

Answers

Answer:

Contribution margin ratio = 0.6 or 60%

Explanation:

The contribution margin per unit is the amount that each unit contributes to covering the total fixed costs. It is the contribution of each unit towards fixed costs after deducting the variable costs per unit from the selling price per unit.

The contribution margin ratio is the unit contribution margin expressed as a percentage of the selling price per unit.

Contribution margin ratio = Contribution margin per unit / Selling price per unit

Where,

Contribution margin per unit = Selling price per unit - Variable cost per unit

Contribution margin per unit = 50 - 20 = $30

Contribution margin ratio = 30 / 50 = 0.6 or 60%

A hospital purchased new MRI equipment and intended to be used for 4 years. The information is given below. As part of the warranty agreement, the maintenance costs will be waived for the first 4 years. At MARR of 29% per year, determine the minimum revenue per year to realize the expected recovery and return.

Answers

Answer:

the information is missing but I looked for a similar question that can help as an example (hopefully it will be the same):

purchase cost $750,000

useful life 4 years, salvage value $150,000

discount rate 29%

in order to answer this question, we would need to calculate a cash flow that results in NPV = 0

0 = -$750,000 + CF/1.29 + CF/1.29² + CF/1.29³ + (CF + $150,000)/1.29⁴

$750,000 = CF/1.29 + CF/1.29² + CF/1.29³ + (CF + $150,000)/1.29⁴

$750,000 = 0.7752CF + 0.6009CF + 0.4658CF + 0.3611CF + $54,166.70

$695,833.30 = 2.203CF

CF = $695,833.30 / 2.203 = $315,857.15

As a U.S. postal worker, Joe joined the U. S. Postal Service Federal Credit Union. He is confident that his small deposit is safe because the credit union's accounts are protected by the

Answers

Answer:

The correct answer is: Savings Association Insurance Fund (SAIF)

Explanation:

The Savings Association Insurance Fund was a government insurance fund created in the late 1980's after a loan crisis and with the main purpose of protecting the savings and loans and also the thrift institutions from the United States of America in the cases where crisis might arises and the depositors can suffer from losses during an institutional failure. Moreover, the SAIF was later combined in 2006 with the Bank Insurance Fund (BIF) in order to establish a better management and control from the authorities.

The following events took place for Digital Vibe Manufacturing Company during January, the first month of its operations as a producer of a digital video monitor.
a. Purchased $168,500 of materials.
b. Used $149,250 of direct materials in production.
c. Incurred $360,000 of direct labor wages.
d. Incurred $120,000 of factory overhead.
e. Transferred $600,000 of work in process to finished goods.
f. Sold goods for $875,000.
g. Sold goods with a cost of $525,000.
h. Incurred $125,000 of selling expenses.
i. Incurred $80,000 of administrative expenses.
Using the information given, complete the following:
a. Prepare the January income statement for the Digital Vibe Manufacturing Company.
b. Determine the Materials Inventory, Work in Process Inventory, and Finished Goods Inventory balances at the end of the first month of operations.

Answers

Answer:

1.  Income Statement for Digital Vibe Manufacturing company

                    For the Month ended January 31

Sales                                                        875,000

Cost of goods sold                                  525,000

Gross Profit                                              350,000

Operating Expenses:

Selling expenses                 125,000

Administrative expenses     80,000

Total Operating expenses                       205,000

Net Income                                               $145,000

B.

1. Ending material inventory = Material purchased - Used material in production

= 168,500 - 149,250

= $19,250

2. Ending work in Process inventory = Material used in production + Direct labor + Factory overhead - Transferred of work in process to finished goods

= 149,250 + 360,000 + 120,000 - 600,000

=$29,250

3. Ending finished goods inventory = Transfer from work in progress - Cost of goods sold

= 600,000 - 525,000

= $75,000

The absorption-cost approach is used by most companies for all of the following reasons except that:______a) absorption cost information is readily provided by a company’s cost accounting system.b) basing prices on only variable costs could encourage managers to set too low a price to boost sales.c) this approach is more consistent with cost-volume-profit analysis.d) absorption cost provides the most defensible bases for justifying prices to interested parties

Answers

Answer:

c) this approach is more consistent with cost-volume-profit analysis.

Explanation:

The absorption costs does not separate the fixed costs and variable cost for profit determination.

This hence, is not adequate for internal purposes of as it does not provide management accountants of the changes in fixed and variable costs that arise as a result of changes in levels of sales demand.

Thus this method is not consistent with cost-volume-profit analysis.

The Maine Media Workshop is similar to____________ because the people who take classes there learn by doing.
1. mentoring,
2. on-the-job training,
3. corporate University

Answers

Answer:

On-the-job training

Explanation:

Maine Media Workshop is similar to ON-THE-JOB TRAINING, reason been that the people, employees or workers who take classes there learn by doing.

On the job training can be defined as a training which is provided at the workplace in which the during the training, employees are

familiarized with the working environment which is why On-the-Job Training is tend to be based on the principle of learning by doing because the workers or the empolyees learn the job while performing it within their workplace environment or while the employees are doing the actual job.

Hence ,On-the-job training which is also known as OJT enables or help employees to gain hands on knowledge in their workplace or work environment.

Therefore a Managers who want or desire to keep their employees or workers training costs as low as possible should make use of ON -THE-JOB TRAINING.

Stormer Company reports the following amounts on its statement of cash flow: Net cash provided by operating activities was $35,500; net cash used in investing activities was $13,000 and net cash used in financing activities was $16,500. If the beginning cash balance is $6,500, what is the ending cash balance

Answers

Answer:

The answer is $38,500

Explanation:

Operating activities: Cash generated or used to run the day-to-day business operations.

Investing activities: Cash used for investing in assets like securities, bonds, equipment, or proceeds from these assets.

Financing activities: Cash generated from loan and/or payments made to reduce loan balances

Ending cash balance = Net Cash from operating activities + net cash from investing activities - net caash from financing activities + Beginning cash balance

Ending cash balance = $35,500 + $13,000 - $16,500 + $6,500

$38,500

Feather Tissues Inc. decided to change the color of its tissue box from red to blue because blue was thought to be visually pleasing to consumers at the time of purchase. The change in color represents the ________ aspect of packaging.

Answers

Answer:

aesthetic

Explanation:

Based on the information provided within the question it can be said that the change in color represents the aesthetic aspect of packaging. An aesthetic aspect refers to making sure that the packaging has an overall pleasant, positive, beautiful, or artful appearance in order to evoke positive emotions on the viewer. Which in this scenario is exactly what Feather Tissues Inc. is trying to accomplish by changing the color from red to blue, in order to please/attract their customers and in term increase sales.

The effective management of diversity can enhance the social responsibility goals of an organization. Other areas where sound management of diverse workforces can improve the effectiveness of an organization and its competitive advantages include all but one of the following?

a. Problem creation
b. Organizational flexibility
c. Marketing
d. Resource acquisition

Answers

Answer:

The correct answer is the option A: Problem creation.

Explanation:

To begin with, when it comes to diversity in the organization the right management of it can ensure the fact of increase the development and growth of the company in its whole, and moreover when it comes to areas that are really needed of diversity of thoughts and cultures in general. Therefore that the marketing area, the resource acquisiton and organization flexibility are the areas that obviously would be benefit by the increase of the diversity of the workforce so that the effectiveness of the organization as a whole will be increase as well too.

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