For calendar year 2021, Pharoah Corp. reported depreciation of $1640000 in its income statement. On its 2021 income tax return, Pharoah reported depreciation of $2476000. Pharoah's income statement also included $312000 accrued warranty expense that will be deducted for tax purposes when paid. Pharoah's enacted tax rates are 20% for 2021 and 2022, and 15% for 2023 and 2024. The depreciation difference and warranty expense will reverse over the next three years as follows: Depreciation Difference Warranty Expense 2022 $332000 $64000 2023 292000 104000 2024 212000 144000 $836000 $312000 These were Pharoah's only temporary differences. In Pharoah's 2021 income statement, the deferred portion of its provision for income taxes should be

Answers

Answer 1

Answer:

Pharoah Corp.

In Pharoah's 2021 income statement, the deferred portion of its provision for income taxes should be:

= $104,800.

Explanation:

a) Data and Calculations:

Tax rates for 2021 and 2022 = 20%

Tax rates for 2023 and 2024 = 15%

2021 Income Statement Depreciation reported = $1,640,000

2021 Income Tax Depreciation on tax return = $2,476,000

Temporary difference due to depreciation = $836,000 ($2,476,000 - $1,640,000)

Temporary difference due to Accrued Warranty Expense = $312,000

Temporary Differences Reversal:

                    Depreciation Difference       Warranty Expense

2022                      $332,000                               $64,000

2023                        292,000                                104,000

2024                         212,000                                144,000

Total                       $836,000                             $312,000

Deferred Tax Liability (Depreciation Difference) = $167,200 ($836,000 * 20%)

Deferred Tax Asset (Warranty Expense) = $62,400 ($312,000 * 20%)

Deferred portion of provision for income taxes = $104,800 ($167,200 - $62,400)


Related Questions

Red Rock Bakery purchases land, building, and equipment for a single purchase price of $440,000. However, the estimated fair values of the land, building, and equipment are $189,000, $297,000, and $54,000, respectively, for a total estimated fair value of $540,000. Required: Determine the amounts Red Rock should record in the separate accounts for the land, the building, and the equipment.

Answers

Answer and Explanation:

The computation of the amount that recorded in each separate account is shown below:

Asset  Estimated fair value   Allocated %   Purchase price Recorded amount

Land    $189,000                        0.35              $440,000            $154,000

Building   $297,000                   0.55              $440,000            $242,000

Equipment  $54,000                  0.10               $440,000            $44,000

Total        $540,000                    100

Takelmer Industries has a different WACC for each of three types of projects. Lowrisk projects have a WACC of​ 8.00%, averagerisk projects a WACC of​ 10.00%, and highrisk projects a WACC of​ 12%. Which of the following projects do you recommend the firm​ accept? Project Level of Risk IRR A Low ​9.50% B Average ​8.50% C Average ​7.50% D Low ​9.50% E High ​14.50% F High ​17.50% G Average ​11.50% A. ​B, C,​ E, F, G B. ​A, D,​ E, F,​ G, C. ​A, B,​ C, D,​ E, F, G D. ​A, B,​ C, D, G

Answers

Answer:

The correct option is B. ​A, D,​ E, F,​ G.

Explanation:

IRR can described as the discount rate makes a project's net present value (NPV) to be equal to zero. Any rate that is higher than the IRR results in a negative NPV.

The weighted average cost of capital (WACC) can be described as cost of capital of a firm that is calculated by givng proportional weight to each category of capital of the firm.

For this question, the decision rule is therefore to reject any project that its IRR is less than its associated WACC.

The analysis can be done as follows:

Project       Level of Risk         IRR          WACC         Recommendation

A                     Low                 ​9.50%       8.00%               Accept

B                Average              ​8.50%       10.00%               Reject

C                Average              ​7.50%       10.00%               Reject

D                   Low                  ​9.50%        8.00%              Accept

E                   High ​                14.50%         12%                 Accept

F                   High                 ​17.50%         12%                  Accept

G              Average               ​11.50%       10.00%               Accept

Based on the analysis above, projects A, D,​ E, F and G are therefore recommended to the firm to accept.

Therefore, the correct option is B. ​A, D,​ E, F,​ G.

[tex]A bond for J. Morris, Inc. a coupon rate of 6%. The yield to maturity is 7%. The bond has a remaining life of 20 years and makes semi-annual coupon payments? What is the present value of the bond s face value?[/tex]A bond for J. Morris, Inc. a coupon rate of 6%. The yield to maturity is 7%. The bond has a remaining life of 20 years and makes semi-annual coupon payments? What is the present value of the bond s face value?

