On the cost of goods manufactured schedule, the cost of goods manufactured agrees with the:________ a. total debits to Work in Process Inventory during the period. b. balance of Finished Goods Inventory at the end of the period. c. debits to Cost of Goods Sold during the period. d. amount transferred from Work in Process Inventory to Finished Goods during the period.
Answer:
c. debits to Cost of Goods Sold during the period
Explanation:
For a Manufacturing firm, the Cost of Sales is equal to the Cost of Goods Manufactured.
Therefore, On the cost of goods manufactured schedule, the cost of goods manufactured agrees with the debits to Cost of Goods Sold during the period.
You have been hired to design the controller of a shampoo manufacturing facility plant vessel. After speaking with the electrical engineers working in that company you have been told that there is a lot of noise in the system, and that errors tend to both repeat in magnitude, vary in size, happen suddenly, and persist over time. What type of controller would be the most efficient
Answer:
PID Controller
Explanation:
Known for its stability and efficiency, the PID (proportional integral derivative) controller would be the best type of controller used in this case.
Remember, a controller basically is a name attributed to the device architecture that allows the controlling of temperature, pressure, and flow processes.
Hence, since there is a lot of noise in the shampoo manufacturing system, having persistent errors which happen suddenly, the use of a PID Controller should able to detect and resolve the issue.
The Swenson Corporation has a standard costing system. The following data are available for June: Actual quantity of direct materials purchased 35,000 pounds Standard price of direct materials $4 per pound Material price variance $7,000 unfavorable Material quantity variance $4,200 favorable The actual price per pound of direct materials purchased in June is:
Answer:
Actual price= $4.2 per pound
Explanation:
Giving the following information:
Actual quantity of direct materials purchased 35,000 pounds
Standard price of direct materials $4 per pound
Material price variance $7,000 unfavorable
To calculate the actual price, we need to use the direct material price variance formula:
Direct material price variance= (standard price - actual price)*actual quantity
-7,000 = (4 - actual price)*35,000
-7,000= 140,000 - 35,000actual price
35,000actual price= 147,000
Actual price= $4.2 per pound
Bramble Corp. had 165 units in beginning inventory at a total cost of $19,800. The company purchased 330 units at a total cost of $44,550. At the end of the year, Bramble had 90 units in ending inventory. Compute the cost of the ending inventory and the cost of goods sold under FIFO, LIFO, and average-cost. (Round average-cost per unit and final answers to 0 decimal places, e.g. 1,250.) FIFO LIFO Average-cost The cost of the ending inventory $enter a dollar amount rounded to 0 decimal places $enter a dollar amount rounded to 0 decimal places $enter a dollar amount rounded to 0 decimal places The cost of goods sold $enter a dollar amount rounded to 0 decimal places $enter a dollar amount rounded to 0 decimal places $enter a dollar amount rounded to 0 decimal places eTextbook and Media Which cost flow method would result in the highest net income
Answer:
A. FIFO
Cost of the ending inventory $12,150
Cost of goods sold $52,200
B. LIFO
Cost of the ending inventory $10,800
Cost of goods sold $53,550
C. AVERAGE COST
Cost of the ending inventory $11,700
Cost of goods sold $52,650
Explanation:
A. Computation for the cost of the ending inventory and the cost of goods sold under FIFO
Cost of the ending inventory = 90 units*($44,550/330 units)
Cost of the ending inventory=90 units**135
Cost of the ending inventory=$12,150
Cost of goods sold =($44,550+$19,800)-$12,150
Cost of goods sold =$64,350-$12,150
Cost of goods sold =$52,200
2.Computation for the cost of the ending inventory and the cost of goods sold under LIFO
Cost of the ending inventory = 90 units*($19,800/165)
Cost of the ending inventory =90 units*$120
Cost of the ending inventory = $10,800
Cost of goods sold =($44,550+$19,800)-$10,800
Cost of goods sold =$64,350-$10,800
Cost of goods sold =$53,550
3.Computation for the cost of the ending inventory and the cost of goods sold under Average-cost
Cost of the ending inventory = 90 units*($44,550+$19,800)/(330 units+165 units)
Cost of the ending inventory = 90 units*($64,350/495 units)
Cost of the ending inventory = 90 units*$130
Cost of the ending inventory = $11,700
Cost of goods sold =($44,550+$19,800)-$11,700
Cost of goods sold =$64,350-$11,700
Cost of goods sold =$52,650
Jacques, who is age 45, has just resigned from his current job. He worked for Ace, which sponsors a cash balance plan and a standard 401(k) plan. Each of the plans uses the longest permitted vesting schedule and both plans are top heavy. He has a balance of $40,000 in the cash balance plan, has deferred $20,000 into the 401(k) plan and has employer matching contributions of $10,000. If he has been employed for three years, but only participating in the plans for the last two years, how much does he keep if he leaves today
Answer: hahaha
Explanation:
What type of business do we have?
