You want to buy a car, and a local bank will lend you $20,000. The loan will be fully amortized over 5 years (60 months), and nominal annual interest rate will be 6%. What will be the monthly loan payment?

Answers

Answer 1

Answer:

Monthly installment= $168.77

Explanation:

Loan amortization is a loan repayment arrangement where a loan is repaid using a series of equal installments over the years of the loan. Each installment covers the interest due and a portion of the principal balance

The monthly installment = Loan amount/monthly annuity factor

Annuity factor = (1 - (1+r)^(-n))/r)

r - monthly interest rate, n- number of months

Monthly interest rate = 6%/12= 0.5%

Number of months = 15× 12 = 180

Annuity factor = ( 1-(1.005)^(-180))/0.005

= 118.50

Monthly installment = 20,000/168.771

= $168.77

Answer:

Monthly installment= $168.77


Related Questions

Dansko Integrated Balance Sheet As of January 24, 2020 (amounts in thousands) Cash 9,900 Accounts Payable 2,700 Accounts Receivable 4,500 Debt 3,500 Inventory 3,800 Other Liabilities 1,000 Property Plant & Equipment 16,800 Total Liabilities 7,200 Other Assets 1,600 Paid-In Capital 8,000 Retained Earnings 21,400 Total Equity 29,400 Total Assets 36,600 Total Liabilities & Equity 36,600 Record the transactions in a journal, transfer the journal entries to T-accounts, compute closing amounts for the T-accounts, and construct a balance sheet to answer the question. Jan 25. Pay $4,000 owed to a supplier Jan 26. Issue $90,000 in stock Jan 27. Buy $16,000 worth of manufacturing supplies on credit Jan 28. Purchase equipment for $49,000 in cash Jan 29. Borrow $65,000 from a bank What is the final amount in Total Equity?

Answers

Answer:

What is the final amount in Total Equity?

$119,400

Explanation:

January's balance:

Paid-In Capital 8,000

Retained Earnings 21,400

Total Equity 29,400

Jan 25. Pay $4,000 owed to a supplier

Dr Accounts payable 4,000

    Cr Cash 4,000

Jan 26. Issue $90,000 in stock

Dr Cash 90,000

    Cr Paid in capital 90,000

Jan 27. Buy $16,000 worth of manufacturing supplies on credit

Dr Inventory 16,000

    Cr Accounts payable 16,000

Jan 28. Purchase equipment for $49,000 in cash

Dr Equipment 49,000

    Cr Cash 49,000

Jan 29. Borrow $65,000 from a bank

Dr Cash 65,000

    Cr Debt 65,000

         Dansko Integrated

               Balance Sheet

For the Month Ended January 31, 202x

Assets:

Cash $111,900

Accounts Receivable $4,500

Inventory $19,800

Property Plant & Equipment $65,800

Other Assets $1,600

Total Assets $203,600

Liabilities and equity:

Liabilities:

Accounts Payable $14,700

Debt $68,500

Other Liabilities $1,000

Total Liabilities $84,200

Equity:

Paid-In Capital $98,000

Retained Earnings $21,400

Total Equity $119,400

Total Liabilities & Equity $203,600

The following are selected 2017 transactions of Sean Astin Corporation.
Sept. 1 Purchased inventory from Encrino Company on account for $50,000. Astin records purchases gross and uses a periodic inventory system.
Oct. 1 Issued a $50,000 12-month, 8% note to Encino in payment of account
Oct. 1 Borrowed $50,000 from the Shore Bank by signing a 12-month, zero-interest-bearing $54,000 note.
Instructions:
(A) Prepare journal entries for the selected transactions above
(B) Prepare adjusting entries at December 31
(C) Compute the total net liability to be reported on the December 31 balance sheet for: The interest-bearing note & the zero-interest-bearing note.

