Answer:
Net cash flow = $39,600
Net income = $18,050
Explanation:
Note: There is an error in the wages amount stated in the question. The correct amount of the wages is $21,600 not 521,600.
Explanation of the answer is now provided as follows:
Note: See the attached excel file for the integrated financial statement which comprises of Balance Sheet, Statement of Cash Flow and the Income Statement.
An integrated financial statement framework can be described as a type of framework which presents the balance sheet, cash flow statement, and income statement of a company.
In the attached excel file the following are used:
Insurance premium paid under Retained Earnings = Insurance premium paid * (11 Months / 12 Months) = $5,400 * (11 / 12) = $4,950
Prepaid insurance = Insurance premium paid - Insurance premium paid under Retained Earnings = $5,400 - $4,950 = $450
Expenses paid = wages + rent + utilities + miscellaneous = $21,600 + $6,400 + $2,800 + $3,200 = $34,000
Online recommendation engines typically are based on
Answer:
An online recommendation engine is a set of software algorithms that uses past user data and similar content data to make recommendations for a specific user profile. An online recommendation engine is a set of search engines that uses competitive filtering to determine what content multiple similar users might like.
Explanation:
The following are the transactions of Spotlighter, Inc., for the month of January:
a. Borrowed $5,540 from a local bank on a note due in six months.
b. Received $6,230 cash from investors and issued common stock to them.
c. Purchased $2,600 in equipment, paying $1,000 cash and promising the rest on a note due in one year.
d. Paid $1,100 cash for supplies.
e. Bought and received $1,500 of supplies on account
Required:
Prepare a classified balance sheet for Spotlighter, Inc., as of January 31.
Answer:
Spotlighter Inc.
Classified Balance Sheet as at January 31
ASSETS
Equipment $2,600
Supplies ($1,100 + $1,500) $2,600
Cash ($5,540 + $6,230 - $1,000 - $1,100) $9,670
TOTAL ASSETS $14,870
EQUITY AND LIABILITIES
LIABILITIES
Accounts Payable $1,500
Bank note $5,540
Note Payable $1,600
TOTAL LIABILITIES $8,640
EQUITY
Common Stock $6,230
TOTAL EQUITY $6,230
TOTAL EQUITY AND LIABILITIES $14,870
Explanation:
A Balance Sheet shows the Assets, Liabilities and Equity existing at the Reporting Date.
The balance sheet above was prepared through the following steps
Step 1 : Identify the Accounts Affected by the transactions
Step 2: Classify the Accounts Affected in into Assets, Liabilities and Equity
Step 3: Record in the classified balance sheet
Match each of the economic sanctions below with an example of its use.
Boycott
?
Consumers refuse to buy
goods from companies
that use child labor.
Trade sanction
?
The U.S. government
prevents U.S. businesses
from trading with Iranian
businesses.
Embargo
?
The European Union
imposes a high tariff on
agricultural products
imported from the United
States.
It's correct?
Explanation:
It looks correct and even says correct? Don't understand the problem with this.
Consumers refuse to buy goods from companies that use child labor is the example of Boycott as the child labor is the crime and government has boycott the child labor.
What is child labor?Child labor is defined as work that harms children or stops them from attending school.
In recent decades, growing differences between rich and poor have pulled millions of young children out of school and into labor around the world, including in the United States.
Thus, option A is correct.
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why is it important for Holmes not to be the only person interviewing job candidates?
Answer:
Sherlok asked him wasssupppp and got job.
Explanation:
21. Randall and Kim both work for a package delivery company. Randall drives a delivery truck and Kim manages the incoming and outgoing packages from her office. Even though they work for the same company, describe the different duties Randall and Kim have.
30 points and brainiest if answer is correct ( i gonna get scammed)
Answer:
Randall delivers the packages to people all in the area. Kim can give direction and tell him what and where to deliver things.
To everyone in the neighbourhood, Randall distributes the packages. Kim may instruct him and let him know what to deliver and where.
How do you define a role at work?Roles describe a person's place in a team. The activities and obligations of a person's specific function or job description are referred to as their responsibilities. Employees are responsible for a number of responsibilities at work. Employees are more likely to succeed in their duties at the firm and reach the goals of their team when their supervisor lays out the assignments in simple terms.
But in order to properly delegate, a manager or team leader has to be aware of that person's place in the organization. Understanding the advantages of establishing functional roles and tasks might be helpful as well. Besides improving team productivity, assigning functional roles and tasks has various additional advantages that might be advantageous to your firm as a whole.
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Managers should use positive reinforcement to help employees link service behavior with service ___________. Fill in the blank.
Mr Brains where are you?
Managers should use positive reinforcement to help employees link service behavior with service rewards.
