Answer:
Direct material price variance = $3,850 (Favorable)
Direct material quantity variance = $5,200 (Unfavorable)
Direct Labor rate variance = $1,350 (Unfavorable)
Direct labor efficiency variance = $2,100 (Favorable)
Explanation:
Note: Question is incomplete. However, the missing part is as follows
"Huron Company produces a commercial cleaning compound known as Zoom. The direct materials and direct labor standards for one unit of Zoom are given below:
Standard Quantity Standard Price Standard Cost
or Hours or Rate
Direct materials 6.90 pounds $ 2.60 per pounds $17.94
Direct labor 0.30 hours $ 7.00 per hour $2.10
During the most recent month, the following activity was recorded: a. "
Solution
1. Direct material price variance = Standard price - Actual price ) * Actual quantity purchased
= (2.60 - 2.40) * 19,250
= $3,850 (Favorable)
Direct material quantity variance= Standard quantity - Actual quantity * Standard Rate
= (2,500 * 6.90 - 19,250) * 2.60
= (17,250 - 19,250) * 2.60
= -2000 * 2.60
= $5,200 (Unfavorable)
2. Direct Labor rate variance = (Standard rate - Actual rate) * Actual hours
Actual rate = 4,500 / 450 = 10
Direct Labor rate variance = (7 - 10 ) * 450
= -3 * 450
= $1,350 (Unfavorable)
Direct labor efficiency variance= (Standard hours - Actual hours) * Standard rate
= (2,500 * 0.3 - 450) * 7
= (750 - 450 ) * 7
= 300 * 7
= $2,100 (Favorable)
Under a just-in-time inventory system, a company can reduce the amount of working capital it needs to finance inventory, freeing capital for other uses and/or lowering the total capital requirements of the enterprise.
a) true
b) false
Answer:
True.
Explanation:
Under a just-in-time inventory system, a company can reduce the amount of working capital it needs to finance inventory, freeing capital for other uses and/or lowering the total capital requirements of the enterprise.
In Business management, Just-in-time (JIT) is an inventory management method used by a company wherein goods, products, components, and labor are made available exactly when needed or just few hours before they are needed in the production process.
Basically, It is an inventory management system that companies use to reduce wastage to the barest minimum, thereby, freeing capital for other uses and/or lowering the total capital requirements of the enterprise.
Hence, just-in-time when used judiciously can help a company reduce the amount of working capital it needs to finance inventory management.
In market A, a 4% increase in price reduces quantity demanded by 2%. In market B, a 3% increase in price reduces quantity demanded by 4%. The price elasticity of demand in market A and market B are considered______ and ______, respectively. Group of answer choices
Answer:
Price elasticity of market A = Inelastic
Price elasticity of market B = Elastic
Explanation:
Elasticity in the case of market A.
Given the percentage change in demand = 2%
Percentage change in price = 4%
Elasticty of demand = %Change in demand / %change in price
= 2 / 4
= 0.5 (Inelastic)
Elasticity in the case of market B.
Given the percentage change in demand = 4%
Percentage change in price = 3%
Elasticty of demand = %Change in demand / %change in price
= 4 / 3
= 1.33 (elastic)
If you were using the discounted cash flow method to determine the appropriate value of a security, you would want to purchase that security when A) the current market price equals the PV B) the current market price is below the PV C) the rating of the security has just been upgraded D) the current market price is above the PV
Answer: The current market price is below the PV
Explanation:
The discounted cash flow method is when the time value of money is being used to value a project, security, company, or an asset.
When the discounted cash flow method is used to determine the appropriate value of a security, it is vital to buy the security when the current market price is below the present value.
Soft and Silky, Inc. manufactures bedding sets. The budgeted production is for 53,000 comforters in 2017. Each comforter requires 6 yards of material. The estimated January 1, 2017, beginning inventory is 31,000 yards. The desired ending balance is 30,000 yards of material. If the material costs $1.50 per yard, determine the materials budget for 2017. a.$475,500 b.$385,500 c.$478,500 d.$477,000
Answer
Material purchase budget ($)= $475,500
Explanation:
The material purchases budget is determined by adding the the closing stock of materials to the material usage budget and subtracting the opening inventory of materials.
