On January 1, a company issues bonds dated January 1 with a par value of $730,000. The bonds mature in 3 years. The contract rate is 10%, and interest is paid semiannually on June 30 and December 31. The bonds are sold for $718,000. The journal entry to record the first interest payment using straight-line amortization is:
a. Debit interest expense $38,500; credit discount on bonds payable $2,000; credit cash $36,500
b. debit interest payable $36,500; credit cash $36,500
c. debit interest expense $36,500; credit premium on bonds payable $2,000; credit cash $34,500
d. debit interest expense $36,500; credit cash $36,500
e. debit interest expense $34,500; debit discount on bonds payable $2,000; credit cash $36,50

Answers

Answer 1

Answer:

a. Debit interest expense $38,500; credit discount on bonds payable $2,000; credit cash $36,500

Explanation:

As the bonds are sold less than the face vaue then it is said the bonds are issued on discount, we need to calculate the discount on the bond

Discount on the bond = Face value of bond - Issuance value of bond = $730,000 - $718,000 = $12,000

The discount will be amortized over the life of the bond

The first interest and its amortization is as follow

Cash Payment = Face value x Coupon rate x Semiannual fraction = $730,000 x 10% x 6/12 = $36,500

Amortization of discount on bond = Discount on Bond / Total Numbers of periods = $12,000 / ( 3 years x 2 payment period per year ) = $2,000 per eperiod

The cash will be credited by $36,500

The bond liability will be credited by $2,000

Hence the interest exepense will be debited by $38,500 ( $36,500 + $2,000 )


Related Questions

Consider the following financial statements about DANIEL Co. for the current year 2015
I/S for the year ended Dec. 31, 2015
Sales $16,000
CGS 10,000
Operating expenses 4,000
Profit from operations (EBIT) 2,000
Interest expense 200
EBT 1,800
Tax expense 600
NI $ 1,200
Additional information:
Operating expenses include $150 of depreciation expense and a $200 impairment loss on equipment.
A/R increased by $380
Inventory decreased by $100
Prepaid expenses related to operating expense increased by $80
A/P decreased by $360
Accrued liabilities related to operating expenses decreased by $180
Interest payable decreased by $20
Unearned revenue received from customers decreased by $34
Income tax payable increased by $40
Required:
Prepare CFO section of the cash flow statement under the (a) DIRECT (12 marks);
and (b) INDIRECT methods (8 marks)

Answers

Answer:

a.  For the Year Ended December 31, 2015

Cash flows from operating activities:  

Cash received from customers                15586

Cash paid to suppliers                              -10260  

Cash paid for operating expenses           -3910

Cash paid for interest                                -220

Cash paid for income taxes                       -560

Net cash flow from operating activities      636

Working:

Sales                                                       16000

Less: Increase in accounts receivable -380

Less: Decrease in unearned revenue   -34

Cash received from customers             15586

Cost of goods sold                                 10000

Add: Decrease in accounts payable      360

Less: Decrease in inventory                    -100

Cash paid to suppliers                             10260

Operating expenses                                 4000

Less: Noncash expenses  

Depreciation expense                                -150

Impairment loss                                          -200

Cash operating expenses                          3650

Add: Increase in prepaid expenses           80

Add: Decrease in accrued liabilities           180

Cash paid for operating expenses             3910

Interest expense                               200

Add: Decrease in interest payable  20

Cash paid for interest                      220

Income tax expense                               600

Less: Increase in income tax payable   -40

Cash paid for income taxes                   560

(b)        Partial Cash Flow Statement (Indirect Method)

             For the Year Ended December 31, 2015

Cash flows from operating activities

Net income                                                  1200

Adjustments to reconcile net

income to operating cash flows:  

Depreciation expense                   150  

Impairment loss                              200  

Increase in accounts receivable -380  

Decrease in inventory                     100  

Increase in prepaid expenses       -80  

Decrease in accounts payable      -360  

Decrease in accrued liabilities       -180  

Decrease in interest payable         -20  

Decrease in unearned revenue      -34  

Increase in income tax payable      40              -564

Net cash flow from operating activities          636

2. ¿En qué nueva fase ingreso la Administración de las empresas?

Answers

Answer:

gg

Explanation:

hdsjesjtcgl

Martha is an 88-year-old legally blind widow. The assessed value of her condominium is $49,500. What is the total property tax exemption on her homesteaded property

Answers

The total property tax exemption on her homesteaded property will be $26,000.

What is total property tax exemption?

Generally, adult that are aged 65, older or disabled are qualified for the tax exemption on the date you become age 65 or disabled.

In conclusion , because her assessed value of her condominium is $49,500, then, she is entitled to a tax exemption on her homesteaded property up to $26,000.

Read more about tax exemption

brainly.com/question/25783927

Consequences of business policy

Answers

1. Management Should formulate business that are favorable to the interest of the society. By doing this its also promoting its own business interest. Cleary a business organization cannot operate within the a sick society.

2. •Products are adulterated. •Political bribery •Illegal gifts • and other illegal incentives.

3. Consumers are generally weak to fight such as negative business activities, particularly among the poor countries. Consumers in the rich countries are more vigilance against business abuses.

4. Management must consider the impact of every business action upon society. It has to consider whether the action is likely to promote the public good, to advance the basic beliefs of our society, to contribute to its stability, strength and harmony

5. •Should you have a partner? •What type of business organization is the best for you? •Laws that may affect you? •How can your professional help you?

6. The profit factor is a vital element of business. The first responsibility of management is to operate at a profit.

7. Consumers tend to purchase more goods at lower price. And will they get more profit because more goods are bought.

- BRAINLIEST answerer

NBM common stock recently paid annual dividend in the amount of $2.25 per share. The analyst’s estimate of the firm’s growth forecast over the next 4 years is 18.00% and over 3 years after that of 16.5%. You expect the firm to slow down in the long run and estimate the long-term growth rate after 7 years to be 6.5%. If the required rate of return on the stock is 11%, what is your estimate of the stock price?

Answers

Using the dividend discount model with given growth rates and required rate of return, the estimated stock price for NBM common stock is calculated by discounting future dividends, resulting in the stock price.

To estimate the stock price of NBM common stock, we can use the dividend discount model (DDM) which calculates the present value of future dividends.

First, let's calculate the dividends for the next 7 years:

Year 1: $2.25 (given)

Year 2: $2.25 * (1 + 18%) = $2.655

Year 3: $2.655 * (1 + 18%) = $3.1399

Year 4: $3.1399 * (1 + 18%) = $3.7029

Year 5: $3.7029 * (1 + 16.5%) = $4.3177

Year 6: $4.3177 * (1 + 16.5%) = $5.0273

Year 7: $5.0273 * (1 + 6.5%) = $5.3485

Next, let's calculate the present value of these dividends using the required rate of return of 11%:

PV = D1 / (1 + r) + D2 / (1 + r)^2 + ... + D7 / (1 + r)^7

PV = $2.25 / (1 + 0.11) + $2.655 / (1 + 0.11)^2 + $3.1399 / (1 + 0.11)^3 + $3.7029 / (1 + 0.11)^4 + $4.3177 / (1 + 0.11)^5 + $5.0273 / (1 + 0.11)^6 + $5.3485 / (1 + 0.11)^7

Finally, summing up the present values, we can estimate the stock price:

Stock Price = PV

Calculating this equation will give the estimated stock price of NBM common stock.

For more such questions on common stock

https://brainly.com/question/29724384

#SPJ8

f Honduras is open to international trade in oranges without any restrictions, it will import
tons of oranges.
Suppose the Honduran government wants to reduce imports to exactly 100 tons of oranges to help domestic producers. A tariff of
$
per ton will achieve this.
A tariff set at this level would raise
$
in revenue for the Honduran government.

Answers

Suppose that Honduras is open to international trade in oranges without any restrictions, it will import an infinite amount of oranges. Therefore, the import of oranges can be limited through a tariff. The Honduran government wants to reduce imports to exactly 100 tons of oranges to help domestic producers.

A tariff of $720 per ton will achieve this. A tariff set at this level would raise $72,000 in revenue for the Honduran government.

Tariff: It is a tax imposed by a government on imported or exported goods. The main purpose of a tariff is to limit imports and protect domestic production and employment.

In this scenario, a tariff is imposed by the Honduran government to limit the import of oranges and help domestic producers. Therefore, if the tariff is set at $720 per ton, then it would reduce the imports of oranges to exactly 100 tons, which is the desired goal of the Honduran government.

Moreover, the tariff rate multiplied by the number of imports gives the amount of revenue raised by the Honduran government, which is $720 × 100 = $72,000. Thus, a tariff set at $720 per ton will raise $72,000 in revenue for the Honduran government.

For more questions on:  international trade

https://brainly.com/question/14926566

#SPJ8

To avoid accepting projects that actually should be rejected, a company should ignore intangible benefits in calculating net present value.

a. True

b. False

Answers

Answer:

false

Explanation:

Net present value is the present value of after-tax cash flows from an investment less the amount invested.  

Only projects with a positive NPV should be accepted. A project with a negative NPV should not be chosen because it isn't profitable.  

When choosing between positive NPV projects, choose the project with the highest NPV first because it is the most profitable.

Monetary amounts should be allocated to intangible benefits and incorporated into the calculation of NPV

Ever since Damien interned at an accounting firm the summer after his freshman year of college, he’s wanted to become a CPA working at a large firm. Now, several years later after graduating from college, passing the CPA exam, and working at medium-sized firm, he’s been offered a job at a large national firm with the potential to become a partner in five years. Which of the five needs has Damien attained?

Answers

The need from Maslow's Hierarchy of Needs that has been accomplished is the esteem needs.

Maslow's Hierarchy of Needs simply refers to the theory of motivation that implies that there are certain needs that affect the behavior of a person.

Maslow's Hierarchy of Needs include:

Physiological needsSafety needsLove and belonging needsEsteem needsSelf-actualization needs

Based on the information given, Damien has attained the esteem needs. This includes self-worth, respect, recognition, and reputation. Since Damien is wanted to become a CPA working at a large firm, he's in the fourth stage which is esteem needs.

Read related link on:

https://brainly.com/question/24988735

explain the peripheral functions of management ​

Answers

Answer:

Explanation:

The peripheral functions of management refer to the additional activities that support the primary functions of planning, organizing, leading, and controlling. These peripheral functions include activities such as communication, decision-making, problem-solving, and coordination. They play a crucial role in ensuring effective management by facilitating information flow, resolving issues, making informed choices, and promoting collaboration among team members. While not the core functions, these peripheral activities are essential for the overall success and efficiency of an organization.


Hope it helps!

Doug Stamper just received an insurance settlement offer related to an accident he had several years ago. The offer gives Stamper a choice of one of the following three offers (payments are at the end of the period):

Option A: $2,000 per month for 84 months
Option B: $1,100 per month for 15 years
Option C: $125,000 lump sum today

Stamper can earn 6 percent on his investments. He does not care if he personally receives the funds or if they are paid to his heirs should he die within the settlement period. Which one of the following statements is CORRECT given this information?

a. Option B is the best choice because you will receive the most payments.
b. Option A is the best choice because it has the largest present value.
c. Option A is the best choice as it provides the largest monthly payment.
d. Option C is the best choice because it has the largest present value.
e. Option B is the best choice because it pays the largest total amount.

Answers

Answer:

Doug Stamper

The CORRECT statement is:

b. Option A is the best choice because it has the largest present value.

Explanation:

a) Data and Calculations:

Option A: $2,000 per month for 84 months is worth PV = $136,906.08:

N (# of periods)  84

I/Y (Interest per year)  6

PMT (Periodic Payment)  2000

FV (Future Value)  0

 

Results

PV = $136,906.08

Sum of all periodic payments $168,000.00

Total Interest $31,093.92

Option B: $1,100 per month for 15 years is worth PV = $130,353.87:

N (# of periods)  180

I/Y (Interest per year)  6

PMT (Periodic Payment)  1100

FV (Future Value)  0

Results

PV = $130,353.87

Sum of all periodic payments $198,000.00

Total Interest $67,646.13

Option C: $125,000 lump sum today is equal to PV.

design an approach that your team would recommend for Joseph and Nicholas to cover one area each that you deem necessary to aid in the planning and controlling functions

Answers

The combines strategic planning, performance measurement, effective communication, and continuous improvement to support Joseph and Nicholas in their planning and controlling functions. It ensures a well-defined direction, data-driven decision-making, collaboration, and a focus on growth and adaptability.

In order to aid in the planning and controlling functions, the following approach can be recommended to Joseph and Nicholas:

1. Establish Clear Objectives and Goals: The first step in planning is to establish clear objectives and goals for the team. It is important to have a clear understanding of what needs to be accomplished and what the team's priorities are.

2. Assign Responsibilities: Assigning specific responsibilities to team members helps to ensure that everyone is working towards a common goal. Joseph and Nicholas should each be assigned to cover one area that is necessary for planning and controlling functions. This will help to ensure that all aspects of the project are covered and that there is no overlap or duplication of efforts.

3. Develop a Schedule: Developing a schedule that outlines the key milestones and deadlines for the project is essential to effective planning and control. This will help to ensure that the project stays on track and that deadlines are met.

4. Monitor Progress: Regularly monitoring progress against the schedule and objectives is necessary to ensure that the project is progressing as planned. This will help to identify any issues or problems that arise and allow for corrective action to be taken.

5. Communicate: Effective communication is critical to the success of any project. Joseph and Nicholas should establish a regular communication schedule to ensure that everyone is up-to-date on the project's progress, any issues or problems that arise, and any changes to the schedule or objectives.

6. Make Adjustments: Finally, it is important to be flexible and make adjustments as needed. If the project is not progressing as planned, adjustments may be necessary to the schedule or objectives to ensure that the project stays on track and that goals are met.

for more question on adaptability

https://brainly.com/question/26810727

#SPJ8

1) Nuru Meda Golf and Driving Range plc was opened on March 1 by Nuru. The following selected events and transactions occurred during March.
Mar. 1 Invested Br.120,000 cash in the business in exchange for ordinary shares.
3 Purchased Mechare Meda’s Golf Land for Br. 76,000 cash. The price consists of land Br. 20,000, building Br. 44,000, and equipment Br. 12,000. (Make one compound entry.)
5 Advertised the opening of the driving range and miniature golf course, paying advertising expenses of Br. 3,200.
6 Paid cash Br. 2,480 for a 1-year insurance policy.
10 Purchased golf equipment for Br.5,000 from Young Company, payable in 30 days.
18 Received golf fees of Br.2,400 in cash.
25 Declared and paid a Br.2,000 cash dividend. 30 Paid salaries and wages of Br.1,800.

30 Paid Young Company in full.
31 Received Br. 1,500 of fees in cash.
Snyder uses the following accounts: Cash, Prepaid Insurance, Land, Buildings, Equipment, Accounts Payable, Share Capital—Ordinary, Dividends, Service Revenue, Advertising Expense, and Salaries and Wages Expense.
Instructions
● Journalize the March transactions.

Answers

Nuru Meda Golf and Driving Range plc were opened on March 1 by Nuru. The selected events and transactions occurred during March.

How can the events be made into compound entries?

The following compound entry can be made to account for the events and transactions that occurred during March: Debit Credit Cash 120,000 Land 20,000 Buildings 44,000 Equipment 12,000 Accounts Payable 5,000 Share Capital—Ordinary 120,000 Dividends 2,000 Service Revenue 2,400 Advertising Expense 3,200 Prepaid Insurance 2,480 Salaries and Wages 1,800 Fees 1,500

This compound entry records the initial investment of cash into the business, the purchase of Mechare Meda’s Golf Land, the payment of advertising expenses, the purchase of golf equipment on credit, the receipt of golf fees in cash, and the declaration and payment of a cash dividend.

The payment of salaries and wages, and the receipt of fees in cash.

Learn more about March, here:

https://brainly.com/question/3858365

#SPJ1

The owner of Kat Motel wants to develop a time standard for the task of cleaning a cat cage. In a preliminary study, she observed one of her workers perform this task six times, with the following results:

Observation

1

2

3

4

5

6

52

Time (seconds)

27

30

54

69.8

98

What is the standard time for this task if the employee performance rating is 5.9% percent, and an allowance of 10.8 percent of job time is used?

seconds

Answers

Given: 1 2 3 4 6 Observation Time 5 93 99 87 90 81 90. Observed Time = Average of 6 samples -> ( 99+87 + 90 + 81 +  93 + 90 )/6 = 90. This observed time is at 50% faster rate. Hence Normal Time would be 90*3/2 = 135 seconds.

Standard Time : The standard time for a job can be obtained by multiplying the normal time by an appropriate allowance factor. Hence Standard Time = 135*1.1 = 148.5 ~ 150 seconds.

The synchronisation of clocks inside an area of geography to a single time standard, instead of a local mean time standard, is known as standard time. In general, standard time agrees with local mean time at a few meridian that passes through the area, usually near the centre. Standard time was established in the nineteenth century to help with weather forecasting as well as train travel. Geographical regions became time zones when they were applied globally in the twentieth century.

Learn more about time, here:

https://brainly.com/question/31732120

#SPJ1

Ann bell borrowed $12,000 at a 7% interest rate for two years. After two years, what is the total repayment amount?

Answers

Answer:

The total amount for repayment is $13,738.8

Explanation:
Amount to be repaid after x years=Principle amount *(1+(interest/100))^x

Using this, interest=7; x=2;

Amount to be repaid comes out to be 12000*(1.07)^2
i.e. 13,738.8.

analyze transaction using t-account:
She invested cash of P500,000 and Furniture
and Fixtures of P175,000.

Answers

Effects of transactions:

Dr. Pajanustan invested cash and furniture and fixtures to start the consultancy firm.

The firm purchased a computer, office supplies, accounting software, and equipment, incurring both cash payments and credit.

The firm provided tax services and seminars, earning cash.

The firm paid for staff salaries, rent, utilities, and personal withdrawals by the owner.

The firm made payments on credit purchases and received payments from clients on credit.

The firm incurred expenses for supplies and returned defective furniture.

Copy clear format:

The transaction details are provided in a clear and organized manner.

T-Account:

T-accounts are a visual representation of individual account balances, showing debit and credit entries.

For example, the account for Cash would have debit entries for payments made and credit entries for cash received, resulting in a final cash balance.

Similarly, accounts for accounts payable, accounts receivable, and owner's equity would reflect the changes in their balances due to the transactions.

Journal Entries:

Journal entries are the recording of the transactions in a company's books of accounts, typically in a general journal.

Each transaction would be recorded as a debit to one account and a credit to one or more accounts, depending on the nature of the transaction.

Posting to the Ledger:

Posting to the ledger is the process of transferring the journal entries to the individual accounts in the ledger.

The ledger is where all the account balances are recorded and updated.

The ledger account would be updated with the debit and credit entries from the journal entry, resulting in an updated account balance.

Trial Balance:

A trial balance is a listing of all the accounts and their balances, used to ensure that the total debits equal the total credits.

A trial balance provides assurance that the entries made in the general ledger are mathematically accurate, and can be used to identify errors.

Income Statement:

An income statement, also known as a profit and loss statement, presents the revenues and expenses of a company over a certain period of time, typically one month or one year.

The difference between the revenues and the expenses gives the profit or loss of the company for that period of time.

It is important to note that this information provided is based on the given transactions, and may not reflect the actual process of journal entries, posting to ledger, trial balance, and income statement. Also, to generate a specific financial statement, further classification and adjustments entries would be need it to be done.

Write in brief the programmes that the Nepalese universities run

Answers

Answer:

Explanation:

The FoM offers various programs like Bachelor of Business Studies (BBS), Bachelor of Business Administration (BBA), Bachelor of Business Administration in Finance (BBA-F), Bachelor of Travel and Tourism Management (BTTM), Bachelor of Hotel Management (BHM), Bachelor of Information Management (BIM), Bachelor of Business ...

What are three advantages and three disadvantages of globalization

Answers

Living dying survival food water animals according to my ficisallogu Shri

HELP ASAP
Bank auditing is mainly done to
(Select all that apply.) Multiple choice
A. Curb money laundering
B. Insure deposits for all customers
C. Stop international finance crimes
D. Prohibit electronic trading arbitrage

Answers

A, B, C, D. That all

NEED HELP ASAP!! 30 points AND I WILL MARK YOU BRAINLIEST!!

1. Based on your knowledge of the Stock Market; how do stocks represent ownership in a company, and what determines the price of a stock?

2. Considering your previous knowledge of investing; please name three notable forms of investing money and construct a comparison of how they differ from each other.

3. You have just received your paycheck from Chick-Fil-A. You go to the bank to deposit your check in the amount of $120.00 to your bank account. The teller issues you a deposit slip. Upon leaving the bank, you go to Target. There you see a pair of jeans you like on sale for $30.00 from the usual $40.00. You decide it’s a great deal and purchase the jeans. You give the cashier your debit card to pay for the purchase and the jeans become yours. Using this scenario, please discuss how the three uses of money are being utilized. Please be specific about each use and which step in this scenario represents each use.

Answers

Answer:

1. Stocks are held by equity owners.  The equity owners are the common stockholders and the preferred stockholders, who have some preference over the common stockholders.  Because of this preference which reduces their risk exposure, preferred stockholders are regarded as part-owners, leaving the common stockholders to be the ultimate, risk-bearing owners.  Therefore, their level of participation in the distribution of profits is higher than the preferred stockholders.

Another way to differentiate stockholders as owners of a company is to look at debt holders.  These are regarded as creditors to the company.  They finance the company for some fixed interest.  They do not participate in profit sharing.  They are different from the stockholders, who may be preferred stockholders or common stockholders.

1b. The price of a stock is initially fixed by the company when the par or stated price is determined.  When the stock goes public and issued in the stock exchange, the price is then determined by the market forces of supply and demand.  The stock price can also be determined by the book value of the company divided by the outstanding shares.

2. Three notable forms of investing money are:

a) Buying a company's stocks

b) Investing in bonds

c) Investing in Government-backed treasury bills or bank savings

b) Comparison

                                  Stocks                     Bonds               Treasury/Savings

1. Term period          Permanent               Long-term         Short-term

2. Returns                 Dividend /capital     Fixed interest    Fixed interest

                                   appreciation

3. Risk profile           High                          Limited               Low

3. The three uses of money:

a. To pay and receive wages: Chick-Fil-A, where you work give you your paycheck in the amount of $120.00. There is an exchange with cash for labor.

b. To save in the bank: You deposit your check in the bank and the bank credits your debit card account in the sum of $120.  There is an exchange with cash for a debit card.  The debit card is equivalent to the cash in bank deposit.

c. To pay for goods and services: You buy the pair of jeans for $30 using your debit card, which the cashier debits accordingly.  There is an exchange of cash for the jeans.

Explanation:

Money is a means of exchange for goods and services.  It can also be invested in stocks, bonds, or savings to earn some form of interests.

QUESTION 5 of 10: True or False: The operations manager is involved primarily with supply network design. O a) True Ob) False​

Answers

Answer:

true

Explanation:

An operations manager is a person who is involved with the supply network design which is also known as strategic supply chain planning. Thus, the given statement is true.

What is supply network design?

The process of constructing and modeling a supply chain in order to fully understand the expenses and time associated with bringing items to market with the resources and locations available is known as supply chain network design.

Operations managers are in charge of product development and delivery, inventory and supply chain management, operations personnel and job design, and production are all under their control.

Therefore, The correct answer is Option a.

To learn more about Supply network design, refer to the link:

https://brainly.com/question/5004551

If the multiplier in an economy is 3, a $30 billion increase in net exports will

Answers

If the multiplier in an economy is 3, a $30 billion increase in net exports will increase GDP by $90 billion.

Using this formula

Increase in GDP=Economy multiplier ×Increase in net exports

Where:

Economy multiplier=3

Increase in net exports=$30 billion

Let plug in the formula

Increase in GDP=3×$30 billion

Increase in GDP=$90 billion

Inconclusion If the multiplier in an economy is 3, a $30 billion increase in net exports will increase Gross domestic product (GDP) by $90 billion.

Learn more here:

https://brainly.com/question/14454033

What is the purpose of consumer-advocacy groups?

to enforce consumer-protection regulations

to lobby the government for lower taxes

to promote the interest of consumers

to provide essential social services​

Answers

To promote the interest of consumers is the purpose of consumer-advocacy groups. Actions performed by people or organizations to advance and defend the interests of the buying public are referred to as consumer advocacy.

Most countries have implemented legislation to safeguard customers against unsafe or subpar craftsmanship, dishonest sales tactics, and deceptive advertising. Consumer advocacy, movements, or laws that protect consumers' interests by regulating the goods, services, practices, and expectations of producers, merchants, and advertising.

Protecting the interests of the consumer or buyer is the goal of consumer advocacy groups. These organizations use a variety of tactics to expose companies that engage in unfair business practices or sell dangerous goods. These tactics include litigation, letter-writing campaigns, boycotts, and public relations. The Consumer Federation of America, which has 220 member groups, is the biggest consumer advocacy organisation in the United States.

Learn more about Consumer Advocacy Group here:

https://brainly.com/question/9784513

#SPJ1

A company with excess capacity must decide between scrapping or reworking units that do not pass inspection. The company has 19,000 defective units that cost $5.20 per unit to manufacture. The units can be a) sold as is for $2.50 each, or b) reworked for $4.80 each and then sold for the full price of $7.70 each.
What is the incremental income from selling the units as scrap and reworking and selling the units? Should the company sell the units as scrap or rework them? (Enter costs and losses as negative values.)

Answers

Answer:

If the company reworks the units, income will increase by $7,600 (55,100 - 47,500).

Explanation:

Giving the following information:

Number of units= 19,000

Sold as-is:

Selling price= $2.5

Rework:

Selling price= $7.7

Incremental income= $4.8

First, we will calculate the effect on income of both options:

Sold as-is:

Effect on income= 2.5*19,000= $47,500

Rework:

Effect on income= 19,000*(7.7 - 4.8)

Effect on income= $55,100

If the company reworks the units, income will increase by $7,600 (55,100 - 47,500).

As a sysadmin, you will find yourself doing business with a variety of third-party vendors. Which of these are likely to be rented or bought from a vendor? Check all that apply.

Answers

Available Options are:

Fax machines

Printers

Smartphones

Video or audio conferencing machines

Answer:

All of the above except Printers

Explanation:

The reason is that printers are very important part of administration work so its more likely that we already have one. However it is possible that we don't have any fax machine, smartphones and video or audio conferencing machines as these are rarely used by the administration. So Printers will not be bought oor rented.

Which term describes the reliance of different functional areas upon each other? O A. Interpretation B. Independence O C. Inclination D. Interdependence​

Answers

Answer:

D. Interdependence​

Explanation:

Interdependence is a condition of mutual dependence among people or things. It is a situation where two or more individuals, companies, or countries rely on one another in various aspects. A state where multiple parties depend on each other to thrive.

When different functions or departments depend on each other to succeed, they are said to be interdependent. It implies that a function is likely to fail if it opts to operate on its own.

The straight-line depreciation method and the double-declining-balance depreciation method: A. Produce the same depreciation expense each year. B. Are the only acceptable methods of depreciation for financial reporting. C. Are acceptable for tax purposes only. D. Produce the same total depreciation over an asset's useful life. E. Produce the same carrying amount or book valueeach year.

Answers

The relationship between the straight-line and double-declining-balance method is that they D. Produce the same total depreciation over an asset's useful life.

How are the straight-line and double-declining-balance methods related?

While they do not produce the same depreciation every year, they will eventually depreciate an asset in the same way overtime.

What this means is that both methods will depreciate an asset by the same amount at the end of the asset's life. However, the depreciation amounts will vary by method on an annual basis.

In conclusion, option D is correct.

Find out more on depreciation methods at https://brainly.com/question/26948130.

various states are trying to reduce the time and cost of settling vehicle injury cases. one alternative is

Answers

Several states are attempting to speed up and lower the cost of the settlement of auto accident lawsuits. Using the no-fault system is one option.

What is meant by cost?The term "cost" describes any expense a corporation faces when producing its products or rendering its services. It is essentially the amount of money businesses spend on buying and selling goods. The four main categories of costs are fixed costs, variable costs, direct costs, and indirect costs.Cost can mean a variety of things. It is the value of money that we spent to produce something in accounting, retail, research, and production. Therefore, it is no longer possible to use that money. In business, the phrase may refer to the sum of money used to purchase something.The three different forms of product costs labour, materials, and overhead as well as period costs are known as the Elements of Cost.

To learn more about cost, refer to:

https://brainly.com/question/28013522

#SPJ4

The MoMi Corporation’s income before interest, depreciation and taxes, was $2.7 million in the year just ended, and it expects that this will grow by 5% per year forever. To make this happen, the firm will have to invest an amount equal to 15% of pre tax cash flow each year. The tax rate is 30%. Depreciation was $330,000 in the year just ended and is expected to grow at the same rate as the operating cash flow. The appropriate market capitalization rate for the unlevered cash flow is 12% per year, and the firm currently has debt of $5 million outstanding. Use the free cash flow approach to calculate the value of the firm and the firm’s equity. (Enter your answer in dollars not in millions.)

Answers

Answer:

1. The value of the firm is $23,760,000

2. The value of the equity is $18.76m

Explanation:

In order to calculate the value of the firm we would have to use the following formula:

Value of firm = FCF1 / (r - g) = FCF0 x (1 + g) / (r - g)

Operating Cash Flows (OCF) = (EBITDA - Depreciation) x (1 - tax) + Depreciation

= (2,700,000 - 330,000) x (1 - 30%) + 330,000

= $1,989,000

Free Cash Flow (FCF) = OCF - Investment

We know that investment = 15% of EBITDA = 15% x 2,700,000 = 405,000

Current FCF = 1,989,000 - 405,000 = 1,584,000

Therefore, Value of the firm = 1,584,000 x (1 + 5%) / (12% - 5%) = $23,760,000

To calculate the value of equity we would have to use the following formula:

Value of equity = Value of Firm - Value of Debt = 23.76 - 5 = $18.76m

Answer:

Value of the firm                          $ 14550000.

Value of the firm's equity            $ 11550000.

Explanation:

Cash flow from operations = $ 1785000 (1700000 + 5 % of 1700000).

Depreciation = $ 241500. (230000 + 5 % of 230000).

Taxable income = $ 1543500 (1785000 - 241500)

Net income (after tax) = 1543500 - 30 % of 1543500 = $ 1080450.

Cash flow from operations (after tax) = 1080450 + 241500 (Depreciation, being non cash expense). = $ 1321950.

Free cash flow available = Cash flow from operations (after tax) - Income from investment.

= 1321950 - (1700000 * 17 % * 1.05)

= 1321950 - 303450.

= $ 1018500.

Value of the firm = Free cash flow available / (Capitalization rate - Growth rate)

= 1018500 / (0.12 - 0.05)

= 1018500 / 0.07

= $ 14550000.

Value of the firm's equity = Total value of firm - Value of debt of firm

= 14550000 - 3000000

= $ 11550000.

Conclusion :-

Value of the firm                          $ 14550000.

Value of the firm's equity            $ 11550000.

Scenario

Changing access controls can have some undesirable effects. Therefore, it is important to carefully consider changes before making them and provide mechanisms to reverse changes if they have unexpected consequences. Always Fresh management has asked you to develop procedures for changing any access controls. The purpose of these procedures is to ensure that staff:

Understand and document the purpose of each access control change request
Know what access controls were in place before any changes
Get an approval of change by management
Understand the scope of the change, both with respect to users, computers, and objects
Have evaluated the expected impact of the change
Know how to evaluate whether the change meets the goals
Understand how to undo any change if necessary

Required:
Create a guide that security personnel will use that includes procedures for implementing an access control change.

Answers

Answer:

Create a guide that security personnel will use that includes procedures for implementing an access control change.

Explanation:

The procedure guide must contain the steps Always Fresh security personnel should take to evaluate and

implement an access control change. You can assume any change requests you receive are approved.

Ensure that your procedures include the following:

▪ Status or setting prior to any change

▪ Reason for the change

▪ Change to implement

▪ Scope of the change

▪ Impact of the change

▪ Status or setting after the change

▪ Process to evaluate the change

Required Resources

▪ Internet access

▪ Course textbook

Submission Requirements

▪ Format: Microsoft Word (or compatible)

▪ Font: Arial, size 12, double-space

▪ Citation Style: Follow your school’s preferred style guide

Self-Assessment Checklist

▪ I created a procedure guide that provides clear instructions that anyone with a basic technical

knowledge base can follow.

▪ I created a well-developed and formatted procedure guide with proper grammar, spelling, and

punctuation.

