Answer:
Vaughn Company
The weighted-average cost per unit is
= $8.04
Explanation:
a) Data and Calculations:
Units Unit Cost Total
Inventory, January 1 11,000 $8.80 $96,800
Purchases: June 18 5,000 8.00 40,000
November 8 4,000 6.00 24,000
Total 20,000 $160,800
The weighted-average cost per unit = $8.04 ($160,800/20,000)
b) The weighted average method of recording inventory adds up the total units and costs of beginning and current period purchased or manufactured inventory. The total costs are divided by the total units to obtain the weighted-average cost per unit.
Which of the following is one of the basic consumer rights? O A. Opportunity O B. Wealth O c. Access O D. Education SUBM
Answer:
c. Access
Explanation:
PLS mark brainliest if correct :)
Answer:
Its D. Education SUBM
Explanation:
These are some of the consumer rights.
Right to Safety
Right to Be Informed
Right to Choose
Right to Be Heard
Right to Satisfaction of Basic Needs
The Right to Redress
Right to Consumer Education
Right to a Healthy Environment
Consumer Protection
I hope this helps.
Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses.
FORTEN COMPANY
Comparative Balance Sheets
December 31
Current Year Prior Year
Assets
Cash $ 66,400 $ 84,500
Accounts receivable 82,380 61,625
Inventory 292,156 262,800
Prepaid expenses 1,320 2,115
Total current assets 442,256 411,040
Equipment 146,500 119,000
Accum. depreciation—Equipment (42,125) (51,500)
Total assets $ 546,631 $ 478,540
Liabilities and Equity
Accounts payable $ 64,141 $ 131,175
Short-term notes payable 13,300 8,200
Total current liabilities 77,441 139,375
Long-term notes payable 59,500 59,750
Total liabilities 136,941 199,125
Equity
Common stock, $5 par value 179,250 161,250
Paid-in capital in excess of par, common stock 54,000 0
Retained earnings 176,440 118,165
Total liabilities and equity $ 546,631 $ 478,540
FORTEN COMPANY
Income Statement
For Current Year Ended December 31
Sales $ 637,500
Cost of goods sold 296,000
Gross profit 341,500
Operating expenses
Depreciation expense $ 31,750
Other expenses 143,400 175,150
Other gains (losses)
Loss on sale of equipment (16,125)
Income before taxes 150,225
Income taxes expense 39,650
Net income $ 110,575
Additional Information on Current Year Transactions
The loss on the cash sale of equipment was $16,125 (details in b).
Sold equipment costing $79,875, with accumulated depreciation of $41,125, for $22,625 cash.
Purchased equipment costing $107,375 by paying $52,000 cash and signing a long-term note payable for the balance.
Borrowed $5,100 cash by signing a short-term note payable.
Paid $55,625 cash to reduce the long-term notes payable.
Issued 3,600 shares of common stock for $20 cash per share.
Declared and paid cash dividends of $52,300.
Required:
Prepare a complete statement of cash flows using a spreadsheet using the indirect method. (Enter all amounts as positive values.)
Answer:
Cash flow from all activities -$18,100
Cash at the beginning of the year $84,500
Cash at the end of year $66,400
Explanation:
Preparation of a complete statement of cash flows using a spreadsheet using the indirect method.
FORTEN COMPANY
Statement of Cash Flows
For the Year ended December 31
Cash Flow from Operating Activities:
Net Income $110,575
Adjustments to reconcile net income to cash flow from operating activities:
Depreciation $31,750
Loss on sale of Equipment $16,125
Increase in Accounts Receivables -$20,755
($61625 - $82380)
Increase in Inventory -$29,356
($262800-292156)
Decrease in Prepaid Expenses $795
($2115-1320)
Decrease In Accounts Payable -$67,034
($64141 - $131175)
Increase in Short term note payable $5,100
($13300-8200)
Total Adjustments -$63,375
Net Cash Flow From Operating Activities (A) $47,200
Cash Flow from Investing Activities:
Cash Received from sale of Equipment $22,625
Purchase of Equipment (In cash) -$52,000
Net Cash Flow From Investing Activities (B) -$29,375
($22,625-$52,000)
Cash Flow from Financing Activities:
Repayment of Long Term Note Payable -$55,625
Cash received from issue of common stock $72,000 (3600*$20)
Dividend paid -$52,300
Net Cash Flow From Financing Activities (C) -$35,925
Total Cash flow from all activities
(A+B+C) -$18,100
($47,200+-$29,375+-$35,925)
Cash at the beginning of the year $84,500
Cash at the end of year $66,400
($84,500-$18,100)
Therefore The complete statement of cash flows using a spreadsheet using the indirect method will be :
Cash flow from all activities -$18,100
Cash at the beginning of the year $84,500
Cash at the end of year $66,400
Select the statement that is true of common stock. Companies issue dividends to common stockholders before preferred stockholders. Common stockholders do not have a right of first refusal when new stock is issued. Common stock has a stronger claim to a company's assets than preferred stock. Despite having fewer financial protections, common stock typically outperforms preferred stock.
