As 2020 draws near, it’s hard not to reflect on the past decade- so much has changed in the 10 years that flew by. In 2010, those who even had a smartphone were carrying around an iPhone 4 or a BlackBerry OS 6.0 version.
While the illustrious BlackBerry has all but disappeared from the workplace of 2019, there has been plenty of technologies in its wake to replace it. Let’s take a look at how the workplace has changed, communication tools and otherwise, in the past decade.
1. Collaboration over competition
“So many things have happened in the last decade that have really accelerated this change from competition to collaboration,” said Ann Shoket, workplace thought leader and former Editor-In-Chief of Seventeen Magazine.
“So first of all this old idea that there was room at the table for one woman, and you would fight tooth or nail for that spot, so obviously there was a lot of competition, particularly among women.
“Then the next generation, Millennial women, came in and made more room at the table and brought their friends along with them. That was the shift toward collaboration.”
2. It’s an employee market, not an employer market
“Reflecting back on 2010 and what the economic circumstances were versus where we are at today, the competition for talent was very different in 2010 than as we enter 2020,” said Rhiannon Staples, the Chief Marketing Officer at Hibob.
Low unemployment rates today mean that job seekers have more options, and employees have more leverage in terms of what they can expect of their company due to the competition for top talent.
“It really is on businesses to help develop an environment, a culture, and perks that really draw the best talent in the market,” Staples said. “That’s really very different from where we were just 10 years ago.”
3. Push towards a more remote workforce
Anyone in the workforce 10 years ago won’t be shocked that the change in when and where we work made this list. Whereas in the past remote work was reserved for special situations, that kind of idea is now replaced by a lot more freedom of where you work and when you work, and that’s not just people who are entrepreneurs. This idea is something that everybody wants out of work, to have a more flexible time frame to be free from the office. This idea of freedom is such an important piece of where we are going at work.
“That kind of idea is now replaced by a lot more freedom of where you work and when you work, and that’s not just people who are entrepreneurs,” Shoket said. “This idea is something that everybody wants out of work, to have a more flexible time frame to be free from the office. This idea of freedom is such an important piece of where we are going at work.”
On January 1, 2019, Sunland Company purchased the following two machines for use in its production process.
Machine A: The cash price of this machine was $50,000. Related expenditures included: sales tax $3,700, shipping costs $100, insurance during shipping $60, installation and testing costs $70, and $100 of oil and lubricants to be used with the machinery during its first year of operations. Sunland estimates that the useful life of the machine is 5 years with a $5,050 salvage value remaining at the end of that time period. Assume that the straight-line method of depreciation is used.
Machine B: The recorded cost of this machine was $180,000. Sunland estimates that the useful life of the machine is 4 years with a $20,880 salvage value remaining at the end of that time period.
Prepare the following for Machine A. (Round answers to 0 decimal places, e.g. 2,125. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
1. The journal entry to record its purchase on January 1, 2019.
2. The journal entry to record annual depreciation at December 31, 2019.
No. Account Titles and Explanation Debit Credit 1.
Answer:
1. Purchase of Machine A (Dr.) $54,030
Cash (Cr.) $54,030
2. Depreciation Machine A (Dr.) $9,796
Accumulated depreciation (Cr.) $9,796
3. Depreciation Machine B (Dr.) $39,780
Accumulated depreciation (Cr.) $39,780
Explanation:
Machine A :
Cash price $50,000
Sales Tax $3,700
Shipping cost $100
Insurance $60
Installation and Testing $70
Oil and lubricants $100
Total cost of machine = $54,030
Depreciation = ( Cost - Salvage Value ) / Useful Life
Depreciation = ( $54,030 - 5,050 ) / 5 years = $9,796
Machine B :
Depreciation = ( 180,000 - 20,880 ) / 4 = $39,780
The Duerr Company manufactures a single product. All raw materials used are traceable to specific units of product. Current information for the Duerr Company follows:
Beginning raw materials inventory $27,000
Ending raw materials inventory 30,000
Raw material purchases 104,000
Beginning work in process inventory 39,000
Ending work in process inventory 49,000
Direct labor 129,000
Total factory overhead 104,000
Beginning finished goods inventory 79,000
Ending finished goods inventory 59,000
The company's cost of raw materials used, cost of goods manufactured and cost of goods sold is:________
Answer:
Results are below.