Dividends cause a(n) increase/decrease)_________ in equity and are recorded directly in
Answer:
Decrease (debit) in equity, Cash Dividends Payable (credit, liability account)
Explanation:
The journal entry to record the declaration of the cash dividends involves a decrease (debit) to Retained Earnings (a stockholders' equity account) and an increase (credit) to Cash Dividends Payable (a liability account).
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For each of the following scenarios, identify the number of firms present, the type of product, and the appropriate market model. Select the matching entry for each dropdown box in the following table.
Scenario
Number of Firms
Type of Product
Market Model
There are hundreds of colleges and universities that serve millions of college students each year. The colleges vary by location, size, and educational quality, which allows students with diverse preferences to find schools that match their needs.
There are hundreds of high school students in need of algebra tutoring services. Dozens of companies offer tutoring services; parents view the quality of the tutoring at the different companies to be largely the same.
In a small town, there are four providers of broadband Internet access: a cable company, the phone company, and two satellite companies. The Internet access offered by all four providers is of the same speed. Almost everyone in the city already has broadband, so any potential new company would have to engage in a price war with the existing companies and would be unlikely to cover its costs for years, if ever.
The government has granted the U.S. Postal Service the exclusive right to deliver mail.
Answer:
Number of Firms - many
Type of Product - differentiated
Market Model - monopolistic competition
Number of Firms - many
Type of Product - standardised
Market Model - perfect competition
Number of Firms - few
Type of Product - standardised
Market Model - oligopoly
Number of Firms - one
Type of Product - unique
Market Model - monopoly
Explanation:
A perfect 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.
A monopolistic competition is when there are many firms selling differentiated products in an industry. A monopoly has characteristics of both a monopoly and a perfect competition. the demand curve is downward sloping. it sets the price for its goods and services.
An example of monopolistic competition are restaurants
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
An Oligopoly is when there are few large firms operating in an industry. While, a monopoly is when there is only one firm operating in an industry.
Oligopolies are characterised by:
price setting firms profit maximisation high barriers to entry or exit of firms downward sloping demand curveYou are the beneficiary of a life insurance policy. The insurance company informs you that you have two options for receiving the insurance proceeds. You can receive a one-time cash of $200,000 today or receive payments of $1,400 a month starting at the end of this month for 20 years. Assuming the APR is 6 percent with monthly compounding, which option should you take and why
Answer:
Option 1 PV lumpsum = $200000
Option2 PV of Annuity = $195413.08035 rounded off to $195413.08
Based on the present value of both the options, Option 1 should be chosen as it has a higher present value than option 2.
Explanation:
To decide on the best option to choose among the given two, we need to find the present value of both the options.
As the first option is to receive a lumpsum payment of $200000 today, the present value of this option is also equal to $200000 as it will be received today.
Option two, on the other hand, is an annuity as fixed payments will be received after equal intervals of time and for a limited time period and at the end of the period which satisfies the criteria of annuity ordinary. We will use the formula for the present value of annuity which is,
PV of Annuity = C * [( 1 - (1+r)^-n) / r]
Where,
C is the periodic paymentr is the rate of return of discount raten is the number of periodsThe periodic payment is provided as $1400. We are also provided with and APR of 6% which is the Annual rate. We will have to convert it into monthly rate by dividing it by 12. We are also provided with the number of years which we will need to convert into number of months by multiplying it by 12.