Answer:
Despite having fewer financial protections, common stock typically outperforms preferred stock.
Explanation:
Secondary market can be defined as a market where various investors sell and buy securities from other investors.
Some examples of secondary market around the world are New York Stock Exchange (NYSE), NASDAQ, London Stock Exchange (LSE) and National Stock Exchange (NSE).
On the other hand, the primary market refers to the market where these securities that are being sold are issued or created.
A common stock can be defined as a type of security or ownership interest that typically depicts ownership in a corporation. Common stockholders are usually saddled with the responsibility of electing the Board of Directors and voting in corporate policies. Also, it is to be reported on stockholders' equity section of a balance sheet.
The statement that is true of common stock is that, despite having fewer financial protections, common stock typically outperforms preferred stock.
How does communication take place in the United States?
Answer:
Communication is the act of giving, receiving, and sharing information in other words, talking or writing, and listening or reading. Good communicators listen carefully, speak or write clearly, and respect different opinions.
Explanation:
have a nice day T_T
which of the following statements are true
a. the balance sheet should be prepared before the income statement .
b. the income statement should be prepared before the balance sheet
c.the balance sheet and the income statenent should be prepared simultaneously.
d. the order in which the balance sheet and the income statement are prepared is irrelevent
Company A Company B Market Value of Equity $400,000 $600,000 Market Value of Debt $100,000 $800,000 Cost of Equity 9% 9% Cost of Debt 3% 4% Tax Rate 35% 35% Based solely on their current weighted average cost of capital, which company should pursue an investment opportunity with an expected return of 6.5%
Answer:
Company B should pursue the investment
Explanation:
To determine a profitable investment opportunity to pursue, we would compare the weighted average cost of capital WACC to the expected return on the investment opportunity. An investment return greater than the cost of capital implies a profitable investment and vice versa
The weighted average cost of capital (WAAC) is the average cost of all the various sources of long-term finance used by a business weighted according to the proportion which each source of finance bears to the the entire pool of fund.
Lets first work the after tax cost of debt for the companies:
After tax- cost of debt = cost of debt × (1-tax rate)
Company A= 3%× (1-35%) = 1.95%
Company B = 4%× (1-35%)= 2.6%
WACC coy A= 9%× (4/4+1) + 1.95% × 1/(4+1) = 7.6%
WACC coy B= 9%× (6/6+8) + 2.6% × 8/(6+8) = 5.3%
Company B has a cost of capital of 5.3% which represents the minimum
return required by by the providers of capital. An investment an expected return of 6.% appears profitable as it is greater than the company's cost of fund of 5.3%
Company B should pursue the investment
The following events took place when Managers A, B, and C were preparing budgets for the upcoming period:
I. Manager A increased property tax expenditures by 2% when she was informed of a recent rate hike by local authorities.
II. Manager B reduced sales revenues by 4% when informed of recent aggressive actions by a new competitor.
III. Manager C, who supervises employees with widely varying skill levels, used the highest wage rate in the department when preparing the labor budget.
Assuming that the percentage amounts given are reasonable, which of the preceding cases is (are) an example of building slack in budgets?
a. Il only.
b. I only.
c. II and III.
d. Ill only
e. I and II.
Answer:
Assuming that the percentage amounts given are reasonable, an example of building slack in budgets is:
d. Ill only
Explanation:
By using the highest wage rate in the department, Manager C deliberately overestimated her departmental expenses. However, her action is dictated by the need to ensure that there are no budget shortages for wages. By this slack, the actual performance of the department will be better than the budgeted performance because the department will likely spend less than its allotted costs.
