Answer:
The amount for gross trade account receivable is $520
The amount for bad debt expense is $144
Explanation:
The gross amount receivable is total receivable amount from the sales made. In the given scenario the amount receivable for the year is $443 plus the provisions made at the end of the year. The gross receivable is $520.
PLEASE HELP!! i’ll give brainliest
2. How could a business demonstrate its core value of treating all employees well?
Answer:
Share your vision with them. Let employees know our plans for your company and your products and services. ...
Keep them in the loop. ...
Involve them in the launch of new products. ...
Reward them for building relationships with customers.
Explanation:
Answer:
1. Share your vision with them.
Let employees know our plans for your company and your products and services. Keep them informed of your values and goals so that they can be your advocate. Two Men and a Truck is a company that makes it a point to instill its core values so that employees can live them out in their daily lives and at work. Two of my favorite such core values are: The Grandma Rule and Give Back to the Community. Two Men and a Truck features its employees living out their core values on its blog, and the employees share those values with customers, neighbors and friends.
2. Keep them in the loop.
Don’t keep secrets from your employees -- tell them everything you know that they need to know to help you run your business. Even though it’s a privately held company, Rhino Foods regularly shares its financial information with employees so that they can help keep the business profitable. Employees know that they have the ability to impact the bottom line of the company, which also impacts their paychecks. This helps everyone in the long run.
Related: Richard Branson on Why Making Employees Happy Pays Off
3. Involve them in the launch of new products.
When Lenovo introduced its new Yoga tablet in fall 2013, the company's internal communications team decided to engage employees in the introduction of this new product launch; the decision was announced on the company intranet, Lenovo Central. Employees could win a Yoga tablet by posting their own yoga poses there. The poses with the most “likes” also won their practitioners a new tablet. This was a great example of engaging employees in a new product and brand early, then rewarding them with that product so they become brand ambassadors once the product hits the market.
4. Reward them for building relationships with customers.
Instead of providing commissions for employees to sell something a customer may not need, why not encourage the building of a relationship with that customer, accompanied by rewards for creating and maintaining customer loyalty?
I have not yet heard of a company that rewards employees for truly building and maintaining customer relationships. So, if you have, please share that information in the comment section below. But I believe such a move could become a powerful vehicle for employees to understand and harness their "inner brand ambassador" if they understand and are rewarded for such relationship-building with customers.
Victoria Company reports the following operating results for the month of April.
VICTORIA COMPANY
CVP Income Statement
For the Month Ended April 30, 2020
Total
Per Unit
Sales (9,000 units) $450,000 $50
Variable costs 225,000 25.00
Contribution margin 225,000 $25.00
Fixed expenses 184,950
Net income $40,050
Management is considering the following course of action to increase net income: Reduce the selling price by 5%, with no changes to unit variable costs or fixed costs. Management is confident that this change will increase unit sales by 20%.
Using the contribution margin technique, compute the break-even point in units and dollars and margin of safety in dollars: (Round intermediate calculations to 4 decimal places e.g. 0.2522 and final answer to 0 decimal places, e.g. 2,510.)
(a) Assuming no changes to selling price or costs.
Break-even point
Enter a number of units
units
Break-even point
$Enter a dollar amount
Margin of safety
$Enter a dollar amount
(b1) Assuming changes to sales price and volume as described above.
Break-even point
Enter a number of units
units
Break-even point
$Enter a dollar amount
Margin of safety
$Enter a dollar amount
Answer:
Victoria Company
1. No Changes:
Break-even point in units = 7,398
Break-even point in dollars = $369,900
Margin of safety = $80,100
2. With changes in sales price and costs:
Break-even point in units = Fixed expense/Contribution margin per unit
= 8,220
Break-even point in dollars = Fixed expense/Contribution ratio
= $390,437
Margin of safety in dollars
= $122,563
Explanation:
a) Data and Calculations:
VICTORIA COMPANY
CVP Income Statement
For the Month Ended April 30, 2020
Total Per Unit
Sales (9,000 units) $450,000 $50
Variable costs 225,000 25.00
Contribution margin 225,000 $25.00
Fixed expenses 184,950
Net income $40,050
Break-even point in units = $184,950/$25 = 7,398
Break-even point in dollars = $184,950/0.5 = $369,900
Margin of safety = $450,000 - $369,900 = $80,100
Management's decision to reduce selling price by 5%
New selling price = $47.50 ($50 * 95%)
Unit sales = 10,800 (9,000 * 1.2)
Total Per Unit
Sales (10,800 units) $513,000 $47.50
Variable costs 270,000 25.00
Contribution margin 243,000 $22.50
Fixed expenses 184,950
Net income $58,050
Break-even point in units = Fixed expense/Contribution margin per unit
= $184,950/$22.50
= 8,220
Contribution ratio = $22.50/$47.50 = 0.4737
Break-even point in dollars = Fixed expense/Contribution ratio
= $184,950/0.4737
= $390,437
Margin of safety in dollars = Budgeted Sales - Break-even Sales
= $513,000 - $390,437
= $122,563
which layer of the atmosphere provide rainwater to the planet
On June 3, Carla Company sold to Chester Company merchandise having a sale price of $3,800 with terms of 4/10, n/60, f.o.b. shipping point. An invoice totaling $91, terms n/30, was received by Chester on June 8 from John Booth Transport Service for the freight cost. On June 12, the company received a check for the balance due from Chester Company.
