Answer:
Total Over budget = $112370
Total Under Budget= $ 56062
Explanation:
Valotic Tech Inc.
Budget Performance Report—Director, Consumer Products Division
For the Month Ended January 31, 2016
Budget Actual (Over) Under Budget
Customer service salaries $546,840 $602,350 (55,510)
Insurance & property taxes 114,660 110,240 4420
Distribution salaries 872,340 861,200 11,140
Marketing salaries 1,028,370 1,085,230 (56,860)
Engineer salaries 836,850 820,008 16842
Warehouse wages 586,110 562,632 23478
Equipment depreciation 183,792 183,610 182
Total $4,168,962 $4,225,270 (56308)
Total Over budget = $112370
Total Under Budget= $ 56062
Over budget means that the amount is spent more than the amount budgeted.
The Customer service salaries and Marketing salaries are over budgeted and the the director is expected to request supplemental reports of these to analyze where the amount has been overspent.
From 2010 to 2011, nation A's real GDP increased from $100 billion to $106 billion and its population grew from 50 million to 51 million. As a result, real GDP per capita _____ because real GDP rose _____ than the population.
Answer:
As a result, real GDP per capita WILL INCREASE because real GDP rose MORE than the population.
Explanation:
increase in real GDP = $106 - $101 = $5 billion, or 4.95%
population increase = 51 - 50 = 1 million people, or 2%
real GDP per capita 2010 = $101,000 / 50 = $2,020
real GDP per capita 2011 = $106,000 / 51 = $2,078
since the real GDP increased by almost 5%, while the population increased only by 2%, the real GDP per capita will increase by 2.9%
Brooke Hubert works for MRK all year and earns a monthly salary of $ 11 comma 900. There is no overtime pay. Brooke's income tax withholding rate is 10 % of gross pay. In addition to payroll taxes, Brooke elects to contribute 5 % monthly to United Way. MRK also deducts $ 125 monthly for co-payment of the health insurance premium. As of September 30, Brooke had $ 107 comma 100 of cumulative earnings. LOADING...(Click the icon to view payroll tax rate information.) Requirements 1. Compute Brooke's net pay for October. 2. Journalize the accrual of salaries expense and the payments related to the employment of Brooke Hubert.
Answer:
1. Compute Brooke's net pay for October
Brooke's gross monthly salary = $11,900
- federal income taxes withholdings = ($1,190)
- contribution to United Way = ($595)
- health insurance = ($125)
- social security = 6.2% x $11,900 = ($737.80)
- medicare = 1.45% x $11,900 = ($172.55)
net pay = $9,079.65
2. Journalize the accrual of salaries expense and the payments related to the employment of Brooke Hubert.
We must include here FUTA taxes paid by the employer. In this case, since we are not given the state unemployment (SUTA) tax rate, we can only calculate the federal unemployment tax 6% x $11,900 = $714. Both the employee and employer pays FICA taxes in an equal amount. The amount that is withheld from the employee's paycheck is identified as FICA tax withholding.
October 31, 202x
Dr Wages expense 11,900
Dr FICA taxes expense 910.35
Dr FUTA taxes expense 714
Cr Federal income tax withholding payable 1,190
Cr FICA tax (social security) withholding payable 737.80
Cr FICA tax (social security) payable 737.80
Cr FICA tax (medicare) withholding payable 172.55
Cr FICA tax (medicare) payable 172.55
Cr FUTA tax payable 714
Cr Health insurance payable 125
Cr United Way payable 595
Cr Wages payable 9,079.65
Suppose a firm’s sales for the year = $1200 and its average receivables balance is $200. What is the firm’s Accounts Receivable Turnover Ratio, expressed in days (not times per year)?
Answer:
61 days
Explanation:
Accounts receivable turn over ratio is an efficiency ratio that is used to calculate how efficiently a company is receiving its sales on account payments . This measures the number of times in a period that a company collects its average accounts receivable.
