Answer:
ha hatdog cheese dog tatay mo sabog
On January 1, 2021, Rapid Airlines issued $240 million of its 8% bonds for $221 million. The bonds were priced to yield 10%. Interest is payable semiannually on June 30 and December 31. Rapid Airlines records interest at the effective rate and elected the option to report these bonds at their fair value. On December 31, 2021, the fair value of the bonds was $229 million as determined by their market value in the over-the-counter market. Rapid determined that $1,000,000 of the increase in fair value was due to a decline in general interest rates.
Required:
Prepare the journal entries to record interest on June 30, 2021 (the first interest payment), on December 31, 2021 (the second interest payment) and to adjust the bonds to their fair value for presentation in the December 31, 2021, balance sheet.
Answer:
June 30
Dr Interest expense $11,050,0000
Cr Discount on bond payable $1,450,000
Cr Cash $9,600,000
December 31, 2021
Dr Interest expense $11,122,500
Cr Discount on bond payable $1,522,500
Dr Cash $9,600,000
December 31, 2021
Dr Unrealized Holding loss -NI $1,000,000
Dr Unrealized Holding loss -OCI $9,972,500
Cr Fair value Adjustment $10,972,500
Explanation:
Preparation of the journal entries to record interest on June 30, 2021
June 30
Dr Interest expense $11,050,0000
($221 million*10%/2)
Cr Discount on bond payable $1,450,000
($11,050,000-$9,600,000)
Cr Cash $9,600,000
($240 million*8%/2)
(To record first interest payment)
Preparation of the journal entries to record interest on December 31, 2021
December 31, 2021
Dr Interest expense $11,122,500
[($221,000,000+$1,450,000)*10%/2]
Cr Discount on bond payable $1,522,500
($11,122,500-$9,600,000)
Dr Cash $9,600,000
($240 million*8%/2)
(To record second interest payment)
Preparation of the journal entry to adjust the bonds to their fair value for presentation in the December 31, 2021, balance sheet.
December 31, 2021
Dr Unrealized Holding loss -NI $1,000,000
Dr Unrealized Holding loss -OCI $9,972,500
($10,972,500-$1,000,000)
Cr Fair value Adjustment $10,972,500
($229 million-$221 million+$1,450,000+$1,522,500)
(To adjust the bonds to Fair value)
Marigold Corp. issued at a premium of $10500 a $192000 bond issue convertible into 4700 shares of common stock (par value $20). At the time of the conversion, the unamortized premium is $4000, the market value of the bonds is $212000, and the stock is quoted on the market at $60 per share. If the bonds are converted into common, what is the amount of paid-in capital in excess of par to be recorded on the conversion of the bonds
Answer: $102000
Explanation:
The following can be deduced fkem the question:
Face value of bonds = $192000
Unamortized Premium = $4000
Conversion of Equity Shares = 4700 x $20 = $94000
Paid in Capital in Excess of Par = $192000 + $4000 - $94000
= $102000
Variance analysis reports can be prepared to examine the difference between budgeted and actual figures for:
Production in terms of cost, quantity and quality
Sales
Profit
Income per sales dollar
Growth rate
Required:
Complete the following variance analysis report.
Variance Analysis Report Actual Budget Variances
REVENUE 320,000 318,750
Direct Expense (variable) 101,000 100,000
Allocated general expenses (fixed) 78,000 80,000
Allocated service expenses:
Department 1 20,500 20,000
Department 2 65,000 62,500
Department 3 101,500 100,000
TOTAL EXPENSES
NET INCOME
Answer:
Following are the responses to the given question:
Explanation:
Report on varying analyses Current Fiscal Variations
Income 320000 318750 -1250
Direct expenditure (variable) 101000 100000 -1000
General expenditure allocated (fixed) 78000 80000 2000
Operation costs allocated:
Section 1 20500 20000 -500
Section 2 65000 62500 -2500
Section 3 101500 100000 -1500
Total expenses 366000 362500 -3500
Total Income - 46000 -43750 -2250
Home Inspirations. Hailey works for her father in a family-owned business called Home Inspirations, a bedding company that has been in operation since the 1800s. When her father retires, Hailey plans on taking over the business. Hailey is aware of many things about the company that she likes, and a few things that she does not. She has particularly noted that when the economy has low unemployment and high total income, sales are great. However, at any other time, sales are not so good.