Monthly r = 6%/12 = 0.5%
Number of periods = 20 * 12 = 240
PV of Annuity = 1400 * [( 1 - (1+0.5%)^-240) / 0.5%]
PV of Annuity = $195413.08035 rounded off to $195413.08
The difference between mediation and arbitration is that __________. Group of answer choices in mediation the mediator is brought into the dispute to resolve the issues, whereas in arbitration the arbitrator merely listens to the dispute in arbitration the arbitrator actually decides who is right and who is wrong, whereas in mediation the mediator suggests different outcomes in mediation there must be a union representative present, whereas in arbitration no union representative attends in arbitration there is both a mediator and an arbitrator present who decide the outcome of the dispute
Answer:
In arbitration the arbitrator actually decides who is right and who is wrong, whereas in mediation the mediator suggests different outcomes.
Explanation:
Mediation is a process in which a third party participates in the negotiation to help the parties involved to get to a resolution on a specific issue but these parties can decide if they agree to a resolution or not.
Arbitration is a process in which parties that have a dispute go to an impartial third party to solve the issue without going to the court. In arbitration, the third party makes a decision that is binding.
According to this, the answer is that the difference between mediation and arbitration is that in arbitration the arbitrator actually decides who is right and who is wrong, whereas in mediation the mediator suggests different outcomes.
2. In 2016; the cost of a market basket of goods was $2,000. In 2018, the cost of the same market basket of goods was
$2,100. Use the price index formula to calculate the price index for 2018 if 2016 is the base year. Show your work. 2
pts
Answer:
105
Explanation:
base year = 2016
cost of market basket of goods in base year = $2,000
CPI for base year = 100
year 2018
cost of market basket of goods in 2018 = $2,100
CPI for 2018 = (cost of basket of goods in 2018 / cost of basket of goods in base year) x 100 = ($2,100 / $2,000) x 100 = 105
Rachelle transfers property with a tax basis of $1,125 and a fair market value of $1,350 to a corporation in exchange for stock with a fair market value of $1,040 and $146 in cash in a transaction that qualifies for deferral under section 351. The corporation assumed a liability of $164 on the property transferred. What is the corporation's tax basis in the property received in the exchange
Answer: $1,271
Explanation:
The tax basis of the Corporation in respect to the property received is the tax basis of the property in addition to the lesser of the gain received from the property and boot received.
Tax basis of property = $1,125
Gain received = Fair market value of property - fair market value of stock
= 1,350 - 1,040
= $310
Boot received = $146
Boot is lesser amount.
Tax basis = 1,125 + 146
= $1,271
The General Manager for your company is upset at what she perceives as waste in the system. The facility seems disorganized, employees fluctuate between working extremely hard at certain times, and standing around at other times. You decide to take a bold step and lay out the principles of lean methodology. Describe to the GM the components of a lean supply chain, what is the philosophy, what does it try to achieve, what are some specific lean tools that could be incorporated
The correct answer to this open question is the following.
I would explain to the manager the principles of lean methodology in the following way.
If you want to eliminate non-value activities, the waste in the system, the disorganization is the facility, and laziness in the company, you have to establish a lean methodology as soon as possible.
This methodology has four stages.
Stage number one is Procurement. In this stage, you identify and eliminate duplications or double procedures in the same department. The second stage is Manufacturing. In this stage, the company pays attention to the quality of the process and the products. The goal is to prevent any defects in the products and diminish the return of products.
The third stage is Warehousing. In this stage, management focuses on keeping low inventories in the warehouse and improve the control of goods. Finally, the fourth stage, Transportation. The goal of this stage is to efficient the shipment of different goods to be transported in one trip to many differente places.
define bank run in your own words.