Answers

Answer and Explanation:

The Journal entries are shown below:-

A. a. Purchase Dr, $50,000

           To Accounts payable $50,000

(Being purchase of inventory is recorded)

b.Accounts payable Dr, $50,000

            To Notes payable $50,000

(Being issuance of notes is recorded)

c.Cash Dr, $50,000

  Discount on notes payable Dr, $4,000

             To Notes payable $54,000

(Being amount borrowed from bank and issued notes is recorded)

B. a. Interest expenses Dr, $1,000 ($50,000 × 8% × 3 ÷ 12)

            To Interest payable $1,000

(Being interest expenses is recorded)

b. Interest expenses Dr, $1,000 ($4,000 × 3 ÷ 12)

                 To Discount on notes payable $1,000

(Being interest expenses is recorded)

C. The Computation of interest-bearing note and the zero-interest-bearing note is shown below:-

Interest-bearing note = Note payable + Interest payable

= $50,000 + $1,000

= $51,000

Zero-interest-bearing note = Note payable - Discount

= $54,000 - ($4,000 - $1,000)

= $54,000 - $3,000

= $51,000

A. The journal entries is the 1st stage of the accounting process, it records the business transactions of monetary nature in a the order of its occurrence.

B. The adjusting entries are the type of journal entries prepared at the end of the financial period to record the amount of expenses and incomes not incurred in the current period.

C. Total net liabilities is $102,000.

Computation:

The journal entries of A and B are shown in the image attached below.

C.

[tex]\begin{aligned}\text{Interest Bearing Note}&=\text{Notes Payable+Interest Payable}\\&=\$50,000+\$1,000\\&=\$51,000\end{aligned}[/tex]

[tex]\begin{aligned}\text{Zero-Interest Bearing Note}&=\text{Notes Payable-Discount}\\&=\$54,000-(\$4,000-\$1,000)\\&=\$51,000\end{aligned}[/tex]

The sum of interest bearing note and zero interest bearing note will be the total amount of net liabilities.

To know more about journal entries, refer to the link:

https://brainly.com/question/17439126

The December 31, 2018, balance sheet of Whelan, Inc., showed $136,000 in the common stock account and $2,610,000 in the additional paid-in surplus account. The December 31, 2019, balance sheet showed $146,000 and $2,910,000 in the same two accounts, respectively. The company paid out $141,000 in cash dividends during 2019.


Required:

What was the cash flow to stockholders for the year?

Answers

Answer:

$169,000 negative

Explanation:

Equity = Common stock + Additional paid in surplus

Total equity at beginning= Common stock + Additional paid in surplus

=136,000+2,610,000=$2,746,000

Total equity at end= Common stock + Additional paid in surplus

=146,000+2,910,00)=$3,056,000

Hence new equity = Total equity at End - Total equity at beginning

3,056,000-2,746,000=$310,000

Cash flow to stockholders = Dividends paid - New equity

= 141,000-310,000

= -169,000

=$169,000 negative

A project that costs $2,000 to install will provide annual cash flows of $510 for the next 5 years. The firm accepts projects with payback periods of less than 4 years.

Required:
a. What is this project's payback period?
b. What is project NPV if the discount rate is 3%?
c. What is project NPV if the discount rate is 10%?

Answers

Answer:

3.92

NPV when I is 3% = $335.65

NPV when I is 10% = $-66.70

Explanation:

Pay back period is the amount of time it takes to recover the amount invested in a project to be recovered from the cumulative cash flows.

Payback period = amount invested / cash flow = $2000 / $510 = 3.92

Net present value is the present value of after tax cash flows from an investment less the amount invested.

NPV can be calculated using a financial calculator

Cash flow in year 0 = $-2000

Cash flow each year from year 1 to 5 = $510

NPV when I is 3% = $335.65

NPV when I is 10% = $-66.70

To find the NPV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

A manager invests $400,000 in a technology that should reduce the overall costs of production. The company managed to reduce their cost per unit from $2 to $1.85. After the investment has been made, the $400,000 investment is

Answers

Answer:

a. Considered sunk costs, not relevant in further decision making

Explanation:

the missing options are:

a. Considered sunk costs, not relevant in further decision making b. Considered sunk costs, but still relevant in further decision making c. Considered a loss d. Considered a profit

After the investment in new technology has been made, it will be considered a sunk cost, because they are no longer relevant or important when considering or evaluating future investments and projects. Sunk costs are expenses that have already been made and incurred, and cannot be recouped.

