Answer:
Wildhorse Co.
Using the FIFO inventory method, the amount allocated to ending inventory for July is:______.
c. $3502.
Explanation:
a) Data and Calculations:
Date Description Units Unit Cost Total Cost
July 1 Beginning inventory 102 $19 $1,938
July 7 Purchases 357 $20 7,140
July 22 Purchases 51 $22 1,122
July 30 Total available for sale 510 $10,200
July 30 Ending inventory 170
July 30 Units sold 340
Value of Ending inventory using FIFO:
Date Description Units Unit Cost Total Cost
July 7 Purchases 119 $20 $2,380
July 22 Purchases 51 $22 1,122
Total value of ending inventory 170 $3,502
Cost of goods sold using FIFO:
Cost of goods available for sale = $10,200
Less Ending inventory 3,502
Cost of goods sold $6,698
Allowance for Doubtful Accounts has a credit balance of $500 at the end of the year (before adjustment), and uncollectible accounts expense is estimated at 2% of sales. If sales are $600,000, the amount of the adjusting entry to record the provision for doubtful accounts is:______.a. $12,500.b. $11,500.c. $12,000.d. None of these answers are correct.
Answer:
$12,000
Explanation:
Calculation to determine what the amount of the adjusting entry to record the provision for doubtful accounts is
Using this formula
Provision for doubtful accounts =Sales *Uncollectible accounts expense estimated percentage of sales
Let plug in the formula
Provision for doubtful accounts = 2% × $600,000
Provision for doubtful accounts=$12,000
Therefore the amount of the adjusting entry to record the provision for doubtful accounts is $12,000
A very accurate estimate that is formed only after most design work is complete:_________
Definitive estimate
Parametric estimate
Feasibility estimate
Ballpark estimate
Answer:
Definitive estimate
Explanation:
The definitive estimate shows the most accurate or correct estimation for the amount of work and the resources required for finishing the project. It is the estimate in which the organization commits to an order to the baseline
So as per the given situation, the accurate estimated i.e. should be created only after most design work is finished is known as the definitive estimate
A firm wants to sponsor an engineering lab. This requires $2.5M to construct the lab, $1.2M to equip it, and $600,000 every 5 years for new equipment. What is the required endowment if the university will earn 6% interest on funds
Answer:
$5.47M
Explanation:
The required endowment from the sponsor is the total costs required immediately plus the present value of the new equipment that needs to be purchased every five years as shown thus:
Immediate costs=cost of lab construction+cost of equipping the lab
Immediate costs=$2.5M+$1.2M
Immediate costs=$3.7M
Present value of every 5 years equipment cost=cost/(1+interest)^n-1
interest rate=6%
n=5 years(the frequency of incurring the cost)
PV=$0.60M/(1+6%)^5-1
PV=$0.60M/0.33822558
PV=$1.77M
required endowment =$3.70M+$1.77M
required endowment =$5.47M
Cosmo has just made his dream come true of buying the property that his restaurant occupies. His excitement is short lived, however. He now realizes that he needs to come up with the extra money for the mortgage. Cosmo decides to rent out the storefront next to the restaurant for added income. After acquiring the property, Cosmo shifted his focus onto which aspect of goal-setting theory
Answer:
Realistic aspect
Explanation:
Considering the scenario described in the question it can be concluded that Cosmo shifted his focus onto which REALISTIC aspect of goal-setting theory.
This is because following Cosmo making his dream come true of buying the property that his restaurant occupies, the idea that he could rent out the storefront next to the restaurant for added income is a REALISTIC Aspect of Goal Getting.
This implies that Cosmo is more realistic in terms of his financial abilities and willingness to work toward the goal of paying off the mortgage loan
Suppose that American firms claim that protectionism in Canada is on the rise as the Canadian government attempts to protect its infant industries. This protectionism will cause the greatest harm to Group of answer choices
Answer:
manufacturers who export to Canada.
Explanation:
From the question we are informed about an American firms claim that uses protectionism in Canada is on the rise as the Canadian government attempts to protect its infant industries. This protectionism will cause the greatest harm to manufacturers who export to Canada.
Protectionism can be regarded as economic policy that is used in restriction of imports from other countries using some methods and measures, these measures could be tariffs on imported goods as well as import quotas and some government regulations. This is usually create economic crises such as Great Depression.
