Cullumber Corporation had 312,000 shares of common stock outstanding on January 1, 2017. On May 1, Cullumber issued 29,700 shares.

(a) Compute the weighted-average number of shares outstanding if the 29,700 shares were issued for cash.

Weighted-average number of shares outstanding $



(b) Compute the weighted-average number of shares outstanding if the 29,700 shares were issued in a stock dividend.

Weighted-average number of shares outstanding $

Answers

Answer 1

Answer:

a. Issued for Cash = ($312,000 * 12/12) + ($29,700 * 8/12)

= $312,000 + $19,800

= $331,800

b. Issued in a stock dividend: Shares issued in the stock dividend are assumed outstanding from the beginning of  the year

= ($312,000 * 12/12) + ($29,700 * 12/12)

= $312,000 + $29,700

= $341,700


Related Questions

Your first baby was born yesterday and is healthy and strong. To guard against your premature death, you want to purchase a life insurance policy that will replace $58,000 of your annual income until your child is 20 years old. How much life insurance should you purchase, if you assume a 3% inflation rate

Answers

Answer:

assuming the  interest rate is = 15% the  life insurance should you should purchase = $497854.0773

Explanation:

Given that :

Annual income receipt = $58000

Assumption:

If we assume that the inflation rate π = 3% = 0.03

Also , let assume that the interest rate is = 15%  = 0.15 since it is not given too

Then the effective interest rate = [tex]\dfrac{ (i-\pi)}{(1+\pi)}[/tex]

the effective interest rate = [tex]\dfrac{ (0.15-0.03)}{(1+0.03)}[/tex]

the effective interest rate = [tex]\dfrac{ (0.12)}{(1.03)}[/tex]

the effective interest rate = 0.1165

the effective interest rate = 11.65%

Since n = [tex]\infty[/tex]

The Principal amount of how much life insurance should you purchase is;

= Annual income receipt/the effective interest rate

= $58000/ 0.1165

= $497854.0773

four (4) ways to harvest an investment in a business.

Answers

Answer:

Harvesting an investment in a business

Four ways to harvest:

a. Outright sale of a company or the investment

b. Issue of Initial Public Offering (IPO)

c. Gradual elimination of a product, especially after the cow stage.

d. Withdrawal of additional investment and earning of profits.

Explanation:

These strategies can be employed by a business to reap the fruits from an investment.  The purpose for the investment and the risk profile of the investor determines the actual strategy or combination of strategies used by the investor.

"When The Bank of Bank County borrows funds from the Federal Reserve; the rate the Fed charges the commercial bank is called the _____ rate."

Answers

Answer: Bank Rate/ Discount Rate

Explanation:

The Bank Rate is the interest rate that the Fed as the country's Central Bank charges commercial banks when they borrow money from it. The loans given are usually short term in nature.

The Bank Rate is a very useful tool in Monetary Policy by the Central Bank. If the Fed for instance would like to increase Economic activity by injecting cash into the economy, they can lower the bank rate and thus encourage more banks to loan money from them which will then be loaned to the public. If the Fed wanted to decrease Economic activity, the reverse would hold true.

A customer owns a long-term negotiable CD. If the customer wishes to tender the CD prior to maturity, the registered representative should inform the customer that:

Answers

Complete Question:

A customer owns a long-term negotiable CD. If the customer wishes to tender the CD prior to maturity, the registered representative should inform the customer that:

A. a prepayment penalty will be charged

B. he or she will receive par value of the principal plus accrued interest

C. the CD may not be redeemed prior to maturity

D. the customer will receive the market value plus accrued interest

Answer:

D. the customer will receive the market value plus accrued interest.

Explanation:

In this scenario, a customer owns a long-term negotiable certificate of deposit (CD). If the customer wishes to tender the CD prior to maturity, the registered representative should inform the customer that the customer will receive the market value plus accrued interest.

Generally, in the stock markets when a customer wishes to withdraw his or her funds on any brokered CD, there are no penalties for such actions or choice. The registered representative should pro-rate the amount of interest earned by the customer over the period of time for the deposit.

As the leader of your newly formed 9-person team, one of your key concerns is that the team performs as a cohesive unit. Which of the following descriptions is most likely to indicate that your team is cohesive?
A. There is very little conflict between team members.
B. Team members prioritize the team’s goals over their own goals.
C. Whenever tackling a new team task, members typically divide into the same 3 subgroups.
D. Team members have no problem working independently or alone.

Answers

Answer:

b. Team members prioritize the team’s goals over their own goals.

Explanation:

Team cohesiveness is mostly seen in teams that perform highly. People in such teams are usually more likely to cooperate and they have an effective way of achieving their set objectives.

