Answer:
The description of the given term "Business operations" is provided below.
Explanation:
Together with all measures essential to manage as well as generate money besides your firm, is considered as business operations.Sometimes a component devoted to the industry would be included throughout the marketing strategies, enough so founding members comprehend or recognize the authoritarian leadership style, machinery, personnel, including procedures.study Assume that you are going to invest $120,000 in a two asset portfolio. You will invest $80,000 in the fully diversified market portfolio and the remainder of your funds will be invested in the riskless security. Assume the market risk premium is 8% and the riskless return is 4%. Compute the expected return on this portfolio.
Answer:
9.33%
Explanation:
The expected return of two asset portfolio is the weighted average of individual assets' expected to return as computed thus:
Portfolio expected return=(weight of market portfolio*expected return of market portfolio)+(weight of riskless security*expected return of riskless security)
weight of market portfolio=amount invested in market portfolio/total invested amount
weight of market portfolio=$80,000/$120,000=66.67%
expected return of market portfolio=market risk premium+riskless return
expected return of market portfolio=8%+4%=12%
weight of riskless security=1-66.67%=33.33%(since total investment which is 100% is 1)
expected return of riskless security=4%
Portfolio expected return=(66.67%*12%)+(33.33%*4%)
Portfolio expected return=\=9.33%
The founder of Starbucks, Howard Schultz, decided to provide healthcare for all employees who work over 20 hours per week. This is an example of Starbucks’ employee _______ plan
Answer:
benefit/Compensation plan
Explanation:
this is an example of the starbuck employee compensation plan. The employee compensation plan is a program that includes the bonuses, the incentives and the salary that employees that work in an organization are likely to earn. In this case the health care plan for all employees that work for more than 20 hours is an employee benefit plan that can be used as a motivating factor to all the workers in the organization.
Oficina Bonita Company manufactures office furniture. An unfinished desk is produced for $37.10 and sold for $65.45. A finished desk can be sold for $75.00. The additional processing cost to complete the finished desk is $6.30.Prepare a differential analysis. Round your answers to two decimal places.
Answer:
Find below analysis
Explanation:
Based on the appropriate template, I have prepared the differential analysis as shown in the attached excel file bearing in mind the following points:
The costs per desk under the alternative is the cost of an unfinished desk which is $37.10 plus the cost of further processing for a finished desk which is $6.30
Also, the different effect is simply the amount for alternative 2 minus amount under alternative 1
The Williams Supply Company sells for $50 one product that it purchases for $20. Budgeted sales in total dollars for the year are $3,000,000. The sales information needed for preparing the July budget follows:
Month Sales Revenue
May $175,000
June 240,000
July 295,000
August 320,000
Account balances at July 1 include these:
Cash $125,000
Merchandise inventory 47,200
Accounts receivable (sales) 84,530
Accounts payable (purchases) 47,200
The company pays for one-half of its purchases in the month of purchase and the remainder in the following month. End-of-month inventory must be 40% of the budgeted sales in units for the next month. A 2% cash discount on sales is allowed if payment is made during the month of sale. Experience indicates that 60% of the billings will be collected during the month of sale, 25% in the following month, 12% in the second following month, and 3% will be uncollectible. Total budgeted selling and administrative expenses (excluding bad debts) for the fiscal year are estimated at $1,200,000, of which three-fourths is fixed expense (inclusive of a $36,000 annual depreciation charge). Fixed expenses are incurred evenly during the year. The other selling and administrative expenses vary with sales. Expenses are paid during the month incurred.
Required:
a. Prepare a schedule of estimated cash collections for July.
b. Prepare a schedule of estimated July cash payments for purchases.
c. Prepare schedules of July selling and administrative expenses, separately identifying those requiring cash disbursements.
d. Prepare a schedule of cash receipts over disbursements assuming no equipment purchases or loan payments.