Tip Top Painting Company has the following production data for March: Beginning work in process inventory, 2,000 units that are 30% complete for conversion costs Units completed and transferred out, 44,000 Units in ending work in process inventory, 9,000 that are 80% complete for conversion costs Materials are added only at the beginning of the process. What is the equivalent units of production during May for direct materials if the FIFO method is used?
Answer: 51000 units
Explanation:
The equivalent units of production during May for direct materials if the FIFO method is used will be calculated thus:
Units completed and transferred out = 44,000 Units
Less: Beginning work in process inventory = 2,000
Balance = 42000
Then, the Equivalent units of materials will be:
Balance = 42000
Add: Units in ending work in process inventory = 9,000
Equivalent units of materials = 51,000 units
The third party who checks annual financial statements to ensure that they are prepared according to Ceterally Accepted Accounting Principles (GAAP) and verifies that the information reported is reliable is the :__________.
A) NYSE Enforcement Board
B) Accounting Standards Board
C) Securities and Exchange Commission (SEC)
D) auditor
Answer:
auditor
Explanation:
Auditors check the financial statements to ensure they are in compliance with GAAP (Generally Accepted Accounting Principles)
Gabriele Enterprises has bonds on the market making annual payments, with nine years to maturity, a par value of $1,000, and selling for $978. At this price, the bonds yield 7.4 percent. What must the coupon rate be on the bonds
Answer:
7.06%
Explanation:
The computation of the coupon rate is given below:
Given that
FV is $1,000
PV is $978
NPER is 9
RATE is 7.4%
The formula is given below:
=PMT(RATE,NPER,-PV,FV,TYPE)
After applying the above formula, the PMT is $70.57
Now the coupon rate is
= $70.57 ÷ $1,000
= 7.06%
Costs: Costs in beginning Work in Process - Direct Materials: $58,000. Costs in beginning Work in Process - Conversion: $63,850. Costs incurred in February - Direct Materials: $388,250. Costs incurred in February - Conversion: $614,150. Calculate the cost per equivalent unit of materials.
Answer: $2.05 per unit
Explanation:
First find out the Equivalent units for materials:
= Units started and completed + Ending work in process
= 180,000 + 37,500
= 217,500 units
Find out total cost of materials:
= Costs in beginning Work in Process for materials + Cost incurred in February
= 58,000 + 388,250
= $446,250
Cost per equivalent unit:
= Total costs / Equivalent units
= 446,250 / 217,500
= $2.05 per unit
You are in desperate need for cash to pay your water bill so you head to the check-cashing store down the street. They offer to lend you $200 now but you must leave a postdated check of $212 to be cashed in 7 days. What is the effective annual rate of this short-term loan?
Answer:
1969.6%
Explanation:
The computation of the effective annual rate is given below;
Given that
It is been charged $12 for $200 loan for 7 days
So for 7 days,
the nominal interest rate is is
= 12 ÷ 200 × 100
= 6%
Now
(1+r) = (1+0.06)^{52}
(1+r) = 20.696
r = 19.696
= 1969.6%
Express net income as a common-size percentage using the following data.
Sales $45,000
Cost of goods sold $29,340
Gross profit from sales $15,660
Operating expenses $10,800
Net income $4,860.
a. 100 percent
b. 31 percent
c. 12 percent
d. 10.8 percent
Answer:
i think the answers D 10.8 percent
Macroeconomics is best defined as the study of
how people make decisions about operating businesses.
the overall operation of the national and global economy.
how the government makes decisions about regulating businesses.
how scarce resources are used by households and businesses.
the study of the interaction of supply and demand.
2.
Mike asked Rachael to go to the beach with him. Rachael knew she should stay home and study for her Macroeconomics exam but felt she could spend some time doing both. In the past, she had always studied about five hours for her exams but today she studied for only two hours. Her normal grade of an A fell to a B. What was the opportunity cost of going to the beach?
The B she received on the exam.
The 2 hours she studied.
The 3 hours she spent at the beach.
The 3 hours she could have spent studying.
The 5 hours she spent at the beach.
3.
