Answer:
decreases, so the value of money rises
Explanation:
Let us assume the starting price level is $100 so here the amount that need to pay is $100 now the price level falls to $50 so again the amount that should be paid is $50 so as we can see that if there is any fall in the price level so the number of dollar would be decreased therefore the value of the money would be increased
When the price level is 50 so the consumer purchased two things
Hence, the first option is correct
What macroeconomic goal is Real GDP used to measure for?
Answer:
"Economic growth " would be the correct answer.
Explanation:
Throughout a particular year, real GDP tests the overall production as well as commodities of the economy, including light of the price adjustments.People should measure or equate GDP throughout the year as inflation would be factored into the equation which would be a fair predictor about wherever the market cycle goes.Thus the above is the right answer.
Frasquita acquired equipment from the manufacturer on 6/30/2021 and gave a noninterest-bearing note in exchange. Frasquita is obligated to pay $550,000 on 4/30/2022 to satisfy the obligation in full. If Frasquita accrued interest of $15,000 on the note in its 2021 year-end financial statements, what amount would it have recorded the equipment for on 6/30/2021
Answer:
$525,000
Explanation:
Calculation to determine what amount would it have recorded the equipment for on 6/30/2021
First step is to calculate the total interest for 10 months;
Based on the information given since the amount of $15,000 was the interest for 6 months in the year 2021 in which the note lasted for 10 months the total interest will be:
Total Interest = 10months/6months x $15,000 Total Interest=$25,000
Now let calculate 6/30/2021 Equipment
6/30/2021 Equipment=$550,000-$25,000
6/30/2021 Equipment=$525,000
Therefore what amount would it have recorded the equipment for on 6/30/2021 is $525,000
Emilio works in Finance. He collaborates with Real Estate Agents and title companies to help people qualify for home loans. In which career does Emilio work?
Mortgage Brokering
Insurance Sales
Tax Preparation
Financial Management
Answer:
Mortgage Brokering
Answer:
Mortgage Brokering
Explanation:
Pension data for the Ben Franklin Company include the following for the current calendar year: Discount rate, 10% Expected return on plan assets, 12% Actual return on plan assets, 11% Service cost, $270,000 January 1: PBO $ 1,470,000 ABO 1,070,000 Plan assets 1,570,000 Amortization of prior service cost 27,000 Amortization of net gain 4,700 December 31: Cash contributions to pension fund $ 227,000 Benefit payments to retirees 247,000 Required: 1. Determine pension expense for the year. 2. Prepare the journal entries to record pension expense and funding for the year.
Answer:
A. $250,900
B. Dr Pension expense $250,900
Dr Net gain–pensions $4,700
Cr Pension asset $228,600
Cr Prior service cost $27,000
Dr Pension asset $ 227,000
Cr Cash $ 227,000
Explanation:
A. Calculation to determine the pension expense for the year
Service cost $270,000
Add Interest cost (10% x $1,470,000) $147,000
Less Expected return ($188,400 )
(12%*1,570,000)
Add Amortization of prior service cost $27,000
)
Less Amortization of net gain($4,700)
Pension expense $250,900
Therefore pension expense for the year will be $250,900
B. Preparation of the journal entries to record pension expense and funding for the year)
Dr Pension expense $250,900
Dr Net gain–pensions $4,700
Cr Pension asset ($270,000 + 147,000 – $188,400) $228,600
Cr Prior service cost $27,000
Dr Pension asset $ 227,000
Cr Cash $ 227,000
Piedmont Company purchased merchandise on account from a supplier for $45000, terms 1/10, n/30. Piedmont Company returned $7000 of the merchandise and received full credit.If Piedmont Company pays the invoice within the discount period, what is the amount of cash required for the payment
Answer:
$33,500
Explanation:
The Cash Required for Payment to Supplier is The Purchases Price less Credit Allowance and Cash Discount granted since Piedmont Company pays the invoice within the discount period.
If Piedmont Company had paid invoice out of the discount period we would only deduct the Credit Allowance from the Purchase Price.
Cash Required for Payment Calculation :
Purchase Price $45,000
Less Credit Allowance ($7,000)
Less Cash Discount $45,000 x 10% ($4,500)
Cash Required for Payment $33,500
jasmine has too many files in her math folder and can't easily find her class notes. what should she do to help her find her notes easily?
