Hodge Co. exchanged Building 24 which has an appraised value of $4,971,000, a cost of $7,691,000, and accumulated depreciation of $3,528,000 for Building M belonging to Fine Co. Building M has an appraised value of $4,498,000, a cost of $9,079,000, and accumulated depreciation of $4,796,000. The correct amount of cash was also paid. Assume depreciation has already been updated.
Prepare the entries on both companies' books assuming the exchange had no commercial substance.

Answers

Answer 1

Answer:

Hodge Co. Books

Debit : Building M  $4,163,000

Debit : Accumulated Depreciation Building 24 $3,528,000

Credit : Cost of Building 24 $7,691,000

Fine Co. Books

Debit : Building 24  $4,283,000

Debit : Accumulated Depreciation Building 24 $4,796,000

Credit : Cost of Building 24 $9,079,000

Explanation:

Where an exchange transaction lacks commercial substance, the accounting standard IAS 16 requires that the Asset that is acquired is measured at the Carrying Amount of the Asset given up, and no gain or loss can be estimated reliably.

Carrying Amount is Cost of Asset minus Accumulated Depreciation

The Carrying Amounts for Building 24 and Building M can now be calculated as follows -

Carrying Amount :

Building 24 = $7,691,000 - $3,528,000 = $4,163,000

Building M = $9,079,000 - $4,796,000 = $4,283,000

Then, apply the Carrying Amounts as new cost of assets acquired for Both Companies as required by the standard.


Related Questions

If Chelsea decides to wait two years
before making the down payment,
instead of one, how much money
will she have after two years?

Answers

(646) 804-0642skskskskskskslksksks

Buffalo Corporation issues $630,000 of 9% bonds, due in 11 years, with interest payable semiannually. At the time of issue, the market rate for such bonds is 10%. Click here to view factor tables. Compute the issue price of the bonds. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and the final answer to 0 decimal places e.g. 58,971.) Issue price of the bonds

Answers

Answer:

the issue price of the bonds is $593,177

Explanation:

The computation of the issue price of the bonds is shown below:

Particulars                  Amount          PV factorat 5%      Present value

Semi-annual interest $28,350              11.68959              $331,400

Principal                     $630,000            0.41552               $261,778

Total                                                                                     $593,177

hence, the issue price of the bonds is $593,177

Majestic Bank offers loans at various interest rates, depending on the nature of the loan.
Kevin wants to borrow $230,000 for a new home. He promises to pay back the loan in 10 years. Maria also wants to borrow $230,000 for a new home. She promises to pay back the loan in 15 years. Assume Kevin and Maria are equally creditworthy and that the two home mortgages are the same in all other aspects.
If all else is constant, the bank would most likely charge a higher interest rate to (Kevin/Maria) .

Answers

Answer:

Maria

Explanation:

Assuming all other factors are held constant, the bank would likely charge a higher interest rate to Maria because she intends to pay back the loan after a longer period of time than Kevin.

We need to remember the bank makes a profit from loans issued out to ist debtors, so a longer-term loan would result in higher interest rates for the party involved.

Paige independently owns and operates HiZ Inc., a company with 22 employees. She manages aggressively and expects rapid sIn the context of the entrepreneurial strategy matrix, a new pasanger vehicel is most likely to have the highest risks and returns.ales and profit growth. Paige's company is considered a(n) ________ venture.

Answers

Answer:

entrepreneurial

Explanation:

An entrepreneurial venture is a small business that has the potential to grow very rapidly and be very profitable. They are managed by entrepreneurs that are trying to introduce a new project or service. They have the potential to yield very high profits, but they are also extremely risky.

[The following information applies to the questions displayed below.]
The general ledger of Jackrabbit Rentals at January 1, 2021, includes the following account balances:
Accounts Debits Credits
Cash $ 41,500
Accounts Receivable 25,700
Land 110,800
Accounts Payable 15,300
Notes Payable (due in 2 years) 30,000
Common Stock 100,000
Retained Earnings 32,700
Totals $ 178,000 $178,000
The following is a summary of the transactions for the year:
1. January 12 Provide services to customers on account, $62,400.
2. February 25 Provide services to customers for cash, $75,300.
3. March 19 Collect on accounts receivable, $45,700.
4. April 30 Issue shares of common stock in exchange for $30,000 cash.
5. June 16 Purchase supplies on account, $12,100.
6. July 7 Pay on accounts payable, $11,300.
7. September30 Pay salaries for employee work in the current year, $64,200.
8. November 22 Pay advertising for the current year, $22,500.
9. December 30 Pay $2,900 cash dividends to stockholders.
The following information is available for the adjusting entries.
Accrued interest on the notes payable at year-end amounted to $2,500 and will be paid January 1, 2022. Accrued salaries at year-end amounted to $1,500 and will be paid on January 5, 2022. Supplies remaining on hand at the end of the year equal $2,300.
Record closing entries. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)

Answers

Answer:

3.2 Million

Explanation:

The usual stated political goal of rent control isGroup of answer choicesto conduct social engineering via economic rules.prices that allow rationing to the highest bidder.to assist the low income at a cost to society, in convenient, affordable housing.to pander to the low income voters by assuring them enough living space.to pander to real estate landlords by assuring them a low occupancy rate.