Explanation:
First, we need to calculate the direct material used:
Direct material used= beginning inventory + purchases - ending inventory
Direct material used= 27,000 + 104,000 - 30,000
Direct material used= $101,000
Now, the cost of goods manufactured:
cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP
cost of goods manufactured= 39,000 + 101,000 + 129,000 + 104,000 - 49,000
cost of goods manufactured= $324,000
Finally, the cost of goods sold:
COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory
COGS= 79,000 + 324,000 - 59,000
COGS= $344,000
what is the role of the prosecutor in a civil case
A prosecutor is a legal representative of the prosecution in countries with either the civil case inquisitorial system, they represents the government in the case brought against the accused person
Answer:
same as the answer of her/him
Explanation:
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Assume a division of Hewlett-Packard currently makes 12,000 circuit boards per year used in producing diagnostic electronic instruments at a cost of $34 per board, consisting of variable costs per unit of $24 and fixed costs per unit of $10.
Further assume Sanmina-SCI offers to sell Hewlett-Packard the 12,000 circuit boards for $34 each.
If Hewlett-Packard accepts this offer, the facilities currently used to make the boards could be rented to one of Hewlett-Packard's suppliers for $46,000 per year.
In addition, $6 per unit of the fixed overhead applied to the circuit boards would be totally eliminated.
Calculate the net benefit (cost) to HP of outsourcing the component from Samina-SCI.
(Use a negative sign with your answer, if appropriate.)
Answer:
The net benefit is -$26,000
Explanation:
Given the above information,
The total cost of manufacturing 12,000 circuit boards
= 12,000 × $34
= $408,000
Total purchase price
= 12,000 × $34
= $408,000
Fixed overhead cost applied
= 12,000 × $6
= $72,000
The rental income = $46,000
Outsourcing cost
= Total purchase price + Fixed overhead cost applied - Rental income
= $408,000 + $72,000 - $46,000
= $434,000
Therefore, Net benefit
= Total cost of manufacturing - Outsourcing cost
=$408,000 - $434,000
= -$26,000
Two companies, A and B, both have $1 million in assets, earnings before interest and taxes (EBIT) of $160,000, and the same tax rate. Company A is all equity financed, and Company B is 50% debt financed and 50% equity financed. If Company B's pretax cost of debt is 8%, then Company A will have a ROA that is _____ and a ROE that is _____ than Company B's. a. Option D b. Option B c. Option A d. Option C
Question Completion with Options:
A) lower, higher
B) higher, higher
C) lower, lower
D) higher, lower
Answer:
Companies A and B
If Company B's pretax cost of debt is 8%, then Company A will have a ROA that is __higher___ and a ROE that is __lower___ than Company B's.
a. Option D
Explanation:
a) Data and Calculations:
Company A Company B
Assets $1,000,000 $1,000,000
EBIT 160,000 160,000
Tax rate = same
Equity 100% 50%
Debts 0% 50%
Equity $1,000,000 $500,000
Debts $0 $500,000
Pretax cost of debt 0% 8%
Interest expense $0 $40,000
Pretax income $160,000 $120,000
ROA (Return on assets) = Pretax income/Assets * 100
= 16% 12%
ROE (Return on equity) = Pretax income/Equity * 100
= 16% 24%
A new firm is developing its business plan. It will require $565,000 of assets, and it projects $452,800 of sales and $354,300 of operating costs for the first year. Management is quite sure of these numbers because of contracts with its customers and suppliers. It can borrow at a rate of 7.5%, but the bank requires it to have a TIE of at least 4.0, and if the TIE falls below this level the bank will call in the loan and the firm will go bankrupt. What is the maximum debt-to-assets ratio the firm can use
Answer:
58.11%
Explanation:
Sales = $452,800
Operating costs= 354,300
Operating Income (EBIT) = $98,500
TIE= 4.00
Maximum interest expense= EBIT/TIE= $24,625
Interest rate= 7.50%
Max. debt =Max interest/Interest rate = $328,333
Maximum debt ratio=Debt/ Assets= 58.11%
Joyce works hard and puts in many extra hours. For this, she can anticipate a pay raise, a promotion, or an expanded sales territory. However, getting a promotion is most important to Joyce. According to the useful guidelines of the ____ theory, Jim, her manager, must recognize that (1) she is putting in hard work and long hours to obtain a promotion, (2) what motivates Joyce will change over time, and (3) he must clearly show Joyce how to attain the desirable reward.