Answer:
used folders or sticky notes in a binder. Notes saying what they are help too.
Explanation:
PLEASE HELP!! Imagine you are applying for a job as a babysitter or as a grass-cutter. Write a cover letter that tells the family why you are qualified for the job. Use a proper business letter writing format
I am a devoted babysitter. I have plenty of experience with children. I know how to cook, I am great with tools. I am very independent and have plenty of potentials. I hope you can trust me with your kids or your yard.
5 types of challenges in the business environment
Answer:
Uncertainty about the future.
Financial management.
Monitoring performance.
Regulation and compliance.
Competencies and recruiting the right talent.
Explanation:
Explain the effects of low price-guarantee on the price.
Answer:
Low price guarantees have adverse effects on consumer behavior. These strategies can cause consumers to become suspicious of the offer and may avoid making the purchase all together.
Low price guarantee is a policy where the seller offer a price is guaranteed to match or beat any other lower price in the market.
Usually, the low price guarantees does persuade the consumers to make purchase, but, it can also have adverse effects on consumer behavior at times.
The strategy of low price-guarantee on the price of the product can cause the consumers to become suspicious and thus, may lead to a decision to avoid making the purchase.
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Mortar Corporation acquired 80 percent of Granite Corporation's voting common stock on January 1, 20X7. On December 31, 20X8, Mortar received $370,000 from Granite for equipment Mortar had purchased on January 1, 20X5, for $400,000 and had been depreciating it over 10 Years and no salvage value. After the sale, the equipment is expected to have a 5-year useful life and no salvage value. Both companies depreciate equipment on a straight-line basis. Based on the preceding information, in the preparation of elimination entries related to the equipment transfer for the 20X8 consolidated financial statements, the debit adjustment to equipment would be: Group of answer choices
Answer:
The debit adjustment to equipment would be $30,000.
Explanation:
Amount received for the equipment by Mortar from Granite - $370,000
Purchase price of the equipment = $400,000
Debit adjustment to equipment = Purchase price of the equipment - Amount received for the equipment by Mortar from Granite = $400,000 - $370,000 = $30,000
Therefore, the debit adjustment to equipment would be $30,000.
Peterson Company's general ledger shows a cash balance of $7,420 on May 31. May cash receipts of $1,290, included in the general ledger balance, are placed in the night depository at the bank on May 31 and processed by the bank on June 1. The bank statement dated May 31 shows an NSF check for $170 and a service fee of $60. The bank processes all checks written by the company by May 31 and lists them on the bank statement, except for one check totaling $1,900. The bank statement shows a balance of $7,800 on May 31. Prepare a bank reconciliation to calculate the correct ending balance of cash on May 31.
Answer:
The correct ending balance of cash on May 31 is $7,190
Explanation:
The bank reconciliation can be prepared as follows:
Peterson Company
Bank Reconciliation
At May 31
Particulars $
Bank statement balance at May 31 yet to be reconciled 7,800
Add:
Cash deposited on May 31 yet to be credited 1,290
Less:
Outstanding check (1,900)
Adjusted bank statement balance at May 31 7,190
Peterson Company
Bank Reconciliation
At May 31
Particulars $
Cash book balance yet to be reconciled 7,420
Less:
NSF check (170)
Service fee (60)
Adjusted cash balance at May 31 7,190
Since in each of the Adjusted bank statement balance at May 31 and the Adjusted cash balance at May 31 is equal to $7,190, it implies that the correct ending balance of cash on May 31 is $7,190.