Required:
Prepare journal entries on the Pronghorn Company books to record all the events noted above under each of the following bases.
a. Sales and receivables are entered at gross selling price.
b. Sales and receivables are entered at net of cash discounts.
Answer:
A. June 3
Dr Accounts Receivable—Chester $3,800
Cr Sales Revenue $3,800
June 12
Dr Cash $3,648
Dr Sales Discounts $152
Cr Accounts Receivable—Chester $3,800
B. June 3
Dr Accounts Receivable—Chester $3,648
Cr Sales Revenue $3,648
June 12
Dr Cash $3,648
Cr Accounts Receivable—Chester $3,648
Explanation:
A. Preparation of the journal entries on the Pronghorn Company books to record Sales and receivables are entered at gross selling price.
June 3
Dr Accounts Receivable—Chester $3,800
Cr Sales Revenue $3,800
June 12
Dr Cash $3,648
($3,800-$152)
Dr Sales Discounts ($3,800 X 4%) $152
Cr Accounts Receivable—Chester $3,800
B. Preparation of the journal entries on the Pronghorn Company books to record Sales and receivables are entered at gross selling price Sales and receivables are entered at net of cash discounts.
June 3
Dr Accounts Receivable—Chester $3,648
Cr Sales Revenue ($3,800 X 96%) $3,648
June 12
Dr Cash $3,648
Cr Accounts Receivable—Chester $3,648
The launch of New Coke turned out to be a nightmare for CocaCola. Discuss the marketing implications of introducing New Coke.
Answer:
don't know the answer what it is the chapter name
Camping Out Co. manufactures down sleeping bags:
a. The standard to make one sleeping bag is 4 pounds of down and takes 0.3 hours of direct labor.
b. The standard cost of the down used by Camping Out is $8 per pound and the standard labor cost is $10 per hour.
c. During the year, Camping Out purchased and actually used 15,000 pounds of down for $120,750.
d. During the year, the company manufactured 4,000 sleeping bags.
e. Payroll reported a total of 1,480 direct labor hours at a cost of $14,060.
Required:
a. Compute the total material variance, the material price variance, and the materials quantity variance, also indicate whether each variance is favorable or unfavorable.
b. Compute the total labor variance, the labor price variance, and the labor quantity variance, also indicate whether each variance is favorable or unfavorable.
Answer:
.
Explanation:
On December 27, 2020, Roberta purchased four tickets to a charity ball sponsored by the city of San Diego for the benefit of underprivileged children. Each ticket cost $200 and had a fair market value of $35. On the same day as the purchase, Roberta gave the tickets to the minister of her church for personal use by his family. At the time of the gift of the tickets, Roberta pledged $4,000 to the building fund of her church. The pledge was satisfied by a check dated December 31, 2020, but not mailed until January 3, 2021.
Requried:
a. Presuming that Roberta is a cash basis and calendar year taxpayer, how much can she deduct as a charitable contribution for 2020?
b. Would the amount of the deduction be any different if Roberta was an accrual basis taxpayer? Explain.
Answer:
a. Presuming that Roberta is a cash basis and calendar year taxpayer, how much can she deduct as a charitable contribution for 2020?
Roberta can deduct ($200 x 4) - ($35 x 4) = $800 - $140 = $660. She cannot deduct the check because it was not mailed before December 31.
b. Would the amount of the deduction be any different if Roberta was an accrual basis taxpayer? Explain.