▪ I followed the submission guidelines.

The owner of a bicycle repair shop forecasts revenues of $236,000 a year. Variable costs will be $69,000, and rental costs for the shop are $49,000 a year. Depreciation on the repair tools will be $29,000. Prepare an income statement for the shop based on thee estimates. The tax rate is 20%. Calculate the operating cash flow by using dollars in minus dollars out, adjusted accounting profits, after tax operating cash flow.

Answers

Answer:

A. $71,200

Bi)$100,200

Bii)$100,200

Biii)$100,200

Explanation:

A. Preparation of an income statement for the shop based on thee estimates

INCOME STATEMENT

Revenues $236,000

Expenses:

Variable costs $69,000

Rental cost $49,000

Depreciation $29,000

Total Expenses $147,000

Tax profit $89,000

($236,000-$147,000)

Less Income Tax (at 20%) $17,800

(20%*$89,000)

Net Income $71,200

($89,000-$17,800)

Therefore Net Income will be $71,200

bi) Calculation for the operating cash flow by using dollars in minus dollars out method

Using this formula

Operating cash flow=Revenue-Cash expenses-Taxes

Let plug in the formula

Operating cash flow=$236,000-($69,000+$49,000)-$17,800

Operating cash flow=$236,000-$118,000-$17,800

Operating cash flow=$100,200

Therefore the operating cash flow by using dollars in minus dollars out method will be $100,200

bii) Calculation of the operating cash flow by using adjusted accounting profits,

Adjusted accounting profit=$71,200+$29,000

Adjusted accounting profits=$100,200

Therefore the operating cash flow by using adjusted accounting profits will be $100,200

biii)Calculate the operating cash flow by using after tax operating cash flow

After tax operating cash flow=[$236,000-($69,000+$49,000)]*(1-0.20)+(0.20*$29,000)

After tax operating cash flow=($236,000-$118,000)*0.80+$5,800

After tax operating cash flow=($118,000*0.80)+$5,800

After tax operating cash flow=$94,400+$5,800

After tax operating cash flow=$100,200

Therefore the operating cash flow by using after tax operating cash flow will be $100,200

Other Questions
research has shown ____ often depends on one's current status, circumstances, and expectations.Research has shownA subjective well-beingB relative deprivationC. parasympathetic divisionD. evaluative aspect Which of the following best describes the term analysis?A. A decision or opinion about something.B. Putting together what you know to reach a decision. C. Looking at something in detail. pleasee please help me i beg im struggling with this question.. Look at the pictures and complete the sentences.Use the correct form of the past simple. Harpo Corp. bonds are trading at their par value of $1,000 and pay interest 1 time a year. If each interest payment is $15.50 what is Harpo corp's before tax component cost of debt?Round the answer to two decimals translate you (your best guy friend) are smart into French How does the speaker best support the claim that Kamehameha III was a good ruler in paragraph 3? A. with facts about the number of construction projects he completed B. with examples of the way his leadership benefited the people C. with examples of the military victories he achieved D. with facts proving an increase in peoples prosperity golden glass question 8: Reread lines 119-125. Explain what Ted's attitude toward working with stained glass reveals about his character. Write and find the general solution of the differential equation that models the verbal statement.The rate of change of P is proportional to P. When t=0,P=6,000 and when t=1,P=3,900. What is the value of P when t=4 ? Write the differential equation. (Use k for the constant of proportionality.) dP/dt= _____ Solve the differential equation. P = _____ Evaluate the solution at the specified value of the independent variable. (Round your answer to three decimal places.)_________ all of the following losses are subject to special limits of liability under the homeowners 3 policy except Andy's parents are Cuban citizens. Andy was born in Puerto Rico and after hurricane maria moved to Orlando Florida a. Andy is a us citizen based on the law of soil b. Andy is a us citizen based on the law of bloodc. Andy is a us citizen based on DACAd. Andy in not a us citizen Can someone answer these questions pls?? A triangle has perimeter 3a+11. One side is 2a and another side is 8. What is the third side? Find the dimensions and volume of the right circular cylinder of maximum volume inscribed in a sphere with a radius of 25 cm. write the relation between degree measure and grade measure of an angle When you hold a container, where should the label be? What causes rocks to change and form into new types of rocks? The top edge of the window is a semicircle. The distance across the window is 2.5 ft. What is the distance around the top edge of the window? Use 3.14 for , and round your answer to the nearest tenth.2.5 ft3.9 ft5 ft7.85 ft The total assets of bond mutual funds (in trillions of dollars) are approximated by f(x) = -2.48 + 1.482 ln(x) (x 10), where x = 10 corresponds to 2000.(a) What were the total assets in 2002?(b) What were the total assets in 2008? when these equations are added together, what will the overall equation be? assume that no equations need to be reversed.