Required information Required information Skip to question Petty cash payments are payments of small amounts for items such as postage, courier fees, minor repairs, and supplies. A company usually sets up one or more petty cash funds. A petty cash fund cashier is responsible for safekeeping the cash, making payments from this fund, and keeping receipts and records. A Petty Cash account is debited only when the fund is established or increased in amount. When the fund is replenished, petty cash payments are recorded with debits to expense (or asset) accounts and a credit to Cash. Knowledge Check 01 Recall on February 1, Derrick Company established a $200 petty cash fund. On February 15, when the fund balance reached $7, the petty cash custodian prepared a petty cash report that summarized receipts for postage ($140) and printing ($54). Complete the necessary journal entry by selecting the account names and dollar amounts from the drop-down menus.

Answer:

Dr Postage expense $140

Dr Printing charges $54

Cr Cash $193

Cr Cash over and short $1

Explanation:

Preparation of the l necessary journal entry

Based on the information given the journal entry will be :

Dr Postage expense $140

Dr Printing charges $54

Cr Cash $193

($140+$54-$1)

Cr Cash over and short $1

{$7-[$200-($140+$54)]}

[$7-($200-$194)]

($7-$6=$1)

5
Given a population A which has an average of 30% and a standard deviation of 6% and a
population B which has an average of 24% and a standard deviation of 12%. Then the population
B has data values that are more variable relative to the size of the population mean.
tof
estion
Select one:
O True
False

Synovec Corp. is experiencing rapid growth. Dividends are expected to grow at 25 percent per year during the next three years, 15 percent over the following year, and then 6 percent per year, indefinitely. The required return on this stock is 12 percent and the stock currently sells for $94 per share. What is the projected dividend for the coming year? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Last year Rennie Industries had sales of $395,000, assets of $175,000 (which equals total invested capital), a profit margin of 5.3%, and an equity multiplier of 1.2. The CFO believes that the company could reduce its assets by $51,000 without affecting either sales or costs. The firm finances using only debt and common equity. Had it reduced its assets by this amount, and had the debt/total invested capital ratio, sales, and costs remained constant, how much would the ROE have changed? Do not round your intermediate calculations.

Lipscomb Corporation is estimating its WACC. Its target capital structure is 20 percent debt, 20 percent preferred stock, and 60 percent common equity. Its bonds have a 12 percent coupon, paid semiannually, a current maturity of 20 years, and sell for 1,000 USD. The firm could sell, at par, 100 USD preferred stock which pays a 12 percent annual dividend, but flotation costs of 5 percent would be incurred. Libscomb is a constant-growth firm which just paid a dividend of $2.00, sells for 27.00 USD per share, and has a growth rate of 8 percent. The firm's marginal tax rate is 40 percent.

Required:
Calculate the WACC.

Posting to T-Accounts Post the amounts for the following transactions (a) through (f) to the appropriate T-accounts.
a. Receive merchandise inventory costing $9,000, purchased with cash.
b. Sell half of inventory in (a) for $7,500 on credit.
c. Place order for $5,000 of additional merchandise inventory to be delivered next month.
d. Pay employee $4,000 for compensation earned during the month.
e. Pay $7,000 rent for use of premises during the month.
f. Receive full payment from customer in part (b).

Grady and Associates performs a variety of activities related to information systems and e-commerce consulting in Toronto, Canada. The firm, which bills $164 per hour for services performed, is in a very tight local labor market and is having difficulty finding quality help for its overworked professional staff. The cost per hour for professional staff time is $74. Selected information follows.

Billable hours to clients for the year totaled 8,400, consisting of information systems services, 5,040; e-commerce consulting, 3,360. Administrative cost of $417,760 was (and continues to be) allocated to both services based on billable hours. These costs consist of staff support, $222,840; in-house computing, $157,000; and miscellaneous office charges, $37,920. A recent analysis of staff support costs found a correlation with the number of clients served. In-house computing and miscellaneous office charges varied directly with the number of computer hours logged and number of client transactions, respectively. A tabulation revealed the following data:

Information Systems Services E-Commerce Consulting Total
Number of clients 255 75 330
Number of computer hours 3,740 2,340 6,080
Number of client transactions 720 840 1,560

Required:
Assume that the firm uses traditional costing procedures, allocating total costs on the basis of billable hours. Determine the profitability of the firm’s information systems and e-commerce activities, expressing your answer both in dollars and as a percentage of activity revenue.