As an accrual taxpayer, she could deduct $660 + $4,000 = $4,660. She had already written the check and the fact that it was mailed on January 3 doesn't make a difference for an accrual taxpayer.
Retailing is one area where technology is unlikely to make a big difference in how services are provided.
t or f
Ok I thing that, Retailing is one area where technology is unlikely to make a big difference in how services are provided.
Retailing is one area where technology is unlikely to make a big difference in how services are provided. The statement is False.
What is Retailing?Retailing is a method or refers as a channel of distribution of goods where the retailer sells the goods to the public in small amounts as compared to wholesaling where goods are given in bulk quantity.
Technology plays a significant role in how services are provided. It helps to analyze the best interests of the consumer so that appropriate improvement can be introduced to make them satisfied with the services offered.
Retailing can be done with both brick-and-mortar outlets as well as e-commerce platforms where technology helps to drive the demands of customers and helps them to make the best deal possible.
Therefore, the statement is False.
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Michigan State Figurine Inc. (MSF) sells crystal figurines to Spartan fans. MSF buys the figurines from a manufacturer for $10 per unit. They send orders electronically to the manufacturer, costing $20 per order and they experience an average lead time of 8 days for each order to arrive from the manufacturer. Their inventory carrying cost is 20%. The average daily demand for the figurines is 2 units per day. They are open for business 250 days a year. Answer the following questions:
Required:
a. How many units should the firm order each time? Assume there is no uncertainty at all about the demand or the lead time.
b. How many orders will it place in a year?
c. What is the average inventory?
d. What is the annual ordering cost?
e. What is the annual inventory carrying cost?
Answer:
Follows are the solution to the given points:
Explanation:
Given:
[tex]cost= \$10 / \ unit \\\\s= \$20 / \ order \\\\Lt= 8 / days \\\\H= 20 \% \ of \ cost \\\\[/tex]
[tex]= \frac{20}{100} \times 10\\\\= \frac{200}{100}\\\\= 2 \ \frac{unit}{year}[/tex]
[tex]d= 2 \ \frac{units}{day}\\\\n= 250 \ \frac{days}{year}\\\\D=d\times n \\\\[/tex]
[tex]=2 \times 250\\\\=500 \ \frac{units}{day}[/tex]
For point a:
[tex]\to EOQ=\sqrt{\frac{2DS}{H}}[/tex]
[tex]=\sqrt{\frac{ 2 \times 500 \times 20 }{2}} \\\\=\sqrt{500 \times 20}\\\\=\sqrt{1,000}\\\\=100 \ units[/tex]
For point b:
[tex]\to N=\frac{D}{Q} =\frac{500}{100} =5 \ orders[/tex]
For point c:
Calculating the average inventory:
[tex]\to \frac{Q}{2} =\frac{100}{2} =50 \ units[/tex]
For point d:
Calculating the annual ordering cost:
[tex]\to \frac{D}{Q} \times S\\\\[/tex]
[tex]=\frac{500}{100} \times 20\\\\ = 5\times 20 \\\\= \$100[/tex]
For point e:
Calculating the annual inventory carrying cost:
[tex]\to \frac{Q}{2} \times H =\frac{100}{2} \times 2=\$ 100[/tex]
LBSC, Inc., operates a milk processing plant in Kenosha, Wisconsin. Its union, the Brotherhood of Food Processing Workers (BFPW), represents all nonsupervisory production employees in the facility. The contract between LBSC and BFPW expires in six months, so LBSC must start to prepare for the negotiations. LBSC’s HR department plans to conduct a number of management meetings asking for feedback on the appropriate goals of bargaining, and to ask the finance department to estimate the acceptable cost profile for the term of the next contract. It will gather information on plant average seniority and inventory levels, and forecast customer demand. It will analyze grievances and find out what it can do about the course of other recent negotiations for the BFPW. Its finance department will estimate the costs of one additional holiday and a 401(k) plan. Finally, it will decide how much latitude it will have to make concessions and what will have to be referred to the corporate office before it can be approved. This activity is important because the outcome of contract negotiations can have a major impact on the ability of a company to meet its competitive challenges.
Match scenarios to each of the seven steps management should take in preparing to negotiate.
a. Analyze grievances
b. Gather seniority and inventory into.
c. Determine the authority of the bargaining team.
d. Conduct management meetings
e. Determine cost of a new holiday
1. Establishing Inter departmental contract objectives.
2. Preparing and analyzing data.
3. Anticipating union demands.
4. Establishing the cost of potential union demands.
5. Determining strategy and logistics.
Answer:
a. Analyze grievances ⇒ Anticipating union demands.
