Answer:
Dr Estimated Warranty Liability $8,600
Cr Spare Parts Inventory $8,600
Explanation:
The estimated warranty claim is worth $7,600 which means that the warranty claim must be debited by this amount as it was previously forecasted to be at $11,000 and in this month, the claim was worth $7,600. So decrease in warranty liability is necessary. Furthermore, the Spare Parts Inventory would be credited as the Spare parts would be used to fix the inventory which must be of $7,600 in value.
The double entry to record Warranty Repairs would be as under:
Dr Estimated Warranty Liability $8,600
Cr Spare Parts Inventory $8,600
Lacy Technology transferred items with $12,600 of cost out of the Assembly Department because the items were finished and ready to be sold. What journal entries correctly reflects this transaction?
Answer:
Dr Finished Goods Inventory 12,600
Cr Work in Process - Assembly 12,600
Explanation:
Based on the information given we were told that the company transferred items that cost the amount of $12,600 from the Assembly Department because the items were finished and ready to be sold which means that the journal entries will be recorded as:
Dr Finished Goods Inventory 12,600
Cr Work in Process - Assembly 12,600
Suppose that the income tax rate is reduced by the federal government and simultaneously a recession hits causing the economy to move below its potential output, this will:
Answer:
Raise both the cyclical and structural deficits
Explanation:
During economic downturn the cyclical deficit will rise, leading to rise in already structural deficit of federal government. The Structural deficit arises when government continue to spend more than its revenue, and thus cyclical deficit will add upward pressure in structural deficit.
Therefore there will be Raise in both the cyclical and structural deficits
A company's gross profit (or gross margin) was $129,650 and its net sales were $502,900. Its gross margin ratio is
Answer:
25.8%
Explanation:
A company gross profit is $129,650
The net sales is $502,900
Therefore, the gross margin ratio can be calculated as follows
Gross margin ratio= gross margin /net sales
= $129,650/$502,900
= 0.258×100
= 25.8%
Hence the gross margin ratio is 25.8%
York's outstanding stock consists of 80,000 shares of noncumulative 7.5% preferred stock with a $5 par value and also 200,000 shares of common stock with a $1 par value. During its first four years of operation, the corporation declared and paid the following total cash dividends: 2015 total cash dividends $20,000 ; 2016 total cash dividends 28,000 ; 2017 total cash dividends 200,000 ; 2018 total cash dividends 350,000. Please explain how to journal this.
Answer:
dividends paid during 2015:
preferred stock dividends = $20,000, dividend per preferred stock = $0.25
common stock dividends = $0, dividend per common stock = $0
dividends paid during 2016:
preferred stock dividends = $28,000, dividend per preferred stock = $0.35
common stock dividends = $0, dividend per common stock = $0
dividends paid during 2017:
preferred stock dividends = $30,000, dividend per preferred stock = $0.375
common stock dividends = $170,000, dividend per common stock = $0.85
dividends paid during 2018:
preferred stock dividends = $30,000, dividend per preferred stock = $0.375
common stock dividends = $320,000, dividend per common stock = $1.60
Since the preferred stocks are not cumulative, any preferred dividends that are not paid during a year will not be paid in future years.
0.69 points eBookPrintReferences Check my work Check My Work button is now enabledItem 1Item 1 0.69 points Fresh Veggies, Inc. (FVI), purchases land and a warehouse for $410,000. In addition to the purchase price, FVI makes the following expenditures related to the acquisition: broker's commission, $21,000; title insurance, $1,100; and miscellaneous closing costs, $4,200. The warehouse is immediately demolished at a cost of $21,000 in anticipation of building a new warehouse. Determine the amount FVI should record as the cost of the land.
Answer:
$457,300
Explanation:
Calculation to determine the amount FVI should record as the cost of the land.
