On January 1, Sway Corporation had 60,000 shares of $10 par value common stock outstanding. On March 17, the company declared a 15% stock dividend to stockholders of record on March 20. Market value of the stock was $13 on March 17. The stock was distributed on March 30. The entry to record the transaction of March 30 would include a:

a.credit to Cash for $90,000.
b. debit to Common Stock Dividends Distributable for $90,000.
c. credit to Paid-in Capital in Excess of Par for $27,000.
d. debit to Stock Dividends for $27,000.

Answer:

Target variable costs/ unit /year = $17.37

Explanation:

We reverse work this to get to target variable costs,

First lets summarize the data,

Production = 601,000 units

Price = $30

Variable cost = $19

Fixed Costs= $5,400,000

Desired operating income @ 16% = (0.16*13,700,000) = $2,192,000

We reverse work this as,

Sales (601,000*30)                          18,030,000

Less Variable costs(GP - Sales)       10,438,000

Gross Profit (FC + Profit)                   7,592,000

Less Fixed Costs                               5,400,000

Profit                                                    2,192,000

Variable costs/ unit /year = 10,438,000 / 601,000 = $17.37/unit

Hope that helps.

Answer:

1.

                                                        Debit                       Credit

Prepaid Rent                                   $22,800

Cash                                                                                 $22,800              

2.

                                                                  Debit             Credit

Rent expense(22,800*3/12)                    $5,700

Prepaid Rent                                                                   $5,700            

3.

Prepaid rent=22,800-5,700=$17,100

Rent expense=$5,700

Explanation:

1.

On October 1, , the following journal entry will be recorded in respect of the advance rent paid by the Hoosiers for one year of rent space at local mall:

                                                        Debit                       Credit

Prepaid Rent                                   $22,800

Cash                                                                                 $22,800              

2.

The year end given in this question is December 31 and the prepaid rent is  paid for one year and since the rent is paid on October 1,  therefore, only expense in respect of 3 months i.e. from October to the December  will be recognised in this year in respect of rent expense. Remaining expense of nine months will be recognised in the next year.

The following adjusting Journal entry will be recorded in respect of rent expense in accounts on December 31.

                                                                  Debit             Credit

Rent expense(22,800*3/12)                    $5,700

Prepaid Rent                                                                   $5,700            

3. The year end adjusting balance of prepaid rent and rent expense will be calculated as

Prepaid rent=22,800-5,700=$17,100

Rent expense=$5,700

Journal entry refers to the primary record of transactions and events of a specific period. The journal entries for the question are given in the attachment.

Journal entry refers to the primary record of transactions and event of an entity in chronological order during a specific period. Journal entry supports the preparation of subsidiary books.

Prepaid expense refers to the expenses paid in advance for a period. They appear in the balance sheet as assets of the entity.

Prepaid rent of Suppose Hoosiers is $22,800 in the month of October. In the month of December, the expense of 3 months will be  recognized as the expense for the period.

Therefore rent expense will be:

[tex]\rm Rent\:expense = Rent\:per\:month \times 3\: months\\\\\rm Rent\:expense = \$1,900 \times 3\: months\\\\\rm Rent\:expense = \$5,700[/tex]

The prepaid rent will be the rent paid for next year for the period between January to September:

[tex]\rm Prepaid\:rent = \$1,900 \times 9\:months\\\\\rm Prepaid\:rent = \$17,100[/tex]

Prepaid rent of $17,100 will appear in the asset side of the balance sheet.

Learn more about Journal entries here:

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Answer:

Mace's average collection period is 88 days

Explanation:

Credit terms is "Net 60" which means the customer will naturally pay within 60 days. Further it is given that account average 28 days overdue. This means it takes 28 more days to collect the amount of receivables. Therefore the average collection period comes to

60 + 28 = 88 days.

Answer:

FLEXIBLE BUDGET REPORT

                                       Flexible budget      Actual        Variance                  

Activity level (units)          10,800                  10,800         No variance

                                             $                           $

Sales                                 864,000              885,000    21,000(F)                  

Less: Variable cost:

Total variable cost            378,000               351,000    27,000(F)

Less: Fixed cost:                                                                                                                                                                                                                                                                                                      

Total fixed cost                 270,000               285,000   15,000(U)

Profit                                 216,000               249,000  33,000(U)

Explanation:

In this report, the budgeted total variable cost is obtained by multiplying the variable cost per unit by the quantity of goods produced and sold.