Crane Company offered detachable 5-year warrants to buy one share of common stock (par value $5) at $20 (at a time when the stock was selling for $30). The price paid for 700, $1,000 bonds with the warrants attached was $810000. The market price of the Crane bonds without the warrants was $710000, and the market price of the warrants without the bonds was $71800. What amount should be allocated to the warrants
Answer:
$ 74,389.87
Explanation:
It is given that :
The cost of 700, $1000 bonds with warrant attached to the bond = $810,000
The cost of Crane bonds with warrant = $710,000
The cost of market price of the warrants without bonds = $71,800
Therefore, the amount should be allocated to the warrants :
[tex]$=\frac{\$71,800}{\$71,800+\$710,000}\times \$ 810,000$[/tex]
[tex]$=\frac{\$71,800}{\$781,800}\times \$ 810,000$[/tex]
= $ 74,389.87
Arendelle Enterprises has inventory of $667,000 in its stores as of December 31. It also has two shipments in-transit that left the suppliers' warehouses by December 28. Both shipments are expected to arrive on January 5. The first shipment of $128,000 was sold f.o.b. destination and the second shipment of $80,000 was sold f.o.b. shipping point. What amount of inventory should Arendelle report on its balance sheet as of December 31
Answer:
$747,000
Explanation:
Calculation to determine What amount of inventory should Arendelle report on its balance sheet as of December 31
December 31 Inventory $667,000
Add Second shipment f.o.b. shipping point of $80,000
December 31 Inventory $747,000
($667,000+$80,000)
Therefore What amount of inventory should Arendelle report on its balance sheet as of December 31 is $747,000
In previous years, Cox Transport reacquired 2 million treasury shares at $24 per share and, later, 1 million treasury shares at $27 per share. If Cox now sells 2 million treasury shares at $29 per share and determines cost as the weighted-average cost of treasury shares, by what amount will Cox’s paid-in capital - share repurchase increase?
Answer:
the increase in the paid in capital is $4 million
Explanation:
The computation of increase in paid in capital is shown below:
The weighted ratio is 2:1 i.e. 66.67%, 33.33%
Now weighted average price is
= (0.6667 × $24) + (0.3333 × $27)
= $25
Now the increase in paid in capital is
= ($29 - $25) × 1 million
= $4 million
Hence, the increase in the paid in capital is $4 million
On January 1, 2011, The Miller Corporation purchased 300,000 shares of The Mayfair Corporation for $5.7 million. The investment represented 40% of The Mayfair Corporation's outstanding common shares. During 2011, Mayfair reported net earnings of $2.25 million and paid a cash dividend of $0.15 per share. During 2012, Mayfair reported a net loss of $180,000 and again paid a dividend of $0.15 per share. Calculate the book value of Miller's investment in Mayfair as of December 31, 2011, and December 31, 2012
Answer:
2011 Value of investment in Mayfair
= Beginning investment value + Portion of Mayfair net income - Portion of Mayfair dividends
= 5,700,000 + (40% * 2,250,000) - (300,000 shares * 0.15)
= $6,555,000
2012 Value of investment
= Beginning investment value + Portion of Mayfair net income - Portion of Mayfair dividends
= 6,555,000 + (40% * -180,000) - (300,000 * 0.15)
= $6,438,000
9. A Japanese car manufacturer built a factory in the United
States, It did so to reduce shipping and other costs. Make a list
of who will benefit and who will not benefit from this factory.
Answer:
Se benefician los estado unidenses porque no tienen que pagar más por el coche, también porque al abrir una fábrica pueden llegar a crear más de 5.000 puestos de trabajo. Y los japoneses no salen beneficiados porque la empresa que lleva los coches de Japón a estados unidos seguramente sea japonesa y también los trabajadores japoneses pierden trabajo
Explanation:
Rupali’s financial advisor tells her that she needs a personal balance sheet. Rupali has no idea what this is. What should the financial advisor tell her about a personal balance sheet?
a) Her bank can print one out for her if she requests it.
b) Emergency expenses are listed at the top of this document.
c) It ultimately will show her what her net worth totals.
d) It describes her cash flow situation over the past few months.
Answer:
d) It describes her cash flow situation over the past few months.
Explanation:
Balance sheet is a statement of account of an individual, which showcases the cash flow situation of that particular individual. That is, the debt and the credit associated with the bank account statement of the individual in question.
It is used to keep track of the financial growth and net-worth which helps in making a balanced decision. In her case, assuming she is applying for a loan, the cash flow situation of hers would enable the financial advisor in a bank to be clear on the actual amount she could eligible to get as a loan.
Answer:
It ultimately will show her what her net worth totals.
Explanation:
Correct for Gradpoint
How does implementing change affect strategic relationship management?
A. It upsets the balance between the needs of key positions.
ОО
B. There is very little impact on relationship management.
O C. Change doesn't impact internal relationships.
O D. It makes fewer resources available to satisfy stakeholders.