COST OF LAND
Land and warehouse $410,000
Add Expenditure:
Broker's commission $21,000
Title insurance $1,100
Miscellaneous closing costs $4,200
Warehouse demolished cost $21,000
Cost of land $457,300
Therefore the cost of land will be $457,300
After analyzing its own resources and unique abilities, a company is now trying to determine what group of customers it can satisfy with a good or service. It is in the process of choosing a
Answer: target market
Explanation: A target market is simply a group of people whose needs and preferences match the product range of a company and to whom those products are marketed, often times actively. As such, when the resources and unique abilities of a firm has been analysed, and is now in the process of determining what group of customers it can satisfy with a good or service, then it is in the process of choosing a target market.
As the workforce becomes more diverse, why does performance appraisal become a more difficult process?
Answer:
Performance appraisal in a company with diverse workforce becomes difficult because of some cultural biases that may exist between the manager, who is doing the appraisal, and the diverse workforce. This problem becomes more acute if the manager is culturally biased and discriminatory by practise.
Explanation:
Company A can have a diverse workforce if it is made up of employees from culturally different places working together in the same workplace. Bias often arises due to human cultural nuisances. This becomes more obvious where managers are from some particular cultures while the employees are from mixed cultures. In such situations, the managers need to be retrained to enable them embrace cultural diversity in the workplace and in performance evaluation.
The key cause due to which the performance appraisal becomes problematic due to diversity in the workforce would be:
- Cultural bias
What is performance appraisal?
Performance appraisal is described as the process of reviewing the performances done by the employees in a particular organization to attain its goals and reward them accordingly.
When the workforce of a particular company or organization becomes exceedingly diverse, it becomes problematic to do performance appraisals.
The reason behind this is that this diversity gives rise to cultural biases and may result in discrimination.
Learn more about "Performance" here:
brainly.com/question/22735387
A Japan-based company, Sumo Gyms, Inc., issues a 35-year, semi-annual coupon bond, with a ¥300 million par value. The coupon rate is given as 5.90%, and the yield to maturity is 6.70. a. What is the value of the semi-annual coupon on the bond?
Answer:
per*
Explanation:
Patterson Company owns 80% of the outstanding common stock of Stevens Company. On June 30, 2013, landcosting $500,000 is sold by one affiliate to the other for $800,000.Required:Prepare in general journal form the workpaper entries necessary because of the intercompany sale of land in theconsolidated financial statements workpaper for the year ended December 31, 2014, assuming that:A. Patterson Company purchased the land from Stevens Company.B. Stevens Company purchased the land from Patterson Company.
Answer:
1. Sale of land by Stevens (subsidiary) - Upstream transaction
General Journal
Date Particulars Debit Credit
31-Dec-14 Retained earnings A/c $240,000
(300,000*80%)
Non controlling interest $60,000
(300,000*20%)
To, Land $300,000
(Being profit on sale eliminated)
2. Sale by Patterson (holding) - Downstream transaction
Date Particulars Debit Credit
31-Dec-14 Retained earnings a/c $300,000
To, Land $300,000
(Being profit on sale earlier recognized by holding eliminated)
In the Vaughn Manufacturing, indirect labor is budgeted for $108000 and factory supervision is budgeted for $36000 at normal capacity of 160000 direct labor hours. If 170000 direct labor hours are worked, flexible budget total for these costs is:
Answer:Flexible budget =$ 150,750
Explanation:
Variable overhead rate = $108,000 / 160000 = $ 0.675 per hour
(budgeted supervision cost) Fixed overhead = $ 36,000
Flexible budget = Variable over head rate x direct labour + budgeted supervision cost (fixed overhead)
0.675 x 170,000+ 36,000
= 114,750+36,000
=$ 150,750
Which of the following refers to how companies remain in business? sustainability corporate social responsibility carbon footprint closed-loop supply chains economic sustainability
Answer:
Economic sustainability
Explanation:
According to the Prebisch-Singer hypothesis, this fate has befallen many developing countries given the general decline in commodity prices in relation to the price of manufactured goods.A) TrueB) False
Answer: True
Explanation;
Generally, manufactured goods cost more than the commodity goods that they were manufactured from due to the value that has been added to them. This is what the Prebisch-Singer hypothesis argues, that commodity prices decline overtime in relation to manufacturing good prices.