Answers

Answer:

to assist the low income at a cost to society, in convenient, affordable housing.

Explanation:

Rent control can be defined as a process which typically involves keeping the cost of rent within a certain amount that is affordable for the citizens. Therefore, it ensures the amount of money spent as rent doesn't go above the chosen amount or grow at an increased rate.

Price control can be defined as standard restrictions or regulatory conditions that are typically set and enforced by the government of a country.

This ultimately implies that, price controls are used to impose the minimum and maximum prices set by the government, which are to be charged for various goods and services in the market. This minimum price that can be charged such as minimum wage is known as price floor while the maximum price that can be charged such as rent control is known as price ceiling.

Basically, rent control is considered to be a price ceiling.

Hence, the usual stated political goal of rent control is to assist the low income at a cost to society, in convenient, affordable housing.

What are the four bases of market segmentation?

Answers

Answer:

Demographic segmentation.

Psychographic segmentation.

Behavioral segmentation.

Geographic segmentation

Explanation:

No way of explaining this at the moment! Sorry!

On January 1, Year 1, Poultry Processing Company purchased a freezer and related installation equipment for $69,600. The equipment had a three-year estimated life with a $4,500 salvage value. Straight-line depreciation was used. At the beginning of Year 3, Poultry Processing revised the expected life of the asset to four years rather than three years. The salvage value was revised to $3,500.
Required Compute the depreciation expense for each of the four years, Year 1-Year 4
Depreciation Expense
Year 1
Year 2
Year 3
Year 4

Answers

Answer:

Depreciation Expense

Year 1 = $21,700

Year 2 = $21,700

Year 3 = $11,350

Year 4 = $11,350

Explanation:

depreciation expense for years 1 and 2 = ($69,600 - $4,500) / 3 = $21,700

book value at the end of year 2 = $26,200

depreciation expense for years 3 and 4 = ($26,200 - $3,500) / 3 = $11,350

The City of Troy collects its annual property taxes late in its fiscal year. Consequently, each year it must finance part of its operating budget using tax anticipation notes. The notes are repaid upon collection of property taxes. On April 1, the city estimated that it will require $2,500,000 to finance governmental activities for the remainder of the fiscal year. On that date, it had $770,000 of cash on hand and $830,000 of current liabilities. Collections for the remainder of the year from revenues other than current property taxes and from delinquent property taxes, including interest and penalties, were estimated at $1,100,000.

Required:
a. Calculate the estimated amount of tax anticipation financing that will be required for the remainder of FY 2017. Show work in good form.
b. Assume that on April 2, 2017, the City of Troy borrowed the amount calculated in part a by signing tax anticipation notes bearing 6 percent per annum to a local bank. Record the issuance of the tax anticipation notes in the general journals of the General Fund and governmental activities at the government- wide level.
c. By October l, 2017, the city had collected a sufficient amount of current property taxes to repay the tax anticipation notes with interest. Record the repayment of the tax anticipation notes and interest in the general journals of the General Fund and governmental activities at the government-wide level.

Answers

PAnswer:

A. $1,460,000

B. Dr Cash $1,460,000

Cr Tax anticipation note Payable $1,460,000

C.General fund

Dr Tax anticipation note Payable $1,460,000

Dr Expenditure $43,800

Cr Cash $1,503,800

Government activities

Dr Tax anticipation note Payable $1,460,000

Dr General government interest expense $43,800

Cr Cash $1,503,800

Explanation:

a. Calculation for the estimated amount of tax anticipation financing that will be required for the remainder of FY 2017.

Estimated amount of Tax Anticipation Financing

Budgeted expenditures, remainder of year 2,500,000

Add Current liabilities payable 830,000

Less Estimated Resources Available:

Cash on hand, beginning of year (770,000)

Collections of budgeted revenues and delinquent property taxes (1,100,000)

Estimated Amount of Required Tax Anticipation Note Financing $1,460,000

b. Preparation of the Journal entry to Record the issuance of the tax anticipation notes

Dr Cash $1,460,000

Cr Tax anticipation note Payable $1,460,000

c. Preparation of journal entry to Record the repayment of the tax anticipation notes and interest

General fund

Dr Tax anticipation note Payable $1,460,000

Dr Expenditure $43,800

($1,460,000*6%*6/12)

Cr Cash $1,503,800

($1,460,000+$43,800)

Government activities

Dr Tax anticipation note Payable $1,460,000

Dr General government interest expense $43,800

($1,460,000*6%*6/12)

Cr Cash $1,503,800

($1,460,000+$43,800)

What will happen to the equilibrium price and quantity of airline fares as a result of the following two simultaneous changes (assume no other changes): I. the recent recession has encouraged people to save more, so fewer people decide to go on vacation. II. higher oil prices and weather-related difficulties have increased the cost of providing airline services.

