Sanders Co. is planning to finance an expansion of its operations by borrowing $49,200. City Bank has agreed to loan Sanders the funds. Sanders has two repayment options: (1) to issue a note with the principal due in 10 years and with interest payable annually or (2) to issue a note to repay $4,920 of the principal each year along with the annual interest based on the unpaid principal balance. Assume the interest rate is 9.5 percent for each option.
Required
a. What amount of interest will Sanders pay in year 1 under option 1 and under option 2?
Amount of Interest
Under option 1
Under option 2
b. Wihat anount of insyinyder option 1 and under option 27 (Round your final answers to the nearest dollar amount)
Amount of Interest
Under option 1
Under option 2
c. Which option is more advantageous to Sanders?
Option 1
Option 2

Answers

Answer 1

Answer:

Following are the responses to the given question:

Explanation:

For point a:

Interest amounts are paid by sanders in year 1 Under option 1 and 2

In option 1  

Due principal  [tex]\$49,200[/tex]

Rate of Interest [tex]9.50\%[/tex]

Expanse Interest [tex]\$4,674[/tex]

In Option 2  

Due principal  [tex]\$49,200[/tex]

Rate of Interest [tex]9.50\%[/tex]

Expanse Interest [tex]\$4,674[/tex]

For point b:

Interest amounts are paid by sanders in year 1 Under option 1 and 2

In option 1  

Due principal  [tex]\$49,200[/tex]

Rate of Interest [tex]9.50\%[/tex]

Expanse Interest [tex]\$4,674[/tex]  

In Option 2  

Due principal  [tex]\$44,280[/tex]

Rate of Interest [tex]9.50\%[/tex]

Expanse Interest [tex]\$4,207[/tex]

For point c:

Option 2 is better for Sanders since it reduces investment expenditure


Related Questions

If you are the proprietor of a
business, how much of the
business do you own?
A. 50%
B. 85%
C. 100%

Answers

I think A , let me know if I’m wrong

A company has designed a new product and tested the prototype. what is the next step in product development?

A. test-market the product
B. launch the product
C. evaluate ideas
D. generate ideas

Answers

Answer:

A company has designed a new product and tested the prototype. What is the next step in product development ? Test - market the product.

Explanation:

Answer option A) Test - market the product.

A customer of RoughEdge Sharpeners alleges that RoughEdge's new razor sharpener had a defect that resulted in serious injury to the customer. RoughEdge believes the customer has a possible chance of winning the case, and that if the customer wins the case, there is a range of losses of between $1,000,000 and $3,000,000 in which any number is equally likely to occur. Under U.S. GAAP, RoughEdge should accrue a liability in the amount of:

Answers

Answer:

$5,000,000,000,000,000,000.000

has any questions or problems.
4. It is the development of an ongoing connection between a company and its customers. The
relationship involves marketing communications, sales support, technical assistance and
customer service​

Answers

Answer:

Customer relationship management (CRM).

Explanation:

CRM is an acronym for customer relationship management and it typically involves the process of combining strategies, techniques, practices and technology so as to effectively and efficiently manage their customer data in order to improve and enhance customer satisfaction. Therefore, these employees are saddled with the responsibility of ensuring the customer are satisfied and happy with their service at all times.

This ultimately implies that, customer relationship is focused on developing an ongoing connection between a business firm (organization) and all of its customers, as well as potential customers. The fundamentals of customer relationship is based on improving marketing communications, sales support, technical assistance and customer service so as to bring satisfaction to the customers.

Hence, the degree of satisfaction received by customers throughout their lifecycle is largely dependent on customer relationship management.

Structuring the Sell-or-Process-Further Decision
Bart’s Butters receives 1,000,000 containers of raw milk each period that it subsequently processes into consumable milk by adjusting the fat content, adding vitamins, and destroying any potentially harmful bacteria. For Bart’s, one container equals one gallon of consumable milk. Bart’s then must decide whether to sell its consumable milk at split-off or to process it further into butter. Bart’s normally sells consumable milk for a per-gallon price of $3. Alternately, each gallon of milk can be processed further into one-half tub of butter (i.e., one gallon of milk equals 0.5 gallon of butter) at an additional cost of $1.50 per tub of butter. Also, butter can be sold for $6.00 per tub.
Required:
1. What is the contribution to income from selling the consumable milk?
2. What is the contribution to income from processing the consumable milk into butter?
3. Should Bart’s continue to sell the consumable milk or process it further into butter?

Answers

Answer:

a. The contribution to income from selling the consumable milk is:

= 1,000,000 gallon * $3

= $3,000,000

b. The contribution to income from processing the consumable milk into butter is:

= (1,000,000 gallon*0.5 gallon) * ($6 - $1.50)

= 500,000 gallon * $4.50

= $2,250,000

c. Bart's should continue to sell the consumable milk, rather than processing the consumable milk into butter due to high contribution of $750,000 ($3,000,000 - $2,250,000).

You have been hired as CEO of Lugar Industries and have been asked to change the organizational culture. Because your company operates in a quickly changing environment, you need to have a culture which encourages employees to respond quickly to changes, to take risks, innovate, and have the authority to make quick decisions to take advantage of opportunities and to avoid risks. Based on these conditions, you, as CEO, want a(n) ____ culture.

Answers

Answer:

adaptive culture

Explanation:

An organization with an adaptive culture is usually one that can adapt quickly to changes in their environment, This changes can result from technological innovations, changes in consumer habits, changes in regulations, etc.

The key issue here is that the organization will respond rapidly to new opportunities and changes.