Answer:
A bank run occurs when a large number of customers of a bank or other financial institution withdraw their deposits simultaneously over concerns of the bank's solvency. As more people withdraw their funds, the probability of default increases, prompting more people to withdraw their deposits.
gPlease record the following items in journal entry format. Clearly indicate the (a) account name (b) whether it is a (debit) or (credit) and (c) the amount. See my example below: The firm bought supplies for $6,400 on account. The firm purchased land for $450,000, $160,000 of which was paid in cash and a note payable signed for the balance. The firm paid for the supplies ($6,400) purchased on account above. The firm paid $1,000 for salaries for the month. The firm accepted cash for repair services made in the amount of $5,000 and billed additional customers for repair services of the amount of $2,500 The firm received cash from customers on account in the amount of $2,000 . The firm repaid $16,000 of its loan. The firm paid the rent and utility bill for the month for $2,000 The firm paid a cash dividend of $1,000. Example: The firm purchased Equipment for $1,000. Clearly indicate the (a) account name (b) whether it is a (debit) or (credit) and (c) the amount Correct way to answer: Equipment (debit) $1,000 Cash (credit) $1,000
Answer:
Journal Entry Format:
1. Supplies (debit) $6,400 Accounts payable (credit) $6,400
2. Land (debit) $450,000 Cash (credit) $160,000 Notes Payable (credit) $290,000
3. Accounts payable (debit) $6,400 Cash (credit) $6,400
4. Salaries Expense (debit) $1,000 Cash (credit) $1,000
5. Cash (debit) $5,000 Service Revenue (credit) $1,000
6. Accounts receivable $2,500 Service Revenue (credit) $2,500
7. Cash (debit) $2,000 Accounts receivable (credit) $2,000
8. Dividends (debit) $1,000 Cash (credit $1,000
Explanation:
With the above journal format, the account that receives value is debited while the account that gives value is credited. This follows the accounting principle of debiting the receiver and crediting the giver. It shows that assets, expenses, and losses have debit balances while liabilities, equity, gains, and revenues have credit balances.
Which of these is referred to as the invisible network of interpersonal relationships that shape how people actually connect with one another to carry out their activities?
a.
Organizational development
b.
Organizational change
c.
Informal organization
d.
Organizational design
e.
Level of organization
The informal organization is sometimes referred to as the invisible network of interpersonal relationships that shape how people actually connect with one another to carry out their activities.
C. Informal organization
What is formal and informal organization?A formal organization is a group of people who have a formal relationship, set written policies and rules and a common goal. On the other hand, an informal organization is an organization that is formed when a group of people interact, develops connection and form an entity via mutual interactions.
What is divisional organization structure?Divisional organization structure in which various departments are created on the basis of products, territory or region, is called a divisional structure. Each unit has a divisional manager, who is responsible for performance and has authority over their division.
To learn more about Informal organization, refer
https://brainly.com/question/5923201
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16) Warranties, money-back guarantees, extensive usage instructions, demonstrations, and free samples are all ways in which companies attempt to ________ new product adoption. A) accelerate satisfaction with B) stabilize at maturity any C) minimize growth in competition during D) overcome barriers to E) prevent the precipitous decline of
Answer: D. Overcome barriers
Explanation:
During the life cycle of a product, the introduction stage is where the company builds awareness for the new product.
At this stage, the sales are usually low and companies look out for ways to overcome challenges and barriers. Some of the ways to do this include warranties, extensive usage instructions etc.
Therefore, the correct option is D.
HELP how do i speedrun like dream
Answer:
I-
Explanation:
I'm very sorry I have no idea
The government has recently introduced a marketable permit program for major polluters where one permit gives permission to pollute one unit. When the program is introduced, Firm A emits 800 units of pollutant and so is granted 800 permits. After one year, firms are issued 10% fewer pollution permits. If Firm A reduces its pollutants from 800 units to 690 units, how many permits does it sell after one year
Answer:
Firm A can sell 30 permits as it has an excess of 30 permits.
Explanation:
As the permits are reduced by 10%, then the permits issued to Firm A after one year will be,
Permits issued - After one year = 800 * (1 - 10%) = 720 permits
Now as Firm A has reduced its pollutant units to 690 units, which is more than the permits issued to it, it has an excess of 30 permits.