Answers

Answer:

Equilibrium quantity would increase. there would be an indeterminate effect on equilibrium price

Explanation:

If fewer people go on vacation fewer people would board planes. As a result, the demand curve for planes would shift inwards. This would lead to a decrease in equilibrium price and quantity.

As a result of the higher cost of providing services, fewer planes would be in operation. This would lead to an inward shift of the supply curve. Equilibrium price would increase and equilibrium quantity would decrease.  

Taking this two effects together, equilibrium quantity would increase. there would be an indeterminate effect on equilibrium price.

Smoky Mountain Corporation makes two types of hiking boots--Xtreme and the Pathfinder. Data concerning these two product lines appear below:

Xtreme Pathfinder
Selling price per unit $140.00 $99.00
Direct materials per unit $72.00 $53.00
Direct labor per unit $24.00 $12.00
Direct labor-hours per unit 2.0 DLHs 1.0 DLHs
Estimated annual production and sales 20,000 units 80,000 units

The company has a traditional costing system in which manufacturing overhead is applied to units based on direct labor-hours. Data concerning manufacturing overhead and direct labor-hours for the upcoming year appear below:

Estimated total manufacturing overhead $1,980,000
Estimated total direct labor-hours 120,000 DLHs

Required:
Compute the product margins for the Xtreme and the Pathfinder products under the company's traditional costing system. (Round your intermediate calculations to 2 decimal places.)

Answers

Answer:

Results are below.

Explanation:

First, we need to calculate the predetermined overhead rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 1,980,000 / 120,000

Predetermined manufacturing overhead rate= $16.5 per direct labor hour

Now, we can determine the unitary product margin for each product:

Xtreme:

Selling price= 140

Total cost per unit= 72 + 24 + (16.5*2)= (129)

Product margin= $11

Pathfinder:

Selling price= 99

Total cost= 53 + 12 + (16.5*1)= (81.5)

Product margin= $17.5

state three essential characteristics of a good leaders​

Answers

Answer:

The Characteristics & Qualities of a Good Leader

Integrity.

Ability to delegate.

Communication.

Self-awareness.

Gratitude.

Learning agility.

Influence.

Empathy.

Answer:

ghhh función de agosto The Rock Creek and have been for a long time now for the rest in the morning and I will be there and I and my son is in a la medicina y cirugía de las partes involucradas te mando la celula BBDD de las tareas que BBDD PAC gxg de las partes involucradas la

The following preliminary unadjusted trial balance of Ranger Co., sports ticket agency, Errors in trial balance
Ranger Co. Unadjusted
Trial Balance
August 31, 2014
Debit balance Credit Balances
Cash 77600
Accounts Receivable. 377500
Prepaid Insurance 12000
Equipment.. 19000
Accounts Payable 29100
Unearned Rent..... 10800
Carmen Meeks, Capital 110000
Carmen Meeks, Drawing. 13,000
Service Revenue 385000
Wages 213000
Expense
Advertising Expense.. 16350
Miscellaneous Expense 18,400
273,700 668,300
When the ledger and other records are reviewed, you discover the following:
(1) the debits and credits in the cash account total $77,600 and $62,100, respectively;
(2) a billing of $9,000 to a customer on account was not posted to the accounts receivable account
(3) a payment of $4,500 made to a creditor on account was not posted to the accounts payable accOunt;
(4) the balance of the unearned rent account is $5,400;
(5) the correct balance of the equipment account is $190,000; and
(6) each account has a normal balance.
Prepare a corrected unadjusted trial balance.

Answers

Answer and Explanation:

The preparation of the corrected un-adjusted trial balance is presented below:

Particulars                  Dr Amount               Cr Amount

Cash                            $15,500  

Accounts Receivable $46,750  

Prepaid Insurance      $12,000  

Equipment                   $190,000  

Accounts payable                                           $24,600  

Unearned rent                                                $5,400  

Common stock                                               $40,000  

Retained Earnings                                           $70,000  

Dividends                    $13,000  

Service Revenue                                              $385,000  

Wages expense           $213,000  

Advertising expense   $16,350  

Miscellaneous expense $18,400  

Total                                $525,000                  $525000

The corrected  un-adjusted trial balance is presented below:

"Ranger Co. Unadjusted Trial Balance on August 31, 2014"