On April 1, 2020, Novak Company assigns $505,300 of its accounts receivable to the Third National Bank as collateral for a $327,200 loan due July 1, 2020. The assignment agreement calls for Novak to continue to collect the receivables. Third National Bank assesses a finance charge of 4% of the accounts receivable, and interest on the loan is 10% (a realistic rate of interest for a note of this type).

Required:
a. Prepare the April 1, 2020, journal entry for Rasheed Company.
b. Prepare the journal entry for Rasheed’s collection of $364,000 of the accounts receivable during the period from April 1, 2014, through June 30, 2020.
c. On July 1, 2014, Rasheed paid Third National all that was due from the loan it secured on April 1, 2020. Prepare the journal entry to record this payment

Countries like China and other developed economies are in the Neo classical zone. What is the best option for these countries to sustain their economies?

a.
Decrease aggregate demand

b.
Increase aggregate supply

c.
Move back to Keynesian Zone

d.
Move back to intermediate zone​

Use Present Worth Analysis to determine whether Alternative A or B should be chosen. Items are identically replaced at the end of their useful lives. Assume an interest rate of 6% per year, compounded annually.
Alternative A Alternative B
Initial Cost 350 985
Annual Benefit 80 226
Salvage Value 160 186
Useful Life (yrs) 2 3
A. Alternative B, because it only incurs the initial cost once every three years instead of every two years
B. Alternative B, because it costs $250.00 more than Alternative A, in terms of present worth
C. Alternative A, because its present worth is positive
D. Alternative A, because it costs $250.00 less than Alternative B, in terms of present worth

In the welding operations of a bicycle manufacturer, a bike frame has a flow time of about 13.6 hours. The time in the welding operation is spent as follows: 3 hours waiting in front of the cutting machine for the batch to start, 3 hours waiting for the setup of the machine, 1 hour waiting for the other pieces of the batch to go through cutting, 2 minute at the cutting machine, and 3 hours waiting for the transfer to the welding machine. Then, at the welding machine, the unit spends 1 hour waiting in front of the welding machine for the batch to start, 1 hour waiting for the setup of the welding machine, 0.6 hour waiting for the other pieces of the batch to go through welding, 0.65 minute at the welding machine, and 1 hour waiting for the transfer to the next department.
1. Determine the exact flow time.2. What is the value-added percentage of the flow time?

The following facts relate to Duncan Corporation.

1. Deferred tax liability, January 1, 2019, $80,000.
2. Deferred tax asset, January 1, 2019, $30,000.
3. Taxable income for 2019, $115,000.
4. Cumulative temporary difference at December 31, 2019, giving rise to future taxable amounts, $250,000.
5. Cumulative temporary difference at December 31, 2019, giving rise to future deductible amounts, $95,000.
6. Tax rate for all years, 40%. No permanent differences exist.
7. The company is expected to operate profitably in the future.

Required:
a. Compute the amount of accounting income for 2019.
b. Prepare the journal entry to record income tax expense, deferred income taxes, and income payable for 2019

Doug is filing singly. His net taxable income is $80,575. Every week, $304 is withheld from his earnings for income tax. Based on the table below, what can Doug expect when his taxes are due? Between 80,550 and 80,600 dollars, for filing single, the amount of taxes is 16,539 dollars. a. Doug will receive a refund of $123. b. Doug will receive a refund of $2,977. c. Doug will owe an additional $1,125. d. Doug will owe an additional $731. Please select the best answer from the choices provided A B C D

Consider a firm that had been priced using a 10.00 percent growth rate and a 14.00 percent required rate. The firm recently paid a $1.00 dividend. The firm has just announced that because of a new joint venture, it will likely grow at a 12.00 percent rate. How much should the stock price change (in dollars and percentage)

Meade Nuptial Bakery makes very elaborate wedding cakes to order. The company has an activity-based costing system with three activity cost pools. The activity rate for the Size-Related activity cost pool is $1.13 per guest. (The greater the number of guests, the larger the cake.) The activity rate for the Complexity-Related cost pool is $43.52 per tier. (Cakes with more tiers are more complex.) Finally, the activity rate for the Order-Related activity cost pool is $61.44 per order. (Each wedding involves one order for a cake.) The activity rates include the costs of raw ingredients such as flour, sugar, eggs, and shortening. The activity rates do not include the costs of purchased decorations such as miniature statues and wedding bells, which are accounted for separately. Data concerning two recent orders appear below: Ericson Wedding Haupt Wedding Number of reception guests 60 162 Number of tiers on the cake 4 3 Cost of purchased decorations for cake $ 16.89 $ 38.61 Assuming that the company charges $500.54 for the Haupt wedding cake, what would be the overall margin on the order