In analyzing the grievances of the workers, the company would be anticipating the demands of the unions as these will be based on the grievances of the workers.
b. Gather seniority and inventory info. ⇒ Preparing and analyzing data.
When they gather information on the seniority and inventory levels of the company, they are preparing and analyzing data to have better information on the company that will enable them plan ahead.
c. Determine the authority of the bargaining team. ⇒ Determining strategy and logistics.
Determining the authority the bargaining team has falls under determining the strategy and logistics because it is here that the company decides how they will approach the negotiations.
d. Conduct management meetings ⇒ Establishing Inter departmental contract objectives.
When they conduct management meetings across departments, this is to enable them establish objectives that will cut across departments.
e. Determine cost of a new holiday ⇒ Establishing the cost of potential union demands.
Estimating just how much the holiday will cost falls under the cost of accepting the Union demands and these need to be done to find out how much management can accept from the unions.
Cost-volume-profit analysis can also be used in making personal financial decisions. For example, the purchase of a new car is one of your biggest personal expenditures. It is important that you carefully analyze your options. Suppose that you are considering the purchase of a hybrid vehicle. Let’s assume the following facts. The hybrid will initially cost an additional $4,500 above the cost of a traditional vehicle. The hybrid will get 30 miles per gallon of gas, and the traditional car will get 20 miles per gallon. Also, assume that the cost of gas is $1.80 per gallon. Using the facts above, answer the following questions.
a. What is the variable gasoline cost of going one mile in the hybrid car?
b. What is the variable cost of going one mile in the traditional car?
Answer:
Results are below.
Explanation:
Giving the following information:
The hybrid will get 30 miles per gallon of gas, and the traditional car will get 20 miles per gallon. Also, assume that the cost of gas is $1.80 per gallon.
To calculate the unitary cost of one mile, we need to use the following formula:
One mile unitary cost= cost per gallon / mile sper gallon
Hybrid:
One mile unitary cost= 1.8 / 30
One mile unitary cost= $0.06
Traditional:
One mile unitary cost= 1.8 / 20
One mile unitary cost= $0.09
Wixis Cabinets makes custom wooden cabinets for high-end stereo systems from specialty woods. The company uses a job-order costing system. The capacity of the plant is determined by the capacity of its constraint, which is time on the automated bandsaw that makes finely beveled cuts in wood according to the preprogrammed specifications of each cabinet. The bandsaw can operate up to 181 hours per month. The estimated total manufacturing overhead cost at capacity is $14,480 per month. The company bases its predetermined overhead rate on capacity, so its predetermined overhead rate is $80 per hour of bandsaw use.
The results of a recent monthâs operations appear below:
Sales $ 43,780
Beginning inventories $ 0
Ending inventories $ 0
Direct materials $ 5,350
Direct labor $ 8,820
Manufacturing overhead incurred $ 14,300
Selling and administrative expense $ 8,160
Actual hours of bandsaw use 151
Required:
1-a. Prepare an income statement that records the cost of unused capacity on the income statement as a period expense.
1-b. How much of the cost of unused capacity can be shown on the income statement as a period expense?
Answer: what is the question?
Dean has earned $70,000 annually for the past five years working as an architect for WCC Inc. Under WCC's defined benefit plan (which uses a 7-year graded vesting schedule) employees earn a benefit equal to 3.5% of the average of their three highest annual salaries for every full year of service with WCC. Dean has worked for five full years for WCC and his vesting percentage is 60%. What is Dean's vested benefit (or annual retirement benefit he has earned so far)?A. $7,350.B. $0.C. $12,250.D. $42,000.
Answer:
A. $7,350
Explanation:
The computation of the vested benefit is shown below:
= Average salary × given percentage × five years × vesting percentage
= $70,000 × 3.5% × 5 years × 60%
= $7,350
Hence, the correct option is A.
If a business wants to open in a new country, when would it be the best time to do that on the Business Cycle? Why?
Answer:
they need to speak with community
Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $81,400. The machine's useful life is estimated at 20 years, or 387,000 units of product, with a $4,000 salvage value. During its second year, the machine produces 32,700 units of product.
Required:
Determine the machine's second-year depreciation using the double-declining balance method.