 Particulars                  Dr Amount               Cr Amount

Cash                            $15,500  

Accounts Receivable $46,750  

Prepaid Insurance      $12,000  

Equipment                   $190,000  

Accounts payable                                           $24,600  

Unearned rent                                                $5,400  

Common stock                                               $40,000  

Retained Earnings                                           $70,000  

Dividends                    $13,000  

Service Revenue                                              $385,000  

Wages expense           $213,000  

Advertising expense   $16,350  

Miscellaneous expense $18,400  

Total                                $525,000                  $525000

Learn more about "Trial Balance":

https://brainly.com/question/18558772?referrer=searchResults

Asset management ratios are used to measure how effectively a firm manages its assets, by relating the amount a firm has invested in a particular type of asset (or group of assets) to the amount of revenues the asset is generating. Examples of asset management ratios include the average collection period (also called the days sales outstanding ratio), the inventory turnover ratio, the fixed asset turnover ratio, and the total asset turnover ratio
Consider the following case:
Crawford Construction has a quick ratio of: 2.00x, $36,225 in cash, $20,125 in accounts receivable, some inventory, total current assets of $80,500, and total current liabilities of $28,175. The company reported annual sales of $100,000 in the most recent annual report.
Over the past year, how often did Crawford Construction sell and replace its inventory?
a. 4.14 x
b. 4.55 x
c. 2.86x
d. 8.01 x
The inventory turnover ratio across companies in the construction industry is 4.55x. Based on this information, which of the following statements is true for Crawford Construction?
a. Crawford Construction is holding less inventory per dollar of sales compared to the industry average
b. Crawford Construction is holding more inventory per dollar of sales compared to the industry average

Answers

Answer:

Crawford Construction

1. Crawford Construction sold and replaced its inventory:

a. 4.14 x

2. With Construction Industry Inventory Turnover Ratio as 4.55x, Crawford Construction:

b. Crawford Construction is holding more inventory per dollar of sales compared to the industry average

Explanation:

a) Data and Calculations:

Quick ratio = 2.00x,

Cash = $36,225

Accounts receivable = $20,125

Inventory = x

x= $80,500 - 36,225 - 20,125 = $24,150

Total current assets = $80,500

Total current liabilities = $28,175

Annual sales = $100,000

Using annual sales instead of cost of goods sold to calculate the inventory turnover, = Turnover/Inventory = $100,000/$24,150 = 4.14x

b) Quick ratio equals (Current assets - Inventory)/Current Liabilities.  Computing the quick ratio in place of the current ratio can be used to identify how Crawford Construction can meet its current (short-term) debts without selling inventory and recovering funds from the sale.

c) The Inventory Turnover Ratio divides the cost of goods sold by the average inventory.  The Sales value can approximate the cost of goods sold.  The ratio shows the efficiency of Crawford Construction in handling its inventory.  The higher the value of the ratio, the better, showing that Crawford is more efficient when it gets a higher turnover ratio.

Jasper Furnishings has $300 million in sales. The company expects that its sales will increase 12% this year. Jasper's CFO uses a simple linear regression to forecast the company's inventory level for a given level of projected sales. On the basis of recent history, the estimated relationship between inventories and sales (in millions of dollars) is as follows:

Inventories=$25+0.125(Sales).

Given the estimated sales forecast and the estimated relationship between inventories and sales, what are your forecasts of the company’s year-end inventory level and its inventory turnover ratio?

Answers

Answer:

Sales = $300,000,000

Sales Increase = 12%

Inventories = $25 + 0.125 (Sales)

Forecast sales = $300,000,000 * 1.12 = $336,000,000

As per equation inventory level = $25 + 0.125 (Sales)

= $25 + 0.125 ($336,000,000/1,000,000)

= $25 + $42

= $67 million

Inventory turnover ratio = Sales / Inventory

Inventory turnover ratio = $336,000,000/$67,000,000

Inventory turnover ratio = 5.014925373134328

Inventory turnover ratio = 5.015

The SEC has lifted its requirement that foreign companies, which have used IFRS as the basis for preparing their financial statements, must reconcile their financial statements using U.S. GAAP in order to be eligible to list their shares on U.S. stock exchanges. When did this happen

Answers

Answer: November 2007

Explanation:

The SEC came to a conclusion to remove the requirement that restricted foreign private issues from using IFRS from reconciling their financial statement to the U.S GAAP. The reason for this move was because the SEC recognizes IFRS having high quality set of accounting rules which they believe is capable of ensuring adequate disclosure for the protection of investors. This was their reason for the allowance

Select all the correct answers.
Which three statements are true as they relate to supply and demand?
As supply rises, prices generally decrease.
As demand decreases, costs generally increase.
OOOOO
As supply decreases, prices increase.
The average rate of change describes how much a quantity changes as price increases.
As demand rises, the price of the product decreases.

Answers

Answer:

As supply rises, prices generally decrease.

As supply decreases, prices increase.

The average rate of change describes how much a quantity changes as price increases.