Answers

Answer:

masjid DC jeans he shrugged egg kt

Explanation:

gggui it r ET UT yeah DJ it's CNN kf

A local jacket distributor expects to sell 9,000 black fleece jackets in a year. Assume that EOQ model assumptions are valid. Each jacket costs $50, ordering cost is $100 per order, and holding cost is 1 dollar per jacket per month. What is the annual inventory cost (excluding purchasing cost) if 500 jackets are ordered at a time

Answers

Answer: $4,800

Explanation:

First find the Annual holding cost:

= Average inventory * Cost of holding a unit

= 500/2 * 1 * 12 months

= $3,000

Then find the Annual ordering cost:

= Expected units to be sold/ Units ordered * Ordering cost

= 9,000/500 * 100

= $1,800

Annual Inventory cost = Annual holding cost + Annual ordering cost

= 3,000 + 1,800

= $4,800

On January 1, a company issues bonds dated January 1 with a par value of $620,000. The bonds mature in 3 years. The contract rate is 7%, and interest is paid semiannually on June 30 and December 31. The bonds are sold for $596,000. The journal entry to record the first interest payment using straight-line amortization is: Multiple Choice Debit Interest Expense $17,700; debit Discount on Bonds Payable $4,000; credit Cash $21,700. Debit Interest Payable $21,700; credit Cash $21,700. Debit Interest Expense $25,700; credit Discount on Bonds Payable $4,000; credit Cash $21,700. Debit Interest Expense $21,700; credit Premium on Bonds Payable $4,000; credit Cash $17,700. Debit Interest Expense $21,700; credit Cash $21,700.

Answers

Answer:

Debit Interest Expense $25,700; credit Discount on Bonds Payable $4,000; credit Cash $21,700.

Explanation:

The journal entry to record the first interest payment is given below:

Bond interest expense $25,700

          To Discount on bond payable (($620,000 - $596,000) ÷ 6 years) $4,000

          To Cash ($620,000 × 7% ÷ 2) $21,700

(being the first interest payment is recorded)

Here interest expense is debited as it increased the expense and credited the discount and cash as it decreased the liabilities and assets

Monetary approach and forecasting.
Suppose relative PPP and the quantity theory of money hold. Suppose you expect the rate of money growth of Argentina in the next year to be around 15% while your forecast for its real GDP growth is at 2%. Suppose inflation in Brazil is expected to be at 4%.
Suppose you learn that the government of Argentina is planning to cut taxes. You expect this tax cut to be financed through money creation and revise your forecast for money growth to be 25% instead of 15%.
Suppose that you also expect the UIP to hold. You know that the nominal interest rate in Brazil today is 6% (on deposits maturing in a year).
1. What is the nominal interest rate in Argentina?
2. What is the world real interest rate?

Answers

Answer:

1. The nominal interest rate in Argentina is:

= 25%

2. The world real interest rate is:

= 2%.

Explanation:

a) Data and Calculations:

Expected money growth rate of Argentina next year = 15%

Forecasted real GDP growth = 2%

Expected inflation rate = 13% (15% - 2%)

Nominal interest rate = real interest rate + inflation rate

Real interest rate = 25% - 13% = 12%

Nominal interest rate = 12% + 13% = 25%

The world real interest rate = nominal interest rate minus inflation rate

= 6% - 4% = 2%

For journal entries in this assignment, enter AR for Accounts Receivable, ADA for Allowance for Doubtful Accounts, BAD for Bad Debt Expense, REV for Sales Revenue, and CASH for Cash. Please be careful as you type, because Blackboard is not forgiving! Enter all numeric answers in whole dollars but without a $.
Priestly Inc. records sales on account of $120,000 during the month of June. The company estimates bad debt expense as of 3% of credit sales.
A. Show the journal entry for the June sales on account (enter account name from the choices in the general instructions above, and then the amount).
o Debit: [a] [b]
o Credit: [c] [d]
B. Show the journal entry for June's bad debt expense.
o Debit: [e] [f]
o Credit: [g] [h]
C. Assuming Priestly's opening balance of Accounts Receivable on June 1 was $0, what is its balance of net Accounts Receivable after the two entries above?
Just before closing its books on June 30, Priestly learns that one of its customers, the McKay Company, has run into financial difficultly and cannot pay an invoice totaling $2,300. Priestly decides to write off McKay's account.
i. Show the journal entry for the write-off.
o Debit: [j] [k]
o Credit: [U] [m]
ii. What is Priestly's balance of net Accounts Receivable after the write-off? [
On July 15, Priestly is pleasantly surprised to receive a check for $1,200 from McKay with a note saying the remainder of the balance due will be sent in two weeks.
A. Show the journal entry to reinstate the account for which payment has been received.
o Debit: [o] [p]
o Credit: [q] [r]
B. Show the journal entry to record McKay's payment of $1,200.
o Debit: [s] [t]
o Credit: [u] [v]
C. What is Priestly's balance of net Accounts Receivable after the entries pertaining to Mckay?