Question 81 pts Doug Graves Company had 50,000 shares of common stock issued and outstanding at January 1, 2020. During 2020, Graves made the following transactions: June 1 Declared a 2-for-1 stock split, when the fair value of the stock was $25 per share. Oct 15 Declared a $0.40 per share cash dividend. In Graves's statement of shareholders' equity for 2020, what amount should Graves report as dividends

Answers

Answer:

See below

Explanation:

Given the above information, we will calculate first the revised stock

Revised stock

= 50,000 × $2

= 100,000

Then,

The Dividend par share

= 100,000 × $0.40

= $40,000

The sum of $40,000 will be reported as divided as the number of shares outstanding has doubled due to stock split

Crane Company estimates that variable costs will be 55.00% of sales, and fixed costs will total $702,000. The selling price of the product is $4. (a) Compute the break-even point in (1) units and (2) dollars. (1) Break-even sales units (2) Break-even sales $ (c) Assuming actual sales are $2,000,000, compute the margin of safety in (1) dollars and (2) as a ratio. (1) Margin of safety $ (2) Margin of safety ratio %

Answers

Answer and Explanation:

The computation is shown below;

The Variable cost is

= 55% of $4

=$2.2

Now

Contribution margin per unit

= Sale - Variable cost

= $4  - $2.2

= $1.8 per unit

a.Breakeven point is

= Fixed cost ÷ Contribution margin

In units

= ($702,000 ÷ $1.8)

= 390,000 units

in dollars = (390,000 × $4)

= $1,560,000

b.Margin of safety = Total sales - Breakeven sales

In dollars  = ($2,000,000 - $1,560,000)

= $440,000

Margin of safety ratio  =Margin of safety ÷ Total sales

= ($440,000 ÷ $2,000,000)

= 22%

Jameson Corporation was organized on May 1. The following events occurred during the first month.
A. Received $67,000 cash from the five investors who organized Jameson Corporation. Each investor received 110 shares of $10 par value common stock.
B. Ordered store fixtures costing $10,000.
C. Borrowed $16,000 cash and signed a note due in two years.
D. Purchased $18,000 of equipment, paying $1,400 in cash and signing a six-month note for the balance.
E. Lent $1,700 to an employee who signed a note to repay the loan in three months.
F. Received and paid for the store fixtures ordered in (b).
Required:
Prepare journal entries for each transaction.

Answers

Answer:

Transaction A

Debit  : Cash $67,000

Credit : Common Stock $67,000

Transaction B

Debit  : Store fixtures $10,000

Credit : Accounts payable $10,000

Transaction C

Debit  : Cash $16,000

Credit : Note Payable $16,000

Transaction D

Debit  : Equipment $18,000

Credit : Cash $1,400

Credit : Note Payable $16,600

Transaction E

Debit  : Note Receivable $1,700

Credit : Cash $1,700

Transaction F

Debit  : Accounts Payable $10,000

Credit : Cash $10,000

Explanation:

When there is no immediate payment of cash recognize a liability  accounts payable otherwise recognize cash.

Jan. 27 Received Lee's payment for principal and interest on the note dated December 13.
Mar. 3 Accepted a $5,000, 10%, 90-day note in granting a time extension on the past-due account receivable of Tomas Company.
17 Accepted a $2,000, 30-day, 9% note in granting H. Cheng a time extension on his past-due account receivable.
Apr. 16 H. Cheng dishonored his note.
May 1 Wrote off the H. Cheng account against the Allowance for Doubtful Accounts.
June 1 Received the Tomas payment for principal and interest on the note dated March 3.

Required:
Calculate the interest amounts and use those calculated values to prepare your journal entries.

Answers

Question Completion:

Dec.  13 Accepted a $9,500, 45-day, 8% note dated December 13 in granting Miranda Lee a time extension on her past-due account receivable.

Answer:

Journal Entries:

Jan. 27 Debit Cash $9,595

Credit Notes Receivable (Miranda Lee) $9,500

Credit Interest Revenue $95

To record the full settlement of note and interest.

Mar. 3 Debit Notes Receivable  (Tomas Company) $5,000

Credit Accounts Receivable (Tomas Company) $5,000

To record the acceptance of a 10%, 90-day note.

17 Debit Notes Receivable (H. Cheng) $2,000

Credit Accounts Receivable (H. Cheng) $2,000

To record the acceptance of a 30-day, 9% note

Apr. 16 Debit Accounts Receivable (H. Cheng) $2,015

Credit Notes Receivable (H. Cheng) $2,000

Credit Interest Revenue $15

To record the dishonoring of Cheng's note.

May 1 debit Allowance for Doubtful Accounts $2,105

Credit Accounts Receivable (H. Cheng) $2,015)

To record the write-off of H. Cheng's account.

June 1 Debit Cash $5,125

Credit Notes Receivable (Tomas Company) $5,000

Credit Interest Revenue $125

To record the full settlement of Tomas' account.

Explanation:

a) Data and Calculations:

Jan. 27 Cash $9,595 Notes Receivable (Miranda Lee) $9,500  Interest Revenue $95

Mar. 3 Notes Receivable  (Tomas Company) $5,000 Accounts Receivable (Tomas Company) $5,000, 10%, 90-day note  

17 Notes Receivable (H. Cheng) $2,000 Accounts Receivable (H. Cheng) $2,000 30-day, 9% note

Apr. 16 Accounts Receivable (H. Cheng) $2,015 Notes Receivable (H. Cheng) $2,000 Interest Receivable $15

May 1 Allowance for Doubtful Accounts $2,105 Accounts Receivable (H. Cheng) $2,015)

June 1 Cash $5,125 Notes Receivable (Tomas Company) $5,000 Interest Revenue $125

Interest amounts

What is segregated fund.

Answers

A segregated fund is a type of investment vehicle commonly used by Canadian insurance companies to manage individual, variable annuity insurance products. A segregated fund offers investment capital appreciation and life insurance benefits. ... Therefore, returns from the funds tend to be more modest.
A segregated fund is a type of investment vehicle commonly used by Canadian insurance companies to manage individual, variable annuity insurance products. A segregated fund offers investment capital appreciation and life insurance benefits.