Explanation:

I beleve these are your 3 answers

On January 1, 2018, Bradley Recreational Products issued $120,000, 8%, four-year bonds. Interest is paid semiannually on June 30 and December 31. The bonds were issued at $112,244 to yield an annual return of 10%. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: 1. Prepare an amortization schedule that determines interest at the effective interest rate. 2. Prepare an amortization schedule by the straight-line method. 3. Prepare the journal entries to record interest expense on June 30, 2020, by each of the two approaches. 5. Assuming the market rate is still 10%, what price would a second investor pay the first investor on June 30, 2020, for $12,000 of the bonds

Answers

Answer:

Answer is explained in the explanation section below.

Explanation:

Part 1:

Effective Interest Method:

Payment  Cash Payment  Effective Interest  Increase Balance Carrying Value

                                                                                                         $$112,244

1.                     $4,800                $5,612                  $812                  $113,056

2.                    $4,800                $5,653                 $853                 $113,909

3.                    $4,800                $5,695                 $895                 $114,804

4.                    $4,800                $5,740                 $940                 $115,745

5.                    $4,800                $5,787                 $987                 $116,732

6.                    $4,800                $5,837                 $1,037               $117,769

7.                    $4,800                $5,888                 $1,088               $118,857

8.                    $4,800                $5,943                 $1,143                $120,000

Totals             $38,400            $46,156                 $7,756                    

Calculations:

Cash payment = $120,000 x 4% = $4,800

Effective interest = Preceding carrying value x 5%

Increase in balance = Effective interest - Cash payment

Carrying value = Preceding carrying value + Increase in balance

Solution to part 2:

Similarly, we will be doing the part 2. Since, it is difficult to put here all the entries of the table. So, I have attached the tabulated part of the solution of part 2 in the attachment. Please refer to it.

Straight Line Method: Please refer to the attachment named Straight Line

Calculations used in the solution of part 2 are:

Cash payment = $120,000 x 4% = $5,600

Increase in balance = [$120,000-$112,244] ÷ 8 payments = $969.50

Effective interest = Cash payment + Increase in balance

Carrying value = Preceding carrying value + Increase in balance

Solution to Part 3:

In this we have to prepare the journal entries by each of the two approaches done above. So, for your ease, I have tabulated it and attached in the attachment below. Please refer to attachment named as Effective Interest Method Solution to part 3 and Straight Line method Solution to part 3:

Solution to part 5:

As, Carrying value of $12000 on June 30,2020 is $116,732

 Thus, price of the bonds of $12,000 on June 30,2020 is $11,673

Taveras Corporation is currently operating at 50% of its available manufacturing capacity. It uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. At the beginning of the year, the company made the following estimates: Machine-hours required to support estimated production 260,000 Fixed manufacturing overhead cost $ 5,720,000 Variable manufacturing overhead cost per machine-hour $ 2.00 Required: 1. Compute the plantwide predetermined overhead rate. 2. During the year, Job P90 was started, completed, and sold to the customer for $4,400. The following information was available with respect to this job: Direct materials $ 2,024 Direct labor cost $ 1,452 Machine-hours used 91 Compute the total manufacturing cost assigned to Job P90.

Answers

Answer:

Results are below.

Explanation:

First, we need to calculate the predetermined overhead rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= (5,720,000 / 260,000) + 2

Predetermined manufacturing overhead rate= $24 per machine hour

Now, we can determine the total cost of Job P90:

Total cost= 2,024 + 1,452 + (91*24)

Total cost= $5,660

Three friends are trying to decide what to do on Saturday night. The options are to go to a party, go see a play, or hang out at their apartment. Abdul prefers to see a play over going to the party, which he prefers to hanging out. Gina prefers to hang out over seeing a play, which she prefers to going to the party. Shaquille would most like to go to the party, his second choice is to hang out, and the play is his least preferred option. In the spirit of democracy, they decide to vote on their options. In a three-way vote, they each vote for a different choice, leading to a tie and failing to solve their problem. They thus decide to consider the options in pairs.
(1 point) Shaquille suggests that they first vote on hanging out versus going to the play and then vote on the winner of that versus going to the party. Which option will be chosen?
Choose one:
A. Go to the play.
B. Go to the party.
C. Hang out.

Answers

Answer:

go to party

Explanation:

Scale of preference can be described as a list of wants of individuals. They are usually arranged in order of importance or preference.

If the individuals vote  on hanging out versus going to the play :

Abdul would vote to see a play because it is his most preferred activity

Gina would vote to go hangout because it is her most preferred activity

Shaquille would vote to hangout. this is because going to the play is his second most preferred activity

so hangout would win with 2 votes to 1 in this round.

In the next round of voting, the two contenders would be hangout and going to the party.

Abdul would vote to go the party.  Going to the party is  his second most preferred activity and hangout is his least preferred activity

Gina would vote to go hangout because it is her most preferred activity

Shaquille would vote to go to the party. This is his most preferred activity.