Answers

Answer:

Priestly Inc.

A. Debit AR 120,000

Credit REV 120,000

To record the sales on account for June.

B. Debit BAD 3,600

Credit ADA 3,600

To record the bad debts expense for the month.

C. The balance of net Accounts Receivable after the two entries above is $116,400

D. Debit ADA 2,300

Credit AR 2,300

To write-off McKay's account.

E. Priestly's balance of net Accounts Receivable after the write-off is $$114,100.

F. Debit AR 1,200

Credit ADA 1,200

To reinstate a previously written-off amount from McKay's account.

G. Debit CASH 1,200

Credit AR 1,200

To record the receipt from McKay on account.

H.  Priestly's balance of net Accounts Receivable after the entries pertaining to McKay is $114,100.

Explanation:

Data and Analysis:

A. Accounts receivable $120,000 Sales revenue $120,000

B. Bad Debts Expense $3,600 Allowance for Doubtful Accounts $3,600

C. Allowance for Doubtful Accounts $2,300 Accounts Receivable $2,300

D. Accounts Receivable $1,200 Allowance for Doubtful Accounts $1,200

E. Cash $1,200 Accounts Receivable $1,200

T-account:

Accounts Receivable

Account Titles                     Debit        Credit     Balance

A. Sales revenue         $120,000                     $120,000

B. Allowance for Doubtful Accounts $3,600     116,400

C. Allowance for Doubtful Accounts $2,300     114,100

D. Allowance for

Doubtful Accounts           1,200                        115,300

E. Cash                              1,200                         114,100

ABC developed a new horse transport device and incurred research and development costs of $250,000. Rather than continue with their own research, ABC decided to purchase a patent for a similar design from Vail, Inc. for $350,000. What are the total assets and expenses for these developments

Answers

Answer:

Total Assets $350,000

Expenses $250,000

Explanation:

The company (ABC) has spent on research and development costs of $250,000. These costs are associated on the assets which are currently under development and benefit of which would be derived in the near future. Therefore, in the accounting treatment these costs will be recorded as expense.

The patent is considered as an intangible asset. This is due to the fact that they do not have any physical substance and provides benefit in the long run for the company who owns them. Their treatment in which case would be same as any intangible asset. ABC should treat the purchasing of patents as asset.

Hence, research and development costs incurred for new horse transport is expenses at $250,000 and the purchasing of patents would be recorded as an asset at $350,000.

how do occupancy rate and potential gross rate relate​

Answers

Explanation:

Occupancy rate is the ratio of rented or used space to the total amount of available space.

The potential gross rate is the total rental income a property can produce if all units were fully leased and rented at market rents with a zero vacancy rate.

They relate through that they both allow for renting?

Use the following information to calculate the dollar cost of using a money market hedge to hedge 200,000 British pounds of payables due in 180 days. Assume the firm has no excess cash. Assume the spot rate of the pound is $2.02, and the 180-day forward rate is $2.00. The British interest rate is 5 percent, and the U.S. interest rate is 4 percent over the 180-day period.
a. $351,210.
b. $381,210.
c. $371,210.
d. $400,152.