Negative and Positive reinforcements
Positive reinforcement seems to be a procedure that increases the likelihood of certain behavior by simply introducing a stimulus after the behavior would be completed.
Negative reinforcement increases the probability as well as likelihood of certain behavior by minimizing an unfavorable outcome.
Thus the response above is appropriate.
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QS 4-15 Computing and analyzing gross margin ratio LO A2 Carrier Lennox Trane York Sales $ 150,000 $ 550,000 $ 38,700 $ 255,700 Sales discounts 5,000 17,500 600 4,800 Sales returns and allowances 20,000 6,000 5,100 900 Cost of goods sold 79,750 329,589 24,453 126,500 Compute net sales, gross profit, and the gross margin ratio for each of the four separate companies. (Round your gross margin ratio to 1 decimal place; i.e.; 0.2367 should be entered as 23.7%.)
Answer:
Maybe is you payed attention you would have knew the answer
Explanation:
Good luck :))
Carrier -
Net Sales - $125,000Gross Profit - $45,250Gross Margin Ratio - 36.2%Lennox -
Net Sales - $526,500Gross Profit - $196,911Gross Margin Ratio - 37.4%Trane -
Net Sales - $33,000Gross Profit - $8,547Gross Margin Ratio - 25.9%York -
Net Sales - $250,000Gross Profit - $123,500Gross Margin Ratio - 49.4%How to compute the aboveHere are the calculations for each company -
Carrier -
Net Sales = Sales - Sales Discounts - Sales Returns and Allowances
Net Sales = $150,000 - $5,000 - $20,000 = $125,000
Gross Profit = Net Sales - Cost of Goods Sold
Gross Profit = $125,000 - $79,750 = $45,250
Gross Margin Ratio = (Gross Profit / Net Sales) * 100
Gross Margin Ratio = ($45,250 / $125,000) * 100 = 36.2%
Lennox -
Net Sales = $550,000 - $17,500 - $6,000 = $526,500
Gross Profit = $526,500 - $329,589 = $196,911
Gross Margin Ratio = ($196,911 / $526,500) * 100 = 37.4%
Trane -
Net Sales = $38,700 - $600 - $5,100 = $33,000
Gross Profit = $33,000 - $24,453 = $8,547
Gross Margin Ratio = ($8,547 / $33,000) * 100 = 25.9%
York -
Net Sales = $255,700 - $4,800 - $900 = $250,000
Gross Profit = $250,000 - $126,500 = $123,500
Gross Margin Ratio = ($123,500 / $250,000) * 100 = 49.4%
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Which of the following BEST describes a conflict of interest? O A. Two companies competing for the business of the same customer B. Parties engaging in an activity that does not equally benefit all parties C. An employee engaging in an activity that may benefit that individual to the detrimen O D. People on different sides of an issue agreeing to disagree O E. A company engaging in practices that conflict with government regulations Click to select your answer.
The statement that best describes conflict of interest is - An employee engaging in an activity that may benefit that individual to the detriment of his employer or clients of the firm
Conflict of interest arises when the interest of an employee is not aligned with the interest of his/her employer or clients.
For example, an employer might decide to take a project even though it is not profitable because if the project is undertaken it would increase the prestige of the employee. This project would be benefit the employee but not the employer.
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Provide an argument for how Coke's disastrous marketing campaign for New Coke might actually have been a good thing for the company's core product.
After visiting several automobile dealerships, Richard selects the car he wants. He likes its $20,000 price, but financing through the dealer is no bargain. He has $4,000 cash for a down payment, so he needs a loan of $16,000. In shopping at several banks for an installment loan, he learns that interest on most automobile loans is quoted at add-on rates. That is, during the life of the loan, interest is paid on the full amount borrowed even though a portion of the principal has been paid back. Richard borrows $16,000 for a period of four years at an add-on interest rate of 11 percent.
a. What is the total interest on Richard's loan?
Total interest
b. What is the total cost of the car?
Total cost
c. What is the monthly payment?
Monthly payment
Answer and Explanation:
The computation is shown below:
a. The total interest is
= Principal × rate of interest × time period
= $16,000 × 4 years × 11%
= $7,040
b. The total cost of the car is
= Price of the car + interest
= $20,000 + $7,040
= $27,040
c. The monthly payment is
= (Principal amount + interest) ÷ number of months
= ($16,000 + $7,040) ÷ 48 months
= $480
A company maintains its records using cash-basis accounting. During the year, the company received cash from customers, $32,000, and paid cash for salaries, $25,000. At the beginning of the year, customers owe the company $3,600. By the end of the year, customers owe $5,200. At the beginning of the year, the company owes salaries of $3,700. At the end of the year, the company owes salaries of $5,400. Determine cash-basis net income and accrual-basis net income for the year.