Investors can expect to pay a slightly higher total expense ratio on segregated funds due to their more complex structure. Additionally, these fund offerings typically do not have aggressive fund objectives. Therefore, returns from the funds tend to be more modest.

KEY TAKEAWAYS
A segregated fund is an investment pool structured as a deferred variable annuity and used by insurance companies to offer both capital appreciation and death benefits to policyholders.
Commonly found in Canada, segregated funds are private contracts between insurers and customers that must be held until contract maturity.
Because these products offer better guarantees than traditional insurance or annuity products, they do come with higher fees and expenses.
Understanding Segregated Funds
Segregated funds are structured as deferred variable annuity contracts with life insurance benefits. They are managed in separate accounts by the insurance company. These products are similar to other variable annuity products offered by insurance companies. They are primarily issued by Canadian insurance companies for Canadians. The products are not traded in the public market. They are structured as contracts and do not account for ownership by shares or units.

The independent cases are listed below includes all balance sheet accounts related to operating activities:
Case A Case B Case C
Net income $314,000 $17,000 $424,000
Depreciation expense 44,000 154,000 84,000
Accounts receivable
increase (decrease) 108,000 (204,000) (24,000)
Inventory increase
(decrease) (54,000) 39,000 54,000
Accounts payable
increase (decrease) (54,000) 124,000 74,000
Accrued liabilities
increase (decrease) 64,000 (224,000 ) (44,000)
Show the operating activities section of cash flows for each of the given cases.

Answers

Answer:

                         Cash Flow from Operating Activities  

                                                                    Case A       Case B     Case C

Net Income                                                $314,000   $17,000   $424,000

Adjustments to Reconcile Net income to

Net cash provided by Operating Activities

Depreciation                                               $44,000   $154,000  $84,000  

Changes in Assets and Liabilities  

Accounts Receivable                                -$108,000  $204,000  $24,000  

Inventory                                                     $54,000   -$39,000   -$54,000

Accounts Payable                                     -$54,000    $124,000   $74,000

Accrued Liabilities                                      $64,000  -$224,000  -$44,000

Net cash under Operating Activities           $0         $236,000  $508,000

which of the following is a reason to approach smaller banks for a business loan



Answers

Answer: Their criteria for approving a loan are much less stringent than those for larger banks. Explanation: ... The principal reason why people approach smaller banks for a loan is that their criteria for approving a loan are much less stringent than those for larger banks.

Stella, age 38, is single with no dependents. The following information was obtained from her personal records for the 2020 year. Salary $30,000 Interest income 7,000 Alimony received 12,000 Individual retirement account contribution 2,000 Home mortgage interest expense 4,000 Property taxes 2,000 Personal casualty loss in a Federal disaster area (after the $100 floor) 38,000 Stolen investment property 16,000
Unreimbursed employee business loss 3,000
​Based on the above information, what is Stella’s net operating loss for 2015?

Answers

Answer:

Net operating loss -$10,360

Explanation:

The computation of the net operating loss for the year 2015 is as follows:

Salary $30,000

Interest income 7,000

Alimony received 12,000

Less Individual retirement account contribution 2,000

Adjusted gross income $47,000

Home mortgage interest expense -$4,000

Property taxes -$2,000

Personal casualty loss ($38,000) - ($47,000 × 0.10) -$33,300

Stolen investment property -$16,000

Unreimbursed employee business loss ($3,000) - ($47,000 × 0.02) -$2,060

Net operating loss -$10,360

Suppose that there is asymmetric information in the market for used cars. Sellers know the quality of the car that they are​ selling, but buyers do not. Buyers know that there is a 50​% chance of getting a​ "lemon", a low quality used car. A high quality used car is worth​ $30,000, and a low quality used car is worth​ $15,000. Based on this​ probability, the most that a buyer would be willing to pay for a used car is ​$________. ​(Enter your response rounded to the nearest​ dollar.)

Answers

Answer:

$22,500

Explanation:

Chance of getting low quality car = 50%

Chance of getting high quality car = 50%

Cost of low quality car = $15,000

Cost of high quality car = $30,000

So, Price of the car = 50% of lower quality + 50% of higher quality

= (50% × $15,000) + (50% ×30,000)

=  $7,500 + $15,000

= $22,500

Hence, price of the used car will be $22,500.

Modigliani and​ Miller's world of no taxes. Roxy​ Broadcasting, Inc. is currently a​ low-levered firm with a​ debt-to-equity ratio of ​/. The company wants to increase its leverage to ​/ for debt to equity. If the current return on assets is ​% and the cost of debt is ​%, what are the current and the new costs of equity if Roxy operates in a world of no​ taxes? What is the current cost of equity if Roxy operates in a world of no​ taxes?

Answers

Answer and Explanation:

The computation is shown below:

For Current  

Total assets = Debt + Equity

= 2 + 7 9

Now

Debt ratio = Debt ÷ Total assets = 2 ÷ 9  

Equity ratio = Equity ÷ Total assets = 7 ÷ 9  

Return on assets = Cost of debt × Debt ratio + Cost of equity × Equity ratio

11% = 9% × 2 ÷ 9 + Cost of equity × 7 ÷ 9  

Cost of equity × 7 ÷ 9 = 11% - (9% × 2 ÷ 9)  

Cost of equity = ( 11% - (9% × 2 ÷ 9) ) × 9 ÷ 7

= 12%

For New  

Total assets = Debt + Equity = 7 + 2 = 9

Debt ratio = Debt ÷ Total assets = 7 ÷ 9  

Equity ratio = Equity ÷ Total assets = 2 ÷9  

Return on assets = Cost of debt × Debt ratio + Cost of equity × Equity ratio

11% = 9% × 7 ÷ 9 + Cost of equity × 2 ÷ 9  

Cost of equity × 2 ÷ 9 = 11% - (9% × 7 ÷ 9)  

Cost of equity = ( 11% - (9% × 7 ÷ 9) ) × 9 ÷ 2

= 18%

Suppose that the public holds 50% of the money supply in currency and the reserve requirement is 20%. Banks hold no excess reserves. A customer deposits $6,000 in her checkable deposit. Assume that after receiving the deposit, the bank lends out its excess reserves. When the loan is spent, _____ of the loan will be a checkable deposit and _____ will be held by the public as cash. $6,000; $0

Answers

Answer: $2,400; $2,400

Explanation:

If a deposit of $6,000 is made, the reserve requirement is 20% so the bank will have to reserve this amount of:

= 6,000 * 20%

= $1,200

The bank will be left with:

= 6,000 - 1,200

= $4,800

The bank lends all of this out.

The public holds 50% of the currency so they will keep:

= 50% * 4,800

= $2,400

The rest - which is $2,400 - will be deposited as checkable deposits.

Skyler Manufacturing recorded operating data for its shoe division for the year. Sales $4,500,000 Contribution margin 500,000 Controllable fixed costs 200,000 Average total operating assets 900,000 How much is controllable margin for the year

Answers

Answer:

Controllable margin= $300,000

Controllable margin in %= 33.3%

Explanation:

Controllable margin is sales revenue less controllable variable costs and fixed cost.

Controllable margin= Sales revenue - controllable variable cost - controllable fixed costs

Controllable margin= contribution margin - fixed costs

                                     = 500,000 - 200,000= 300,000

Controllable margin in %= 300,000/900,000 × 100 =33.3%

Controllable margin in %= 33.3

Assume you are the new Branch Manager of a regional distributor and you would like to ensure your sales force is making the best use of its time with the different customer segments. For those customers that exhibit all of the characteristics of the transactional customer as discussed in the notes (with no possibility to move the customer to a deeper relationship), which of the following approaches would you recommend to your sales force? Group of answer choices By creating value in the first phase of the relationship by helping transactional customers solve complex problems. By spending time researching and identifying growth opportunities for the transactional customer in other, unrelated markets. By spending time creating exceptional customer value during all four phases of the purchasing process. By exerting significant time and effort during the riskiest part of the sales process in hopes that the investment will pay off with a sale. By making the purchase process easy, hassle free and preventing post-sale issues.

Answers

Answer:

By creating value in the first phase of the relationship by helping transactional customers solve complex problems.

Explanation:

Transactional customers are this that are focused primarily on the transaction they are engaged in.

They do extensive research on order to get some expertise on a product. Therefore they do not focus on enjoying the sales process. Only the beginning of the process that involves pricing, negotiation, and to discover great products.

To retain such customers it is important to make a good impression at the early stage by creating value in the first phase of the relationship and helping them solve complex problems.

This will satisfy their need for research into a product or service.

They will keep coming back for such assistance.

Use General Mills financial statements to answer questions in this section. All answers should be for the most recent fiscal year unless otherwise stated. For all questions in this section, enter all numbers exactly as they appear in the financial statements. This includes intermediate calculations. If it is stated as a decimal in the financials, use the same decimal in your answer. Answer without dollar signs and other symbols.

Answers

Answer:

27.4 days

Explanation:

Accounts receivable turnover days :

365 / Receivable turnover ratio

Receivable turnover ratio :

Sales / Average accounts receivables

12,442,000,000 / 932,500,000 = 13.34

Account receivable turnover days :

365 / 13.34 = 27.4 days

Simon's most recent income statement is given below. Sales (8,000 units) $160,000 Less variable expenses (68,000) Contribution margin 92,000 Less fixed expenses (50,000) Net income $42,000 Required: a. Contribution margin per unit is b. If sales are doubled total variable costs will equal c. If sales are doubled total fixed costs will equal d. If 20 more units are sold, profits will increase by e. Compute how many units must be sold to break even. f. Compute how many units must be sold to achieve operating income of $60,000. g. Compute the revenue needed to achieve an after tax income of $30,000 given a tax rate of 30%.

Answers

Answer:

a. $11.50

b. $136,000

c. $50,000

d. $230

Explanation:

Contribution = sales - variable costs

Fixed costs do not vary with level of sales or production.

Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Refer to the Labels and Amount Descriptions list provided for the exact wording of the answer choices for text entries. Be sure to complete the heading of the statement. In the operating activities section, use the minus sign to indicate cash outflows, decreases in cash and a net cash outflow, if required. In the investing and financing activities section, use a minus sign only to indicate a NET cash outflow for the section.
The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 20Y8 and 20Y7, is as follows:
1 Dec 31, 20Y8 Dec 31, 20Y7
2 Assets
3 Cash $75,170 $92,110
4 Accounts Receivable (net) 115,500 124,180
5 Merchandise Inventory 165,000 153,920
6 Prepaid Expenses 6,720 4,660
7 Equipment 336,110 275,760
8 Accumulated depreciation-equipment (87,390) (67,630)
9 Total Assets $611,110 $583,000
10 Liabilities and Stockholder's Equity
11 Accounts Payable (merchandise creditors) $128,330 $121,850
12 Mortgage note payable 0 174,900
13 Common stock, $1 par 19,000 12,000
14 Paid-in capital: Excess of issue price over par-common stock 297,000 164,000
15 Retained Earnings 166,780 110,250
16 Total Liabilities and Stockholders' Equity $611,110 $583,000
Additional data obtained from the income statement and from an examination of the accounts in the ledger for 20Y8 are as follows:
A Net Income, $144,720
B Depreciation reported on the income statement, $42,650
C Equipment was purchased at a cost of $83,240, and fully depreciated equipment costing $22,890 was discarded, with no salvage realized
D The mortgage note payable was not due for six years, but the terms permitted earlier payment without penalty
E 7,000 shares of common stock were issued at $20 for cash
F Cash dividends declared and paid, $88,190
Yellow Dog Enterprises Inc
Statement of Cash Flows
For the year ended December 31, 20Y8
1 Cash flows from operating activities
2
3 Adjustments to reconcile net income to net cash flow from operating activities
4
5 Changes in current operating assets and liabilities
6
7
8
9
10 Net cash flow from operating activities
11
12 Cash flows from (used for) investing activities
13
14 Net cash flow used for investing activities
15
16 Cash flows from (used for) financing activities
17
18
19
20 Net cash flow used for financing activities
21
22 Cash at the beginning of the year
23
24 Cash at the end of the year
25