Some students want to start a business that cleans and polishes cars. It takes 1.5 hours of labor and costs $2.25 in supplies to clean a car. It takes 2 hours of labor and costs $1.50 in supplies to polish a car. The students can work a total of 120 hours in one week. They also decide that they want to spend no more than $135 per week on supplies. The students expect to make a profit of $7.75 for each car that they clean and a profit of $8.50 for each car that they polish. What is the maximum profits the students can make

Identify whether each of the following statements best illustrates the concept of consumer surplus, producer surplus, or neither.

a. I was willing to pay up to $68 for a used textbook and even though the seller was willing to go as low as $61 in order to sell it, we couldn't reach a deal because the government imposed a price ceiling of $56 on the sale of textbooks.
b. Even though I was willing to pay up to $115 for a used laptop, I bought a used laptop for only $110.
c. I sold a watch for $59, even though I was willing to go as low as $53 in order to sell it.

Departmental Overhead Rates Lansing, Inc., provided the following data for its two producing departments:

Molding Polishing Total
Estimated overhead $400,000 $80,000 $480,000
Direct labor hours (expected and actual):
Form A 1,000 5,000 6,000
Form B 4,000 15,000 19,000
Total 5,000 20,000 25,000

Machine hours:
Form A 3,500 3,000 6,500
Form B 1,500 2,000 3,500
Total 5,000 5,000 10,000

Machine hours are used to assign the overhead of the Molding Department, and direct labor hours are used to assign the overhead of the Polishing Department. There are 25,000 units of Form A produced and sold and 50,000 of Form B.

Required:
a. Calculate the overhead rates for each department.
b. Using departmental rates, assign overhead to the two products and calculate the overhead cost per unit.

As the question says just provide modalities for compensating the victims of the accident. Do not try to attribute reasons for the cause of the accident, i.e. who is wrong or responsible for the accident. Try to come up with the various kinds of victims and decide what they get. To say that everybody that was killed should get the same amount is not realistic. Think about the families of those involved in September 11 disaster. Did all the families get the same amount?

a. A new operating system for an existing machine is expected to cost $684,000 and have a useful life of six years. The system yields an incremental after-tax income of $200,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $60,000.

b. A machine costs $480,000, has a $40,000 salvage value, is expected to last eight years, and will generate an after-tax income of $110,000 per year after straight-line depreciation.

Required:
Assume the company requires a 10% rate of return on its investments. Compute the net present value of each potential investment.

Suppose that Perry and Taimur both produce poems and novels. Perry’s productive capabilities are as follows. He can produce 12 poems if he spends all of his time writing poems or he can write 2 novels if he spends all of his time writing novels. He can also produce any linear combination in between. Taimur’s productive capabilities are as follows. He can produce 12 poems if he spends all of his time writing poems or he can write 4 novels if he spends all of his time writing novels. He can also produce any linear combination in between.
A. Which person can produce poems at lower opportunity cost? Explain. Which person can produce novels at a lower opportunity cost? Explain.
B. Suppose that Perry and Taimur make the following deal. Perry will spend all of his time making poems and Taimur will spend all of his time making novels. Taimur will then send 1 novel to Perry and in return Perry will send Taimur 4 poems. How many poems and novels will Perry have after this trade? How may poems and novels will Taimur have after this trade?
C. I claim that after trading with Taimur, Perry can now consume a combination of poems and novels that he never could have produced for himself. Likewise, Taimur can now consume a combination of poems and novels that he never could have produced for himself after trading with Perry. Use equations and a couple of simple calculations to demonstrate that I am correct.
D. What do you think is going on here? Why can both Perry and Taimur now consume a quantity of goods that they never could have produced for themselves?