Answer:
Cash-basis net income is $7,000
Accrual-basis net income is $6,900
Explanation:
Cash-basis net income
Cash basis Net income is the net of cash receipt as income and paid as an expense. The net value of cash received from customers and paid for the salaries is considered as net income.
Net income = Cash received From Customers - Cash Paid for salaries = $32,000 - $25,000 = $7,000
Accrual-basis net income
Accrual-basis net income is the net value of accrued income and accrued expenses regardless of the receipt or payment of cash
First calculate the sales value
Ending account receivable = Beginning account receivable + Credit sales for the period - Cash received in the period
$5,200 = $3,600 + Credit sales for the period - $32,000
$5,200 = Credit sales for the period - $28,400
Credit sales for the period = $5,200 + $28,400 = $33,600
Now calculate the accrued salary expense for the period
Ending salaries payable = Beginning salaries payable + Salaries expense for the period - Cash paid in the period
$5,400 = 3,700 + Salaries expense for the period - $25,000
$5,400 = Salaries expense for the period - $21,300
Salaries expense for the period = $5,400 + $21,300 = $26,700
The net income is
Net Income = Accrued Sales - Accrued Expense = $33,600 - $26,700 = $6,900
The following December 31, 2021, fiscal year-end account balance information is available for the Stonebridge Corporation:Cash and cash equivalents $ 5,000Accounts receivable (net) 20,000Inventory 60,000Property, plant, and equipment (net) 120,000Accounts payable 44,000Salaries payable 15,000Paid-in capital 100,000The only asset not listed is short-term investments. The only liabilities not listed are $30,000 notes payable due in two years and related accrued interest of $1,000 due in four months. The current ratio at year-end is 1.5:1.Required:Determine the following at December 31, 2021:1. Total current assets2. Short-term investments3. Retained earnings
Answer:
1. $90,000
2. $5,000
3. $20,000
Explanation:
1. Calculation to Determine the Total current assets
First step is to calculate the Total current liabilities using this formula
Total current liabilities=Accounts payable + Wages payable + Accrued Interest
Let plug in the formula
Total current liabilities=$44,000 + $15,000 + $1,000
Total current liabilities= $60,000
Now let calculate the Total current assets using ratio 1.5
Total current assets =1.5 × $60,000 x 1.5
Total current assets=$90,000
Therefore the Total current assets will be 90,000
2. Calculation to Determine the Short term investments using this formula
Short term investments=Total current assets - Cash - Accounts receivable - Inventories
Let plug in the formula
Short term investments=$90,000 - $5,000 - $20,000 - $60,000
Short term investments= $5,000
Therefore the Short term investments will be $5,000
3. Calculation to Determine the Retained earnings
First step is to calculate the Total Assets
Cash and cash equivalents $5,000
Add Accounts receivable (net) $20,000
Add Inventories $60,000
Add Short term investments $5,000
Add Property, plant, and equipment (net) 120,000
TOTAL ASSETS $210,000
Now let calculate the Retained Earnings
Total Assets $210,000
Less Accounts payable ($44,000)
Less Salaries payable ($15,000)
LessAccrued interest ($1,000)
Less Notes payable ($30,000)
Less Paid-in capital ($100,000)
RETAINED EARNINGS $20,000
Therefore the Retained Earnings will be $20,000
The following answer of "The Stonebridge Corporation" at December 31, 2021:
Total current assets will be 90,000 Short term investments will be $5,000Retained Earnings will be $20,000
"The Stonebridge Corporation"
Answer 1:
Total current assets
Total current liabilities=Accounts payable + Wages payable + Accrued InterestTotal current liabilities=$44,000 + $15,000 + $1,000Total current liabilities= $60,000Total current assets=$90,000
Total current assets using ratio 1.5Total current assets =1.5 × $60,000 x 1.5Total current assets=$90,000Therefore, the Total current assets is 90,000.
Answer 2:
Short term investments
Short term investments=Total current assets - Cash - Accounts receivable - InventoriesShort term investments=$90,000 - $5,000 - $20,000 - $60,000Short term investments= $5,000Thus, the Short term investments is $5,000.
Answer 3:
Retained Earnings
Total Assets $210,000Less Accounts payable ($44,000)Less Salaries payable ($15,000)LessAccrued interest ($1,000)Less Notes payable ($30,000)Less Paid-in capital ($100,000)Retained earnings$20,000
Working Notes:
Cash and cash equivalents $5,000
Add Accounts receivable (net) $20,000Add Inventories $60,000Add Short term investments $5,000Add Property, plant, and equipment (net) 120,000Total Assets $210,000
Thus, the Retained Earnings is $20,000.