Answer:
The Williams Supply Company
a. Estimated Cash Collections for July
58% sales month (60% -2%) $171,100 ($295,000 * 58%) July
25% ffg month 60,000 ($240,000 * 25%) June
12% second month 21,000 ($175,000 * 12%) May
Estimated cash collections = $252,100
b. Estimated July Cash Payments for Purchases:
July
Cost of purchases $122,000
50% purchase month 61,000
50% ffg month 47,200
Total payment for purchases $108,200
c. July Selling and Administrative Expenses:
Monthly fixed expenses $72,000
Variable expenses ($5 * 5,900) 29,500
Total selling and admin expenses $101,500
d. Cash Receipts Over Disbursements for July:
Beginning cash balance $125,000
Total cash receipts 252,100
Total cash available $377,100
Cash Disbursements:
Purchases $108,200
Selling and Admin. 101,500
Total cash disbursements $209,700
Cash balance $167,400
Explanation:
a) Data and Calculations:
Selling price of product = $50 per unit
Purchase cost of product = $20 per unit
Total budgeted sales for the year = $3,000,000
Total budgeted sales for the year (units) = 60,000 units
Month Sales Revenue Unit Sales
May $175,000 3,500 ($175,000/$50)
June 240,000 4,800 ($240,000/$50)
July 295,000 5,900 ($295,000/$50)
August 320,000 6,400 ($320,000/$50)
July 1 Account Balances:
Cash = $125,000
Merchandise inventory = $47,200
Accounts receivable (sales) = $84,530
Accounts payable (purchases) = $47,200
Payment of Purchases:
50% purchase month
50% ffg month
Cash collections from sales:
58% sales month (60% -2%)
25% ffg month
12% second month
Ending inventory = 40% of the budgeted sales in units in the next month
Total budgeted selling and administrative expenses (excluding bad debts) = $1,200,000
Fixed expense = $864,000 ($1,200,000 * 3/4) - $36,000
Monthly fixed expenses = $72,000 ($864,000/12)
Variable selling expenses = $300,000 ($1,200,000 - $900,000)
Variable selling expenses per unit = $5 ($300,000/60,000)
Purchases Budget
June July
Ending inventory 2,360 2,560
Sales 4,800 5,900
Units available for sale 7,160 8,460
Beginning inventory 1,920 2,360
Purchases 5,240 6,100
Cost of purchases $104,800 $122,000 (6,100 * $20)
Patty’s Pies has sells 900 pies in August for $20.00 each. At the end of August Patty advertises her pies in the local Valupak which will mail to 25,000 local houses. Statistics show that approximately .5% (one half of one percent) of Valupak recipients result in a sale. Based upon this information, compute the amount of sales Patty would budget for September.
Answer: $20,500
Explanation:
The amount of sales that Patty would budget for September will be calculated thus:
The expected increase in sales unit will be calculated as:
= 0.5% × 25,000
= 125
Therefore, the unit of sale in September will then be:
= 900 pies + 125 pies
= 1025 pies
Then, the total amount of sale will be:
= 1,025 × $20
= $20,500
What would be the net annual cost of the following checking accounts?
a. Monthly fee, $2.75; processing fee, 50 cents per check; checks written, an average of 30 a month. (Do not round intermediate calculations. Round your answer to 2 decimal places. Input the amount as a positive value.)
For this one, I got $213.
b. Interest earnings of 4 percent with a $450 minimum balance; average monthly balance, $600; monthly service charge of $20 for falling below the minimum balance, which occurs five times a year (no interest earned in these months). (Do not round intermediate calculations. Round your answer to 2 decimal places. Input the amount as a positive value.)
Not sure how to do this one exactly.
Answer: $86
Explanation:
Net Annual cost is:
= Total service charge - Interest earned
Total service cost = Service charge * Number of months
= 20 * 5
= $100
Interest earned = Average monthly balance * interest rate * Remaining months
= 600 * 4% * (12 - 5 months) / 12 months
= 600 * 4% * 7/12
= $14
Net Annual cost:
= 100 - 14
= $86
Rotweiler Obedience School’s December 31, 2009, balance sheet showed net fixed assets of $1,271,006, and the December 31, 2010, balance sheet showed net fixed assets of $2,108,650. The company’s 2010 income statement showed a depreciation expense of $171,813. What was Rotweiler’s net capital spending for 2010?
Answer:
The answer is "[tex]\$1,009,457[/tex]".
