Answer: Net markups are included.
Explanation:
The retail inventory method is used to know a store's merchandise value.
Under the retail method, in determining the cost-to-retail percentage for the current year, net markups are included.
It should be noted that the net markups are applicable to net costs.
Harlose Suits faced a lot of complaints from customers when its recent batch of goods was dispatched. The employees at Harlose Suits, hence, had to rework on the returned items, and in some cases, the company had to even replace the faulty goods. In this case, the costs incurred by Harlose Suits are an example of _____.
Answer:
External failure costs.
Explanation:
These are explained to be the faults or defects a customer finds out or see after receiving his good and leaves the factory or finds out when goods or services has been delivered to him/her.
This can be either internal or external. When seen to be an internal aspect of the failure, costs result from identification of defects before they are shipped to customers. Some of these could include rejected products, reworking of defective units, scrap and also downtime caused by quality problem. It is said that a firms appraisal activities creates chances greater than the chance of catching defects internally and the greater the level of internal failure costs. This is the price that is paid to avoid incurring external failure costs, which can be devastating.
Answer: im trying to get points
1 2 3 4 5 6 7 8 9
XYZ assigns $6,000,000 of its accounts receivables as collateral for a $2 million 8% loan with a bank. Sun Inc. also pays a finance fee of 1% on the transaction upfront. What would be recorded as a gain (loss) on the transfer of receivables
Answer:
$0
Explanation:
Data provided in the question
Account receivable assigned = $6,000,000
For Collateral = $2 million
Percentage = 8%
Finance fee = 1%
Based on the above information, the amount of gain or loss that should be recorded at the time of transfer of receivable is zero as the account receivable is used for a collateral purpose ,not for sale purpose
Therefore, the $0 should be recorded
A company issues $1,500,000 of par bonds at 98 on January 1, year 1, with a maturity date of December 31, year 30. Bond issue costs are $90,000, and the stated interest rate of the bonds is 6%. Interest is paid semiannually on January 1 and July 1. Ten years after the issue date, the entire issue was called at 102 and canceled. The company uses the straight-line method of amortization for bond discounts and issue costs, and the result of this method is not materially different from the effective interest method. The company should classify what amount as the loss on extinguishment of debt at the time the bonds are called
Answer:
$110,000 loss
Explanation:
Given the following :
Par value = $1,500,000 at 98
Maturity = 30 years
Interest rate = 6% paid semianually
Ten years after issue date, entire issue was called at 102 and canceled
Issue price of bond = (1500000 * 98%) = $1,470,000
Discount on issue = $1,500,000 - 1,470,000 = $30,000
After 10 years when bond was canceled :
Discount balance ;
($30,000 / maturity) * (maturity - 10)
($30,000/30)* 20 =1000 * 20 = $20,000
Issuing cost balance:
($90,000/30)*20 = 3000 * 20 = $60,000
Therefore, upon cancelation :
Carrying amount of bond
$(1500000 - 20000 - 60000) = $1,420,000
Reacquisition price :
($1,500,000 * 102%) = $1,530,000
Loss or gain :
$1,530,000 - $1,420,000 = $110,000 (loss)
You've just won the lottery! Your winnings will be paid as a monthly annuity of $1,000 per month for 50 years. Assume an interest rate of 10 percent compounded monthly. (Do not round intermediate calculations. Round your final answer two decimal places.) What is the present value of your winnings if the first payment starts today
Answer:
$119,220.57
Explanation:
in order to calculate the present value of your lottery winnings, we can use the present value annuity factor:
present value = monthly payment x annuity factor (PV annuity factor, ¹⁰/₁₂%, 600 periods)
monthly payment = $1,000annuity factor = 119.22057present value = $1,000 x 119.22057 = $119,220.57
The Smiths are saving money for a down payment on a house. The Smiths have $25,000 in cash, and they estimate that in 5 years they will have approximately $31,000 if they deposit their cash in a savings account that compounds interest yearly. To calculate the $31,000 amount, the Smiths determined
Options :
A)net present value of the $25,000.
B)future value of the $25,000.
C)internal rate of the return on the $25,000.
D)present value of $25,000.
Answer: B)future value of the $25,000.
Explanation: The Smith's calculation and subsequent result which yielded $31,000 refers to the future value of $25,000. The initial $25000 is the present value of the amount held. If the initial amount is saved or deposited over a certain number of years in an account which yields a certain rate of interest per annum and is compounded either on a monthly, yearly, quarterly or semiannual basis as the case may be, in this scenario above, the interest is called mounded annually. This initial amount will grow and yield an amount which is greater than the present deposit. This is called the future value of the initial deposit.