The cases that represent an example of the building slacks in budgets should be option III.
Usage of highest wage rate:
Here we use the high wage rate with respect to the department. Also, the manager c should be overestimated the department expenses. The action should be dictated via the need for assurance that there should no shortages with respect to the wages. Also, the actual performance should be more than the budgeted performance since the department should lower than it
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Negotiations often involve three types of issues. For ______________ issues, the parties' preferences are directly opposed. For ______________ issues, the parties have directionally-opposed preferences but value the issues differently. For ______________ issues, the parties have the same preferences.
Answer:
1. Distributive issues
2. Integrative issues
3. Congruent issues
Explanation:
Typically, for every negotiation process, any of the three kinds of issues are involved, this includes the following distributive, congruent, and integrative issues.
Hence, Negotiations often involve three types of issues. For DISTRIBUTIVE issues, the parties' preferences are directly opposed. For INTEGRATIVE issues, the parties have directionally-opposed preferences but value the issues differently. For CONGRUENT issues, the parties have the same preferences.
For DISTRIBUTIVE issues, the parties' preferences are directly opposed.
For INTEGRATIVE issues, the parties have directionally-opposed preferences but value the issues differently.
For CONGRUENT issues, the parties have the same preferences.
What is a Negotiation?A Negotiation refers to method through which parties settle their differences and in reaching an agreement.
Generally, for every negotiation process, any of the three kinds of issues are involved, this includes the following distributive, congruent, and integrative issues.
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The following are budgeted data: January February March Sales in units 15,900 21,800 18,900 Production in units 18,900 19,900 17,900 One pound of material is required for each finished unit. The inventory of materials at the end of each month should equal 20% of the following month's production needs. Purchases of raw materials for February would be budgeted to be:
Answer:
20,300 pounds
Explanation:
Purchases Budget for February - Pounds
Material required in Production 19,900
Add Opening Materials Inventory (19,900 x 20%) 3,980
Total 23,880
Less Closing Materials Inventory (17,900 x 20%) (3,580)
Budgeted Purchases 20,300
Therefore,
Purchases of raw materials for February would be budgeted to be 20,300 pounds
Bingham Company manufactures and sells Product J. Results for last year's manufacture and sale of Product J are as follows:
Sales: 10,000 units at $160 each $1,600,000
Less costs:
Variable production costs 960,000
Sales commissions: 15% of sales 240,000
Salaries of line supervisors 195,000
Traceable fixed advertising expense 180,000
Fixed general factory overhead (allocated to
products on the basis of square feet occupied)
170,000
Total costs 1,745,000
Net loss ($145,000)
Bingham Company anticipates no change in the operating results for Product J in the foreseeable future if the product is produced. Bingham is re-examining all of its products and is trying to decide whether to discontinue the manufacture and sale of Product J. The company's total fixed factory overhead cost would not be affected by this decision.
Assume that discontinuing Product J would result in a $100,000 increase in the contribution margin of other product lines. How many units of Product J would have to be sold next year for the company to be as well off as if it just dropped Product J and enjoyed the increase in contribution margin from other products?
a. 15,500 units.
b. 11,875 units.
c. 16,125 units.
d. 2,500 units.
Answer:
Break-even point in units= 16,125
Explanation:
To calculate the number of units of Product J to be sold next year, we can use the break-even point formula:
Break-even point in units= (fixed costs + desired profit) / contribution margin per unit
Fixed costs= 195,000 + 180,000 + 170,000= $545,000
Unitary contribution margin= 160 - (96 + 24)= $40
Desired profit= $100,000
Break-even point in units= (545,000 + 100,000) / 40
Break-even point in units= 16,125
Prove:
Sales= 16,125*160= 2,580,000
Variable production costs= 16,125*96= (1,548,000)
Sales commissions= 0.15*2,580,000= (387,000)
Salaries of line supervisors= (195,000)
Traceable fixed advertising expense= (180,000)
Fixed general factory overhead= (170,000)
Net operating income= 100,000
Classify each of the following based on the macroeconomic definitions of saving and investment.