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NELSON COMPANY
Unadjusted Trial Balance
January 31
Debit Credit
Cash $ 1,000
Merchandise inventory 12,500
Store supplies 5,800
Prepaid insurance 2,400
Store equipment 42,900
Accumulated depreciation—Store equipment $ 15,250
Accounts payable 10,000
Common stock 5,000
Retained earnings 27,000
Dividends 2,200
Sales 111,950
Sales discounts 2,000
Sales returns and allowances 2,200
Cost of goods sold 38,400
Depreciation expense—Store equipment 0
Sales salaries expense 17,500
Office salaries expense 17,500
Insurance expense 0
Rent expense—Selling space 7,500
Rent expense—Office space 7,500
Store supplies expense 0
Advertising expense 9,800
Totals $ 169,200 $ 169,200
Required
1. Prepare adjusting journal entries to reflect each of the following:
a. Store supplies still available at fiscal year-end amount to $1,750.
b. Expired insurance, an administrative expense, for the fiscal year is $1,400.
c. Depreciation expense on store equipment, a selling expense, is $1,525 for the fiscal year.
d. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,900 of inventory is still available at fiscal year-end.
2. Prepare a multiple-step income statement for the year ended January 31 that begins with gross sales and includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses.
3. Prepare a single-step income statement for the year ended January 31.
4. Compute the current ratio, acid-test ratio, and gross margin ratio as of January 31. (Round ratios to two decimals.)
Answer:
NELSON COMPANY
1. Adjusting Journal Entries:
a. Debit Supplies Expense $4,050
Credit Supplies $4,050
To record supplies expense for the year.
b. Debit Insurance Expense $1,400
Credit Prepaid Insurance $1,400
To record Insurance Expense for the year.
c. Debit Depreciation Expense $1,525
Credit Accumulated Depreciation - Store Equipment $1,525
To record depreciation expense for the year.
d. Debit Inventory Shrinkage $1,600
Credit Merchandise Inventory $1,600
To record inventory shrinkage.
2. Multi-step Income Statement for the year ended January 31
Sales $111,950
Sales returns and allowances 2,200
Net Sales Revenue $109,750
Cost of goods sold 38,400
Gross margin $71,350
Selling Expenses:
Sales discounts 2,000
Sales salaries expense 17,500
Rent expense—Selling space 7,500
Depreciation expense
—Store equipment 1,525
Store supplies expense 4,050
Advertising expense 9,800
Inventory Shrinkage 1,600
Total selling expenses $43,975
Administrative Expenses:
Office salaries expense 17,500
Insurance expense 1,400
Rent expense—Office space 7,500
Total administrative exp. $26,400
Total Expense ($70,375)
Net Income (Loss) $975
3. Single-step Income Statement for the year ended January 31
Sales $111,950
Sales returns and allowances 2,200
Net Sales Revenue $109,750
Sales discounts 2,000
Cost of goods sold 38,400
Depreciation expense
—Store equipment 1,525
Sales salaries expense 17,500
Office salaries expense 17,500
Insurance expense 1,400
Rent expense—Selling space 7,500
Rent expense—Office space 7,500
Store supplies expense 4,050
Advertising expense 9,800
Inventory Shrinkage 1,600 ($108,775)
Net Income (Loss) $975
4. Current Ratio = Current Assets/Current Liabilities
= $15,625/$10,000
= 1.56:1
Acid-Test Ratio = Cash/Current Liabilities
= $1,000/$10,000 =
= 0.1:1
Gross margin ratio = Gross margin/Net Sales * 100
= $71,350/$109,750 * 100
= 65.01%
Explanation:
NELSON COMPANY
Unadjusted Trial Balance
January 31
Debit Credit
Cash $ 1,000
Merchandise inventory 12,500
Store supplies 5,800
Prepaid insurance 2,400
Store equipment 42,900
Accumulated depreciation—Store equipment $ 15,250
Accounts payable 10,000
Common stock 5,000
Retained earnings 27,000
Dividends 2,200
Sales 111,950
Sales discounts 2,000
Sales returns and allowances 2,200
Cost of goods sold 38,400
Depreciation expense—Store equipment 0
Sales salaries expense 17,500
Office salaries expense 17,500
Insurance expense 0
Rent expense—Selling space 7,500
Rent expense—Office space 7,500
Store supplies expense 0
Advertising expense 9,800
Totals $ 169,200 $ 169,200
a. Stores Supplies, ending = $1,750
Supplies expense = $4,050 ($5,800 - $1,750)
b. Insurance Expense = $1,400
Prepaid insurance - $1,000 (2,400 - 1,400)
c. Depreciation expense = $1,525
Accumulated Depreciation-Store Equipment = $16,775 (15,250+1,525)
d. Merchandise Inventory, ending = $10,900
Shrinkage = $1,600 (12,500 - 10,900)
NELSON COMPANY
Unadjusted Trial Balance
January 31
Debit Credit
Cash $ 1,000
Merchandise inventory 10,900
Store supplies 1,750
Prepaid insurance 1,000
Store equipment 42,900
Accumulated depreciation—Store equipment $ 16,775
Accounts payable 10,000
Common stock 5,000
Retained earnings 27,000
Dividends 2,200
Sales 111,950
Sales discounts 2,000
Sales returns and allowances 2,200
Cost of goods sold 38,400
Depreciation expense
—Store equipment 1,525
Sales salaries expense 17,500
Office salaries expense 17,500
Insurance expense 1,400
Rent expense—Selling space 7,500
Rent expense—Office space 7,500
Store supplies expense 4,050
Advertising expense 9,800
Inventory Shrinkage 1,600
Totals $ 170,725 $ 170,725
Current Assets:
Cash $ 1,000
Merchandise inventory 10,900
Store supplies 1,750
Prepaid insurance 1,000
Total current assets $15,625
Current liabilities:
Accounts payable $10,000
Performance feedback is most effective when managers
Feedback is most effective when the employee is expecting it, employees are motivated and directed by regular feedback.