Going to the party would win the second round of voting

assume that by continuing your education, you increased your yearly earning potential from 21,484 to 39746.

Answers

That’s a good thing. You probably got an associates degree in college if that’s the case. A degree being granted to you means more credits and more credits means a higher salary.

Panarin Company entered into two contracts on the same date with Hjalmarsson Corporation. Panarin has provided the following analysis of price and cost for the contracts:

Contract A Contract B
Contract price $125,000 $80,000
Cost of related goods 70,000 55,000
Gross profit (loss) $55,000 $25,000

Hjalmarsson, the customer, may cancel both contracts if either of them is not fulfilled by Panarin in a timely manner. Stand-alone prices are typically $120,000 for the goods in Contract A and $80,000 for the goods in Contract B.
Required:
a. Should the two contracts be combined for purposes of applying the 5-step revenue recognition model?
b. What amount of revenue should Panarin associate with each of the contracts?
c. When should revenue be recognized on each of the contracts?

Answers

Answer:

a. The 2 contracts should be combined.

b. $123,000 for Contract A

$82,000 for Contract B

c. Revenue should be recognized when control of goods has transferred to the customer.

Explanation:

Part a:

Answer: Yes. The 2 contracts should be combined.

Reasoning:

5-step revenue recognition model indicates identification of contracts with customer in the first step, identification of performance obligations of the contract in the second step, transaction price determination in the third step, allocation of transaction price to the performance obligations to the fourth step and recognition of revenue as the performance obligations in the fifth step. Therefore, two contracts should be combined.

Part b:

Calculate the amount of revenue should P associate with each of the contracts.

There are two performance obligations:

Goods from contract A ($120,000 + ($5000 x 60%)) = $123000

Goods from contract B ($80,000 + ($5000 x 40%)) = $82000

Reasoning: It is given that the stand-alone prices for Contract A is $120,000 and Contract B is $80,000. Contract price of Contract A is $125,000. Thus, the additional $5,000 should be split between the 2 contracts. Hence, the performance obligations for goods from contract A is $123,000 and goods from contract B is $82,000.

Part C:

Revenue should be recognized when control of goods has transferred to the customer.

Reasoning:

Performance obligation is satisfied when transfer the good or service to the customer. Recognize revenue when the performance obligation is satisfied is the fifth step of the 5-step revenue recognition model. Hence, revenue should be recognized when control of goods has transferred to the customer.

Vocabulary - Mortgage-related concepts and terminology Are All Mortgage Loans Alike? In short, the answer is no! Mortgage loans vary with the preferences of the individual lender and the borrower In general, mortgage loans can be differentiated according to their terms of payment, their down payment requirements, and whether they are insured or guaranteed. Mortgage loans, or loans that use as collateral, are made by commercial banks, thrift institutions, and mortgage bankers. In addition to these traditional sources, mortgage brokers also solicit borrowers and originate a large volume of these loans. Brokers often place their loans with these traditional mortgage lenders as well as with Which of the following statements accurately describe the similarities and differences between mortgage bankers and mortgage brokers? Check all that apply. Although mortgage brokers often appear to work on behalf of their borrowing customers, they are ultimately paid by the mortgage lender Mortgage brokers lend their own money to borrowers, while mortgage bankers find borrowers for interested lenders as well as lenders for interested borrowers. Mortgage brokers earn their income from the interest on the mortgage loans, whille bankers earn their income in the form of commissions and loan-origination fees. To review the differences in the characteristics of different types of mortgage loans, match the types of mortgages and related programs listed on the left with their descriptions on the right. Read each description carefully and type the letter of the description in the Answer column next to the correct term. These are not necessarily complete definitions, but there is only one possible answer for each term. Description Answer on the loan for a Making Automobile and Housing Decisions These are not necessarily complete definitions, but there is only one possible answer for each term. Term Answer Description Fixed-rate mortgage
A. This mortgage allows the borrower to pay only the accrued interest on the loan for a specified period of time; after this date, all payments require the payment of both interest and principal Interest-only mortgage
B This mortgage is characterized by an interest rate and monthly payments that can be adjusted over the life of the loan based on movements in market interest rates. VA loan guarantee
C This mortgage is characterized by a constant interest rate and constant monthly payments over the life of the loan. Biweekly mortgage
D. This mortgage allows a borrower to convert from an adjustable-rate loan to a fixed-rater loan during a prespecified time period. Two-step ARM
E. This mortgage uses 26, rather than 12, payments per year to reduce the total amount of interest paid over the life of the loan and accelerate the repayment of the mortgage loan's principal-compared to an otherwise identical fixed-rate mortgage. This adjustable rate mortgage allows for only one rate change: a lower rate remains
F. Adjustable-rate constant for the first five to seven years of the loan's term and then increases to a mortgage higher constant rate that continues throughout the remaining life of the loan. This loan program, offered through a department of the federal government, provides
G. Convertible ARM mortgage insurance to lenders offering mortgage loans with loan-to-value ratios greater than 80% . This loan quarantee is offered by a department of the federal government to lenders
H. Graduated-payment ARM who make qualified loans to eligible veterans of the U.S. Armed Forces and their surviving spouses. This type of mortgage typically requires a down payment of 20% of the value of the
I. FHA mortgage insurance mortgaged property. This mortgage allows borrowers to make smaller-but gradually and constantly
J. Conventional mortgage increasing-payments for the first three to five years. At the end of this period, the payments then stabilize at the higher level and are repaid over the remaining life of the loan.