Material purchase budget= Material usage budget + closing inventory - opening inventory
Material usage budget = Production budget × standard quantity per unit
= 53,00 × 6 yards = 318,000
Material purchase budget(quantity) = 318000 + 30,000 - 31,000 = 317,000
Material purchase budget ($) = Material purchase budget (in quantity) × standard price
= 317,000× $1.50 = $475,500
Material purchase budget ($)= $475,500
Marcia was describing a humorous ad to her friend, who asked her what product it was for. She said she didn’t know because there were so many ads on TV that she got them all mixed up. This demonstrates the problem advertisers have with ___________.
Answer: clutter
Explanation:
From the question, we are informed that Marcia was describing a humorous ad to her friend, who asked her what product it was for and she said she didn’t know because there were so many ads on TV that she got them all mixed up.
This problem is referred to as clutter.
Advertising clutter is a problem with marketing as people are sometimes annoyed by ads which they see in unfamiliar places.
20. An emergency operations plan: A. Focuses on standard operating procedures for responding to one single type of incident. B. Serves primarily as a budgeting document for acquiring emergency management resources. C. Establishes the overall authority, roles, and functions performed during incidents. D. Is required in order for a jurisdiction to receive Federal assistance with mitigation initiatives.
The correct answer is C. Establishes the overall authority, roles, and functions performed during incidents.
Explanation:
Emergency operations plans are documents that officially define the response to emergency or important incidents such as fires, floodings, attacks, among others. These plans are quite specific and due to this, they establish supplies, roles, functions, and those involved in the response. Moreover, emergency operation plans are used by organizations to have an appropriate management of emergency and similar situations. According to this, the option that best describes this concept is C.
Suppose the government is concerned about firms in the United States importing illegal caviar. As a result, the government increases border patrols to catch illegal shipments. U.S. Customs agents perform DNA testing on the caviar to determine if it comes from endangered species of fish. If so, the government destroys the caviar.
What would we expect to observe in the caviar market?
Answer:
C
Explanation:
here are the options to this question
a. equilibrium prices and quantities will increase.
b. equilibrium prices will increase by more if the demand for caviar is elastic than if demand is inelastic.
c. total revenues to caviar firms will increase if the demand for caviar is inelastic.
d. all of the above are correct
As a result of the increased government scrutiny of caviar, the supply of caviar would fall and a result of this, prices would rise.
if prices rise and demand is inelastic, the total revenue of caviar firms would rise.
Demand is inelastic if a small change in price has little or no effect on quantity demanded. The absolute value of elasticity would be less than one
As a result of the rise in price of caviar, there would be little or no change in quantity demanded and total revenue of these firms would rise
Like monopolists, oligopolists are aware that an increase in the quantity of output always a. reduces the price of their product. b. reduces their profit. c. reduces their revenue. d. reduces productivity.
Answer:
b. a. reduces the price of their product.
Explanation:
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
product differentiation
profit maximisation
high barriers to entry or exit of firms
downward sloping demand curve
interdependence among firms
an oligopoly can either set the price of their product or the quantity and not both. if quantity is increased, the price would drop
If prices are increased, the quantity demanded would fall.
Answer:
b. a. reduces the price of their product.
Explanation:
b
Greg was looking at different websites to complete his paper for his accounting class. He found several websites that ended in .org, .gov, and .edu. He was unsure about franksmith.net, created by Frank Smith, which gave him a lot of information that he thought was important. Which best describes how Greg could find more information about the website to check for its validation?
In this question the options are missing; here are the options:
Which best describes how Greg could find more information about the website to check for its validation?
Greg could assume it is valid because it is a .net.
Greg could look at the contact page to validate Frank's expertise.
Greg could look to see if the website was updated recently,
Greg could assume it is valid since Frank is not selling anything.
The answer to this question is B. Greg could look at the contact page to validate Frank's expertise.
Explanation:
One of the key factors that make a source to be credible is the expertise of the author because if the author is an expert in the area, the source is generally considered as credible. For example, the words of Isaac Newton are a credible source if these are related to areas such as maths, physics, or astronomy because he was an expert in this area. In this context, one way Greg could validate this source is by checking who is Frank Smith to verify if he is an expert in the topic. This makes option B correct.
Answer:B) Greg could look at the contact page to validate Frank’s expertise.
Explanation: Got it correct, edu.23
Nick manages a grocery store in a country experiencing a high rate of inflation. He is paid in cash twice per month. On payday, he immediately goes out and buys all the goods he will need over the next two weeks in order to prevent the money in his wallet from losing value. What he can't spend, he converts into a more stable foreign currency for a steep fee. This is an example of the of inflation.