Team cohesiveness would have members of a team acting together rather than individually. It is an interpersonal relationship that is alive within members of the group and this pushes and motivates them to participate more and do what is necessary to achieve all of their objectives.

Suppose you own 5% of Coastal Corporation's 400,000 outstanding common shares. The stock was trading for $165 per share before Coastal executives announced a 3-for-2 stock split. After the split, you will own _____ shares worth _____ per share.Group of answer choices

Answers

Answer: 30,000; $110

Explanation:

From the question, we are informed that someone own 5% of Coastal Corporation's 400,000 outstanding common shares and that the stock was trading for $165 per share before Coastal executives announced a 3-for-2 stock split.

The share owned after the split will be:

= 5% × 400,000 × (3/2)

= 0.05 × 400,000 × 1.5

= 30,000

The price after the split will be the current price divided by the split ratio. Tgis will be:

= $165/1.5

= $110

Determine which of the following situations describe games and which describe decisions. In each case, indicate what specific features of the situation caused you to classify it as you did. (a) A group of grocery shoppers in the dairy section, with each shopper choosing a flavor of yogurt to purchase (b) A pair of teenage girls choosing dresses for their prom (c) A college student considering what type of postgraduate education to pursue (d) The New York Times and the Wall Street Journal choosing the prices for their online subscriptions this year (e) A presidential candidate picking a running mate

Answers

Answer:

Situation which describes:

1. Game:

(a) A group of grocery shoppers in the dairy section, with each shopper choosing a flavor of yogurt to purchase

(Because of the attribute of each shopper choosing a flavor of yogurt.)

2. Decisions:

(b) A pair of teenage girls choosing dresses for their prom. (The prom which date and time has been fixed already)

(c) A college student considering what type of postgraduate education to pursue. (Because of decision to be educated)

(d) The New York Times and the Wall Street Journal choosing the prices for their online subscriptions this year. (Due to the various financial ability of its reader)

(e) A presidential candidate picking a running mate ( Due to the election that is upcoming)

Explanation:

[The following information applies to the questions displayed below.]

Allied Merchandisers was organized on May 1. Macy Co. is a major customer (buyer) of Allied (seller) products.

May 3 Allied made its first and only purchase of inventory for the period on May 3 for 2,000 units at a price of $10 cash per unit (for a total cost of $20,000).
5 Allied sold 1,500 of the units in inventory for $14 per unit (invoice total: $21,000) to Macy Co. under credit terms 2/10, n/60. The goods cost Allied $15,000.
7 Macy returns 125 units because they did not fit the customer’s needs (invoice amount: $1,750). Allied restores the units, which cost $1,250, to its inventory.
8 Macy discovers that 200 units are scuffed but are still of use and, therefore, keeps the units. Allied sends Macy a credit memorandum for $300 toward the original invoice amount to compensate for the damage.
15
Allied receives payment from Macy for the amount owed on the May 5 purchase; payment is net of returns, allowances, and any cash discount.

Prepare journal entries to record the following transactions for Allied assuming it uses a perpetual inventory system and the gross method. (Allied estimates returns using an adjusting entry at each year-end.)

Answers

Answer:

                                  Allied Merchandisers

                                        Journal Entries

Date           General Journal                         Debit        Credit

03-May   Merchandise Inventory               $20,000

                     To Cash                                                     $20,000

05-May    Accounts Receivable                 $21,000

                      To Sales                                                    $21,000

05-May     Cost of goods sold                     $15,000

                     To Merchandise Inventory                        $15,000

07-May      Sales Returns and allowances   $1,750  

                      To Accounts Receivable                           $1,750

07-May      Merchandise Inventory               $1,250

                      To Cost of goods sold                                $1,250

08-May      Sales Returns and allowances    $300

                       To Accounts Receivable                            $300

15-May        Cash                                             $18,571

                   Sales Discounts                           $379

                    ($18950*2%)

                         To Accounts receivable                           $18,950

                          ($21000-$1750-$300)

In order to document a business transaction in the accounting records of the company, a journal entry is employed. A journal entry is often made in the general ledger, but it can also be made in a subsidiary ledger and subsequently rolled forward into the general ledger after being summarised.

The journal entry has been attached below:

Allied Merchandisers

                                       Journal Entries

Date           General Journal                         Debit        Credit

03-May   Merchandise Inventory               $20,000

                    To Cash                                                     $20,000

05-May    Accounts Receivable                 $21,000

                     To Sales                                                    $21,000

05-May     Cost of goods sold                     $15,000

                    To Merchandise Inventory                        $15,000

07-May      Sales Returns and allowances   $1,750  

                     To Accounts Receivable                           $1,750

07-May      Merchandise Inventory               $1,250

                     To Cost of goods sold is $1,250

08-May      Sales Returns and allowances    $300

                      To Accounts Receivable                            $300

15-May        Cash                                             $18,571

                  Sales Discounts                           $379

                   ($18950*2%)

                        To Accounts receivable                           $18,950

                         ($21000-$1750-$300)

After then, the general ledger is utilized to produce the company's financial statements.  The idea behind a journal entry is to use double-entry accounting, which requires that every company transaction be recorded at least twice.