Feedback is an essential communication tool in business performance management. One of the most effective techniques is constructive feedback. Managers are responsible for correcting performance deficiencies as soon as they occur.
Hope that this helps :)
To correct for positive externalities, the government should:_________
(A) do nothing, since no harm is done by positive externalities
(B) levy a tax on the output of the good or service
(C) pay a subsidy equal to the marginal external benefit
(D) impose a price ceiling on the good to discourage its production
(E) impose a price floor on the good at which the marginal private benefit equals the marginal social cost
Answer:
e
Explanation:
A good has positive externality if the benefits to third parties not involved in production is greater than the cost. an example of an activity that generates positive externality is research and development. Due to the high cost of R & D, they are usually under-produced. Government can encourage the production of activities that generate positive externality by granting subsidies.
You are the manager of two plants (factories) in Mexico that manufacture shoes. The combined monthly output of both plants is to be 10,000 pairs of shoes. Explain, based on your understanding , how you would best divide this output of 10,000 pairs of shoes between the two plants.
Answer:
Given that both factories together produce 10,000 pairs of shoes, and both carry out the entire production process of the same in an identical way, if I were the manager of the same, I would distribute the benefits of what is produced by both factories in the following way: 50% of them equally, 25% for each one; and the other 50% in proportion to what each one has actually produced. Thus, it would guarantee that both receive income and, at the same time, it would encourage production by the one that generated the most income.
Describing Architecture and Construction Work
According to the video, what do workers in this career cluster often do? Check all that apply.
sell products
entertain customers
interact with others
sit for long periods
work outdoors
o focus on details
Answer:
c)interact with others, e)work outdoors, f)focus on details
Explanation:
edge
Answer:
C,E,F
Explanation:
You are the director of marketing. Your department has been doing well, but the company as a whole has been losing revenue steadily each quarter. In an effort to stay in business, the company is reducing the salaries of all employees by 15 percent. You need to inform your employees. Your employees are expecting that there will be a pay reduction and unanimously voted to reduce salaries rather than fire employees to balance the budget.
Which outline would be most appropriate in this situation?
I. Thank employees for being willing to make a sacrifice for the good of the company
II. Inform the employees they will receive a 15% pay cut
III. Restate the facts of the company's financial situation
IV. Explain
A. The reasons why the company needs to take drastic action
B. The benefits of the company's strategy
V. Close with a forward-looking statement.
I. State the facts of the company's financial situation
II. Explain
A. The reasons the company needs to take drastic action
B. The benefits of the company's strategy
III. Inform the employees they will receive a 15% pay cut
IV. Close with a forward-looking statement
I. State the facts of the company's financial situation
II. Provide alternatives the company considered
A. Unemployment
B. Bankruptcy
III. Inform the employees they will receive a 15% pay cut
Answer:
I. Thank employees for being willing to make a sacrifice for the good of the company.
II. State the facts of the company's financial situation.
III. Inform employees that they will receive a 15% pay cut.
IV. Close with forward looking statement.
Explanation:
The company's financial situation has led the managers to decide for a pay cut instead of lay off to improve the financial position of the company and stay in the budget. The company should appraise employees that they understand the company's situation and are willing to accept the pay cut. The director should inform employees about the current financial situation and provide details about the pay cut plan. The email should close with a forward looking statement and a statement that as soon as the situation of company gets better the employees will receive full salaries as always.