Answers

Answer:

A. Interest-only mortgage

B. Adjustable-rate mortgage

C. Fixed rate mortgage

D. Convertible ARM.

E. Biweekly mortgage

F. Two-step ARM.

G. FHA mortgage insurance.

H. VA loan Guarantee.

I. Conventional mortgage.

J. Graduated-payment ARM

What do you think is the most important skill a judge can possess

Answers

Answer:

The decision making skill because it's hard for a judge to make the right decision.

The Pioneer Company has provided the following account balances: Cash $39,400; Short-term investments $5,400; Accounts receivable $7,400; Supplies $55,000; Long-term notes receivable $3,400; Equipment $103,000; Factory Building $194,000; Intangible assets $7,400; Accounts payable $28,600; Accrued liabilities payable $3,300; Short-term notes payable $16,800; Long-term notes payable $99,000; Common stock $194,000; Retained earnings $73,300. What is Pioneer's current ratio

Answers

Answer:

2.20

Explanation:

Calculation for What is Pioneer's current ratio

First step is to calculate current assets

Current assets = $39,400 + $5,400 + $7,400 + $55,000

Current assets = $107,200

Second step is to calculate Current liabilities

Current liabilities =

=$28,600 + $3,300 + $16,800.

Current liabilities =$48,700

Now let calculate Current ratio

Using this formula

Current ratio=Current assets/Current Liabilities

Let plug in the formula

Current ratio = $107,200 ÷ $48,700.

Current ratio=2.20

Therefore Pioneer's current ratio will be 2.20

When Unraveling the Unit Circle the sine function creates a relationship between the _________and the ________ starting at 0 radians going counter-clockwise. The cosine function creates a relationship between the _________ and the ________ starting at 0 radians going counter-clockwise . The tangent function creates a relationship of the _______ starting at 0 radians going counter-clockwise.

Answers

Answer:

Vertical distance

y-axis

Horizontal distance

x-axis

where n are integers

Explanation:

The relationship between x-axis and y-axis is determined by cosine function. The sine and cosine functions have a domain of all real numbers. These distances are determined by the vertical distance ratio.

OHaganBooks has two principal competitors: JungleBooks and FarmerBooks. Combined website traffic at the three sites is estimated at 8,000 hits per day. Only 10% of the hits at OHaganBooks result in orders, whereas JungleBooks and FarmerBooks report that 20% of the hits at their sites result in book orders. Together, the three sites process 1,300 book orders per day. FarmerBooks appears to be the most successful of the three and gets as many book orders as the other two combined. What is the traffic (in hits per day) at each of the sites?

Answers

Hard question thx for the points give me brainlest points

Here are some important figures from the budget of Crenshaw, Inc., for the second quarter of 2019:

April May June
Credit sales $403,000 $352,000 $440,000
Credit purchases 180,000 168,000 201,000
Cash disbursements
Wages, taxes
and expenses 79,800 75,300 104,000
Interest 9,500 9,500 9,500
Equipment purchases 33,500 6,000 148,000

The company predicts that 5 percent of its credit sales will never be collected, 30 percent of its sales will be collected in the month of the sale, and the remaining 65 percent will be collected in the following month. Credit purchases will be paid in the month following the purchase. In March 2019, credit sales were $330,000.

Using this information, complete the following cash budget.

April May June
Beginning cash balance $110,000
Cash receipts
Cash collections from credit sales
Total cash available
Cash disbursements
Purchases $172,000
Wages, taxes, and expenses
Interest
Equipment purchases
Total cash disbursements
Ending cash balance

Answers

Answer:

Ending cash balances are as follows:

April = $150,600

May = $247,350

June = $178,650

Explanation:

Note: See the attached excel file for the cash budget.