For instance, when you make a cash sale, the revenue account and the cash account are both increased. Alternatively, if you purchase items on credit, this raises both the accounts payable and inventory accounts.

Learn more about journal entries here:

https://brainly.com/question/33438461

#SPJ6

frolic Corporation has budgeted sales and production over the next quarter as follows: July August September Sales in units 41,500 53,500 ? Production in units 42,550 53,800 58,150 The company has 4,300 units of product on hand at July 1. 10% of the next month's sales in units should be on hand at the end of each month. October sales are expected to be 73,000 units. Budgeted sales for September would be (in units):

Answers

Answer:

56,500 units

Explanation:

The computation of Budgeted sales for September is shown below:-

we assume the no. of units sold in September be ‘x’

Budgeted Production production for September = Budgeted sale for September + desired ending inventory for September – Beginning Inventory for September

58,150 = x units + (73,000 × 10%) - (x units of Sept. × 10%)

58,150 = x + 7,300 - 0.10x

58,150 - 7300 = 0.9x

50,850 = 0.9x

x = 50850 ÷ 0.9

x = 56,500 units

The FREC is investigating a claim by a buyer that the broker had not given the proper disclosure to the buyer before the buyer purchased a home. The broker has paperwork dating back three years from the date of the signing of the document in question, and one year after the legal action of the case. Is the broker protected?

Answers

Answer:

No

Explanation:

The Florida Real Estate Commission was constituted in 1926. Members are appointed by the Governor.

The aim of FREC is to protect ye public from bad practices by brokers. They have the authority to impose disciplinary action on lisensees.

According to requirement of the FREC the broker is required to keep records of transactions 5 years after the transaction occurred and 2 years after any legal action.

In this case the broker kept his records 3 years after the transaction and 1 year after legal action.

So he is not protected from disciplinary action by the FREC

You observe a portfolio for five years and determine that its average return is 11.3​% and the standard deviation of its returns in 19.7​%. Would a​ 30% loss next year be outside the​ 95% confidence interval for this​ portfolio?

Answers

Answer:

-28.1%

Explanation:

Calculation for what would a​ 30% loss next year be outside the​ 95% confidence interval for the​ portfolio

The standard deviation of 95% confident will be 2

The first step is to find the Upper tail using this formula

Upper tail= Average return percentage +(Standard deviation of 95% confident *Standard deviation of its returns)

Let plug in the formula

Upper tail=0.113+(2*0.197)

Upper tail =0.113+0.394

Upper tail=0.507*100

Upper tail =50.7%

Second step is to find the Lower tail using this formula

Lower tail=Average return percentage -(Standard deviation of 95% confident *Standard deviation of its returns)

Let plug in the formula

Upper tail=0.113-(2*0.197)

Upper tail =0.113-0.394

Upper tail=-0.281*100

Upper tail =28.1%

Based on the above calculation the lower tail was -28.1% which means that it wouldn't in any way loss more than the 30% of it value next year outside the​ 95% confidence interval for the portfolio

Caribou Gold Mining Corporation is expected to pay a dividend of $6 in the upcoming year. Dividends are expected to decline at the rate of 3% per year. The risk-free rate of return is 5%, and the expected return on the market portfolio is 13%. The stock of Caribou Gold Mining Corporation has a beta of .5. Using the constant-growth DDM, the value of the stock is _________. A. $150 B. $50 C. $100 D. $200

Answers

The question is incomplete. Here is the complete question.

Caribou Gold Mining Corporation is expected to pay a dividend of $6 in the upcoming year. Dividends are expected to decline at the rate of 3% per year. The risk-free rate of return is 5%, and the expected return on the market portfolio is 13%. The stock of Caribou Gold Mining Corporation has a beta of .5. Using the constant-growth DDM, the intrinsic value of the stock is _________. A. $150 B. $50 C. $100 D. $200

Answer:

$50

Explanation:

Caribou Gold mining corporation is expected to make a dividend payment of $6 next year

Dividend are expected to decline at a rate of 3%

= 3/100

= 0.03

The risk free rate of return is 5%

= 5/100

= 0.05

The expected return on the market portfolio is 13%

= 13/100

= 0.13

The beta is 0.5

The first step is to calculate the expected rate of return

= 0.05+0.5(0.13-0.05)