What is the presses that creates a shortcut on your taskbar
Answer:
Microsoft is the answer of it
Answer:
It is A. Pinning meh got it right ;)
Explanation:
Problem:
Juan Starts his Car Wash Business and here are the transaction on his one month operation.
1. Juan will start his Car Wash business namely “Fast Carwash” , using his own money amounting
8,000aed.
2. He also borrowed money from the bank amounting 2,000aed as additional to his capital.
3. He spent 500aed on car wash equipment.
4. He also spent 300aed for supplies in his busines paid in cash.
5. Juan got his 1st customer paid in cash amounting of 250aed.
6. After a few days he got his 2nd customer who paid in cash amounting 250aed.
7. Juan needs to replenish his supplies after the 2nd customer so he spend 150aed for supplies but on credit to the supplier.
Answer:
Juan Starts his Car Wash Business and here are the transaction on his one month operation. 1. Juan will start his Car Wash business namely “Fast Carwash” , using his own money amounting
8,000aed.
2. He also borrowed money from the bank amounting 2,000aed as additional to his capital.
3. He spend 500aed on car wash equipment.
4. He also spend 300aed for supplies in his busines paid in cash.
5. Juan got his 1st customer paid in cash amounting of 250aed.
6. After a few days he got his 2nd customer who paid in cash amounting 250aed.
7. Juan needs to replenish his supplies after the 2nd customer so he spend 150aed for supplies but on credit to the supplier.
Answer:
Wow the guy that rick rolls everyone needs help what a loser
Explanation:
The HR department at Clearwater Electronics has been asked to develop a job description for a new managerial position in Dubai. Clearwater’s policy states that subsidiary managers should be employees from the parent company. What benefits does the company hope to realize from this ethnocentric approach?
dang no quema cuh
Explanation:
[The following information applies to the questions displayed below.]
Sara’s Salsa Company produces its condiments in two types: Extra Fine for restaurant customers and Family Style for home use. Salsa is prepared in department 1 and packaged in department 2. The activities, overhead costs, and drivers associated with these two manufacturing processes and the company’s production support activities follow.
Process Activity Overhead cost Driver Quantity
Department 1 Mixing $ 5,900 Machine hours 2,300
Cooking 12,500 Machine hours 2,300
Product testing 113,900 Batches 850
$ 132,300
Department 2 Machine calibration $ 320,000 Production runs 500
Labeling 19,000 Cases of output 150,000
Defects 8,000 Cases of output 150,000
$ 347,000
Support Recipe formulation $ 83,000 Focus groups 50
Heat, lights, and water 46,000 Machine hours 2,300
Materials handling 79,000 Container types 8
$ 208,000
Additional production information about its two product lines follows.
Extra Fine Family Style
Units produced 34,000 cases 116,000 cases
Batches 340 batches 510 batches
Machine hours 950 MH 1,350 MH
Focus groups 32 groups 18 groups
Container types 5 containers 3 containers
Production runs 250 runs 250 runs
Required:
1. Using a plantwide overhead rate based on cases, compute the overhead cost that is assigned to each case of Extra Fine Salsa and each case of Family Style Salsa.
2. Using the plantwide overhead rate, determine the total cost per case for the two products if the direct materials and direct labor cost is $10 per case of Extra Fine and $9 per case of Family Style.
3.a. If the market price of Extra Fine Salsa is $19 per case and the market price of Family Style Salsa is $13 per case, determine the gross profit per case for each product.
3.b. What might management conclude about the Family Style Salsa product line?
Answer:
1.$4.58 per cases
2. Extra Fine $14.58
Family Style $13.58
3a. Extra Fine $4.42
Family Style $0.58
3b. What might the management conclude about the Family Style Salsa product line is that Family Style salsa are not yielding profit which may inturn make the company to stop the production of the product in a situation where the cost are not reduced
Explanation:
1. Computation for the overhead cost that is assigned to each case of Extra Fine Salsa and each case of Family Style Salsa using Plantwide overhead rate
Using this formula
Overhead cost=Total overhead cost/Total volume
Let plug in the formula
First step is to calculate the Total overhead cost
Total overhead cost = $132,300+ $347,000+$208,000
Total overhead cost =$687,300
Second step is to calculate the Total volume
Total volume= 34,000 +116,000
Total volume=150,000 cases
Now let calculate the Overhead cost
Overhead cost=$687,300/150,000 cases
Overhead cost=$4.58 per cases (rounded)
Therefore since we are making use of plantwide rate which means that same overhead cost of the amount of $4.58per cases will be assigned to each of the two case .
2. Calculation to determine the total cost per case for the two products
Extra Fine Family Style
Direct materials + Direct Labor $ 10.00 $ 9.00
Add Overhead $4.58 $4.58
Manufacturing cost per case $ 14.58 $ 13.58
Therefore the the total cost per case for the two products will be:
Extra Fine $14.58
Family Style $13.58
3-A Calculation to determine the gross profit per case for each product.