Financial statement data for the year ending December 31 for Navajo Company follow: Sales $2,550,000 Net income 1,258,000 Fixed assets (net): Beginning of year 800,000 End of year 985,000 The fixed asset turnover ratio for Navajo Company on December 31 would be 2.9. 2.6. 1.4. None of these choices are correct.
Answer:
Fixed Asset Turnover Ratio=2.9 Times
Explanation:
Calculation for the fixed asset turnover ratio for Navajo Company on December 31
The first step is to find the Average fixed asset
Using this formula
Average fixed assets=Beginning of year fixed assets + End of year Fixed assets/2
Let plug in the formula
Average Fixed assets =800,000+985,000/2
Average Fixed assets =$1,785,000/2
Average Fixed assets=$892,500
The next step is to calculate for the Fixed asset turnover ratio
Using this formula
Fixed asset turnover ratio=Sales/Average
Let plug in the formula
Fixed Asset Turnover Ratio=$2,550,000/$892,500
Fixed Asset Turnover Ratio=2.9 Times
Therefore fixed asset turnover ratio for Navajo Company on December 31 will be 2.9 Times
A company has bonds outstanding with a par value of $100,000. The unamortized discount on these bonds is $4,500. The company retired these bonds by buying them on the open market at 97. What is the gain or loss on this retirement
Answer:
$1,500 loss
Explanation:
Calculation for the gain or loss on this retirement
First step is to find the 97% of the bond outstanding $100,000
Par value of bond=97%*$100,000
Par value of bond=$3,000
Second step is to calculate for the gain or loss on the retirement using this formula
Carrying value of bond=Par value of bond-Unamortized discount on bond
Let plug in the formula
Carrying value of bond=$3,000-$4,500
Carrying value of bond= -$1,500
Therefore the loss on this retirement will be $1,500
Sutton Enterprises makes gadgets using a two-step process that involves machining and assembly, respectively. During the period, the Assembly Department completes 10,200 gadgets and transfers them to Finished Goods Inventory. At the end of the period, the Assembly Department has 2,600 gadgets in process that are 65% complete with respect to conversion. What are the equivalent units of production for conversion during the period?
Answer:
Total equivalent units= 11,890
Explanation:
Giving the following information:
Assembly Department completes 10,200 gadgets and transfers them to Finished Goods Inventory.
The Assembly Department has 2,600 gadgets in the process that are 65% complete for conversion.
To calculate the equivalent units, we need to multiply the % complete for the number of units started:
Units completed= 10,200
Units in ending inventory= 2,600*0.65= 1,690
Total equivalent units= 11,890
Thomas Company has a sales budget for next month of $1,000,000. Cost of goods sold is expected to be 25 percent of sales. All goods are paid for in the month following purchase. The beginning inventory of merchandise is $50,000, and an ending inventory of $64,000 is desired. Beginning accounts payable is $160,000.
For Thomas Company, the ending accounts payable should be:
A. $341,000
B. $356,000
C. $314,000
D. $414,000
Answer:
$264,000
Explanation:
Calculation for the ending accounts payable
First step is to find the cost of goods sold
Using this formula
Cost of goods sold=Sales budget * Sales percentage
Let plug in the formula
Cost of goods sold=$1,000,000*25%
Cost of goods sold=250,000
Second step is to calculate for the ending accounts payable
Using this formula
Ending accounts payable=Ending inventory + Cost of goods sold - Beginning inventory
Let plug in the formula
Ending accounts payable= $64,000 + $250,000 - $50,000
Ending accounts payable= $264,000
Therefore the Ending accounts payable will be $264,000
Two twelve-year-old boys were seriously injured when riding on a go-kart. The boys were riding on public streets, ran a stop sign, and were hit by a car that did not see them. The go-kart had clear warning labels on the sides stating that it was only for off-road use only. The manual stated the go-kart not to be used on public streets. The parents sued the go-kart manufacturer. One basic issue in this case would be:
Answer:
Disobedience of the law or it may be ignorance
Explanation:
It may be that the kids didnt see the sign or it might be ignorance
Because they do so much driving while visiting doctors' offices and hospitals, pharmaceutical sales representatives are often given company cars to drive. When a pharmaceutical company like Merck is preparing to purchase new company cars, sales reps' feedback will be sought on car models and features, but the final decision will be made by higher levels of management. What role(s) do the sales reps play in the buying center?