The total fixed cost remains constant regardless of the quantity produced and sold.

Variance is the difference between the flexible budget and actual results.                                                                              

Final answer:

To prepare the flexible budget report, we need to calculate the budgeted and actual amounts for variable expenses and fixed expenses. The flexible budget report for Xion Co. for the month of June would show an unfavorable variance of $27,000 for variable expenses and a favorable variance of $15,000 for fixed expenses.

Explanation:

To prepare the flexible budget report, we need to calculate the budgeted and actual amounts for variable expenses and fixed expenses.

Variable Expenses

The budgeted variable expense per unit is $35. Therefore, the budgeted variable expenses for 10,800 units would be $35 per unit multiplied by 10,800 units, which equals $378,000. The actual variable expenses incurred for 10,800 units are given as $351,000.

The variance for variable expenses can be calculated by subtracting the actual variable expenses from the budgeted variable expenses:

Variance = Budgeted variable expenses - Actual variable expenses

= $378,000 - $351,000

= $27,000 (Unfavorable variance)

Fixed Expenses

The budgeted fixed expenses are given as $270,000, and the actual fixed expenses incurred are $285,000.

The variance for fixed expenses can be calculated by subtracting the actual fixed expenses from the budgeted fixed expenses:

Variance = Budgeted fixed expenses - Actual fixed expenses

= $270,000 - $285,000

= $-15,000 (Favorable variance)

Therefore, the flexible budget report for Xion Co. for the month of June would show an unfavorable variance of $27,000 for variable expenses and a favorable variance of $15,000 for fixed expenses.

Answer:

The simple rate of return on the new automated bottling machine is 7.07%

Explanation:

Consider the following formula to compute the result

Annual incremental Net operating income/Initial investment =Simple rate of return

(15000-6000-6100)/(61000-20000)

2900/41000=0.07073

7.07%

Answer:

a) 302.28

b)3,476.23

c)3,476.23

d) 142 units

Explanation:

[tex]Q_{opt} = \sqrt{\frac{2DS}{H}}[/tex]

Where:

D = annual demand = 14,200

S= setup cost = ordering cost = 74

H= Holding Cost = 23.00

[tex]Q_{opt} = \sqrt{\frac{2(14,200)(74)}{23}}[/tex]

EOQ = 302.2811821 = 302.28

holding cost:

average inventory x holdign cost

302.28 / 2 x $23 = 3476.233594

ordering cost:

order per year x cost per order

14.200 / 302.28 x $74 = 3,476.233594

14,200 / 300 = 47.33 units per day

47.33 x 3 = 141.99 reorder point

Answer: The correct answer is "a. Significantly negative impact on cost and schedule".

Explanation: The typical impact on a program's cost and schedule when unestable requirements lead to changes late in the system's development is the significantly negative impact on cost and schedule.

Answer:

The answer is $12,297.

Explanation:

Denote x is the minimum amount of after-tax annual savings (including depreciation effects) needed to make the investment yield a 12% return.

As required in the question, at $X annual after-tax saving, the net present value of the project discounted at the required return 12% will be equal to 0. So, we have:

- Net initial investment + Present value of cash inflow from asset disposal in 5-year + Present value of 5 after-tax annual savings = 0 <=>  -50,000 + 10,000 x 0.567 + X x 3.605 = 0 <=> 3.605X = 44,330 <=> X = $12,297 (rounded to the nearest whole dollar).

Thus, the answer is $12,297.

Answer:

False.

Explanation:

This question is false because strategies are inversely exemplified in the communication of contemporary projects in this case. It would be correct to state that a blog is a pull method and an email is a push method.

The Push strategy refers to the way companies seek to push a product to a customer, that is, to look for ways to encourage consumers to buy a product, which is more about sending promotional emails.

The Pull strategy refers to the search of organizations to establish a relationship between the brand and the consumer, pulling the customer towards the product, which is more conducive to creating blogs, which generates diverse content that generate engagement and provides greater interaction. and creating customer relationship with the brand.

Answer:

A firm's target capital structure should minimize the weighted average                                             cost of capital.