Answer the question on the basis of the given consolidated balance sheet of the commercial banking system. Assume that the reserve requirement is 20 percent. All figures are in billions.
Assets Liabilities & Net Worth
Reserves $200 Checkable Deposits $1,000
Securities 300 Stock Shares 400
Loans 500
Property 400
If the Fed increased the reserve requirement from 20 percent to 25 percent, a deficiency of reserves in the commercial banking system of _____ would occur and the monetary multiplier would fall to ____.
a. $50 billion; 5
b. $10 billion; 4
c. $50 billion; 4
d. $10 billion; 8

Answers

Answer:

If the Fed increased the reserve requirement from 20 percent to 25 percent, a deficiency of reserves in the commercial banking system of $50 billion would occur and the monetary multiplier would fall to 4. The right answer is c

Explanation:

In order to calculate the deficiency of reserves in the commercial banking system we would have to make the following calculation:

deficiency of reserves in the commercial banking system=New Reserves- Reserves

Reserves=Checkable Deposits*reserve requirement

Reserves=$1,000*20%

Reserves=$200 billion

New Reserves=Checkable Deposits*reserve requirement increase

New Reserves=$1,000*25%

New Reserves=$250 billion

Therefore, deficiency of reserves in the commercial banking system=$250 billion-$200 billion

deficiency of reserves in the commercial banking system= $50 billion

To calculate the monetary multiplier we would have to make the following calculation:

monetary multiplier=1/new reserve ratio

monetary multiplier=1/0.25

monetary multiplier=4

Therefore, If the Fed increased the reserve requirement from 20 percent to 25 percent, a deficiency of reserves in the commercial banking system of $50 billion would occur and the monetary multiplier would fall to 4

virginia has a financial responsibilty law this makes all registered motor vehicle owners responsible for any damage or personal they cause

Answers

Answer:

property, injury

Explanation:

The financial responsibility law refers to the law in which the businesses and individuals has to proof or make an assurance that they have sufficient money or assets for covering any damages that arise from an accident

Therefore in the given case, the owners of motor vehicles are responsible for any property damage or the personal injury they case  

Suppose a farmer is expecting that her crop of oranges will be ready for harvest and sale as 150,000150,000 pounds of orange juice in 33 months time. Suppose each orange juice futures contract is for 15,00015,000 pounds of orange juice, and the current futures price is F_0 = 118.65F 0 ​ =118.65 cents-per-pound. Assuming that the farmer has enough cash liquidity to fund any margin calls, what is the risk-free price that she can guarantee herself. Please submit your answer in cents-per-pound rounded to two decimal places. So for example, if your answer is 123.456123.456, then you should submit an answer of 123.47123.47. 1 point

Answers

Answer:

121.30

Explanation:

The future price guarantees the holder of the contract to trade a commodity at a predetermined price at a later date. The farmer has orange crops ready for sale amounting $150,000. The number of contracts required is 150,000 / 15,000 = 10 contracts.

The spot price is 118.65 cents per pound. The risk free price is the value at which farmer has agreed to sell its crops. The risk free future price will be (1 + spot price)^-time * number of contracts / time

= (1 + 118.65)^-33 * 10 / 33

= 121.30

The information related to interest expense of classic music, inc. is given below:
Net Income $265,000
Income tax expense 105,000
Interest expense 66,000
Based on the above data, which of the following is the times- interest- earned ratio? (round the final answer to two decimal places)
A) 6.61 times
B) 4.15 times
C) 5.02 times
D) 4.02 times

Answers

Answer:

The times- interest- earned ratio is 6.61 times. The right answer is A.

Explanation:

In order to calculate the times- interest- earned ratio we would have to make the following calculation:

times- interest- earned ratio=Income before interest and taxes/Interest expense

According to given data

Income before interest and taxes=Net Income+Income tax expense +Interest expense

Income before interest and taxes=$265,000+$105,000+$66,000

Income before interest and taxes=$436,000

Therefore, times- interest- earned ratio=$436,000/$66,000

times- interest- earned ratio= 6.61 times

On August 1, 2016, Rocket Retailers adopted a plan to discontinue its catalog sales division, which qualifies as a separate component of the business according to GAAP regarding discontinued operations. The disposal of the division was expected to be concluded by June 30, 2017. On January 31, 2017, Rocket's fiscal year-end, the following information relative to the discontinued division was accumulated: Operating loss February 1, 2016 – Jan. 31, 2017 $132,000 Estimated operating losses, Feb. 1 – June 30, 2017 84,000 Impairment of division assets at Jan. 31, 2017 25,000 In its income statement for the year ended January 31, 2017, Rocket would report a before-tax loss on discontinued operations of:

Answers

Answer:

before-tax loss on discontinued operations = $157,000

Explanation:

Operating loss February 1, 2016 - January 31, 2017, $132,000

Impairment of division assets at January 31, 2017, $25,000

Rocket retailers must report a before tax loss = $132,000 + $25,000 = $157,000

Since the income statement is presented on January 31, 2017, it can only include the loss incurred until that date. Any estimated future losses will be included in future income statements.