Explanation:
The net fixed asset starting value [tex]= \$1,271,006[/tex]
The net fixed asset ending value[tex]= \$2,108,650[/tex]
The expense of the depreciation [tex]= \$171,813[/tex]
[tex]\text{Net Capital Spending = The net fixed asset ending value} - \text{The net fixed asset starting value} + \text{The expense of the depreciation} \\\\[/tex]
[tex]= \$2,108,650 - \$1,271,006 + \$171,813\\\\= \$1,009,457[/tex]
A heavy construction firm has been awarded a contract to build a large concrete dam. It is expected that a total of 8 years will be required to complete the work. The firm will buy $600,000 worth of special equipment for the job. During the preparation of the job cost estimate, the following utilization schedule was computed for the special equipment:
Year Utilization (hr/yr)
1 6000
2 4000
3 4000
4 1600
5 800
6 800
7 2200
8 2200
At the end of the job, it is estimated that the equipment can be sold at auction for $60,000.
a. Compute the sum-of-years-digits' depreciation schedule.
b. Compute the unit-of-production depreciation schedule
Answer:
Heavy Construction Firm
a. Sum-of-years-digits' Depreciation Schedule
Year Cost Depreciation Accumulated Net Book Value
Expense Depreciation
Year 1 $600,000 $120,000 $120,000 $480,000
Year 2 $600,000 $105,000 $225,000 $375,000
Year 3 $600,000 $90,000 $315,000 $285,000
Year 4 $600,000 $75,000 $390,000 $210,000
Year 5 $600,000 $60,000 $450,000 $150,000
Year 6 $600,000 $45,000 $495,000 $105,000
Year 7 $600,000 $30,000 $525,000 $75,000
Year 8 $600,000 $15,000 $540,000 $60,000
b. The Unit-of-Production Depreciation Schedule
Year Cost Depreciation Accumulated Net Book Value
Expense Depreciation
Year 1 $600,000 $150,000 $150,000 $450,000
Year 2 $600,000 $100,000 $250,000 $350,000
Year 3 $600,000 $100,000 $350,000 $250,000
Year 4 $600,000 $40,000 $390,000 $210,000
Year 5 $600,000 $20,000 $410,000 $190,000
Year 6 $600,000 $20,000 $430,000 $170,000
Year 7 $600,000 $55,000 $485,000 $115,000
Year 8 $600,000 $55,000 $540,000 $60,000
Explanation:
a) Data and Calculations:
Cost of special equipment for the dam construction = $600,000
Estimated useful life = 8 years
Salvage value of equipment = $60,000
Depreciable amount = $540,000 ($600,000 - $60,000)
Sum-of-the-years-digit = 36 (8 + 7 + 6 + 5 + 4 + 3 + 2 + 1)
Utilization Schedule for the Special Equipment:
Year Utilization (hr/yr) Unit of Production SYD Depreciation
1 6000 $150,000 (6,000 * $25) $120,000 (8 * $15,000)
2 4000 $100,000 (4,000 * $25) $105,000 (7 * $15,000)
3 4000 $100,000 (4,000 * $25) $90,000 (6* $15,000)
4 1600 $40,000 (1,600 * $25) $75,000 (5 * $15,000)
5 800 $20,000 (800 * $25) $60,000 (4 * $15,000)
6 800 $20,000 (800 * $25) $45,000 (3 * $15,000)
7 2200 $55,000 (2,200 * $25) $30,000 (2 * $15,000)
8 2200 $55,000 (2,200 * $25) $15,000 (1 * $15,000)
Total 21,600 hours
Depreciation rate per hour = $25 ($540,000/21,600)
Sum-of-the-years-digits depreciation rate = $15,000 ($540,000/36)
XYZ shop has a favorite model that has annual sales of 145. The cost to place an order to replenish inventory is $25 per order, and annual inventory holding cost per unit is $20. Assume the store is open 350 days per year. a. What is the optimal order size
Answer:
EOQ= 19 units
Explanation:
Giving the following information:
Demand= 145 units
Order cost= $25 per order
Holding cost= $20.
To calculate the optimal order quantity, we need to use the economic order quantity method:
Economic order quantity (EOQ)= √[(2*D*S)/H]
D= Demand in units
S= Order cost
H= Holding cost
EOQ= √[(2*145*25) / 20]
EOQ= √362.5
EOQ= 19 units
Aaron is considering an investment that will pay $7,500 a year for five years, starting one year from today. This is an example of: a. a set of unequal cash flows.
b. an ordinary annuity.
c. a perpetuity.
d. an annuity due.