Answers

Answer:

Dollar cost of Money market hedge= $400,152.38

Explanation:

The money market hedge would be set up as follows:

Step 1: Deposit in Pounds

Deposit an amount in Pounds equals to

Amount to be deposited= Payable/(1+deposit rate)

= 200,000 pound/(1.05)=   190,476.19   pounds

 

Step 2 : Convert the sum

Convert  190,476.19   pounds at the spot rate  of $2.02

Dollar amount =  190,476.19  × 2.02

= $ 384,761.90  

Step 3: Borrow at home (US)

Borrow  $ 384,761.90     for 180 days at an interest rate of 4%

Amount due (inclusive of interest) = Amount borrowed × 1.04

=$  384,761.90   × 1.04

= $  400,152.38  

Dollar cost of Money market hedge= $400,152.38  

Mike is a self-employed graphic designer his net earnings from his commissioned work this year are 41200 what is he is s e c a deduction

Answers

Answer:5821.60

Explanation:

Just done it to

Plum Corporation will begin operations on January 1. Earnings for the next five years are projected to be relatively stable at about $80,000 per year. The shareholders of Plum are in the 33% tax bracket. With the given scenarios, pick the best choice and explain why.
A. Assume that Plum will reinvest its after-tax earnings in the growth of the company, should Plum Corp operate as a C Corporation or an S Corporation?
B. Assume that Plum will distribute its after-tax earnings each year to its shareholders. Should Plum operate as a C corporation or an S Corporation?

Answers

Answer:

Plum Corporation

The best choice is:

B. Assume that Plum will distribute its after-tax earnings each year to its shareholders. Should Plum operate as a C corporation or an S Corporation?

Explanation:

a) Tax is the greatest difference existing between a C corporation and an S corporation.  With a C corporation, the earnings are taxed twice.  When the C corporation earns income, it is taxed as a corporation.  When it distributes the after-tax earnings, the owners are taxed again in income tax.  This does not happen with an S corporation.  The S corporation does not pay corporate tax, instead, its owners pay their individual income taxes because the corporation's incomes are passed through the members.

The December Customer Survey indicates how customers perceived the products in the segment. The survey evaluates the product against the buying criteria. Zero indicates the product met none of the criteria as of December 31, however it had a higher score earlier in the year. Which of the following conditions does not contribute to a perfect score of 100 for a product?
1) Product was priced at the bottom of the range.
2) Product was perfectly positioned (because the segment moves each month, this can occur only once each year).
3) Product had 100% Awareness and 100% Accessibility.
4) All of these are required for a 100 customer satisfaction.

Answers

Answer:

2) Product was perfectly positioned (because the segment moves each month, this can occur only once each year).

Explanation:

The following conditions that contribute 100 as a perfect score is

a. The product should be priced at the bottom range

b. The product contains 100% awareness & 100% accessibility

c. The customer satisfaction needed 100

But the product that is perfect positioned so the same would not be contributed as 100%

Since ages & distance from the ideal spots varies so the score varies month to months

Nevis Motors manufactures a product requiring 0.5 ounces of platinum per unit. The cost of platinum is approximately $360 per ounce; the company maintains an ending platinum inventory equal to 10% of the following month's production usage. The following data were taken from the most recent quarterly production budget: July August September Planned production in units 1,000 1,100 980 The cost of platinum to be purchased to support August production is: Multiple Choice $195,840. Correct $198,000. $200,160. $391,680. None of the answers is correct.

Answers

Answer:

$195,840

Explanation:

A purchases budget is is usually prepared to determine material requirements to meet the production targets.

Nevis Motors

Materials Purchases Budget for the Month of August

Material requirement for production (1,100 x 0.5)                             550

Add Budgeted Closing Materials Inventory (980 x 0.5 x 10%)           49

Total Required Materials                                                                     599

Less Budgeted Opening Materials Inventory (1,100 x 0.5 x 10%)     (55)

Budgeted Purchases                                                                           544

Cost per ounce                                                                                  $360

Total Budgeted Purchases cost                                                 $195,840

The master budget at Western Company last period called for sales of 225,000 units at $9 each. The costs were estimated to be $3.75 variable per unit and $225,000 fixed. During the period, actual production and actual sales were 230,000 units. The selling price was $9.10 per unit. Variable costs were $4.50 per unit. Actual fixed costs were $225,000. Required: Prepare a sales activity variance analysis

Answers

Answer:

Sales volume variance $26,250 Favorable

Explanation:

The sales volume variance is calculated as the difference between the budgeted and the actual sales volume multiplied by he standard contribution per unit

                                                                       Units

Budgeted sales units                                 225,000

Actual sales units                                       230,000

Sales volume                                              5,000 favorable

Standard contribution(9-3.75)                   × $5.25

Sales volume variance                            $ 26,250

Sales volume variance                        $26,250 Favorable

Note standard contribution = standard selling price - standard variable cost

This type of budgeting technique is commonly used because it provides a budget that is tied directly to the company's strategy and tactics for the year. While it is demanding and calls for a lot of information up front, it is one of the most logical ways to set a budget for marketing efforts. This budgeting method is called:

Answers

Answer:

Objective and task.