The table below shows the values for several different components of GDP.

Component Value (billions of dollars)
Consumer durables $1,329.0
Consumer nondurables 2,679.0
Services 8,112.3
Business fixed investment 2,850.0
Residential fixed investment 578.0
Inventories 93.3
Exports 2,352.3
Imports 2,901.5
Government purchases 3,189.3

Requried:
What is the value of total gross investment?

Answers

Answer:

$3,521.30

Explanation:

The computation of value of total gross investment is shown below:-

Total gross investment = Business fixed investment + Residential fixed investment + Inventories

= $2,850.0 + $578.0 + $93.3

= $3,521.30

Therefore for computing the total gross investment we simply applied the above formula and ignore all other values as they are not relevant.

31) Owen expects to receive $30,000 at the end of next year from a trust fund. If a bank loans money at an interest rate of 8.2%, how much money can he borrow from the bank on the basis of this information? A) $2460 B) $13,863 C) $27,726 D) $32,460

Answers

Answer:

c. $27,726

Explanation:

The money he can borrow using this information is

=30,000 /( 1+8.2%)

=30,000 / (1+0.082)

=30,000 / 1.082

=27726.432

=$27,726

Accounting software for small businesses has become so sophisticated that most small business owners will never need to consult with an actual accountant or understand accounting information themselves.

a. True
b. False

Answers

The answer is “false”

Jose has one evening in which to prepare for two exams and can employ one of two possible strategies: Strategy Score in Economics Score in Statistics 1 93 81 2 77 92 The opportunity cost of receiving a 93 on the economics exam is __________ points on the statistics exam. a. 11 b. 81 c. 15 d. 12

Answers

Answer:

b. 81

Explanation:

The opportunity cost refers to the cost in which we foregone the options among the available ones. In this we have to sacrificed to gain another thing. We called as a  real cost also

Since in the question it is given that the opportunity cost of receiving 93 on the economics exam would lead to 81 points on the statistics exam  

hence, the correct option is b. 81

The following data relate to direct labor costs for the current period: Standard costs 7,000 hours at $11.40 Actual costs 6,400 hours at $10.10 What is the direct labor rate variance

Answers

Answer:

Direct labor rate variance= $8,320 favorable

Explanation:

Giving the following information:

Standard costs 7,000 hours at $11.40 Actual costs 6,400 hours at $10.10

To calculate the direct labor rate variance, we need to use the following formula:

Direct labor rate variance= (Standard Rate - Actual Rate)*Actual Quantity

Direct labor rate variance= (11.4 - 10.1)*6,400

Direct labor rate variance= $8,320 favorable

There are 3 blanks for this homework problem I do not know how to do. The quesetions are bolded with blanks and question marks.

Weighted Average Method, Unit Costs, Valuing Inventories

Byford Inc. produces a product that passes through two processes. During November, equivalent units were calculated using the weighted average method:

Units completed 196,000
Add: Units in EWIP X Fraction complete (60,000 X 40%) 24,000
Equivalent units of output (weighted average) 220,000
Less: Units in BWIP X Fraction complete (50,000 X 70%) 35,000
Equivalent units of output (FIFO) 185,000
The costs that Byford had to account for during the month of November were as follows:

BWIP $107,000
Costs added 993,000
Total $1,100,000
Required:

1. Using the weighted average method, determine unit cost.

per unit ___________??

2. Under the weighted average method, what is the total cost of units transferred out? What is the cost assigned to units in ending inventory?

Cost of units transferred out _____________??
Cost of ending inventory______________??

Answers

Answer and Explanation:

1. The computation of unit cots is shown below:-

Unit cost = Total cost ÷ Equivalent units of output

Cost of per unit = $1,100,000 ÷ 220,000

= $5

2. The computation of the total cost of units transferred out and cost assigned to units in ending inventory is shown below:-

                              Transfer Out       EWIP           Total

Cost accounted for:    

Goods transfer Out

(196,000 x $5)            $980,000                          $980,000

Goods EWIP

(24,000 x $5)                  0               $120,000      $120,000

Total Cost                    $980,000   $120,000       $1,100,000

EWIP = Ending work in process

A capital investment evaluation method that measures the expected time for the present value of the net cash flows to equal the initial cost of the investment is the:

Answers

Answer:

The Payback Method.