= 0.05+0.5(0.08)

= 0.05+0.04

= 0.09

Therefore, the intrinsic value of the stock using the constant growth DDM model can be calculated as follows

Vo= 6/(0.09+0.03)

Vo= 6/0.12

Vo= $50

Hence the intrinsic value of the stock is $50

Cash dividends of $45,000 were declared during the year. Cash dividends payable were $10,000 at the beginning of the year and $15,000 at the end of the year. The amount of cash for the payment of dividends during the year is

Answers

Answer:

$40,000

Explanation:

               Dividend Payable

Opening Dividend                        $10,000

Add: Dividend Liability made      $45,000

after Dividend declared  

Less: Closing Dividend                $15,000

Dividend to pay in Current year $40,000

How can you assist the ProServices team in serving Pro customers in your
department? Select all that apply.
A. Pull orders for Pro customers in advance and have them ready to pick-up
B. Call Pro customers to maintain relationships and proactively seek out business
C. Monitor inventory levels to make sure key Pro items are in-stock
D. Price match other retailers to give Pro the best price
E. Identify pro customers and introduce them to the ProServices team​

Answers

Answer:

ProServices Team and Pro Customers

Assisting the ProServices Team in serving Pro customers in my department.  Here I have assumed that my department manages and coordinates the relationship with Pro customers:

A. Pull orders for Pro customers in advance and have them ready to pick-up

B. Call Pro customers to maintain relationships and proactively seek out business

C. Monitor inventory levels to make sure key Pro items are in-stock

D. Price match other retailers to give Pro the best price

E. Identify pro customers and introduce them to the ProServices team​.

Explanation:

“Pro” customers are a group of independent contractors, repair remodelers, specialty tradesmen, property management, and facility maintenance professionals who are afflicted to an organization offering ProServices.  They are not the end customers.  Between my organization and the customers, they are middlemen and women who are organized by my ProServices organization to offer specialty services to the general public in a professional manner that  guarantees customer satisfaction and payment to the professionals for services rendered.  In doing this, the ProService organization charges the Pro customers a fixed fee, which is deducted from the payments made by the end-customers.

If the economy is normal, Charleston Freight stock is expected to return 16.5 percent. If the economy falls into a recession, the stock's return is projected at a negative 11.6 percent. The probability of a normal economy is 70 percent while the probability of a recession is 30 percent. What is the variance of the returns on this stock

Answers

Answer:

Variance of the returns of this stock is  0.01658177

Explanation:

Mean return = 0.7 * 16.5% + 0.3*-11.6%

Mean return =  0.1155 - 0.0348

Mean return = 0.0807

Mean return = 8.07%

Variance of the return = 0.7 * (16.5%-8.07%)^2 + 0.3 * (-11.6%-8.07%)^2

Variance of the return = 0.7 * (8.43%)^2 + 0.3 * (-19.67%)^2

Variance of the return = 0.7 * (0.0843)^2 + 0.3 * (-0.1967)^2

Variance of the return = 0.0049745 + 0.011607267

Variance of the return = 0.01658177

Kate is in the 15% tax bracket and has $29,000 available for investment during her current tax year. Assume that she remains in the same tax bracket over the next 11 years, and determine the accumulated amount of her investment after taxes if she puts the$29,000 into the following. (Round your answers to the nearest cent.)(a) a tax-deferred annuity that pays 4%/year, tax deferred for 11 years$ (b) a taxable instrument that pays 4%/year for 11 years

Answers

Answer and Explanation:

The computation is shown below:

a. The Accumulated amount of her investment atter taxes is

Before that first we have to determine the future value which is shown below:

As we know that

Future value = Present value × (1 + interest rate)^number of years

= $29,000 × (1 + 0.04)^11

= $44,644.17

And, the tax rate is 15%

So, the after tax value is

= $44,644.17 × (1 - 0.15)

= $37,947.54

b. Now for the second part it is

= Annual cash flows × Annuity factor at 3.4% for 11 years

= $29,000 × 10.638

= $308,502

Jensen performed legal services to assist Balm Co. in accomplishing its initial organization. Jensen accepted 1,000 shares of $5 par common stock in Balm as payment for his services. The Balm shares were not yet publicly traded, but they had a book value of $4 per share. Jensen provided 48 hours of service, which is normally billed at $125 per hour. By what amount should the common stock account increase?

Answers

Answer: $5,000

Explanation:

The Common Stock account of a company will record stock only at the Par Value so that the Balance sheet is more accurate.

