Answer:
The Wild Trout Gallery
1. T-accounts:
Allowance for Doubtful Accounts
Date Account Titles Debit Credit
Jan. 1 Balance $34,200
Dec. 31 Uncollectible Expense 1,700
Dec. 31 Balance $35,900
2. Journal Entry:
Jan. 19:
Debit Accounts Receivable $1,630
Credit Uncollectible Expense $1,630
To reinstate the account of Arlene Gurley written off as uncollectible.
Debit Cash Account $1,630
Credit Accounts Receivable $1,630
To record the receipt of cash from Arlene Gurley.
Apr. 3:
Debit Uncollectible Expense $9,340
Credit Accounts Receivable $9,340
To record the write-off of balance owed by Premier GS Co.
July 16:
Debit Cash $16,800
Debit Uncollectible Expense $50,400
Credit Accounts Receivable $67,200
To record the receipt of 25% of balance and write-off of remaining debt.
Nov. 23:
Debit Accounts Receivable $2,655
Credit Uncollectible Expense $2,655
To reinstate the account of Harry Carr written off as uncollectible.
Debit Cash Account $2,655
Credit Accounts Receivable $2,655
To record the receipt of cash from Harry Carr.
December 31:
Debit Uncollectible Expense $15,990
Credit Accounts Receivable $15,990
To record the write-off of uncollectibles.
Debit Uncollectible Expense $1,700
Credit Allowance for Doubtful Accounts $1,700
To record the estimated uncollectibles.
Dec. 31:
Debit Uncollectible Expense $1,700
Credit Allowance for Doubtful Accounts $1,700
To record the uncollectible expense.
3. Expected net realizable value of the accounts receivable as of December 31 (after all of the adjustments and the adjusting entry):
Accounts Receivable balance $825,700
Allowance for Doubtful Accounts 35,900
Net realizable value $789,800
4. Allowance for Doubtful Accounts = 0.5% of $5,100,000 = $25,500
a. Bad Debt Expense for the year:
Jan. 19 Reinstatement of written off account -$1,630
Apr. 3 Premier GS Co. write-off 9,340
July 16 Hayden Co. write-off 50,400
Nov. 23 Reinstatement of Harry Carr account -2,655
Dec. 31 Write-off of: Cavey Co., 7,025
Fogle Co., 2,085
Lake Furniture, 5,365
Melinda Shryer, 1,515
Dec. 31 Allowance for Doubtful Accounts -8,700
Amount of bad debt expense $62,745
b. Balance in the allowance account after the adjustment of December 31:
= $25,500
Journal Entry:
Debit Allowance for Doubtful Accounts $8,700
Credit Bad Debts Expense $8,700
To record the reduced allowance for doubtful accounts.
c. Expected net realizable value of the accounts receivable as of December 31 (after all of the adjustments and the adjusting entry):
Accounts Receivable balance $825,700
Allowance for Doubtful Accounts 25,500
Net realizable value $800,200
Explanation:
a) Data and Calculations:
Hayden Co.:
Cash receipt = $16,800 or 25%
Total balance = $67,200 ($16,800/25%)
Uncollectible write-off = $50,400 ($67,200 * 75%)
b) The allowance for doubtful accounts will be increased by $1,700 to arrive at a new balance of $35,900 from $34,200.
c) If allowance for uncollectible accounts is based on 1/2% of 1% of sales, then the allowance for uncollectible accounts will be reduced by ($34,200 - 25,500) $8,700 from $34,200 to $25,500.
Hoffman Company purchased merchandise on account from a supplier for $65,000, terms 1/10, n/30. Hoffman Company returned $7,500 of the merchandise and received full credit.
a. If Hoffman Company pays the invoice within the discount period, what is the amount of cash required for the payment?
b. What account is debited by Hoffman Company to record the return?
Answer: a. $56925 ; b. Account payable
Explanation:
a. If Hoffman Company pays the invoice within the discount period, what is the amount of cash required for the payment?
Purchase invoice = $65000
Less: Return = ($7500)
Net Purchase Invoice = $57500
Less: Discount = $57500 × 1% = $575
Cash received = $56925
b. What account is debited by Hoffman Company to record the return?
The account that is debited by Hoffman Company to record the return is the account payable.
The use of departmental overhead rates will generally result in:______.
A. The use of a single cost allocation base.
B. The use of a single overhead cost pool for the factory.
C. The use of a separate cost allocation base for each department in the factory.
D. The use of a separate cost allocation base for each month.
Answer:
C. The use of departmental overhead rates will generally result in the factory
Explanation:
The use of departmental overhead rates will generally result in the use of departmental overhead rates will generally result in the factory. Under the departmental overhead rates approach, separate overhead rates are ascertained for each department based on the most suited allocation base for that department. Budgeted costs and budgeted activity for that department are used to calculate departmental overhead rates.