Answer:
Expectancy theory
Explanation:
Expectancy theory states that when an individual is faced with different choices they will be motivated in a certain way in choosing a particular option based on what they expect to be the result of the choice.
So behaviour is affected by perceived result or consequence of a particular choice.
In the given scenario Joyce works hard and puts in many extra hours, and getting a promotion is most important to Joyce.
So because of her expectations that manager must recognise that:
(1) she is putting in hard work and long hours to obtain a promotion,
(2) what motivates Joyce will change over time (if she does not get the promotion), and
(3) he must clearly show Joyce how to attain the desirable reward.
Water Source Inc. manufactures badminton rackets. The company estimates the following costs for the next year: Indirect factory wages $151,000 Supervisor salaries 56,000 Direct materials 221,000 Direct labor 149,000 Power and light 113,000 Depreciation of plant and equipment 74,000 Indirect materials 20,000 Insurance and property taxes 32,000 Determine the total factory overhead cost of the company.
Answer:
$446,000
Explanation:
Factory overhead are indirect costs incurred by a company during production which can not be easily be traced to units produced.
factory overhead cost calculation :
Indirect factory wages $151,000
Supervisor salaries $56,000
Power and light $113,000
Depreciation of plant and equipment $74,000
Indirect materials $20,000
Insurance and property taxes $32,000
Total $446,000
Enith Consulting Co. has the following accounts in its ledger: Cash; Accounts Receivable; Supplies; Office Equipment; Accounts Payable; Common Stock; Retained Earnings; Dividends; Fees Earned; Rent Expense; Advertising Expense; Utilities Expense; Miscellaneous Expense.
Transactions
Mar. 1 Paid rent for the month, $4,000.
3 Paid advertising expense, $1,350.
5 Paid cash for supplies, $1,800.
6 Purchased office equipment on account, $11,500.
10 Received cash from customers on account, $8,600.
15 Paid creditor on account, $3,180.
27 Paid cash for miscellaneous expenses, $700.
30 Paid telephone bill for the month, $550.
31 Fees earned and billed to customers for the month, $37,200.
31 Paid electricity bill for the month, $830.
31 Paid dividends, $2,000.
Journalize the preceding selected transactions for March 2018 in a two-column journal. Refer to the Chart of Accounts for exact wording of account titles.
CHART OF ACCOUNTS
Zenith Consulting Co.
General Ledger
ASSETS
11 Cash
12 Accounts Receivable
13 Supplies
14 Office Equipment
LIABILITIES
21 Accounts Payable
EQUITY
31 Common Stock
32 Retained Earnings
33 Dividends
REVENUE
41 Fees Earned
EXPENSES
51 Rent Expense
52 Advertising Expense
53 Utilities Expense
54 Miscellaneous Expense
Answer:
March 1
Dr Rent Expense$4,000
Cr Cash $4,000
03
Dr Advertising Expense $1,350
Cr Cash $1,350
05
Dr Supplies $1,800
Cr Cash$1,800
06
Dr Office Equipment $11,500
Cr Account Receivable$11,500
10 Dr Cash $8,600
Cr Account Payable$8,600
15
Dr Account Payable$3,180
Cr Cash$3,180
27
Dr Miscellaneous Expense$700
Cr Cash$700
30
Dr Miscellaneous Expense$550
Cr Cash$550
31
Dr Account receivable$37,200
Cr Fees Earned$37,200
31
Dr Utilities Expense$830
Cr Cash$830
31
Dr Dividend$2,000
Cr Cash$2,000
Explanation:
March 1
Dr Rent Expense$4,000
Cr Cash $4,000
03
Dr Advertising Expense $1,350
Cr Cash $1,350
05
Dr Supplies $1,800
Cr Cash$1,800
06
Dr Office Equipment $11,500
Cr Account Receivable$11,500
10 Dr Cash $8,600
Cr Account Payable$8,600
15
Dr Account Payable$3,180
Cr Cash$3,180
27
Dr Miscellaneous Expense$700
Cr Cash$700
30
Dr Miscellaneous Expense$550
Cr Cash$550
31
Dr Account receivable$37,200
Cr Fees Earned$37,200
31
Dr Utilities Expense$830
Cr Cash$830
31
Dr Dividend$2,000
Cr Cash$2,000
Insurance sales, tax preparation, personal financial advising, and investment fund management are careers in which workers can be self-employed. Which careers have the highest and lowest self-employment rates?
