Answer:
Control
Explanation:
Control in management as well as organization is very essential, it is very crucial for organization to achieve their goals. Control helps in the area of taking corrective measures whenever the needs arrises. It involves using technical as well as physical method in regulation of activities within an organization which will later reduces risk. It should be noted that control is
used to describe a technical, physical, or administrative process designed to reduce risk.
When new facilities are built and operated overseas that require large investment of capital because these new establishments are tailored to the exact needs of the home country firm, it is called a(n) _____.
a. exporting.b. subsidiary.c. strategic alliance.d. multinational enterprise.e. foreign acquisition.
Answer:
b. subsidiary
Explanation:
Subsidiaries are companies that belong to a larger parent company. They are usually established overseas as an extension of the parent company's operations.
Parent companies of the subsidiaries hold controlling interest in stock, therefore they tailor the subsidiaries to their exact needs.
When there is a 100% ownership by the parent company it is called a wholly owned subsidiary
Your parents will retire in 27 years. They currently have $280,000 saved, and they think they will need $1,900,000 at retirement. What annual interest rate must they earn to reach their goal, assuming they don't save any additional funds? Round your answer to two decimal places.
Answer:
Annual Rate=7.35%
Explanation:
Calculation for the annual interest rate must they earn to reach their goal
Number of years =27
PV =280,000
FV =1,900,000
Using this formula
Annual Rate=(FV/PV)^(1/n)-1
Let plug in the formula
Annual Rate=(1,900,000/280,000)^(1/27)-1
Annual Rate=6.7857^(1/27)-1
Annual Rate=1.07349-1
Annual Rate=0.0735
Annual Rate=7.35%
Therefore the annual interest rate must they earn to reach their goal will be 7.35%
During 2021, Blossom Company purchased the net assets of Ayayai Corporation for $2178000. On the date of the transaction, Ayayai had $594000 of liabilities. The fair value of Ayayai's assets when acquired were as follows: Current assets $1069200 Noncurrent assets 2494800 $3564000 How should the $792000 difference between the fair value of the net assets acquired ($2970000) and the cost ($2178000) be accounted for by Blossom
Answer:
When the purchase price is lower than the fair market value, accountants generally refer to this as negative goodwill. All negative goodwill must be reported as a gain.
the net fair market value of assets = $1,069,200 + $2,494,800 - $594,000 = $2,970,000
gain = fair market value - purchase price = $2,970,000 - $2,178,000 = $792,000
Another way to refer to this type of situation is a bargain purchase.
Joe Jones, Inc. has a beta of .85. The risk-free rate is 5% and the expected rate of return on the market portfolio is 10%. a. Compute the required return for Joe Jones using the security market line (SML) equation.
Answer: 9.25%
Explanation:
Risk free rate, Rf = 5% = 0.05
We then subtract the risk free rate of 5% from the expected date of return on market portfolio of 10%. This will be:
= 10% - 5% = 5%
Beta = 0.85
Required return will now be:
= Rf + (Rm-Rf) x Beta
= 5% + (5% × 0.85)
= 5% + 4.25%
= 9.25%
A year after buying her car, Anita has been offered a job in Europe. Her car loan is for $27,000 at a 6% nominal interest rate for 48 months. If she can sell the car for $20,000, how much does she get to keep after paying off the loan
Answer:
Instead of keeping a balance she would rather need to pay the remaining mortgage balance of $843.51
Explanation:
The first task here is to compute the monthly payment of the car loan using the formula below:
PMT=P(r/n)/1-(1+r/n)^(-nt)
P=loan amount= $27,000
r=interest rate=6 %
n=number of monthly payments in a year=12
t= duration of loan=4 years ( 48/12)
PMT=27000*(6%/12)/(1-(1+6%/12)^(-4*12)
PMT=27000*(6%/12)/(1-(1+6%/12)^(-48)
PMT=27000*(6%/12)/(1-(1.005)^-48
PMT=135 /(1-0.787098411 )
PMT=634.10
The balance of the loan after one year is the present value of the remaining 36 monthly payments as computed thus:
PV=monthly payment*(1-(1+r)^-n/r
monthly payment=634.10
r=monthly interest rate=6%/12=0.5%
n=number of monthly payments left=36
PV=634.10*(1-(1+0.5%)^-36/0.5%
PV=634.10*(1-0.835644919 )/0.5%
pv=$20,843.51
balance left after paying the loan=$20,000-$20,843.51 =-$843.51
The following assets in Jack’s business were sold in 2020: Asset Holding Period Gain/(Loss) Office equipment 6 years $1,100 Automobile 8 months ($ 800) ABC stock (capital asset) 2 years $1,400 Office equipment, purchased for $8,000, had a zero adjusted basis. The automobile was purchased for $2,000 and sold for $1,200. The ABC stock was purchased for $1,800 and sold for $3,200. In 2020 (the year of sale), Jack should report what amount of net capital gain and net ordinary income?
