Explain the logic underlying each of the adjustments below. a. Why do we start the cash flows with net income?

Q: $59 per unit. Order from Laboratory-Apex: 4,500 units at $635 per unit with standard mask $45 per…

A: Variable cost refers to the expenses that fluctuate when there are fluctuations in the number of…

Q: P 1,00 P 80,000 20,000 60,00 50,0 2,00

A: Partnership liquidation refers to the closing down of business operations by selling the non-cash…

Q: feltri Corporation is working on its direct labor budget for the next two months. Each unit of…

A: October Number of hours budgeted to be consumed in October = 7,100 units X 0.77 direct labor hours…

Q: In February 2022 the €/$ (euro/dollar) exchange rate was 0.88€/$. In France, a country that uses…

A: 1 $ = 0.88 € 25$ = 25*0.88 = 22€   Same goods can be bought using the given e

Q: Given the following information, prepare a production report with materials added at the beginning…

A: GIVEN     Given the following information, prepare a production report with materials added at the…

Q: On the break-even chart you can see the three variants of the break-even points. Name the items…

A: The breakeven chart is one which shows the total revenue equals the total cost incurred by the…

Q: The following is not an exchange where public company stocks are listed for trading: Answers:…

A: Solution :- Wall Street Journal All Three NASDAQ, NYSE, Pink Streets are stock exchanges where…

Q: the following information is taken from the balance sheet of Atlanta company: current assets $1,440…

A: The current ratio measures the organization's ability to meet the short-term liabilities due within…

Q: In Thailand unemployment recently decreased. Which of the following observations is consistent with…

A: Option C is the correct answer . The Labour force participation rate has gone down. The number of…

Q: In the month of September, Matiock Industries sold 800 units of product. The average sales price was…

A: The contribution margin is calculated as difference between sales and variable costs.

Q: Marigold Construction Company began operations on January 1, 2020, During the year, Marigold…

A: The following are calculated to prepare the schedule for gross profit to be recognized:- 1.…

Q: Please explain what this phrase means: "Debit the Receiver, Credit the Giver."

A: Accounts are mainly classified into 3 categories: Personal accounts Real accounts Nominal accounts…

Q: Complete the table with assertion, and recommended audit procedure that apply: Possible Assertion…

A: In the audit of cash, the inherent risk of cash is usually assessed as high risk because the nature…

Q: feasibility report is a report that evaluates a set of proposed project paths or solutions to…

A: Project management refers to deciding as well as guiding the task of team in the direction for…

Q: Costs over which a manager has control are called uncontrollable costs. O noncontrollable costs.…

A: Common costs are not related to specific product. It is not in control of Manager.

Q: rader wants to form a position by combining two different European calls and two different European…

A: Strike Price Premium   Call  48 1.5 Sell Call  50 -1 Buy Maximum Profit 0.5   Maximum Loss…

Q: Natural Foods Inc. is planning to invest in new manufacturing equipment to make a new garden tool.…

A: Net cash flow is the amount that a company generates from a project.  Net cash flow = Total cash…

Q: Dora Burch files her 2020 income tax return on March 2, 2021. She receives a nil assessment on June…

A: As given Dora Burch prepares her tax return for the year 2020 on March 2, 2021. On June 3, 2021, she…

Q: PROBLEM 11-21 Return on Investment (ROI) and Residual "I know headquarters wants us to add that new…

A: “Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: Golden Inc. produces swimsuits. The following budgeted and actual amounts are for 2020: Cost Budget…

A: Budget is the estimate made for future period of time. Budgets are compared with actual results in…

Q: An S corporation shareholder's basis may be affected by some or all business liabilities a. Never b.…

A: An S corporation can be defined as a corporation that transfers its shareholder’s income,…

Q: True or false At the end of the  month, the schedule of accounts payable  (a list of ending amounts…

A: When goods are purchased on credit then there will be Accounts Payables. These are current…

Q: If a parent company has a subsidiary operating in a foreign country that is characterized by…

A: The method of currency translation of foreign under which most of the items of the financial…

Q: On March 1, Eckert and Kelley formed a partnership. Eckert contributed $75,000 cash, and Kelley…

A: The partnership comes into existence when two or more persons agree to do the business and further…

Q: Heidi Inc is considering whether to lease or purchase a piece of equpenenit. The total cost to leese…

A: A lease is a contract in which one party agrees to rent an asset owned by another party on certain…