As such, the common stock account here will increase by;

= 1,000 * $5 par value

= $5,000

The_________for a soft drink manufacturer would include other manufacturers of soft drinks, fruit juices, bottled water, sports drinks, caffeine-free colas, and dairy beverages.

a. competitive environment
b. technological environment
c. cooperative environment
d. economic environment

Answers

Answer:

The answer is A

Explanation:

Competitive environment is an environment where competitors compete with one another for customers.

For example, Westpac, NAB, Commonwealth Bank and ANZ are in the same competitive environment. These are banks in Australia.

Types of competition are perfect competition, monopoly, monopolistic competition, oligopoly etc.

Sweet Acacia Industries reported net income of $1.40 million in 2022. Depreciation for the year was $224,000, accounts receivable decreased $490,000, and accounts payable decreased $392,000.


Required:

Compute net cash provided by operating activities using the indirect approach.

Answers

Answer:

Net Cash flow from operating = $ 1,722,000  

Explanation:

To determine the net cash flow from operating activities. We will adjust the net income as follows; all decrease in assets and increase in liabilities are added and all increase in assets and decrease in liabilities are subtracted.

All non- cash expenses would be added back and all non-cash income would be deducted from the net income. Notable here is depreciation a non-cash expense which must be added back to the net income

This principle is applied below:

                                                                $

Net Income                                        1,400,000

Adjustments:

Add depreciation expense                 224,000

Add decrease in current asset           490,000      

less decrease in current liabilities     (392,000)      

Net Cash flow from operating            1,722,000  

Net Cash flow from operating = $ 1,722,000  

On January​ 2, 2019, Konrad Corporation acquired equipment for . The estimated life of the equipment is 5 years or hours. The estimated residual value is . If Konrad Corporation uses the units of production method of​ depreciation, what will be the debit to Depreciation Expense for the year ended December​ 31, 2020, assuming that during this​ period, the asset was used ​hours?

Answers

The question is incomplete. The complete question is,

On January 2, 2019, Konrad Corporation acquired equipment for $500,000. The estimated life of the equipment is 5 years or 18,000 hours. The estimated residual value is $14,000. If Konrad Corporation uses the units of production method of depreciation, what will be the debit to Depreciation Expense for the year ended December 31, 2020, assuming that during this period, the asset was used 6,000 hours?

A. $166,667

B. $97,200

C. $162,000

D. $171,333

Answer:

The depreciation expense for the year is $162000. Thus, option C is the correct answer

Explanation:

The depreciation expense is the systematic allocation of the cost of the asset over its estimated useful life. The depreciation can be calculated using various methods. Under the units of production method, the depreciation expense for the period is calculated using the following formula,

Depreciation expense = [(Cost - Residual value) / Total estimated production units] * Units produced in a particular period

Depreciation expense = [(500000 - 14000) / 18000] * 6000

Depreciation expense = $162000

Michigan Corporation manufactured inventory in the United States and sold the inventory to customers in Canada. Gross profit from sale of the inventory was $500,000. Title to the inventory passed FOB: Destination. How much of the gross profit is treated as foreign source income for purposes of computing Michigan Corporation’s foreign tax credit in the current year?

Answers

Answer:

50% of gross profit = $250,000

Explanation:

The Tax Cuts and Jobs Act of 2017 changed some aspects of Section 863(b), but aspects regarding US companies producing locally and exporting their production to foreign countries remains the same. US companies can allocate 50% of gross profit as foreign source income, while the other 50% must be allocated as domestic income due to production related activities.

How much will be in the Prepaid Insurance account at the end of the year, after the adjusting entries have been prepared and posted

Answers

Answer: $8,400

Explanation:

The $9,600 is for 2 years in advance. This can be apportioned per month at a rate of;

= 9,600/24

= $400 per month.

October to the end of the year is 3 months so;

= 400 * 3

= $1,200 will be recorded for the year.

Prepaid Insurance will therefore reduce to;

= 9,600 - 1,200

= $8,400

An asset has had an arithmetic return of 11.9 percent and a geometric return of 9.9 percent over the last 86 years. What return would you estimate for this asset over the next 8 years? 23 years? 39 years? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)

Answers

Answer:

11.74% ; 11.38%; 11.01%

Explanation:

Given the following :

Arithmetic return (Ar) = 11.9%

Geometric return (Gr) = 9.9%

N = 86 years = Past period

A) Return in the next 8 years

T = future period = 8 years

Return = (T - 1) / (N - 1) * Geometric average + (N - T) / (N - 1) * Arithmetic average.

Return = (8 - 1) / (86 - 1) * 0.099 + (86 - 8) / (86 - 1) * 0.119

(0.0823529 * 0.099) + (0.9176470 * 0.119)

= 0.1173529301

= 0.1173529301 * 100 = 11.74%

B) over the next 23 years

T = 23 years

Return = (T - 1) / (N - 1) * Geometric average + (N - T) / (N - 1) * Arithmetic average.