Answer:
Shoe leather cost
Explanation:
Inflation is a persistent rise in general price levels.
shoe leather cost is the cost incurred by people that do not want to hold cash in a period of high inflation so as to avoid paying inflation tax.
Nick's shoe leather costs includes buying goods immediately he is paid and converting the money he cant spend into foreign currency
The cost method that will yield an ending inventory that is closer to current prices is the a.FIFO inventory cost method. b.LIFO inventory cost method. c.specific identification inventory cost method. d.weighted average inventory cost method.
Answer: a.FIFO inventory cost method
Explanation: The First-In-First-Out inventory costing method involves applying the price associated with the oldest inventory purchase to goods sold. When the FIFO inventory method is used, when the number of goods purchased for the oldest inventory is exhausted, the cost of goods sold is then associated with the next oldest inventory. With these cost inventory method, the ending inventory always moves closer to the current prices of goods since the older inventory cost is applied first.
uncertainty avoidance (e.g., Greece, Portugal, and Uruguay) is associated with a need for structure, avoiding differences, and very formal business conduct governed by many rules, whereas a _______ uncertainty avoidance (e.g., Singapore, Jamaica, and Hong Kong) is characterized by an informal business culture, acceptance of risk, and more concern with long term strategy and performance than with daily events. A. Lower, higher B. Higher, lower C. Positive, negative D. Negative, positive
Answer:
B. Higher, lower
Explanation:
Uncertainty avoidance refers to how tolerant is the society in respect to ambiguity and unpredictable things. High uncertainty avoidance cultures don't like uncertainty and try to control this through laws and rules. Low uncertainty avoidance cultures feel comfortable with uncertainty and people tend to be tolerant to changes and have few rules.
According to that, the answer is that higher uncertainty avoidance (e.g., Greece, Portugal, and Uruguay) is associated with a need for structure, avoiding differences, and very formal business conduct governed by many rules, whereas a lower uncertainty avoidance (e.g., Singapore, Jamaica, and Hong Kong) is characterized by an informal business culture, acceptance of risk, and more concern with long term strategy and performance than with daily events.
Jen is investing in a partnership with Lisa. Jen contributes equipment that originally cost $65,000, has accumulated depreciation of $20,000, thus giving it a book value of $45,000, and has a fair value of $52,000. The entry to record Jen’s initial contribution to the partnership includes a
Answer:
Debit to equipment for $52000
Explanation:
Based on the information given we were told that Jen had a fair value of the amount of $52,000. This means that the Journal entry to record the initial contribution to the partnership will tend to include a DEBIT TO EQUIPMENT FOR THE AMOUNT OF $52,000 which is the fair value amount.
Debit to equipment for $52,000
Assets Liabilities and Net Worth
Reserves $40,000 Checkable Deposits $130,000
Loans 25,000 Stock Shares 45,000
Securities 110,000
Assume the Continental National Bank's balance statement is as shown in the accompanying table. Assuming a legal reserve ratio of 20 percent, how much in excess reserves would this bank have after a check for $10,000 was drawn and cleared against it?
a. $16,000.
b. $3,000.
c. $6,000.
d. $24,000.
Answer: c. $6,000.
Explanation:
Given: Checkable Deposits = $130,000
Amount Withdrawal = $10,000
Then, the new checkable deposit = (Checkable Deposits) - (Amount Withdrawal)
= $130,000-$10,000= $120,000
Reserves = 20% × (new checkable deposit)
=20% × $120,000 = $24,000
New reserve = (Reserve)-(Amount Withdrawal)
=$40,000 - $10,000 = $30,000
Excess Reserve = (New reserve) - (Reserves )
= $30,000 – $24,000 = $6,000
i.e. Excess reserve in bank is $6,000.
Hence, the correct answer is c. $6,000.
is a sales representative for a supply company. He travels most of the week and is typically away from the office. Scott is able to access information within the company, such as product and customer information, by using a(n) grapevine system. intranet. circle network. all-channel network. chain network.
Answer:
intranet
Explanation:
In simple words, An intranet refers to the virtual network for knowledge exchange, communication resources, operating systems and most computing facilities within an entity, typically to the detriment of foreigners.
Often, an intranet is now in comparison to that of an extranet. Although an intranet remains usually limited to the organisation's staff, clients , vendors and perhaps other permitted entities could also be authorized to view extranets.