A. Caroline buys new bulldozers for her construction firm.
B. Dmitri purchases a new condominium in Detroit.
C. Frances purchases stock in NanoSpeck, a biotech firm.
D. Antonio purchases a corporate bond issued by a car company.
Answer:
A. Investment
B. Investment
C. Saving
D. Saving
Explanation:
Saving refers to the amount that is set aside that can be used for any future emergencies or purchases.
Investment refers to purchasing assets such as bonds, stocks, mutual funds that help in making money.
A. Caroline buys new bulldozers for her construction firm. - Investment
B. Dmitri purchases a new condominium in Detroit. - Investment
C. Frances purchases stock in Nano Speck, a biotech firm. - Saving
D. Antonio purchases a corporate bond issued by a car company. - Saving
You are planning to save for retirement over the next 35 years. To do this, you will invest $710 per month in a stock account and $310 per month in a bond account. The return of the stock account is expected to be 9.1 percent, and the bond account will earn 5.1 percent. When you retire, you will combine your money into an account with an annual return of 6.1 percent. Assume the returns are expressed as APRs.
How much can you withdraw each month from your account assuming a 30-year withdrawal period?
Answer:
monthly payment = $16,162.87
Explanation:
future value of stock account = $710 x= [(1 + 0.00758333)⁴²⁰- 1 ] / 0.00758333 = $2,142,045
future value of bond account = $310 x= [(1 + 0.00425)⁴²⁰- 1 ] / 0.00425 = $360,116
future value = $2,502,161
PVIFA = [1 - 1/(1 + 0.0050833)³⁶⁰ ] / 0.0050833 = 165.019
monthly payment = $2,502,161 / 165.019 = $16,162.87
Nantor Corporation has two divisions, Southern and Northern. The following information was taken from last year's income statement segmented by division: Total Company Southern Northern Sales $ 5,600,000 $ 3,460,000 $ 2,140,000 Contribution margin $ 2,450,000 $ 1,530,000 $ 920,000 Divisional segment margin $ 1,330,000 $ 1,020,000 $ 310,000 Net operating income last year for Nantor Corporation was $560,000. In last year's income statement segmented by division, what were Nantor's total common fixed expenses
Answer:
the total common fixed expense is $770,000
Explanation:
The computation of the total common fixed expense is shown below:
= Total company divisional segment margin - net operating income last year
= $1,330,000 - $560,000
= $770,000
Hence, the total common fixed expense is $770,000
We simply applied the above formula
If a company has goodwill on its books, the goodwill:
Goodwill is an intangible asset (an asset that's non-physical but offers long-term value) that arises when another company acquires a new business. Goodwill refers to the purchase cost, minus the fair market value of the tangible assets, the liabilities, and the intangible assets that you're able to identify.
How does goodwill affect a company?Goodwill has a major impact on value because it reduces the risk that a business' profitability will falter after it changes hands. That goodwill value is simply calculated as the difference between the purchase price of the business and the fair market value of the tangible assets included in the sale.
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Kray Incorporated, which produces a single product, has provided the following data for its most recent month of operations: Number of units produced 4,000 Variable costs per unit: Direct materials $ 38 Direct labor $ 20 Variable manufacturing overhead $ 8 Variable selling and administrative expense $ 4 Fixed costs: Fixed manufacturing overhead $316,000 Fixed selling and administrative expense $300,000 There were no beginning or ending inventories. The variable costing unit product cost was:
Answer:
Unitary variable production cost= $66
Explanation:
Giving the following information:
Variable costs per unit:
Direct materials $ 38
Direct labor $ 20
Variable manufacturing overhead $ 8
Variable selling and administrative expense $ 4
The variable costing method incorporates all variable production costs (direct material, direct labor, and variable overhead).
Unitary variable production cost= 38 + 20 + 8
Unitary variable production cost= $66
Ecology Co. sells a biodegradable product called Dissol and has predicted the following sales for the first four months of the current year: Jan. Feb. March April Sales in units 1,700 1,900 2,100 1,600 Ending inventory for each month should be 20% of the next month's sales, and the December 31 inventory is consistent with that policy. How many units should be purchased in February
Answer:
Purchases - February = 1940 units
Explanation:
To calculate the units to be purchased in February, we first need to calculate the opening and closing inventory for the month of February. We know that the closing inventory each month is equal to 20% of next month's sale, so we can calculate the closing inventory for January (which will be opening inventory for February) as,
Opening Inventory - February = 20% * 1900 => 380 units
We can also calculate the ending inventory for February by using the expected sales of March.