The correct answer is D                                                                                                                                                                            

Explanation:

The maximization of earnings per share does not determine the optimal capital structure of a firm.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    

The minimization of cost of equity indicates that a firm pays a lower  return to common stockholders. It does not impact on a firm's capital structure.        

The minimization of weighted average cost of capital impacts on the  target capital structure of a company because it maximizes the value          of a firm. It determines a firm's target capital structure. This situation                               is referred to as optimal capital structure.                                              

The minimization of cost of debt only reduces the return offered by a firm to debenture holders. It does not determine a firm's target capital structure.                                                                                                                                                                                                                                                                                            

Final answer:

The liability for outstanding premiums that Palmer Company should record is $150,000, which is calculated by applying the estimated 60% redemption rate to the total number of boxes sold, then taking into account the number of redeemed bowls, and finally multiplying the outstanding number of bowls by the cost per bowl.

Explanation:

The liability for outstanding premiums is the amount the Palmer Company must record on its balance sheet to cover the cost of all the premiums (cereal bowls) it expects to distribute but have not yet been claimed. To calculate this liability, we need to estimate the number of boxes that will be redeemed for the bowls and not just the number of boxtops already redeemed. The company estimates a 60% redemption rate, which can be applied to the total number of boxes sold to estimate expected redemptions.

To calculate the expected number of redemptions:

Therefore, the correct answer is option (c) $150,000.

The liability for outstanding premiums at the end of 2018 should be recorded as $6,630,000. The correct answer is option d. $6,630,000.

To calculate the liability for outstanding premiums, we need to find the number of boxtops expected to be redeemed and then multiply that by the cost of each bowl.

Calculation:

1. Expected Boxtops Redeemed:

  - Total boxtops available: [tex]\( 1,350,000 \times 3 = 4,050,000 \)[/tex]

  - Estimated redemption rate: [tex]\( 60\% \)[/tex]

  - Expected boxtops redeemed: [tex]\( 4,050,000 \times 0.60 = 2,430,000 \)[/tex]

2. Number of Bowls Given Out:

  - Number of bowls received: 220,000

3. Liability for Outstanding Premiums:

  - Number of boxtops redeemed but not yet received bowls: [tex]\( 2,430,000 - 220,000 = 2,210,000 \)[/tex]

  - Cost per bowl: $3

  - Total liability: [tex]\( 2,210,000 \times 3 = \$6,630,000 \)[/tex]

Final Calculation:

- Liability for outstanding premiums: $6,630,000

Complete question : Palmer Frosted Flakes Company offers its customers a pottery cereal bowl if they send in 3 boxtops from Palmer Frosted Flakes boxes and $1. The company estimates that 60% of the boxtops will be redeemed. In 2018, the company sold 1,350,000 boxes of Frosted Flakes and customers redeemed 660,000 boxtops receiving 220,000 bowls. If the bowls cost Palmer Company $3 each, how much liability for outstanding premiums should be recorded at the end of 2018?

a. $540,000

b. $100,000

c. $150,000

d. $6,630,000

Answer: The correct answer is "c. The FIFO method computes equivalent units based only on production activity in the current period, ignoring the percentage of completion in beginning Work in Process inventory.".

Explanation: Process Costing is a special accounting method to identify and accumulate direct costs and prorate indirect costs of the same manufacturing process.

The statement "The FIFO method computes equivalent units based only on production activity in the current period, ignoring the percentage of completion in beginning Work in Process inventory." is the most accurate.

The most accurate statement regarding process costing and FIFO is that the FIFO method only considers the production activity and costs of the current period, excluding the completion level of beginning inventory.

The most accurate statement among the options provided, focused on process costing, is c. The FIFO method computes equivalent units based only on production activity in the current period, ignoring the percentage of completion in beginning Work in Process inventory. This method allows for the separation of costs between what was already in process at the beginning of the period and the costs incurred during the current period.

Under FIFO, the beginning work in process costs are maintained separately, and the costs added during the period to the new production are then used to calculate the cost per equivalent unit. This approach is different from the weighted average method, which blends the costs of beginning inventory with the costs of production during the period.

It's necessary to recognize that accounting for costs using FIFO can result in significant differences when compared with the weighted average method, specifically when there is a change in the costs of production or when the degree of completion of beginning inventory is significantly different from the new production.