Currently, all of the bedding items are created in one place and everyone works on various tasks every day. Hailey is thinking about streamlining the production process so that individuals would be responsible for only one task. She believes that if production would increases, she could sell her products at a lower price and increase revenue. She knows that most bedding products available in the market are very similar in nature and satisfy the same need. However, if she were able to lower prices, this might give her company the competitive advantage that it needs. She would then be able to invest money in differentiating her products by providing unique features, building the brand name, and offering services such as free delivery. She is also considering selling her products on the Internet. Hailey knows that her father does not like change very much, but she feels these changes are important for the future of the company.
Hailey feels that for productivity to improve, the company must practice: _________.
a. Free enterprise,
b. Work ethics,
c. Specialization,
d. Cultural diversity,
e. Pure competition.
Answer:
c. Specialization,
Explanation:
Since in the question it is mentioned that she selling her product on the internet and she knows her father does not like the changes but she knows that it would be important for the company .
So here if she wants to improve the productivity of the product so she must practice in specialization as if the product is different from the competitor in terms of quality, price, quantity, attractiveness, etc so the chances of increasing the sales would be high
Hence, the option c is correct
Quantitative Problem: Barton Industries expects that its target capital structure for raising funds in the future for its capital budget will consist of 40% debt, 5% preferred stock, and 55% common equity. Note that the firm's marginal tax rate is 25%. Assume that the firm's cost of debt, rd, is 9.0%, the firm's cost of preferred stock, rp, is 8.2% and the firm's cost of equity is 11.6% for old equity, rs, and 11.9% for new equity, re. What is the firm's weighted average cost of capital (WACC1) if it uses retained earnings as its source of common equity
Answer: 9.49%
Explanation:
Formula for WACC:
WACC = (Cost of Equity * Weight of equity) + [(Cost of debt * weight of debt) * (1 - tax rate)] + (Cost of Preference share * weight of preference share).
As we are using retained earnings, this is not a new stock issue so the relevant cost of equity to use is the old one.
WACC = (11.6% * 55%) + [(9% * 40%) * (1 - 25%)] + (8.2% * 5%)
= 9.49%
Meiji Isetan Corp. of Japan has two regional divisions with headquarters in Osaka and Yokohama. Selected data on the two divisions follow: Division Osaka Yokohama Sales $ 3,000,000 $ 9,000,000 Net operating income $ 210,000 $ 720,000 Average operating assets $ 1,000,000 $ 4,000,000 Required: 1. For each division, compute the return on investment (ROI) in terms of margin and turnover. 2. Assume that the company evaluates performance using residual income and that the minimum required rate of return for any division is 15%. Compute the residual income for each division. 3. Is Yokohama’s greater amount of residual income an indication that it is better managed?
Answer:
1. Return on Investment = Sales Margin / Capital turnover
= (Net income / Sales) ÷ (Assets / Sales)
Osaka:
= (210,000 / 3,000,000) ÷ (1,000,000 / 3,000,000)
= 0.07 / 0.33
= 21%
Yokohama
= (720,000 / 9,000,000) ÷ (4,000,000 / 9,000,000)
= 0.08 / 0.44
= 18%
2. Residual income = Operating income * (Required return * Average operating assets)
Osaka = 210,000 - (15% * 1,000,000)
= $60,000
Yokohama = 720,000 - (15% * 4,000,000)
= $120,000
c. No is isn't because Residual income is not a good matric to use to compare companies or departments as it does not show the amount of assets used by the companies being compared.
Transactions for Buyer and Seller Ellis Co. sold merchandise to Chang Co. on account, $147,800, terms FOB shipping point, 2/10, n/30. The cost of the merchandise sold is $88,680. Ellis Co. paid freight of $2,500. Assume that all discounts are taken. Journalize Ellis Co.'s entries for the (a) sale, (b) purchase, and (c) payment of amount due. If an amount box does not require an entry, leave it blank.