Answer:
Net capital gain = $1,400
Net ordinary income = $300
Explanation:
Long term Capital gain = $1,400 from sale of stock since it was hold for 2 years (more than 1 year)
Ordinary gain = $1,100 - $800 = $300 since automobile was 6 months old and equipment had zero basis
Exercise 6-4A Calculate inventory amounts when costs are rising (LO6-3) [The following information applies to the questions displayed below.] During the year, TRC Corporation has the following inventory transactions. Date Transaction Number of Units Unit Cost Total Cost Jan. 1 Beginning inventory 45 $ 37 $ 1,665 Apr. 7 Purchase 125 39 4,875 Jul. 16 Purchase 195 42 8,190 Oct. 6 Purchase 105 43 4,515 470 $ 19,245
Answer:
1. Ending inventory = $2,408; Cost of goods sold = $16,837; Sales revenue = $22,770; and Gross profit = $5,933.
2. Ending inventory = $2,094; Cost of goods sold = $17,151; Sales revenue = $22,770; and Gross profit = $5,619.
3. Ending inventory = $2,293; Cost of goods sold = $16,952; Sales revenue = $22,770; and Gross profit = $5,818.
Explanation:
Note: This question is not complete. The complete question is therefore presented before answering the question. See the attached pdf file for the complete question.
Explanation to the answer is now presented as follows:
1. Using FIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit.
Note: See part 1 of the attached excel for the calculation of calculation of Cost of goods available for sale, Cost of goods sold, and Ending inventory using FIFO.
First In, First Out (FIFO) refers to an inventory accounting method in which inventory items purchased first are sold first, while the one that are purchased last are sold last.
In the attached excel file, since the inventory purchased on Oct. 6 is purchased last, the number of unit of inventory purchased on Oct. 6 sold is calculated by deducting the sum of the beginning inventory and inventory purchased before Oct. 6 from the total inventory sold as follows:
Number of unit of inventory purchased on Oct. 6 that are sold = Number of units sold - (Beginning inventory + Apr. 7 Purchases + Jul. 16 Purchases) = 414 - (45 + 125 + 195) = 49
Therefore, the number of ending inventory is obtained as follows:
Number of unit of ending inventory = Number of inventory purchased on Oct. 6 - Number of inventory purchased on Oct. 6 sold = 105 – 49 = 56
Sales revenue = Number of unit units of inventory sold for the entire year * Selling price per unit = 414 * $55 = $22,770
From the attached excel file, we have:
Cost of goods sold = $16,837
Ending inventory = $2,408
Therefore, we have:
Gross profit = Sales revenue - Cost of goods sold = $22,770 - $16,837 = $5,933
2. Using LIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit.
Note: See part 2 of the attached excel for the calculation of calculation of Cost of goods available for sale, Cost of goods sold, and Ending inventory using LIFO.
Last In, First Out (LIFO) refers to an inventory accounting method in which inventory items purchased last are sold first, while the one that are purchased first are sold last.