On April 1, Griffith Publishing Company received $24,480 from Santa Fe, Inc. for 36-month subscriptions to several different magazines. The company credited Unearned Fees for the amount received and the subscriptions started immediately. What is the adjusting entry that should be recorded by Griffith Publishing Company on December 31 of the first year?
Answer:
Dr Unearned Fees, $6,120
Cr Fees Earned, $6,120
Explanation:
Based on the information given we were told that the On April 1, the Company received the amount of $24,480 for 36-month subscription in which the company credited Unearned Fees for the amount received therefore the adjusting entry that the company should be record on December 31 of the first year will be:
Dr Unearned Fees, $6,120
Cr Fees Earned, $6,120
Working:
Amount the company received $24,480 ÷Months of Subscription 36 months
*April to December will give us 9 months
Hence,
$24,480/36*9
=$680*9
=$6,1,20
The Texas state _________ commissioner is an elected official responsible for administration and oversight of state-owned lands and coastal lands extending 10.3 miles into the Gulf of Mexico. (Remember to type only one word in the blank.)
Answer:
Land.
Explanation:
In the U.S. State of Texas, the Texas General Land Office is an agency of the Texas state. This agency is responsible for overseeing lands and mineral rights resources that are under the ownership of the state. This agency is headed by the Land Commissioner of the Texas State. The constitutional purpose of the agency was to "supervise, execute and employ all acts that touch the public lands of Texas.
Jayden created a cell model using a glass bottle with a cork. He said that the cork could be opened to eliminate waste material that’s generated after digestion in the cell. A number of particles resembling organelles are in the bottle. Which organelle’s function will cause Jayden to open the cork to eliminate waste material?
Answer:
"Lysosome" is the correct answer.
Explanation:
Lysosomes will become the waste-removing feature, they have active enzymes as well as chemicals to absorb or even just recycle products from cells.It's indeed a subcellular organelle present in almost all forms of eukaryotic cells as well as taking responsibility for something like the absorption of molecules, older sections of cells, or even microorganisms.So that the above seems to be the right answer.
Answer:
the correect awnser is D
Explanation:
Lysosomes would be the function that eliminates waste.Lysosomes have powerful enzymes and acids to digest and recycle cell material
Which of the following decisions is least likely to involve collaboration? Group of answer choices How much of product A should be ordered from vendor B? Should our company acquire company A? What products should we include in the new product line? What type of relationship should the company maintain with company A?
Answer:
How much of product A should be ordered from vendor B?
Explanation:
The decision that is least likely to involve collaboration is "What type of relationship should the company maintain with the other company?"
Collaboration simply means when people engage and discuss in order for the decision-making process.In order to know the product that should be included in the new product line, collaboration is essential because one will need to engage the different departments in the organization such as sales, marketing, etc. Everyone has to give their opinion on the issue.Also, "Should our company acquire another company ?" is a collaborative decision. This isn't a decision that can be decided by one person. Therefore, the correct option is "What type of relationship should the company maintain with the other company ?" as the decision can be taken by a top manager alone.In conclusion, the correct option is D
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Ace Credit Card Company agrees to transfer cash to Seller Company deposit of that company's credit card sales sales. If Seller Company deposits $57,300 credit eard statements is true?
A. Ace will receive $56,154 cash from Seller Company
B. Seller Company will receive cash $56,154 from Ace
C. Ace will receive $57,300 cash from Seller Company
D. Seller Company will receive $57,300 cash from Ace
E. Ace will pay Seller Company a $1,146 credit card fee
Answer:
The question is incomplete, below is a possible match of the complete question:
Ace Credit Card Company agrees to transfer cash to Seller Company immediately upon deposit of that company's credit card sales receipts. Ace charges a 2% fee for all credit card sales. If Seller Company deposits $57,300 credit card sales receipts, which of the following statements are true?
A. Ace will receive $56,154 cash from Seller Company
B. Seller Company will receive cash $56,154 from Ace
C. Ace will receive $57,300 cash from Seller Company
D. Seller Company will receive $57,300 cash from Ace
E. Ace will pay Seller Company a $1,146 credit card fee
The correct answer is:
Seller Company will receive cash $56,154 from Ace (B)
Explanation:
Since Ace charges a 2% fee for all credit card sales, for a deposit of $57,300 by Seller company, the 2% service charge will be deducted, and to find how much cash seller company will receive, we will calculate the balance on the deposited amount after the 2% fee has been deducted. This is done as follows.