Excess = 720 - 690 = 30 permits
Firm A can sell these permits after one year.
A country aims to double real GDP per capita in the next 25 years. If the rate of population growth in the country is 1.5% per year then at approximately what rate does real GDP need to grow to achieve this goal
Answer: 4.3%
Explanation:
Real GDP growth rate = GDP per Capita growth rate + Population growth rate
GDP per capita growth rate:
One can use the rule of 70 to calculate the length of time it would take something to double:
Years = 70 / rate
rate * years = 70
Rate = 70 / years
= 70/25
= 2.8%
Real GDP growth rate = 2.8% + 1.5%
= 4.3%
A financial manager is considering two possible sources of funds necessary to finance a $10,000,000 investment that will yield $1,500,000 before interest and taxes. Alternative one is a short-term commercial bank loan with an interest rate of 8 percent for one year. The alternative is a five-year term loan with an interest rate of 10 percent. The firm's income tax rate is 30 percent.
Required:
a. What will be the firm's projected earnings under each alternative for the first year?
b. The financial manager expects short-term rates to rise to 11 percent in the second year. At that time long-term rates will have risen to 12%. What will be the firm's projected earnings under each alternative in the second year?
c. What are the crucial considerations when selecting between short- and long-term sources of finance?
Answer:
a. We have:
Firm's projected earnings under short-term loan for the first year = $490,000
Firm's projected earnings under long-term loan for the first year = $350,000
b. We have:
Firm's projected earnings under short-term loan for the second year = $280,000
Firm's projected earnings under long-term loan for the second year = $210,000
c. These include repayment terms, security available, the total cost of borrowing, business risk, the current capital gearing of the business, and among others.
Explanation:
a. What will be the firm's projected earnings under each alternative for the first year?
Firm's projected earnings under short-term loan for the first year = Investment yield - (Amount Borrowed * Short-term interest rate in the first year) - (((Investment yield - (Amount Borrowed * Short-term interest rate in the first year)) * Tax rate) = $1,500,000 - ($10,000,000 * 8%) - ((($1,500,000 - ($10,000,000 * 8%)) * 30%) = $490,000
Firm's projected earnings under long-term loan for the first year = Investment yield - (Amount Borrowed * Long-term interest rate in the first year) - (((Investment yield - (Amount Borrowed * Long-term interest rate in the first year)) * Tax rate) = $1,500,000 - ($10,000,000 * 10%) - ((($1,500,000 - ($10,000,000 * 10%)) * 30%) = $350,000
b. The financial manager expects short-term rates to rise to 11 percent in the second year. At that time long-term rates will have risen to 12%. What will be the firm's projected earnings under each alternative in the second year?
Firm's projected earnings under short-term loan for the second year = Investment yield - (Amount Borrowed * Short-term interest rate in the second year) - (((Investment yield - (Amount Borrowed * Short-term interest rate in the second year)) * Tax rate) = $1,500,000 - ($10,000,000 * 11%) - ((($1,500,000 - ($10,000,000 * 11%)) * 30%) = $280,000
Firm's projected earnings under long-term loan for the second year = Investment yield - (Amount Borrowed * Long-term interest rate in the second year) - (((Investment yield - (Amount Borrowed * Long-term interest rate in the second year)) * Tax rate) = $1,500,000 - ($10,000,000 * 12%) - ((($1,500,000 - ($10,000,000 * 12%)) * 30%) = $210,000
c. What are the crucial considerations when selecting between short- and long-term sources of finance?
The crucial considerations when selecting between short- and long-term sources of finance include repayment terms, security available, the total cost of borrowing, business risk, the current capital gearing of the business, and among others.
how to writer minutes
Explanation:
Meeting minutes, or mom (for minutes of meeting) can be defined as the written record of everything that's happened during a meeting. They're used to inform people who didn't attend the meeting about what happened, or to keep track of what was decided during the meeting so that you can revisit it and use it to inform future decisions.
