Gala Company is a manufacturer of laptop computers. Various costs and expenses associated with its operations are as follows.The company intends to classify these costs and expenses into the following categories: (a) direct materials, (b) direct labor, (c) manufacturing overhead, and (d) period costs.For each item, indicate the cost category to which it belongs.ItemCategory1. Property taxes on the factory building. Period Costs Direct Materials Direct Labor Manufacturing Overhead Direct Materials and Manufacturing Overhead2. Production superintendents’ salaries. Period Costs Direct Materials and Manufacturing Overhead Direct Materials Manufacturing Overhead Direct Labor3. Memory boards and chips used in assembling computers. Manufacturing Overhead Direct Materials and Manufacturing Overhead Direct Labor Direct Materials Period Costs4. Depreciation on the factory equipment. Direct Materials Direct Materials and Manufacturing Overhead Direct Labor Manufacturing Overhead Period Costs5. Salaries for assembly-line quality control inspectors. Direct Materials and Manufacturing OverheadDirect MaterialsPeriod CostsDirect Labor or Manufacturing Overhead6. Sales commissions paid to sell laptop computers. Period CostsManufacturing OverheadDirect Materials and Manufacturing OverheadDirect LaborDirect Materials7. Electrical components used in assembling computers. Manufacturing OverheadDirect MaterialsPeriod CostsDirect Materials and Manufacturing OverheadDirect Labor8. Wages of workers assembling laptop computers. Period CostsDirect Materials and Manufacturing OverheadDirect LaborDirect MaterialsManufacturing Overhead9. Soldering materials used on factory assembly lines. Direct Materials and Manufacturing OverheadDirect LaborManufacturing OverheadPeriod CostsDirect Materials10. Salaries for the night security guards for the factory building. Manufacturing OverheadPeriod CostsDirect Materials and Manufacturing OverheadDirect MaterialsDirect Labor

Answers

Answer 1

Answer:

The various costs associated with the Gala Company could be classified into the following:

a. Direct Material Cost

Memory boards and chips used in assembling computers.

b. Direct Labour Cost

Production superintendents’ salaries.

Salaries for assembly-line quality control inspectors.

Wages of workers assembling laptop computers.

c. Manufacturing Overhead

Sales commissions paid to sell laptop computers.

Electrical components used in assembling computers.

Soldering materials used on factory assembly lines.

d. Period Cost

Property taxes on the factory building.

Depreciation on the factory equipment.

Salaries for the night security guards for the factory building.

Explanation:

Answer 2

Answer:

Explanation:\


Related Questions

Use the following selected information from Whitman Corp. to determine the Year 1 and Year 2 common size percentages for cost of goods sold using Net sales as the base.
Year 2 Year 1
Net sales $ 276,200 $ 231,400
Cost of goods sold 151,900 129,590
Operating expenses 55,240 53,240
Net earnings 27,820 19,820
a. 36.4% for year 2 and 4 for year 1
b. 550% for year 2 and 56.% for year 1
c. 119.45% for year 2 and 100.0% for year 1
d. 125% for your 2 and 100% for year 1
e. 657% for year 2 and 56.0% for year 1

Answers

Answer:

D,F,A,I

Explanation:

Pastina Company sells various types of pasta to grocery chains as private label brands. The company’s reporting year-end is December 31. The unadjusted trial balance as of December 31, 2021, appears below. Account Title Debits Credits Cash 30,000 Accounts receivable 40,000 Supplies 1,500 Inventory 60,000 Notes receivable 20,000 Interest receivable 0 Prepaid rent 2,000 Prepaid insurance 6,000 Office equipment 80,000 Accumulated depreciation 30,000 Accounts payable 31,000 Salaries payable 0 Notes payable 50,000 Interest payable 0 Deferred sales revenue 2,000 Common stock 60,000 Retained earnings 28,500 Dividends 4,000 Sales revenue 146,000 Interest revenue 0 Cost of goods sold 70,000 Salaries expense 18,900 Rent expense 11,000 Depreciation expense 0 Interest expense 0 Supplies expense 1,100 Insurance expense 0 Advertising expense 3,000 Totals 347,500 347,500 Information necessary to prepare the year-end adjusting entries appears below. Depreciation on the office equipment for the year is $10,000. Employee salaries are paid twice a month, on the 22nd for salaries earned from the 1st through the 15th, and on the 7th of the following month for salaries earned from the 16th through the end of the month. Salaries earned from December 16 through December 31, 2021, were $1,500. On October 1, 2021, Pastina borrowed $50,000 from a local bank and signed a note. The note requires interest to be paid annually on September 30 at 12%. The principal is due in 10 years. On March 1, 2021, the company lent a supplier $20,000, and a note was signed requiring principal and interest at 8% to be paid on February 28, 2022. On April 1, 2021, the company paid an insurance company $6,000 for a one-year fire insurance policy. The entire $6,000 was debited to prepaid insurance. $800 of supplies remained on hand at December 31, 2021. A customer paid Pastina $2,000 in December for 1,500 pounds of spaghetti to be delivered in January 2022. Pastina credited deferred sales revenue. On December 1, 2021, $2,000 rent was paid to the owner of the building. The payment represented rent for December 2021 and January 2022 at $1,000 per month. The entire amount was debited to prepaid rent. I want the answers from question 1-8