Answer:
This is an example of a
b. an ordinary annuity.
Explanation:
Aaron's cash inflows of $7,500, which he receives at the end of the year, is an ordinary annuity because it comprises a series of equal payments receipts received over a fixed length of time, and it occurs at the end of the year. If Aaron receives the series of payments at the beginning of each period and not at the end, it will be described as an annuity due. If Aaron receives the series of payment indefinitely, it is called a perpetuity.
The text defines management as “The art of getting things done through the efforts of other people.” Put yourself in the shoes of a manager and explain what this definition means in the context of a company operation. You can use the example of any company (large or small) and any good or service.
The correct answer to this open question is the following.
Although you did not attach the text, we can comment on the quote.
"The art of getting things done through the efforts of other people.”
This quote means that good managers motivate and positively influence employees to get the job done. Managers coordinate and monitor the work of the employees. Managers first plan, then establish the goals to be accomplished and then direct the work effort to be productive.
If I were a manager of a company, I definitely try to emulate what the quote says. For instance, the manager of a recreational and sports club. I would do everything to establish clear, specific, and attainable goals so my employees could understand them. Then I describe the role and responsibilities of each employee so they can do their job without any doubts. And of course, I would delegate so they can do their jobs happily. No unnescesary intromissions. The objective would be to offer the best service possible to our clients.
XYZ Corporation manufactures orange safety suits for road workers. The following information relates to the corporation's purchases and use of material for April: Material purchased 12,000 yards Material used in production 10,000 yards Standard material allowed for suits produced 10,800 yards The company's materials price variance for April was $3,000 Favorable. Its materials quantity variance for April was $5,000 Favorable. What does the company use as a standard price per yard of material for its safety suits
Answer:
$6.25 per yard
Explanation:
The computation of the standard price per yard of material for its safety suits is shown below:
Material quantity variance = Standard Price × (Actual quantity - Standard quantity)
-$5,000 = Standard price × (10,000 - 10,800)
Standard price = -$5,000 ÷ (-800)
= $6.25 per yard
Hence, the standard price per yard of material for its safety suits is $6.25 per yard
A number of major corporations, such as General Motors, Amway, and Evian, sponsor or support worthy causes, many of which are environmental causes. These companies are highly motivated to engage in cause-oriented marketing because _____.
Answer:
C)corporations hope to generate goodwill toward the company and its brands
Explanation:
THESE ARE THE OPTIONS FOR THE QUESTION
a. it is a socially acceptable way of distributing excess profits
b. corporations function better in a healthy environment
c. corporations hope to generate goodwill toward the company and its brands
d. major companies are required by law to support environmentally friendly causes
e. research shows that companies that support the environment do better financially
From the question we are informed about A number of major corporations, such as General Motors, Amway, and Evian, sponsor or support worthy causes, many of which are environmental causes. In this case, These companies are highly motivated to engage in cause-oriented marketing because corporations hope to generate goodwill toward the company and its brands.
Cause marketing can be regarded as one that contains some collaboration which exist between a profit oriented business as well as a nonprofit organization all for common benefit. Cause marketing can as well be regarded as social or charitable campaigns which is been set up by for-profit oriented brands. In most cases, brands that has association with a nonprofit usually have their corporate social responsibility been boasted.
At the end of business on September 1, the total displayed on the cash register tape shows $1,059 of cash sales for the day. However, when the clerk and the supervisor count the cash in the register, the count reveals that $1,050 was actually collected from customers.
Required:
Write down the journal entry.
Answer and Explanation:
The journal entry is shown below:
Cash $1,050
Cash short and over $9
Sales revenue $1,059
(Being the cash collection is recorded)
Here we debited the cash as it increased the assets and credited the sales revenue as it also increased the revenue and the difference is debited to cash short and over
A reason to establish internal control is to A. Provide reasonable assurance that the objectives of the organization are achieved. B. Encourage compliance with organizational objectives. C. Ensure the accuracy, reliability, and timeliness of information. D. Safeguard the resources of the organization.
Answer: D. Safeguard the resources of the organization.