When two variables have an inverse relationship, then
if A increases, B increases.
if B increases, A is unchanged.
if A increases, B is unchanged.
the slope of the graph is positive.
the slope of the graph is negative.
4.
When two variables have a direct relationship, then
if A decreases, B increases.
if B decreases, A is unchanged.
if A increases, B is decreases.
the slope of the graph is positive.
the slope of the graph is negative.
5.
The production possibilities curve
graphically illustrates the concept of absolute advantage.
graphically illustrates the concept of scarcity.
allows us to see the concept of absolute advantage.
shows the opportunity cost between all goods and services in an economy.
shows the relationship between absolute and comparative advantage.
6.
A production possibilities curve that is concave or bowed out from the origin represents
increasing opportunity cost.
decreasing opportunity cost.
constant opportunity cost.
zero opportunity cost.
static opportunity cost.
Answer:
1. the overall operation of the national and global economy.
2. The B she received on the exam.
3. the slope of the graph is negative.
4. the slope of the graph is positive.
5. graphically illustrates the concept of scarcity.
6. increasing opportunity cost.
Explanation:
1. Macroeconomics is best defined as the study of the overall operation of the national and global economy.
Macroeconomics can be defined as the study of behaviors, performance and factors that affect the entire economy. Hence, it focuses on aggregate phenomena such as price level, economic growth, Gross Domestic Product (GDP), inflation, unemployment and national income levels with respect to the central bank, demand or supply shocks, government policies, aggregate spending and savings.
2. The opportunity cost of going to the beach is the "B" grade she received on the exam.
In Economics, opportunity cost also known as the alternative forgone, can be defined as the value, profit or benefits given up by an individual or organization in order to choose or acquire something deemed significant at the time.
Thus, the value of the opportunities lost (scoring an "A" grade) by going to the beach is the opportunity cost of her choice.
3. When two variables have an inverse relationship, then the slope of the graph is negative.
An inverse relationship can be defined as a relationship between two variables, in which an increase in the value of one variable leads to a decrease in the value of the other variable i.e as the value of one variable becomes large, the value of the other variable becomes small.
4. When two variables have a direct relationship, then the slope of the graph is positive.
A positive relationship or correlation can be defined as the relationship between two variables in which there exist a direct relationship between them i.e as one variable increases, the other increases and vice-versa.
5. The production possibilities curve graphically illustrates the concept of scarcity.
The production possibilities curve (PPC) is also known as the production possibilities frontier (PPF) and its a curve which illustrates the maximum (best) combinations of two products that can be produce in an economy if they both depend on these factors;
1. Technology is fixed.
2. Resources are fixed.
6. A production possibilities curve that is concave or bowed out from the origin represents increasing opportunity cost.
The production possibilities curve (PPC) is depicted graphically as an arc, by representing one good on the y-axis and the other on the x-axis.
Potatoes and wheat output (tons per day)
Country Potatoes Wheat
United States 4 2
Ireland 3 1
The United States has a comparative advantage in producing: __________
a. wheat
b. neither
c. potatoes
d. both
Answer:
c. potatoes
Explanation:
The computation is shown below:
Opportunity cost of producing 1 tons of wheat is
for US = 4 ÷ 3 = 1.33 tons of potatoes
for Ireland = 2 ÷ 1 = 2 tons of potatoes
As the opportunity cost is higher in united states of potatoes so here the united stated should be comparative advantage in generating potatoes
In 2020, Wild Corporation reported a net loss of $70,000. Wild's only net income adjustments were depreciation expense $81,000, and increase in accounts receivable $8,100. Compute Wild's net cash provided (used) by operating activities.
Answer:
$2,900
Explanation:
Computation for Wild's net cash provided (used) by operating activities.
Net income adjustments $81,000
Less increase in accounts receivable ($8,100)
$72,900
Less reported net loss $70,000
Net cash provided (used) by operating activities $2,900
($72,900-$70,000)
Therefore net cash provided (used) by operating activities will be $2,900
A business purchases equipment by paying in cash and issuing a note payable of . Which of the following occurs? A. Cash is credited for , Equipment is credited for , and Notes Payable is debited for . B. Cash is credited for , Equipment is debited for , and Notes Payable is credited for . C. Cash is debited for , Equipment is debited for , and Notes Payable is credited for . D. Cash is debited for , Equipment is credited for , and Notes Payable is debited for .