Answer:
Transaction a
Debit :
Credit :
Transaction b
Debit :
Credit :
Transaction c
Debit :
Credit :
Explanation:
The broker has noticed that a great number of people who are buying in the neighborhood where his listing is located speak Russian. He also noticed a Russian grocery store right by the neighborhood that was attractive. He decides to stop the advertising the property and started advertising the property on two different Russian internet sites. This is:________
a) acceptable because it is not print media
b) unnacceptable due to its discrimnatory nature
c) acceptable if the advertisement includes no preferential language
d) the only appropriate way to market property in this neighborhood
Answer:
c) acceptable if the advertisement includes no preferential language
Explanation:
In the given case since it is mentioned that grocery store was attractive and he decided to stop the advertising of the property and begins the advertising on two distinct russian internet site so this would be acceptable in the case when the advertisement does not involve any kind of preferential language
Therefore the option c is correct
emiannual coupon bonds with the same risk (Aaa) and maturity (20 years) as your company's bonds have a nominal (not EAR) yield to maturity of 9%. Your company's treasurer is thinking of issuing, at par, some $1,000 par value, 20-year, quarterly payment bonds. She has asked you to determine what quarterly interest payment, in dollars, the company would have to set in order to provide the same effective annual rate (EAR) as those on the 20-year, semiannual payment bonds. What would the quarterly, dollar interest payment be
Answer:
quarterly coupon payment = $22.25
Explanation:
effective annual interest rate of current bonds = (1 + 9%/2)² - 1 = 9.2025%
if the new bonds will have quarterly payments, then the nominal interest rate should be:
1.092025 = (1 + r/4)⁴
⁴√1.092025 = ⁴√(1 + r/4)⁴
1.02225 = 1 + r/4
0.02225 = r/4
r = 8.9% annual
quarterly rate = 2.225%
quarterly coupon payment = $22.25
A sporting goods manufacturer budgets production of 59,000 pairs of ski boots in the first quarter and 50,000 pairs in the second quarter of the upcoming year. Each pair of boots requires 2 kilograms (kg) of a key raw material. The company aims to end each quarter with ending raw materials inventory equal to 20% of the following quarter's material needs. Beginning inventory for this material is 23,600 kg and the cost per kg is $8. What is the budgeted materials purchases cost for the first quarter?
Answer:
Purchases= 114,400 kg
Total purchase cost= $915,200
Explanation:
Giving the following information:
Beginning inventory= 23,600 kg
Cost per kg= $8
Production= 59,000 pairs
Desired ending inventory= (50,000*0.2)*2= 20,000 kg
To calculate the purchases, we need to use the following formula:
Purchases= production + desired ending inventory - beginning inventory
Purchases= 59,000*2 + 20,000 - 23,600
Purchases= 114,400 kg
Total purchase cost= 114,400*8= $915,200
if you are going to create or own a business, what would it be? List at least 3 and cite your reasons why you have listed them.
Answer:
If I were to create a business, and had to choose three alternatives of commercial sectors in which to get involved, I would choose the following:
-Renewable energies, given that given the eventual disappearance of fossil fuels and the rise of electric cars, renewable energies will become the main source of power in the medium-term future.
-Mining of cryptocurrencies, inasmuch as these currencies have been classified as the money of the future, and the exponential growth they have had since their inception has been remarkable.
-Retail of essential consumer goods, such as food, as it is a necessary industry and whose consumption, despite the ups and downs of the economy, never declines.
Illustrate the effects of each of the transactions on the accounts and financial statements of Snipes Company.
June 8. Snipes Company sold merchandise on account to Beejoy Company, $18,250, terms FOB destination, 2/15, n/eom. The cost of the merchandise sold was $10,000. Snipes Company paid transportation costs of $400 for delivery of the merchandise.
Answer:
Snipes Company
Effects of each transaction on the accounts and the financial statements of Snipes Company:
Balance Sheet Income Statement Statement of
Cash Flows
Assets = Liabilities + Equity Revenue - Expense = Profit
+ $18,250 = 0 + $18,250 + $18,250 - 0 + $18,250
Accounts receivable $18,250 Sales revenue $18,250
Assets = Liabilities + Equity Revenue - Expense = Profit
-$10,000 = 0 - $10,000 0 - $10,000
Cost of goods sold $10,000 Inventory $10,000
Assets = Liabilities + Equity Revenue - Expense = Profit
-$400 0 -$400 0 -$400 -$400 Operating activity
Transportation-out expense $400 Cash $400
Explanation:
a) Data and Analysis:
Accounts receivable $18,250 Sales revenue $18,250
Cost of goods sold $10,000 Inventory $10,000
Transportation-out expense $400 Cash $400
Match each phrase that follows with the term it describes.