Q: what are total budgeted costs

A: Budgets are the estimates or forecasts to be made for future period. Budgeted costs means forecasted…

Q: A consulting job takes 20 hours of consulting time and $180 of materials. The client's bill would be…

A: Consulting services refers to the service activity which helps an organization to improve the…

Q: $100,000 $85,000 $20,711 $5,000 Lessee expected salvage value $8,000 4% Asset FMV Asset Book Value…

A: GIVEN   Brooks Company leases a machine from TCS Company on 1/1/23 Asset FMV $100,000 Asset Book…

Q: An S corporation shareholder's basis may be affected by some or all business liabilities

A: Because the basis is increased by the amount of debt directly owed by the S Corporation to the…

Q: our Company has two products: A and B. The company uses activity-based costing. The estimated total…

A: Under Activity based costing system, cost is assigned to each activity based on their actual…

Q: $ 17.00 Price per cake Variable cost per cake Ingredients 2.50 Direct labor 1.40 Overhead (box,…

A: Break even units = Fixed cost / Contribution margin per unit Contribution margin per unit = Sales…

Q: Determine the amount realized from the sale of non-cash assets. 10.​Determine the amount received by…

A: On December 31, 2021, the GAR Partnership of Garry, Aubrey and Rolly is liquidated due to…

Q: What is the combined effect on the US dollar value? Please explain.

A: Investment is made by the company or any foreign investor into the business or in the corporation by…

Q: Explain the purpose of the statement of cash flows and why it is necessary.

A: A cash flow statement is a straightforward financial report that depicts a company's cashflow (cash…

Q: Orange Company provided the following data for the current year:   Sales 20,000,000 Cost of goods…

A: The cash flow statement is prepared to record the cash flow from various activities of the business…

Q: A company issues four-year bonds with a $114,000 par value on January 1, 2021, at a price of…

A: Discount on issue = 114000 -109870 = 4,130 Semi-annual discount amortization = 4130/ 8 = 516.25

Q: What amount should be reported as net income for the quarter ended September 30, 2021?

A: Net Income  1,900,000 Gain from expropriation : ( 1,200,000 / 3) (400,000) Change in Accounting…

Q: In the preparation of the worksheet of a merchandising business, the ending balance of the…

A: Merchandise inventory is the current assets, goods purchased or manufactured with the purpose of…

Q: e following totals for the month of June were taken from the payroll register of Arcon Company:…

A: These are the accounting transactions that are having a monetary impact on the financial statement…

Q: Provide a brief explanation of why depreciation of capital assets is considered in determining…

A: Capital assets are those assets which are held by the business for longer period of time.…

Q: Why do you believe Accounting Standards should be mandatory?

A: A document created by a rule-making body that prescribes how accounting transactions should be…

Q: SportsWorld purchased equipment costing $10,000. The equipment has a residual value of $1,000, and…

A: Description: Straight line method: Deduction of Residual value from Asset cost derives the…

Q: Nagy Industries reported a net income of $600,360 on December 31, 2021. At the beginning of the…

A: Basic EPS is the earnings per share which only includes the effect of common shares while…

Q: s online recruitment industry trends:

A: Recruitment refers to the process of searching, finding, or hiring the best suitable candidate for…

Q: Marchant Urban Diner is a charity supported by donations that provides free meals to the homeless.…

A: Calculation of Groceries Expenses Groceries = 1,800 meals X $ 3.85 per meal Groceries = $ 6,930…

Q: ed to be. Manufacturing overhead was estimated to be $261,300 for the year along with 20,100 direct…

A: Over (under) applied overhead = Applied overhead - Actual overhead where, Applied overhead = Actual…

Q: Pizza Inc. reported the following balances: December 31 Inventory 5,200,000 Accounts payable…

A: Accrual basis: Under accrual basis accounting, revenue and expenses are recognized when they are…

Q: Phillips Corporation sold a fixed asset used in its operations for greater than its carrying amount.…

A: The term carrying amount means the cost of asset after reducing the accumulated depreciation from…

Q: en closing income statement accounts having credit balances, which of the following account sed?…

A: Solution:  Accounts having Credit balances to be closed include sales revenue or any other income…

Q: Bruin Corporation's contribution margin ratio is 75% and its fixed monthly expenses are $45,000.…

A: Description: Contribution margin amount = Sales amount x Contribution margin ratio. Multiplying…