Insurance sales has the highest rates, and tax preparation has the lowest rates.
Personal financial advising has the highest rates, and investment fund management has the lowest rates.
Investment fund management has the highest rates, and insurance sales has the lowest rates.
Tax preparation has the highest rates, and personal financial advising has the lowest rates.
Answer:
A.Insurance sales has the highest rates, and tax preparation has the lowest rates.
Explanation:
its most likely A. Insurance sales has the highest rates, and tax preparation has the lowest rates.
Answer: A insurance sales has the highest rates, and tax preparation has the lowest rates.
Explanation:
Sandhill Co. purchased a new machine on October 1, 2022, at a cost of $67,560. The company estimated that the machine has a salvage value of $6,900. The machine is expected to be used for 72,200 working hours during its 6-year life. Compute the depreciation expense under the straight-line method for 2022 and 2023, assuming a December 31 year-end. (Round
Answer:
Results are below.
Explanation:
Giving the following formula:
Purchase price= $67,560
Salvage value= $6,900
Useful life= 6 years
To calculate the depreciation expense under the straight-line method, we need to use the following formula:
Annual depreciation= (original cost - salvage value)/estimated life (years)
Annual depreciation= (67,560 - 6,900) / 6
Annual depreciation= $10,110
2022:
Annual depreciation= (10,110/12)*3= $2,527.5
2023:
Annual depreciation= $10,110
Creative Solutions Company, a computer consulting firm, has decided to write off the $13,780 balance of an account owed by a customer, Wil Treadwell.
a. Journalize the entry to record the write-off, assuming that the direct write-off method is used.
b. Journalize the entry to record the write-off, assuming that the allowance method is used.
Answer and Explanation:
The journal entry for recording the bad debt expense is shown below:
a. In case of when direct write off method is used
Bad debt expense $13,780
To Account receivable-Wil Treadwell $13,780
(Being bad debt expense is recorded)
Here the bad debt expense is debited as it increased the expenses and credited the account receivable as it decreased the assets
b. In case of when allowance method is used
Allowance for doubtful accounts $13,780
To Account receivable-Wil Treadwell $13,780
(Being the allowance is recorded)
Here the allowance is debited as it increased the assets and credited the account receivable as it decreased the assets
Gull Corp. is considering selling its old popcorn machine and replacing it with a newer one. The old machine has a book value of $5,000, and its remaining useful life is five years. Annual costs are $4,000. A high school is willing to buy it for $2,000. New equipment would cost $18,000 with annual operating costs of $1,500. The new machine has an estimated useful life of five years.
Should the machine be replaced?
Proposal to Replace Equipment
Annual Variable Costs - Present Equipment $
Annual Variable Costs - New Equipment
Annual Differential Decrease in Cost $
Number of Years Applicable
Total Differential Decrease in Cost $
Proceeds from Sales of Present Equipment $
Cost of New Equipment
Annual Net Differential Increase in Cost - New Equipment $
Answer: No. The machine shouldn't be replaced.