Explanation:

A budget is a financial plan used for the estimation of revenue and expenditures of an individual, organization or government for a specified period of time, often one year. Budgets are usually compiled, analyzed and re-evaluated on periodic basis. The benefits of having a budget is that it aids in setting goals, earmarking revenues and resources, measuring outcomes and planning against contingencies.

The budgeting method described in the question is called objective and task. It is typically used by various organizations or companies due to the fact that, it's tied directly to the strategy and tactics of a company on an annual basis. Also, it is used to set a budget for marketing efforts while anticipating on informations about the company.

Required information Use the following information for the Exercises below. Skip to question [The following information applies to the questions displayed below.] Hudson Co. reports the contribution margin income statement for 2019. HUDSON CO. Contribution Margin Income Statement For Year Ended December 31, 2019 Sales (10,300 units at $375 each) $ 3,862,500 Variable costs (10,300 units at $300 each) 3,090,000 Contribution margin 772,500 Fixed costs 600,000 Pretax income $ 172,500 Exercise 18-16 Break-even LO P2 1. Compute Hudson Co.'s break-even point in units. 2. Compute Hudson Co.'s break-ev

Answers

Answer:

See

Explanation:

1. Break even point in units

= Fixed cost / Selling price per unit - Variable cost per unit

Given that

Fixed cost = $600,000

Selling price per unit = $375

Variable cost per unit = $300

Break even point in units = $600,000 / ($375 - $300)

= $600,000 / $75

= 8,000 units

2. Break even in sales

= Fixed cost / Selling price unit - Variable cost per unit × Selling price per unit.

=[ $600,000 / ($375 - $300) ] × $375

= 8,000 × $375

= $3,000,000


Which of the following reflect the balances of prepayment accounts prior to adjustment?

Answers

Answer:

The answer is Balance sheet accounts are overstated and income statement accounts are understated.

Explanation:

g On January 1, Garcia Supply leased a truck for a three-year period, at which time possession of the truck will revert back to the lessor. Annual lease payments are $10,500 due on December 31 of each year, calculated by the lessor using a 4% discount rate. Negotiations led to Garcia guaranteeing a $27,400 residual value at the end of the lease term. Garcia estimates that the residual value after four years will be $26,300. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) What is the amount to be added to the right-of-use asset and lease liability under the residual value guarantee

Answers

Answer:

The amount to be added to the right-of-use asset and lease liability under the residual value guarantee is $904.12.

Explanation:

Guaranteed residual value = $27,400

Estimated residual value = $26,300

Difference in residual value = Guaranteed residual value - Estimated residual value = $27,400 - $26,300 = $1,100

Present value of difference in residual value = Difference in residual value / (100% + Discount rate)^Number of years = $1,100 / (100% + 4%)^5 = $904.12

Therefore, the amount to be added to the right-of-use asset and lease liability under the residual value guarantee is $904.12 which is the present value of difference in residual value.

2. Identify four skills that you will need to actively participate in meetings.​

Answers

Answer:

Particpating, having to ability to drink a lot of coffe, being energetic, concertrating.

Explanation:

Assume that Jones Co. will need to purchase 100,000 Singapore dollars (S$) in 180 days. Today's spot rate of the S$ is $.50, and the 180-day forward rate is $.53. A call option on S$ exists, with an exercise price of $.52, a premium of $.02, and a 180-day expiration date. A put option on S$ exists, with an exercise price of $.51, a premium of $.02, and a 180-day expiration date. Jones has developed the following probability distribution for the spot rate in 180 days:

Possible Spot Rate in 90 Days Probability
$.48 10%
$.53 60%
$.55 30%

The probability that the forward hedge will result in a higher payment than the options hedge is ____

Answers

Answer:

10%

Explanation:

Based on the information given we were told that the Possible Spot Rate in 90 Days is $.48 while the Probability is 10% which means that the Probability that call option won't be exercised is 10% which will inturn enables Jones to pay the amount of $48,000($.48*$100,000) reason been that it is much lower than the amount of $53,000($.53*$100,000) that was paid been with the forward hedge.