Answer:
$7,326
Explanation:
Double Decline Balance = 2 x SLDP x SLDBV
where,
SLDP = Straight Line Depreciation Percentage
= 100 ÷ useful life
= 100 ÷ 20
= 5 %
and
SLDBV = Straight Line Percentage Book Value
Year 1
Double Decline Balance = 2 x 5% x $81,400
= $8,140
Year 2
Double Decline Balance = 2 x 5% x ($81,400 - $8,140)
= $7,326
Therefore
The machine's second-year depreciation using the double-declining balance method is $7,326.
7 the follow table contains the demand from the last 10 months :
Explanation:
Month Actual Demand Month Actual Demand
1 31 6 36
2 34 7 38
3 33 8 40
4 35 9 40
5 37 10 41
Show Work and answer the following:
a.) calculate the single exponential smoothing forcast for these data using a of .30 and an initial forecast ( F1) of 31.
b.) calculate the exponential smooting with trend forecast for these data using an a of .30, & of .30, and an initial trend forecast ( T1) of 1, and an initil exponentailly smoothed forecast F1 of 30,
c.) calculate the mean absolute deviation (MAD0 for each forecast
What is the most likely reason some people avoid all carbohydrates in order to lose weight?
Answer:
People avoid carbohydrates, because they have a high calory density.
Victorinox is the name of the company that manufactures Swiss army knives. The _____ channel the company utilizes to get its knives to market is to wholesalers, than to retailers, and finally to consumers.
promotional
service
consumer
industrial
distribution
Answer:
Explanation:
Distribution channel is how you products to consumers.
The distribution channel the company utilizes to get its knives to market is to wholesalers, then to retailers, and finally to consumers. Thus the correct option is E.
What is a Distribution channel?A distribution channel is referred to as a pathway followed to deliver the goods to final consumers. These channels are associated with different levels based on the demands of the goods in the market.
The wholesaler buys large quantities of products from the manufacturer and resells them to retailers in smaller quantities. The vital work that wholesalers do is essential to the efficient exchange of information, ownership, and commodities.
Retail refers to the practice of purchasers purchasing goods and selling them directly to consumers, as opposed to suppliers or wholesalers. Between wholesalers and customers, retailers act as a middleman.
Therefore, option E is appropriate.
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An asset was sold during the year. The cost of the asset was $64,500. The asset was depreciated for four years, using the straight-line method at 10% per annum. The proceeds from the sale of this asset was $38,700. What was the gain or loss on the asset, if any?
Answer:
There was a loss on the asset of $3,618.45.
Explanation:
Given that an asset was sold during the year, and the cost of the asset was $ 64,500, after which the asset was depreciated for four years, using the straight-line method at 10% per annum, and finally the proceeds from the sale of this asset was $ 38,700, to determine what was the gain or loss on the asset, if any, the following calculation must be performed:
64,500 x 0.9 ^ 4 = X
42,318.45 = X
42,318.45 - 38,700 = X
3,618.45 = X
Thus, there was a loss on the asset of $ 3,618.45.
Answer:The company made no gain or loss on this sale
Explanation:
Tanya has money that she wants to leave to her grandchildren after she dies, but she doesn't want them to have to pay an inheritance tax. What
is the BEST way for Tanya to leave money to her grandchildren tax-free?
OA. Put all of her money into a 401k.
OB. Start gifting each of them $15,000 per year now.
OC. Put all of her money into stocks and bonds.
OD Start gifting each of them $25,000 per year now.
Answer:
B. Start gifting each of them 15k per year now.
Explanation: 15k is the max amount of money you can gift someone per year without taxation!
Every other answer besides B would require some sort of tax to pay!
Answer:
B. Start gifting each of them $15,000 per year now.
Explanation:
$15,000 is the max amount someone gave give out per year without getting taxed.
Every other answer choice would require some sort of tax!
What are the three classes or elements of Real Property
Hassick Corporation produces and sells a single product whose contribution margin ratio is 63%. The company's monthly fixed expense is $460,530 and the company's monthly target profit is $19,000. The dollar sales to attain that target profit is closest to:
Answer:
the dollar sales to attain that target profit is $761,159
Explanation:
The computation of the dollar sales is shown below:
= (Fixed cost + target profit) ÷ (Contribution margin ratio)
= ($460,530 + $19,000) ÷ (0.63)
= $761,159
hence, the dollar sales to attain that target profit is $761,159
Appliance Center is an experienced home appliance dealer. Appliance Center also offers a number of services for the home appliances that it sells. Assume that Appliance Center sells ovens on a standalone basis. Appliance Center also sells installation services and maintenance services for ovens. However, Appliance Center does not offer installation or maintenance services to customers who buy ovens from other vendors. Pricing for ovens is as follows.