Explanation:

The pay back period is the length of time required for the total cash flows to equal the initial capital investment.

Thus the Payback Method is the  investment evaluation method that measures the expected time for the present value of the net cash flows to equal the initial cost of the investment.

Answer:

The correct answer is: Net present value (NPV)

Explanation:

True or false: The plantwide overhead rate method uses multiple rates to allocate overhead costs to products.

Answers

Answer:

Flase.

Explanation:

The plantwide overhead rate method uses multiple rates to allocate overhead costs to products.

False.

As the name indicates, the plantwide overhead rate uses a single rate to allocate overhead. When the predetermined overhead rate is calculated using the activity base method, you have as many predetermined rates as activities.

To calculate a plant-wide overhead rate, you need to use the following formula:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

What is the 5 stage plan for productive meetings? - Why is this important and how will it improve the success of developing a charter? - What is an example of a meeting where you've had the same experience as the video?

Answers

Answer:

Answer:

The 5 stage plans for productive meeting :

1. Agenda of meeting : This is very important in every meeting , what we need to discuss , why this meeting is so important for everyone ,etc .

2. Attendees :We have to clear about the level of meeting and we need to be specific. The number of people in the meeting should not be too large if it is not necessary .

3. Short meeting :The time period of meeting should not be too large , because in the large meeting people are getting bored and did not show full concentration during the meeting.

4. Agenda orientation:Meeting should be under and proper agenda , meeting should be deviate from the goal.

5. Outcome from meeting:After completing the meeting , there should be a list of outcome from that meeting and need to apply .

Team Charter:

Team charter is very important tool for proper functioning of a team.It help the team to achieve a specific  target within the given time limit.Following are the reasons why team charter is so important.

1. Charter support

2. Define team target

3. Proper communications between team

4. Effective planning

5. Authority level

Video meeting:

Generally Skype is used for video meeting. When all the people are at different location , Skype used for online meeting.The cost of that meeting is not too high , so we can say that this is also a cost effective meeting.

Power Company issued a $ 1,000,000​, 5 %​, 10​-year bond payable at at face value on January​ 1, 2016. Requirements
1. Journalize the issuance of the bond payable on January​ 1, 2016.
2. Journalize the payment of semiannual interest on July​ 1, 2016. ​(Record debits​ first, then credits. Select explanations on the last line of the journal​ entry.)

Answers

Answer and Explanation:

The journal entries are shown below:

1. Cash Dr $1,000,000

         To Bond payable $1,000,000

(Being the issuance of the bond is recorded)

For recording this we debited the cash as it increased the assets and credited the bond payable as it also increased the liabilities

2. Interest Expense Dr ($1,000,000 × 5% × 1 ÷ 2) $25,000

             To Cash $25,000

(Being the interest expense is recorded)

For recording this we debited the interest expense as it increased the expense and credited the cash as it decreased the asset

Journalizing and posting an adjusting entry for office supplies

On November 1, Carlisle Equipment had a beginning balance in the Office Supplies account of $600. During the month, Carlisle purchased $2,300 of office supplies. At November 30, Carlisle Equipment had $500 of office supplies on hand.

Requirements

1. Open the Office Supplies T-account, and enter the beginning balance and purchase of office supplies.

2. Record the adjusting entry required at November 30.

3. Post the adjusting entry to the two accounts involved, and show their balances at November 30.

Answers

Answer:

Office Supplies T-account

Debit :

Beginning Balance                  $600

Purchases                              $2,300

Totals                                     $2,900

Credit:

Ending Balance                        $500

Used (Balancing Figure)       $2,400

Totals                                     $2,900

Adjusting Entry

Supplies Expenses $2,400 (debit)

Office Supplies $2,400 (credit)

Posting Entries.

1. Supplies Expense = $2,400 (Debit Balance)

2.Office Supplies = $500 (Debit Balance)

Explanation:

As the supplies are used during the period, recognize an expense : Supplies Expense and de-recognize the Office Supplies Asset account to the extend of the amount of inventory used during the period.