1. Budget
2. Capital expenditures budget
3. Sales budget
4. Production budget
5. Cash budget
6. Budgeted balance sheet
A. an accounting report that presents predicted amounts of the company's assets, liabilities, and equity as of the end of the budget period
B. plans an important role for organizations in planning, directing, and controlling a company's future goals
C. a plan showing the units of goods to be sold and the sales to be derived; usually the starting point in the budgeting process
D. a plan that lists dollar amounts to be both spent on purchasing additional pant assets to carry out the budgeted business activities
E. a plan showing the number of units to be produced each month
F. a plan that shows the expected cash inflows and outflows during the budget period, including receipts from loans needed to maintain a minimum cash balance and repayments of such loans
Answer and Explanation:
The matching is as follows:
1. Budget - B. It would be play a significant role with respect to planning, directing, controlling for an upcoming goals of the company
2. Capital expenditure budget -D. As the capital expenditure is the one time expenditure that should be done for purchasing the extra plant asset
3. Sales budget - C. The plan that represent the sales unit and the sales value.
4. Production budget - E. The budget that represent the no of units produced each month
5. Cash budget - F. It represent the cash inflows and cash outflow position
6. Budgeted balance sheet - A. It involved the assets, liabilities and stockholder equity
When you undertook the preparation of the financial statements for Oriole Company at January 31, 2021, the following data were available: At Cost At Retail Inventory, February 1, 2020 $83,470 $99,500 Markdowns 35,200 Markups 64,000 Markdown cancellations 19,200 Markup cancellations 9,000 Purchases 226,000 286,500 Sales revenue 310,000 Purchases returns and allowances 4,900 5,900 Sales returns and allowances 9,400 Compute the ending inventory at cost as of January 31, 2021, using the retail method which approximates lower of cost or market. Ending inventory at cost
Answer:
See below
Explanation:
Cost Retail
Beginning inventory 83,470 99,500
Add: Purchases 226,000 286,500
Less:
Purchases return (4,900) (5,900)
Add:
Net markups
(64,000 - 9,000) ---------- 55,000
Balance 304,570 380,100
Cost to retail percentage 80%
304,570/380,100
Less:
Net markdowns
(35,200 - 19,200) ----------- (16,000)
Goods available for sale 304,570 364,100
Less: Net sales
(310,000 - 9,400) ------- (300,600)
Estimated ending inventories at retail prices ---------- 63,500
Estimated ending inventory at cost
(63,500 × 80%) (50,800) ---------
Estimated cost of goods sold 253,770
Ending inventory at cost using the retail method is $50,800
On January 1, 2020, Doone Corporation acquired 80 percent of the outstanding voting stock of Rockne Company for $448,000 consideration. At the acquisition date, the fair value of the 20 percent noncontrolling interest was $112,000, and Rockne's assets and liabilities had a collective net fair value of $560,000. Doone uses the equity method in its internal records to account for its investment in Rockne. Rockne reports net income of $170,000 in 2021. Since being acquired, Rockne has regularly supplied inventory to Doone at 25 percent more than cost. Sales to Doone amounted to $230,000 in 2020 and $330,000 in 2021. Approximately 30 percent of the inventory purchased during any one year is not used until the following year.
Requied:
a. What is the noncontrolling interest's share of Rockne's 2021 income?
b. Prepare Doone's 2021 consolidation entries required by the intra-entity inventory transfers
Answer:
(A). $32,800
(B). Entries are shown below.
Explanation:
(A) According to the scenario, computation of the given data are as follows,
Net income of Rockne Company in 2021 = $170,000
Unrealized profit 2020 = $230,000 × 30% × 20% = $13,800
Unrealized profit 2021 = $330,000 × 30% × 20% = $19,800
So, Total income = $170,000 + $13,800 - $19,800 = $164,000
Now, noncontrolling interest's share of Rockne's 2021 income can be calculated as follows,
NCI share of Rockne's 2021 income = Total income × 20%
= $164,000 × 20%
= $32,800
(B). Journal entries for the given data are as follows,
1. Retained Earnings A/c Dr. $13,800
To, COG sold A/c. $13,800
( Being event *G entry is recorded)
2. Sales A/c Dr. $330,000
To, COG sold A/c. $330,000
( Being event TI entry is recorded)
3. COG sold A/c Dr. $19,800
To, Inventory A/c. $19,800
( Being event G entry is recorded)
Inside Incorporated was issued a charter on January 15 authorizing the following capital stock:
Common stock, $6 par, 100,000 shares, one vote per share
Preferred stock, 7 percent, par value $10 per share, 5,000 shares, nonvoting.
