Make a system for recording the cost of raw materials using the complete Perpetual method
Q: On December 31, 2019, an entity reported a deferred tax liability of P600,000 and a deferred tax…
A: Deferred tax is calculated on the Temporary differences. Income tax is paid on the taxable income.…
Q: Richards Corporation had net income of $231,470 and paid dividends to common stockholders of…
A: Price-earnings ratio = Market price per share / Earnings per share Market price per share = $52 per…
Q: a. P15,000 b. P62,000 C. P77,000 d. P80,000 70. How much should be recognized as R&D expense? a.…
A:
Q: Noora Company manufactures quality hair care product. The ingredients are combined in the mixing…
A: Solution: Noora Company Production Cost report - Mixing Department Computation of Equivalent…
Q: 1. How does a company use break even point and sales mix to determine how many units of each product…
A: Sales MIx Percentage is multiplied by Contribution per unit to give weighted average contribtion…
Q: During the year 2021,David Company purchased 1,000 shares of Goliath Company ordinary shares at P150…
A: The shares designated to be valued at fair value through other comprehensive income are to be…
Q: On Feb. 5, 20x2, an employee filed a P 2,000,000 lawsuit against Steel Co. for damages suffered when…
A: The law suit damages must be accrued as a loss contingency because an unfavorable outcome is…
Q: Bee Inc. issues P 3,000,000, 9%, bonds for P 2,817,000. The market interest rate for these bonds is…
A: Formulas: Unamortized bond discount = Total bond discount - bond discount amortized where, Total…
Q: of the last three years. The units in year 1 beginning inventory were based on production of 500…
A: The variable costing income statement treats fixed manufacturing cost to be expensed during the…
Q: ž Inventory U Apr 24 Apr. 30 Apr 30 Balance 0 s, and sales data for portable game players are as…
A: Lets understand the basics. In LIFO basis company assumes that, goods purchase last in the inventory…
Q: An entity reported pretax financial income of P8.000,000 for the current year. The taxable income…
A: Income tax is paid on the taxable income. Taxable income is calculated after making the adjustments…
Q: The T-accounts for Equipment and the related Accumulated Depreciation-Equipment for Sheffield…
A: Cash flow from the sale of Equipment is calculated by substructing the loss on sale from the Net…
Q: Malit Corporation has a total shareholders' equity of P1,000,000, including retained earnings of…
A: Stockholders are the company's business owners who invest in the company's equity. As a return on…
Q: . During the year 2019, Active Company acquired 10,000 ordinary shares of Passive Company P250,000…
A: Cost of equity investment = P250000 + P 5000 = P255000 Market value as on Decemeber 31, 2019 =…
Q: A journal entry for a $700 payment for Prepaid Rent was erroneously recorded as a debit to Prepaid…
A: Introduction:- Journal entries used to record business transactions. Journal entries play vital role…
Q: Noora Company manufactures quality hair care product . The ingredients are combine in the mixing…
A: Equivalent units means number of units that is taken as completed for the calculation of cost per…
Q: Explain and Give recommendation and lesson learned
A: We are given the liquidity ratios of an organization over 5 years from 2016-2020. The liquidity…
Q: At the end of the current year, $27,480 of fees have been earned but have not been billed to…
A: The adjustment entries are prepared to adjust the revenue and expenses of the current period. The…
Q: If E-P28,091.16 and N = P11,213.00, what is the value of D? Note: E= Total Earnings D- Deduction N=…
A: Formula used : Net pay = Total Earnings - Deductions
Q: During the year 2021, David Company purchased 1,000 shares of Goliath Company ordinary shares at…
A: The shares designated to be valued at fair value through other comprehensive income are to be…
Q: MD Corp. completed the following transactions relating to investment in AO Company ordinary sha…
A: When shares for investment are purchased, they are recorded at the cost. At the end of every…
Q: How much should be reclassified to Retained Earnings as a result of derecognizing the investment in…
A: Any increase or decrease in investment is an increase or decrease in revenue of the company and has…
Q: what recent development in FP&A, if any, can significantly help companies deal with a black swan…
A: The answer for the theory question on the development in FP&A that helps companies in dealing…
Q: Item Retire bonds Issue bonds Amortization of discount Section of Statement of Cash Flows Added or…
A: >Statement of Cash flows is one of the financial statements, and is prepared for a particular…
Q: Discuss the nature of each account and why you stated it, as well as the importance of ensuring that…
A:
Q: With $6,790,000 Paul's will creates a trust with the following provisions: life estate to Jacob…
A: The generation-skipping transfer tax is a statutory tax imposed when the property is transferred by…
Q: Barkov Industries makes an electronic component in two departments, Machining and Assembly. The…
A: The income statement represents the net income or net loss that is calculated by deducting the…
Q: Direct Materials Variances The following data relate to the direct materials cost for the production…
A: Introduction:- Standard Costing is a predetermined cost. It is used to measure the efficiency of…
Q: Based on the Module 1 content, briefly explain what the theory of comparative advantage would…
A: Opportunity cost means the number of units of a product forgone in order to produce a unit of…
Q: An entity reported the following assets and liabilities at year-end: Carrying amount Tax…
A: In simple term Deferred tax is a duty responsibility that is payable in future. how much personal…
Q: Direct Materials Variances Bellingham Company produces a product that requires 11 standard pounds…
A: The variance is the difference between the actual data and standard output of the production.…
Q: The following data were accumulated for use in reconciling the bank account of Nakajima Co. for…
A: The balance sheet represents the financial position of the company. It involves the assets,…
Q: Intangible Asset & Impairment PT Cabo is operating in the cosmetics industry. A company-owned…
A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: How much is the company's expected cash collections in the month of May?