This is a fate that has befallen many developing countries as many of them export commodity goods to developed countries who then add value to them, turning them into manufactured goods and then selling them back to developing countries at a higher price thereby negatively affecting their balance of trade.
On January 31, 2021, B Corp. issued $650,000 face value, 11% bonds for $650,000 cash. The bonds are dated December 31, 2020, and mature on December 31, 2030. Interest will be paid semiannually on June 30 and December 31. What amount of accrued interest payable should B report in its September 30, 2021, balance sheet
Answer:
The amount of accrued interest payable that B should report in its September 30, 2021, balance sheet is $ 23,833.
Explanation:
Prepare a Bond Amortization Schedule using the data :
Hint : First find the Yield to Maturity
N = 10
PV = $650,000
Pmt = ($650,000 × 11%) ÷ 2 = - $35,750
P/ yr = 2
FV = - $650,000
YTM = ?
Using a Financial Calculator, the YTM is 11.64%.
By the end of September 30, 2021, 8 months` interest will have expired.Thus the amortization schedule should accrue interest for 8 months as follows :
Interest $ 23,833 (debit)
Investment in Bond $ 23,833 (credit)
Interest Calculation = $ 35,750 × 8 / 12
= $ 23,833
Antitrust regulations would most likely require one of the following in order to determine whether or not a merger may enhance competition. Which one is it?
A. Highly complex analytical tools
B. Analysis using numerical tools
C. Obvious objective judgments
D. Readily qualified judgments
Answer: analysis using numerical tools
Explanation:
The main reason for the creation of Antitrust laws was to give power to the government to block some particular mergers and also break up the large firms to smaller ones.
Antitrust regulations would most likely require analysis using numerical tools in order to determine whether or not a merger may enhance competition.
Let M be the number of units to make and B be the number of units to buy. If it costs $2 to make a unit and $3 to buy a unit and 4000 units are needed, the objective function is
Min 2M + 3B
Min 4000 (M + B)
Max 2M + 3B
Max 8000M + 12000B
Answer:
Min 2M + 3B
Explanation:
Data provided in the question
Let us assume M denotes the making units
B denotes the buying units
So,
Making cost per unit = $2
And, the buying cost per unit = $3
And, the total number of units required = 4,000 units
Based on the above information, the objective function is Min 2M + 3B.
This indicates the minimum total cost
Hence, the correct option is A.
Which of the following is NOT a benefit of a social media presence for a brand? Group of answer choices Social media allows companies to have a short-term focus. Social media allows marketers to establish a public voice and presence online. Social media can cost-effectively reinforce other communication activities. Social media can encourage companies to stay innovative and relevant. Social media can be used to build or tap into online communities.
Answer: Social media allows companies to have a short-term focus.
Explanation:
Social Media has made the world way more connected than it was before even with the advent of the Internet. As such, companies were able to leverage on this to improve their brand and popularity by being present on the various social media platforms.
With social media, companies have been able to marketers to establish a public voice and presence online, cost-effectively reinforce other communication activities, build online forums and communities as well as remain relevant in a fast changing world.
Companies having a short term focus as a result of social media is not a benefit of social media. A company should always think long term and even social media can help them achieve long term growth if long term marketing plans are integrated with social media marketing.
Your client in the 25% federal income tax bracket lives in a state where his earnings place him in the 6% bracket for state income tax purposes. If he were to purchase a 4% bond issued by a political subdivision of another state, his total tax-equivalent yield would be
Answer:
Slightly more than 5.33%.
Explanation:
In case when the municipal bond owned by an individual i.e. issued is not for interest free tax rate but also it is non tax on that particular state
So here the tax-equivalent yield is
= Purchase bond percentage ÷ (1 - tax rate)
= 0.04 ÷ (1 - 0.25)
= 5.33%
Hence, his total tax-equivalent yield is 5.33% i.e. calculated by applying the above formula
In trial balance, which accounts with normal balance is recorded at the credit side?
Your textbook discussed a model of a simple economy with four markets: labor, capital, energy, and food. Which of the following statements is inconsistent with a general equilibrium for this simple economy?