Return = (23 - 1) / (86 - 1) * 0.099 + (86 - 23) / (86 - 1) * 0.119

(0.2588235 * 0.099) + (0.7411764 * 0.119)

= 0.1138235181

= 0.1138235181 * 100 = 11.38%

C.) over 39 years

F = 39 years

Return = (T - 1) / (N - 1) * Geometric average + (N - T) / (N - 1) * Arithmetic average.

Return = (39 - 1) / (86 - 1) * 0.099 + (86 - 39) / (86 - 1) * 0.119

(0.4470588 * 0.099) + (0.5529411 * 0.119)

= 0.1100588121

= 0.1100588121 * 100 = 11.01%

Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows: Current Year Previous Year Sales $4,000,000 $3,600,000 Cost of goods sold 2,280,000 1,872,000 Selling expenses 600,000 648,000 Administrative expenses 520,000 360,000 Income tax expense 240,000 216,000 a. Prepare an income statement in comparative form, stating each item for both years as a percent of sales. Round to the nearest whole percentage. Innovation Quarter Inc. Comparative Income Statement For the Years Ended December 31 Current year Amount Current year Percent Previous year Amount Previous year Percent Sales $4,000,000 % $3,600,000 % Cost of goods sold (2,280,000) % (1,872,000) % $ % $ % Selling expenses $(600,000) % $(648,000) % Administrative expenses (520,000) % (360,000) % $ % $ % $ % $ % Income tax expense (240,000) % (216,000) % $ % $ % b. The vertical analysis indicates that the cost of goods sold as a percent of sales by 5 percentage points, while selling expenses by 3 percentage points, and administrative expenses by 3 percentage points. Thus, net income as a percent of sales by 5 percentage points.

Answers

Answer:

Innovation Quarter Inc.

a) Comparative Vertical Analysis of Income Statement

                                          Current Year     %         Previous Year     %

Sales                                  $4,000,000   100%      $3,600,000     100%

Cost of goods sold              2,280,000    57%         1,872,000      52%

Gross profit                         $1,720,000    43%       $1,728,000      48%

Selling expenses                    600,000     15%          648,000        18%

Administrative expenses       520,000     13%          360,000        10%

Income tax expense              240,000       6%           216,000         6%

After Tax Income                 $360,000       9%       $504,000         14%

b. The vertical analysis indicates that the cost of goods sold as a percent of sales increased by 5 percentage points, while selling expenses decreased by 3 percentage points, and administrative expenses increased by 3 percentage points. Thus, net income as a percent of sales decreased by 5 percentage points.

Explanation:

Data and Calculations:

Vertical Analysis of Income Statement Revenue and expense data for Innovation Quarter Inc. for two recent years are as follows:

                                                Current Year         Previous Year

Sales                                        $4,000,000            $3,600,000

Cost of goods sold                    2,280,000               1,872,000

Selling expenses                          600,000                648,000

Administrative expenses             520,000                360,000

Income tax expense                    240,000                 216,000

Innovation Quarter Inc. can use this vertical analysis to express the relationship between each line item and the sales revenue.  The vertical analysis helps in ascertaining the percentage increases in each variable.  With the analysis, the management of Innovation Quarter Inc. can undertake further investigations to learn the causes of the different performances and learn ways to control them.

A monopolist faces a

A. a two-tiered demand curve.

B. a perfectly elastic demand curve.

C. the market demand curve.

D. a perfectly inelastic demand curve.

Answers

Answer:

C

Explanation:

The declaration, record, and payment dates in connection with a cash dividend of $77,000 on a corporation's common stock are October 1, November 7, and December 15.

Required:
Journalize the entries required on each date.

Answers

Answer:

Oct 1

Dr Cash Dividend $77,000

Cr Dividend Payable $77,000

Nov 7

No Entry required on the record date

Dec 15

Dr Dividend Payable $77,000

Cr Cash

Explanation:

Preparation of the Journal entries for each date

Based on the information given we were told that the cash dividend of the amount of $77,000 was a corporation's common stock are October 1, November 7, and December 15 which means that the transaction will be recorded as:

Oct 1

Dr Cash Dividend $77,000

Cr Dividend Payable $77,000

Nov 7

No Entry required on the record date

Dec 15

Dr Dividend Payable $77,000

Cr Cash

Menlo Company distributes a single product. The company’s sales and expenses for last month follow:

Total Per unit
Sales $314,000 $20
Variable expenses 219,800 14
Contribution margin 94,200 6
Fixed expenses 75,000
Net operating income 19,200

Required:
a. What is the monthly break-even point in unit sales and in dollar sales?
b. Without resorting to computations, what is the total contribution margin at the break-even point?
c. How many units would have to be sold each month to attain a target profit of S27,600?
d. Verify your answer by preparing a contribution format income statement at the target sales level.
e. Refer to the original data. Compute the company's margin of safety in both dollar and percentage terms.
f. What is the company's CM ratio? If sales increase by $76,000 per month and there is no change in fixed expenses, by how much would you expect monthly net operating income to increase?