In the attached excel file, the number of unit of inventory purchased on April 7 that are sold and the ones remaining that are NOT sold that forms part of ending inventory are calculated as follows:
Number of unit of inventory purchased on April 7 that are sold = 414 – (195 + 105) = 114
Number of unit of inventory purchased on April 7 that are NOT sold = Number of unit of inventory purchased on April 7 - Number of unit of inventory purchased on April 7 that are sold = 125 – 114 = 11
Sales revenue = Number of unit units of inventory sold for the entire year * Selling price per unit = 414 * $55 = $22,770
From the attached excel file, we have:
Cost of goods sold = $17,151
Ending inventory = $2,094
Therefore, we have:
Gross profit = Sales revenue - Cost of goods sold = $22,770 - $17,151 = $5,619
3. Using weighted average cost, calculate ending inventory, cost of goods sold, sales revenue, and gross profit. (Round "Average Cost per unit" to 4 decimal places and all other answers to the nearest whole number.)
Note: See part 3 of the attached excel for the calculation of calculation of Cost of goods available for sale, Cost of goods sold, and Ending inventory using weighted average cost.
Weighted average cost method refers to a method of costing inventory in which the total cost of the goods available for sale is divided by the total number of units available for sales in order to obtain weighted average cost per unit.
In the attached excel file, weighted average cost per unit is therefore calculated and rounded to 4 decimal places as follows:
Weighted average cost per unit = $19,245 / 470 = $40.9468
Number of unit of ending inventory = Total number of units available for sales – Number of unit sold = 470 – 414 = 56
Sales revenue = Number of unit units of inventory sold for the entire year * Selling price per unit = 414 * $55 = $22,770
From the attached excel file, we have:
Cost of goods sold = $16,952
Ending inventory = $2,293
Therefore, we have:
Gross profit = Sales revenue - Cost of goods sold = $22,770 - $16,952 = $5,818
Penguin LLC operates a large apparel store with several employees and substantial debt. Each LLC member is active in the business and receives compensation from the LLC. The LLC invests its excess cash in government and corporate bonds, blue chip stocks, and a global mutual fund. It owns property that is subject to accelerated depreciation. What types of information must Penguin accumulate and report on its Schedule K
Answer:
Penguin LLC
The types of information that Penguin LLC must accumulate and report on its Schedule K include information on each partner's income, losses, deductions, credits, dividends received from other investments. Penguin LLC is expected to submit this schedule with the detailed information as specified while each business partner in Penguin LLC, a partnership or S corporation collaborates the information by filling their own K-1.
Explanation:
The purpose of Schedule K and K-1 is to report each partner's share of the partnership's earnings, losses, deductions, and credits to the US Internal Revenue Service.
CDB stock is currently priced at $85. The company will pay a dividend of $5.69 next year and investors require a return of 11.6 percent on similar stocks. What is the dividend growth rate on this stock?
Answer:
4.91%
Explanation:
CDB stock is currently priced at $85
The company will pay a dividend of $5.69
The required return is 11.6%
There for the dividend growth rate on this stock can be calculated as follows
11.6/100= (5.69/85) + growth rate
0.116= 0.0669 + growth rate
0.116 - 0.0669 = growth rate
0.0491 × 100 = growth rate
Growth rate = 4.91%
Elbert uses FedEx in a scheme to defraud Global Sales Company by obtaining merchandise to which he is not entitled. Found guilty of mail fraud, Elbert can be punished by a. imprisonment for up to five years and fines of up to $1,000. b. imprisonment for up to fifty years. c. none of the choices. d. fines up to $5 million.
Answer: None for the choices
Explanation:
Mail fraud is a crime when an individual has the intention to defraud someone or a firm through mail by sending something that has to do with fraud.
From the question, we are told that Elbert uses FedEx in a scheme to defraud Global Sales Company by obtaining merchandise to which he is not entitled. The punishment for mail fraud in this case will be imprisonment for up to twenty years and/or fines.
None of the options given in the question is the right answer.
Answer:
a. imprisonment for up to five years and fines of up to $1,000
Explanation:
Mail fraud occurs when an entity decides to defraud another person by taking wrongful ownership of property that is not theirs. This is done by use of mails, by phone, or online.
For example if a person convinces another under false pretense to transfer funds using a post office, it is categorised as mail fraud. If it occurs accross state lines the Federal Government can take jurisdiction of the case.