Answer:
A it upsets the balance
Explanation:
Answer:a
Explanation:
it upsets the balance
ou have just bought a used track-type tractor to add to your production fleet. The initial capitalized value of the tractor is $110,000. The estimated service life remaining on the tractor is 10,000 hours and the anticipated operating conditions across the remainder of its life are normal. The salvage value of the tractor is $12,000. The tractor was purchased on July 1, 1997. a. What amount of depreciation will you claim for each calendar year between 2007 and 2010
Answer: $32,667
Explanation:
The truck's useful life is 3 years because it is 2007 to 2010.
Depreciation = (Cost - Salvage value) / Useful life
= (110,000 - 12,000) / 3
= $32,667 per year
The economy of the United States can be best described as
a) a mixed economy
b) a command economy
c) a mixed economy, but predominantly command and tradition
d)
a pure free marker
Answer:
A a mixed economy.
Explanation:
The asnswer is a mixed economy
Cherry Valley Lumber's (CVL) lumber mill produces boards of various sizes and quality specifications for the home construction industry. CVL incurs joint costs in the initial phases of processing raw timber, such as transporting the logs to the mill, removing the bark from the logs, and cutting rough-cut boards. After the split-off point, CVL incurs costs in the Planing Department to finalize the finished boards of various grades and sizes. Which of the following statements regarding the costs at CVL is true?
a. The costs to finish the boards after the split-off point will not be traced directly to the finished boards according to the various grades and sizes produced. The costs for transporting the logs, removing bark, and cutting the rough-cut boards before the split-off point will be traced to the final finished boards.
b. The costs for transporting the logs, removing bark, and cutting the rough-cut boards before the split-off point will not be directly traced to the final finished boards. All costs to finish the boards after the split-off point will be traced directly to the finished boards according to the various grades and sizes produced.
c. It will be impossible for CVL to directly trace any costs to the finished boards of various grades and sizes.
d. CVL will be able to directly trace all costs before and after the split-off point to the finished boards of various grades and sizes.
Answer:
Cherry Valley Lumber's (CVL)
The statement regarding the costs at CVL that is true is:
b. The costs for transporting the logs, removing bark, and cutting the rough-cut boards before the split-off point will not be directly traced to the final finished boards. All costs to finish the boards after the split-off point will be traced directly to the finished boards according to the various grades and sizes produced.
Explanation:
This is why the costs at split-off are usually apportioned to the different categories of products based on some chosen criteria, e.g. sales value, size, etc. However, after split-off, costs that are incurred can easily be traced to the various grades and sizes of boards produced. This simply means that after split-off, costs become traceable and direct to each board category.
Suppose the Kalamazoo Brewing Company (KBC) currently sells its microbrews in a seven-state area: Illinoise, Indiana, Michigan, Minnesota, Mississippi, Ohio, and Wisconsin. The company's marketing department has collected data from its distributers in each state. This data consists of the quantity and price (per case) of microbrews sold in each state, as well as the average income (in thousands of dollars) of consumers living in various regions of each state. The data for each state are available via the link below--please note there are multiple tabs at the bottom of the spreadsheet, each refers to one of the seven states selling the Kalamazoo Brewing Company’s microbrews.
Excel Data File
Quantity Price Income
575 31.26 33.95
674 30.69 35.51
616 31.54 28.78
183 27.41 30.44
501 29.75 31.28
578 29.48 33.77
590 28.94 38.31
445 28.17 34.01
603 28.58 32.53
713 28.57 31.69
337 30.06 32.26
230 29.36 31.57
403 28.81 32.75
383 32.52 29.48
568 32.02 35.91
698 32.91 34.85
826 28.45 34.06
789 26.85 38.92
645 30.49 35.94
601 31.72 38.05
467 31.23 36.48
429 31.28 37.61
552 28.89 38.29
553 31.13 36.9
562 27.52 39.22
352 30.02 34.21
611 31.38 33.97
346 29.08 38.53
354 28.8 34.4
401 27.64 34.01
253 30.47 34.24
524 30.97 38.29
211 32.85 34.66
666 30.11 41.38
468 29.48 32.14
585 28.41 29.16
578 29.96 35.05
656 30.46 37.11
571 32.86 32.94
454 28.49 32.7
510 30.67 33.14
672 31.92 33.73
499 28.44 41.92
560 27.94 35.06
848 29.74 32.71
617 29.54 37.96
530 31.34 37.38
649 30.08 35.55
824 29.13 42.89
626 31.72 37.17
Assuming that the underlying demand relation is a linear function of price and income, use your spreadsheet program to obtain least squares estimates of Ohio’s demand for KBC microbrews. Instruction:
If the estimate is negative, enter a negative number (-) in the equation.