Answer: Cash is credited for, Equipment is debited for and Notes Payable is credited for.
Explanation:
Let's assume the business purchases equipment by paying $5000 in cash and then issued a note payable of $15000.
Then, the journal entry will be:
Debit Equipment $20000
Credit Cash ($20000 - $15000)=$5000
Credit Note payable $15000
A truck acquired at a cost of $195,000 has an estimated residual value of $10,200, has an estimated useful life of 56,000 miles, and was driven 5,000 miles during the year. Determine the following:
a. The depreciable cost $___________
b. The depreciation rate $__________ per mile
c. The units-of-activity depreciation for the year $__________
Answer:
a. $184,800
b. 3.3 per miles
c. 16,500
Explanation:
(a) Calculation to determine The depreciable cost
Depreciable cost =Cost - estimated residual value
Depreciable cost=$195,000- $10,200
Depreciable cost=$184,800
(b) Calculation to determine The depreciation rate
Depreciation rate = $184,800/useful life 56,000 miles
Depreciation rate =3.3per mile
(c) Calculation to determine The units-of-activity depreciation for the year
Units-of-activity depreciation =3.3per mile*5,000 miles
Units-of-activity depreciation=16,500
Therefore The units-of-activity depreciation for the year is 16,500
In a process operation, each process has a separate department which will accumulate costs for each of the following: Multiple select question. administrative direct labor overhead sales direct materials
Answer:
overhead
direct labor
direct materials
Explanation:
Process operations can be regarded as process manufacturing it can be explained as mass production method that is been followed when producing products following a continuous flow.
It can be regarded conveyer belt system which brings about production of identical as well as standardized item with fast rate as regards the speed. It should be noted that In a process operation, each process has a separate department which will accumulate costs for ;
✓overhead ( ongoing costs that is gotten in operation of a business)
✓direct labor
✓direct materials
1. Prepare a general ledger having T-accounts for Accounts Receivable, Sales, and Sales Returns and Allowances. Post these entries to both the general ledger and the accounts receivable ledger. General Ledger Accounts Receivable Sales End.Bal End.Bal Accounts Receivable Subsidiary Ledger Ski Shop Sales Returns and Allowances End.Bal Welcome Enterprises Zia Natara End.Bal End.Bal Vail Company recorded the following selected transactions during November Current Year Debit Credit 5,238 Date General Journal Nov. 5 Accounts Receivable-Ski Shop Sales 5,238 10 Accounts Receivable-Welcome Enterprises 2,780 Sales 2,780 13 Accounts Receivable-Zia Natara 1,630 Sales 1,630 21 Sales Returns and Allowances 421 Accounts Receivable-Zia Natara 421 30 Accounts Receivable-Ski Shop 5,796 Sales 5,796
2 . Prepare a schedule of accounts receivable VAIL COMPANY Schedule of Accounts Receivable November 30, Current Year Total
Answer:
Vail Company
1. T-accounts:
a. General Ledger
Accounts Receivable
Date Account Titles Debit Credit
Nov. 5 Sales 5,238
Nov. 10 Sales 2,780
Nov. 13 Sales 1,630
Nov. 21 Sales Returns and Allowances 421
Nov. 30 Sales 5,796
Nov. 30 Balance 15,0232
Sales
Date Account Titles Debit Credit
Nov. 5 Accounts Receivable-Ski Shop 5,238
Nov. 10 Accounts Receivable-
Welcome Enterprises 2,780
Nov. 13 Accounts Receivable-Zia Natara 1,630
Nov. 30 Accounts Receivable-Ski Shop 5,796
Nov. 30 Balances 15,444
Sales Returns and Allowances
Date Account Titles Debit Credit
Nov. 21 Accounts Receivable-Zia Natara 421
b. Accounts Receivable Ledger:
Ski Shop
Date Account Titles Debit Credit
Nov. 5 Sales 5,238
Welcome Enterprises
Date Account Titles Debit Credit
Nov. 10 Sales 2,780
Zia Natara
Date Account Titles Debit Credit
Nov. 13 Sales 1,630
Nov. 21 Sales Returns and Allowances 421
Ski Shop
Date Account Titles Debit Credit
Nov. 30 Sales 5,796
Explanation:
a) Data and Analysis:
Nov. 5 Accounts Receivable-Ski Shop 5,238
Sales 5,238
Nov. 10 Accounts Receivable-Welcome Enterprises 2,780
Sales 2,780
Nov. 13 Accounts Receivable-Zia Natara 1,630
Sales 1,630
Nov. 21 Sales Returns and Allowances 421
Accounts Receivable-Zia Natara 421
Nov. 30 Accounts Receivable-Ski Shop 5,796
Sales 5,796
Martha works as a window dresser in her hometown of Victoria BC. She charges $16.72/h and it takes her 5 hours to finish the window display at a local department store. How much will her gross pay be for the job
Answer:
Her gross pay for the job will be $ 83.6.