This type of fraud attracts imprisonment for up to five years and fines of up to $1,000
Crador Corp. uses a process costing system in which direct materials are added at the beginning of the process and conversion costs are incurred uniformly throughout the process. Beginning inventory for January consisted of 1,100 units. 14,000 units were started into the process during January. On January 31, the inventory consisted of 800 units. Equivalent units for conversion costs were 14,800. What percentage complete was the ending inventory with respect to conversion costs on January 31 using the weighted-average method
Answer: 62.5%
Explanation:
Equivalent units = Units completed and transferred out + percentage completed of ending inventory
14,800 = (1,100 + 14,000 - 800) + Percentage
14,800 = 14,300 + Percentage amount completed
Percentage amount completed = 14,800 - 14,300
Percentage amount completed = 500 units
Percentage = Ending equivalent units / ending inventory
= (500/800) * 100
= 62.5%
Pauley Company needs to determine a markup for a new product. Pauley expects to sell 22,000 units and wants a target profit of $16 per unit. Additional information is as follows: Variable product cost per unit $ 18 Variable administrative cost per unit 13 Total fixed overhead 20,500 Total fixed administrative 36,700 Using the variable cost method, what markup percentage to variable cost should be used
Answer:
variable markup % = 60%
Explanation:
total units sold 22,000
total costs associated with selling the 22,000 units:
variable production costs $18 x 22,000 = $396,000
variable S&A costs $13 x 22,000 = $286,000
fixed overhead = $20,500
fixed S&A = $36,700
total costs = $739,200
total cost per unit = $33.60
selling price = $33.60 + $16 = $49.60
markup percentage = [(sales price - unit cost) / unit cost] x 100
the total markup % = [49.60 - 33.60) / 33.60] x 100 = 47.62%
but since we are going to calculate the markup percentage solely based on variable costs, then:
variable cost per unit = $31
selling price = $49.60
the variable markup % = [49.60 - 31) / 31] x 100 = 60%
On January 1, 2016, Brian's stock portfolio is worth $100,000. On September 30, 2016, $5,000 is withdrawn from the portfolio, and immediately after this withdrawal the portfolio has a value of $105,000. Twelve months later, the value of the portfolio is $108,000, and Brian adds $3,000 worth of stock to his portfolio. On December 31, 2017, the portfolio is worth $100,000. What is the time-weighted rate of return for Brian's stock portfolio over the two year period
Answer:
1.93%
Explanation:
The time weighted rate of return will be computed by combining the return at every time period demarcated by a withdrawal/addition.
Time 1: Jan 1, 2016 to Sep 30, 2016
start value = 100,000; end value = (105,000+5,000) = 110,000
Return = [tex]\frac{110,000}{100,000}=1.1[/tex]
Time 2: Sep 30, 2016 to Sep 30, 2017
start value = 105,000; end value = 108,000
Return = [tex]\frac{108,000}{105,000}=1.028571[/tex]
Time 3: Sep 30, 2017 to Dec 31, 2017
start value = (108,000 + 3,000) = 111,000; end value = 100,000
Return = [tex]\frac{100,000}{111,000}=0.900901[/tex].
Therefore, time weighted return
= (1.1 * 1.028571 * 0.900901) - 1
= 0.019305
= 1.93%.
How do prevention and resistance technologies stop intruders from accessing and reading sensitive information?A) Content filtering,encryption,and firewallsB) Calculating,locking,and firewallsC) Content prohibiting,and cookiesD) None of the above
Answer: A. Content filtering, encryption and firewalls.
Explanation:
Due to fraud and other security challenges, prevention and resistance technologies are important in order to help computer and internet users to protect their informations.
Ways to achieve this include content filtering, encryption and firewalls. Content filtering is when the access to a particular web content is restricted. Encryption has to do with the translation of data into another form so that it won't be accessible to anyone without the password. Firewall is also done on order to curb unauthorized access.
"Should Dillard's keep its excellent department store credit card program? ______ Yes ______ No" is an example of _____.
Answer:
The answer is "making assumptions"
Explanation:
The making assumption is determined if it can't be provided to claim which is not confirmed unless the argument is one, which you or the writer could show if they tried, users must decide. It requires as a considering as thinks about both the subject so on that basis evaluating the statement.