A. The household demand for energy equals the industry supply of energy.
B. The household demand for food equals the industry supply of food.
C. The household demand for labor equals the industry supply of labor.
D. The household supply of capital equals the industry demand for capital.
Answer:
The correct answer is the option C: The household demand for labor equals the industry supply of labor
Explanation:
To begin with, when it comes to the microeconomics theory the market of labor is considered to be as a factor of production market and from that point of view the labor is demanded by the companies to the households who are the ones who offered the labor due to the fact that the workers are the one who put their force to disposition of the companies. And that is why that it would be inconsistent to say that the household demand for labor will equals the industry supply of labor, because it is all the way around, the household supply of labor will equals the industry demand of it.
seigel co. maintains a defined-benefit pension plan for its employees. at each balance sheet date, seigel should report a pension asset / liability equal to the
Answer: funded status relative to the projected benefit obligation
Explanation:
A defined benefit pension plan is a pension plan type in which the employer promises to pay the worker a lump sum or a pension payment which is based on the earnings history, age and the tenure of service of the worker.
Since Seigel co. maintains a defined-benefit pension plan for its employees. at each balance sheet date, seigel should report a pension asset/liability that will be equal to the funded status relative to the projected benefit obligation.
An organizationally-driven reason for outsourcing is that it can improve effectiveness by focusing on what the firm does best.
Answer:
True
Explanation:
Outsourcing is when a company gives some of its internal activities to an external party that takes the responsibility to get things done and one of the reasons for a company to do this is to get rid of activities that have to get done but that are not part of their core operations to be able to concentrate on their main activity and get those things done by experts which can help increase productivity. According to that, the answer is that the statement is true.
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.
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.
Alpha Industries is considering a project with an initial cost of $9.1 million. The project will produce cash inflows of $1.84 million per year for 7 years. The project has the same risk as the firm. The firm has a pretax cost of debt of 5.94 percent and a cost of equity of 11.49 percent. The debt–equity ratio is .71 and the tax rate is 40 percent. What is the net present value of the project?
Answer:
NPV = $1.22 million
Explanation:
The Net present value (NPV) is the difference between the Present value (PV) of cash inflows and the PV of cash outflows. A positive NPV implies a good investment decision and a negative figure implies the opposite.
NPV of an investment:
NPV = PV of Cash inflows - PV of cash outflow
To work oit the NPV we would need to determine the discount rate i.e cost of capital as follows:
Cost of capital -discount rate -
WACC = We×Ke + Wd×Kd
After cost o debt = 5.94× (1-0.4)=3.56
WACC = (0.71×3.56 %) + (0.29×11.49%)=5.86 %
PV of cash inflow = A× (1- (1+r)^(-n))/r
A- annul cash inflow, r- 5.86%, n- 7
PV of cash inflow= 1.84 million × (1- 1.0586^(-7))/0.0586 =10.32
Initial cost = 9.1 million
NPV = 10.32 - 9.1 = 1.22 million
NPV = $1.22 million
Suppose annual inflation rates in the U.S. and Mexico are expected to be 6% and 80%, respectively, over the next several years. If the current spot rate for the Mexican peso is $.005, then the best estimate of the peso's spot value in 3 years is Group of answer choices $.00276 $.01190 $.00321 $.00102
Answer:
$.00102
Explanation:
The forward peso's spot value in 3 years can be computed using the below formula:
forward exchange rate=current spot rate*(1+US inflation)^3/(1+Mexican inflation)^3
current spot rate=$.005,
US inflation rate is 6%
Mexican inflation rate is 80%
forward exchange rate=$.005,*(1+6%)^3/(1+80%)^3
forward exchange rate(in 3 years)=$0.00102
Projectized organizations are especially effective at helping team members to maintain their discipline-specific competencies. Group of answer choices
Answer: False
Explanation:
A projectized organization is a form of organization structure is that is designed such that it is hierarchical and headed by the project manager who is typically involved in every decision that is made regarding the project as he or she is the one that team members report to.
Therefore, projectized organizations are not effective at helping team members to maintain their discipline-specific competencies.