Engineer Fatima and Cal Client executed a contract that included a provision that Cal could not file a lawsuit for professional negligence against Fatima after two years from the date of Building Department's final inspection of Cal's three-story redwood decking, stairs and cover. The contract provision used for this particular agreement is referred to as:
Answer:
Express condition
Explanation:
An Express condition may be defined as the conditions or the terms that is explicitly mentioned or written in the contract. It occurs when the two or more parties signing the contract agrees that an event must occur before the burden of the responsibility to be completed the contract arises.
In the context, a contract signed between two parties, Fatima and Cal that states that Cal cannot file a case against Fatima after the final inspection of the Building Department for two years of Cal's building.
The contract provision used under this agreement between Cal and Fatima is referred to as express condition.
A company is considering buying licenses for 12 megahertz of wireless spectrum in the 700 MHz range, which is suitable for delivering television to mobile phones. The 700 MHz signals can travel long distances and more easily penetrate walls and other obstacles. The acquisition cost is $150 million. In addition, because networks that operate in the 700 MHz range are less expensive to build than those in other portions of the spectrum, the company estimates annual costs of $15 million over the next 8 years and no salvage value. During the same period, the company expects to generate annual revenue of $18 million by offering television arid video to mobile-phone users. Calculate the net present worth of this investment and determine the acceptability of the investment if the company's minimum attractive rate of return is 15% per year.
Answer:
NPW = -$136.539 million
The negative net present value means that the project is not financially feasible, and therefore the company does not approve or pursue this investment.
Explanation:
Data Given:
Initial cost = $150 million
Annual cost = $15 million
Annual revenue = $18 million
salvage value = $0
Time period = 8 years
MARR = 15%
Calculate Net present worth:
NPW = -$150 million + ($18 million - $15 million) (P/A, 15%, 8)
(P/A, 15%, 8) = 4.487
NPW = -$150 million + ($3 million * 4.487)
NPW = -$150 million + $13.461 million
NPW = -$136.539 million
The negative net present value means that the project is not financially feasible, and therefore the company does not approve or pursue this investment.
The honey Co. sells two types of honey, flower and maple. The company projected the following cost information for the two products: Flower Maple Unit selling price $ 250 $ 120 Unit variable cost $ 110 $ 80 Number of units produced and sold 4,000 6,000 The company's total fixed costs are expected to be $280,000. Based on this information, what is the combined number of units of the two products that would be required to break even with the projected sales mix
Answer:
Break-even point (units)= 3,500 units
Explanation:
Giving the following information:
Flower Maple
Unit selling price $ 250 $ 120
Unit variable cost $ 110 $ 80
Number of units produced and sold 4,000 6,000
The company's total fixed costs are expected to be $280,000.
First, we need to calculate the sales proportion:
Flower= 4,000 / 10,000= 0.4
Maple= 6,000 / 10,000= 0.6
Now, to calculate the break-even point, we need to use the following formula:
Break-even point (units)= Total fixed costs / Weighted average contribution margin
Weighted average contribution margin= (weighted average selling price - weighted average unitary variable cost)
Weighted average contribution margin= (0.4*250 + 0.6*120) - (0.4*110 + 0.6*80)
Weighted average contribution margin= 80
Break-even point (units)= 280,000 / 80
Break-even point (units)= 3,500 units
Statement of Owner's Equity Zack Gaddis owns and operates Gaddis Advertising Services. On January 1, 20Y3, Zack Gaddis, Capital had a balance of $186,000. During the year, Zack invested an additional $9,300 and withdrew $65,100. For the year ended December 31, 20Y3, Gaddis Advertising Services reported a net income of $89,800.
Prepare a statement of owner's equity for the year ended December 31, 20Y3. Use the minus sign to indicate negative values.
Answer:
Zack Gaddis
Statement of owner's equity for the year ended December 31, 20Y3
Capital Retained Earnings Total
Beginning of the Year :
Opening Balance $186,000 - $186,000
During the year :
Additional Capital $9,300 - $9,300
Drawings ($65,100) - ($65,100)
Net Income - $89,800 $89,800
At the end of the year $130,200 $89,800 $220,000
Explanation:
The statement of owner's equity for the year ended December 31, 20Y3 is prepared as above.