Closing Inventory - February = 20% * 2100 => 420 units
The purchases for February can be calculated as follows,
Units Sold = Opening inventory + Purchases - Closing Inventory
1900 = 380 + Purchases - 420
1900 + 420 - 380 = Purchases
Purchases = 1940 units
On May 10, 2020, Nash Co. enters into a contract to deliver a product to Greig Inc. on June 15, 2020. Greig agrees to pay the full contract price of $2,150 on July 15, 2020. The cost of the goods is $1,470. Nash delivers the product to Greig on June 15, 2020, and receives payment on July 15, 2020. Prepare the journal entries for Nash related to this contract. Either party may terminate the contract without compensation until one of the parties performs
Answer and Explanation:
The journal entries are shown below:
On June 15
Account receivable Dr $2,150
To sales revenue $2,150
(Being product sold on credit is recorded)
Here account receivable is debited as it increased the assets and credited the sales revenue as it also increased the revenue
On June 15
Cost of goods sold Dr $1,470
To Inventory $1,470
(Being the cost of the inventory is recorded)
Here cost of goods sold is debited as it increased the expense and credited the inventory as it decreased the assets
On July 15
Cash Dr $2,150
To Account receivable $2,150
(Being cash receipt is recorded)
Here cash is debited as it increased the assets and credited the account receivable as it decrease the assets
Reid Company is budgeting production of 100,000 units of product R for the month of September this year. Production of one unit of product R requires three units of material B. For material B, the actual inventory units at September 1 were 22,000 units and budgeted inventory units at September 30 are 24,000. How many units of material B is Reid planning to purchase during September?
Answer:
Purchases= 302,000 units
Explanation:
Giving the following information:
Production= 100,000 units
Production of one unit of product R requires three units of material B.
For material B:
Beginning inventory= 22,000
Desired inventory= 24,000
To calculate the purchases, we need to use the following formula:
Purchases= production + desired ending inventory - beginning inventory
Purchases= 100,000*3 + 24,000 - 22,000
Purchases= 302,000 units
What is a product that is not an object or something that is owned called?
Answer:A product that is not an object or something that is owned is called a non-economic good.
Explanation:
A product that is not an object or something that is owned is called a non-economic good.
The transactions listed below are typical of those involving Amalgamated Textiles and American Fashions. Amalgamated is a wholesale merchandiser and American Fashions is a retail merchandiser. Assume all sales of merchandise from Amalgamated to American Fashions are made with terms n/60, and the two companies use perpetual inventory systems. Assume the following transactions between the two companies occurred in the order listed during the year ended December 31.
a. Amalgamated sold merchandise to American Fashions at a selling price of $270,000. The merchandise had cost Amalgamated $191,000.
b. Two days later, American Fashions returned goods that had been sold to the company at a price of $27,500 and complained to Amalgamated that some of the remaining merchandise differed from what American Fashions had ordered. Amalgamated agreed to give an allowance of $9,000 to American Fashions. The goods returned by American Fashions had cost Amalgamated $19,270
c. Just three days later, American Fashions paid Amalgamated, which settled all amounts owed
Required:
For each of the events (a) through (c), indicate the amount and direction of the effect on Amalgamated Textiles in terms of the following items. (Enter any decreases to account balances with a minus sign.) Prepare the journal entries that Amalgamated Textiles would record. TIP: When using a perpetual inventory system, the seller always makes two journal entries when goods are sold. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
Answer:
Amalgamated Textiles
1. Effects on Items:
a. Assets + (Accounts receivable) $270,000
Retained earnings + (Sales revenue) $270,000
Retained earnings - (Cost of goods sold) $191,000
Assets - (Inventory) $191,000
b. Retained earnings - (Sales returns and allowances) $36,500
Assets - (Accounts receivable) $36,500
Assets + (Inventory) $19,270
Retained earnings + (Cost of goods sold) $19,270
c. Assets + (Cash) $233,500
Assets - (Accounts receivable) $233,500
2. Journal Entries:
a. Debit Accounts receivable $270,000
Credit Sales revenue $270,000
To record the sale of goods on account.
Debit Cost of goods sold $191,000
Credit Inventory $191,000
To record the cost of goods sold.
b. Debit Sales returns and allowances $36,500
Credit Accounts receivable $36,500
To record the return of goods and allowances given.