Extra Fine Family Style
Selling price per case $ 19.00 $ 13.00
Less Manufacturing cost per case $14.58 $13.58
Gross profit (loss) per case $ 4.42 $ (0.58 )
Therefore the gross profit per case for each product will be ;
Extra Fine $4.42
Family Style $0.58
3-b. What might the management conclude about the Family Style Salsa product line is that Family Style salsa are not yielding profit because they are not profitable which may inturn make the company to stop the production of the product In a situation where the cost are not reduced .
Statement of stockholders' equity Financial information related to All Seasons Company for the month ended June 30, 20Y7, is as follows:_______.
Common stock, June 1, 20Y7 $30,000
Stock issued in June 20,000
Net income for June 87,500
Dividends during June 15,000
Retained earnings, June 1, 20Y7 145,000
Prepare a statement of stockholders' equity for the month ended June 30, 20Y7. If an amount is zero, enter "0"
Answer:
Stockholders' equity is $267,500.
Explanation:
Note: See the attached excel file for the statement of stockholders' equity.
The following are used to confirm the figures in the ayyached excel file:
Seasons Company
Statement of Stockholders' Equity
for the month ended June 30, 20Y7
Particular Amount ($)
Common stock (w.1) 50,000
Retained earnings (w.2) 217,500
Stockholders' equity 267,500
Workings:
w.1: Common stock June 30, 20Y7 = Common stock, June 1, 20Y7 + Stock issued in June = $30,000 + $20,000 = $50,000
w2: Retained earnings June 30, 20Y7 = Retained earnings, June 1, 20Y7 + Net income for June - Dividends during June = $145,000 + $87,500 - $15,000 = $217,500
Peter is the owner of a fast-food franchise. When his payroll accountant quit, he hired his wife, Karen, to take over the payroll responsibilities. Peter prefers to review the payroll records prior to disbursement and often asks Karen to add or subtract amount from employee pay. Which ethical principle most closely describes Peter and Karen's unethical actions?
A) Responsibilities.
B) Integrity.
C) Public Interest.
D) Objectivity and Independence.
Answer:
Integrity
Explanation:
Unethical behaviour is defined as actions that individuals perform that are outside of morally right expectations in an environment or a business.
Some unethical behaviour in the workplace include: lying to colleagues, theft, misusing work time, and abusive behaviour.
In the given scenario Peter prefers to review the payroll records prior to disbursement and often asks Karen to add or subtract amount from employee pay.
Reducing an employee's pay without having a good reason or informing the employee is an integrity issue.
Their actions show that they are dishonest and they do not have strong moral principle. So they pilfer employee money
Firebaugh Corporation is a manufacturer that uses job-order costing. The company has supplied the following data for the just completed year: Raw materials purchased on account $ 520,000 Raw materials (all direct) requisitioned for use in production $ 467,000 What is the journal entry to record raw materials used in production
Answer:
Dr Work In Process 467,000
Cr Raw Materials 467,000
Explanation:
Preparation of the journal entry to record raw materials used in production
Based on the information given if the Raw materials that was requisitioned for use in the production was the amount of $ 467,000 which means that the journal entry to record raw materials used in production will be :
Dr Work In Process 467,000
Cr Raw Materials 467,000
An investment will pay $100 at the end of each of the next 3 years, $200 at the end of Year 4, $250 at the end of Year 5, and $450 at the end of Year 6. If other investments of equal risk earn 6% annually, what is this investment's present value? Its future value? Do not round intermediate calculations. Round your answers to the nearest cent. Present value: $ Future value: $
Answer:
$929.77
$1318.90
Explanation:
Present value is the sum of discounted cash flows
Present value can be calculated using a financial calculator
Cash flow each year from year 1 to 3 = $100
Cash flow in year 4 = $200
Cash flow in year 5 = $250
Cash flow in year 6 = $450
I = 6%
PV = $929.77
the formula for calculating future value is :
FV = PV ( 1 + r)^n
929.77 x (1+0.06)^6 = $1318.90
To find the PV using a financial calculator:
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
The demand for loanable funds depends on future income.
a. True
b. False
Answer:
The answer is "Option b".
Explanation:
The Loanable funds are the amount of all the assets that individuals and companies have agreed to save and lend to creditors instead of for personal use, as an investment.
The earnings are also the foundation for supplying loanable funds. That request for credit funds is focused on lending. This relationship among saving provision and loan request decides its real rate as well as the sum of loans.