Explanation:
The functions of internal controls are
to minimize risks to protect assetsto ensure accuracy of recordsto promote operational efficiencyto encourage adherence to policies, rules, regulations, and laws.cThe reason to establish internal control is to assist safeguard an organization and its objectives.
Hence, the correct option is D.
g A company's flexible budget for 15,000 units of production showed sales, $60,000; variable costs, $22,500; and fixed costs, $17,000. The sales expected if the company produces and sells 19,000 units is (Do not round intermediate calculations):
Answer:
$76,000
Explanation:
The first step is to find the sales price per unit
= 60,000/15,000
= $4
Therefore the sales expected from the company can be calculated as follow
= 4×19,000
= 76,000
Hence the expected sales is $76,000
The book value of an asset is equal to the Group of answer choices asset's fair value less its historical cost. blue book value relied on by secondary markets. replacement cost of the asset. asset's cost less accumulated depreciation.
Answer:
asset's cost less accumulated depreciation
Explanation:
The book value of an asset could be determined by applying the following formula
Book value of an asset = Cost of an asset - accumulated depreciation
The accumulated depreciation is the depreciation that can be more than on year
So as per the given options, the last one is correct
Calaveras Tire exchanged equipment for two pickup trucks. The book value and fair value of the equipment given up were $34,000 (original cost of $86,000 less accumulated depreciation of $52,000) and $45,000, respectively. Assume Calaveras paid $6,000 in cash and the exchange lacks commercial substance. At what amount will Calaveras value the pickup trucks? How much gain or loss will the company recognize on the exchange?
Answer:
1. $51,000
2.$11,000 Gain
Explanation:
(1) Calculation to determine At what amount will Calaveras value the pickup trucks
Using this formula
Trucks value =Fair value + Cash paid
Let plug in the formula
Trucks value=$45,000+$6,000
Trucks value=$51,000
Therefore Calaveras value the pickup trucks at $51,000
(2) Calculation to determine How much gain or loss will the company recognize on the exchange
Using this formula
Gain or loss on exchange =Fair value - Book value
Let plug in the formula
Gain or loss on exchange=$45,000-$34,000
Gain or loss on exchange=$11,000 Gain
Therefore the company will $11,000 GAIN recognize on the exchange
incoterm trong thanh toán quốc tế là gì?
Answer:
Incoterms là một bộ quy tắc thương mại / thương mại được thiết lập bởi Phòng Thương mại quốc tế được sử dụng trong các hợp đồng mua bán quốc tế.
Pujols Lumber Yard has a current accounts receivable balance of $365,061. Credit sales for the year just ended were $6,842,109. How long did it take on average for credit customers to pay off their accounts during the past year? (Enter the answer with 2 decimal places (e.g. 23.45)
Answer:
19.48 days
Explanation:
Calculation to determine How long did it take on average for credit customers to pay off their accounts during the past year
First step is to determine the receivables turnover for the company using this formula
Receivables turnover = Credit sales / Receivables
Let plug in the formula
Receivables turnover = $6,842,109 / $365,061
Receivables turnover = 18.74 times
Now let determine l the day’s sales in receivables using this formula
Days’ sales in receivables = 365 days / Receivables turnover
Let plug in the formula
Days’ sales in receivables = 365 days / 18.74
Days’ sales in receivables = 19.48 days
Therefore How long did it take on average for credit customers to pay off their accounts during the past year is 19.48 days
Skip Company produces a product called Lem. The standard direct material cost to produce one unit of Lem is four quarts of raw material at $2.50 per quart. During May, 4,200 quarts of raw material were purchased at a cost of $10,080. All the purchased material was used to produce 1,000 units of Lem.
Required:
a. Compute the actual cost per quart and the material price variance for May 2013.
b. Assume the same facts except that Skip Company purchased 6,000 quarts of material at the previously calculated cost per quart, but used only 4,200 quarts. Compute the material price variance and material usage variance for May 2013, assuming that Skip identifies variances at the earliest possible time.
c. Prepare the journal entries to record the material price and usage variances calculated in (b).
d. Which managers at Skip Company would most likely assume responsibility for control of the variance computed in requirement (b)?