Bank Reconciliation and Related Journal entries.
The book balance in the checking account of Lyle's Salon as of November 30 is $3,292.08. The bank statement shows an ending balance of $2,118.00. By examining last month's bank reconciliation, comparing the deposits and checks written per books and per bank in November, and noting the service charges and other debit and credit memos shown on the bank statement, the following were found:
A) An ATM withdrawal of $150 on November 18 by Lyle for personal use was not recorded on the books.
B) A bank debit memo issued for an NSF check from a customer of $19.50.
C) A bank credit memo issued for interest of $19 earned during the month.
D) On November 30, a deposit of $1,177 was made, which is not shown on the bank statement.
E) A bank debit memo issued for $17.50 for bank service charges.
F) Checks No. 549, 561, and 562 for the amounts of $185, $21, and $9.40, respectively, were written during November but have not yet been received by the bank.
G) The reconciliation from the previous month showed outstanding checks totaling $271.95. One of those checks, No. 471 for $18.65, has not yet been received by the bank.
H) Check No. 523 written to a creditor in the amount of $372.90 was recorded in the books as $327.90.
Required:
1. Prepare a bank reconciliation as of November 30.
2. Prepare the required journals entries.

Creating your own flyer assignment

On January 1 of the current year, Townsend Co. commenced operations. It operated its plant at 100% of capacity during January. The following data summarized the results for January:

Units
Production 50,000
Sales ($18 per unit) (42,000)
Inventory, January 31 8,000
Manufacturing costs: Variable $575,000
Fixed 80,000
Total $655,000
Selling and administrative expenses:
Variable $35,000
Fixed 10,500
Total $45,500

Required:
a. Prepare an income statement using absorption costing.
b. Prepare an income statement using variable costing.

The foreign exchange market is a market for converting the currency of one country into that of another country.

a. True
b. False

A firm with two factories one in Michigan and one in Texas has decided that it should produce a total of 500 units of output in order to maximize profit. The firm is currently producing 200 units in the Michigan factory and 300 units in the Texas factory. At this allocation between plans the last units of output produced in Michigan added $5 to total cost while the last units of output products in Texas added $3 to total the firm
a. is maximizing profit should keep producing 200 units in Michigan and 300 units in Texas
b. should produce 250 units in each factory
c. should produce more in the Michigan factory and less in the Texas factory
d. should produce more in the Texas factory and less in the Michigan factory

Basically, nations trade: Question 7 options: in order to stockpile goods in case of national disaster or emergency. because most nations tend to have yearly surpluses of goods. because no nation's economy can produce all of the goods and services that it needs. in order to maintain peaceful relationships with neighboring countries.

Match to correct letter option
1. LRAS
2. Market value
3. Disposable income
4. Real
5. Final
6. Excess reserves
A. Money leftover after taxes are paid
B. Quantity theory of money helps explain the shape of this.
C. Part of GDP s definition that captures the quality of the goods and services.
D. Caused by a fall in the money supply
E. Part of GDPâs definition that means you exclude used goods and services.
F. Sticky prices/wages justifies its shape
G. Part of GDP s definition that means you exclude intermediary goods and services.
H. Used to make loans.
I. Used to cover withdraws.
J. Interest rates are at their lower bound
K. Represents the economy s fundamentals, such as population, capital, and technology.
L. Adjusted for inflation.
M. Caused by a collapse of the stock market.

Tambe Electric entered into a written agreement with Home Depot to provide copper wire to Tambe at a price set forth in the writing, and allowed the contractor the option of paying for the wire over a period of time. Tambe later tried to purchase such wire on a payment plan but Home Depot refused. As Home Depot did not fulfill this written agreement, Tambe sued for $68,000, the additional cost it had to subsequently pay to obtain copper wire for its work. Home Depot defended that it had made an oral condition precedent requiring payment in full by Tambe at the time it accepted the price quote in the written agreement. The result is that:_________

In the A-B-C classification system, items which account for about 15 percent of the annual dollar value, but which account for a majority of the inventory items, would be classified as: Group of answer choices B items. A items plus B items. B items plus C items. C items. A items.

Eye Deal Optometry leased vision-testing equipment from Insight Machines on January 1, 2021. Insight Machines manufactured the equipment at a cost of $320,000 and lists a cash selling price of $437,424. Appropriate adjusting entries are made quarterly.

Related Information:
Lease term 5 years (20 quarterly periods)
Quarterly lease payments $24,000 at Jan. 1, 2018, and at Mar. 31, June 30, Sept. 30, and Dec. 31 thereafter.
Economic life of asset 5 years
Interest rate charged by the lessor 4%

Required:
a. Prepare appropriate entries for Eye Deal to record the arrangement at its beginning, January 1, 2021, and on March 31, 2021.
b. Prepare appropriate entries for Insight Machines to record the arrangement at its beginning, January 1, 2021, and on March 31, 2021.