Answer:

Sep 1st

Debit Cash                   100,000

Credit Note Payable   100,000

(to record 90-day note borrowing from First National Bank)

Explanation:

As at September 1, Vicario Inc receive the cash amount of $100,000 from First National Bank through Borrowing, the Cash account should be recorded up $100,000 ( that is, Dr, as Cash is an asset account) to reflect the transaction.

The offseting Credit entry will be recorded in Note Payable account ( which is a liability account) to reflect the liability of $100,000 owed to the Bank.

As at 1 September, the first day of assuming the debt, no interest expenses is incurred, so, no entry is needed to record interest expense.

Answer:

A) $0

Explanation:

as per IRC section 101g, if the payment exceeds the greater of per actual cost then the excess payment amount will be taxable.

total tax free payment = 360*30

                                      = $10,800

Therefore, The taxable amount is $0

Lloyd will include A) $0 of insurance benefits in his income.

Data and Calculations:

Tax-qualified long-term care insurance benefits received = $8,000

Number of nursing home stay days = 30 days

Actual nursing home costs for the 30 days = $7,500

Applicable per day limitation = $360

The total per day limitation = $10,800 ($360 x 30)

Since Lloyd is chronically ill, the $8,000 insurance benefits he received his life insurance contract is treated under § 101(g) as an amount received by reason of death and excluded from his gross income.

Thus, Lloyd will include A) $0 of insurance benefits in his income.

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Answer Choices:

A)Increase of $500,000

B)Decrease of $500,000

C)Increase of $1,500,000

D)Decrease of $1,500,000

Answer:

A)Increase of $500,000

Answer:

predominantly inattentive

Explanation:

ADHD is a disorder of neurobiological origin, in which there is a deficit in the functional structure of certain brain areas or centers related to the regulation of different attention processes.

The child with ADHD has difficulties in selecting the relevant focus of attention, (he does not know what he has to attend to) is slow in motor tasks and cognitive tasks, is easily distracted, and all this can lead to school age at learning difficulties, as well as having an impact on the emotional and personal areas of the child, (low self-esteem, anxiety, behavioral problems ...)

Answer:

I think the answer is four

Answer:

The correct answer is Option (A) Homeowners expect housing prices to increase in the future

Explanation:

Existing home sales decline was attributed to reduction in the supply of existing homes. The owners of existing homes would not sell their property only if they believe that home prices will increase in the future. Therefore, they can sell the property at a higher price later.

Had homeowners believed that home prices will decline in the future, the owners would have put-up existing houses for sale so that they get a better price now than wait to see the price decline.

Answer:

The answer is (c) First National Bank is not in a position to extend additional loans.

Explanation:

Please find the below for detailed explanation and calculations:

The First National Bank current reserve ratio is calculated as : Vault cash and deposits of the Bank with the Fed/ Total demand deposits of the Bank = $80 million / $400 million = 20%.

As the First National Bank' reserve ratio is now equal to the Fed's Reserve Requirement, First National Bank can not further extend its loan portfolio's balance, otherwise, its reserve ratio will fall below Fed's requirement which is not acceptable.

So, the answer is (c).

Answer:

Option (C) is correct.

Explanation:

Given that,

Amount invested today = $2,000

Interest paid annually(r) = 5%

Time period(n) = 3 years

[tex]Future\ value=Present\ value\times(1+r)^{n}[/tex]

[tex]Future\ value=2,000\times(1+0.05)^{3}[/tex]

[tex]Future\ value=2,000\times(1.05)^{3}[/tex]

                            = $2,315.25

Therefore,

Total amount earn:

= Future value - Present value

= $2,315.25 - $2,000

= $315.25

Answer:

If both Monica and Mason earn on average of 7 percent APY, Monica will have larger mutual fund balance in 20 years.

Explanation:

As given, Monica starts a mutual fund with 500$ and add 500$ for more nine years but Manson decided to deposit 5,000$ to invest at single time after the 10 years of waiting but Monica will have larger mutual fund because she will get the compound interest from her mutual fund for 10 years as compared to Manson as well as she has the opportunity to invest the earning again as she wants so she has the greater advantages in terms of money for investing earlier than Manson.

The future value of Monica's mutual fund (an annuity investment) and Mason's lump-sum investment must be calculated separately. Due to the power of compound interest and earlier start, Monica is likely to end up with a larger mutual fund balance after 20 years.

To determine who will have the larger mutual fund balance in 20 years, we need to calculate the future value of Monica's and Mason's investments separately using the formula for compound interest. Monica adds $500 to her mutual fund every year at a 7% APY. This is an example of an annuity, where equal payments are made at regular intervals. The future value of an annuity can be calculated using the formula:

FV = P × `((1 + r)^n - 1) / r)+1`, where `P` is the annuity payment, `r` is the periodic interest rate (as a decimal), and `n` is the total number of payments.

For Monica, `P` is $500, `r` is 0.07 (7% as a decimal), and `n` is 10. After 10 years of contributing, she will stop adding money, but her investment will continue to grow for 10 more years at 7% APY.

Mason, on the other hand, will invest a lump sum of $5,000 after 10 years and leave it to grow for the remaining 10 years. The future value of a lump sum investment is calculated using the formula `FV = P × (1 + r)^n`. `P` is $5,000, `r` is 0.07, and `n` is 10

After calculating both final amounts, we can compare them to see who has the larger balance. Due to the power of compound interest, starting early typically results in a greater future value, as money has more time to earn interest on interest. Therefore, it is likely that Monica's balance will be larger after 20 years.

Answer:

They should not be able to successfully negotiate the terms of this loan within these parameters.

Explanation:

It has been provided that RT earns 12% on his current investments and would not like to receive an interest rate of less than 12% on the loan he gives.

if RT gives a loan of $10,000 for one year, he would charge an interest rate of minimum 12%.  

Interest = $10,000*0.12

             = $1,200

RT requires $1,200 in interest.

It has been provided that Cynthia earns 8% on her investment.

If she borrows $10,000 and invests the amount for one year, she can earn 8% return on such amount.  

Earning = $10,000*0.08

             = $800

Cynthia is going to earn $800

RT requires a minimum of $1,200 as interest for 1-year loan he gives while Cynthia can pay a maximum of $10,000 as interest for 1-year loan she takes. there is mismatch between the minimum expectation to receive of lender and the maximum expectation to pay of borrower.

Therefore, They should not be able to successfully negotiate the terms of this loan within these parameters.

Answer

The answer and procedures of the exercise are attached in the following archives.

Step-by-step explanation:

You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.  

On June 15, the company declared a cash dividend of $1.70 per share to stockholders of record on June 30. On December 15, the company declared a cash dividend of $2.00 per share to stockholders of record on December 31.

On June 15, the company declared a cash dividend of $1.70 per share to stockholders of record on June 30. The journal entry for this transaction would be:

Date: June 15

Account Titles:

Debit:

Credit:

Similarly, on December 15, the company declared a cash dividend of $2.00 per share to stockholders of record on December 31. The journal entry for this transaction would be:

Date: December 15

Account Titles:

Debit:

Credit:

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Answer: Loan out

Explanation:

Goldsmith is one of the many traditional form of medium of exchange used in the past. Whereby you placed your gold to a goldsmith and in return receive a receipt to use that as a medium of cash exchange.

If goldsmith could loan out excess gold they can make a profit from depositors fund. Because that excess gold gives them an opportunity to loan it out.

Answer:

C) Employees with certain supervisory duties

Explanation:

The NLRB organization consists of:  

1) The Board – have 5 members and their staff

2) The General Counsel- final and independent authority which is under the Board and has to do investigation of charges and issuance of compliance.  

3) The Regional Offices- are located in large cities and are supervised by the General Counsel

NLRB Authority is about the enterprises those affect on the commerce by their operations. There could be included to the commerce: “trade, traffic, transportation, or communication within the District of Columbia or any Territory of the United States; or between any State or Territory and any other State, Territory, or the District of Columbia; or between two points in the same State, but through any other State, Territory, the District of Columbia, or a foreign country”

Supervisors are actually excluded by the NLRB from participating in organizing activities and being a member of the bargaining unit because, he/she could have some interest in favor of employer so there might be inappropriate situations like: to cause another employee to be hired, rewarded, disciplined

Answer:

price earning ratio = 19.44 times

so correct option is c. 19.44

Explanation:

given data

net income =  $103,000

common stock outstanding beginning = 38,000 shares

common stock outstanding ending = 44,000 shares

preferred stock outstanding = 5,000 shares

paid preferred dividends = $29,000

common stock = $35.00 per share

market price preferred stock = $55.00 per share

to find out

Lark's price earnings ratio

solution

first we get here average no of equity share that is

average no of equity share = common stock outstanding beginning + common stock outstanding ending ÷ 2

average no of equity share = [tex]\frac{38000+44000}{2}[/tex]

average no of equity share = 41000 share

and

earning per share will be here as

earning per share = ( net income - paid preferred dividends ) ÷ average no of equity share

earning per share =  [tex]\frac{103000-29000}{41000}[/tex]

earning per share = $1.80

so here price earning ratio will be as

price earning ratio = [tex]\frac{market\ price\ common\ share}{earning\ per\ share}[/tex]

price earning ratio = [tex]\frac{35}{1.80}[/tex]

price earning ratio = 19.44 times

so correct option is c. 19.44

Answer:

See the explanation

Explanation:

Date                 Cash     Interest Exp.    Amortization    Balance

----------------------------------------------------------------------------------------

Jan. 1, Year 1                                                                     48,813

End of Year 1  3,600            3,417              183               48,630  

End of Year 2  3,600           3,404            196               48,434

End of Year 3  3,600           3,390           210               48,224

End of Year 4  3,600           3,376             224              48,000

----------------------------------------------------------------------------------------  

Calculations:

Cash = 3,600 (Fixed amount)

Interest Exp. = 3,417 / 48,813 = 7%

End oy year 2:

Cash 3,600

Interest Expense 48,630 * 7% = 3,404

Amortization 3,600 - 3,404 = 196

End oy year 3:

Cash 3,600

Interest Expense 48,434 * 7% = 3,390

Balance 48,434 - 210 = 48,224

End oy year 4:

Cash 3,600

Amortization 3,600 - 3,376 = 224

Hope this helps!

Answer:

Incremental analysis is not the same as CVP analysis

The correct answer is B

Explanation:

CVP analysis is also known  as break-even analysis. It measures an established relationship among cost, volume and profit.

Incremental analysis refers to differential analysis used in decision-making for making choices among alternative courses of action.

Incremental analysis and CVP analysis are separate concepts in accounting. The former is a decision-making tool used to compare costs and revenues of different alternatives, while the latter examines the impact of different levels of sales and production volume on profit.

The statement that is not true among the options provided is b. Incremental analysis is the same as CVP analysis. Incremental analysis, sometimes referred to as differential analysis, and CVP (Cost-Volume-Profit) Analysis are two distinct concepts in accounting.

Incremental analysis is a decision-making tool in which the relevant costs and revenues of one alternative are compared to those of another. This method is useful in making decisions and focuses on decisions that involve a choice among alternative courses of action.

On the other hand, CVP analysis is a method of cost accounting. It looks at the effect on company profit (cost, volume, and profit) of different levels of sales and production volume.

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Answer:

Budgeted balance sheet

Explanation:  

A budgeted balance sheet refers to a document that is used by administrators to estimate resource, liability, and capital rates for the present financial year depending on the plan.

In other terms, a planned balance sheet indicates where every account at the end of a year would have been if the company's actual performance met the projections budgeted.

Management typically begins preparing a strategic schedule for another period at the last of each year. The master budget consists of a lot of minor purchases, funds, revenues, and general spending budgets. To make a large, detailed realistic plan, all such budgets are integrated.

Answer:

Income will increase by $5 per unit

Explanation:

The income effect in case of the order accepted is presented below:

As we know that

Additional sales per unit $32

Direct material per unit $12

Direct labor per unit $9

And, the incremental variable overhead cost is $6 per unit

Since the fixed cost is the same so it does not affect the effect on income

So, the income effect would be

= $32 - $12 - $9 - $6

= $5 per unit

Since the answer comes in positive which means there is an increase in income

The effect on income when accepting an additional order is that the profit above variable cost will be $4800 with a 4% price change and a new quantity of 960 units.

Your current profit above variable cost is $4800.

Your price will change by 4 percent.

Your new quantity is 960 units.

If you raise the price, the profit above variable cost will remain at $4800.