Therefore The probability that the forward hedge will result in a higher payment than the options hedge is 10%

Crystal Displays Inc. recently began production of a new product, flat panel displays, which required the investment of $1,500,000 in assets. The costs of producing and selling 5,000 units of flat panel displays are estimated as follows:

Variable costs per unit:
Fixed costs:

Direct materials $120
Factory overhead $250,000
Direct labor 30
Selling and administrative expenses 150,000
Factory overhead 50
Selling and administrative expenses 35
Total variable cost per unit $235

Crystal Displays Inc. is currently considering establishing a selling price for flat panel displays. The president of Crystal Displays has decided to use the cost-plus approach to product pricing and has indicated that the displays must earn a 15% return on invested assets.

Required:
Determine the amount of desired profit from the production and sale of flat panel displays.

Answers

Answer:

Crystal Displays Inc.

The amount of desired profit from the production and sale of the flat panel displays is:

= $225,000

Explanation:

a) Data and Calculations:

Investment in assets = $1,500,000

Production and sales units = 5,000

Cost of production and sales:

Variable costs per unit:

Direct materials                    $120  

Direct labor                              30

Factory overhead                    50

Selling and

administrative expenses        35

Total variable cost per unit $235

Fixed costs:

Factory overhead                             $250,000

Selling and administrative expenses 150,000

Total fixed costs                              $400,000

Total production costs:

Variable production costs =  $1,000,000 (5,000 * $200)

Fixed factory overhead             250,000

Total production costs          $1,250,000

Total selling and administrative expenses:

Variable selling and admin.     $175,000

Fixed selling and admin.            150,000

Total selling and admin. exp. $325,000

Total costs of production and sales = $1,575,000

Target return on invested assets =         225,000 ($1,500,000 * 15%)

Total expected sales revenue =          $1,800,000

Price per unit = $360 ($1,800,000/5,000)

Ivanhoe Windows manufactures and sells custom storm windows for three-season porches. Ivanhoe also provides installation service for the windows. The installation process does not involve changes in the windows, so this service can be performed by other vendors. Ivanhoe enters into the following contract on July 1, 2020, with a local homeowner. The customer purchases windows for a price of $2,370 and chooses Ivanhoe to do the installation. Ivanhoe charges the same price for the windows irrespective of whether it does the installation or not. The installation service is estimated to have a standalone selling price of $590. The customer pays Ivanhoe $1,920 (which equals the standalone selling price of the windows, which have a cost of $1,120) upon delivery and the remaining balance upon installation of the windows. The windows are delivered on September 1, 2020, Ivanhoe completes installation on October 15, 2020, and the customer pays the balance due. Prepare the journal entries for Geraths in 2014.
Refer to the revenue arrangement: Repeat the requirements, assuming (a) Geraths estimates the standalone value of the installation based on an estimated cost of $400 plus a margin of 20% on cost, and (b) given uncertainty of finding skilled labor, Geraths is unable to develop a reliable estimate for the fair value of the installation.

Answers

Answer:

Ivanhoe Windows

a. Journal Entries:

September 1, 2020:

Debit Cash $1,920

Credit Sales Revenue $1,920

To record the sale of windows to Geraths.

Debit Cost of goods sold $1,120

Credit Inventory $1,120

To record the cost of goods sold.

October 15, 2020:

Debit Cash $450

Credit Installation Revenue $450

To record the completion of installation service.

b. Journal Entries:

September 1, 2020:

Debit Cash $1,920

Credit Sales Revenue $1,896

Credit Unearned Revenue $24

To record the sale of windows to Geraths.

Debit Cost of goods sold $1,120

Credit Inventory $1,120

To record the cost of goods sold.

October 15, 2020:

Debit Cash $450

Debit Unearned Revenue $24

Credit Installation Revenue $474

To record the completion of installation service.

c. If Geraths is unable to develop a reliable estimate for the fair value of the installation:

Journal Entries:

September 1, 2020:

Debit Cash $1,920

Credit Sales Revenue $1,920

To record the sale of windows to Geraths.

Debit Cost of goods sold $1,120

Credit Inventory $1,120

To record the cost of goods sold.

October 15, 2020:

Debit Cash $450

Credit Sales Revenue $450

To record the completion of installation.