The following selected transactions were completed during the first year of operations in the order given:
a. Issued 21,000 shares of the $6 par common stock at $19 cash per share.
b. Issued 3,100 shares of preferred stock at $23 cash per share.
c. At the end of the year, the accounts showed net income of $39,000
Prepare the stockholders' equity section of the balance sheet at December 31
Answer:
Total stockholders' equity = $509,300
Explanation:
Before the stockholders' equity section of the balance sheet is prepared, the following are calculated first:
Common stock = Number of common shares issued * Par value of common share = 21,000 * $6 = $126,000
Additional-paid-in-capital (APIC) – Common stock = Number of common shares issued * (Common stock cash per share - Par value of common share) = 21,000 * ($19 - $6) = $273,000
Preferred stock = Number of preferred stock issued * Par value of preferred stock = 3,100 * $10 = 31,000
APIC – Preferred stock = Number of preferred stock issued * (Preferred stock cash per share - Par value of preferred stock) = 3,100 * ($23 - $10) = $40,000
Therefore, the stockholders' equity section of the balance sheet at December 31 can now be prepared as follows:
Inside Incorporated
Balance Sheet (Partial)
At December 31
Details $
Stockholders' equity:
Common stock 126,000
APIC – Common stock 273,000
Preferred stock 31,000
APIC – Preferred stock 40,000
Net income 39,000
Total stockholders' equity 509,300
Machinery purchased for $73,800 by Blossom Co. in 2016 was originally estimated to have a life of 8 years with a salvage value of $4,920 at the end of that time. Depreciation has been entered for 5 years on this basis. In 2021, it is determined that the total estimated life should be 10 years with a salvage value of $5,535 at the end of that time. Assume straight-line depreciation.
Required:
Prepare the entry to correct the prior years' depreciation, if necessary.
Answer:
See explanation
Explanation:
Prior year depreciation lies in the Profit Reserve called Retained Earnings and in the Asset therefor correct Profit Balance and Asset Balances to effect this adjustment.
Depreciation Expense = (Cost - Salvage Value ) ÷ Estimated Useful Life
Marshall Welding Company has two service departments (Cafeteria and Human Resources) and two production departments (Machining and Assembly). The number of employees in each department follows. Cafeteria 20 Human Resources 30 Machining 100 Assembly 150 Marshall Welding uses the step-down method of cost allocation and allocates cost on the basis of employees. Human Resources cost amounts to $1,200,000, and the department provides more service to the firm than Cafeteria. How much Human Resources cost would be allocated to Machining
Answer:
the cost of Human Resources would be allocated to Machining is $480,000
Explanation:
The computation of the cost of Human Resources would be allocated to Machining is given below:
= Cost of the human resource × machining department ÷ (machining department + assembly department)
= $1,200,000 × 100 ÷ (100 + 150)
= $480,000
hence, the cost of Human Resources would be allocated to Machining is $480,000
C.S. Sandhill Company had the following transactions involving notes payable. July 1, 2022 Borrows $62,000 from First National Bank by signing a 9-month, 8% note. Nov. 1, 2022 Borrows $65,000 from Lyon County State Bank by signing a 3-month, 6% note. Dec. 31, 2022 Prepares adjusting entries. Feb. 1, 2023 Pays principal and interest to Lyon County State Bank. Apr. 1, 2023 Pays principal and interest to First National Bank. Prepare journal entries for each of the transactions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)
Answer:
C.S. Sandhill Company
Journal Entries:
July 1, 2022
Debit Cash $62,000
Credit 9-month, 8% Notes Payable (First National Bank) $62,000
To record signing of a 9-month 8% notes payable for cash borrowed.
Nov. 1, 2022
Debit Cash $65,000
Credit 3-month, 6% Notes Payable (Lyon County State Bank) $65,000
To record the signing of a 3-month 6% notes payable for cash borrowed.
Dec. 31, 2022
Debit Interest Expense $3,130
Credit Interest Payable $3,130
To record interest expense for the two notes. See calculations below.
Feb. 1, 2023
Debit 3-month, 6% Notes Payable (Lyon County State Bank) $65,000
Debit Interest Payable $650
Debit Interest Expense $325
Credit Cash $65,975
To record the repayment of the notes payable with interest due.