Answer:
The least squares estimates of Ohio’s demand for KBC microbrews is Quantity = 1.57Price + 14.00Income.
Explanation:
Note: See Sheet1 of the attached excel for the replication of the data given in the question and Sheet2 for the regression analysis output.
In the third table in the Sheet2, the second column is for the coefficients where, by rounding to 2 decimal places, we have:
Price = 1.57
Income = 14.00
Note: The intercept is 0 because a zero intercept was chosen in the analysi.
Based on the above, the least squares estimates of Ohio’s demand for KBC microbrews can be written as follows:
Quantity = 1.57Price + 14.00Income
To run the regression from Sheet1 in order to obtain the output in Sheet, follow his process:
Click the “Data” menu, and then the “Data Analysis” tab. From the new window, scroll down to find and click on "Regression" and then click “OK”.
In the new window, click in the box of “Input Y Range”, and then select the column containing the Quantity data as the dependent variable. Also in the new window, click in the box of “Input X Range”, and then select the column containing the both Price and Income data as the independent variables. Also, select "Labels", "Confidence level (95%)", and "Constant is Zero". Then click "OK" to obtain the output in Sheet2.
Suppose a stock had an initial price of $85 per share, paid a dividend of $1.50 per share during the year, and had an ending share price of $99. a. Compute the percentage total return. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. What was the dividend yield
Answer:
18.23%
1.76%
Explanation:
The total return of a stock = price return + dividend yield
Price return calculates the change in price of a stock
Price return = (change in price / initial stock price ) x 100
change in price = $99 - $85 = $14
($14 / $85) x 100 = 16.47%
Dividend yield = (dividend paid / initial price of the stock ) x 100
($1.5 / $85) x 100 = 1.76%
Total return = 16.47% + 1.76% = 18.23%
Nicole’s Getaway Spa (NGS) purchased a hydrotherapy tub system to add to the wellness programs at NGS. The machine was purchased at the beginning of the year at a cost of $16,000. The estimated useful life was five years and the residual value was $1,000. Assume that the estimated productive life of the machine is 10,000 hours. Expected annual production was year 1, 2,400 hours; year 2, 2,300 hours; year 3, 2,200 hours; year 4, 2,100 hours; and year 5, 1,000 hours.
Required:
1. Complete a depreciation schedule for each of the alternative methods.
A. Straight-line.
B. Units-of-production.
C. Double-declining-balance.
2. Assume NGS sold the hydrotherapy tub system for $3,000 at the end of year 3. Prepare the journal entry to account for the disposal of this asset under the three different methods.
1) Record the disposal of the hydrotherapy tub system for $3,000 in year 3 assuming depreciation was calculated using the straight line method.
2) Record the disposal of the hydrotherapy tub system for $3,000 in year 3 assuming depreciation was calculated using the units-of-production method.
3) Record the disposal of hydrotherapy tub system for $3,000 in year 3 assuming depreciation was calculated using the double-declining method.
Answer:
Nicole's Getaway Spa (NGS)
1. Depreciation Schedules:
A. Straight-line method:
Year Depreciation Book Value Accumulated Net Book Value
Expense of asset Depreciation
Year 1 $3,000 $16,000 $3,000 $13,000
Year 2 3,000 16,000 6,000 10,000
Year 3 3,000 16,000 9,000 7,000
Year 4 3,000 16,000 12,000 4,000
Year 5 3,000 16,000 15,000 1,000
B. Units-of-production method:
Year Depreciation Book Value Accumulated Net Book Value
Expense of asset Depreciation
Year 1 $3,600 $16,000 $3,600 $12,400
Year 2 3,450 16,000 7,050 8,950
Year 3 3,300 16,000 10,350 5,650
Year 4 3,150 16,000 13,500 2,500
Year 5 1,500 16,000 15,000 1,000
C. Double-declining-balance method:
Year Depreciation Book Value Accumulated Net Book Value
Expense of asset Depreciation
Year 1 $6,400 $16,000 $6,400 $9,600
Year 2 3,840 16,000 10,240 5,760
Year 3 2,304 16,000 12,544 3,456
Year 4 1,382 16,000 13,926 2,074
Year 5 1,074 16,000 15,000 1,000
2. Sale of machine for $3,000 at the end of year 3:
Journal Entry of disposal:
1) Straight-line method:
Debit Cash $3,000
Credit Sale of Equipment $3,000
To record the disposal of the equipment.