Oven only $800
Oven with installation service 850
Oven with maintenance services 975
Oven with installation and maintenance services 1,000
In each instance in which maintenance services are provided, the maintenance service is separately priced within the arrangement at $175. Additionally, the incremental amount charged by Appliance Center for installation approximates the amount charged by independent third parties. Ovens are sold subject to a general right of return. If a customer purchases an oven with installation and/or maintenance services, in the event Appliance Center does not complete the service satisfactorily, the customer is only entitled to a refund of the portion of the fee that exceeds $800.
a. Assume that a customer purchases an oven with both installation and maintenance services for $1,000. Based on its experience, Appliance Center believes that it is probable that the installation of the equipment will be performed satisfactorily to the customer. Assume that the maintenance services are priced separately (i.e., the three components are distinct).
b. Identify the separate performance obligations related to the Appliance Center revenue arrangement.
Answer:
Answer is explained in the explanation section.
Explanation:
Solution:
Data Given:
Price of Oven Only = $800
Price of Oven with installation services = $850
Price of Oven with maintenance services = $975
Price of Oven with Installation and maintenance = $1000
So, with this data, we can calculate the total price of the oven:
Total Price = $800 + 50 + 175 = 1025
Now, we need to find out the allocation of price to the oven by using the following formula:
PA = Price Allocation
PA = (Price of Oven Only divided by Total Price) multiplied by the Price paid by the customer.
So,
We have all the values, just plugging in the above equation:
PA = [tex]\frac{800}{1025}[/tex] x $1000
PA = $780.48 is the price allocation for Oven.
Similarly, we need to find the Price allocation of maintenance services:
PA = (Price of maintenance Only divided by Total Price) multiplied by the Price paid by the customer.
PA = [tex]\frac{175}{1025}[/tex] x 1000
PA = $170.73 is the amount that must be allocated to the maintenance services.
Similarly, for Installation services:
PA = (Price of installation Only divided by Total Price) multiplied by the Price paid by the customer.
PA = [tex]\frac{50}{1025}[/tex] x 1000
PA = $48.78 is the price allocation for installation services.
Cullumber Warehouse distributes hardback books to retail stores and extends credit terms of 4/10, n/30 to all of its customers. During the month of June, the following merchandising transactions occurred.
June
1 Purchased books on account for $3,065 (including freight) from Catlin Publishers, terms 4/10, n/30.
3 Sold books on account to Garfunkel Bookstore for $1,000. The cost of the merchandise sold was $850.
6 Received $65 credit for books returned to Catlin Publishers.
9 Paid Catlin Publishers in full.
15 Received payment in full from Garfunkel Bookstore.
17 Sold books on account to Bell Tower for $1,750, terms of 4/10, n/30. The cost of the merchandise sold was $950.
20 Purchased books on account for $900 from Priceless Book Publishers, terms 1/15, n/30.
24 Received payment in full, less discount from Bell Tower.
26 Paid Priceless Book Publishers in full.
28 Sold books on account to General Bookstore for $2,950. The cost of the merchandise sold was $920.
30 Granted General Bookstore $240 credit for books returned costing $55.
Required:
Journalize the transactions for the month of June for Powell Warehouse, using a perpetual inventory system.
Answer:
01-Jun
Dr Inventory $3,065
Cr Accounts Payable $3,065
03-Jun
Dr Accounts Receivable $1,000
Cr Sales $1,000
03-Jun
Dr Cost of goods sold $850
Cr Inventory $850
06-Jun
Dr Accounts Payable $ 65
Cr Inventory $ 65
09-Jun
Dr Accounts Payable $ 3,000
Cr Cash $2,880
Cr Inventory $120
15-Jun
Dr Cash $ 1,000
Cr Accounts Receivable $ 1,000
17-Jun
Dr Accounts Receivable $1,750
Cr Sales $1,750
17-Jun
Dr Cost of goods sold $950
Cr Inventory $950
20-Jun
Dr Inventory $900
Cr Accounts Payable $900
24-Jun
Dr Cash $1,680
Dr Sales Discounts $70
Cr Accounts Receivable $1,750
26-Jun
Dr Accounts Payable $ 900
Cr Cash $891
Cr Inventory $ 9
28-Jun
Dr Accounts Receivable $2,950
Cr Sales $2,950
28-Jun
Dr Cost of goods sold $920
Cr Inventory $920
30-Jun
Dr Sales Returns & Allowances $240
Cr Accounts Receivable $240
30-Jun
Dr Inventory $ 55
Cr Cost of goods sold $ 55
Explanation:
Preparation of the Journal entries for the month of June for Powell Warehouse, using a perpetual inventory system.