It is the one way the mind saves power becomes to find patterns in how the environment functions, that draw from our previous history. It adopts such trends, or beliefs, to the current world when we experience new circumstances. Its approach saves us the power to evaluate the condition entirely fresh.Make way for India - the next China China grows at around 9 percent a year, but its one-child policy will start to reduce the size of China's working-age population within the next 10 years. India, by contrast, will have an increasing working-age population for another generation at least. Then answer the following questions: According to classical growth theory, restricting China's population ______ economic growth. According to new growth theory, restricting China's population growth ______ economic growth.
Answer:
The answer is "India and increases".
Explanation:
Since its working-age population is rising, India will have a higher economic growth rate, and according to traditional thinking, restricting China's people would boost economic growth.
The modernization theory includes reducing population growth in China would reduce economic growth. In India, real GDP per person has a growth of 8-1.6 = 6.4% as well as that of China is 9-0.6 = 8.4% in 2005. In India, the doubling time is 70/6.4% = 11 years or 2016 and in China, 8.33 or 2014.During 20x1, Orca Corp. decided to change from the FIFO method of inventory valuation to the weighted-average method. Inventory balances under each method were as follows:________.
FIFO Weighted-average
January 1, 20x1 $71,000 $77,000
December 31, 20x1 $79,000 $83,000
Orca's income tax rate is 30%.
In its 2005 financial statements, what amount should Orca report as the cumulative effect of this accounting change?
a) $2,800
b) $4,000
c) $4,200
d) $6,000
Answer:
Orca Corp.
The cumulative effect of this accounting change in estimate is:
That the cost of goods sold will be reduced by:
b) $4,000
Explanation:
a) Data and Calculations:
FIFO Weighted-average Difference
January 1, 20x1 $71,000 $77,000 $6,000
December 31, 20x1 $79,000 $83,000 $4,000
Orca's income tax rate is 30%.
Note that the difference in the cost of the beginning inventory does not have any effect in the current period's financials. It was an estimate that was done previously and Orca does not need to restate its financials for the previous year because of the change. The accounting change only affects the current period.
Lambda Computer Products competed for and won a contract to produce two prototype units of a new type of computer that is based on laser optics rather than on electronic binary bits. The first unit produced by Lambda took 5,000 hours to produce and required $250,000 worth of material, equipment usage, and supplies. The second unit took 4,250 hours and used $237,500 worth of materials, equipment usage, and supplies. Labor is $20 per hour. Use Exhibit 6.5. a. Lambda was asked to present a bid for 10 additional units as soon as the second unit was completed. Production would start immediately. What would this bid be
Answer:
$2,731,672.50
Explanation:
first unit produced by lambda took 5,000 hours to produce and required $250,000 worth of material, equipment usage, and supplies
the second unit took 4,250 hours and used $238,500 worth of materials, equipment usage, and supplies
learning rate = time needed to produce second unit / time needed to produce first unit = 4,250 hours / 5,000 hours = 85%
materials and equipment usage rate = $237,500 / $250,000 = 95%
using the attached table of cumulative values, we can determine the cumulative improvement factors needed to solve this question:
Lambda's accumulated cost for producing 10 more computers
work hours = 4,250 x 7.116 (85% and 10 units) x $20 per hour = $604,860materials and equipment = $238,500 x 8.955 (95% and 10 units) = $2,126,812.50total = $604,860 + $2,126,812.50 = $2,731,672.50a. How much would you pay for a Treasury bill that matures in 182 days and pays $10,000 if you require a 1.8% discount rate?
b. If the Treasury also received $750 million in non-competitive bids, who will receive T-bills, in what quantity, and at what price?
Answer: $9909
Explanation:
Let the amount that will be paid be represented by y. The question can now be solved as:
(10000 - y)/10000 × 360/182 = 0.018
(10000-y)/10000 = 0.018 × 182/360
(10000 - y)/10000 = 0.0091
10000-y = 0.0091 × 10000
10000 - y = 91
y = 10000 - 91
y = $9909
France and England both produce wine and cloth with constant opportunity costs. France can produce 150 barrels of wine if it produces no cloth or 100 bolts of cloth if it produces no wine. England can produce 50 barrels of wine if it produces no cloth or 100 bolts of cloth if it produces no wine. We can conclude that France produces ________ units of wine and ________ units of cloth and that France consumes ________ units of wine and ________ units of cloth.
a.150; 100; 100; 100
b.150; 0; 100; 50
c.150; 0; 50; 50
d. 0; 100; 50; 50
Answer: B)150; 0; 100; 50
Explanation:
Based on the information that has been provided in the question, for France to produce a barrel of wine, it'll have an opportunity cost of:
= 100/150 = 0.67 bolts of clothes
For England to produce a barrel of wine, the opportunity cost will be:
= 150/50 = 3 bolts of clothes
Based on the explanation, France has a comparative advantage in wine making as its opportunity cost is lower than that of England.