Debit Sale of Equipment $16,000
Credit Equipment $16,000
To transfer equipment to sale of equipment.
Debit Accumulated Depreciation $9,000
Credit Sale of Equipment $9,000
To close accumulated depreciation.
Debit Income Summary $4,000
Credit Sale of Equipment $4,000
To record the loss from sale of equipment.
2) Units-of-production method:
Debit Cash $3,000
Credit Sale of Equipment $3,000
To record the disposal of the equipment.
Debit Sale of Equipment $16,000
Credit Equipment $16,000
To transfer equipment to sale of equipment.
Debit Accumulated Depreciation $10,350
Credit Sale of Equipment $10,350
To close accumulated depreciation.
Debit Income Summary $2,650
Credit Sale of Equipment $2,650
To record the loss from sale of equipment.
3) Double-declining method:
Debit Cash $3,000
Credit Sale of Equipment $3,000
To record the disposal of the equipment.
Debit Sale of Equipment $16,000
Credit Equipment $16,000
To transfer equipment to sale of equipment.
Debit Accumulated Depreciation $12,544
Credit Sale of Equipment $12,544
To close accumulated depreciation.
Debit Income Summary $456
Credit Sale of Equipment $456
To record the loss from sale of equipment.
Explanation:
a) Data and Calculations:
Cost of machine = $16,000
Residual value = 1,000
Depreciable amount $15,000
Estimated useful life = 5 years
Annual depreciation expense/rate:
A. Straight-line method = $3,000 ($15,000/5)
B. Unit of production method = $1.50 per unit ($15,000/10,000)
Year 1 = $3,600 (2,400 * $1.50)
Year 2 = $3,450 (2,300 * $1.50)
Year 3 = $3,300 (2,200 * $1.50)
Year 4 = $3,150 (2,100 * $1.50)
Year 5 = $1,500 (1,000 * $1.50)
C. Double-declining balance method:
Straight-line method rate = 20% (100/5)
Double-declining rate = 40% (20% * 2)
Year 1 = $6,400 ($16,000 * 40%) Balance $9,600
Year 2 = $3,840 ($9,600 * 40%) Balance $5,760
Year 3 = $2,304 ($5,760 * 40%) Balance $3,456
Year 4 = $1,382 ($3,456 * 40%) Balance $2,074
Year 5 = $1,074 ($2,078 - $1,000) Balance $1,000
What is defined by an organization's mission statement?
A. A comprehensive list of the organization's budgets, schedules, and
milestones
B. How the organization differs from others and provides value to its
customers
C. A broad and inspiring overview of the company's
accomplishments
omplay's
D. The desired future plans for the expansion of the organization
Answer:How the organization differs from others and provide value to its customers
Explanation:
AP EX
Bankruptcy, Chapter 7. Gigantic Furniture is having its annual "Going Out of Business Sale." If Gigantic Furniture is filing under Chapter 7, will it be back next year for another going out of business sale? (Select the best response.) A. No, Chapter 7 bankruptcy is for the selling off of all the assets of the firm and ceasing all business operations. B. No, Chapter 7 bankruptcy is for restructuring the firm's debt and it does not allow to have more than one "Going Out of Business Sale." C. Yes, Chapter 7 bankruptcy is for restructuring the firm's debt and buying new inventory. D. Yes, Chapter 7 bankruptcy is for the selling off of all the assets of the firm and ceasing all business operations.
Answer:
A. No, Chapter 7 bankruptcy is for the selling off of all the assets of the firm and ceasing all business operations.
Explanation:
In the chapter of Bankruptcy, chapter 7, the firm Gigantic Furniture is going to have its annual " Going Out of Business Sale". Now if the Gigantic Furniture is filing under the Chapter 7, it will not be back for the next year for an another going out of the business sale because Gigantic Furniture is selling off all of its assets and ceasing all its business operations.