Answers

Answer:

1.Dr Depreciation expense 10,000

Cr Accumulated depreciation-equipment 10,000

2.Dr Salaries expense 1,500

Cr Salaries payable 1,500

3.Dr Interest expense 1,500

Cr Interest payable 1,500

4.Dr Interest receivable 1,333

Cr Interest revenue 1,333

5.Dr Insurance expense 1,500

Cr Prepaid insurance 1,500

6.Dr Supplies expense 700

Cr Supplies 700

7.Dr Sales revenue 2,000

Cr Unearned revenue 2,000

8.Dr Rent expense 1,000

Cr Prepaid rent 1,000

Explanation:

Preparation of Journal entries

1. Based on the information given we were told that Depreciation on office equipment for the year is the amount of $10,000 which means that the Journal entry will be recorded as:

Dr Depreciation expense 10,000

Cr Accumulated depreciation-equipment 10,000

2. Based on the information given we were told that Salaries earned from 16 December to December 31, 2021, were the amount of $1,500 which means that the Journal entry will be:

Dr Salaries expense 1,500

Cr Salaries payable 1,500

3. Based on the information given we were told that On October 1, 2021, they borrowed the amount of $50,000 with an interest note that have to be paid yearly on September 30 at 12% which means that the transaction will be recorded as:

Dr Interest expense 1,500

(50,000*12%*3/12)

Cr Interest payable 1,500

4. Based on the information given we were told that on March 1, 2021, the company borrowed a supplier the amount of $20,000 with an interest of 8% to be paid on February 28, 2022 which means that the transaction will be recorded as:

Dr Interest receivable 1,333

(20,000*8%*10/12)

Cr Interest revenue 1,333

5. Based on the information given we were told that on April 1, 2021, the company paid an the amount of $6,000 to an insurance company for a one-year fire insurance policy which means that the Journal entry will be:

Dr Insurance expense 1,500

(6,000*3/12)

Cr Prepaid insurance 1,500

Since it is a one year fire insurance we subtracted the different between the month of April 1st and December 31st .

Hence,

12 months- 9 months= 3 months

=6,000 x 3/12

= 1,500

6. Based on the information given we were told that the amount of $800 of supplies remained on hand at December 31, 2021 which means that the transaction will be recorded as:

Dr Supplies expense 700

(1,500-800)

Cr Supplies 700

7. Based on the information given we were told that a customer paid the amount of $2,000 in December which means that the transaction will be recorded as;

Dr Sales revenue 2,000

Cr Unearned revenue 2,000

8. Based on the information given we were told that the payment that was made represented rent for December 2021 and January 2022 at the amount of $1,000 per month which means that the Journal entry will be recorded as:

Dr Rent expense 1,000

Cr Prepaid rent 1,000

What gives the tourists the advantage of being able to pay "2nd price" or even "3rd price" for their souvenirs, when the locals can’t do that when they buy things they need at the shops in Angoram?

Answers

Answer:

There might be a passage attached but from a general perspective, tourists usually have an advantage in bargaining for souvenirs because they are the only market being sold to. Souvenirs are usually made exclusively for tourists which gives them bargaining power because if the tourists do not buy the goods, no one else will. The number of locals who will buy souvenirs from other locals is statistically insignificant because the locals make the souvenirs themselves.