01-Jun
Dr Inventory $3,065
Cr Accounts Payable $3,065
03-Jun
Dr Accounts Receivable $1,000
Cr Sales $1,000
03-Jun
Dr Cost of goods sold $850
Cr Inventory $850
06-Jun
Dr Accounts Payable $ 65
Cr Inventory $ 65
09-Jun
Dr Accounts Payable $ 3,000
($3,065-65)
Cr Cash $2,880
($3,000-$120)
Cr Inventory $120
($3,000*4%)
15-Jun
Dr Cash $ 1,000
Cr Accounts Receivable $ 1,000
17-Jun
Dr Accounts Receivable $1,750
Cr Sales $1,750
17-Jun
Dr Cost of goods sold $950
Cr Inventory $950
20-Jun
Dr Inventory $900
Cr Accounts Payable $900
24-Jun
Dr Cash $1,680
($1,750-$70)
Dr Sales Discounts $70 (1,750*4%)
Cr Accounts Receivable $1,750
26-Jun
Dr Accounts Payable $ 900
Cr Cash $891
($900-$9)
Cr Inventory $ 9
($900*1%)
28-Jun
Dr Accounts Receivable $2,950
Cr Sales $2,950
28-Jun
Dr Cost of goods sold $920
Cr Inventory $920
30-Jun
Dr Sales Returns & Allowances $240
Cr Accounts Receivable $240
30-Jun
Dr Inventory $ 55
Cr Cost of goods sold $ 55
E-Z-Rest Motel is a motel with 216 rooms located in the center of a large city in Mississippi. It is readily accessible from two interstate highways and three major State highways. The motel solicits patronage from outside Mississippi through various national advertising media, including magazines of national circulation. It accepts convention trade from outside Mississippi. and approximately 75 percent of its registered guests are from out of State Y. An action under the Federal Civil Rights Act and the Commerce Clause has been brought against E-Z-Rest Motel alleging that the motel discriminates on the basis of race and color. The motel contends that the federal law cannot be applied to it because it is not engaged in interstate commerce. Can the Federal government regulate this activity under the Interstate Commerce Clause? Why?
Answer: Yes. The Federal government can regulate this activity under the Interstate Commerce Clause.
Explanation:
From the information given, the case summary is that E-Z-Rest Motel discriminates on the basis of race and color.
The Commerce Clause provides the Federal Government to regulate the activities of the hotel. Because the motel us discriminating, the Congress has the right to stop it from operation.
The following information is available for the first month of operations of Bahadir Company, a manufacturer of mechanical pencils:
Sales $792,000
Gross profit $462,000
Cost of goods manufactured $396,000
Indirect labor $171,600
Factory deprecation $26,400
Materials purchased $244,200
Total manufacturing costs for the period $244,200
Materials inventory, ending $33,000
Using the information given, determine the following missing amounts:
Cost of goods sold
Finished goods inventory at the end of the month
Direct materials cost
Direct labor cost
Work in process inventory at the end of the month
Answer: See explanation
Explanation:
a. Cost of goods sold
This will be:
= Sales - Gross profit
= $792,000 - $462,000
= $330,000
b. Finished goods inventory at the end of the month.
This will be:
= Cost of goods manufactured - Cost of goods sold
= $396000 - $330000
= $66000
c. Direct materials cost
This will be:
= Materials purchased - Material inventory ending
= $244200 - $33000
= $211200
d. Direct labor cost
This will be:
= Manufacturing cost - Direct materials - Overhead
= $455400 - $211200 - $198000
= $46200
e. Work in process inventory at the end of the month
This will be:
= $455400 - $396000
= $59400
Note that:
Overhead cost= Indirect labor cost + Depreciation
= $171600 + $26400
= $298000
On January 1, 2017, Doone Corporation acquired 70 percent of the outstanding voting stock of Rockne Company for $378,000 consideration. At the acquisition date, the fair value of the 30 percent noncontrolling interest was $162,000 and Rockne's assets and liabilities had a collective net fair value of $540,000. Doone uses the equity method in its internal records to account for its investment in Rockne. Rockne reports net income of $160,000 in 2018. Since being acquired, Rockne has regularly supplied inventory to Doone at 25 percent more than cost. Sales to Doone amounted to $220,000 in 2017 and $320,000 in 2018. Approximately 40 percent of the inventory purchased during any one year is not used until the following year.