Explanation:
Proposal to Replace Equipment
Annual Variable Costs - Present Equipment = $4000
Less: Annual Variable Costs - New Equipment = $1500
Annual Differential Decrease in Cost = $2500
Number of Years Applicable = 5
Total Differential Decrease in Cost = $2500 × 5 = $12500
Proceeds from Sales of Present Equipment = $2000
Cost of New Equipment = $8000
Annual Net Differential Increase in Cost - New Equipment = $18000 - $2000 = $16000
The machine shouldn't be replaced as the total differential decrease in cost is less than the annual net differential increase in cost of the new equipment.
Lauer Corporation uses the periodic inventory system and has provided the following information about one of its laptop computers: Date Transaction Number of Units Cost per Unit 1/1 Beginning Inventory 220 $ 920 5/5 Purchase 320 $ 1,020 8/10 Purchase 420 $ 1,120 10/15 Purchase 260 $ 1,170 During the year, Lauer sold 1,050 laptop computers. What was ending inventory using the FIFO cost flow assumption
Answer:
$198,900
Explanation:
Ending inventory units = Available units for sale - Units sold
Ending inventory units = 220 + 320 + 420 + 260
Ending inventory units = 1,220.
Units sold = 1,050.
Ending inventory units = 1,220 - 1,050
Ending inventory units = 170
As per the FIFO cost flow assumption, sales comprise of units from beginning inventory and earlier purchases. Hence, ending inventory comprises units from latest purchases.
So, ending inventory of 170 units would be valued at the price from 10/15 purchases.
10/15 purchase price per unit = $1,170
Ending inventory value = 170 units x $1,170
Ending inventory value = $198,900
You are a financial adviser working with a client who wants to retire in eight years. The client has a savings account with a local bank that pays 8% annual interest. The client wants to deposit an amount that will provide her with $1,003,500 when she retires. Currently, she has $301,400 in the account. (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided.)
How much additional money should she deposit now to provide her with $1,003,500 when she retires? (Round your answer to nearest whole dollar.)
Answer:
x = $240759.82559797761 rounded off to $240.759.83
Explanation:
To calculate the additional amount that is required to be invested today, we will use the formula for Future value of a cash flow.
FV = PV * (1+r)^t
Where,
FV and PV are future value and present value respectivelyr is the interest rate or rate of returnt is the time periodWe know the Future value that is the sum required and we know the r which is 8% and t which is 8 years. We know the partial PV which is 301400 and we need to calculate the other part of PV. Thus we can say that PV = 301400 + x
Solving the equation for x where x is the additional money that should be deposited today.
1003500 = (301400 + x) * (1+0.08)^8
1003500 / (1+0.08)^8 = (301400 + x)
542159.8255977329 = 301400 + x
542159.8255977329 - 301400 = x
x = $240759.82559797761 rounded off to $240.759.83
1) The pen example in the video suggests that most salespeople ____________________. a struggle to get a foot in the door b are at least polite c ask the right questions before making a sales presentation d focus on relationship building in the first meeting with the customer e start by highlighting the features and points-of-difference of a product
Answer:
A. struggle to get a foot in the door
Explanation:
The example of pen was used to define the fact that most salespeople start off by asking or telling the usual instead of analysing the situation and determining the right questions to be asked from the customer which ultimately leads to most of sales individuals to struggle.
Like in this case where a salesperson is given a pen, he would start by saying that he has a pen to sell with multiple colours, they are affordable and lightweight. These questions are too generic and may not interest the customer. Instead to sale better one must ask intelligent questions that will be relevant for the customer in order to pitch them the right kind of product.
Which of the following statements regarding SPT and WSPT is INCORRECT?
a. SPT always assigns the highest priority to the job to lowest processing time.
b. SPT does not consider the weight differences among different jobs.
c. WSPT may not assign the highest priority to the job with the highest weight because it also considers the processing time information.
d. WSPT assigns the highest priority to the job with the LOWEST weight/processing time ratio.
Answer:
D
Explanation:
WSPT assigns the highest priority to the job with the LOWEST weight/processing time ratio.
Russell Retail Group begins the year with inventory of $50,000 and ends the year with inventory of $40,000. During the year, the company has four purchases for the following amounts.