In the attached excel file, Cash collections from credit sales are calculated as follows:

April = 65 percent of March sales + 30 percent of April sales = (65% * $330,000) + (30% * $403,000) = $335,400

May = 65 percent of April sales + 30 percent of May sales = (65% * $403,000) + (30% * $352,000) = $367,550

June = 65 percent of May sales + 30 percent of June sales = (65% * $352,000) + (30% * $440,000) = $360,800

Prepare the journal entries to record the sale of any job(s) during the month. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
No. Account Titles and Explanation Debit Credit
(1)
(To record sale of jobs)
(2)
(To record cost of jobs)
SHOW LIST OF ACCOUNTSLINK TO TEXT
LINK TO TEXT
LINK TO TEXT
LINK TO TEXT
LINK TO TEXT
What is the balance in the Finished Goods Inventory account at the end of the month? What does this balance consist of?
Finished Goods Inventory $
Job No. 50 Job No. 51 Job No. 52 Jobs 50 and 51 Jobs 51 and 52 Jobs 50 and 52
SHOW LIST OF ACCOUNTS
LINK TO TEXT
LINK TO TEXT
LINK TO TEXT
LINK TO TEXT
LINK TO TEXT
What is the amount of over- or underapplied overhead?
Manufacturing Overhead $
Overapplied Underapplied

Answers

Complete Question:

Lott Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2017, Job No. 50 was the only job in process. The costs incurred prior to January 1 on this job were as follows:

direct materials $ 22,000 ,

direct labor $ 13,200

manufacturing overhead $ 17,600

As of January 1, Job No. 49 had been completed at a cost of $ 99,000 and was part of finished goods inventory. There was a $ 16,500 balance in the Raw Materials Inventory account.

During the month of January, Lott Company began production on Jobs 51 and 52, and completed Jobs 50 and 51. Jobs 49 and 50 were also sold on account during the month for $ 134,200 and $ 173,800 , respectively. The following additional events occurred during the month.

1. Purchased additional raw materials of $ 99,000 on account.

2. Incurred factory labor costs of $ 77,000 . Of this amount $ 17,600 related to employer payroll taxes.

3. Incurred manufacturing overhead costs as follows: indirect materials $ 18,700 ; indirect labor $ 22,000 ; depreciation expense on equipment $ 13,200 ; and various other manufacturing overhead costs on account $ 17,600 .

4. Assigned direct materials and direct labor to jobs as follows.

Job No.         Direct           Direct

                Materials           Labor

50  $ 11,000  $ 5,500

51   42,900   27,500

52   33,000   22,000

Answer:

Lott Company

1. Journal Entries to record the sale of Job 49 and Job 50:

Debit Cost of Goods Sold $175,450

Credit Finished Goods

Job 49 $99,000

Job 50 $76,450

To record the cost of Jobs 49 and 50 sold during the period.

Debit Accounts Receivable:

Job 49 $134,200

Job 50 $173,800

Credit Sales Revenue $308,000

To record the sale of Jobs 49 and 50 during the period.

2. The balance in the Finished Goods Inventory account at the end of the month is:

= $106,150.

This balance consists of Job 51 only.

3. There is no provision of estimated manufacturing overhead.  Therefore, there is no overapplied or underapplied overhead in this situation.  The manufacturing overhead costs were applied based on the actual costs incurred.

Explanation:

a) Data and Calculations:

Cost of Work-in-Process or Production:

Job No.         Direct           Direct        WIP            Overhead      

                Materials           Labor    Beginning        Costs       Closing

50  $ 11,000  $ 5,500     $52,800        $7,150    $76,450

51   42,900   27,500             0           35,750      106,150

52   33,000   22,000            0           28,600       83,600

January 1, Job 50 Cost of WIP:

direct materials                 $ 22,000

direct labor                            13,200

manufacturing overhead     17,600

Beginning WIP of Job 50 $52,800

Manufacturing overhead costs:

indirect materials            $ 18,700

indirect labor                 $ 22,000

depreciation expense

  on equipment             $ 13,200

other overhead costs   $ 17,600

Total overhead costs =  $71,500

Allocation of manufacturing overhead costs:

Jobs        Direct Labor   Overhead Allocation

50  $ 5,500             $7,150 ($5,500 * $1.30)

51   27,500          $35,750 ($27,500 * $1.30)      

52  22,000          $28,600 ($22,000 * $1.30)

Total    $ 55,000         $71,500

You are considering investing $1,000 in a T-bill that pays 0.05 and a risky portfolio, P, constructed with 2 risky securities, X and Y. The weights of X and Y in P are 0.60 and 0.40, respectively. X has an expected rate of return of 0.14 and variance of 0.01, and Y has an expected rate of return of 0.10 and a variance of 0.0081. If you want to form a portfolio with an expected rate of return of 0.10, what percentages of your money must you invest in the T-bill, X, and Y, respectively if you keep X and Y in the same proportions to each other as in portfolio P

Answers

Answer:

% in T bills = 18.92%, % in P = 81.08%

Explanation:

Portfolio return = Weighted average return

Return of portfolio P = 0.14*0.6 + 0.10*0.4

Return of portfolio P = 0.124

Let % money in T bills be x

0.11 = 0.05*x + 0.124*(1-x)

0.11 = 0.05x + 0.124 - 0.124x

0.014 = 0.074x

x = 18.92%

Hence, % in T bills = 18.92%, % in P = 81.08%

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