Part A:
What is the noncontrolling interest's share of Rockne's 2018 income?
Noncontrolling interest's share
Part B:
Prepare Doone's 2018 consolidation entries required by the intra-entity inventory transfers:(Prepare entry *G, TI, and G)
Answer:
Answer is explained in the explanation section below.
Explanation:
Solution:
Part A: First of all, we need to perform the conversion to gross profit rate as follows:
Conversion to Gross Profit Rate = 25% / 125%
Conversion to Gross Profit Rate = 20%
Non Controlling Interest's Share of Subsidiary Income
Reported income in 2018 = $160000
Add : 2017 Intra Company gross Profit Realized in 2018
($220000*40%*20%) = $17600
Less : Deferred Intra Company Gross Profit for 2018
($320000*40%*20%) = $25600
2018 Subsidiary Realized Income = $152000
Outside Ownership Percentage = 30%
Non Controlling Interest's Share of Subsidiary Income = $45600
Part B: Journal Entries:
Date: Dec. 31:
Particulars Debit Credit
Retained Earnings A/c Dr. 17600
To Cost of Goods Sold 17600
Sales A/c Dr. 320000
To Cost of Goods Sold 320000
Cost of Goods Sold A/c Dr. 25600
To Inventory 25600
Total 363200 363200
Human resource management includes all of the activities that a manager engages in to attract and retain employees and to ensure that they perform at a high level and contribute to the accomplishment of organizational goals.
a. True
b. False
Answer:
a. True
Explanation:
Human resources management (HRM) can be defined as an art of managing, controlling and improving the number of people (employees or workers), functions, activities which are being used effectively and efficiently by an organization.
This ultimately implies that, human resources managers are saddled with the responsibility of recruiting, managing and improving the welfare and working conditions of the employees working in an organization.
Hence, human resource management includes all of the activities that a manager engages in to attract and retain employees and to ensure that they perform at a high level and contribute to the accomplishment of organizational goals.
These financial statement items are for Riverbed Company at year-end, July 31, 2022.
Salaries and wages payable $1,800 Notes payable (long-term) $1,700
Salaries and wages expense 52,000 Cash 14,800
Utilities expense 22,600 Accounts receivable 10,700
Equipment 31,500 Accumulated depreciation-equipment 6,500
Accounts payable 4,600 Dividends 4,300
Service revenue 61,900 Depreciation expense 3,500
Rent revenue 8,500 Retained earnings (beginning of the year) 22,000
Common stock 32,400
Required:
Prepare an income statement for the year.
Answer:
Riverbed Company
Income statement for the year July 31, 2022
Service revenue 61,900
Add Other Incomes
Rent revenue 8,500
70,400
Less Expenses
Salaries and wages expense 52,000
Utilities expense 22,600
Depreciation expense 3,500 (78,100)
Net Income / Loss (7,700)
Explanation:
In the Income Statement, we record Revenues and Incomes only. This Statement is used to calculate the Profit earned during the Reporting Period.
The following data relate to the Torrence Company for May and August:
May August
Maintenance hours 25,000 29,000
Maintenance cost $1,175,000 $1,247,000
May and August were the lowest and highest activity levels, and Torrence uses the high-low method to analyze cost behavior. If maintenance hours are estimated to be 26,000 hours in October, which of the following statements is true?
a. Total maintenance costs will be $1,182,000.
b. Total maintenance costs will be $1,193,000.
c. Total maintenance costs will be $1,247,000.
d. Total maintenance costs will be $1,221,000.
e. Total maintenance costs will be $1,175,000.
Answer:
Total cost= $1,193,000
Explanation:
Giving the following information:
May August
Maintenance hours 25,000 29,000
Maintenance cost $1,175,000 $1,247,000
First, we need to calculate the variable and fixed costs using the following formulas:
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (1,247,000 - 1,175,000) / (29,000 - 25,000)
Variable cost per unit= $18
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 1,247,000 - (18*29,000)
Fixed costs= $725,000
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 1,175,000 - (18*25,000)
Fixed costs= $725,000
Now, the total cost for 26,000 hours:
Total cost= 725,000 + 18*26,000
Total cost= $1,193,000