Purchase on February 17 $ 205,000
Purchase on May 6 125,000
Purchase on September 8 155,000
Purchase on December 4 405,000
Required:
Calculate cost of goods sold for the year.
Answer:
COGS= $900,000
Explanation:
Giving the following formula:
Beginning inventory= $50,000
Ending inventory= $40,000
Purchase on February 17 $ 205,000
Purchase on May 6 125,000
Purchase on September 8 155,000
Purchase on December 4 405,000
Total= $890,000
To calculate the cost of goods sold, we need to use the following formula:
COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory
COGS= 50,000 + 890,000 - 40,000
COGS= $900,000
Calculate the annual cash dividends required to be paid for each of the following preferred stock issues:
Required:
a. $3.30 cumulative preferred, no par value; 210,000 shares authorized, 146,000 shares issued. (The treasury stock caption of the stockholders' equity section of the balance sheet indicates that 40,653 shares of this preferred stock issue are owned by the company.) (Round your answer to 2 decimal places.)
b. 5%, $40 par value preferred, 293,000 shares authorized, 165,000 shares issued, and 72,725 shares outstanding. (Round your answer to 2 decimal places.)
c. 12.2% cumulative preferred, $100 stated value, $108 liquidating value; 81,000 shares authorized, 42,000 shares issued, 26,000 shares outstanding.
Answer:
Annual Cash Dividends
a. = $347,645.10
b. = $145,450
c. = $317,200
Explanation:
a) Data and Calculations:
1. $3.30 Cumulative Preferred Stock:
Authorized shares = 210,000
Issued shares = 146,000
Treasury shares = 40,653
Outstanding shares 105,347
Cash dividend = $347,645.10 ($3.30 * 105,347)
2. 5% Preferred Stock, $40 par value:
Authorized shares = 293,000
Issued shares = 165,000
Outstanding shares 72,725 * $40 = $2,909,000
Cash dividend = $145,450 ($2,909,000 * 5%)
3. 12.2% cumulative preferred, $100 stated value, $108 liquidating value:
Authorized shares = 81,000
Issued shares = 42,000
Outstanding shares 26,000 * $100 = $2,600,000
Cash dividend = $317,200 ($2,600,000 * 12.2%)
A project manager for a not-for-profit organization is completing a new retail outlet project but is unable to get the planned amount of time from key resources to complete some of the critical path tasks. The key resources are focused on completing their day-to-day tasks, and the project manager does not control the work assignments for these people. This scenario is an example of what type of organization
Incomplete question. The options read;
A. Balanced matrix
B. Tight matrix
C. Functional
D. Project coordinator
Answer:
C. Functional
Explanation:
Remember, when we say an organization has a functional structure it implies that the line of authority is grouped based on the functions carried out by employees.
For example, we observe that in this scenario, the project manager could not control the work assignments of other employees because they had been assigned such tasks based on their specialization.
Tex's Manufacturing Company can make 200 units of a necessary component part with the following costs: Direct Materials $240,000 Direct Labor 35,000 Variable Overhead 75,000 Fixed Overhead 40,000 If Tex's Manufacturing Company can purchase the component externally for $330,000 and only $15,000 of the fixed costs can be avoided, what is the correct make-or-buy decision
Answer:
Buy and save $35,000
Explanation:
The computation is shown below:
Particulars Make Buy
Direct Materials $240,000
Direct Labor $35,000
Variable Overhead $75,000
Fixed Overhead $15,000
Purchase cost $330,000
Total cost $365,000 $330,000
As we can see that the buying total cost is less than the total making cost so here we can buy the product as it saves the company by $35,000 ($365,000 - $330,000)
Lakeview Company completed the following two transactions. The annual accounting period ends December 31.
On December 31, calculated the payroll, which indicates gross earnings for wages ($64,000), payroll deductions for income tax ($6,400), payroll deductions for FICA ($4,800), payroll deductions for American Cancer Society ($2,400), employer contributions for FICA (matching), and state and federal unemployment taxes ($560). Employees were paid in cash, but payments for the corresponding payroll deductions have not yet been made and employer taxes have not yet been recorded.