Answer: Users and Influencers
Explanation: The sales representatives are consulted being the ones who will make use of the purchased vehicle in order to aid business growth, the sales representative have become familiar with issues they experience during the use of previous cars which might be related to the model and certain mechanical features of the car. Therefore, the feedback provided may be considered when the ultimate decision is being made, here sales representatives acts as influencers as their opinion is put into perspective, even though other considerations may outweigh those provided by the sales representatives as the final decision is being made by the superior management.
n your own words define employment-at-will and explain whether or not you agree with this principle. Next, discuss your thoughts on workplace testing and its role in the hiring process. Do you feel this is a fair hiring practice? Why or why not?
Answer:
a) Employment-at-will is a form of employer-employee relationship which may be terminated by the employer at any time without due consultation with the employee as long as the reason for the termination is not against the law.
b) Work Place Testing: This refers to all the series of tests that an employer can and may administer to a job applicant in order to ascertain their suitability for the role and ensure that they are a culture fit.
Workplace Testing is a fair hiring practice. There is no use hiring an employee only to discover few months later that they cannot do the job as they asserted on their resume. This can be very detrimental to the business as it can leave the business very vulnerable.
e If a candidate is turned down after testing, it doesn't mean they are not capable of being productive at all. It only means that they don't match the person specification for the current job under consideration.
Cheers!
Michael is the owner of a restaurant in downtown Buffalo and recently signed a long-term lease with the building's owner. Since Michael will be staying in his current location for the long-term, he decides to install new commercial ovens and dishwashers. These installations are examples of what...? Trade Fixtures Interim Fixtures Installations Real Property
Answer:
The answer is trade fixtures
Explanation:
Trade fixtures are a tenant's installments which become a part of the land during the leasing contract period but they are not belong to the landlord thereafter. The tenant reserves the right to remove the the installments at the end of the contract term.
Answer:
A. Trade Fixtures
Explanation:
Trade Fixtures are the pieces of property installed by a business tenant in a leased building to help him run his business. The pieces of equipment could be equipment or installations that are useful in the running of the business. The tenant or business owner should ensure that whatever equipment he installs in the property can be easily detached because failure to do so would make the fixture become the landlord's own.
Examples of trade fixtures could be counters installed in the building, or even show glasses constructed to showcase goods. He should ensure that these properties can be moved when he eventually leaves the building.
Ashley bought a desktop computer and a laptop computer. Before finance charges, the laptop cost $350 more than the desktop. She paid for the computers using two different financing plans. For the desktop the interest rate was 7% per year, and for the laptop it was 6% per year. The total finance charges for one year were $398. How much did each computer cost before finance charges
Answer:
Laptop = $3250
Desktop = $2900
Explanation:
Total finance charge = $398
Laptop cost = 350 + x
Desktop = X
Workings
Finance cost = (7% *X ) + (6% * 350+x ) = 398
0,07 X + 0.06 X + 21 = 398
0.13 X + 21 = 398
0.13 X = 398 -21
0.13 X = 377
Therefore ,X = 377/0.13
=2900
Cost of Desktop = 2900
Cost of Laptop =2900+350 =3,250
Attestation standards apply when a CPA is engaged to issue a practitioner’s report on A preparation service. The subject matter of a compilation. An examination after performing agreed-upon procedures. A review of an assertion about subject matter that is the responsibility of another party.
Answer:
A review of an assertion about the subject matter that is the responsibility of another party
Explanation:
An attest engagement is defined as the independent review of a subject matter by a professional other than the auditor by conducting a specific procedure and he is expected to issue a report of his findings on the reliability of the subject matter.
The three stages of attestation services are compilation ,review and audit.
Attestation engagement is governed by the Statements on standard for attestation engagement (SSAE)
In an open-market operation, the Fed buys $10 million of government bonds from individual investors. If the required reserve ratio is 10 percent, the largest possible increase in the money supply that could result is $________ million, and the smallest possible increase is $_________ million.
Answer:
$100 million ; $10 million
Explanation:
Required reserve ratio (r) = 10%
Worth of bond = $10,000,000
The smallest increase can be thought of as being the $10million generated from open market operation and could be held by the bank as reserve.
To calculate the largest increase in deposit:
Money multiplier * deposit (worth of bond)
Money multiplier = (1 / reserve ratio)
Money multiplier = (1 / 0.1) = 10
Increase in deposit = 10 * $10,000,000 = $100,000,000 ( $100 million)
Incident action planning and strategic communication planning
A. should be contracted to incident action planning specialists during emergency responses.
B. are both managed by the planning section chief.
C. have no relationship.
D. are related because the first step to each is understanding the situation.
Answer:
D. are related because the first step to each is understanding the situation.
Explanation:
An incident action plan is a course of panning, which aims to resolve all identified phases of incident control within a time limit. it begins foundationally with an understanding of the the situation and objectives built to solve the problems that situation imposes.