In other words we are taking out an expense (Increasing it) and decreasing an asset : Office Supplies.

Parent Company holds 75 percent of Surrogate Company’s voting common shares. On December 31, 20X8, Parent recorded a loss of $20,000 on the sale of equipment to Surrogate. At the time of the sale, the equipment’s estimated remaining economic life was eight years. Required: a. Will consolidated net income be increased or decreased when consolidation entries associated with the sale of equipment are made at December 31, 20X8? By what amount?

Answers

Answer:

Net Increase in Net Income will be $18,125

Explanation:

In simple words, when we consolidate accounts we NEVER take account of inter-company transactions which leads to profits OR losses.

So now we will eliminate the effect of the loss recognized by the parent company and the entry would be as under:

Dr Depreciation for the year At Parent percentage XX

Dr Retained Earnings    (Balancing figure)                 XX

Cr Loss from sale of Equipment                                       XX

The debit balance of depreciation at the parent percentage shows that the equipment is still 75% owned by the parent company. Hence the 75% of the per year depreciation must be recognized for the year.

Increase as the loss is added back to Net Income = $20,000

Less Depreciation for the year At Parent percentage = $20,000/8 * 75%

= ($1,875)

Net Increase in Net Income = $20,000 - $1,875 = $18,125

And Double Entry is as under:

Dr Depreciation for the year At Parent percentage $1,875

Dr Retained Earnings   (Balancing Earnings)            $18,125

Cr Loss from sale of Equipment                                          $20,000

The depreciation and the loss will be settle in the Cost of Goods Sold in the consolidated income statement.

If 10,000 units that were 40% completed are in process at November 1, 80,000 units were completed during November, and 12,000 were 20% completed at November 30, the number of equivalent units of production for November was 75,600. (Assume no loss of units in production and that inventories are costed by the first-in, first-out method.)

a. True
b. False

Answers

Answer:

Number of equivalents units= 78,400

Explanation:

Giving the following information:

Beginning inventory= 10,000 units that were 40%

Units completed= 80,000

Ending inventory= 12,000 were 20% completed

We will determine the number of equivalents units using the following structure:

COST PER EQUIVALENT UNITS:

Beginning work in process = beginning inventory* %incompleted

Units started and completed = units completed - beginning WIP

Ending work in process completed= Ending WIP* %completed

=Number of equivalent units

Beginning work in process = 10,000*0.6= 6,000

Units started and completed = 80,000 - 10,000= 70,000

Ending work in process completed= 12,000*0.2= 2,400

= 78,400

3. If a balance sheet were prepared for Pala Medical Co. on June 30, 20Y1, what amount should be reported as cash?

Answers

Complete Question:

The cash account for Pala Medical Co. at June 30, 20Y1, indicated a balance of $166,436. The bank statement indicated a balance of $195,688 on June 30, 20Y1. Comparing the bank statement and the accompanying canceled checks and memos with the records revealed the following reconciling items:

a.  Checks outstanding totaled $19,427.

b.  A deposit of $12,300, representing receipts of June 30, had been made too late to appear on the bank statement.

c.  The bank collected $26,500 on a $25,000 note, including interest of $1,500.

d.  A check for $4,000 returned with the statement had been incorrectly recorded by Pala Medical Co. as $400. The check was for the payment of an obligation to Skyline Supply Co. for a purchase on account.

e.  A check drawn for $195 had been erroneously charged by the bank as $915.

f.  Bank service charges for June amounted to $55.

Answer:

Pala Medical Co.

Cash amount in the balance sheet = $189,281

Explanation:

a) Calculations:

Adjusted Cash balance at June 30, 20Y1

Cash balance                      $166,436

c) Note received by bank      25,000

c) Interest on the note             1,500

d) Returned check                 (3,600)

e) Bank charges                         (55)

Adjusted cash balance     $189,281

b) Balance as per bank statement = $195,688

a.  Checks outstanding totaled           ($19,427)

b.  A deposit of                                     $12,300

e. Overstated cheque                               720

Adjusted bank statement balance   $189,281

c) Preparing a bank reconciliation helps to identify discrepancies between the cash book balance of Pala Medical Co and the company's bank statement balance.  After the necessary adjustments, the two balances always agree and the adjusted figure is taken to the balance sheet.