Answer:
TD Bank of America joined the coded by the
Clearing House Interbank Payment System (CHIPS) is an organization that provides secure communication for contracts, invoices, and other trade documents that normally accompany cash payments. false
Answer:
the spleen
Explanation:
How you can convince your colleagues that introducing the new soft drink is the most profitable strategy by explaining the reasoning and theoretical analysis?
The question is incomplete. The complete question is :
Coca-Cola and PepsiCo are the leading competitors in the market for cola products. In 1960 Coca-Cola introduced Sprite, which today is the worldwide leader in the lemon-lime soft drink market and ranks fourth among all soft drinks worldwide. Prior to 1999, PepsiCo did not have a product that competed directly against Sprite and had to decide whether to introduce such a soft drink. By not introducing a lemon-lime drink, PepsiCo would continue to earn a $200 million profit and Coca Cola would continue to earn a $300 million profit.
Suppose that by introducing a new lemon-line soft drink, one of two possible strategies could be pursued : (1) PepsiCo could trigger a price war with Coca-Cola in both lemon-lime and cola markets or (2) Coca-Cola could acquiesce and each firm maintains its current 50/50 split of the cola market and split the lemon-lime market 70/30 in favor of Coca-Cola. If Pepsi introduced a lemon-lime drink and a price war resulted, both companies would earn profits of $100 million. Alternatively, Coca-Cola and PepsiCo would earn $275 million and $227 million, respectively, if PepsiCo introduce a lemon-lime drink and Coca-Cola acquiesced and split the markets as listed above.
Diagram this situation using the extensive or tree-form of a game.
How you can convince your colleagues that introducing the new soft drink is the most profitable strategy by explaining the reasoning and theoretical analysis?
Solution :
The game can be represented in a way that is shown in the file attached below.
The [tex]\text{best response of Coca-Cola}[/tex] if Pepsi introduces the new product is [tex]\text{to acquiesce}[/tex] to earn [tex]\$275[/tex] million rather than starting a price war with Coca-Cola and earn only [tex]\$100[/tex]. Thus, while [tex]\text{Coca-Cola}[/tex] might use the strategy to threaten by starting a price war in the attempt of keeping out of the market, the threat will not be credible, so the best option is to introduce the new soft drink .
TB Problem Qu. 15-131 (Algo) Clayborn Corporation's net cash provided by operating activities... Clayborn Corporation's net cash provided by operating activities was $118,800; its net income was $106,100; its income taxes were $46,900; its capital expenditures were $96,300; and its cash dividends were $30,200. Required: Determine the company's free cash flow. (Negative amounts should be indicated by a minus sign.)
Answer:
See below
Explanation:
Clayborn Corporation
Determination of free cash flow
Free cash flow = Net cash provided by operating activities - Capital expenditure - Cash dividends paid
Free cash flow = $118,800 - $96,300 - $30,200
Free cash flow = -$7,700
Therefore, Clayborn corporation's free cash flow is -$7,700
A company has 1000000 shares outstanding trading at $15 a piece. Managers believe that the discount rate appropriate for the risk borne is 15% and total cash flows, expected to be $1 million next year, will rise by 5% per year indefinitely. Discuss a strategy that is beneficial to the current shareholders.
Answer:
Explanation:
Knowing the value of the equity and establishing the intrinsic worth of the share may help you develop a perfect strategy that will benefit the current shareholders.
Value of the equity = Cashflow÷(discount rate - growth rate)
= $1,000,000 ÷ (15%-5%)
= $1,000,000 ÷ (10%)
= $10,000,000
Intrinsic value per share = Value of the equity ÷ Shares outstanding
= $10,000,000 ÷ 1,000,000
= $10
For the share, The intrinsic value = $10
However, since the current trading share price is $15, then we can posit that the share price is over-valued.
As a result, the perfect strategy that will be beneficial to the shareholders is for the current shareholders to sell the shares (short selling at a high price and purchasing at a low price).
The most recent financial statements for Summer Tyme, Inc., are shown here:
Income Statement Balance Sheet
Sales $3,700 Current assets $4,500 Current liabilities $960 Costs 2,400 Fixed assets 5,200 Long-term debt 3,620 Taxable income $1,300 Equity 5,120 Taxes (21%) 273 Total $9,700 Total $9,700 Net income $1,027
Assets, costs, and current liabilities are proportional to sales. Long-term debt and equity are not. The company maintains a constant 60 percent dividend payout ratio. As with every other firm in its industry, next year's sales are projected to increase by exactly 30 percent.