When expressed in days , it reveals the number of days it takes a sales on account customer to make payment
Workings
Annual sales = 1200
Average receivable balance = 200
Receivable turnover ratio = Annual sales /average receivable balance
1200/ 200 = 6
Account receivable turnover ratio in days = 365/receivable turnover ration
365/6 = 60.8 days = approximately 61 days
This shows that it takes a customer approximately 61 days to pay their purchase on account which
Using both the supply and demand for bonds and liquidity preference framework, show how interest rate are affected when the riskiness of bonds rises. Are the results the same in the two frame works
Answer:
Yes, the results are the same in both frameworks. Please see below for explanation.
Explanation:
With regards to the bond supply and demand framework, people will look to buy more bonds since they are more wealthy now. Hence, the supply of bonds will increase. The supply curve and the demand curve will both move to the right, with the former shifting more than the latter. The equilibrium interest rate will increase.
With regards to the liquidity preference framework, once the economy experiences a positive shift, there will also be an increase in the demand for money. People will make an increased number of transactions as well and hence, the demand curve will move towards the right. The equilibrium interest rate will rise too.
Roy Company manufactures a product in Departments A and B. Materials are added at the beginning of the process in Department B. Roy uses the weighted-average method in its process costing system. Conversion costs for Department B were 50% complete with respect to the 6,000 units in the beginning work in process and 75% complete with respect to the 8,000 units in the ending work in process. A total of 12,000 units were completed and transferred out of Department B during February. An analysis of the costs in Department B for February follows: The total cost per equivalent unit during February was closest to:_________
a. $2.75
b. $2.78
c. $2.82
d. $2.85
Answer:
Number of equivalent units= 18,000
Explanation:
Giving the following information:
Conversion costs for Department B were 50% complete concerning the 6,000 units in the beginning work in process and 75% complete for the 8,000 units in the ending work in process. A total of 12,000 units were completed and transferred out of Department B during February.
With the information provided, we can calculate the number of equivalent units of the period.
Beginning work in process = 6,000*0.5= 3,000
Units started and completed = 12,000 - 3,000= 9,000
Ending work in process completed= 8,000*0.75= 6,000
Number of equivalent units= 18,000
Xochi is a corporate PR consultant. She has many clients and would like to find a more efficient way to access and send information than by e-mail alone. What tool should Xochi use to search and manage this informatio
Answer:
Enterprise social media network.
Explanation:
Enterprise social media network is the use of social network to link people who share common interest. Enterprise social network could be internal to a business such as Yammer, communicator which are meant to communicate among employees or external to a business such as use of Google+ or other social media network platforms which connects a business to it's customers.
The advantage of Enterprise social media networks is that they can be searched such that people can follow, tag or view activity. Here, users can check and send messages conveniently and efficiently to people compare to email alone.
With regards to the above scenario, Xochi should use Enterprise social media network tool to search and manage information.
Waterway’s Market recorded the following events involving a recent purchase of merchandise:
Received goods for $75000, terms 1/10, n/30.
Returned $1100 of the shipment for credit.
Paid $400 freight on the shipment.
Paid the invoice within the discount period.
As a result of these events, the company’s inventory increased by:_______.
Answer:
$73,561
Explanation:
The computation of inventory increased is shown below:-
Inventory increase = (Received goods - Returned goods) × (1 - 0.01) + Freight charges
= ($75,000 - $1,100) × 0.99 + $400
= $73,900 × 0.99 + $400
= $73,161 + $400
= $73,561
Therefore for computing the increased inventory we have simply applied the above formula.
A registered representative wishes to sell a customer a limited partnership unit that is offered through his friend - the general partner in the venture. Under FINRA rules, this action is:
Answer:
only permitted if the member firm is notified in writing and gives prior written approval to the transaction
Explanation:
Under FINRA rules, registered representatives cannot effect private securities transactions.
But FINRA does allow an exemption from this prohibition on the condition that the member firm is notified in writing and gives prior written approval to the transaction
In a reorder point problem where both demand and lead time are variable, demand averages 200 units per day with a daily variance of 64, and lead time averages 6 days with a standard deviation of 1 day. What should the reorder point be for a 95% service level?