Apr. 1, 2023
Debit 9-month, 8% Notes Payable (First National Bank) $62,000
Debit Interest Payable $2,480
Debit Interest Expense $1,240
Credit Cash $65,720
To record the repayment of the notes payable with interest due.
Explanation:
a) Data and Analysis:
July 1, 2022 Cash $62,000 9-month, 8% Notes Payable (First National Bank) $62,000
Nov. 1, 2022 Cash $65,000 3-month, 6% Notes Payable (Lyon County State Bank) $65,000
Dec. 31, 2022 Interest Expense $3,130 Interest Payable $3,130 ($62,000 * 8% * 6/12) + ($65,000 * 6% * 2/12)
Feb. 1, 2023 3-month, 6% Notes Payable (Lyon County State Bank) $65,000 Interest Payable $650 Interest Expense $325 Cash $65,975 (Interest expense = $325 ($65,000 * 6% * 1/12)
Apr. 1, 2023 9-month, 8% Notes Payable (First National Bank) $62,000 Interest Payable $2,480 Interest Expense $1,240 Cash $65,720 (Interest expense = $1,240 ($62,000 * 8% * 3/12)
In the free enterprise system, or market economy, individuals are responsible for
being informed and making careful decisions.
True of False
Answer:
True
Explanation:
Free Enterprise system or market economy is where the individuals have the chance to make decisions on their own. This means that there are no government restrictions.
In this type of economy, the desires of the consumers and the profit-making goals of the producers help in determining what will be produced. In the same manner, the decision on how to produce will be determined by the Labour and the management.
To sum it up, this system allows the individual to decide on the purchasing of goods, the selling of the product, the hiring of Labour, and the type of structure they want to work on, giving them full freedom and responsibility to make decisions.
Each of the following is a main source of web traffic EXCEPT:
banner ads
radio networks
affiliate networks
word of mouth
Answer:
I think radio networks
Explanation:
why because i never heard them talk about that stuff on the radio sorry if it was wrong
Fore Farms reported a pretax operating loss of $210 million for financial reporting purposes in 2021. Contributing to the loss were (a) a penalty of $10 million assessed by the Environmental Protection Agency for violation of a federal law and paid in 2021 and (b) an estimated loss of $20 million from accruing a loss contingency. The loss will be tax deductible when paid in 2022. The enacted tax rate is 25%. There were no temporary differences at the beginning of the year and none originating in 2021 other than those described above. Required: 1. Prepare the journal entry to recognize the income tax benefit of the net operating loss in 2021. 2. What is the net operating loss reported in 2021 income statement
Answer:
Fore Farms
1. Journal Entry
Debit Net operating loss $180 million
Credit Loss Carryforward Relief $180 million
To record the income tax benefit of the net operating loss.
2. The net operating loss reported in 2021 income statement is $180 million.
Explanation:
a) Data and Calculations:
Enacted tax rate = 25%
2021 Reported pretax operating loss = $210 million
Less:
Penalty for EPA violation = 10 million
Loss contingency accrued
(temporary difference) = 20 million
Net pretax operating loss = $180 million
b) The net operating loss (NOL) suffered by Fore Farms, after adjusting non-allowable penalty for EPA violation and temporary differences, will be used to offset the company's tax payments in subsequent tax periods. This is an Internal Revenue Service (IRS) tax provision called a "loss carryforward." It allows some tax relief to Fore Farms for losing money in 2021.
Time, energy, and money are examples of:
-unlimited resources.
-limited resources.
-flexible resources
-fixed resources
Answer:
Flexible resources
Explanation:
Flexible resources are defined as those that can be utilised under different categories of resource groups.
They are able to serve multiple functions.
For example money can be used for different activities like production of goods, training of staff, purchase of raw materials, and so on.
Time can be allocated to different endeavours.
Same applies to energy. It can be focused on pursuing various objectives
Hardware is adding a new product line that will require an investment of . Managers estimate that this investment will have a 10-year life and generate net cash inflows of the first year, the second year, and each year thereafter for eight years. The investment has no residual value. Compute the payback period.
Answer: 6.17 years
Explanation:
Payback period = Period before debt is paid back + Amount left to to be paid back / Cashflow in year of payback.
