operating income will increase by
Q: A. FF Co. changed its inventory valuation from the FIFO cost method to the weighted average method…
A: Solution:- Introduction:- As per LIFO, Cost of goods sold is valued at latest price and closing…
Q: ABC Company acquired 80% of DEF Company prior to 2023. During 2023 the individual companies included…
A: Consolidated financial statements refers to the statements which shows the combination of the value…
Q: the lease liability be recognized at January 1, 2020, after making the first payment of P260,000 to…
A: Explanation of Concept "A person or a firm who gives asset on lease to another person or a firm…
Q: 28) Stockholders of a corporation directly elect A) the president of the corporation. corporation.…
A: Introduction: A stockholder is a person, business, or other entity who owns any quantity of a firm's…
Q: At the beginning of current year, CFAS Company was organized and authorized to issue 100,000 shares…
A: After preparing shareholders' equity section of balance sheet, above answers can be answered:…
Q: Activity IV. Journal Entry Jerome Garcia started a new business and completed these transactions…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: The following information has been extracted from the financial statements of Muggie Pty. Ltd., a…
A: Net profit is the net income of the business after considering all the expenses and all the incomes…
Q: Concord Corporation purchased a delivery truck for $36,800 on January 1, 2020. The truck has an…
A: Depreciation expense per mile is calculated by dividing the depreciable value of the Asset by the…
Q: dger turo
A: Explanation of Concept Ledger Posting : is the step in the process of preparing the books accounts…
Q: Exchange differences arising from the translation of financial statements of a foreign operation…
A: When company has subsidiary in the foreign country than the assets and liabilities are to be…
Q: Break-Even Sales Under Present and Proposed Conditions Howard Industries Inc., operating at full…
A: As per the guidelines, only three subparts are allowed to be solved. Please resubmit the question…
Q: Kate commenced business as a sole trader under the name “Mug Lover” on 1 December, 2020. Mug Lover…
A: Introduction:- Ledger is the process of transferring the entries from journal to particular ledger…
Q: Prepare the journal entry(s) for the admission of IU to the partnership assuming IU invested…
A: Admission of a partner into the partnership business can be made by either the acceptance and…
Q: What will you tell them?
A: A partnership is a form of business where two or more persons come together to start a new venture…
Q: Contrast activity-based costing (ABC) with activity-based management (ABM). Question…
A: ABC system of cost accounting is based on activities , which are considered any event, unit of work…
Q: 31. In 2021, a company issued 1,000,000 no-par value ordinary shares for P1.15 per share. The…
A: Legal capital is that amount of a company's equity that cannot legally be allowed to leave the…
Q: In the course of your audit of the financial statements of Apayao Corp. for the period ended…
A: A Total Deposit in Transit on December 31 Total Deposits in Bank =637220 + 356080…
Q: When an S Corporation's S status is terminated and the S Corporation becomes a Regular (C)…
A: S Corporation- The S corporation, a business enterprise taxpayer in the United States, is a close…
Q: Stockinger Corporation has provided the following information concerning a capital budgeting…
A: Depreciation per annum = $296000/4 = $74000 per annum
Q: et Income (in millions) ? ? Weighted Average Shares Outstanding (in millions) Basic Number…
A: EPS means earnings per share which represents the amount of money received by each shareholders out…
Q: Ann receives cash of $3,000, invent , and land in which the partnership's basis 0
A: Given as, Received amount= $3,000, Inventory Partnership basis= $1,800, Land partnership basis=…
Q: Nigel McCloskey is a waiter at Albicious Foods in South Carolina. He is single with one dependent.…
A: South Carolina's Overtime Minimum Wage Overtime pay, also called "time and a half pay", is one and a…
Q: In 2021, a company issued 6% bonds with a maturity value of P40,000, together with 1,000 shares of…
A: Increase in share premium as a result of this transaction will be Amount allocated to ordinary…
Q: A company owed P2,000,000 plus P180,000 of accrued interest to Bank of Philippines which was due to…
A: Bank agreed to accept an old machine Machine Cost :- P3,900,000 Accumulated depreciation :- P…
Q: True or False: Borrowing money and repaying debt re Select one: True
A: Net Worth The sum of all non-financial and financial assets minus the sum of all outstanding…
Q: company is experiencing financial difficulty and is negotiating a trouble debt restructuring with…
A: debt restructuring is a process that is used by the company , individual, or even countries in…
Q: Bonneau Corporation declares a cash dividend of $100,000 on July 1 for any shareholder on record on…
A: The dividend to shareholders is declared and paid from the retained earnings of the business.