Answers

Answer:

a) 12,500 units

b) $75,000

c) 17,100 units

d) total sales revenue $342,000

- variable costs = -$239,400

contribution margin = $102,600

- fixed expenses = $75,000

net income = $27,600

e) 20.38%

f.1) 30%

f.2) $22,800

Explanation:

                                                       Total          Per unit

Sales                                            $314,000        $20

Variable expenses                     $219,800         $14

Contribution margin                    $94,200          $6

Fixed expenses                           $75,000

Net operating income                 $19,200

break even point = fixed costs / contribution margin = $75,000 / $6 = 12,500 units

units needed to yield expected profits = (fixed costs + expected profits) / contribution margin = ($75,000 + $27,600) / $6 = 17,100 units

margin of safety = (current sales - break even point) / current sales = ($314,000 - $250,000) / $314,000 = 20.38%

contribution margin ratio = (total revenue - variable costs) / total revenue = ($314,000 - $219,800) / $314,000 = 30%

$76,000 x 30% = $22,800

The monthly break-even point in unit sales is 12,500 units. The total contribution margin at the break-even point is $75,000.

c) 17,100 units would have to be sold each month to attain a target profit of S27,600.

d) total sales revenue of $342,000

- variable costs = -$239,400

contribution margin = $102,600

- fixed expenses = $75,000

net income = $27,600

e) The company's margin of safety in percentage terms is 20.38%.

f.1) The company's CM ratio is 30%.

f.2) The  Expected monthly net operating income to increase by $22,800.

The break-even threshold is reached when overall costs and total revenues are equal, leaving your small firm with no net benefit or loss. In other words, you've achieved the point in manufacturing when the income from a product matches the cost of manufacturing.

A formula known as net operating income (NOI) is used to assess the profitability of real estate assets that produce revenue. NOI is the sum of all property revenues less all running costs that are deemed to be reasonably reasonable.

On a property's income and cash flow statement, NOI is a before-tax statistic that does not include loan principal and interest payments, capital expenses, depreciation, or amortization. In other sectors, this term is known as "EBIT," which stands for "earnings before interest and taxes."

Learn more about net operating income here:

https://brainly.com/question/32721350

#SPJ6

Idaho Industries Inc. is considering a project that has an initial aftertax outlay or aftertax cost of​ $450,000. The respective future cash inflows from its fiveyear project for years 1 through 5 are​ $95,000 each year. Idaho expects an additional cash flow of​ $60,000 in the fifth year. The firm uses the IRR method and has a hurdle rate of​ 10%. Will Idaho accept the​ project? A. Idaho accepts the project because it has an IRR greater than​ 10%. B. Idaho accepts the project because it has an IRR greater than​ 5%. C. Idaho rejects the project because it has an IRR less than​ 10%. D. There is not enough information to answer this question.

Answers

Answer:

c

Explanation:

Internal rate of return is the discount rate that equates the after tax cash flows from an investment to the amount invested

IRR can be calculated using a financial calculator

Cash flow in year 0 =  $-450,000

Cash flow each year from year 1 to 4 = $95,000

Cash flow in year 5 = $95,000 + $60,000 = $155,000

IRR = 5.62%

Idaho would reject the project because the IRR is less than the hurdle rate

To find the IRR 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 IRR button and then press the compute button.  

Rather than crediting the Unearned rent account for $400 of prepaid rent received from a customer, which explains an alternate recording procedure to journalize this receipt?

Answers

Answer:

Record receipt with a credit to the rent revenue account

Any unused portion of the prepayment still existing at the end of the period will be transferred to the Unearned rent account

Explanation:

Prepaid rent is an income that is to be earned at a future date. Since income is normally recorded as a revenue when it is earned, we usually credit Unearned Rent account.

However financial statements are made at end of a defined period (for example monthly, quarterly, biannually, or yearly).

The journal entry can be credited to the Rent Revenue account directly. At the end of the period the amount earned is retained in the account, and the unearned portion of the prepaid rent is transferred to the Unearned Rent account.

So financial statements will only recognise earned income when prepared.