For France to produce a bolt of cloth, the opportunity cost will be:
= 150/100 = 1.5 barrel of wine
For England to produce a bolt of cloth, the opportunity cost will be:
= 50/150 = 0.33 barrel of wine
Here, England has a comparative advantage in cloth production as its opportunity cost is lower than that of France.
Therefore, we can conclude that France produces 150 units of wine and
0 units of cloth and that France consumes 100 units of wine and 50 units of cloth.
"Sippy was thinking of buying Christich’s house. Henoticed watermarks on the ceiling, but the agentshowing the house stated that the roof had beenrepaired and was in good condition. Sippy was nottold that the roof still leaked and that the repairs hadnot been able to stop the leaking. Sippy bought thehouse. Some time later, heavy rains caused water toleak into the house, and Sippy claimed that Christichwas liable for damages. What theory would he relyon? Decide. [Sippy v. Christich, 609 P.2d 204(Kan. App.)"
Answer: theory of active concealment
Explanation:
Active concealment is when an information that's meant to be shared to an individual is been hidden from such individual by the other party.
In this scenario, the agent intentionally refused giving Sippy the necessary information regarding the house as some facts were hidden.
Therefore, Sippy will rely on active concealment theory.
Jessica and Robert have two young children. They have $7,000 of qualified child care expenses and an AGI of $22,000 in 2019. What is their allowable child and dependent care credit considering their pre-credit tax liability
Answer:
$0
Explanation:
The computation of the their allowable child and dependent care credit is shown below:
In the case when the income is below $35,000 than full 35% would be allowed
But the qualified child expense would be limited to $6,000
So, here the amount would be
= $6,000 × 35%
= $1,860
Already there is a pre credit tax liability so $0 should be considered as it would not received any credit
A company has a pension liability of $460,000,000 that it must pay in 29 in years. If it can earn an annual interest rate of 4.2 percent, how much must it deposit today to fund this liability?
a. $133,883,255.09
b. $139,506.351.81
c. 44,08571.14
d. $11755.30770
e. $121423,867.90
Answer:
PV= $139,506,351.8
Explanation:
Giving the following information:
Future Value= $460,000,0000
Number of periods= 29 years
Interest rate= 4.2%
To calculate the initial investment, we need to use the following formula:
PV= FV / (1+i)^n
PV= 460,000,000 / (1.042^29)
PV= $139,506,351.8
The firm has just declared a dividend of $1.09 per share for the current fiscal year. The firm has earnings per share of $2.11, and 225,000 shares outstanding with a market price of $31.17 per share prior to the ex-dividend day. Ignore taxes. As a result of this dividend, the: A) the current dividend yield is 51.66% B) retained earnings will increase by $245,250. C) the current dividend payout ratio is 3.497% D) earnings per share will increase to $3.20. E) price-earnings ratio will be 14.26 ex-dividend.
Answer: E) price-earnings ratio will be 14.26 ex-dividend.
Explanation:
Stock prices generally decrease in price by the price of the dividend on ex-dividend date.
This means that this stock will reduce to:
= 31.17 - 1.09
= $30.08
Price to Earnings ratio = Stock price/ Earnings per share
= 30.08/2.11
= $14.26
Option E is correct.