Under the ABC costing method,
a. departments are identified as activities.
b. activity rates are calculated by dividing the budgeted activity cost by the total activity-base usage.
c. the budgetary activity costs are assigned to products using factory overhead rates for each activity.
d. All of these choices are correct.
Answer:
d. All of these choices are correct.
Explanation:
Activity Based Costing system is the cost attribution to cost units (products) on the basis of benefits received from indirect activities, that is overheads that can not be allocated to a particular product or process.
So the process involves identifying activities driving the overheads. Determining the activity rates and assigning the costs using activity rate.
So, all the options given are applicable.
A company is involved in a lawsuit for which the contingent liability is remote. How should the liability be treated on the balance sheet?
a. It should be disclosed in the notes only.
b. It should not be recorded and need not be disclosed.
c. It should be recorded as a current liability.
d. It should be recorded as a long-term liability.
Answer:
b. It should not be recorded and need not be disclosed.
Explanation:
A contingent liability must be recorded in the balance sheet only if its outcome is very probable and the company can estimate its cost.
If the liability is only possible or its amount cannot be determined exactly, then it must be disclosed in the footnotes.
If the liability is only a remote outcome, or it is unlikely to happen, then it doesn't need to be recorded or disclosed.
The Barrett Company had sales of $19,800, total costs of $10,900, depreciation expense of $2,100, interest expense of $1,250. Their tax rate is 40%. The firm's operating cash flow is:______.
a. $7,650.
b. $8,900.
c. $6,680.
d. $3,330.
e. $5,430.
Answer:
d $3,330
Explanation:
The firm's operating cash flow is computed as;
Sales - Costs - Depreciation expense = EBIT
EBIT = $19,800 - $10,900 - $2,100
= $6,800
EBT = EBIT - Interest expense
EBT = $6,800 - $1,250
EBT = $5,550
Firm's tax rate = 40% × $5,550= $2,220
Operating cash flow = $5,550 - $2,220
Operating cash flow = $3,330
You are an entrepreneur in the cyber security industry seeking to develop alliances in India. India has diverse regions with many different peoples, traditions, and levels of economic development. Which two regions of India may be most conducive to developing your entrepreneurial alliances? Why?
Please limit the length of responses to two paragraphs.
Answer:
Two places to conduct cyber business in India :
1. Bangalore, Karnataka
Bangalore karnataka is the also called the cyber hub of Asia. Due to the continuous work by the Karnantaka government this place has become the prime destination for cyber industries.
2. Gurugram, Haryana
After the division of hyderabad, the second best place to implement the cyber hub is gurugram due to its high availability of labor force and workplaces.
The two regions of India that may be most conducive to developing your entrepreneurial alliances will be Bengaluru and Delhi.
It should be noted that cyber security simply means the practice of defending computers, mobile devices, severs, networks, data, etc from unauthorized use.
Based on the information given, the two regions of India that may be most conducive to developing your entrepreneurial alliances will be Bengaluru and Delhi. The reason for choosing these countries is because they're the major IT hubs in the country.
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benefits are offered by employers to attract good employees
Answer:
its true :))
Explanation:
Answer:
true
Explanation:
edg 2021
Watters Umbrella Corp. issued 15-year binds two years ago at a coupon rate of 6.2 percent. The bonds make semiannual payments. If these bonds currently sell for 98 percent of par value, what is the YTM?
Answer:
YTM = 6.42%
Explanation:
current market value = $1,000 x 98% = $980
n = (15 - 2) x 2 = 26
coupon = $1,000 x 6.2% x 1/2 = $31
face value = $1,000
YTM = [coupon + [(face value - market value)/n]} / [(face value + market value)/2]
YTM = [31 + [(1,000 - 980)/26]} / [(1,000 + 980)/2]
YTM = (31 + 0.77) / 990 = 31.77 / 990 = 0.03209 x 2 (annual yield) = 0.641818 = 6.42%
The formula for accounts receivable turnover is computed as _____ divided by average accounts receivable, net.
Answer:
revenue
Explanation:
Accounts receivable turnover is an example of activity ratios. It measures the efficiency by which accounts receivable are collected.