Strategic communication planning is the alignment of an organization's core objectives with its communication function. The aim is to drive plans and tactics that would prompt the performance of an organization. It is however pertinent to understand the situation like identifying whom should be communicated to, determining the reasons for the communication etc , which is the first step.
A________ is a plan in which an individual balances available resources and expenses.
Answer:
Budget
Explanation:
You're sorting out your investments and spending habits. Often sorting out all of your needs to fit in a well balanced budget
The country of Maroji is a major exporter of dairy products. The country of Hipon is a major exporter of heavy machinery but also has a sizeable domestic dairy industry. Since it imports a sizeable amount of heavy machinery from Hipon, Maroji, at the request of Hipon, limited the amount of dairy products it exports to Hipon each year. This is an example of
Answer:
voluntary export restraint (VER).
Explanation:
In this scenario, the country of Maroji is a major exporter of dairy products. Also, the country of Hipon is a major exporter of heavy machinery but has a sizeable domestic dairy industry. Since it imports a sizeable amount of heavy machinery from Hipon, Maroji, at the request of Hipon, limited the amount of dairy products it exports to Hipon each year. This is an example of voluntary export restraint (VER).
A voluntary export restraint (VER) can be defined as a self-imposed trade restriction on the amount of goods that an exporting country exports to another country such as an importing country. It involves restrictive trade barriers between an exporting and an importing country, such as embargoes and quotas.
The Great Depression was caused by all of the following factors except Group of answer choices American industries and banks were not involved in the European economy some of the major banks did not have enough reserves to withstand an economic downturn prosperity was dependent on a few basic industries too few Americans were able to purchase goods produced by American industries there was an overwhelming maldistribution of wealth
Answer:
Correct answer:
1. American industries and banks were not involved in the European economy
Explanation:
The Great Depression is one of the worst period in the history of America where Americans where hit with severe economic crises. It began after the stock market crash of October 1929, which sent Wall Street into a panic and wiped out millions of investors.
Over the next several years, consumer spending and investment dropped, causing steep declines in industrial output and employment as failing companies laid off workers.
Jamie was participating in a market research study regarding computers when he was presented with 24 different computers that varied on four criteria. He was asked to rank all 24 descriptions in terms of his preference for those combinations of features. Which approach to assess the relative importance Jamie places on evaluative criteria was this research using?
Answer:
conjoint analysis
Explanation:
In the market research study being described, they were using conjoint analysis. This is a statistical technique that helps determine how potential customers value different attributes such as a specific feature, function, or benefit that makes up an individual product or service. In this particular scenario, Jamie was asked to rank the different computers based on each ones unique/different criteria or features.
In light of the facts that many organizations do not pay incentives and many employees discount or take for granted the value of benefits, base wages and salaries are often ____________________________ of the compensation system in the eyes of employees.
Answer:
In light of the facts that many organizations do not pay incentives and many employees discount or take for granted the value of benefits, base wages and salaries are often the focus of the compensation system in the eyes of employees.
Explanation:
The scenario talks about the base wages and salaries which is significant portion of their salary. If the company doesn't pay incentives then the employee thinks that it doesn't matter how motivated he works because he will be paid base salary or wage. Hence the motivation factor gets affected by the compensation factor and employee thinks the only focus of compensation is their base wage or salary.
A public radio station with a June 30 year end collects $100,000 in annual membership dues every January 1. Paying membership dues provides few direct benefits, which are not restricted to members. On January 1, the radio station should record the $100,000 as ______.
Answer:
Deferred Revenue
Explanation:
The public radio station has a year ending of June 30 and collects these dues on an annual basis therefore the dues received in January 1 are not yet earned. Under accrual accounting, and applying the revenue recognition principle, revenue which is received in this way has not yet been earned since these dues are collected/recorded annually but are billed before(january 1)the year end,and therefore are charged as liability until they are earned at year end then they are converted to revenue
Todd is the owner of TodVac, a producer of high performance commercial vacuum cleaners based in Texas. Todd knows that some companies use technology that has been proven over the years to efficiently create components very similar to the components in his vacuums. Unfortunately, Todd has never seen this technology and does not have a clue how it works. How should Todd go about learning how to improve his production with time-tested technology?