Debit Inventory $19,270
Credit Cost of goods sold $19,270
To record the return of goods to inventory.
c. Debit Cash $233,500
Credit Accounts receivable $233,500
To record the receipt of cash from customers on account.
Explanation:
1) Data and Analysis:
a. Accounts receivable $270,000 Sales revenue $270,000
Cost of goods sold $191,000 Inventory $191,000
b. Sales returns and allowances $36,500 Accounts receivable $36,500
Inventory $19,270 Cost of goods sold $19,270
c. Cash $233,500 Accounts receivable $233,500
Refer to Table 28-2. The labor-force participation rate of Aridia in 2012 was
O a. 88.9%.
O b. 53.3%
O c. 50%.
O d. 56.25%.
Answer: 56.25%
Explanation:
The labor force participation rate refers to the active workforce of a country. The following information can be derived from the question:
Adult population = 3200
Number of employed = 1600
Number of unemployed = 200
The labor-force participation rate of Aridia in 2012 will be:
= {(Number of employed + Number of unemployed) / Adult population} × 100
= (1600 + 200) / 3200 × 100
= 1800/3200 × 100
= 0.5625 × 100
= 56.25%
Coronado Industries had 309000 shares of common stock issued and outstanding at December 31, 2020. No common stock was issued during 2021. On January 1, 2021, Coronado issued 195000 shares of nonconvertible preferred stock. During 2021, Coronado declared and paid $92000 cash dividends on the common stock and $80000 on the preferred stock. Net income for the year ended December 31, 2021 was $621000. What should be Coronado's 2021 earnings per common share
Answer: $1.75
Explanation:
Number of shares issued = 309000
Net income = $621,000
Cash dividend paid on preferred stock = $80000
Coronado's 2021 earnings per common share will then be:
= (Net income - Cash dividend) / Shares issued
= (621000 - 80000) / 309000
= 541000/309000
= $1.75
The people responsible for deciding who gets into college are called
Answer:
College Admmisions!
Explanation:
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why do firms need objectives
in a company
Objectives are the mileposts to guide you and your employees on the way to building the business. Objectives are important because they convert visions into clear-cut measurable targets.
A US company makes furniture and uses large amounts of exotic woods. How will quotas on imported wood affect he price of the product and the
marketing plans?
Answer: See explanation
Explanation:
A quota is simply referred to as a limited quantity of a product that can either be produced in a country or imported or exported under official controls. A quota is usually done to limit importation of goods and encourage local production.
Since the US company makes use of large amount of exotic goods which are usually imported, this will bring about a reduction in the supply of furniture as there'll be decrease in wood.
This will hence lead to an increase in price of the available furniture. This will certainly have a negative effect on the marketing plan of the company.
Jaffa Company prepared its annual financial statements dated December 31 of the current year. The company applies the FIFO inventory costing method; however, the company neglected to apply lower of cost or net realizable value to the ending inventory. The preliminary current year income statement follows:
Sales revenue $294,000
Cost of goods sold
Beginning inventory $34,400
Purchases 198,000
Goods available for sale 232,400
Ending inventory (FIFO cost) 63,364
Cost of goods sold 169,036
Gross profit 124,964
Operating expenses 63,400
Pretax income 61,564
Income tax expense (40%) 24,626
Net income $36,938
Required:
Prepare the income statement to reflect lower of cost or net realizable value valuation of the current year ending inventory.
Complete Question:
The ending inventory includes 15,841 units purchased at $4 each. The current market price is $3.00
Answer:
Jaffa Company
Income Statement, reflecting the lower of cost or net realizable value:
Sales revenue $294,000
Cost of goods sold
Beginning inventory $34,400
Purchases 198,000
Goods available for sale 232,400
Ending inventory (FIFO cost) 47,523
Cost of goods sold 184,877
Gross profit 109,123
Operating expenses 63,400
Pretax income 45,723
Income tax expense (40%) 18,289
Net income $27,434
Explanation:
a) Data and Calculations:
Ending inventory at LCNRV = 15,841 * $3.00 = $47,523
Sales revenue $294,000
Cost of goods sold
Beginning inventory $34,400
Purchases 198,000
Goods available for sale 232,400
Ending inventory (FIFO cost) 63,364
Cost of goods sold 169,036
Gross profit 124,964
Operating expenses 63,400
Pretax income 61,564
Income tax expense (40%) 24,626
Net income $36,938
On January 1, 2021, the Montgomery Company agreed to purchase a building by making six payments. The first three are to be $25,000 each, and will be paid on December 31, 2021, 2022, and 2023. The last three are to be $40,000 each and will be paid on December 31, 2024, 2025, and 2026. Montgomery borrowed other money at a 10% annual rate. (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.) Required: 1. At what amount should Montgomery record the note payable and corresponding cost of the building on January 1, 2021
Answer:
1. The amount Montgomery should record the note payable and corresponding cost of the building on January 1, 2021. is $136,907.65.