Discarded materials
The Wilson family has a disposable income of $60,000 annually. Currently, the Wilson family spends 80% of new disposable income on consumption. Assume that their marginal propensity to consume is 0.8 and that their autonomous consumption spending is equal to $10,000. What is the amount of the Wilson family's annual consumer spending
Answer:
the annual consumer spending is $58,000
Explanation:
The computation of the amount of the wilson family is shown below"
Annual consumer spending is
= Disposable income × marginal propensity to consume + autonomous consumption spending
= $60,000 × 0.8 + $10,000
= $48,000 + $10,000
= $58,000
hence, the annual consumer spending is $58,000
We simply applied the above formula so that the correct value could come
And, the same is to be considered
How does a business identify how much profit was made on a job?
Answer:
Making a profit is one of the most important objectives of a business. You can calculate your business profit by subtracting your total expenses from your total revenue. To identify what the revenues and expenses are, start by choosing the time period you want to study.
Explanation:
Hope this helps u
Crown me as brainliest:)
Which financial statement would include a listing of a companies assets
Answer:
Balance Sheet
Explanation:
In accounting, Balance sheet will show a complete listing of assets, liabilities and Equity of a company within a specific time period. (For most companies, the balance sheet will be made at each end of the year)
under the Assets segment, Balance sheet will specify several accounts arranged based on their liquidity. Cash usually put at the top of the list since it's considered as the most liquid assets.
People use balance sheet to give a general measurement on Company's financial health. If for example, they noticed that the liability is significantly larger than their assets, investors might feel discourage to invest in the company.
A firm is productively efficient when:__________.
A) it is producing its product or service at the lowest unit cost that it can
B) it is selling at the lowest price possible
C) it has the highest labor productivity that it can
D) it is making what its customers want
Answer:
Its is A
Explanation:
a. Find the duration of a 6% coupon bond making annual coupon payments if it has three years until maturity and has a yield to maturity of 6%. Note: The face value of the bond is $1,000. (Do not round intermediate calculations. Round your answers to 3 decimal places.) b. What is the duration if the yield to maturity is 10%
Answer:
A) the formula to calculate modified duration of bonds:
modified duration = [1 - (1 + y)⁻ⁿ] / y
modified duration = [1 - (1 + 6%)⁻³] / 6% = 2.673 years
if you want to determine the Macaulay duration = modified duration x (1 + yield) = 2.673 years x 1.06 = 2.833 years
B) modified duration = [1 - (1 + 10%)⁻³] / 10% = 2.487 years
if you want to determine the Macaulay duration = modified duration x (1 + yield) = 2.487 years x 1.1 = 2.736 years
a. The duration should be 2.833 years.
b. The duration should be 2.736 years.
The calculation is as follows:Modified duration = [1 - (1 + y)⁻ⁿ] ÷ y
= [1 - (1 + 6%)⁻³] ÷ 6%
= 2.673 years
Macaulay duration = modified duration × (1 + yield)
= 2.673 years × 1.06
= 2.833 years
B) modified duration = [1 - (1 + 10%)⁻³] ÷ 10%
= 2.487 years
Macaulay duration = modified duration × (1 + yield)
= 2.487 years × 1.1
= 2.736 years
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During an interview, _______________questions require you to use your own experiences and attributes to craft answers and often deal with soft-skill areas such as teamwork, communication, leadership, conflict resolution, problem solving, mistakes, and job commitment.
Answer:
Behavioral questions
Explanation:
The answer to this question is behavioral questions. Also known as Behavioral interviewing, the focus of this kind or stage of interview is to know the experience of the candidate that is being interviewed. Speaking of experiences certain informations are required here, like;
Asking the candidate to tell how they have shown certain behaviors, abilities, skills and also knowledge. And also to answer questions on basic workplace scenarios concerning areas such as conflict resolution, leadership, mistakes, job commitment, e.t.c
If you earn 10% per year on your bank account, how long will it take an account with $105 to double to $210? Do not round intermediate celculations. Round your answer to 2 decimal places.) Number of years _________.
Answer:
n= 7.27 years
Explanation:
Giving the following information:
Interest rate= 10%
Future value (FV)= $210
Present value (PV)= $105
To calculate the number of years to double the investment, we need to use the following formula:
n= ln(FV/PV) / ln(1+i)
n= ln(210/105) / ln(1.1)
n= 7.27 years
can someone plz tell me the percentages
Answer:
1) 7.75%
2) 1.45%
3) 6.20%
4) 3.65%
Explanation:
They are listed
This year Amy purchased $2,000 of equipment for use in her business.However, the machine was damaged in a traffic accident while Amy was transporting the equipment to her business.Note that because Amy did not place the equipment into service during the year, she does not claim any depreciation expense for the equipment.
a. After the accident, Amy had the choice of repairing the equipment for $1,800 or selling the equipment to a junk shop for $300.Amy sold the equipment.What amount can Amy deduct for the loss of the equipment?
b. After the accident, Amy repaired the equipment for $800.What amount can Amy deduct for the loss of the equipment?
c. After the accident, Amy could not replace the equipment so she had the equipment repaired for $2,300.What amount can Amy deduct for the loss of the equipment?