paid to acquire , a weekly advertising paper. At the time of the acquisition, 's balance sheet reported total assets of and liabilities of . The fair market value of 's assets was . The fair market value of 's liabilities was . Read the requirementsLOADING.... Requirement 1. How much goodwill did purchase as part of the acquisition of ? Purchase price to acquire Mesa Herald Market value of Mesa Herald's assets Less: Market value of Mesa Herald's liabilities Less: Market value of Mesa Herald's net assets
Full question attached
Answer and Explanation:
A. Given that Thrifty Nickels Assets fair value and liabilities are given by $100000 and $70000 respectively(we do not use the book value in calculating goodwill here) and Acquisition value is $230000
Goodwill = purchase price -net assets
Since we know purchase price =$230000
We calculate net assets= total assets -total liabilities
Total assets =$100000
Total liabilities =$70000
Net assets=$100000-$70000=$30000
We substitute in goodwill formula
Goodwill=$230000-$30000=$200000
Therefore goodwill =$200000
B. We journalize entries for the acquisition in Deca's books as follows :
Debit Assets $100000
Debit Goodwill $200000
Credit liabilities $70000
Credit cash $230000
We debit assets since it received and increased by $100000,we debit goodwill since it also received and increased by $200000. We credit liabilities since it also increased by $70000 from the acquisition (liabilities accounts are credited). Cash was spent and therefore is credited since it reduced by $230000
For an effective frame, the primary business message should be approximately ______ words in length.
Answer:
10 to 15
Explanation:
Business messaging in accounting can be described as a set of channels that provide means by which the firms/ company and the consumer can have effective communication.
The primary business message is very essential in business, it must reflect clarity as well as simplicity, it enables company to pass their overarching information to the consumer, they are intentional content. In a situation whereby operations in a company needed relocation, primary message is passed. It should be noted that For an effective frame, the primary business message should be approximately 10 to 15 words in length.
Hello!
For an effective frame, the primary business message should be approximately 10 to 15 words in length.
Clark Company estimated the net realizable value of its accounts receivable as of December 31, 2019, to be $167,000, based on an aging schedule of accounts receivable. Clark has also provided the following information: The accounts receivable balance on December 31, 2019 was $177,400. Uncollectible accounts receivable written off during 2019 totaled $12,200. The allowance for doubtful accounts balance on January 1, 2019 was $15,400. How much is Clark's 2019 bad debt expense
Answer: $7200
Explanation:
Clark's 2019 bad debt expense will be calculated thus:
Balance for allowance for doubtful accounts will be:
= $177400 - $167000
= $10400
The Uncollectible accounts written off will be:
= $15400 - $12200
= $3200
Clark's 2019 bad debt expense:
= $10400 - $3200
= $7200
Answer:
sry need to answer (points) :(
Explanation:
Ford Motor Company has issued 8% convertible debentures, convertible at a 25:1 ratio. Currently the debenture is trading at 110. The stock is trading at 38. What is the conversion price of the stock
Answer:
40
Explanation:
Calculation for the conversion price
Based on the information given we were told that the company's convertible ratio is 25:1 which simply means that 1,000 par will be divided by the covertible ratio .
Hence,
Conversion price of the stock = 1,000/25
Conversion price of the stock = 40
Therefore the Conversion price of the stock will be 40
Given the following data: Selling price per unit $ 2.00 Variable production cost per unit $ 0.30 Fixed production cost $ 3,000 Sales commission per unit $ 0.20 Fixed selling expenses $ 1,500 The break-even point in dollars is:
Answer:
Break-even point (dollars)= $6,000
Explanation:
Giving the following information:
Selling price per unit $ 2.00
Variable production cost per unit $ 0.30
Fixed production cost $ 3,000
Sales commission per unit $ 0.20
Fixed selling expenses $ 1,500
To calculate the break-even point in dollars, we need to use the following formula:
Break-even point (dollars)= fixed costs/ contribution margin ratio
Fixed costs= 3,000 + 1,500= 4,500
Unitary variable cost= 0.3 + 0.2= $0.5
Break-even point (dollars)= 4,500 / [(2 - 0.5) / 2]
Break-even point (dollars)= $6,000
A machine with a cost of $150,000 and accumulated depreciation of $95,000 is sold for $70,000 cash. The amount that should be reported in the operating activities section reported under the direct method is:
Answer:
$0
Explanation:
The operating activities section of the cash flow statement under the direct method records the cash receipts with regard to sale of the products and the cash payments with regard to expenses
Therefore in the given case, it would be $0 as there is no transaction occured that should be reported in the operating activities section of the cash flow statement
The same is to be considered