Q: Explain briefly how with examples
A:
Q: Bonneau Corporation declares a cash dividend of $100,000 on July 1 for any shareholder on record on…
A: Introduction: Journals: Recording of a business transactions in a chronological order. Each and…
Q: B was an industrial partner. The Articles of Partnership required B that every week he will work for…
A: Partnership: It implies to a contractual agreement between two or more parties who agrees or gives…
Q: Identify which of the following items is a noncash investing and financing activity that must be…
A: Cash flow from investing and financing activity are reported in the statement of cash flow. The…
Q: Q2) 2. The price of Al-Saad company's shares is $30 per share, and it plans to pay cash dividends of…
A: A perfect capital market is one where there is no Arbitrage Opportunity. So after the dividend…
Q: On January 1, 2021, Morrow Inc. purchased a spooler at a cost of $40,000. The equipment is expected…
A: Depreciation expense per unit = (Cost- residual value)/Total expected units to produce
Q: Memphis Wholesale Market applies the lower of cost or net realizable valuation to individual…
A: The net realizable value is calculated as selling price minus costs to sell.
Q: basis was $1,800, and land in which aterest was $25,000. in or loss on the distribution?
A: Given as, Received amount= $3,000, Inventory Partnership basis= $1,800, Land partnership basis=…
Q: In target costing, prices determine costs rather than vice versa." Explain. Question content…
A: Target price is a process of setting a cost by reducing the desired profit from the competitive…
Q: A was the designated managing partner in the Articles of Partnership. One day, A received an order…
A: A was the designated managing partner in the Articles of Partnership. One day, A received an order…
Q: Bonita Manufacturing Corporation purchased 10700 shares of its own previously issued $10 par common…
A: Purchase of own shares were termed as treasury shares. Treasury shares are to be measured at cost.…
Q: Gang company issued 1,000,000 shares of common stock. Of these 150,000 shares were held as treasury…
A: No. of shares issued means shares issued by the company including the shares purchased by the…
Q: what is the adjusting entries for this problem? How do find the adjusting entries?
A: Adjusting entries are the journal entries should be recorded to rectify the balances in the…
Q: Problem 1. Our company is considering investing $5 million in R+D for a new product. There is a 50%…
A: Part 1: Should we go ahead with R&D? The R&D cost is $5 millions. Even if the company is…
Q: E) change in the cash balance for the cu
A: Cash flow represents the in and out of the money and helps in determining the financial condition of…
Q: You invested 5,000 in government treasury bill today that pays 5% interest annually. if you leave…
A: t = ln(A/P)/{n[ln(1 + r/n)]} where Maturity amount (A) = 6,077.53 Principal (P) = 5,000 Interest…
Q: 30) If no-par stock is issued without a stated value, then A) the par value is automatically $1 per…
A: There are no par value stock shares issued with no reference of a par value on the front of the firm…
Q: In 2021, a company issued 1,000,000 no-par value ordinary shares for P1.15 per share. The stated…
A: In case of shares with no-par value, whole of the consideration received shall not be available to…
Q: Cool Globe Inc. entered into two transactions, as follows: Purchased equipment paying $20,000 at…
A: Journal entry means the writing of the transaction in the books of accounts and this will be helpful…
Q: Desiccate purchases direct materials each month. Its payment history shows that 70% is paid in the…
A: Cash payments budget is one of the important budget prepared in business, which shows expected cash…
Q: Arthoney Ircis trial balance cortairs the fallowing balances: Cash $535 Accounts Payable $344…
A: Introduction: Trial Balance: All the final ledger accounts balances are posted in Trial balance to…
Q: explain what happen in this list for pepsi company for year 2019, 2020, 2021 List Of Ratio 2019…
A: The question is related to Turnover Ratio or Activity Ratio. 1. Accounts Receivables Turonver…
Q: 30) If no-par stock is issued without a stated value, then A) the par value is automatically S1 per…
A: No par value stock means the shares are issued without having a face value. The investor can…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- A company produces two products. E and F in batches of 100 units. The production and cost data are: The company can only perform 12,000 set-ups each period yet there is unlimited demand for each product. What is the differential profit from producing product E instead of product F for the year? A. $216,000 B. $204,000 C. $12,000 D. $54,000Gelbart Company manufactures gas grills. Fixed costs amount to 16,335,000 per year. Variable costs per gas grill are 225, and the average price per gas grill is 600. Required: 1. How many gas grills must Gelbart Company sell to break even? 2. If Gelbart Company sells 46,775 gas grills in a year, what is the operating income? 3. If Gelbart Companys variable costs increase to 240 per grill while the price and fixed costs remain unchanged, what is the new break-even point?Deuce Sporting Goods manufactures a high-end model tennis racket. The company’s forecasted income statement for the year, before any special orders, is as follows: Fixed costs included in the forecasted income statement are $400,000 in manufacturing cost of goods sold and $200,000 in selling expenses. A new client placed a special order with Deuce, offering to buy 1,000 tennis rackets for $100.00 each. The company will incur no additional selling expenses if it accepts the special order. Assuming that Deuce has sufficient capacity to manufacture 1,000 more tennis rackets, by what amount would differential income increase (decrease) as a result of accepting the special order? (Hint: First compute the variable cost per unit relevant to this decision.)