Answer:
~ 1561.235
Explanation:
Given :
[tex]Z=1.645[/tex]
[tex]d = 200\ \\variance =64[/tex]
Standard deviation can be determined by the [tex]\sqrt{variance }[/tex]
Standard deviation=SD
=[tex]\sqrt{64}\ =\ 8[/tex]
[tex]LT = 6\[/tex]
σ = 8
Now using the formula
[tex]R\ =\ d \ *\ LT\ +Z\ \sqrt{LT^{2}\ +SD^{2} \ +\ d\ \sigma\ ^{2} } \\\\Putting\ the\ respective\ value\ we\ get \\R=200 * 6 + 1.645\sqrt{6 * 8^2 + 200 *1^2}[/tex]
R=1561.235
~ 1561.235
1. A piece of newly purchased industrial equipment costs $1,240,000 and is classified as seven-year property under MACRS. Calculate the annual depreciation allowances and end-of-the-year book values for this equipment.
Answer:
Solution for the question is given below
Explanation:
Year OpeningValue MACRS Depreciation Closing Book Value
1. 1,240,000 0.1429 177,196 1,062,804
2. 1,062,804 0.2449 260,280.69 802,523.30
3. 802,523.30 0.1749 140,361.32 662,161.97
4. 662,161.97 0.1249 82,704.03 579,457.93
5. 579,457.93 0.0893 51,745.59 527,712.33
6. 527,712.33 0.0892 47,071.94 480,640.40
7. 480,640.40 0.0893 42,921.18 437,719.21
Use the following Window Breeze Company income statement to answer the question. Window Breeze Company is a small manufacturer of window air conditioners and reported the following: Window Breeze Company Full Costing Income Statement For the Year Ending December 31, 2011
Sales ($150 per unit) $120,000
Less cost of goods sold 35,000
Gross margin 85,000
Less selling and administrative expenses:
Selling expense $15,000
Administrative expense 15,000 30,000
Net income $55,000
Annual FMOH was $25,000 and 1,000 units were produced. All administrative costs were fixed. Included in the $15,000 selling expense was $10,000 of fixed selling.
Missing information:
How much is the value of full costing ending inventory?
Answer:
$8,750
Explanation:
1,000 units were produced and 800 were sold, so ending inventory = 200 units
total production cost per unit (under full costing) = $35,000 / 800 = $43.75
ending inventory = $43.75 x 200 = $8,750
Full costing basically refers to absorption costing, which calculates COGS using both variable and fixed costs (total production costs).
There is often litter along highways but rarely in people's yards. Which of the following statements help explain this observation?
a. Littering on the highway generates a positive externality.
b. The private cost of littering on the highway is low.
c. The private cost of littering on your own yard exceeds the social cost.
Answer:
The answer is A and C
Explanation:
Solution
Social costs refers to the total cost of an activity incurred by society.
Private costs are direct costs incurred by an individual
Frequently there is liter along the high ways but rarely in people's yards because the social cost of littering is more than private cost. since the society must bear the negative externality, the social cost is more and the private cost is less.
The private cost is higher when one liters on his own yard as the cost is only borne or carried by the owner and not the society.
The Morris Corporation has $350,000 of debt outstanding, and it pays an interest rate of 8% annually. Morris's annual sales are $1.75 million, its average tax rate is 30%, and its net profit margin on sales is 8%. If the company does not maintain a TIE ratio of at least 3 to 1, its bank will refuse to renew the loan and bankruptcy will result. What is Morris's TIE ratio? Do not round intermediate calculations. Round your answer to two decimal places.