2. The amount of interest expense on this note which Montgomery will recognize in 2021 is $13,690.76.
Explanation:
Note: This question is not complete. The complete question is therefore presented before answering the question as follows:
On January 1, 2021, the Montgomery Company agreed to purchase a building by making six payments. The first three are to be $25,000 each, and will be paid on December 31, 2021, 2022, and 2023. The last three are to be $40,000 each and will be paid on December 31, 2024, 2025, and 2026. Montgomery borrowed other money at a 10% annual rate. (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.)
Required:
1. At what amount should Montgomery record the note payable and corresponding cost of the building on January 1, 2021?
2. How much interest expense on this note will Montgomery recognize in 2021?
Explanation of the answer is now given as follows:
1. At what amount should Montgomery record the note payable and corresponding cost of the building on January 1, 2021?
Note: See the attached excel file for the calculation of the present value of all payments (In bold red color).
From the attached excel file, we have:
Present value of all payments = $136,907.65
This present value of all payments of $136,907.65 is the amount Montgomery should record the note payable and corresponding cost of the building on January 1, 2021.
2. How much interest expense on this note will Montgomery recognize in 2021?
This can be calculated as follows:
Interest expense = Cost of the building * Interest rate = $136,907.65 * 10% = $13,690.76
Therefore, the amount of interest expense on this note which Montgomery will recognize in 2021 is $13,690.76.
Total demand for Oxy is 10,000 units and for Sonic is 6,000 units. Machine time is a scarce resource. During the year, 50,000 machine hours are available. Oxy requires 4 machine hours per unit, while Sonic requires 2.5 machine hours per unit. What is the maximum contribution margin Garrison can achieve during a year
Answer:
$444,250
Explanation:
Calculation to determine the maximum contribution margin Garrison can achieve during a year
First step is to calculate the Contribution margin per hour
Oxy sonic
Sales $75 $44
Less: variable cost $40 $21
=Contribution margin per unit 35 23
÷Machine hour per unit 4 2.5
=Contribution margin per hour $8.75 $9.2
Ranking 2 1
Second step is to calculate the Hour required for sonic
Hour required for sonic = 6,000*2.5
Hour required for sonic= 15,000 hours
Third step is to calculate the Hour available for oxy
Hour available for oxy = 50,000-15,000
Hour available for oxy = 35,000 hours
Fourth step is to calculate the Production of Oxy
Production of Oxy = 35,000/4
Production of Oxy= 8,750 units
Now let calculate the Maximum contribution margin
Maximum contribution margin = 8,750*35+ 6000*23
Maximum contribution margin =306,250+,138,000
Maximum contribution margin = $444,250
Therefore the maximum contribution margin Garrison can achieve during a year is $444,250
The first step in the decision-making process involves
a. defining the problem
b. setting a goal
O c. identifying the choices
d. evaluating alternatives
The first step in the decision-making process involves option A. defining the problem. The correct answer is option A. defining the problem.
What do you do first when making decision?When making a decision, it is essential to clearly understand and define the problem or the issue at hand. This step involves identifying the specific challenge or opportunity that requires a decision.
By defining the problem, you can gain a better understanding of what needs to be addressed and begin formulating potential solutions. Once the problem is defined, you can proceed to the subsequent steps of the decision-making process, such as setting goals, identifying choices, and evaluating alternatives.
Therefore, the correct answer is option A. defining the problem as identified above.
learn more about decision-making process: https://brainly.com/question/1249089
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if you writte here you are not a helper people of branly
Answer:
sorry just wanted the points
Explanation: