Effect of Inventory Errors During the taking of its physical inventory on December 31, 20Y3, Sellers Company incorrectly counted its inventory as $303,295 instead of the correct amount of $327,560 Indicate the effect of the misstatement on Sellers's December 31, 20Y3, balance sheet or income statement for the year ended December 31, 20Y3. For each, select if the amount is overstated or understated. Then, input the over or under amount, entered as a positive value
Cost of goods sold
Current assets
Gross profit
Inventory
Net income
Stockholders' equity
Total assets

Answers

Answer 1

Answer:

Cost of goods sold  = overstated : $24,265

Current assets  = understated : $24,265

Gross profit  = understated : $24,265

Inventory  = understated : $24,265

Net income  = understated : $24,265

Stockholders' equity  = understated : $24,265

Total assets = understated : $24,265

Explanation:

Inventory was understated by $24,265 ($327,560 - $303,295). Since inventory is an Asset, also it is a Income Statement element and consequently affects Retained Earnings (Distributions to Shareholders) , the effect is shown above.


Related Questions

Loyalty/reward programs are becoming more and more prevalent. With the onset of more loyalty programs, it becomes important for companies to design programs that are differentiated from other competitor programs. What are at least three key aspects that a company must consider when developing a successful loyalty/reward program

Answers

Answer:

A loyalty/reward program refers to prizes, discounts and other incentives that companies provide to their customers as art of aan strategy to encourage them to continue buying their products or services. Three key aspects that a company must consider when developing a successful loyalty/reward program are:

-Exclusivity because the customer has to feel that it is special to be part of the program and not that everyone gets the same benefits as the program won't provide any value for the customer.

-Customer knowledge because you need to understand your customers to make sure that the program would be relevant to them by appealing to their needs and desires.

-Contribution to the brand because you have to make sure that all the efforts support your brand as that is your image and the incentives offered have to provide value to it.

Wheat Inc. produces and sells a single product. The selling price of the product is $235.00 per unit and its variable cost is $86.95 per unit. The fixed expense is $373,653 per month. The break-even in monthly dollar sales is closest to: (Round your intermediate calculations to 2 decimal places.)

Answers

Answer:

Break-even point (dollars)= $593,100

Explanation:

Giving the following information:

The selling price of the product is $235.00 per unit and its variable cost is $86.95 per unit. The fixed expense is $373,653 per month.

To calculate the break-even point in dollars, we need to use the following formula:

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)= 373,653 / [(235 - 86.95)/235]

Break-even point (dollars)= $593,100

When __________________, a firm will supply a higher quantity at any given price for its output, and the supply curve will shift to the right.

Answers

Answer: costs of production fall

Explanation:

When the costs of production fall, a firm will supply a higher quantity at any given price for its output, and the supply curve will shift to the right.

This is because when there is a reduction in the costs of production, there will be more money and hence, the producer can supply more goods thereby shifting the supply curve to the right.

Currently Acre is charged $3,693,600 Depreciation on the Income Statement of Andrews. Andrews is planning for an increase in this depreciation. On the financial statements of Andrews will this?

Answers

Answer: C)Increase Net Cash from Operations on the Cash Flow Statement

Explanation:

The Cash Flow Statement deals with only cash transactions of a business in an effort to know just how much actual cash the business has. The Operations section of the Cash Flow Statement is derived from the Net Income and to get to the Net Income, Depreciation is removed. Because Depreciation is a non-cash expense, and does not actually reduce cash, it is added back when calculating cash from Operations. A larger depreciation therefore would bring in more cash from Operations in the Cash Flow statement.

Mars Inc. has a defined benefit pension plan. On December 31 (the end of the fiscal year), the company received the PBO report from the actuary. The following information was included in the report: ending PBO, $110,000; benefits paid to retirees, $10,000; interest cost, $7,200. The discount rate applied by the actuary was 8%. What was the beginning PBO

Answers

Answer:

Beginning projected benefit obligation = $90,000

Explanation:

Beginning projected benefit obligation = Interest cost / Discount rate

=$7,200 / 8%

=$7,200 / 0.08

=$90,000

Which of the following statements about partnership financial statements is true? The owners’ equity statement is called the partners’ capital statement. Only the total of all partner capital balances is shown in the balance sheet. Details of the distribution of net income are shown in the partners’ capital statement. The distribution of net income is shown on the balance sheet.

Answers

Answer: The owners’ equity statement is called the partners’ capital statement.

Explanation:

Partnership is a form of business whereby two or more individuals join their skills and money together in conducting a business.

It should be noted that the owners’ equity statement is called the partners’ capital statement.

For a stock to be in equilibrium, that is, for there to be no long-term pressure for its price to depart from its current level, then a.the expected future return must be less than the most recent past realized return. b.the past realized return must be equal to the expected return during the same period. c.the expected future returns must be equal to the required return. d.the required return must equal the realized return in all periods. e.the expected return must be equal to both the required future return and the past realized return.

Answers

Answer:

c.the expected future returns must be equal to the required return.

Explanation:

When the stock is at equilibrium than the intrinsic value of the stock is equivalent to the market price of the stock that depicts that the expected returns which held in the future should be equivalent to the required return

Therefore the option c is correct

And, the other options that are mentioned in the question are incorrect

For a stock to be in equilibrium, the expected future returns must be equal to the required return.

The correct answer to this question is answer option c. At the equilibrium position there is a balance between the expected returns and the required returns.

At this point the intrinsic value is the same thing as the market value. Telling us that the rate the investor is expecting is the same as the actual required rate of return.

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Steelcase Inc. is one of the largest manufacturers of office furniture in the United States. In Grand Rapids, Michigan, it produces filing cabinets in two departments: Fabrication and Assembly. Assume the following information for the Assembly Department:
Direct labor per filing cabinet 30 minutes
Supervisor salaries $150,000 per month
Depreciation $31,000 per month
Direct labor rate $15 per hour
Steelcase Inc-Assembly Department
Flexible Production Budget
August 2016 (assumed data)
Units of production 18,000 20,000 22,000
Variable cost:
Direct labor
Total variable cost
Fixed cost:
Supervisor salaries
Depreciation
Total fixed cost
Total department cost
Prepare a flexible budget for 12,000, 15,000, and 18,000 filing cabinets for the month of August, similar to Exhibit 5, assuming that inventories are not significant.

Answers

Answer:

Note: Per unit Direct labour cost = $15 /60 minutes * 30 minutes

=$7.5

                                   Steelcase Inc

                         Assembly Department

          Flexible budget for the month of August, 2016

Unit of Production            Per Unit         No. of filling cabinet

                                                               18,000   20,000    22,000

Variable cost

Direct labour cost               7.5            135,000  150,000  165,000

Total variable cost A                           135,000  150,000  165,000

Fixed cost

Supervisor salaries                               150,000  150,000   150,000

Depreciation                                          31,000    31,000     31,000

Total fixed cost B                                  181,000  181,000  181,000

Total Departmental Cost A+B             316,000  331,000  346,000

Per unit Department Cost                    17.55        16.55      15.72

Note: Per unit department cost = Total department cost / No of filling cabinet

Describe how communication strengthens relationship at work and as a result increases your productivity

Answers

Communication strengthens work relationships because it gets your point across and solves unspoken issues . It increases work productivity because everyone ideas can be taken into consideration

On May 1, Soriano Co. reported the following account balances along with their estimated fair values:
Carrying Amount Fair Value
Receivables $ 143,600 $ 143,600
Inventory 76,400 76,400
Copyrights 136,000 577,000
Patented technology 913,000 753,000
Total assets $ 1,269,000 $ 1,550,000
Current liabilities $ 197,000 $ 197,000
Long-term liabilities 676,000 658,300
Common stock 100,000
Retained earnings 296,000
Total liabilities and equities $ 1,269,000
On that day, Zambrano paid cash to acquire all of the assets and liabilities of Soriano, which will cease to exist as a separate entity. To facilitate the merger, Zambrano also paid $141,000 to an investment banking firm.
The following information was also available:
• Zambrano further agreed to pay an extra $85,000 to the former owners of Soriano only if they meet certain revenue goals during the next two years. Zambrano estimated the present value of its probability adjusted expected payment for this contingency at $42,500.
• Soriano has a research and development project in process with an appraised value of $244,000. However, the project has not yet reached technological feasibility and the project’s assets have no alternative future use.
Prepare Zambrano’s journal entries to record the Soriano acquisition assuming its initial cash payment to the former owners was (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

Answers

Answer:

Receivables (Dr.) $143,600

Inventory (Dr.) $76,400

Copyrights (Dr.) $577,000

Patented Technology (Dr.) $913,000

Goodwill (Dr.) $32,800

Current Liability (Cr.) $197,000

Long term liability (Cr.) $658,300

Cash (Cr.) $845,000

Contingent Consideration (Cr.) $42,500

Professional Fee Expense (Dr.) $141,000

Cash (Cr.) $141,000

Paid of Investment banking firm

Explanation:

Total of Assets 1,710,000

Total of Liabilities 855,300

Net Assets 854,700

Total Fair value of identifiable Assets 854,700

Fair value of contingent Liability 42,500

Consideration Paid as Cash 845,000

Good will $32,800

Arthur White Sunglasses sell for about $ 151 per pair. Suppose the company incurs the following average costs per​ pair: LOADING...​(Click the icon to view the cost​ information.) Arthur White has enough idle capacity to accept a​ one-time-only special order from Nevada Glasses for 22 comma 000 pairs of sunglasses at $ 62 per pair. Arthur White will not incur any variable marketing expenses for the order. Read the requirements
Requirement
How would accepting the order affect Arthur White's operating​ income?
In addition to the special​ order's effect on​profits, what other​ (longer-term qualitative) factors should Arthur White's managers consider in deciding whether to accept the​order?
Prepare an incremental analysis to determine the special​order's effect on operating income. ​(Enter a​ "0" for any zero balances.
Use parentheses or a minus sign to indicate a decrease in operating income from the special​ order.) Total Order Incremental Analysis of Special Sales Order Decision Per Unit (22,000 units) Revenue from special order Less variable expense associated with the order: Variable manufacturing costs Contribution margin Less: Additional fixed expenses associated with the order Increase (decrease) in operating income from the special order

Answers

Answer:

How would accepting the order affect Arthur White's operating​ income?

operating income will increase by $88,000

In addition to the special​ order's effect on​profits, what other​ (longer-term qualitative) factors should Arthur White's managers consider in deciding whether to accept the​order?

The most important qualitative factors which cannot be measured in $ are:

Morale Customers Investors Community Products

In this case, the only two factors that could be affected are the investors which will be happy to earn more money and customers which might consider making special orders only. In this case, the special order is feasible because the company has a lot of spare capacity, but what would happen in the future if there is no spare capacity and more customers want to place special orders?

Prepare an incremental analysis to determine the special order's effect on operating income.

                             without special        with special              differential

                             order                        order                         amount

revenue                $0                            $1,364,000                $1,364,000

variable costs      $0                            ($1,276,000)              ($1,276,000)

contribution         $0                             $88,000                   $88,000

margin

fixed costs           $0                             $0                             $0

total effect on      $0                            $88,000                    $88,000

operating income

Explanation:

production costs per unit:

direct labor $11direct materials $39variable manufacturing overhead $8fixed manufacturing overhead $16variable marketing expenses $4total $78

sales price $151

special order 22,000 pairs at $62:

since the company has idle capacity, no fixed manufacturing costs nor any variable marketing expenses

total cost per unit = $78 - $16 - $4 = $58

special order's contribution margin = $62 - $58 = $4 x 22,000 = $88,000

Department Y started 675 units during the accounting period. They had a beginning balance in goods in process inventory of 225 units and an ending balance of 150 units. _____ units were completed and transferred out.
a. 750
b. 620
c. 650
d. None of above

Answers

Answer:

a. 750

Explanation:

units completed and transferred out = beginning work in process + units started - ending work in progress = 225 units + 675 units - 150 units = 750 units

The number of units completed and transferred out refer to the total number of finished units during a certain period and their cost is referred to as cost of goods manufactured.

Golden Corp.'s current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes.


GOLDEN CORPORATION Comparative Balance Sheets December 31
Current Year Prior Year
Assets
Cash $167,000 $110,300
Accounts receivable 87,500 74,000
Inventory 605,500 529,000
Total current assets 860,000 713,300
Equipment 343,000 302,000
Accum. depreciation—Equipment (159,500) (105,500)
Total assets $1,043,500 $909,800
Liabilities and Equity:
Accounts payable $93,000 $74,000
Income taxes payable 31,000 26,600
Total current liabilities 124,000 100,600
Equity:
Common stock, $2 par value 595,600 571,000
Paid-in capital in excess of par value, common stock 201,400 164,500
Retained earnings 122,500 73,700
Total liabilities and equity $1,043,500 $909,800



GOLDEN CORPORATION Income Statement For Current Year Ended December 31

Sales $1,807,000
Cost of goods sold 1,089,000
Gross profit 718,000
Operating expenses
Depreciation expense $54,000
Other expenses 497,000 551,000
Income before taxes 167,000
Income taxes expense 26,200
Net income $140,800

Additional Information on Current Year Transactions:

Purchased equipment for $41,000 cash.
Issued 12,300 shares of common stock for $5 cash per share.
Declared and paid $92,000 in cash dividends.

Required:
Prepare a complete statement of cash flows: report its cash inflows and cash outflows from operating activities according to the indirect method.

Answers

Answer:

Golden Corp.

Statement of Cash Flows for the year ended December 31, using the indirect method:

Net Income before taxes          $167,000

Add non-cash expenses:

Depreciation                                 54,000

Adjustment of current assets:

Accounts receivable                    (13,500)

Inventory                                     (76,500)

Adjustment of current liabilities:

Accounts payable                        19,000

Income taxes payable                  (4,400)

Net Cash Flow from operations                  $145,600

Financing Activities:

Common Stock                $61,500

Dividend paid                    92,000

Net Cash Flow from financing activities    $153,500          

Investing Activities:

Equipment purchase       $41,000

Net Cash Flow from investing activities      $41,000

Net Cash Flow                                            $340,100

Explanation:

The Golden Corp.'s statement of cash flows depicts the flow of cash under three main activity headings: operating, financing, and investing.  There are two methods under which Golden Corp. can prepare the statement.  They include the indirect method, which starts from the net income, adjusts the non-cash expenses and the changes in working capital, and the direct method, which shows the cash inflows and outflows for each cash flow item.

The cash flow for the company is analyzed below:

Net Income before taxes         $167,000

Add: non-cash expenses:

Depreciation                   $54,000

Adjustment of current assets:

Accounts receivable                    (13,500)

Inventory                                     (76,500)

Adjustment of current liabilities:

Accounts payable                        19,000

Income taxes payable                  (4,400)

Net Cash Flow from operations  $145,600

Financing Activities:

Common Stock                $61,500

Add: Dividend paid                    92,000

Net Cash Flow from financing activities   $153,500          

Investing Activities:

Equipment purchase       $41,000

Net Cash Flow from investing activities      $41,000

Net Cash Flow                                           $340,100

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The Keynesian link between the money market and the goods and services market is __________. Changes in the money market must affect the __________ market before the goods and services market is affected.

Answers

Answer:

Indirect; investment.

Explanation:

John Maynard Keynes was a British economist born on the 5th of June, 1883 in Cambridge, England. He was famous for his brilliant ideas on government economic policy and macroeconomics which is known as the Keynesian theory. He later died on the 23rd of April, 1946 in Sussex, England.

The Keynesian link between the money market and the goods and services market is indirect. Changes in the money market must affect the investment market before the goods and services market is affected.

According to the Keynesian Transmission Mechanism, the link between the money market and the goods and services market is indirect; because at first, short-term interest rates are lowered by an increase in the supply of reserves and then with time both the bond and bank loan rates falls. Consequently, this would make investments and aggregate demand (AD curve shifts rightward) to rise or increase as a result of the low cost of capital for investors and by extension it boost the level of production or quantity of output (real gross domestic product or Real GDP).

This ultimately implies that, the interest rates affects the real and costs of capital (monetary changes).

Match the transactions below with the journal or ledger in which it would be entered. Monthly adjustment for supplies used Cash receipt posting to an individual customer account Record sale on account to customer Record purchase on account from vendor Record payment received from customer Record payment made to vendor Cash payment posting to an individual vendor account General journal Accounts receivable subsidiary ledger Revenue journal Purchases journal Cash receipts journal Cash payments journal Accounts payable subsidiary ledger Group of answer choices Monthly adjustment for supplies used

Answers

Answer:

Matching transactions to journal or ledger:

1. Monthly adjustment for supplies used = General Journal

2. Cash receipt posting to an individual customer account  = Accounts Receivable subsidiary ledger

3. Record sale on account to customer = Revenue Journal

4. Record purchase on account from vendor = Purchases journal

5. Record payment received from customer = Cash Receipts Journal

6. Record payment made to vendor  = Cash Payments Journal

7. Cash payment posting to an individual vendor account = Accounts Payable subsidiary ledger

Explanation:

a. The general journal is used to record all kinds of transactions that occur on a daily, especially if the entity does not operate specialized journals like the Cash receipts, cash payments, purchases, and revenue journals.  It records both adjusting and non-adjusting entries.

b. Accounts receivable and payable subsidiary ledgers are used to record individual customers and suppliers transactions which had been recorded in total to the Accounts Receivable and Accounts Payable accounts (as controls) respectively and then enable individual records to be kept.

c. Revenue journal is a specialized journal for recording revenue on account for customers who buy on credit from the entity.  As a specialized journal, it usually have one amount column while the total is periodically posted to a control account in the general ledger with individual transactions posted to the subsidiary accounts receivable ledger.

d. Cash Receipts and Payments Journals are also specialized journals for recording receipts from customers and payments to suppliers of merchandise and services.  They are similar in outlook like the Revenue Journal.

e. Accounts Payable subsidiary ledger is a secondary ledger for recording individual suppliers' transactions, with their totals already posted to the general ledger (control account).  This ledger ensures the maintenance of individual suppliers' records in order to extract their individual balances.

The matching of the transactions with the journal or ledger is shown below.

Matching is as follows:

1. Monthly adjustment for supplies used = General Journal

2. Cash receipt posting to an individual customer account  = Accounts Receivable subsidiary ledger

3. Record sale on account to customer = Revenue Journal

4. Record purchase on account from vendor = Purchases journal

5. Record payment received from customer = Cash Receipts Journal

6. Record payment made to vendor  = Cash Payments Journal

7. Cash payment posting to an individual vendor account = Accounts Payable subsidiary ledger

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Babcock Company received the following reports of its defined benefit pension plan for the current calendar year: PBO Plan assets Balance, January 1 $ 650,000 Balance, January 1 $ 530,000 Service cost 369,000 Actual return 51,000 Interest cost 74,000 Annual contribution 226,000 Benefits paid (97,000 ) Benefits paid (97,000 ) Balance, December 31 $ 996,000 Balance, December 31 $ 710,000 The long-term expected rate of return on plan assets is 8%. Assuming no other data are relevant, what is the pension expense for the year

Answers

Answer:

The pension expense for the year is $400600

Explanation:

From the question; we have:

Babcock Company received the following reports of its defined benefit pension plan for the current calendar year:

PBO                                                     Plan assets    

Balance, January 1         650,000      Balance, January 1    530,000

Service cost                      369,00      Actual return                 51,000

Interest cost                       74,000     Annual contribution   226,000

Benefits paid                   (97,000 )     Benefits paid              (97,000 )

Balance,December 31   $996,000   Balance, December 31  $710,000

The long-term expected rate of return on plan assets is 8%. Assuming no other data are relevant, what is the pension expense for the year

From the information given;we have the plan assets to be $530000

the expected rate of return on plan assets = 8%

therefore

expected return on the plan assets = 8%  × $530000

expected return on the plan assets = 0.08  × $530000

expected return on the plan assets = $42400

The pension expense for the year can be determined by the formula:

pension expense = service cost + interest cost - expected return on plan

                                assets.

pension expense = $(369000 + 74000 -42400)

pension expense =  $(443000 - 42400)

pension expense =  $400600

Sosa Company reported net income of $190,000 for 2017. Sosa Company also reported depreciation expense of $35,000 and a loss of $5,000 on the disposal of plant assets. The comparative balance sheets show an increase in accounts receivable of $15,000 for the year, a $17,000 increase in accounts payable, and a $4,000 increase in prepaid expenses.
Prepare the operating activities section of the statement of cash flows for 2017. Use the indirect method.

Answers

Answer:

$228,000

Explanation:

Preparation of the operating activities section of the statement of cash flows for 2017 for Sosa Company

Sosa Company operating activities section of the statement of cash flows for 2017

Net income $190,000

Add:Depreciation expenses $35,000

Loss on disposal of plant assets $5,000

Increase in accounts payable $17,000

Less: Increase in accounts receivable($15,000)

Increase in prepaid expenses ($4,000)

Net cash flow of the operating activities $228,000

Therefore the operating activities section of the statement of cash flows for 2017 for Sosa Company will be $228,000

Profit or Loss on New Stock Issue Security Brokers Inc. specializes in underwriting new issues by small firms. On a recent offering of Beedles Inc., the terms were as follows: Price to public: $5 per share Number of shares: 3 million Proceeds to Beedles: $14,000,000 The out-of-pocket expenses incurred by Security Brokers in the design and distribution of the issue were $340,000. What profit or loss would Security Brokers incur if the issue were sold to the public at the following average price? $5 per share? Use minus sign to enter loss, if any. $ $6.25 per share? Use minus sign to enter loss, if any. $ $4.25 per share? Use minus sign to enter loss, if any.

Answers

Answer and Explanation:

The computation of profit or loss is shown below:

The formula used is

= (Price × number of shares) - proceeds to Beedles - out of pocket expenses

a. For $5 per share

= ($5 × 3 million shares) - $14,000,000 - $340,000

= $15,000,000 - $14,000,000 - $340,000

= $660,000

b. For $6.25 per share

= ($6.25 × 3 million shares) - $14,000,000 - $340,000

= $18,750,000 - $14,000,000 - $340,000

= $4,410,000

c. For $5 per share

= ($4.25 × 3 million shares) - $14,000,000 - $340,000

= $12,750,000 - $14,000,000 - $340,000

= -$1,590,000

Mathew bought a home for $245,000 using a 20% down payment. He obtained a 30-year fixed-rate mortgage at six percent (6%)for the remainder of the funds. His monthly principal and interest payment is $1175.12. What will the principal balance on the mortgage be after the second payment is made?

Answers

Answer:

Principal Balance at the end of the second payment or year:

$198,350.24

Explanation:

Schedule

    start principal  start balance   interest end balance end principal

1    $196,000.00  $196,000.00  $11,760.00 $208,935.12 $197,175.12

2   $197,175.12    $208,935.12   $12,536.11 $222,646.35 $198,350.24

Cost of Home  =      $245,000

less down payment  = 49,000 (20% of $245,000)

Starting principal =  $196,000

At each calendar year-end, Mazie Supply Co. uses the percent of accounts receivable method to estimate bad debts. On December 31, 2017, it has outstanding accounts receivable of $55,000, and it estimates that 2% will be uncollectible. Prepare the adjusting entry to record bad debts expense for year 2017 under the assumption that the Allowance for Doubtful Accounts has: (a) a $415 credit balance before the adjustment. (b) a $291 debit balance before the adjustment.

Answers

Answer:

Mazie Supply Co.

Adjusting entries under the assumptions that the allowance for doubtful accounts has:

a) A $415 credit balance before the adjustment:

Debit Bad Debts Expense $685

Credit Allowance for Doubtful Accounts $685

To record the bad debts expense for the year.

b) A $291 debit balance before the adjustment:

Debit Bad Debts Expense $1,391

Credit Allowance for Doubtful Accounts $1,391

To record bad debts expense and bring the allowance for doubtful accounts to a balance of $1,100.

Explanation:

a) Accounts Receivable outstanding = $55,000

Uncollectible estimate of 2% =     $1,100

b) With a credit balance of $415, the balance will be brought to $1,100 with an adjusting amount of $685 ($1,100 - $415).,

c) With a debit balance of $291, the balance will be brought to $1,100 with an adjusting amount of $1,391 ($1,100 + 291).

d) When the allowance for doubtful accounts has a credit balance, the bad debts expense is calculated as the difference between the new balance and the old credit balance.  But, if the allowance for doubtful accounts has a debit balance, the bad debts expense would be the addition of the estimated allowance and the debit balance.  These actions will respectively bring the balance of the allowance for doubtful accounts to the new estimated balance.

A. Suppose the wages of computer-factory workers rises. This will cause (the supply / the demand) of tablet computers to (shift in / shift out) , causing tablet computer price to (rise / fall) and quantity to (rise / fall) .
B. Suppose the price of notebook computers (a substitute for tablets) falls. This will cause (the supply / the demand) of tablet computers to (shift in / shift out) , causing price of tablet computers to (rise / fall) and quantity to (rise / fall) .
C. Suppose the number of tablet computer manufacturers rises. This will cause (the supply / the demand) the supply the demand of tablet computers to (shift in / shift out) , causing price to (rise / fall) and quantity to ( (rise / fall) .
D. Suppose an exciting new game is released that is only available on tablet computers. This will cause the supply / the demand the supply the demand for tablet computers to (shift in / shift out) , causing tablet computer price to (rise / fall) and quantity to (rise / fall) .
E. Suppose the prices for popular apps (complements to tablet computers) rise. This will cause (the supply / the demand) the supply the demand of tablet computers to (shift in / shift out) , causing tablet computer price to (rise / fall) and quantity to (rise / fall) .

Answers

Answer:

Supply, shift in , rise fall

the demand, shift in, fall ,fall

supply , shift out fall, rise

the demand , shift out rise rise

the demand shift in fall fall

Explanation:

If the wages of factory worker increases, it becomes more expensive to hire workers, the cost of production increases and the demand for labour would fall. as a result, production would fall and the supply of tablets would fall. a decrease in supply leads to an inward shift of the supply curve. as a result of the fall in supply, quantity would fall and there would be a rise in price.

Substitute goods are goods that can be used in place of another good. If the price of notebooks falls, it becomes cheaper to purchase notebooks, so the quantity demanded of notebooks would rise and the demand for tablets would fall since it is cheaper to buy a tablet. the demand curve for tablets would shift in as a result of the fall in demand. As a result, price and quantity of tablets would fall.

Increase in the number of manufactures would lead to an increase in supply. this would cause a rise in the supply of tablets. when there is a rise in supply, the supply curve shifts out, prices fall and quantity increases.

the new game would increase demand for tablets because people would be interested in playing the game. as a result of the rise in demand, the demand curve would shift out, the quantity would rise and prices would rise

A complement is a good that is consumed together with another good. if the price of apps rise, it would become more expensive to buy apps as result the demand for tablets would fall. the demand curve would shift in and price and quantity would fall

When Supply, shift in, rise fallThen the demand, shift in, fall, fallAfter that supply, shift outfall, riseThen the demand, shift out the rising riseThen the demand shift in fall fallDemand and supply

When the wages of factory worker increases, it becomes more expensive to hire workers, also the cost of production increases, and also the demand for labor would fall. as a result, when the production would fall also the supply of tablets would fall. when a decrease in supply leads to an inward shift of the supply curve. Although as a result of the fall in supply, the quantity would fall, and also there would be a price rise.

When Substitute goods are goods that can be used in place of another good. also If the price of notebooks falls, it becomes cheaper to purchase notebooks, so the quantity demanded of notebooks would rise, and also the demand for tablets would fall since it is cheaper to buy a tablet. the demand curve for tablets would shift in as a result of the fall in demand. So As a result, the price and also the number of tablets would fall.

When Increase in the number of manufacturers would lead to an increase in supply. this would cause a rise in the supply of tablets. when there are a rise in supply, the supply curve shifts out, prices fall, and also quantity increases.

When the new game would increase demand for tablets because people would be interested in playing the game. So as a result of the rise in demand, the demand curve would shift out, the quantity would rise and also prices would rise

Thus A complement is a good that is consumed together with another good. if the price of apps rises, it would become more expensive to buy apps as a result the demand for tablets would fall. Then the demand curve would shift in and price and also quantity would fall

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Epic Company earned net income of $784,000 this year. The number of common shares outstanding during the entire year was 420,000, and preferred shareholders received a $28,000 cash dividend. Compute Epic company's basic earning per share.

Answers

Answer:

The answer is $1.8/share

Explanation:

Basic Earnings Per Share (EPS)= (Net income - preferred shars) ÷ weighted number of outstanding shares

Net income - $784,000

Preferred shares - $28,000

Weighted number of outstanding shares - 420,000 shares

($784,000 - $28,000) ÷ 420,000 shares

= $756,000 ÷ 420,000 shares

= $1.8 per share.

This means that each shareholder has $1.8 per share from the net income of $784,000

If actual sales totaled $450,000 for the current year (30,000 units at $15 each) and planned sales were $540,000 (45,000 units at $12 each), the difference between actual and planned sales due to the unit price factor is a.$180,000. b.$45,000. c.$90,000. d.$225,000.

Answers

Answer:

Option B, $45,000, is the right answer.

Explanation:

Given actual sales = $450000

Actual units that is sold = 30000 units

Actual selling price = $15 per unit

Planned sales = $540000

Planned units = 45000

Planned selling price = $12 per units.

The difference between actual and planned sales due to unit price factor = change in units × change in price

= (45000 – 30000) × (15 – 12)

= $45000

Thus option B is correct.

assuming it is stored safely how long after It was prepared can refrigerated food be sold or served 1-7 days b-10 days c-14 days d-20 days

Answers

Answer:

1-7 days

Explanation:

But, ideally 4 days should be the maximum for prepared food to be refrigerated before it is sold or served.

Leaving food refrigerated for a long time makes it to lose its nutrients.  Some foods like potatoes, meat, eggs, chicken, etc. can become harmful or poisonous, especially when you reheat them before eating.  That is why it is right to adhere to proper routines for refrigerating food and also preparing and serving the food.  Some healthy food are better eaten immediately after their preparation.

Tristan refuses to let Marla list his property on the MLS, even though Marla told him that more exposure to the property will generate more potential buyers. Which two fiduciary duties are at odds in this situation

Answers

Answer: a. Reasonable skill and care and obedience

Explanation:

The Fiduciary responsibility of Reasonable Skill and Care charges that professionals in a contract should give the same level of skill and care that another competent member of the profession will be able to give. Essentially, Professionals should do their best in a contract to execute it. Marla needs to exercise this fiduciary responsibility by listing Tristan's property on the MLS so that it is sold faster.

However, this will go against her other Fiduciary Responsibility to Tristan, that of Obedience. Tristan's wishes as the client are supposed to be listened and adhered to. Marla is supposed to follow Tristan's directives and remain faithful to them. His directive in this scenario is that Marla does not register the property on the MLS and Marla needs to follow this.

The two fiduciary duties are at odds in this situation are therefore those of Reasonable skill and care and Obedience.

A company purchases equipment for $32,000 cash. This transaction should be shown on the statement of cash flows under:________

a. operating activities
b. investing activities
c. noncash investing and financing activities
d. financing activities

Answers

Answer:

b. investing activities

Explanation:

Cash flow can be defined as the net amount of cash and cash-equivalents that is flowing into (received) and out (given) of a business. There are three components of the cash flow;

1. Operating cash flow: all cash generated from the business activities of an organization.

2. Financing cash flow: all payments made by an organization and profits from issuance of debts and equity.

3. Investing cash flow: costs associated with purchasing of capital assets and investments of cash resources in other businesses.

A company purchases equipment for $32,000 cash. This transaction should be shown on the statement of cash flows under investing activities.

Generally, investing activities comprises of purchasing physical assets, investing in securities and the sale of assets or securities associated with the company.

Hence, a company that purchases equipment for $32,000 cash should show the transaction on the statement of cash flows under investing activities.

Suppose that Best National Bank currently has $150,000 in demand deposits and $97,500 in outstanding loans. The Federal Reserve has set the reserve requirement at 10%.
Reserves=
Required Reserves=
Excess Reserves=

Answers

Answer:

Reserves = $52,500

Required Reserves = $15,000

Excess Reserves = $37,500

Explanation:

Reserves of a bank refers to deposits held by the bank that have not be given out as loan. It is deposits minus loan. Reserves of the Best National Bank can therefore be calculated as follows:

Reserves = Demand deposits - Outstanding loans = $150,000 - $97,500 = $52,500

Required Reserves refers to the portion of the deposits of a bank that is legally required by the regulatory to be kept as reserves that cannot be loaned out by the bank. Required Reserves of Best National Bank can be calculated as follows:

Required Reserves = Demand deposits * Reserve requirement = $150,000 * 10% = $15,000

Excess Reserves refers to the reserves held by a bank in excess of its required required reserves. Therefore, excess reserves can be given out as loan by the bank. It is can be calculated as reserve minus required reserve for Best National Bank as follows:

Excess Reserves = Reserves - Required Reserves = $52,500 - $15,000 = $37,500

Based on the above, we have the following for Best National Bank:

Reserves = $52,500

Required Reserves = $15,000

Excess Reserves = $37,500

The market price of a share of common stock at the time of issuance was $17.00, while the market price of a preferred share of stock at the time of issuance was $26.50. The company paid $11.50 per share for its treasury stock. Required: Determine the missing amount in the stockholders' equity section of the balance sheet set forth below. (Input all amounts as positive values.)

Answers

The correct answer is $55

Explanation:

Jeffreys Company reports depreciation expense of $40,000 for Year 2. Also, equipment costing $240,000 was sold for a $10,000 loss in Year 2. The following selected information is available for Jeffreys Company from its comparative balance sheet. Compute the cash received from the sale of the equipment. At December 31 Year 2 Year 1 Equipment $510,000 $750,000 Accumulated Depreciation-Equipment 328,000 500,000 A. $18,000. B. $28,000. C. $62,000. D. $58,000. E. $38,000.

Answers

Answer:

Computation of cash received from the sale of the equipment:

D. $58,000.

Explanation:

Computation:

Sale of Equipment Account

Equipment account   $240,000

less acc. depreciation  172,000

Net book value           $68,000

less loss on sale            10,000

Cash received            $58,000

Equipment Account

Year 1 balance         $750,000

Year 2 balance           510,000

Sale of equipment  $240,000

Accumulated Depreciation:

Year 1 balance         $500,000

Year 2 balance          328,000

Sale of equipment   $172,000

b) The sale of the equipment caused a loss of $10,000.  The net book value of the equipment is $68,000.  This implies that it was sold for $58,000 ($68,000 - $10,000).  So, the cash received from the sale is $58,000.

Suppose that you just short sold 100 shares of XYZ stock for $79.00 per share. a. If the initial margin requirement is 60%, how much equity must you invest?

Answers

Answer:

$4,740

Explanation:

Equity to invest = Initial margin × shares short sold × Value of stock sold per share

= 60% × 100 × $79

= $4,740

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