2% of $57,300 = 2/100 × 57,300
= 0.02 × 57,300 = $1,146
Therefore, balance after deduction:
= 57,300 - 1,146 = $56,154
Hence, seller company will receive a cash of $56,154 from Ace for the credit card sales.
PLEASE HELP!
why is liquidating the lease a desirable option for a harvest plan?
A. it is done only if an initial public offering fails
B. it is a time-consuming and labor intensive option
C. the business will likely lose money when liquidating
D. it is the least creative business solution
Answer:
C
Explanation:
Lease liquidation is a practice of cancelling a lease agreement before the expiration of the initially agreed lease period which may be as a result of some unforeseen situation at the the time of forming lease.
Harvest plan on the other hand is a way of reducing spending on a product that is approaching its end of its life cycle in order to maximize profit.
Liquidating the lease should be a less desirable option compared to harvest plan as the business will likely loose money when liquidating a lease
One operator services a bank of five machines. Machine running time and service time are both exponential. Machines run for an average of 74 minutes between service requirements, and service time averages 26 minutes. The operator receives $25 per hour in salary and fringe benefits, and machine downtime costs $78 per hour per machine.
If each machine produces 65 pieces per hour while running, find the average hourly output of each machine, when waiting and service times are taken into account.(Round your answer to 2 decimal places.)
Average hourly output ______________________ pieces
Answer:
Average hourly output is 13.14 pieces.
Explanation:
Number of machines at the bank N = 5
Average service time T = 26 min
Machine runs for an Average R = 74 min
Number of servers M = 1
Service Factor, X = T / (T+R)
= 26 / (26+74)
= 0.26
Efficiency Factor, F = 0.683
Average Number of machine running A = N * F * (1 - X)
= 5 * 0.683 * (1 - 0.26)
= 2.52
Output rate = 26 * (A / N)
= 26 * ( 2.52 / 5)
= 13.14 per hour.
A salesperson is listing a property in a mostly Hispanic neighborhood that is owned by Hispanic sellers. He advertises the property in several Spanish-language community newspapers, thinking the most likely buyers would already be renting in the neighborhood. What additional step would best help him avoid charges of discrimination
Answer:
The salesperson should advertise the property in Portuguese-language community newspapers as well in papers that circulate beyond the community/neighborhood
Explanation:
The additional step to be taken by the sales person to help him avoid charges of discrimination would be The salesperson should advertise the property in Portuguese-language community newspapers.
This is because in a Hispanic neighborhood there are two major languages that are most probably spoken and written there and they are Spanish and Portuguese hence the salesperson has to advertises in both languages.as well in papers that circulate beyond the community/neighborhood
Even when economic indicators show that the economy is down, small businesses often thrive. Think of a small business in your community that would do well, even if people did not have a lot of extra money to spend, and explain the advantages it has over larger businesses.
Answer:
A drug store is a type of business that is likely to do well even in an economic recession.
This is because drug stores sell an essential good, that often has a high price, and that is needed by many people, specially those who suffer from chronic diseases.
In other words, people will likely reduce their consumption of many other goods before reducing their consumption of prescription drugs.
A low-cost leader can translate its low-cost advantage over rivals into superior profit performance by Multiple Choice cutting its price to levels significantly below the prices of rivals. using its low-cost edge to underprice competitors and attract price-sensitive buyers in large enough numbers to increase total profits or refraining from price cutting and using the low-cost advantage to earn a higher profit margin on each unit sold. going all out to use its cost advantage to capture a dominant share of the market. spending heavily on advertising to promote the fact that it charges the lowest prices in the industry. outproducing rivals and thus having more units available to sell.
Answer: using its low-cost edge to underprice competitors and attract price-sensitive buyers in large enough numbers to increase total profits or refraining from price cutting and using the low-cost advantage to earn a higher profit margin on each unit sold.
Explanation:
A low cost leader is a type of leader that is concerned with giving out low prices for its customers.
It should be noted that a low-cost leader can translate its low-cost advantage over rivals into superior profit performance by using the low-cost edge in order ro underprice its competitors. Also, the low cost strategy will lead to more profit.
Suppose that the marginal utility of good Y = 2X2 and the marginal utility of good X = 4XY. What is the slope of the indifference curve when Y = 7 and X = 2? Assume that good X is on the horizontal axis and good Y is on the vertical axis.
Answer:
The slope of indifference curve is 7.
Explanation:
The marginal utility of good Y = 2X^2
The marginal utility of good X = 4XY
Given Y = 7
X = 2
The slope of the indifference curve is otherwise termed as the marginal rate of substitution. So, we can find the slope by dividing the marginal utility of Y by the marginal utility of X.
Slope = MUx / MUy
= 4XY / 2X^2
= 4Y / 2X
Now insert the value of X and Y.
= (4×7) / (2×2)
= 28/4
= 7
Hence the slope of the indifference curve is 7.
The Karaoke Channel Online streams professional-grade karaoke for $9.95 a month. Suppose Karaoke Channel Online has a constant marginal cost of $1 per customer and total fixed cost is $20,000. The profit maximizing number of customers is 10,000. Several competitors start to advertise online. Karaoke Channel Online now spends $5,000 a month on advertising and the profit maximizing number of customers increases to 12,000 and the streaming price remains constant. What is Karaoke Channel Online's total profit after the advertising begins?
Use commercial bank and Federal Reserve Bank balance sheets to demonstrate the immediate effect of each of the following transactions on commercial bank reserves. Assume that the initial reserve ratio is 20 percent. Fill in the new balances in the column in the balance sheets that correspond with each of the following transactions. Consider each transaction separately, not cumulatively.
a. Federal Reserve Banks purchase $2 billion worth of securities from banks.
b. Commercial banks borrow $1 billion from Federal Reserve Banks at the discount rate.
c. The Fed reduces the reserve ratio from 20 percent to 19 percent.
Instructions: Enter your answers as whole numbers in the gray-shaded cells of both tables below.
Answer:
Following are the explanation of the given points:
Explanation:
In choice (a):
The Fed was expected to purchase securities worth $2 billion, in will consist of up to two billion dollars, which adds the vales $ 40 and $2s equal to $42 billion and it minimizes securities by two billion Dollars (60-2$=58 billion dollars). The reserves required for a demand of 200 billion dollars are $40 billion (= 20% of 200 billion dollars).
The excess assets are two billion dollars (= 42 billion dollars-40 billion dollars) as well as the financial system will add 10 billion dollars more (= 2 billion dollars x 5) to the supply of money (by lending money).
In choice (b):
The Financial banks are expected to borrow from the Fed $1 billion. In the financial institutions, it can now raise (by loaning money) its supply of cash by 5 billion dollars (= $1 billion * 5).
In choice (c):
The adjustment throughout the reserve ratio doesn't change the balance sheets itself. If either the reserve ratio is assumed reported having reduced from 20% to 19%, then assets required currently stand at $38 billion (= 19% of $200 billion (= 0.19 x 200 = $38 billion), with financial institutions still able to increase their capital (by loans) by $10.53 billion (= $2 billion (1/0.19)). Proof: $210.53 billion 19% is $40 billion.
Following are the attachment of the table:
Gondola Granola is an American health food grocery store chain with locations in 20 countries. When the company enters a new foreign market, it usually selects a combination of franchising and master subsidiaries. These master subsidiaries are joint ventures with local partners. Specifically, these joint ventures are politically more acceptable and they:________
a. help realize location and experience curve economies
b. avoid high transport costs.
c. ensure a steady stream of royalty payments.
d. tend to provide a higher control over technology
e. bring a degree of local knowledge to the subsidiary
Answer: e. bring a degree of local knowledge to the subsidiary
Explanation: According to the scenario described above, Gondola Granola having location in 20 countries makes it a foreign company in most of its countries where it is located. In other to thrive, Gondola Granola is partnering with local stores or companies (domestic companies in that country), this enables Gondola Granola to scale through most policy which might have hampered foreign establishment, These local partner also provides the required local knowledge or finesse which could aid Granola to thrive as they are more familiar with the culture of the country than the subsidiary.
Hancock Company has 900,000 shares authorized and 350,000 shares issued and outstanding of its $2 par value common stock. The stock is currently selling for $20 per share. If Hancock Company declared and distributed a 30% stock dividend, what journal entry would the company make
Answer:
Dr Retained Earnings 210,000
Cr Common Stock 210,000
Explanation:
Based on the information given we were told that the company has 350,000 shares issued with an outstanding of its $2 par value of common stock which means that if Company declared and as well distributed a 30% stock dividend, the transaction will be recorded as
Dr Retained Earnings 210,000
Cr Common Stock 210,000
(350,000 Shares *$2 par value common stock)
=$700,000*30%
=$210,000