Collected rent revenue of $5,700 on December 10 for office space that Lakeview rented to another business. The rent collected was for 30 days from December 12 to January 10 and was credited in full to Deferred Revenue.
Required:
1. & 2. Prepare the journal entries to record payroll on December 31, the collection of rent on December 10 and adjusting journal entry on December 31.
3. Show how any of the liabilities related to these items should be reported on the company’s balance sheet at December 31.
Answer: Check attachment and explanation.
Explanation:
a. The question has been solved. Check the attachment.
b. LAKEVIEW COMPANY
Balance sheet (Partial)
December 31
Current liabilities
FICA Payable=$4800 + $4800= $9600
Charitable contribution payable = $2400
Withheld income tax payable = $6400
State and Federal unemployment tax payable = $560
Unearned rent revenue = $5700 - $3800 = $1900
Total current liabilities = $20860
Tru-Shine is a cleaning company in the United States that offers various cleaning products and services. After gaining popularity in the United States, the company decided to expand its business in other North American nations. The company entered into an agreement with some local cleaning companies in Canada where the local companies would sell its products and services under the same trade name. Tru-Shine also agreed to provide the training and necessary equipments and supplies to the local companies. In this example, the strategy used by Tru-Shine for entering foreign markets is an example of _____.
Answer:
Franchising
Explanation:
Franchising can be understood as a business model where a brand gives up the rights to use its name and operational model to the franchisee who pays royalties on the use of the brand.
This is an insertion strategy in the market that can have many added advantages, since the franchise is generally already a recognized brand with a consistent and standardized business model that helps in the operationalization of business and in attracting customers. The franchise usually offers the franchisee the training and equipment necessary for the business to be well positioned in the market, as in the case of the example, the company Tru-Shine provides training, equipment and supplies necessary for local companies to sell their products and services under the same trade name.
Commercial paper. Criss-Cross Manufacturers will issue commercial paper for a short-term cash inflow. Criss-Cross must raise $, and the paper will have a maturity of days. If this paper has a maturity value of $ and is selling at an annual interest rate of , what are the proceeds from each paper; that is, what is the discount rate on the commercial paper? What is the discount rate on the commercial paper? nothing% (Round to two decimal places.)
Answer:
Proceeds from Commercial paper $48,035.92
Discount rate on commercial paper 3.93%
Explanation:
Calculation to determine the proceeds from eachpaper
First step is to calculate 182 days rate
182 days rate = 0.082 * 182/365
182 days rate= 0.040887671
Now let calculate the Proceeds from Commercial paper using this formula
Proceeds from Commercial paper = Par value * 1/(1+i for time of issue)
Let plug in the formula
Proceeds from Commercial paper =$50,000 *1/(1+0.040887671)
Proceeds from Commercial paper=$48,035.92
Therefore The proceeds from commercial paper is $48,035.92
Calculation to determine the discount rate on the commercialpaper
First step is to calculate the Discount
Discount = $50,000-$48035.92
Discount=$1,964.02
Now let calculate the Discount rate on commercial paper
Discount rate on commercial paper =$1964.02./50000
Discount rate on commercial paper = 0.039282*100
Discount rate on commercial paper= 3.93%
Therefore the Discount rate on commercial paper is 3.93%
C Corporation is investigating automating a process by purchasing a machine for $808,200 that would have a 9 year useful life and no salvage value. By automating the process, the company would save $141,000 per year in cash operating costs. The new machine would replace some old equipment that would be sold for scrap now, yielding $22,800. The annual depreciation on the new machine would be $89,800. The simple rate of return on the investment is closest to (Ignore income taxes.): Multiple Choice 11.28% 5.28% 6.52% 16.88%
Answer:
6.52%
Explanation:
According to the scenario, computation of the given data are as follows,
New machine cost = $808,200
Scrap sold = $22,800
Cost of investment = $808,200 - $22,800 = $785,400
Saving from new machine = $141,000
Annual depreciation of machine = $89,800
Net operating income = $141,000 - $89,800 = $51,200
Now we can calculate the rate of return by using following formula,
Simple rate of return = Net operating income ÷ Cost of Investment
= $51,200 ÷ $785,400
= 6.52%
On March 31, 2021, Wolfson Corporation acquired all of the outstanding common stock of Barney Corporation for $17,000,000 in cash. The book values and fair values of Barney’s assets and liabilities were as follows:
Book Value FairValue
Current assets $ 6,000,000 $7,500,000
Property, plant, and equipment 11,000,000 14,000,000
Other assets 1,000,000 1,500,000
Current liabilities 4,000,000 4,000,000
Long-term liabilities 6,000,000 5,500,000
Required:
Calculate the amount paid for goodwill.