Whispering Winds Corp. had the following transactions. 1. Sold land (cost $7,200) for $9,000. 2. Issued common stock at par for $22,900. 3. Recorded depreciation on buildings for $16,600. 4. Paid salaries of $7,000. 5. Issued 1,100 shares of $1 par value common stock for equipment worth $9,200. 6. Sold equipment (cost $14,400, accumulated depreciation $10,080) for $1,728. (a) For each transaction above, prepare the journal entry.
Answer and Explanation:
The journal entries are shown below:
1 Cash $9,000
To Land $7,200
To Gain on Disposal $1,800
(Being the land is sold is recorded)
2 Cash $22,900
To Common Stock $22,900
(being the issuance of the common stock is recorded)
3 Depreciation Expense $16,600
To Accumulated Depreciation - Buildings $16,600
(being depreciation expense is recorded)
4 Salaries and Wages Expense $7,000
To Cash $7,000
(being salary paid is recorded)
5 Equipment $9,200
To Common Stock $1,100
To Paid in capital in excess of par-Common stock $8,100
(Being the common stock issued for the equipment)
6 Cash $1,728
Accumulated Depreciation-Equipment $10,080
Loss on Disposal $2,592
To Equipment $14,400
(being equipment sold is recorded)
Which of the following statements concerning the use of support department and joint cost allocations for performance evaluations is not true?
A. A manager may not be responsible for the allocation of support department costs if he or she cannot control the square footage of the areas upon which cost allocations are based.
B. A manager may miss a performance target because direct materials costs are too high.
C. A manager may miss a performance target because he or she has no control over the joint processes prior to his or her department which is after the split-off point.
D. It is rare to need further investigation beyond a preliminary analysis when a manager misses a performance target.
Answer:
d.It is rare to need further investigation beyond a preliminary analysis when a manager misses a performance target.
Explanation:
Performance evaluation can be regarded as process whereby manager pass evaluation or examination on employee on the work behavior of employee through comparison with preset standards.
In the use of support department and joint cost allocations for performance evaluations ;
✓A manager may not be responsible for the allocation of support department costs if he or she cannot control the square footage of the areas upon which cost allocations are based.
✓A manager may miss a performance target because direct materials costs are too high.
✓A manager may miss a performance target because he or she has no control over the joint processes prior to his or her department which is after the split-off point.
ThingOne Company has the following information available for the past year. They use machine hours to allocate overhead. Actual total overhead$80,510 Actual fixed overhead$32,000 Actual machine hours11,000 Standard hours for the units produced10,600 Standard variable overhead rate$4.60 What is the variable overhead efficiency variance
Answer:
the variable overhead efficiency variance is $1,840 unfavorable
Explanation:
The computation of the variable overhead efficiency variance is shown below:
= Standard variable overhead rate × (standard hours - actual hours)
= $4.60 × (10,600 - 11,000)
= $1,840 unfavorable
Hence, the variable overhead efficiency variance is $1,840 unfavorable
As the standard hours would be less than the actual hours so it would be unfavorable variance
"Which of the following is true? Airfreight A. has lower transporting rates than trucks. B. efficiently delivers all types of goods. C. serves many more locations than trucks. D. is best for goods that are heavy relative to their sales value, such as iron ore. E. can help reduce inventory costs."
Answer:
E. can help reduce inventory costs.
Explanation:
Airfreight can be defined as the transportation or movement of goods from one location to another through the air and use of shipping containers.
A shipping container refers to a metal container made from steel and having the ability or strength to withstand all external factors during shipment or storage of materials. It is an essential part of transportation of goods or materials from one location to another, thereby boosting trade between countries.
The various types of shipping containers are, dry storage container, open-side storage container, ISO Reefer container, flat rack container, tunnel container, open top container, double doors container, thermal containers, intermodal freight container etc.
An inventory cost can be defined as all costs such as carrying cost, stock out (shortage) cost and ordering cost that are associated with the procurement, holding (storage) and management (handling) of inventory.
Generally, airfreight can help to reduce the total logistics cost or inventory cost since it's faster, large and devoid of various impediments when compared with other forms of transportation.
Hence, the true statement about airfreight is that it can help reduce inventory costs.