Answer:
8.14 times
Explanation:
The computation of the Time interest earned ratio is shown below:
As we know that
Times interest earned ratio = (Earnings before interest and taxes) ÷ (Interest expense)
where,
Earnings before interest and taxes = Income before income tax for the year + Interest expense
But before tha, we need to do the following calculations
The interest amount is
= $350,000 × 0.08
= $28,000
The net profit is
= $1,750,000 × 8%
= $140,000
The EBIT is
= Profit before tax + interest expense
= $140,000 ÷ (1 - 0.30) + $28,000
= $200,000 + $28,000
= $228,000
And, the interest expense is $28,000
So, the TIE ratio is
= $228,000 ÷ $28,000
= 8.14 times
Remsco has taxable income of $61,000 and a charitable contribution limit modified taxable income of $72,500. Its charitable contributions for the year were $7,540. What is Remsco's current-year charitable contribution deduction and contribution carryover
Answer:
Remsco's current-year charitable contribution deduction is $7,250
Contribution carryover is $ 290
Explanation:
Taxable income = $61,000
Charitable contribution limit modified taxable income = $72,500
Charitable contributions for the year = $7,540
Since, charitable contribution deduction is limited to 10% of charitable contribution limit modified taxable income ,
Remsco's current-year charitable contribution deduction = $72,500 x 10%
= $7,250
Therefore, contribution carryover = $7,540 - $7,250 = $ 290
g A particular brand of toothpaste costs 4 British pounds in London. The nominal exchange rate is .80 and the real exchange rate is about 1.16. These numbers imply that the U.S. price of the same toothpaste is about a. $5.79 b. $4.29 c. $3.70 d. $2.76
Answer:
The answer is option (d)$2.76
Explanation:
Solution
Given that:
The cost of a particular brand of toothpaste = 4 pounds
The exchange rate = .80
Real exchange rate = 1.16
Now
Real exchange rate is given as:
R = real exchange rate
e = nominal exchange rate
PF = foreign price
P = domestic price
Suppose we say that U.S. is a domestic country and British is a foreign country we have the following formula below:
R = e(PF/P)
R = 1.16
e = 0.80
PF = 4
Thus
R = e(PF/P)
1.16 = 0.80(4/P)
P = 3.2/1.16
= 2.7586207
= $2.76
Therefore, The U.S rice of the same toothpaste is about $2.76
The last step in the marketing process often includes: collecting the cash from sales to consumers. developing a written report to summarize the results of the period's marketing activities. deciding the best way to distribute the product. building relationships with customers.
Answer: developing a written report to summarize the results of the period's marketing activities.
Explanation:
The last step in the marketing process often is developing a written report to summarize the results of the period's marketing activities.
Developing a written report to summarise the results of the marketing activities is necessary in order to evaluate the performance of the marketing activity and also learn from past mistakes which have previously affected the company.
These are vital in order to capture a good market share in the future and also achieve organizational goals.
Question 16 (3 points) The 2011 and 2012 Balance Sheets for Jacob, Inc. contained the following entries: 12/31/201112/31/2012 Accounts receivable$206$116 Inventories$590$603 Net fixed assets$102$307 Accounts payable$329$333 Jacob had materials purchases in 2011 of $1,689 and materials purchases in 2012 of $2,770 . What did Jacob record as Cost of Goods Sold (COGS) on its 2012 income statement
Answer:
$2,857
Explanation:
Cost of goods sold (COGS) refers to the relevant cost incurred to acquire or produce the products being sold a company during a particular period.
The formula for calculating the COGS is as follows:
COGS = Beginning inventories + Purchases - Ending inventories
From the question, we have the following for 2012:
Beginning stock = $590
Purchases = $2,770
Ending inventory = 503
Therefore, we have:
COGS for 2012 = $590 + $2,770 - $503 = $2,857
Therefore, Jacob should record $2,857 as Cost of Goods Sold (COGS) on its 2012 income statement.
Monson sells 29 units for $50 each on December 15. Monson uses a perpetual inventory system. Determine the costs assigned to ending inventory when costs are assigned based on the weighted average method. (Round your per unit costs to 2 decimal places.)
The complete question:
Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Also, on December 15, Monson sells 29 units for $50 each.
Purchases on December 7 20 units at $20.00 each
Purchases on December 14 34 units at $30.00 each
Purchases on December 21 30 units at $36.00 each
Monson uses a perpetual inventory system. Determine the costs assigned to ending inventory when costs are assigned based on the weighted average method. (Round your per-unit costs to 2 decimal places.)