Answer:
the amount paid for goodwill is $3,500,000
Explanation:
The computation of the amount paid for goodwill is given below
But before that the net fair value of assets would be determined
Net fair value of assets purchased is
= ($7,500,000 + $14,000,000 + $1,500,000) - ($4,000,000 + $5,500,000)
= $13,500,000
Now Amount paid for goodwill is
= $17,000,000 - $13,500,000
= $3,500,000
Hence the amount paid for goodwill is $3,500,000
Cala Manufacturing purchases land for $357,000 as part of its plans to build a new plant. The company pays $44,900 to tear down an old building on the lot and $66,374 to fill and level the lot. It also pays construction costs $1,616,200 for the new building and $102,019 for lighting and paving a parking area. Prepare a single journal entry to record these costs incurred by Cala, all of which are paid in cash.
Answer and Explanation:
The journal entry to record the given cost is shown below:
Land Dr ($357,000 + $44,900 + $66,374) $468,274
Building Dr $1,616,200
Land improvement Dr $102,019
To Cash $2,186,493
(being the cash paid is recorded)
Here land, building & land improvement is debited as it increased the assets and credited the cash as it decreased the assets
The following data relate to Ramesh Company’s defined benefit pension plan: ($ in millions) Plan assets at fair value, January 1 $ 780 Expected return on plan assets 78 Actual return on plan assets 62 Contributions to the pension fund (end of year) 136 Amortization of net loss 16 Pension benefits paid (end of year) 23 Pension expense 108 Required: Determine the amount of pension plan assets at fair value on December 31. (Enter your answers in millions. Amounts to be deducted should be indicated with a minus sign.
Answer:
$955 million
Explanation:
Calculation to Determine the amount of pension plan assets at fair value on December 31
(millions)
Plan Assets Beginning of the year $780
Actual return $62
Cash contributions $136
Less: Retiree benefits($23)
End of the year pension plan assets $955
Therefore the amount of pension plan assets at fair value on December 31 is $955 million
Key Co. plans to present comparative financial statements for the years ended December 31, 20X1 and 20X2, respectively. Smith, CPA, audited Key's financial statements for both years and plans to report on the comparative financial statements on May 1, 20X3. Key's current management team was not present until January 1, 20X2. What period of time should be covered by Key's management representation letter
Answer: B. January 1, 20X1, through May 1, 20X3
Explanation:
The management representation letter should cover all the periods that will be in the auditor's report not just the periods that the current management team was in effect in.
Even though the financial statements are for the years ended December 31, 20X1 and 20X2, the auditor has a responsibility to include the events that happened all the way up to the date the reports will be released on May 20X3.
This is why the management representation letter needs to include the entire period of January 1, 20X1, through May 1, 20X3 because those will be in the audit report.
Define four functions of managenet
Answer:
The answer is below
Explanation:
The Four functions of management are:
1. Planning: this is the process of setting out a plan by the management team that involves the goals and the template or means to achieve those goals.
2. Organizing: this is a process of organizing the resources; both human and material resources, that are deemed essential to the realization of the set out plans or goals.
3. Leading: this is a process of ensuring all the team members work together to achieve the main goals or set out plans.
4. Controlling: this is a process that involves constant checking, evaluation, and monitoring activities to ensure the ongoing performance meets the actual plans and will eventually yield to the goal.