Answers

Answer:

Yellow Dog Enterprises Inc.

Yellow Dog Enterprises Inc

Statement of Cash Flows

For the year ended December 31, 20Y8

1 Cash flows from operating activities  

2 Net income                                                            $144,720

3 Adjustments to reconcile net income to net

cash flow from operating activities

4 Depreciation expense                                             42,650

5 Changes in current operating assets and liabilities

6 Accounts Receivable (net)                                        8,680

7 Merchandise Inventory                                           -11,080

8 Prepaid Expenses                                                   -2,060  

9 Accounts payable                                                    6,480

10 Net cash flow from operating activities          $189,390

11

12 Cash flows from (used for) investing activities

13 Purchase of equipment                                     -83,240

14 Net cash flow used for investing activities      (83,240)

15

16 Cash flows from (used for) financing activities

17 Common stock issued                                     140,000

18 Cash Dividends paid                                         -88,190

19 Mortgage note payable                                  -174,900

20 Net cash flow used for financing activities  (123,090)

21  Net Cash Flows                                             ($16,940)

22 Cash at the beginning of the year                 $92,110

23

24 Cash at the end of the year                           $75,170

25

Explanation:

a) Data and Calculations:

Comparative balance sheet of

Yellow Dog Enterprises Inc.

At December 31, 20Y8 and 20Y7

1                                                            Dec 31, 20Y8 Dec 31, 20Y7

2 Assets                                                                                           Changes

3 Cash                                                            $75,170      $92,110    -$16,940

4 Accounts Receivable (net)                         115,500       124,180       -8,680

5 Merchandise Inventory                             165,000     153,920        11,080

6 Prepaid Expenses                                         6,720         4,660        2,060

7 Equipment                                                   336,110    275,760      60,350

8 Accumulated depreciation                        (87,390)    (67,630)      (19,760)

9 Total Assets                                               $611,110 $583,000      

10 Liabilities and Stockholders Equity

11 Accounts Payable                                   $128,330   $121,850      $6,480

12 Mortgage note payable                              0            174,900    -174,900

13 Common stock, $1 par                              19,000      12,000         7,000

14 Paid-in capital-common stock               297,000    164,000     133,000

15 Retained Earnings                                  166,780     110,250      

16 Total Liabilities & Stockholders' Equity $611,110 $583,000

Analysis of additional information:

A Net income  $144,720

B Depreciation expense = $42,650

C Equipment purchase $83,240 Cash $83,240

   Discarded Equipment = $22,890

E Cash $140,000 Common stock issued $7,000 Paid-in Capital $133,000

F Cash Dividends $88,190 Cash $88,190

Equipment Account

Account Titles          Debit      Credit

Beginning balance  275,760

Cash                          83,240

Discarded equipment           22,890

Ending balance                      336,110

Q4) The price of a luxury car increased from 42.000 euros to 44.000 euros. Then the demand for
this car declined from 100 units to 20 units. Calculate the price elasticity of demand for the car.

Answers

Answer:

Price elasticity of demand = 28.67 (Approx.)

Explanation:

Given:

Old price of car = 42.000 euros

New price of car = 44.000 euros

Quantity of car old = 100 units

Quantity of car new = 20 units

Find:

Price elasticity of car

Computation:

Price elasticity of demand = (Percentage change in quantity)/(Percentage change in price)

Price elasticity of demand = [{(Q2-Q1)100}/{(Q1+Q2)/2}] / [{(P2-P1)100}/{(P1+P2)/2}]

Price elasticity of demand = [{(20-100)100}/{(20+100)/2}] / [{(44000-42000)100}/{(44000+42000)/2}]

Price elasticity of demand = [{-8000}/{60}] / [{200000}/{(43000}]

Price elasticity of demand = 133.33 / 4.65

Price elasticity of demand = 28.67 (Approx.)

A company reports the following: Sales $3,150,000 Average accounts receivable (net) 210,000 Determine (a) the accounts receivable turnover and (b) the number of days' sales in receivables. Round interim calculations to the nearest dollar and final answers to one decimal place. Assume a 365-day year. a. Accounts receivable turnover fill in the blank 1 b. Number of days' sales in receivables

Answers

Answer:

a. Account Receivables turnover = Sales / Average Account Receivables

Account Receivables turnover = $3,150,000 / $210,000

Account Receivables turnover = 15

b. Number of days sales in receivables = 365 / Account Receivables turnover

Number of days sales in receivables = 365 days / 15

Number of days sales in receivables = 24.33 days

Select the education and qualifications that are most helpful for Warehousing and Distribution Center Operations careers. Check all that apply.

high school degree
stamina
leadership
patience
concentration skills
associate degree
creativity

Answers

Answer:

High school degree

Stamina

Patience

Concentration skills

Explanation:

Just did it on edg.

The education and qualifications that are most helpful for Warehousing and Distribution Center Operations careers are:

High school degreeStaminaPatienceConcentration skillsWhat is Warehousing and Distribution Center Operation?

Distribution centers offer value-added services such product mixing, order fulfilment, cross-docking, kitting, and packing in addition to the primary function of storing items in warehouses. Distribution centers, in contrast to warehouses, also only keep the necessary quantity of goods for a shorter amount of time.

Because they primarily support B2B enterprises as a conduit between suppliers and customers, distribution centers are more customer-centric. Distribution centers are in charge of effectively meeting customer demands and expectations; warehouses are in charge of safely keeping products.

Operations at distribution centers are therefore more complicated than those at warehouses. Distribution centers use state-of-the-art technology for order processing, inventory management, warehouse management, and transportation management.

Define concentration.

"The ability to direct your thinking in any direction you choose and to hold it for as long as you choose" is the definition of concentration.

Concentration is the capacity to narrow the field of awareness to one particular idea or subject while rejecting all other distractions.

One of the most crucial skills anybody should have is the capacity to concentrate. However, the majority of people find it difficult to focus. They frequently can't focus on one thing for a reasonable amount of time since their attention tends to wander.

This is a problem that can be solved. The capacity for concentration can be improved, just like any other talent. A person who practices mental discipline may concentrate without being interrupted by thoughts, sounds, or anything else.

While you might occasionally appear to be reading or concentrating on your work, if your attention is diverted you probably won't be able to retain the information for long enough to use it properly to produce something intelligible.

If you find the subject matter to be "boring," you're too sleepy or hungry, you have too much on your plate, you lack motivation for a long-term or short-term goal, or you're very concerned or worried and easily distracted, your ability to focus may be affected.


To learn more about concentration, click here

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Why should you be able to create, share, and maintain documents?

Answers

Answer:

it helps the business run smoother

Explanation:

The company started when it acquired $38,000 cash by issuing common stock. Purchased a new cooktop that cost $14,200 cash. Earned $23,400 in cash revenue. Paid $12,500 cash for salaries expense. Adjusted the records to reflect the use of the cooktop. Purchased on January 1, Year 1, the cooktop has an expected useful life of five years and an estimated salvage value of $3,500. Use straight-line depreciation. The adjusting entry was made as of December 31, Year 1.
Required:
Record the above transactions in a horizontal statements model like the following one. (In the Cosh Flow column, indicate whether the item is an operating activity (OA), an investing activity (IA),a financing activity (FA) and net change in cash (NC). The letters NA indicate that an element is not affected by the event. Enter any decreases to account balances and cash outnows with。 minus sign.) Horizoetal Statements Model Balance Sheet Income Statement Statement of Cash Flows Event Assets Equity Common R Revenue -Expense Net Income Cash Equipment Bal

Answers

Answer:

Horizontal Statements Model

                   Balance Sheet        Income Statement                  Statement of

Assets    = Liabilities + Equity    Revenue - Expenses = Profit   Cash Flows

1. +$38,000)= 0 +      $38,000                                                             FA

2. +$14,200-$14,200 = L + E                                                                 IA

3. +$23,400 = L + E                       +$23,400 -                  $23,400    OA

4. -$12,500 = L + E                                         -    $12,500  -12,500    OA

5. -$2,140 = L + E                                           -      $2,140    - 2,140      None

Total $46,760 = Liabilities + $38,000 +                             $8,760  

   

Where A = assets

L = Liabilities

E = Equity

Explanation:

a) Data and Analysis:

Cash $38,000 Common stock $38,000

Cooktop $14,200 Cash $14,200

Cash $23,400 Sales revenue.

Cash $12,500  Salaries expense $12,500

Depreciation $2,140 ($14,200 - $3,500)/5

On January 1, 2021, the general ledger of TNT Fireworks includes the following account balances:

Accounts Debit Credit
Cash $58,700
Accounts Receivable 25,000
Allowance for Uncollectible Accounts $2,200
Inventory 36,300
Notes Receivable (5%, due in 2 years) 12,000
Land 155,000
Accounts Payable 14,800
Common Stock 220,000
Retained Earnings 50,000
Totals $287,000 $287,000


During January 2021, the following transactions occur:

January 1 Purchase equipment for $19,500. The company estimates a residual value of $1,500 and a five-year service life.
January 4 Pay cash on accounts payable, $9,500.
January 8 Purchase additional inventory on account, $82,900.
January 15 Receive cash on accounts receivable, $22,000.
January 19 Pay cash for salaries, $29,800.
January 28 Pay cash for January utilities, $16,500.
January 30 Firework sales for January total $220,000. All of these sales are on account. The cost of the units sold is $115,000.

Information for adjusting entries:

Depreciation on the equipment for the month of January is calculated using the straight-line method.
The company estimates future uncollectible accounts. The company determines $3,000 of accounts receivable on January 31 are past due, and 50% of these accounts are estimated to be uncollectible. The remaining accounts receivable on January 31 are not past due, and 3% of these accounts are estimated to be uncollectible. (Hint: Use the January 31 accounts receivable balance calculated in the general ledger.)
Accrued interest revenue on notes receivable for January.
Unpaid salaries at the end of January are $32,600.
Accrued income taxes at the end of January are $9,000.

Required:
a. Prepare a multiple-step income statement for the period ended January 31, 2021.
b. Prepare a classified balance sheet as of January 31, 2021.
c. Record closing entries.


Answers

Answer:

TNT Fireworks

a. Multiple-step Income Statement for the period ended January 31, 2021:

Sales revenue                         $220,000

Cost of goods sold                     115,000

Gross profit                              $105,000

Interest Revenue                                50

Expenses:

Depreciation exp.      3,600

Salaries expense    62,400

Utilities expense     16,500

Bad debt expense   5,900      $88,400

Income before tax                   $16,650

Income taxes exp                        9,000

Net income                                $7,650

Beginning Retained Earnings  50,000

Ending Retained earnings     $57,650

b. Classified Balance Sheet as of January 31, 2021:

Assets

Current assets:

Cash                              $5,400

Accounts Receivable 223,000

Allowance for

Uncollectible Accounts (8,100)

Interest Receivable             50

Inventory                        4,200    $224,550

Long-term assets

Notes Receivable (5%,

due in 2 years)           12,000

Land                          155,000

Equipment                  19,500

Depreciation               (3,600)     $182,900

Total assets                                $407,450

Liabilities and equity

Current liabilities:

Accounts Payable                        $88,200

Salaries payable                            32,600

Income taxes payable                     9,000

Total liabilities                            $129,800

Equity:

Common Stock                        $220,000

Retained Earnings                        57,650

Total equity                              $277,650

Total liabilities and equity       $407,450

c. Closing Entries:

Accounts                       Debit      Credit

Sales revenue        $220,000

Interest Revenue               50

Income summary                     $220,050

To close sales and interest revenue to the income summary.

Income Summary  $212,400

Cost of goods sold                   $115,000

Depreciation exp.                          3,600

Salaries expense                        62,400

Utilities expense                         16,500

Bad debt expense                       5,900

Income taxes exp                        9,000

To close cost of goods sold and expenses to the income summary.

Income summary     $7,650

Retained earnings                   $7,650

To close the net income to the retained earnings.

Explanation:

a) Data and Calculations:

Account Balances:

Accounts                       Debit      Credit

Cash                          $58,700

Accounts Receivable 25,000

Allowance for

Uncollectible Accounts             $2,200

Inventory                   36,300

Notes Receivable (5%,

due in 2 years)         12,000

Land                        155,000

Accounts Payable                       14,800

Common Stock                       220,000

Retained Earnings                    50,000

Totals                  $287,000 $287,000

Analysis of Transactions:

January 1 Equipment $19,500  Cash $19,500

January 4 Accounts payable, $9,500 Cash $9,500

January 8 Inventory $82,900 Accounts payable $82,900

January 15 Cash $22,000 Accounts receivable, $22,000

January 19 Salaries expense $29,800 Cash $29,800

January 28 Utilities expense, $16,500 Cash $16,500

January 30 Accounts receivable $220,000 Sales revenue $220,000

Cost goods sold $115,000 Inventory $115,000

Accounts                       Debit      Credit

Cash                          $58,700 - 19,500 -9,500 +22,000 - 29,800 - 16,500

= $5,400

Accounts Receivable 25,000 - 22,000 + 220,000 = 223,000

Interest Receivable           50

Allowance for

Uncollectible Accounts             $2,200 + 5,900 = 8,100

Inventory                   36,300 + 82,900 - 115,000 = 4,200

Notes Receivable (5%,

due in 2 years)         12,000

Land                        155,000

Equipment                19,500

Accumulated depreciation          3,600

Accounts Payable                       14,800 - 9,500 + 82,900 = 88,200

Salaries payable                        32,600

Income Taxes Payable                9,000

Common Stock                       220,000

Retained Earnings                    50,000

Sales revenue                        220,000

Interest Revenue                             50

Cost of goods sold 115,000

Depreciation exp.      3,600

Salaries expense    29,800 + 32,600 = 62,400

Utilities expense     16,500

Bad debt expense   5,900

Income Taxes          9,000  

Totals                  $287,000 $287,000

Adjusting entries:

Depreciation expenses $3,600 Accumulated depreciation $3,600

Allowance for Uncollectible Accounts = $1,500

Allowance for uncollectible accounts = $6,600 ($220,000 * 3%)

Total allowance for uncollectible = $8,100 ($1,500 + $6,600)

Bad debts expense $ 5,900 Allowance for Uncollectible $5,900

Interest Receivable $50 Interest Revenue = $50 ($12,000 * 5% * 1/12)

Salaries Expense $32,600 Salaries payable $32,600

Income Taxes $9,000 Income Taxes Payable $9,000

Adjusted Trial Balance

As of January 31, 2021

Accounts                       Debit      Credit

Cash                              $5,400

Accounts Receivable 223,000

Interest Receivable             50

Allowance for

Uncollectible Accounts               $8,100

Inventory                        4,200

Notes Receivable (5%,

due in 2 years)           12,000

Land                          155,000

Equipment                  19,500

Accumulated depreciation          3,600

Accounts Payable                      88,200

Salaries payable                        32,600

Income taxes payable                 9,000

Common Stock                       220,000

Retained Earnings                    50,000

Sales revenue                        220,000

Interest Revenue                             50

Cost of goods sold 115,000

Depreciation exp.      3,600

Salaries expense    62,400

Utilities expense     16,500

Bad debt expense   5,900

Income taxes exp    9,000

Totals                 $631,550 $631,550

In a two-player, one-shot simultaneous-move game each player can choose strategy A or strategy B. If both players choose strategy A, each earns a payoff of $400. If both players choose strategy B, each earns a payoff of $200. If player 1 chooses strategy A and player 2 chooses strategy B, then player 1 earns $100 and player 2 earns $600. If player 1 chooses strategy B and player 2 chooses strategy A, then player 1 earns $600 and player 2 earns $100.

Required:
a. Write the above game in normal form.
b. Find each player’s dominant strategy, if it exists.
c. Find the Nash equilibrium (or equilibria) of this game.
d. Rank strategy pairs by aggregate payoff (highest to lowest).
e. Can the outcome with the highest aggregate payoff be sustained in equilibrium? Why or why not?