Answer:
Trey MonsonDetermination of the cost of Ending Inventory based on the Weighted Average Method:Date Quantity Unit Cost Total Cost
Dec. 7 Purchase 20 $20 $400
Dec. 14 Purchase 34 30 1,020
Total 54 26.30 $1,420 .20
Dec. 15 Sale -29 26.30 -762.70
Dec 15 Balance 25 26.30 $657.50
Dec. 21 Purchase 30 36 1,080
Dec. 21 Available 55 31.59 $1,737.50
Dec. 31 Ending Inventory 55 $31.59 $1,737.50
Explanation:
To use the weighted average method, we divide the cost of goods available for sale by the number of units available for sale, which yields the weighted-average cost per unit. The cost of goods available for sale is the sum of beginning inventory and net purchases.
Pettygrove Company had 1,700,000 shares of $10 par value common stock outstanding. The amount of additional paid-in capital is $8,500,000, and Retained Earnings is $2,550,000. The company issues a 2-for-1 stock split. The market price of the stock is $11. What is the balance in the Common Stock account after this issuance
Answer:
$17,000,000
Explanation:
Balance in common stock after the issuance = $1700,000 x $10
Balance in common stock after the issuance = $17,000,000
You can't find difference between balance of common stock, additional paid-in capital, and retained earnings when a company issues a stock split But there would be surely a change in par value and number of outstanding shares. Market value of share will either increase or decrease.
Identify whether the following activities Ere examples Of business-level or corporate level strategy.
a. A company's managers ask, "Should we increase the size of our Bluetooth wireless speaker and sell it at a higher cost?"
b. Never previously known as a computer hardware company, Microsoft decides to enter the tablet manufacturing business, producing the Microsoft Surface.
c. Managers for IBM's SPSS statistics software meet to determine how they Will market the product in the upcoming year. Their decision is to show potential clients how effective SPSS is at analyzing extremely large data sets, and how
the "Direct Marketing" part Of the program helps identify which customers will respond to advertisements.
d. The manufacturer of Chobani Yogurt decided to open a flagship store in Soho, where customers can order special yogurt creations, such as fig and walnut or cucumber and olive oil. Though it was in the business of manufacturing
yogurt for 7 years, the company never tried to run a restaurant before.
Answer: A. Business Level.
B. Corporate Level.
C. Business Level.
D. Corporate Level.
Explanation:
Business level strategies are used by a company to engage in transactions that will enable it to sell it's products and bring in profit to the company. It therefore focuses on the customers the business has.
Corporate Level strategies on the other hand are at organizing level of the Organization. In other words they deal with decisions meant to progress the company to make it bigger or more profitable. For example by selling or buying companies/ business units.
A. This is a business level activity as it focuses on the sales of their Bluetooth products.
B. This is a Corporate Level Strategy as it deals with Microsoft as an Organization entering a new market i.e diversifying for growth.
C. This is a Business level strategy as it deals with the product that the company wants to improve sales of which is SPSS.
D. This is a Corporate Level Strategy because as the text shows, the company has never tried to run a restaurant before. They are therefore diversifying and entering into a new market.
Kingbird Company leased equipment from Costner Company, beginning on December 31, 2019. The lease term is 4 years and requires equal rental payments of $32,230 at the beginning of each year of the lease, starting on the commencement date (December 31, 2019). The equipment has a fair value at the commencement date of the lease of $120,000, an estimated useful life of 4 years, and no estimated residual value. The appropriate interest rate is 5%. Prepare Kingbird's 2019 and 2020 journal entries, assuming Kingbird depreciates similar equipment it owns on a straight-line basis.
Date Account Titles and Explanation Debit Credit
Answer:
Kingbird's 2019 and 2020 journal entries, assuming Kingbird depreciates similar equipment it owns on a straight-line basis is prepared in the table below.