Required:
What is the external financing needed? (Do not round your intermediate calculations.)
EFN = needed new long-term debt and/or external equity
Answer:
External finance needed = $2,088
Explanation:
Note: See the attached excel file for the Calculation of ratios with respect to sales, Proforma Income Statement, Calculation of Retained Earnings and Equity, and Proforma Balance Sheet.
From the Proforma Balance Sheet in the attached excel file, we have:
Total Assets = $12,610
Total Liabilities = $10,448
Therefore, we have:
External finance needed = Total Assets - Total Liabilities = = $12,610 - $10,448 = $2,088
If a company purchases equipment costing $5,100 on credit, the effect on the accounting equation would be:
Answer:
assets increase $5,100 and liabilities increase $5,100
Explanation:
Assets are the items that a company owns which can provide future economic benefit.
Liabilities are future sacrifices of economic benefits that an entity is obliged to make to other entities as a result of past transactions or other past events, hence Liabilities are what a person or company owe other parties.
If a company purchases equipment costing $5,100 on credit, the assets of the company will increase by $5100 as a result of acquiring an equipment. Also, the liability will increase by $5100 as a result of debt owed.
Maxim Corp. has provided the following information about one of its products:Date Transaction Number of Units Cost per Unit1/1 Beginning Inventory 285 $ 157 6/5 Purchase 485 $ 177 11/10 Purchase 185 $ 217 During the year, Maxim sold 570 units.What is cost of goods sold using the average cost method? (Do not round intermediate computations.)
Answer:
$101,904.6
Explanation:
The computation of the cost of goods sold using the average cost method is shown below:
Beginnig Inventory 285 at $157 = $44,745
Purchases 485 at $177 = $85,845
Purchases 185 at $217 = $40,145
Total cost = $170,735
Now
Total number of units is
= 285 + 485 + 185
= 955
Now
Average Cost per unit is
= $170,735 ÷ 955
=$ 178.78
And, finally
Cost of goods Sold is
= 570 × $178.78
= $101,904.6
zylo inc preferred stock pays a 7.50 annual dividend. What is the maximum price you are willing to pay for one share of this stock todya is your required return is 9.75
Answer: $76.92
Explanation:
From the question, Zylo inc preferred stock pays a 7.50 annual dividend, the maximum price that will be willing to be paid for one share of this stock today if the required return is 9.75% will be calculated as:
= Dividend / Required return
= $7.50 / 9.75%
= $7.50/0.0975
= $76.92
The maximum price willing to be paid is $76.92.
Comparing medieval Japan, Rorea, and Vieta Imagine that you are a graduate student working with the diary of a twelfth-century merchant from Song China. In this diary, the merchant recorded his impressions of his first visits to Korea, Japan, and Vietnam. After carefully translating the diary, you hand it to your professor, who slips and throws all the papers into the air. It is now your job to organize the diary correctly. Read the following descriptions and select whether they apply to Korea, Japan, or Vietnam.
Description 1
The people here were among the first to adopt an innovation called woodblock printing. Artisans carve characters onto woodblocks, which can be rearranged to print papers, pamphlets, and even books quickly and easily. Their cartographers have created regional and world maps based on our models.
Description 2
The people from this southern kingdom have created an adaptation of Chinese characters. This is a written system to represent the spoken language, but also used to compose essays and poetry.
Description 3 The people seem to have copied our building techniques and architecture, but they do so artfully. Centuries ago, Buddhists from all across Asia traveled to this land to visit the Todaiji temple.
Answer:
Comparing Medieval Japan, Korea, and Vietnam
Description 1 applies to Korea.
Description 2 applies to Vietnam.
Description 3 applies to Japan.
Explanation:
The Todaiji Temple is located in Japan. This sets description 3 apart for Japan. The southern kingdom refers to Vietnam located in the South-east Asia. Vietnam is known to have been ruled by China for over a thousand years, and the Vietnamese language is written based on Chinese characters. This matches with description 2. Korea, which is located in the Northeast Asia, matches description 1. Moreover, the Korean language is a multisyllabic language, unlike the Chinese that is monosyllabic.