- A company is spending 70,000 per year for inspecting, 60,000 per year for purchasing, and 56,000 per year for reworking products. What is a good estimate of non-value-added costs? a. 126,000 b. 70,000 c. 56,000 d. 130,000Cadre, Inc., sells a single product with a selling price of $120 and variable costs per unit of $90. The companys monthly fixed expenses are $180,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of October when they will sell 10,000 units. How many units will Cadre need to sell in order to realize a target profit of $300,000? What dollar sales will Cadre need to generate in order to realize a target profit of $300,000? Construct a contribution margin income statement for the month of August that reflects $2,400,000 in sales revenue for Cadre, Inc.Youngstown Construction plans to discontinue its rooting segment. Last year, this segment generated a contribution margin of $65.000 and incurred $70.000 in fixed costs. Discontinuing the segment will allow the company to avoid half of the fixed costs. What effect is expected to occur to the companys overall profit? A. a decrease of $5,000 B. a decrease of $30,000 C. a decrease of $5,000 D. an increase of $30,000
- Break-even sales under present and proposed conditions Kearney Company, operating at full capacity, sold 400,000 units at a price of $246.60 per unit during 20Y5. Its income statement for 20Y5 is as follows: The division of costs between fixed and variable is as follows: Management is considering a plant expansion program that will permit an increase of $8,631,000 (35.000 units at $246.60) in yearly sales. The expansion will increase fixed costs by $3,600,000 but will not affect the relationship between sales and variable costs. Instructions Determine for 20Y5 the total fixed costs and the total variable costs.Break-even sales under present and proposed conditions Kearney Company, operating at full capacity, sold 400,000 units at a price of $246.60 per unit during 20Y5. Its income statement for 20Y5 is as follows: The division of costs between fixed and variable is as follows: Management is considering a plant expansion program that will permit an increase of $8,631,000 (35.000 units at $246.60) in yearly sales. The expansion will increase fixed costs by $3,600,000 but will not affect the relationship between sales and variable costs. Instructions Determine the maximum operating income possible with the expanded plant.Klamath Company produces a single product. The projected income statement for the coming year is as follows: Required: 1. Compute the unit contribution margin and the units that must be sold to break even. 2. Suppose 10,000 units are sold above break-even. What is the operating income? 3. Compute the contribution margin ratio. Use the contribution margin ratio to compute the break-even point in sales revenue. (Note: Round the contribution margin ratio to four decimal places, and round the sales revenue to the nearest dollar.) Suppose that revenues are 200,000 more than expected for the coming year. What would the total operating income be?
- Maple Enterprises sells a single product with a selling price of $75 and variable costs per unit of $30. The companys monthly fixed expenses are $22,500. What is the companys break-even point in units? What is the companys break-even point in dollars? Construct a contribution margin income statement for the month of September when they will sell 900 units. How many units will Maple need to sell in order to reach a target profit of $45,000? What dollar sales will Maple need in order to reach a target profit of $45,000? Construct a contribution margin income statement for Maple that reflects $150,000 in sales volume.Markson and Sons leases a copy machine with terms that include a fixed fee each month plus acharge for each copy made. Markson made 9,000 copies and paid a total of $480 in January. In April, they paid $320 for 5,000 copies. What is the variable cost per copy if Markson uses the high-low method to analyze costs?Kerr Manufacturing sells a single product with a selling price of $600 with variable costs per unit of $360. The companys monthly fixed expenses are $72,000. What is the companys break-even point in units? What is the companys break-even point in dollars? Prepare a contribution margin income statement for the month of January when they will sell 500 units. How many units will Kerr need to sell in order to realize a target profit of $120,000? What dollar sales will Kerr need to generate in order to realize a target profit of $120,000? Construct a contribution margin income statement for the month of June that reflects $600,000 in sales revenue for Kerr Manufacturing.