Explanation:

a) Data and Calculations:

July 1, 2020, Contract Price = $2,370

Standalone selling price of window = $1,920

Cost of the window = $1,120

Standalone selling price of installation service = $590

Attributed selling price of installation service = $450 ($590 = $140)

b) Estimated standalone value of the installation = estimated cost + 20% on cost

= $400 + 20%  = $480 ($400 * 1.2)

Separate performance values:

Sale of window = $1,920   = $1,896 ($1,920/$2,400 * $2,370)

Installation =             480   =      474 ($480/$2,400 * $2,370)

Total =                 $2,400  = $2,370

c. If Ivanhoe Windows is unable to develop a reliable estimate for the fair value of the installation, both payments received will be attributed to the Sales Revenue without identifying separate performance values.

Asset turnover ratio Financial statement data for years ended December 31, 20Y3 and 20Y2, for Edison Company follow: 20Y3 20Y2 Sales $2,385,000 $2,015,500 Total assets: Beginning of year 770,000 620,000 End of year 820,000 770,000 a. Determine the asset turnover ratio for 20Y3 and 20Y2. Round answers to one decimal place. 20Y3 20Y2 Asset turnover fill in the blank 1 fill in the blank 2 b. Is the change in the asset turnover ratio from 20Y2 to 20Y3 favorable or unfavorable

Answers

Answer:

a. Asset Turnover 20Y3

= Sales / Average assets

= 2,385,000 / [ (770,000 + 820,000) / 2]

= 2,385,000 / 795,000

= 3.0

Asset Turnover 20Y2

= 2,015,500 / [ (620,000 + 770,000) / 2]

= 2,015,500 / 695,000

= 2.9

b. The change is Favorable because it means that the assets are bringing in more sales per dollar value of assets to the company.

55. The first step in the market segmentation process is to
a. Define the market
b. Position offer in the market.
c. Segment the market.
d. Target the market.​

Answers

Answer:

Hello There!!

Explanation:

I think the answer is possibly c. Segment the market.

hope this helps,have a great day!!

~Pinky~

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C. Segment the market.

ThanksHope it helps.

One of the benefits of time management is that it takes away all of your leisure time.
True or false?

Answers

Answer:

false po ate or kuya

Answer:

false

Explanation:

Time management taking away free time isn't a plus, and that's not what it's supposed to do in the first place

Ken was the only accountant for a small-town land devel opment company. He was terminated when the company fell on hard times. One year later, when the owner of the company was reviewing the payments received from a landowner for development cost, he discovered that the landowner was three payments behind for a total of $60,000. He contacted the landowner who showed him the check stubs and the canceled checks. After further re search, hefound that the account in which the checks were deposited belonged to Ken, his former accountant. 1. What type of fraud did Ken commit

Answers

Answer:

Asset misappropriation, especially stealing assets

Explanation:

Since in the question it is mentioned that owner discovered that there was three payments of total $60,000 due to this he contacted to the landowner where he showed the checks stubs and canceled checks after that he found that the account where the checks were deposited is of Ken so the fraud done by him is asset misappropriation  where Ken steal the receipts of the company for his personal use

Three months ago, CSG stock was selling for $44.25 a share. At that time, you purchased three put options on the stock with a strike price of $45 per share and an option price of $1.75 per share. The option expires today when the value of the stock is $42.50 per share. What is your net profit or loss on this investment

Answers

Answer:

$225

Explanation:

Calculation to determine your net profit or loss on this investment

Using this formula

Net profit or Loss= (Strike price - Value of stock at expiration - Premium paid) x 3 x 100

Let plug in the formula

Net profit or Loss= ($ 45 - $ 42.50 - ß) x 300

Net profit or Loss= $ 225

Therefore your net profit on this investment is $225

f r e e
p o i n t s . y o u r we l c o m e

Answers

Answer:

THANKSSSSSSSSSSSSSSSSSSS SO MUCH

have a good day :)

Explanation:

Answer:

Tysm sista!!!

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Assume the following: The standard price per pound is $2.00. The standard quantity of pounds allowed per unit of finished goods is 4 pounds. The actual quantity of materials purchased and used in production is 50,000 pounds. The actual purchase price per pound of materials was $2.25. The company produced 13,000 units of finished goods during the period. What is the materials spending variance

Answers

Answer:

Direct material price variance= $12,500 unfavorable

Explanation:

Giving the following formula:

The standard price per pound is $2.00.

The actual quantity of materials purchased and used in production is 50,000 pounds.

The actual purchase price per pound of materials was $2.25.

To calculate the direct material price (spending) variance, we need to use the following formula:

Direct material price variance= (standard price - actual price)*actual quantity

Direct material price variance= (2 - 2.25)*50,000

Direct material price variance= $12,500 unfavorable

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