_____________________________
Date: 12/31/2019
Account: Right of use asset. Debit: $120,000
Account: Lease liability. Credit: $120,000
(To record lease liability)
_____________________________
Date: 12/31/2019
Account: Lease liability. Debit: $32,230
Account: Cash. Credit: $32,320
(To record lease payment)
_____________________________
Date: 12/31/2020
Account: Interest Expense ($120,000-$32,230)*5%. Debit: $4,389
Account: Lease Liability (Plug in) ($32,320 - $4,389). Debit: $27,841
Account: Cash. Credit: $32,320
______________________________
Date: 12/31/2020
Account: Amortization Expense. Debit: $30,000
Account: Right of use asset. Credit: $30,000
(To record amortization) $120,000/4 years
_____________________________
Big Canyon Enterprises has bonds on the market making annual payments, with 17 years to maturity, a par value of $1,000, and a price of $969. At this price, the bonds yield 8.1 percent. What must the coupon rate be on the bonds?
Answer:
7.8%
Explanation:
For computing the coupon rate first we have to determine the PMT by using the PMT formula which is shown in the attachment below:
Given that,
Present value = $969
Future value or Face value = $1,000
RATE =8.1%
NPER = 17 years
The formula is shown below:
= PMT(RATE;NPER;-PV;FV;type)
The present value come in negative
So, after applying the above formula, the PMT is $77.58
Now the coupon rate is
= $77.58 ÷ $1,000
= 7.8%
A company had net sales of $21,500 and ending accounts receivable of $2,700 for the current period. Its days' sales uncollected equals: (Use 365 days a year.) Multiple Choice 8.0 days. 58.9 days. 45.8 days. 7.4 days. 45.2 days.
Answer:
45.8 days
Explanation:
The computation of the days sales uncollected is shown below:
But before that first we need to find out the inventory turnover ratio which is
Inventory turnover ratio = Sales ÷ Accounts receivable
= $21,500 ÷ $2,700
= 7.96 times
Now Days sales uncollected is
= 365 ÷ Inventory turnover ratio
= 365 ÷ 7.96
= 45.8 days
We simply applied the above formulas
In 2016, Akin Company sold 3,000 units at $750.00 each. Variable expenses were $375.00 per unit, and fixed expenses were $130,000. The same selling price is expected for 2017. Akin is tentatively planning to invest in equipment that would increase fixed costs by 17.00%, while decreasing variable costs per unit by 20.00%. What is the company's break-even point in units for 2017?
Answer:
338
Explanation:
Break even point = F/ P - V
F = fixed cost
P = price
V = variable cost
Change in fixed cost = $130,000 × 1.17 = $152,100
Change in variable cost = $375.00 × 0.80 = $300
$152,100 / $750.00 - $300 = $152,100 / $450 = 338
I hope my answer helps you
Street & Smith publishes the same baseball magazine with exactly the same stories but with 16 different covers to appeal to baseball fans in 16 different regions of the U.S. What is the market segmentation strategy?
Answer:
The answer is 'One product and multiple market segments'
Explanation:
The market segmentation strategy here is One product and multiple market segments.
The product is one product(the magazine story) and this one product (same story) covers 16 different regions of the U.S i.e the same product is selling in 17 market segments.
The advantage of this strategy is that it helps to avoid the additional costs of developing and producing additional versions of the product.
A new company plans to lose money for the first 5 years of its existence. They think they will lose $4,000,000 in year 1 and the losses are expected to decrease by $150,000 per year for the next three years. At 8% MARR what is the Annual Worth of their losses
Answer:
The answer is $3,789.363
Explanation:
Solution
Given that:
For the first 5 years of functioning, a new company plans to lose money.
In the first year they think they will lose money of the amount = $4,000,000
The expected decrease (losses) is =$150,000 (next three years)
MARR = 8%
Now
We find the annual worth losses which is given below:
Annual worth = $4,000,000 - $150,000(A/G, 8%, 4)
(A/G,i, N) = 1/i - N/(1 +i)^N -1
= 1/0.08 - 4/(1 + 0.08)^4 -1
= 12.5 -4/1.360488961 -1
=12.5 - 11.09606977
=1.40425
Thus,
AW = $4,000,000 - $150,000 ( 1.40425)
AW = $4,000,000 -$210637.5
AW = $3,789. 363
Therefore, the annual worth pf their losses is $3,789.363
Suppose that you are the manager and sole owner of a highly leveraged company. All the debt will mature in one year. If at that time the value of the company is greater than the face value of the debt, you will pay off the debt. If the value of the company is less than the face value of the debt, you will declare bankruptcy and the debt holders will own the company.
a) Express your position as an option on the value of the company.
b) Express the position of the debt holders in terms of options on the value of the company.
c) What can you do to increase the value of your position?