Assume you are holding a business meeting with five people, each from a different continent (North America, South America, Europe, Africa and Asia), you being one of them. Which steps would you take to ensure that everyone is comfortable and that communication is good between everyone?

Answers

Explanation:

Holding a meeting with people from different cultures can be a big challenge, so it is necessary to organize the meeting to ensure that the different approaches and needs of each person are taken into account by the leader who will conduct the business meeting.

It is necessary to think of ideas, decisions and conduct that make all participants comfortable and are not a factor that interferes with the positive flow of the meeting. It is therefore important to develop cultural intelligence, which is an essential skill for leaders of large companies who wish to operate in the globalized market.

Cultural intelligence can be defined as the ability of a person to relate and work between different cultures, adapting and increasingly developing that intelligence (cultural quotient) in motivational, behavioral and metacognitive aspects. Through cultural intelligence it is possible for the individual to get involved efficiently in any environment, in business it is an essential skill for survival in the global market.

A company issued 120 shares of $100 par value common stock for $14,200 cash. The total amount of paid-in capital in excess of par is:

Answers

Answer:

The answer is simply $2,200.

Explanation:

Par value of common stock means the price of the stock as stated in the company's charter.The amount paid-in capital in excess of par connotes that the actual cash received for the common stock purchased by subscribers is more than the par value by a certain amount

Based on the information provided in the question, the total amount of paid-in capital in excess of par is: $14,200 - (120 shares x $100) = $2,200.

If a small electric automobile manufacturer is able to gain the social return generated by its electric motor, its demand for financial capital would

Answers

Answer: shift to the left

Explanation:

The social return helps in comparing the value of benefits and the costs to achieving the benefits. The social return is the ratio of net present value of the benefits in comparison to the net present value of the investment or the costs to getting the benefits.

In this case, if a small electric automobile manufacturer is able to gain the social return generated by its electric motor, it would decrease the demand for financial capital which simply means that the demand for financial capital will shift to the left. This shift to the left is as a result of the gain in its social return gotten by the electric motor.

Julie Whiteweiler made $930 this week. Only social security (fully taxable) and federal income taxes attach to her pay. Whiteweiler contributes $100 each week to her company's 401(k) plan and has $25 put into her health savings account (nonqualified) each week. Her employer matches this $25 each week.

Required:
Determine Whiteweiler's take-home pay if she is single and claims 4 allowances (use the wage-bracket method).

Answers

Answer:

Step 1: Calculate FICA (OASDI & HI):

Total wage subjected to FICA is $930. Why? Contributions to 401K is only exempted from Fed. Income Tax Withholding (FIT) not FICA. As for HSA contrib., it is exempted for both FICA and FIT. However, the plan is non-qualified, which means that $25 contributed by employee is taxable for both. The $25 matching from employer for HSA is excluded from income and income taxes.

OASDI RATE 2012: 4.2% of $930; therefore, $39.06

HI RATE 2012: 1.45% of $930; therefore, $13.49

TOTAL FICA TAX: $52.55

STEP 2: Calculate FIT:

Total earnings subjected to FIT is ($930-100)= $830. Why? $100 contributions to 401k is exempted from FIT. HSA contrib. is unqualified.; therefore, contributions from employee is taxable. Using Wage Bracket Method 2012, the FIT is $89.

STEP 3: Getting the Take-Home Pay answer:

($930-100(401k))-25(HSA:Employee)-$52.55(FICA)-89(FIT)=$663.45

Explanation:

True or False: If a firm changes its credit policy and allows customers to pay in 90 days instead of 60 days, and everything else remains the same, the net cash flow in the next quarter is likely to decrease.

Answers

Answer:

True

Explanation:

by increasing the time customers can pay to 90 days, the amount of cash inflows is likely to reduce. thus, the net cash flow in the next quarter is likely to decrease.

Since 2003, Walmart has been a proponent of RFID technology, and the company wanted all of its suppliers to make use of RFID technology.The most likely reason that Walmart is supporting this technology is to help them:

Answers

Answer:

Explanation:

The most likely reason for Walmart to support this technology is that it will allow them to track and process items from their suppliers at a much more efficient rate. Since RFID technology uses radio waves to read and capture information stored on a tag attached to an object, providing a unique identifier for an object. These unique tags allow each individual item to be tracked throughout the whole process from supplier to warehouse to client. Thus preventing losses and reducing costs.

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