When they go into the town or city of Angoram, you find that the shops there are selling to many more buyers and so the prices are set and cannot be bargained. This is why the locals cannot ask for 2nd or 3rd prices.

An isoquant is a curve that represents combinations of:_______.

Answers

Answer:

two inputs which are capable of producing the same level of output.

Explanation:

Isoquant is a word made up of two parts. Iso is one and quant is for quantity not output.

It means a combination of inputs that give a certain output.

The factors of production can be substituted for each other to produce the same quantity of a product. These combinations are called isoquant.

Plotting all possible combinations that give a level of output gives the isoquant curve

Due to impending labor strife over planned layoffs in its Silicon Valley headquarters, a social networking company has decided to outsource its programming operations to an emerging market, India, to obtain cheaper labor. Since then, this social networking company has encountered criticism that has diminished its current market position and staff productivity. You have been retained by this company to develop an appropriate reactive (emergent) strategy that would begin by

Answers

Answer:

putting a halt on the layoffs

Explanation:

This strategy should begin by putting a halt on the layoffs. This should be top priority since the layoffs themselves are the main cause for the criticism that the company is receiving and this criticism is the sole reason as to why its market position and staff productivity has fallen drastically. People think the company is failing and the staff is scared that they will eventually be fired. By stopping layoffs and waiting for a market recovery you give other better options a chance to arise and more efficient strategies to take effect.

You were recently hired by the CPA firm of Honson & Hansen. Within two weeks, you were sent to the first- year staff training course.
A. How is audit evidence defined?
B. How does audit evidence relate to assertions and to the audit report?
C. What characteristics of evidence should an auditor be concerned with when searching for and evaluating audit evidence?

Answers

Answer:

A. Obtained by the following :

Risk Assessment ProceduresTest of ControlsSubstantive ProceduresProfessional Skepticism

B. Audit Evidence and Audit Report

Audit Evidence support assertions made by management in the Financial Reports.

C. Characteristics of Audit Evidence

Sufficient andAppropriate

Explanation:

Audit Evidence is evidence obtained by auditors during a financial audit. Audit evidence is used by management to support their assertions in the Financial statements.

An example of audit evidence is an Invoice. The invoice supports the value of sales on the Income Statement, the valuation of Accounts Receivables on the Statement of Financial Position.

Audit evidence that is acceptable must be Sufficient and Appropriate. Invoices in the example above are only sufficient and appropriate if they contain signatures and supported by other documents from third parties.

At an interest rate of 10% per year, $100,000 today is equivalent to how much in a year from now?

Answers

Answer:

FV= $110,000

Explanation:

Giving the following information:

Present value= $100,000

Number of periods= 1 year

Interest rate= 10% compounded annually

To calculate the equivalent amount of money, we need to use the following formula:

FV= PV*(1+i)^n

FV= 100,000*(1.1^1)

FV= $110,000

Fair Oaks Farms’ manure management, specifically the use of cow manure to power their facilities and fuel their milk tankers, is most closely related to which managerial challenge?

Answers

Answer:

These are the options for the question:

Managing for globalizationManaging for sustainabilityManaging for animal welfareManaging for diversityManaging for information technology

And this is the correct answer:

Managing for sustainability

Explanation:

The use of cow manure to power facilities and fuel milk tankers is a managerial challenge directly related with the sustaniable aspecto of the Farm.

This is because a natural resource: cow manure, is being used in an efficient manner to provide much needed power to the firm's facilities. The amounts of manure, times, and processes that are used, are all part of the sustainability policy of the farm, which has to be overseen by the manager.

How to start a hotel business

Answers

Answer:

Franchise or your own?

Explanation:

What are key values of group work?

Answers

Answer:

the key values of group work is adaptability, honesty, responsibility,etc.

Answer: share,work hard,be fair,explain if someone doesnt understand, be positive.

Explanation: if you didnt do those, then the team would have fallen apart because it was lacking the key values. Without being positive, the person would have made alot of mistakes because they'd be thinking negative and being lazy. (You can add in you own stuff if you want to)

What are the transactions requirements for chase?

Answers

Answer:

Complete at least 10 qualifying transactions (including debit card purchases, online bill payments and direct deposits) within 60 days of opening your account. The account must remain open for six months, or Chase may deduct the bonus at closing. When you'll get it: Within 10 business days of completing requirements.

Weber Company purchases $50,000 of raw materials on account, and it incurs $60,000 of factory labor costs. Supporting records show that (a) the Assembly Department used $24,000 of raw materials and $35,000 of the factory labor, and (b) the Finishing Department used the remainder. Manufacturing overhead is assigned to departments on the basis of 160% of labor costs. Journalize the assignment of overhead to the Assembly and Finishing Departments.

Answers

Answer:

Assembly: 56,000 *Debit, Finishing: 40,000 *Debit, and Factory Overhead: 96,000 *Credit

Explanation:

Assembly

DM: 24,000

DL:35,000

FO: 35,000 x 160% =56,000

Finishing 26,000 and 25,000

FO 25,000 x 160% =40,000

Gadget Twin Inc. recently raised capital through an initial public offering (IPO). Its stock can now be purchased on the NYSE. This company is referred to as:

Answers

Answer:

This company is referred to as:

a listed entity.

Explanation:

Gadget Twin Inc. becomes a listed entity when it raises capital through an IPO on the NYSE.  This means that its share, stock, and debt securities are quoted or listed on a recognized stock exchange, and marketed under the regulations of the New York Stock Exchange.  Therefore,  Gadget's stockholders and investors can easily sell and buy the shares of the company at the secondary market of the NYSE without any effect on Gadget Twin Inc.

Minnesota Office Products (MOP) produces three different paper products at its Vaasa lumber plant: Supreme, Deluxe, and Regular. Each product has its own dedicated production line at the plant. It currently uses the following three-part classification for its manufacturing costs: direct materials, direct manufacturing labor, and manufacturing overhead costs. Total manufacturing overhead costs of the plant in July 2014 are $150 million ($15 million of which are fixed). This total amount is allocated to each product line on the basis of the direct manufacturing labor costs of each line. Summary data (in millions) for July 2014 are as follows:

Supreme Deluxe Regular
Direct material costs $89 $57 $60
Direct manufacturing labor costs $16 $26 $8
Manufacturing overhead costs $48 $78 $24
Units produced 125 150 140
(1) Compute the manufacturing cost per unit for each product produced in July 2014.

(2) Suppose that, in August 2014, production was 150 million units of Supreme, 190 million units of Deluxe, and 220 million units of Regular. Why might the July 2014 information on manufacturing costs per unit be misleading when predicting total manufacturing costs in August 2014?

Answers

Answer:

1)

                                                            Supreme   Deluxe   Regular

Direct material costs                               $89          $57       $60

Direct manufacturing labor costs           $16          $26         $8

Manufacturing overhead costs:            

Fixed overhead                                      $4.8         $7.8      $2.4

Variable overhead                                 $43.2      $70.2    $21.6

total costs                                               $153         $161       $92

Units produced                                        125          150        140

cost per unit                                          $1.224     $1.073    $0.657

2) Some product costs are variable, direct materials and direct labor, while other costs are mixed, manufacturing overhead. $15 million of overhead costs are fixed and they are allocated based on direct labor, while the rest is variable and depends on the production output. Since output production was higher during August, the cost per unit should be lower even if all the variable costs remain the same. As the number of total units produced increases, the fixed overhead cost per unit decreases.

The standard long-run model assumes that:_____.
a. technology improves at an increasing rate over time.b. technological advance is impossible.c. technology is fixed.d. costs of production are fixed.

Answers

Answer: a. technology improves at an increasing rate over time.

Explanation:

In the long run, companies will aim to be more efficient so that they may be able to produce goods and services at a lower cost and so they will actively seek out new technology to help them with this.

This will result in technology improving at an increasing rate overtime as more and more technology is discovered and then made obsolete. Improvements in tech brings down cost and the company with the least cost will be the most profitable.

What does an risk management plan addendum look like?

Answers

Explanation:

Risk Management is the integral part of any project and it is an ongoing process. When the risk management process is initiated at the beginning of the project, most of the risks involved may be identified and it can be controlled or some measures to counter act them can be developed like  involved with the Change Management or the program management.

Risk management addendum contains :

-- introduction

-- target levels

-- acute exposure

-- Estimation of Health Effects for Lead

-- Cumulative Risk

The risk characterization must clearly exhibit the core values of consistency, transparency, reasonableness and clarity.

Use the supply schedule below to answer the questions that follow.Supply of Flower Bouquets
Price (dollars per bouquet) Quantity of Bouquets Supplied40 125
35 100
30 75
25 50
20 25
15 0A. What is the quantity of bouquets supplied if the market price is $30?
B. Suppose the market price falls from $30 per bouquet to $20 per bouquet. The quantity of bouquets supplied will (decrease or increase) by____bouquets.

Answers

a. quantity of bouquets supplied if the market price is $30 is 75

b. It should be decreased by 50.

The calculation is as follows:

a. The corresponding matching for $30 price is 75 units.

b. The difference would say the decreasing quantity;

(75 – 25 =) 50 units.

I.e. decrease; 50

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You are a manager of a soft drinks company that is planning to go head to head with Coca-Cola to increase market share. Your strategy is to increase your product ranges that you plan to offer to Mass Market. Along with the extension of the products and product lines, you want to be responsive to the different geographic regions you plan to serve. So, your main focus is to balance the extended product categories along with the responsiveness to the geographic regions to serve. Currently you have a functional structure which may not be suitable for maintaining Products along with Geographic Responsiveness. So, you are required to IDENTIFY which Organizational Structure (For Example: PRODUCT BASED DIVISION, REGION BASED DEVISIONS, MATRIX STRUCTURE, etc.) would be best suitable if your strategy intends to: a. Lowering cost b. Increasing responsiveness c. or both Provide Rationale for each of the Structural Choices for the aforementioned three strategic intentions.

Answers

Answer:

The Orgnisational Structure that is best suited for the strategy highlighte above is the Martrix Organisational Structure.

Explanation:

The Matrix Organisational Structure is a cross between the Functional Organisational Structure and the Divisional organisational structure. In this type of environment, it is not uncommon to have an employee reporting to two line managers. For example, it is possible under this structure for the Sales Manage to report to the Regional Sales Manager and the Human Resources Manager.

The benefits of this type of structure is that is lowers human capital cost as key people in the organisation are shared, it optimizes the balance between the cost and time taken to complete projects.

Cheers!

One thousand dollars is borrowed for one year at an interest rate of 1% per month (12% compounded monthly). If the same sum of money could be borrowed for the same period at an interest rate of 12% compounded yearly, how much could be saved in interest charges?

Answers

Answer:

$6.83

Explanation:

Intereest rate = future value - present value

The formula for calculating future value:

FV = P (1 + r/m)^mn

FV = Future value  

P = Present value  

R = interest rate  

N = number of years  

m = number of compounding per year

$1000 compounded monthly = 1000(1.01)^12 = $1126.83

Interest = $1126.83 - $1000 = $126.83

$1000 compounded yearly = 1000(1.12) = $1120

Interest = $1120 - $1000 = $120

Amount saved on interest charges = $126.83 - $120 = $6.83

Suppose you won $15 on a lotto ticket at the local 7-Eleven and decided to spend all the winnings on candy bars and bags of peanuts. The price of candy bars is $0.75 and the price of peanuts is $1.50.
a. Complete the table below showing the alternative combinations of the two products that are available.
Instructions:Enter only whole numbers.
Consumption Alternatives
Goods A B C D E F
Candy Bars 0 4 8 12 16 20
Bags of Peanuts
b. Use the data in the above table to plot a budget line in the graph with candy bars on the horizontal axis.

Answers

Answer:

a)

candy bars         bags of peanuts

20                       0

16                        2

12                        4

8                         6

4                         8

0                         10

b)

I attached the budget line graph

 

Company that makes shopping carts for supermarkets and other stores recently purchased some new equipment that reduces the labor content of the jobs needed to produce the shopping carts. Prior to buying the new equipment, the company used 6 workers, who together produced an average of 90 carts per hour. Workers receive $10 per hour, and machine cost was $50 per hour. With the new equipment, it was possible to transfer one of the workers to another department, and equipment cost increased by $10 per hour, while output increased by 6 carts per hour.
A. Compute the multifactor productivity(MFP) (labor plus equipment) under the Prior to buying the new equipment. (Round to 4 decimal places)
B. Compute the % growth in productivity between the Prior and after buying the new equipment. (Round to 2 decimal places)
C. Comment on the changes in productivity according to two measures,and which you believe in the more pertinent for this situation?

Answers

Answer:

A. Compute the multifactor productivity(MFP) (labor plus equipment) under the Prior to buying the new equipment.

multi-factor productivity = 90 carts / ($60 + $50) = 0.8182 carts/$

B. Compute the % growth in productivity between the Prior and after buying the new equipment.

new multi-factor productivity = 96 carts / ($50 + $60) = 0.8727 carts/$

% growth = (0.8727 - 0.8182) / 0.8182 = 6.66% increase

C. Comment on the changes in productivity according to two measures,and which you believe in the more pertinent for this situation?

the multi-factor productivity increased by 6.66% because even though the total cost of the factors of production remained the same, total output increased by 6 units

What is a subcontractor

Answers

Answer:

a firm or person that carries out work for a company as part of a larger project.

A subcontractor is an individual or a business that signs a contract to perform part or all of the obligations of another's contract. A subcontractor is a company or person whom a general contractor hires to perform a specific task as part of an overall project and normally pays for services provided to the project.

A subcontractor is a person or business who has a contract to complete a portion of work that belongs to another company.

What do you mean by the Subcontractor?

An individual or company that enters a contract to carry out some or all of the duties of another's contract is known as a subcontractor. Simply said, a subcontractor's job is to carry out the work for which they have been paid by the main contractor.

A general contractor, prime contractor, or main contractor will hire a subcontractor (or subcontractor) to complete a specific task as part of the overall project. The subcontractor will typically be paid for the services they give to the project.

A subcontractor who enters into a contract with the principal contractor to supply or fix any products or materials or to carry out work that is a component of the principal contract.

Therefore, a subcontractor is a person or business who has a contract to complete a portion of work that belongs to another company.

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Your shift’s productivity is slow because one person is not pulling his share. The rest of the team is getting upset . What would you be most and least likely to do ?

Answers

Most likely to try/works things out with the person who’s not pulling his share.

Least likely to yell and scream at the person not pulling his share. Might get mad a little but I would hopefully try and not scream at the person not pulling his share.

By default, unless you or someone else records or shares information, your employer cannot see any of your Teams activities. However, the company has the option to build or buy a Teams extension to gain access to information and view your Team activities.

What is shift productivity?

A desktop program called Shift can be used to combine various emails and web applications into one simple platform. The shift is the ideal productivity tool for anyone who uses one email account and one app, 50 conversations accounts, 50 apps, or anything in between!

Productivity starts with the fundamental idea of making the most of your time. Multitasking, among other things, can make you sluggish. You can focus better on the things that are important by doing one thing at a time. You might also find it easier to enter a state of flow. Select Notifications from the Settings menu, which is located in the upper right corner of the screen. The following options can be selected (to turn on) or cleared (to turn off) in the Notifications dialogue box: I'm given a task by someone.

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Like other manufacturers and sellers, Peoples ProductsCorporation labels its goods. Federal labeling andpackaging rules are enforced by the Federal TradeCommission and:________a. the U.S. Department of Commerce.b. the U.S. Department of Health and Human Services.c. the U.S. Department of Justice.d. the U.S. Department of the Treasury.

Answers

Answer:

b. the U.S. Department of Health and Human Services

Explanation:

The goal of the department deals in health and human services in United states  is to motivate the health and the well being for providing health and human services, social services, etc

Here the labeling and packaging rules are imposed by the commission earned by trade for federal and the department deals in health and human services in the United States

Hence, the correct option is b as the same is equally important

importance of price elasticity of demand in business​

Answers

It’s important because it determines the prices of various factors of production.
Ex: if demand of a factor is inelastic, the price will be high. if it is elastic the price will be low
Hope this helps

Compute the future value of a $130 cash flow for the following combinations of rates and times. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
a. r = 7%; t = 10 years
b. r = 7%; t = 20 years
c. r = 3%; t = 10 years
d. r = 3%; t = 20 years

Answers

Answer:

Future Value formula = Amount * ( 1 + r) ^ no.of periods

a. Future Value = 130 * ( 1 + 7%) ^ 10

= $255.7296

= $255.73

b. Future Value = 130 * ( 1 + 7%) ^ 20

= $503.05898

= $503.06

c. Future Value = 130 * ( 1 + 3%) ^ 10

= $174.709

= $174.71

d. Future Value = 130 * ( 1 + 3%) ^ 20

= $234.794

= $234.79

Jurisdiction M imposes an individual income tax based on the following schedule.
Rate Income bracket
5% $-0- to $50,000
+ 8% $50,001 to $200,000
+ 12% $200,001 and aboveWhich of the following statements is true?
A) The schedule provides no information as to whether Jurisdiction M's tax is horizontally equitable.
B) Jurisdiction M's tax is vertically equitable.
C) Jurisdiction M's tax is vertically equitable only for individuals with $50,000 or less taxable income.
D) Both A. and B. are true.

Answers

Answer:

D) Both A. and B. are true.

A) The schedule provides no information as to whether Jurisdiction M's tax is horizontally equitable. B) Jurisdiction M's tax is vertically equitable.

Explanation:

When we are talking about horizontal equity of a tax, we are talking about how the tax base is measured and the ability that taxpayers have to pay the tax. There is nothing here about tax base or taxpayers' ability to pay.

On the other hand, vertical equity deals with the tax rate structure. In this case, the tax rate is progressive, meaning that it increases as the taxpayers' income increases. Progressive taxes are vertically equitable.

Match each of the following scenarios with the accounting principle or accounting assumption that it best illustrates.a. Several years after Thomas Company purchased new office equipment, the company’s accounting records still show the original purchase price. b. The home of Rob Elliot, the owner of GGE Enterprises Inc., is not listed among the company’s assets. c. Despite several years of falling sales, Thomas Company continues to forecast sales and make strategic plans to raise revenues and cut expenses. d. Thomas records expenses incurred to produce the sales for the month. e. GGE Enterprises records a deposit received from a customer for work to be performed later in the month. The customer is billed for the remaining amount after the work is complete, and the customer’s payment is recorded. f. Thomas Company provides earnings information to investors at the end of every quarter. g. The accounting records of Thomas Company are in dollars, not euros, although the Ohio-based company is owned by a German firm.

Answers

Answer:

Key S - Scenario

      A - Accounting Principle or Assumption

S

Several years after Thomas Company purchased new office equipment, the company’s accounting records still show the original purchase price.

A

Historical cost principle

S

The home of Rob Elliot, the owner of GGE Enterprises Inc., is not listed among the company’s assets.

A

Business entity assumption

S

Despite several years of falling sales, Thomas Company continues to forecast sales and make strategic plans to raise revenues and cut expenses.

A

Going concern assumption

S

Thomas records expenses incurred to produce the sales for the month.

A

Expense recognition principle

S

GGE Enterprises records a deposit received from a customer for work to be performed later in the month. The customer is billed for the remaining amount after the work is complete, and the customer’s payment is recorded.

A

Revenue recognition principle

S

Thomas Company provides earnings information to investors at the end of every quarter.

A

Time period assumption

S

The accounting records of Thomas Company are in dollars, not euros, although the Ohio-based company is owned by a German firm.

A

Monetary unit assumption

Explanation:

On January 1, 2018, Wellburn Corporation leased an asset from Tabitha Company. The asset originally cost Tabitha $360,000. The lease agreement is an operating lease that calls for four annual payments beginning on January 1, 2018, in the amount of $31,000. The other three remaining payments will be made on January 1 of each subsequent year. Which of the following journal entries should Tabitha record on January 1, 2018?a. Cash 31,000  Rent expense 31,000  b. Cash 31,000  Lease receivable 31,000        c. Cash 31,000   Rent revenue 31,000        d.Rent revenue 31,000  Cash 31,000       

Answers

Answer:

C.Dr Cash 31,000

Cr Rent revenue 31,000

Explanation:

Based on the information given we told that the lease agreement which is an operating lease calls for four annual payments which begins on January 1, 2018, in the amount of $31,000 which means that what Tabitha should record on January 1, 2018 will be to:

Dr Cash 31,000

Cr Rent revenue 31,000

By 2025, annual consumption in emerging markets will total $30 trillion and contribute more than ________ percent of global GDP growth.a. 81b. 85c. 70d. 78e. 65

Answers

Answer:

c. 70

Explanation:

There is the highest growth opportunity in the history of capitalism. As per the top hundred in 2010 in the biggest organization of the headquarter of the world in the nation of developed as it gets 17% of its income which is appear from the markets.

Therefore, their donation was 36% of the global gross domestic product. After this, the economies are expected to give a 70% contribution till 2025. Hence, the cost will rise to $30 trillion from $12 trillion till 2025.

So, the correct answer is c.

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