On January 1, 2018, Frontier World issues $40.7 million of 9% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year. The proceeds will be used to build a new ride that combines a roller coaster, a water ride, a dark tunnel, and the great smell of outdoor barbeque, all in one ride. rev: 11_03_2016_QC_CS-68413 Required: 1-a. If the market rate is 8%, calculate the issue price. (FV of $1, PV of $1, FVA of $1, and PVA of $1)

Answers

Answer:

$44,728,243.62

Explanation:

face value $40,700,000

coupon rate 9%, semiannual 4.5%

maturity 20 years x 2 = 40 periods

market interest rate 8%

issue price?

present value of face value = $40,700,000 / (1 + 4%)⁴⁰ = $8,477,364.12

present value of coupon payments = $1,831,500 x 19.793 (PV annuity factor, 4%, 40 periods) = $36,250,879.50

market price = $8,477,364.12 + $36,250,879.50 = $44,728,243.62

Journal entry to record issuance of the bonds:

January 1, 2018, bonds are issued at a premium

Dr Cash 44,728,243.62

    Cr Bonds payable 40,700,000

    Cr Premium on bonds payable 4,028,243.62

Other Questions
Assume the following sales data for a company: Current year $325,000 Preceding year 250,000 What is the percentage increase in sales from the preceding year to the current year?a. 70% b. 30% c. 50% d. 76.9% Can someone please help! 7x-y= 224x + 2y = 10can someone help plz? If Ab = 54, find MC. The sum of two numbers is twenty-four. The second number is equal to twice the first number. Call the first number m and the second number n. What is the product of the reaction of pentanoic acid with ethanol in the presence of a strong acid? A?B?C?D? The box plots below represent the scores for games played by two high schools basketball teams over the last 5 seasons If a system of linear equations has no solution, what does this mean about the two lines? The higher the bowling score the better. The lower the golf score the better. Assume both are normally distributed. a. Suppose we have a sample of the Santa Ana Strikers' bowling scores. Q1 = 125 and Q3 = 156. Would it be usual or unusual to have a score of 200?b. Suppose the mean bowling score is 155 with a standard deviation of 16 points. What is the probability that in a sample of 40 bowling scores, the mean will be smaller than 150?c. Suppose the mean golf score is 77 with a standard deviation of 3 strokes We will give a trophy for the best 5% of scores. What score must you get to receive a trophy? d. Suppose the mean golf score is 77 with a standard deviation of 3 strokes. Would a golf score of 70 be ordinary, a mild outlier, or an extreme outlier? Laura would like to include additional text that is related to the document but not contained within the document.Which option should she use to achieve this goal?O text boxO sidebarO pull quoteO bibliography can any one help me in this..???? please How is multiplying 3 - 2i by ia represented on the complex plane?Drag a term or measure into each box to correctly complete the statementsThe complex number 3 - 2i lies in quadrant IVof the complex plane. When any complex number is multiplied by theimaginary unit, the complex number undergoes a90rotation in a counterclockwise direction This means thatthe complex product of 3 - 2i and 22 lies inquadrant Iof the complex plane. stion 6/48which would be the best evidence that a cell is using active transport to move a substance across its cellmembrane?A) Substances are moving rapidly across the cell membrane.B) ATP is being rapidly consumed near the cellular membrane.C) Substances are moving from high to low concentrations.D) Substances are moving through channels in the cell membrane. PLEASE HELP FOR REAL In exercises 22 24 , describe how the change affects the surface area of the right prism or right cylinder . Question 13 (6.67 points)Which of the following is NOT a benefit of a word processing application?Provides automatic online backupOffers professional document appearanceAllows easy sharing and collaborationSaves time and increases efficiency On January 1, Parson Freight Company issues 9.0%, 10-year bonds with a par value of $3,400,000. The bonds pay interest semiannually. The market rate of interest is 10.0% and the bond selling price was $3,168,967. The bond issuance should be recorded as: Read the excerpt from "Women" and answer the question.------------------------------------------------------------------------------------------------ How they knew what we Must know Without knowing a page Of it Themselves.----------------------------------------------------------------------------------------------- What do the details in these lines suggest?(A) The women only created progress through blind luck.(B) The women were wiser than they realized.(C) The women were illiterate.(D) The women were bitter about their circumstances. How is the definition of the word theory different in science versus in everyday life? A. In everyday speech a theory is the same as a hypothesis-a statement that has (been) tested. In science a theory is a synthesis of a large body of verified information B. In everyday speech a theory is the same as a hypothesis-a statement that has ( not been) tested. In science a theory is a synthesis of a large body of verified information You suspect that a hacker has compromised a computer using one of its open ports. Which command would allow you to view the open ports on the computer A customer sells short 100 shares of ABC at $17 as the initial transaction in a new margin account. The customer must deposit:_______.A. $750. B. $1,500. C. $2,000. D. $3,000.