Explanation:
Given that Martha works as a window dresser in her hometown of Victoria BC, and she charges $ 16.72 / h and it takes her 5 hours to finish the window display at a local department store, to determine how much will her gross pay be for the job the following calculation must be performed:
16.72 x 5 = X
83.6 = X
Therefore, her gross pay for the job will be $ 83.6.
Chew Corporation prepares its statement of cash flows using the indirect method of reporting operating activities. Net income for the 2018 fiscal year was $1,269,000. Depreciation expense of $159,000 was included with operating expenses in the income statement. The following information describes the changes in current assets and liabilities other than cash:
Increase in accounts receivable $152,000
Decrease in inventories 108,000
Decrease in prepaid expenses 62,000
Decrease in salaries payable 30,000
Increase in income taxes payable 44,000
Required:
Prepare the cash flows from operating activities for 2018.
Answer:
Cash flows from operating activities for 2016
Particulars Amount
Net income $1,269,000
Adjustments
Depreciation expense $159,000
Increase in accounts receivable -$152,000
Decrease in inventories $108,000
Decrease in prepaid expenses $62,000
Decrease in salaries payable -$30,000
Increase in income taxes payable $44,000 $32,000
Net cash inflow from operations $1,460,000
How does a parent perform the functions of organizing in management?
Answer:
I'll assume that the term "parent" here means parent in the conventional term as in father, mother, and children.
With this in mind, parents have the responsibility of organising the family which include their children and the affairs of the house.
Therefore, a parent performs the functions of organizing in management by:
1. Guiding their wards in management principles
2. Educating them in what they should and shouldn't do.
Money facilitates trade because: Group of answer choices it serves as a medium of exchange. it eliminates the need for specialization. it is considered less valuable than the goods it is used to buy. the division of labor allows goods to be produced at a lower cost. it prevents people from taking advantage of each other.
Answer:
It serves as a medium of exchange.
Explanation:
It serves as a medium of exchange is the correct answer because in the trade money plays an important role and it makes the trading very easy as compared to barter system where a person has to find the other person who is in the need of same commodity through which the other person wants to exchange. Moreover, the use of money as a medium of exchange eliminated all the problems that were in the barter system.
Mrs. Dill is planning on baking cakes for a summer festival. In order to do this, she needs to spend $15 on new equipment to bake the cakes, plus she estimates that it will cost her 5 cents for every cake that she bakes. If x is the number of cakes that she makes, what is the cost function C(x)?a. C(x) = 15 + 0.5x.b. C(x) =15 + 5x.c. C(x) = 5 + 15x.d. C(x) = 15 +0.05x.
Answer: d. C(x) = 15 +0.05x.
Explanation:
The Cost function for the cake will be the sum of the fixed and variable costs that Mrs. Dill will incur per cake baked.
Fixed cost = $15
Total Variable cost = Number of cakes baked * variable cost per cake
= x * 5 cents
= x * 5 cents / 100 cents in a dollar
= 0.05x
Cost function is therefore:
= 15 + 0.05x
The use of __________ has increased productivity along the assembly line and within service-based businesses while simultaneously causing a reduction in jobs for people.Multiple Choice
Answer:
Robots.
Explanation:
The use of mechanism and robotic arm has become a important determinate for the production and manufacturing process in todays 21st century. With the development of robot technology process can be handled with precision and effectiveness Process of lean manufacturing and JIT can also be implemented easily and systematically.Cavy Company estimates that the factory overhead for the following year will be $1,470,000. The company has decided that the basis for applying factory overhead should be machine hours, which is estimated to be 40,000 hours. The machine hours for the month of April for all of the jobs were 4,780.