Answer:
a. After the accident, Amy had the choice of repairing the equipment for $1,800 or selling the equipment to a junk shop for $300.Amy sold the equipment.What amount can Amy deduct for the loss of the equipment?
Amy can deduct $2,000 - $300 = $1,700 as casualty loss. Casualty losses occur due to unexpected and sudden events that damage or destroy assets.
b. After the accident, Amy repaired the equipment for $800.What amount can Amy deduct for the loss of the equipment?
Amy can deduct $1,800 as casualty loss. She can deduct the lesser between the asset cost and the cost or repairing it.
c. After the accident, Amy could not replace the equipment so she had the equipment repaired for $2,300.What amount can Amy deduct for the loss of the equipment?
Amy can deduct $2,000 as casualty loss. She can deduct the lesser between the asset cost and the cost or repairing it.
Which one of the following is not included in the current account?
O the flow of interest payments to a Canadian holder of a German bond
O a foreigner's purchase of Canadian corporate shares
O a Canadian's purchase of a Korean-made car
O a French tourist's spending while visiting Canada
Answer:
O a French tourist's spending while visiting Canada
Explanation:
A current account shows the balance between a country's exports and imports. In other words, a country's exports and imports are indicated in the country's current account. A positive balance indicates a country has more exports than imports.
Exports include all goods, services, capital, and earnings sent outside the borders of a country. Imports are what is received from other countries. The current account considers goods, services, interest, and capital moving in and out of the borders. The French tourist is spending in Canada. The items being bought are not imports.
____ is a referral service that employees can use to seek professional treatment for emotional problems or substance abuse.
Answer:
Employee assistant programs
Explanation:
An employee assistant prgram is a program organized by organizations to assist their employees' personal problems which are hindering their performance in work-place.
EAP's tend to assist those employees that suffer from alcohol abuse, emotional abuse, substance abuse, etc. EAP's is a short-term counselling or follow-up sessions provided to employees facing above-mentioned abuses.
Therefore, the correct answer is employee assistant programs.
10,000 can be invested under two options: Option 1. Deposit the 10,000 into a fund earning an effective annual rate of i; or Option 2. Purchase an annuity-immediate with 24 level annual payments at an effective annual rate of 10%. The payments are deposited into a fund earning an effective annual rate of 5%. Both options produce the same accumulated value at the end of 24 years. Calculate i.
Answer:
I = 0.06894
Explanation:
The investment amount into 2 options is given as 10000
10000x(1+I)²⁴ is the accumulated value of option a
10000x0.10/(1-i)/1.1²⁴/0.05x1.05^24-1
= 49530.62522
To get I
(49530.62522/10000)^1/24-1
= 1.068995077 - 1
= 0.06894
Synovec Co. is growing quickly. Dividends are expected to grow at a rate of 25 percent for the next three years, with the growth rate falling off to a constant 4 percent thereafter. If the required return is 10 percent, and the company just paid a dividend of $2.95, what is the current share price
Answer:
P0 = $86.52419 rounded off to $86.52
Explanation:
Using the two stage growth model of dividend discount model, we can calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula to calculate the price of the stock today is,
P0 = D0 * (1+g1) / (1+r) + D0 * (1+g1)^2 / (1+r)^2 + ... + D0 * (1+g1)^n / (1+r)^n + [(D0 * (1+g1)^n * (1+g2) / (r - g2)) / (1+r)^n]
Where,
g1 is the initial growth rateg2 is the constant growth rate r is the required rate of returnP0 = 2.95* (1+0.25) / (1+0.1) + 2.95 * (1+0.25)^2 / (1+0.1)^2 +
2.95 * (1+0.25)^3 / (1+0.1)^3 +
[(2.95 * (1+0.25)^3 * (1+0.04) / (0.1 - 0.04)) / (1+0.1)^3]
P0 = $86.52419 rounded off to $86.52
Allison Corp. has just issued nonconvertible preferred stock (cumulative) with a par value of $20 and an annual dividend rate of 4.25%. The preferred stock is currently selling for $18.75 per share. What is the annual yield or return (r) on this preferred stock
Answer:
4.5%
Explanation:
Calculation for the annual yield or return (r) on this preferred stock
Using this formula
PVper = PMT / r
Where,
PVper =$18.75
PMT =(4.25%*$20)=0.85
Let plug in the formula
$18.75 = 0.85 / r
r = 0.045*100
r= 4.5%
Therefore the annual yield or return (r) on this preferred stock will be 4.5%
A “new product" can be new to the world, to the market, to the producer or seller, or some combination of these.