Answer:
The internet is good place to learn
Explanation:
From an economic perspective, Todd stands to spend less if he decides to carry out an extensive research on the internet.
Vacuum cleaners are more than ever before been refunished with modern technology.
With simply a tap of a button on Google, Todd can look the various technologies used by or companies that has been proven over the years to efficiently create components very similar to the components in his vacuums.
A U.S. company that manufactures home appliances is interested in entering the Chinese market. The company has many national appliance competitors in China, all of which have a better understanding of the unique needs of Chinese customers. Based on these facts, the U.S. company should consider which strategy for entering the Chinese market
Answer: Global strategic alliance
Explanation:
A global strategic alliance is an arrangement that takes place between two companies when they both go into a project that is mutually beneficial even though the independence of each company is still retained.
Based on these facts that have been given in the question, the U.S. company should consider using this strategy for entering the Chinese market.
When there is an economic downturn, Congress and the President use fiscal policyLOADING... to stabilize real GDP. But the conduct of the fiscal policy involves several time lags, such as the recognition time lag that causes a delay in identification of the economic problem, the action time lag that is caused by the delay in Congressional approval of the policy, and the effect time lag that arises because policy actions take time to exert their full effects on the economy. These time lags could actually cause discretionary fiscal policy to
Answer:
The correct approach will be "Destabilize real GDP". The further explanation is given below.
Explanation:
Destroy gross Domestic Product (GDP) because by the moment an intervention starts having its consequences.The population could already rebound as well as the economic development can drive up gross Domestic product faster than expected, constantly making GDP somewhat sustainable as either a result.The Mars acquisition of the Wrigley assets was part of its related constrained diversification and added market share to the
Answer:
Mars Wrigley Integrated Firm
Explanation:
This acquisition provided the extended reach to the company, as with this merger of both the companies, there are certain assured benefits:
1) Increase in sales value by selling at a price higher than the prevailing price in the market, or
2) Decreasing the cost of product manufacturing as prevailing in the industry for that product.
This joint would automatically gain the major share in the market as with increase in profits and diversification in providing goods, expands the company in all respects.
what is the best business organization for annabeth’s new company?
a corporation, because she will need financing to get started.
a sole proprietorship, because the business is small and simple to operate.
a partnership, because she lacks the skills to make machine parts
a cooperative, because local businesses will be her customers.
Answer: A Corporation, because she will need financing to get started.
Explanation:
As Annabeth would like to buy a factory to begin making the parts, she would would need a huge cash outlay to get started. By starting a Corporation, she can raise cash easier from the shareholders as well as utilize the knowledge and expertise of others who will join the company to help her in areas she might not be well versed in such as in Accounting or business administration.
Another reason a Corporation would be better is because of the realization of her longer term plans. A Corporation is more likely to expand in the the future which will enable Annabeth realize her dreams of selling to Europe and South America. Indeed, she has a better chance of achieving that sooner rather than later.
Answer: A)
Explanation:
Pure competition is important to economists because it is __________________ . Pure competition is important to economists because it is __________________ . the lowest cost to the buyer the benchmark of efficiency to compare all other models against both a. and b. none of the above
Answer:
a and b
Explanation:
A perfect or pure competition is characterized by many buyers and sellers of homogenous goods and services. Market prices are set by the forces of demand and supply. There are no barriers to entry or exit of firms into the industry.
In the long run, firms earn zero economic profit. If in the short run firms are earning economic profit, in the long run firms would enter into the industry. This would drive economic profit to zero.
Also, if in the short run, firms are earning economic loss, in the long run, firms would exit the industry until economic profit falls to zero.
Due to maximum competition in a pure competition, it is the lowest cost to the buyer.
Pure competition is efficient because, goods are priced at equilibrum
Tapestry Corporation will spend $1 million for special production equipment. Shipping and installation charges will amount to $175,000 and an initial increase in net working capital of $50,000 will be required. The equipment will replace an existing machine that has a salvage value of $85,000 and a book value of $100,000. Executives expect revenue to increase by $200,000 per year with no increase in operating expenses. If Tapestry has a corporate tax rate of 21%, what is the amount of the initial outlay for this project?
Answer:
($1,136,850)
Explanation:
The computation of the initial outlay is shown below:
Purchase price (-1,000,000 - $175,000) (1,175,000) (A)
machine proceeds
{$85,000 + ($100,000 - $85,000) × 0.21} $88,150 (B)
Net working capital ($50,000) (C)
Initial outlay ($1,136,850) (A - B + C)
Hence, the initial outlay is ($1,136,850)
We basically applied the above calculation to arrive at the answer