Required:
Prepare the journal entry to apply factory overhead.
Answer and Explanation:
The journal entry to record the factory overhead is given below:
Predetermined Overhead rate is
= Estimated overhead ÷ Estimated machine hours
= $1,470,000 ÷ 40,000
= $36.75 per mh
Now journal entry is
Work in Process $175,665
To Factory Overhead $175,665 (4780 × 36.75)
(Being the factory overhead applied is recorded)
Here work in process is debited as it increased the assets and credited the factory overhead as it decreased the expense
Many experts believe that marketing is the most important function in a company. Discuss the reasons this is a true statement. Discuss the reasons this is not a true statement.
Solution :
Marketing is considered as an important function in a company.
Marketing is an important function in any organization as it allows the business to maintain a long-lasting and an ever-present relationships with the audience. It increase the brand value and generates revenue for the organization.
Marketing is not considered as an important function in a company.
Besides marketing there are other function as well which are important for an organization. The human resource department is an important function which maintains the relationship between the employees and the management. It works for the welfare of its employees which is considered as asset to the organization.
Also attention should be given to manufacture a good product seeing the demand in the market that can be easily available and usable by the customer. More research should be done to develop a product that is best for its consumers.
Return on Equity: In the latest year, Photon, Inc. reported $276,000 in net income. The firm maintains a debt ratio of 30% and has total assets of $3,000,000. What is Photon's return on equity?
Answer:
13.14%
Explanation:
Debt / Total assets = 0.30
=>Debt = 0.30 * $3,000,000
Debt = $900,000
=> Equity = Total assets - Debt
Equity = $3,000,000 - $900,000
Equity = $2,100,000
Return on equity = Net income / Equity * 100
Return on equity = $276,000 / $2,100,000 * 100
Return on equity = 0.13142857 * 100
Return on equity = 13.142857%
Return on equity = 13.14%
Perimeter Realty Co. pays weekly salaries of $16,400 on Friday for a five-day workweek ending on that day. Journalize the necessary adjusting entry at the end of the accounting period, assuming that the period ends (a) on Wednesday and (b) on Thursday. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.
Answer and Explanation:
The journal entries are shown below:
a.
Salaries expense $9,840 (16400 ÷ 5 × 3)
To Salaries payable $9,840
(Being salaries expense is recorded)
Here salaries expense is debited as it increased the expense and credited the salaries payable as it increased the liability
b.
Salaries expense $13,120 (16400 ÷ 5 × 4)
To Salaries payable $13,120
(Being salaries expense is recorded)
Here salaries expense is debited as it increased the expense and credited the salaries payable as it increased the liability
ABC Bank requires a 20% down payment on all of its home loans. If a house
is priced at $145,000, what is the amount of the down payment required by
the bank?
A. $29,000
B. $290,000
C. $14,500
D. $18,000
A pure monopoly without competitors: Group of answer choices Faces a perfectly elastic demand curve for its product. Cannot influence the price of its
Answer:
d
Explanation:
Here is the complete question
A pure monopoly firm
Select one:
a. faces a perfectly elastic demand curve for its product.
b. will always be able to earn more profit when it raises price.
c. will always earn economic profit, no matter what the level of demand for its product.
d. can influence the price of its product by controlling output
A monopoly is when there is only one firm operating in an industry. there are usually high barriers to entry of firms. the demand curve is downward sloping. it sets the price for its goods and services.
An example of a monopoly is a utility company
A natural monopoly occurs due to the high start-up costs or a large economies of scale.
Natural monopolies are usually the only company providing a service in a particular region
Characteristics of natural monopolies
1. they have a large fixed cost
2. The firms have a low marginal cost
3. They occur naturally through the free market. It does not occur by government regulation or any other force
The demand curve for a pure monopoly is usually inelastic.
Demand is inelastic if a small change in price has little or no effect on quantity demanded. The absolute value of elasticity would be less than one
A monopoly can can influence the price of its product by controlling output
A monopoly will not always earn economic profit no matter the level of output