Year Cash Flows Amount left to be paid back
0 (1,540,000) (1,540,000)
1 315,000 (1,225,000)
2 265,000 (960,000)
3 230,000 (730,000)
4 230,000 (500,000)
5 230,000 (270,000)
6 230,000 (40,000)
7 230,000 190,000
Year before payback = 6
Payback amount = 6 + (40,000 / 230,000)
= 6.17 years
what organization or program interests you the most?
Answer:
I love law :) what about you
I love math what do you like
Ps; sorry but may you please mark brainly im trying to level up
Geralt of Rivia is an independent contractor who specializes in monster-killing. His unique skills have earned him the bargaining power to sell his services at a high price to those willing to pay for the removal of infestations of fire elementals, rock trolls, royal wyverns, or the like. Geralt specializes only in hard-to-kill monsters, however, leaving the likes of basiliks and harpies, monsters lower on the totem pole, to less sophisticated monster slayers.
Given these facts, based on the Generic Business Strategies framework, we might say that Geralt occupies the_______ (1) quadrant of the framework.
When Geralt takes a contract from a rich village seeking his aid, they represent a/n _______(2)
Geralt often buys potions and elixirs from various alchemists to help his fighting ability. However, he can make these potions and elixirs himself if he has the time. If he were to do this instead of buying from the alchemists, this would constitute a form of________ (3)
When Geralt takes a contract, it usually requires about a week of planning and preparation, which includes trips to the armorer, time spent making alchemical concoctions that protect him during the confrontation with the monster(s), and the staking out of ideal fighting ground when the battle occurs. As such, Geralt ofter has to choose between contracts, sometimes accepting one contract while forgoing the opportunity to pursue another contract. As we have discussed, this decision constitutes a_________ (4).
Now, let's say that Geralt is governed by a neutral "Council of Witchers" that ensure that those who purchase Geralt's services (e.g., rich villages or principalities plagued by monster infestations) are well-served, and that Geralt spends their gold in ways that work toward the removal of the targeted monsters which these clients have paid to have removed.
We might say that this "Council" serves as Geralt's role in this arrangement. Geralt, in turn, serves as the ______(5) and that the purchasers of Geralt's services, such as rich villages, represent the________ (6) in this arrangement. х (1) differentiation (2) buyer х (3) forward integration (4) tradeoff (5) management х (6) party __________(7) agent
Answer: 1. Differentiation focus
2. Buyer
3. Backward Integration
4. Trade off
5. Board of directors
6. Principal
7. Agent
Explanation:
1. Geralt is using Differentiation focus strategy as it gives the customers a product which they believe is superior than other similar products although the price if the product is higher than others. The product is unique from other products.
2. When Geralt takes a contract from a rich village seeking his aid, they represent a buyer.
3. If Geralt makes the potions and elixirs himself if he has the time rather than buying from the alchemists, this would constitute a form of backward integration. This is because he's expanding his role by taking up a task that's being completed previously in the supply chain.
4. Since Geralt has to choose between contracts, this is a trade off. Trade occurs when we've to choose between alternatives. In this case, we forgo some at the expense of others.
5. Based in the information given, Geralt serves as the board of director.
6. Those who buy Geralt's services, such as rich villages, represent the Principal.
7. Geralt serves as the agent. He's the one negotiating contracts and supplying what's needed.
Utilize the following financial information to answer the question. Current value of land $2,000,000 Cost to rebuild the physical structure $7,500,000 Furniture, fixtures and equipment $ 500,000 Economic deductions $ 800,000 Functional obsolescence $ 200,000 Physical deterioration $1,000,000 Based on the cost replacement approach, how much would be estimated value of the property
Answer: $8,000,000
Explanation:
Based on the cost replacement approach:
Estimated value = Land Value + Replacement Value - Deductions from value
Replacement value = Cost to rebuild physical structures + Furniture
= 7,500,000 + 500,000
= $8,000,000
Economic deductions:
= 800,000 + 200,000 + 1,000,000
= $2,000,000
Estimated value = 2,000,000 + 8,000,000 - 2,000,000
= $8,000,000
Income from installment sales of properties included in pretax accounting income in 2021 exceeded that reported for tax purposes by $7 million. The installment receivable account at year-end 2021 had a balance of $8 million (representing portions of 2020 and 2021 installment sales), expected to be collected equally in 2022 and 2023. Sherrod was assessed a penalty of $2 million by the Environmental Protection Agency for violation of a federal law in 2021. The fine is to be paid in equal amounts in 2021 and 2022. Sherrod rents its operating facilities but owns one asset acquired in 2020 at a cost of $112 million. Depreciation is reported by the straight-line method, assuming a four-year useful life. On the tax return, deductions for depreciation will be more than straight-line depreciation the first two years but less than straight-line depreciation the next two years ($ in millions):
Answer:
1. Taxable income = $76 million
2. Net income = $65.25 million
3-a. Net current Deferred Tax Asset = $1.95 million
3-b. Net current Deferred Tax Liability = $6.25 million
Explanation:
Note: This question is not complete. The complete question is therefore provided before answering the question. See the attached pdf file for the complete question.