Bamboo Consulting is a consulting firm owned and operated by Lisa Gooch. The following end-of-period spreadsheet was prepared for the year ended July 31, 20Y5:
Bamboo Consulting
End-of-Period Spreadsheet
For the Year Ended July 31, 20Y5
Unadjusted Trial Adjustments Adjusted Trial
Balance Balance
Account Title Dr. Cr. Dr. Cr. Dr. Cr.
Cash 12,390 12,390
Accounts
Receivable 29,490 29,490
Supplies 3,130 (a) 2,620 510
Office
Equipment 23,890 23,890
Accumulated
Depreciation 3,270 (b) 1,560 4,830
Accounts Payable 7,960 7,960
Salaries Payable (c) 380 380
Lisa Gooch,
Capital 30,080 30,080
Lisa Gooch,
Drawing 3,830 3,830
Fees Earned 55,900 55,900
Salary Expense 22,120 (c) 380 22,500
Supplies Expense (a) 2,620 2,620
Depreciation Expense (b) 1,560 1,560
Miscellaneous Expense 2,360 2,360
97,210 97,210 4,560 4,560 99,150 99,150
Based on the preceding spreadsheet, prepare an income statement, statement of owner’s equity, and balance sheet for Bamboo Consulting.
CHART OF ACCOUNTS
Bamboo Consulting
General Ledger
ASSETS
11 Cash
12 Accounts Receivable
13 Supplies
14 Office Equipment
15 Accumulated Depreciation
LIABILITIES
21 Accounts Payable
22 Salaries Payable
EQUITY
31 Lisa Gooch, Capital
32 Lisa Gooch, Drawing
33 Income Summary
REVENUE
41 Fees Earned
EXPENSES
51 Salary Expense
52 Supplies Expense
53 Depreciation Expense
54 Miscellaneous Expense
REVENUE
41 Fees Earned
EXPENSES
51 Salary Expense
52 Supplies Expense
53 Depreciation Expense
54 Miscellaneous ExpenseLabels
Current assets
Current liabilities
Expenses
For the Year Ended July 31, 2016
July 31, 2016
Property, plant, and equipment
Revenues
Amount Descriptions
Add withdrawals
Decrease in owner’s equity
Increase in owner’s equity
Less withdrawals
Lisa Gooch, capital
Lisa Gooch, capital, August 1, 2015
Lisa Gooch, capital, July 31, 2016
Net income
Net loss
Total assets
Total current assets
Total expenses
Total liabilities
Total liabilities and owner’s equity
Total property, plant, and equipment
Total revenues
1. Prepare an income statement for the year ended July 31, 2016 for Bamboo Consulting.
2. Prepare a statement of owner’s equity for the year ended July 31, 2016 for Bamboo Consulting.
3. Prepare a balance sheet as of July 31, 2016 for Bamboo Consulting. Fixed assets must be entered in order according to account number.
Answer:
Bamboo Consulting
1. Income Statement for the year ended July 31, 2016:
Fees Earned $55,900
Salary Expense 22,500
Supplies Expense 2,620
Depreciation Expense 1,560
Miscellaneous Expense 2,360 29,040
Net income $26,860
2. Statement of Owner's Equity for the year ended July 31, 2016:
Capital $30,080
Net income 26,860
Drawing (3,830)
Equity balance $53,110
3. Balance Sheet as of July 31, 2016:
Cash $12,390
Accounts Receivable 29,490
Supplies 510 $42,390
Office Equipment 23,890
Accumulated Depreciation (4,830) $19,060
Total assets $61,450
Accounts Payable $7,960
Salaries Payable 380
Total liabilities $8,340
Owner's equity $53,110
Total liabilities and equity $61,450
Explanation:
a) Data and Calculations:
Bamboo Consulting
End-of-Period Spreadsheet
For the Year Ended July 31, 20Y5
Unadjusted Trial Adjustments Adjusted Trial
Balance Balance
Account Title Dr. Cr. Dr. Cr. Dr. Cr.