Connors Corporation acquired manufacturing equipment for use in its assembly line. Below are four independent situations relating to the acquisition of the equipment. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)
A. The equipment was purchased on account for $25,000. Credit terms were 2/10, n/30. Payment was made within the discount period and the company records the purchases of equipment net of discounts.
B. Connors gave the seller a noninterest-bearing note. The note required payment of $27,000 one year from date of purchase. The fair value of the equipment is not determinable. An interest rate of 10% properly reflects the time value of money in this situation.
C. Connors traded in old equipment that had a book value of $6,000 (original cost of $14,000 and accumulated depreciation of $8,000) and paid cash of $22,000. The old equipment had a fair value of $2,500 on the date of the exchange. The exchange has commercial substance.
D. Connors issued 1,000 shares of its nopar common stock in exchange for the equipment. The market value of the common stock was not determinable. The equipment could have been purchased for $24,000 in cash.
Required:
For each of the above situations, prepare the journal entry required to record the acquisition of the equipment. (If no entry is required for a transaction, select "No journal entry required" in the first account field.) (Show your work)
Answer and Explanation:
The journal entries are shown below:
A. Equipment $24,500 ($25,000 × 98%)
To Accounts Payable $24,500
(Being the equipment is purchase on account)
B. Equipment $24,545
Discount on Notes Payable $2,455
To Note Payable $27,000
(Being note payable is recorded)
C. New Equipment $24,500
Accumulated Depreciation $8,000
Loss on Equipment $3,500
To Cash $22,000
To Old Equipment $14,000
(Being equipment is recorded)
D. Equipment $24,000
To Common Stock $24,000
(Being equipment purchased)
Prepare a classified year-end balance sheet, (Note: A $9,000 installment on the long-term note payable is due within one year.) The calendar year-end adjusted trial balance for Blessinger Co. follows
BLESSINGER CO.
Adjusted Trial Balance
December 31, 2017
Cash $112,000
Accounts receivable 27,000
Prepaid Prepaid 15000
Insurance 9000
Office supplies 3300
Office equipment 38000
Accumulated depreciation-Equipment 3200
Building 288000
Accumulated depreciation-Building 42000
Land 700,000
Accounts payable 25800
Salaries payable 14,500
Interest payable 2,500
Long-term note payable 72,000
P.Blessinger, Capital 910,000
P. Blessinger, Withdrawals 200,500
Service fees earned 430,800
Salaries expense 90,000
Insurance expense 5200
Rent expense 5000
Depreciation expense-Equipment 800
Depreciation expense-Building 7000
Totals $1500,800 $1500,800
Answer:
Blessinger Co.
Classified Balance Sheet as at December 31, 2017
ASSETS
Non- Current Assets
Office equipment $38,000
Accumulated depreciation-Equipment ($3,200) $34,800
Building $288,000
Accumulated depreciation-Building ($42,000) $246,000
Land $700,000
Total Non Current Assets $980,800
Current Assets
Accounts receivable $27,000
Prepaid Prepaid $15,000
Insurance $9,000
Office supplies $3,300
Cash $112,000
Total Current Assets $166,300
TOTAL ASSETS $1,157,100
EQUITY AND LIABILITIES
LIABILITIES
Current Liabilities
Accounts payable $25,800
Salaries payable $14,500
Interest payable $2,500
Note Payable $9,000
Total Current Liabilities $51,800
Non-Current Liabilities
Long-term note payable ($72,000 - $9,000) $63,000
Total Non- Current Liabilities $63,000
TOTAL LIABILITIES $114,800
EQUITY
P.Blessinger, Capital $910,000
P. Blessinger, Withdrawals ($200,500)
Profit for the Year $332,800
TOTAL EQUITY $1,042,300
TOTAL EQUITY AND LIABILITIES $1,157,100
Explanation:
A Balance Sheet shows the Balance of Assets, Liabilities and Equity as at the Reporting date.
Calculation of Profit for the year :
$ $
Service fees earned 430,800
Less Expenses
Salaries expense 90,000
Insurance expense 5,200
Rent expense 5,000
Depreciation expense-Equipment 800
Depreciation expense-Building 7,000 (108,000)
Profit for the year 332,800
As long as the organization is making good progress toward achieving an ideal standard, its management may not need to: Take any corrective action if the variance for the period is large. Curtail spending on variable costs. Modify its standards. Take any corrective action when variances are reported, even if the variances for the period are substantial in amount. Curtail spending on fixed costs.
Answer: Take any corrective action when variances are reported, even if the variances for the period are substantial in amount
Explanation:
When organizations are making progress, the management may not need to impose some measures but allow the measures which was already in place for the success to keep playing out. One of the measures the management doesn't need to consider when making good progress to success is taking any corrective action when variances are reported, even if the variances for the period are substantial in amount