Answers

Answer:

a) attached below

b)  Player 1 dominant strategy =  when he chooses strategy B

     Player 2 dominant strategy = when he chooses strategy B

c) Strategy A is the Nash equilibrium

d) AA  = $800

   AB , BA = $700

   BB = $400

e) Yes

Explanation:

A) The Game written in Normal form

     attached below

B) Determine each player dominant strategy

Player 1 dominant strategy =  when he chooses strategy B

Player 2 dominant strategy = when he chooses strategy B

C) The Nash Equilibrium of the game is when Both players choose strategy A because when they both choose Strategy they both earn $400 each

D) Ranking strategy pairs from Highest to lowest

   AA  = $800

   AB , BA = $700

   BB = $400

E) The outcome can be sustained

because The Nash equilibrium is the same as the highest ranking strategy pair ( i.e. AA  = $800 )

 

   

Personal budget
At the beginning of the school year, Craig Kovar decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget:
Cash balance, September 1 (from a summer job) $8,150
Purchase season football tickets in September 130
Additional entertainment for each month 210
Pay fall semester tuition in September 4,200
Pay rent at the beginning of each month 500
Pay for food each month 460
Pay apartment deposit on September 2
(to be returned December 15) 500
Part-time job earnings each month (net of taxes) 1,000
a. Prepare a cash budget for September, October, November, and December.
b. What are the budget implications for Craig Kovar?

Answers

Answer:

Craig Kovar

Cash Budget

                              September    October     November      December

Beginning balance   $8,150        $3,150         $2,980            $2,810

Wages                         1,000          1,000            1,000              1,000

Deposit refund                                                                            500

Total cash receipts  $9,150       $4,150          $3,980           $4,310

Payments:

Season football tickets 130

Entertainment               210            210                210                210

Semester tuition       4,200                                                    4,200

Rent                              500          500               500               500

Food                             460          460               460                460

Apartment deposit      500

Total payments      $6,000       $1,170            $1,170          $5,370

Cash balance          $3,150     $2,980           $2,810         ($1,060)

b. Craig needs to borrow $1,060 in December to meet up with expenses.  Alternatively, he will need to increase his monthly earnings by more than $265.  He can also reduce his monthly expenses by $265 at least, especially from additional entertainment and food.  He should also start considering how he could survive January without additional income.

Explanation:

a) Data and Calculations:

Receipts:

Cash balance, September 1 (from a summer job) $8,150

Part-time job earnings each month (net of taxes) 1,000

Apartment deposit returned in December $500

Payments:

Season football tickets in September 130

Additional entertainment for each month 210

Semester tuition in September 4,200

Rent at the beginning of each month 500

Food each month 460

Apartment deposit on September 2  500

Other Questions
Vince has always believed children deserve the best prenatal care available. During a class discussion, he hears the first of several speakers express very negative attitudes toward spending tax money on prenatal care for the poor. When it is his turn to speak, he voices an opinion more in keeping with the previous speakers. Vince's behavior is an example ofVince has always believed children deserve the best prenatal care available. During a class discussion, he hears the first of several speakers express very negative attitudes toward spending tax money on prenatal care for the poor. When it is his turn to speak, he voices an opinion more in keeping with the previous speakers. Vince's behavior is an example of a gas measured a volume 100 mL under pressure of 740 mmHg. What would the volume be under a pressure of 780 mmHg with constant temperature Find the DIAMETER if the circumference of a circle is 64.7 How do lines 12-13 develop the theme of fascination? Ill give points + brainalist (: Will authors always directly state the central idea of a text? Carmita works at a factory in Dhaka, Bangladesh, where she sews blue jeans for a major American firm. On Mondays, she sews the side seams of the jeans, on Tuesdays she sews on pockets, Wednesdays she presses finished jeans, Thursdays she folds jeans, packages sets of twelve in shrink wrap and places them in boxes, and on Friday she sews decorative stitching on the pockets and side seams. Carmita is working under the job design technique of Group of answer choices job rotation. job enrichment. job specialization. job enlargement. can you please help me with the question below Explain how you would find the length of one side off a square if the area is 16 square units please HELP Calculate the final concentration of each of the following:2.0 L of a 6.0 M HCl solution is added to water so that the final volume is 6.0 L--Water is added to 0.50 L of a 12 M NaOH solution to make a 3.0 L of a diluted NaOH solution a trader needs $300000 to improve her business, she deposits $110000 in her savings account at 5% per annum compound interest. she then adds $50000 to her savings at the end of each year find (a) her total savings after 3 years. (b)by how much is her savings greater or less than $300000 at the end of the third year A 50 foot ladder is set against the side of a house so that it reaches up 30 feet. IfAlonso grabs the ladder at its base and pulls it 5 feet farther from the house, how farup the side of the house will the ladder reach now? (The answer is not 25 ft.) Roundto the nearest tenth of a foot. A high school will only offer a pottery class next year if at least 15 students sign up. So far, 9students have signed up for the pottery class.Let x represent how many more students need to sign up. Which inequality describes theproblem?9 + X > 159 + x 2 15Solve the inequality. Then, complete the sentence to describe the solution.At leastmore students need to sign up. True/False: The climate of an area has direct impact on the plants and animals that live there. Help please Ill mark brainlist I really needs help pls Least to greatest - 1.8 , 1 , 1 2/5 , 1 9/10 , -1.25 Explain to me what cathyrn did wrong based of the line plot? Ill mark brainliest if I have one Is it True or false?? (D) Antonyms - Thanks me later please help me!!image above Which of the following statements about using dramatics in a sales presentation is most likely true? Using dramatic demonstrations fails to set a salesperson apart from the majority of other salespeople. A salesperson's own uncertainty about the use of dramatics increases the positive impact on the prospect. A theatrical movie showing the history of the company is an example of dramatization. Dramatics should be incorporated into all sales presentations due to their success rate. Television commercials are a source of ideas for dramatizations.