Cash 12,390 12,390
Accounts
Receivable 29,490 29,490
Supplies 3,130 (a) 2,620 510
Office
Equipment 23,890 23,890
Accumulated
Depreciation 3,270 (b) 1,560 4,830
Accounts Payable 7,960 7,960
Salaries Payable (c) 380 380
Lisa Gooch,
Capital 30,080 30,080
Lisa Gooch,
Drawing 3,830 3,830
Fees Earned 55,900 55,900
Salary Expense 22,120 (c) 380 22,500
Supplies Expense (a) 2,620 2,620
Depreciation Expense (b) 1,560 1,560
Miscellaneous Expense 2,360 2,360
97,210 97,210 4,560 4,560 99,150 99,150
Adjusted Trial Balance
Account Title Dr. Cr.
Cash 12,390
Accounts Receivable 29,490
Supplies 510
Office Equipment 23,890
Accumulated Depreciation 4,830
Accounts Payable 7,960
Salaries Payable 380
Lisa Gooch, Capital 30,080
Lisa Gooch, Drawing 3,830
Fees Earned 55,900
Salary Expense 22,500
Supplies Expense 2,620
Depreciation Expense 1,560
Miscellaneous Expense 2,360
99,150 99,150
Determine which measure of inflation should be used in each of the given scenarios. a. You're a buyer at an auto factory, and your manager asks you to determine whether your factory is experiencing price increases, similarly to other factories in the rest of the country. The is the best measure of inflation in this scenario because it tracks the prices of . b. A teacher's union wants to include annual cost‑of‑living adjustments in the next contract. The is the best measure of inflation in this scenario because it tracks the prices of .
Answer:
a. PPI or Producer Price Index because it measures the input used for production.
b. CPI or Consumer Price Index because it measures the cost of common household purchases.
Explanation:
Inflation is general rise in the price level. There are various measures of inflation such as CPI, RPI, CPIX, CPI-CT and core inflation. This inflation measure selection is based on the scenarios by which criteria is made for selection. The businessmen will measure inflation with a different method as compared to a common man.
a. A factory owner will measure the inflation based on PPI. Producer price index measures the change in price of goods sold by manufacturer.
b. A teacher union will measure the inflation as CPI. Consumer price index is the best measure of inflation for a consumer.
Rudyard Corporation had 110,000 shares of common stock and 11,000 shares of 7%, $100 par convertible preferred stock outstanding during the year. Net income for the year was $420,000 and dividends were paid to both common and preferred shareholders. Rudyard's effective tax rate is 25%. Each share of preferred stock is convertible into four shares of common stock. What is Rudyard's diluted EPS (rounded)
Answer:
$2.73
Explanation:
Diluted Earnings Per Share = Earnings Attributed to Common Stockholders ÷ Weighted Average Number of Common Stockholders Outstanding
where,
Earnings Attributed to Common Stockholders = $420,000
and
Weighted Average Number of Common Stockholders Outstanding = 110,000 + (11,000 x 4) = 154,000
therefore,
Diluted Earnings Per Share = $420,000 ÷ 154,000 = $2.73
Conclusion
Rudyard's diluted EPS is $2.73
Everything Looks Like a Nail, Inc is a manufacturing company that produces hammers. The company faces a number of fixed and variable costs in the short run. Determine which of the costs below are examples of fixed costs or examples of variable costs by placing them in the correct category. Assume the company cannot easily adjust the amount of capital it uses.Fixed Costs Variable Costsa. interest rate on current debtb. regulatory compliance costsc. annual salaries of top managementd. cost of metal used in manufacturinge. cost of wood used in manufacturingf. postage and packaging costsg. lease on buildingh. industrial equipment costs
Answer:
Fixed costs do not depend on the level of output. They are therefore paid regardless of production.
Variable costs are only incurred as production goes on.
Fixed cost
a. Interest rate on current debt
b. Regulatory compliance costs
c. Annual salaries of top management
g. Lease on building
h. Industrial equipment costs
Variable Costs
d. Cost of metal used in manufacturing
e. Cost of wood used in manufacturing
f. Postage and packaging costs