The explanation of the answers I now provided as follows:
1. Determine the amounts necessary to record income taxes for 2021, and prepare the appropriate journal entry.
1-a. Note: See the attached excel file for the determination of the amounts necessary to record income taxes for 2021 and the taxable income.
From the attached excel file, we have:
Taxable income = $76 million
1-b. The journal entries will look as follows:
Details Debit ($'m) Credit ($'m)
Tax expense (6.75 + 19 - 3) 22.75
Deferred tax asset (25% * (1 + 13 - 2)) 3.00
Deferred tax liability (25% * (7 + 20)) 6.75
Tax payable (25% * 76) 19.00
(To record tax expense.)
2. What is the 2021 net income?
This can be determined as follows:
Net income = Pretax accounting income - Tax expense = $88 million - $ 22.75 million = $65.25 million
3. Show how any deferred tax amounts should be classified and reported in the 2021 balance sheet.
3-a. The deferred tax amounts should be classified as follows.
From installment receivable in point (a) in the question:
Current deferred tax liability in 2022 (25%* ($4 / 2)) = $1
Noncurrent deferred tax liability in 2023 (25%* ($4 / 2)) = $1
From the depreciation in point (c.) in the question:
Noncurrent deferred tax liability (25%* ((24 + 24) - (14 + 7))) = $6.75
From the Warranty Expense/Payable in point (d.) of the question:
Current deferred tax asset (40%* 3) = $1.20
From the Acrrued Expense/Payable in point (e.) of the question:
Current deferred tax asset (25%* 7) = $1.75
Noncurrent deferred tax liability (25% * $6) = $1.50
3-b. These will be reported reported in the 2021 balance sheet as follows:
Sherrod, Inc.,
Balance Sheet (Partial)
As the Year Ended 31 December, 2021
Details $'Million
Assets:
Current Deferred Tax Asset (1.20 + 1.75) 2.95
Current Deferred Tax Liability -1.00
Net current Deferred Tax Asset 1.95
Liabilities:
Noncurrent Deferred Tax Asset (A) 1.50
Noncurrent Deferred Tax Liabiity (1.0 + 6.75) (B) 7.75
Net current Deferred Tax Liability (C = B - A) 6.25
The economy is in long-run equilibrium. Technological change shifts the long-run aggregate supply curve $120 billion to the right. At the same time, government purchases increase by $30 billion. If the MPC equals 0.8 and the crowding-out effects are $30 billion, we would expect that in the long run. (C)
a. real GDP would be higher but the price level would be lower
b. both real GDP and the price level would be lower
c. real GDP would be higher but the price level would be the same
d. both real GDP and the price level would be higher
Answer:
C. Real GDP would be higher but the price level would be the same
Explanation:
Real gdp would get to be higher as long run aggregate supply goes up. Prices would go down because as long run aggregate supply goes up, aggregate demand does not experience the same proportional increase. As long run aggregate supply goes up, short run aggregate supply falls backwards.
When a fast-moving consumer goods (FMCG) company faced bankruptcy, the company decided to encourage its employees to contribute their ideas toward organizational development and growth. The organization also asked its human resource team to assess the employees' levels of commitment toward organizational effectiveness. To improve the FMCG company's organizational performance, it is evident that the company most likely used _____. Group of answer choices
Answer:
Attitude surveys
Explanation:
Attitude surveys are used by employers to gauge how employees view the company and their role in it.
This type of survey exposes issues like lack of trust, low moral from employees, and dissatisfaction in the workplace.
In this instance the organization asked its human resource team to assess the employees' levels of commitment toward organizational effectiveness.
This will allow the FMCG company know how the bankruptcy challenge is being handled by the employees