A: Expected cash collection is the collection of cash which has been received by the company during the…
Q: Noora Company manufactures quality hair care product. The ingredients are combined in the mixing…
A: (a) The following is the physical flow schedule:- Physical flow schedule for the mixing…
Q: A company reports the following: Net income Preferred dividends Shares of common stock outstanding…
A: Formula used: Earnings per share = ( Net income - Preferred dividends ) / Shares of common stock…
Q: ane's wages are $18,900 and she receives dividend income of $900. Diane’s 2019 earned income was…
A: The answer has been mentioned below.
Q: 40% for business purposes at his trading store Menlyn Mowbray’s costs for in relation to this…
A: Taxable income is the portion of an income of individual , firm , company that would have pay to…
Q: On January 1, 2017, Beyonce Company leased a music studio from Simon company on a 5-year lease term…
A: Calculation of lease liability and Right-of-use asset on lease commencement date (January 1, 2017):…
Q: Make a system for recording the cost of raw materials using the complete Periodic method.
A: In the periodic method, the inventory is valued as per the buying rate of each unit of inventory. it…
Q: In the month of January beginning Peter company borrowed $ 5000 from Lios by issuing 10 % Note,…
A: Introduction: Journals: Each and every business transactions are to be recorded in journals. All the…
Q: What amount of fair value gain should the company report in profit or loss resulting from…
A: The determination of fair value gain that should be reported in profit or loss resulting from…
Q: On Jan. 1, 2021, Bee Co. settled a P 1,000,000 loan by issuing to the lender 10,000 shares with par…
A: The loan is the amount in which one party lends money to another party. The money is lent for a…
Q: Laser Delivery Services, Incorporated (LDS), was incorporated January 1. The following transactions…
A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…
Q: $2.00 $10.00 $20.00 overhead cost is mostly fixed. Only 30% of manufacturing overhe omizing the…
A: Minimum sales price that is break even is where there is no profit or loss. Minimum sale price is…
Q: Del Gato Clinic's cash account shows an $12,472 debit balance and its bank statement shows $13,074…
A: Bank reconciliation: It is a statement drawn up by the business to verify the cash book balance with…
Q: ate annuity on
A: Given as, 5000 for 5 years and 15000 for next 5 years.
Q: Assets are the O a. resources owned by the business. O b. personal property of the owners. O c. c.…
A: A business asset is an item or resources of a value owned by the company which can be tangible or…
Q: An entity accounted for land using the revaluation model. On October 1,2020, the entity classified a…
A: Impairment loss is the permanent diminution in the value of asset. it shows the decrease in the fair…
Q: depletion expense should be recognized for 2021? 550,000
A:
Step by step
Solved in 2 steps
- The cost of the inventory on January 31, 2019, under the FIFO method is: a. 400 b. 2,700 c. 3,100 d. 3,200Inventory Costing and LCM Ortman Enterprises sells a chemical used in various manufacturing processes. On January 1, 2019, Ortman had 5,000,000 gallons on hand, for which it had paid $0.50 per gallon. During 2019, Ortman made the following purchases: During 2019, Ortman sold 65 000,000 gallons at $0.75 per gallon (35,000,000 gallons were sold on June 29 and 30,000,000 gallons were sold on Nov. 22), leaving an ending inventory of 7,000,000 gallons. Assume that Ortman uses a perpetual inventory system. Ortman uses the lower of cost or market for its inventories, as required by generally accepted accounting principles. Required: 1. Assume that the market value of the chemical is $0.76 per gallon on December 31, 2019. Compute the cost of ending inventory using the FIFO and average cost methods, and then apply LCM. ( Note: Use four decimal places for per-unit calculations and round all other numbers to the nearest dollar.) 2. Assume that the market value of the chemical is $0.58 per gallon on December 31, 2019. Compute the cost of ending inventory using the FIFO and average cost methods, and then apply LCM. ( Note: Use four decimal places for per-unit calculations and round all other numbers to the nearest dollar.)Comprehensive The following information for 2019 is available for Marino Company: 1. The beginning inventory is 100,000. 2. Purchases returns of 4,000 were made. 3. Purchases of 300,000 were made on terms of 2/10, n/30. Eighty percent of the discounts were taken. 4. At December 31, purchases of 20,000 were in transit, FOB destination, on terms of 2/10, n/30. 5. The company made sales of 640,000. The gross selling price per unit is twice the net cost of each unit sold. 6. Sales allowances of 6,000 were made. 7. The company uses the LIFO periodic method and the gross method for purchase discounts. Required: 1. Compute the cost of the ending inventory before the physical inventory is taken. 2. Compute the amount of the cost of goods sold that came from the purchases of the period and the amount that came from the beginning inventory.
- The following items were included in Venicio Corporations inventory account on December 31, 2019: What amount should Venicio report as inventory at December 31, 2019? a. 21,000 b. 20,400 c. 26,000 d. 35,000Refer to RE22-2. Assume the pretax cumulative effect adjustment is 50,000. Prepare the journal entry that Heller Company would make at the beginning of 2020 to record the cumulative effect of the change from LIFO to FIFO. RE22-2 Heller Company began operations in 2019 and used the LIFO method to compute its 300,000 cost of goods sold for that year. At the beginning of 2020, Heller changed to the FIFO method. Heller determined that its cost of goods sold under FIFO would have been 250,000 in 2019. For 2020, Hellers cost of goods sold under FIFO was 360,000, while it would have been 410,000 under LIFO. Heller is subject to a 21% income tax rate. Compute the cumulative effect of the retrospective adjustment on prior years income (net of taxes) that Heller would report on its retained earnings statement for 2020.Inventory Pools Stone Shoe Company adopted dollar-value LIFO on January 1, 2019. The company produces four products and uses a single inventory pool. The companys beginning inventory consists of the following: During 2019, the company has the following purchases and sales: Required: 1. Compute the dollar-value LIFO cost of the ending inventory. Round the cost index to 4 decimal places and all other amounts to the nearest dollar. 2. Next Level By how much would the companys gross profit differ if it had used four pools instead of a single pool?
- Olson Company adopted the dollar-value LIFO method for inventory valuation at the beginning of 2015. The following information about the inventory at the end of each year is available from Olsons records: Required: 1. Calculate the dollar-value LIFO inventory at the end of each year. 2. Prepare the appropriate disclosures for the 2021 annual report if Olson uses current cost internally and LIFO for financial reporting.Webster Company adopted do liar-value LIFO on January 1, 2019. Webster produces three products: X, Y, and Z. Websters beginning inventory consisted of the following: During 2019, Webster had the following purchases and sales: Required: 1. Compute the LIFO cost of the ending inventory assuming Webster uses a single inventory pool. Round cost index to 4 decimal places. 2. Compute the LIFO cost of the ending inventory assuming Webster uses three inventory pools. Round cost indexes to 4 decimal places.Refer to RE22-2. Assume Heller Company had sales revenue of 510,000 in 2019 and 650,000 in 2020. Prepare Hellers partial income statements (through gross profit) for 2019 and 2020. RE22-2 Heller Company began operations in 2019 and used the LIFO method to compute its 300,000 cost of goods sold for that year. At the beginning of 2020, Heller changed to the FIFO method. Heller determined that its cost of goods sold under FIFO would have been 250,000 in 2019. For 2020, Hellers cost of goods sold under FIFO was 360,000, while it would have been 410,000 under LIFO. Heller is subject to a 21% income tax rate. Compute the cumulative effect of the retrospective adjustment on prior years income (net of taxes) that Heller would report on its retained earnings statement for 2020.
- Company is considering purchasing EKC Company. EKCs balance sheet at December 31, 2019, is as follows: At December 31, 2019, Elm discovered the following about EKC: a. No allowance for uncollectible accounts has been established. An allowance of 5,000 is considered appropriate. b. The LIFO inventory method has been used. The FIFO inventory method would be used if EKC were purchased by Elm. The FIFO inventors-valuation of the December 31, 2019, ending inventors-would be 180,000. c. The fair value of the property, plant, and equipment (net) is 730,000. d. The company has an unrecorded patent that is worth 120,000. e. The book values of the current liabilities and bonds payable are the same as their market values. Required: 1. Compute the value of the goodwill if Elm pays 1,350,000 for EKC. 2. Next Level Why would the book value of a companys identifiable net assets differ from its market value?At December 31, 2019, the following information was available from Crisford Companys books: Sales for the year totaled 110,600; markdowns amounted to 1,400. Under the approximate lower of average cost or market retail method, Crisfords inventory at December 31, 2019, was: a. 30,800 b. 28.000 c. 21,560 d. 19,600Dollar-Value LIFO Kwestel Company adopted the dollar-value LIFO method for inventory valuation at the beginning of 2015. The following information about the inventory at the end of each year is available from Kwestels records: Required: Calculate the dollar-value LIFO inventory at the end of each year. Round to the nearest dollar.