True or False
Without prejudice to your solution to part (a), assume that you computed the June 30, 2020, inventory to be $60,480 at retail and the ratio of cost to retail to be 68%. The general price level has increased from 100 at January 1, 2020, to 108 at June 30, 2020. Compute the June 30, 2020, inventory at the June 30 price level under the dollar-value LIFO retail method.
Answer:
The June 30, 2020, inventory at the June 30 price level under the dollar-value LIFO retail method:
$65,318.40
Explanation:
a) Data and Calculations:
June 30, 2020 Inventory = $60,480 at retail
Ratio of cost to retail = 68%
Inventory at cost = $41,126.40 ($60,480 * 68%)
General price level increase from 100 to 108
Inventory at the June 30 price level under the dollar-value LIFO retail method:
Inventory at cost = $44,416.50 ($41,126.40 * 108/100)
Inventory at retail = $65,318.40 (44,416.50/68%)
A 2-year maturity bond with face value of $1,000 makes annual coupon payments of $80 and is selling at face value. What will be the rate of return on the bond if its yield to maturity at the end of the year is?
Answer:
Rate of return = 9.887%
Explanation:
What will be the rate of return on the bond if its yield to maturity at the end of the year is 6%
New price of the bond = Present value of the final coupon payment + Present value of the maturity amount
New price of the bond = $80 / (1+r) +$1,000 / (1+r)
New price of the bond = $80 / (1+0.06) +$1,000 / (1+.06)
New price of the bond = $80 / (1.06) +$1,000 / (1.06)
New price of the bond = $1,080 / 1.06
New price of the bond = $1,018.87
Rate of return = Coupon + New price - Old price / Initial price
Rate of return = $80 + $1,018.87 - $1,000 / $1,000
Rate of return = $98.87 / $1,000
Rate of return = 0.09887
Rate of return = 9.887%
A firm operated at 90% of capacity for the past year, during which fixed costs were $420,000, variable costs were 40% of sales, and sales were $1,000,000. Operating income was:____________.
a. $420,000
b. $980,000
c. $180,000
d. $1,080,000
Answer:
A
Explanation:
Based on the fixed and variable costs, as well as the sales amount, the operating income was C. $180,000.
What was the operating income?This can be found as:
= Sales - Variable costs - Foxed costs
Solving gives:
= 1,000,000 - (40% x 1,000,000) -420,000
= 1,000,000 - 400,000 - 420,000
= $180,000
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Suppose that 2 years after the issue date (as in Part a) interest rates fell to 8%. Suppose further that the interest rate remained at 8% for the next 8 years. What would happen to the price of the bonds over time
Answer:
the first part of the question is missing, so I looked fro a similar one:
Suppose Hillard Manufacturing sold an issue of bonds with a 10-year maturity, a $1,000 par value, a 10% coupon rate, and semiannual interest payments.
the market price of the bond after 2 years:
PV of face value = $1,000 / (1 + 4%)¹⁶ = $533.91
PV of coupon payment = $50 x 11.652 (PV annuity factor, 4%, 16 periods) = $582.60
market price = $1,116.51
the market price of the bond after 5 years:
PV of face value = $1,000 / (1 + 4%)⁶ = $790.31
PV of coupon payment = $50 x 5.2421 (PV annuity factor, 4%, 6 periods) = $262.11
market price = $1,052.42
the market price of the bond after 7 years:
PV of face value = $1,000 / (1 + 4%)² = $924.56
PV of coupon payment = $50 x 1.8861 (PV annuity factor, 4%, 2 periods) = $94.31
market price = $1,018.87
During the taking of its physical inventory on December 31, Barry's Bike Shop incorrectly counted its inventory as $204,505 instead of the correct amount of $166,687. The effect on the balance sheet and income statement would be:___________.
a. assets overstated by $37,818 retained earnings understated by $37.818, and not income statement understated by $37.818
b. assets overstated by $204,505; retained earnings understated by $166,687, and no effect on the income statement
c. assets, retained earnings, and net income all overstated by $37.818
d. assets and retained earnings overstated by $166,687; and net income understated by $204,505
Answer:
c. assets, retained earnings, and net income all overstated by $37.818
Explanation:
Given that
Inventory correct amount is $166,687
And, the Inventory wrongly recorded is $204,505
So
inventory was overstated by
= $204,505 - $166,687
= $37,818
As the ending inventory is overstated so the net income is also overstated and if the net income is overstated then the retained earnings would be overstated
hence, the correct option is c.