Answer:
From my position as an option on the value of the company, the stance or view of the owner is a call option on value of company strike face of debt
Secondly, debt holders have systematically sold a put option value of company strike at face of debt.
Now, to be able to increase or raise the value call option it includes he following, In making sure to raise the value of the company, To boost the unpredictability of the company.
Explanation:
Solution
(a) The position of the owner is a call option on value of company strike at face of debt
(b)The debt holders have efficiently sold a put option on value of company strike at face of debt.
(c) To be able to increase the value option call the following are listed below:
Endeavor or make sure to raise the value of the companyBoost the volatility of the company.Under the First Amendment, commercial speech is:
a. subject to intermediate scrutiny unlike political speech.
b. completely suppressed regardless of it being misleading or truthful.
c. subject to strict scrutiny just like political speech.
d. completely unregulated unless it is put in writing.
Answer:
The correct answer is the option A: subject to intermediate scrutiny unlike political speech.
Explanation:
On the one hand, the First Amendment to the United States Constitution is the law that basically protects the rights of the people to have a free speech and moreover, establishes that the government can not intervene in an establishment of religion and prohibits the free exercise of religion.
On the other hand, the Commercial Speech under the First Amendment is seen as a particular case of speech due to the fact that this one can be harmful for the people and therefore can be fraudulent to them and in order to prevent that from happening the First Amendment does not protect so much the commercial speech and this last one is far more regulate it by the government than political speech.
Dolan Company's accounting records reflect the following inventories:
Dec.31, 2013 Dec.31, 2012
Raw materials inventory $310,000 $260,000
Work in process inventory 300,000 160,000
Finished goods inventory 190,000 150,000
During 2013, $600,000 of raw materials were purchased, direct labor costs amounted to $500,000, and manufacturing overhead incurred was $480,000.
Dolan Company's total manufacturing costs incurred in 2013 amounted to________.
Answer:
cost of goods manufactured= $1,770,000
Explanation:
Giving the following information:
Dec.31, 2013 Dec.31, 2012
Raw materials inventory $310,000 $260,000
Work in process inventory 300,000 160,000
During 2013, $600,000 of raw materials were purchased, direct labor costs amounted to $500,000, and manufacturing overhead incurred was $480,000.
To calculate the cost of goods manufactured, we need to use the following formula:
cost of goods manufactured= beginning WIP + direct materials used + direct labor + allocated manufacturing overhead - Ending WIP
cost of goods manufactured= 300,000 + (310,000 + 600,000 - 260,000) + 500,000 + 480,000 - 160,000
cost of goods manufactured= $1,770,000
LeBron James (LBJ) Corporation agrees on January 1, 2020, to lease equipment from Wildhorse, Inc. for 3 years. The lease calls for annual lease payments of $21,000 at the beginning of each year. The lease does not transfer ownership, nor does it contain a bargain purchase option, and is not a specialized asset. In addition, the useful life of the equipment is 10 years, and the present value of the lease payments is less than 90% of the fair value of the equipment. This lease is properly classified as an operating lease. The credit to Lease Liability on December 31, 2020 is ________.
Answer:
interest expense 4,881.08 debit
lease liability 4,881.08 credit
Explanation:
We solve for the present value of the lease payment and with that we solve forthe interest accrued during the period which will be interest expense debit and lease liability credit.
[tex]C \times \frac{1-(1+r)^{-time} }{rate} = PV\\[/tex]
C 21,300
time 3
rate 0.06
[tex]21300 \times \frac{1-(1+0.06)^{-3} }{0.06} = PV\\[/tex]
PV $60,351.2638
lease: +60,351.26
less: 21,000.00 payment
81,351.26 before interest
interest over the year 81,351.26 x 0.06 = 4,881.08
Missing Information: 6% implicit rate