Margin on price as a percentage is the expression of how much you mark your product up by to arrive at your retail price. True False
Answer:
False
Explanation:
The margin on price refers to a percentage by taking a difference between the gross profit and the selling price
Here gross profit comes by
= Selling price - cost price
Now in the cost price we added some markup percentage i.e most probably equivalent to the retail price
Hence, the given statement is false
Charlie is a strategist who wants to decide on the appropriate strategy to help his firm "go global." Which of the following should Charlie consider while choosing his strategy?A) He must be aware of the fact that despite globalization and the emergence of the Internet, firm geographic location has actually maintained its importance.B) He should rely on his firm's business-level strategy as a clue to possible strategies pursued globally.C) He should remember that he has only one framework at his disposal to make global strategy decisions.D) He must remember that higher levels of control and a lower likelihood of any loss in reputation go along with less investment-intensive foreign entry modes.
Answer: A) He must be aware of the fact that despite globalization and the emergence of the Internet, firm geographic location has actually maintained its importance.
Explanation:
Charlie must consider that despite the fact that the internet and technology have made globalization more accessible, the location of a business remains very important hence the old saying "its all about location location location".
The firm's geographical location has an effect on stakeholders in the company such as customers, employees and suppliers. For the customers, even if the business was to rely on the internet and delivering goods, the location needs to be convenient enough to ship goods from.
The Suppliers as well need to be able to send the goods ordered for in a timely fashion and an improper location can hamper that. Even employees need a place to work in that is conducive for them in terms of logistics and a safe working environment. Charlie should definitely not forget about the importance of location.
ane is planning to offer a Groupon for inner tube rentals that she will distribute on hot, sunny, summer days by the river that runs through her town. Based on her past experience with Groupon, she has assigned the following probability distribution to the number of tubes she will rent on a randomly selected day. If Jane would like her expected revenue to be at least $300 per day, what should the Groupon price be? (Round your answer up to the nearest whole dollar amount.)
Probability assigned:|
x 30 60 120 180
P(x) .10 .40 .40 .10
Answer:
Jane
Price of Groupon for a revenue of $300 is:
$3
Explanation:
a) Data and Calculations:
Expected Sales volume:
Number of Tubes x 30 60 120 180
Probability P(x) .10 .40 .40 .10
Expected values 3 24 48 18
Total = 93 tubes
Groupon price = $300/93 = $3.23
b) Jane's price for each Groupon will be the rent revenue per day divided by the expected number of tubes to rent daily. The expected number of tubes is derived by multiplying each expected number of tubes by its probability and then summing up the results.
Speedy Runner makes running shoes and they have gathered the following data for the month of October: Data Cash on 10/1 Expected Cash Collections Direct Materials Cash Disbursements Direct Labor Cash Disbursements MOH Cash Disbursements Operating Expenses Cash Disbursements Capital Expenditures Cash Disbursements Speedy Runner requires an ending cash balance of at least $12,000 and can borrow from a line of credit in $1,000 increments. How much will Speedy Runner need to borrow at the end of October?
Answer: $9,000
Explanation:
Speedy Runner will need to borrow the amount of cash disbursements that will exceed their cash receipts.
= Opening Cash + Cash Receipts - Cash Disbursements
= Opening Cash + Expected Cash Collections - Direct Labor Cash - Direct Materials Cash Disbursements - Operating Expenses Cash Disbursements - MOH Cash Disbursements - Capital Expenditures Cash Disbursements - Ending cash balance requirement
= 15,300 + 435,000 - 32,000 - 80,000 - 110,000 - 25,000 - 200,000 - 12,000
= $8,700
They can borrow in incremental terms of $1,000 so to cover the cash requirements they should borrow $9,000.
Under the allowance method, when writing off an account receivable, the journal entry to record the write-off includes a credit to:
Answer: credit to Accounts Receivable
Explanation:
Accounts Receivable is the payment that a particular company will get from the customers who have bought the company's product or services on credit.
Under the allowance method, when writing off an account receivable, the journal entry to record the write-off includes a credit to account receivables.
