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Illusion [34]
1 year ago
10

Golden Manufacturing Company started operations by acquiring $150,000 cash from the issue of common stock. On January 1, Year 1,

the company purchased equipment that cost $120,000 cash, had an expected useful life of six years, and had an estimated salvage value of $4,000. Golden Manufacturing earned $72,000 and $83,000 of cash revenue during Year 1 and Year 2, respectively. Golden Manufacturing uses double-declining-balance depreciation.
Required

a. Record the purchase in a horizontal statements model.
b-1. Prepare income statements for Year 1 and Year 2.
b-2. Prepare balance sheets for Year 1 and Year 2.
b-3. Prepare statements of cash flows for Year 1 and Year 2.

Business
1 answer:
NISA [10]1 year ago
8 0

Answer

The answer and procedures of the exercise are attached in the following archives.

Step-by-step explanation:

You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.  

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Rosita's Restaurante has sales of $4,500, total debt of $1,300, total equity of $2,400, and a profit margin of 5 percent. What i
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Answer:

6.08%

Explanation:

Rosita's restaurant has a sales of $4,500

The total debt is $1,300

The total equity is $2,400

The profit margin is 5%

=5/100

= 0.05

Therefore the return on assets can be calculated as follows

= profit margin×sales/total debt +total equity

= 0.05×$4,500/($1,300+$4,200)

= 225/3,700

= 0.0608×100

= 6.08%

Hence the return on assets is 6.08%

5 0
2 years ago
Explaining to a borrower the fees that make up the Annual Percentage Rate (APR) of a borrower’s loan is:
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Answer: b. Permissible if the Notary Signing Agent has the breakdown of the fees

Choices are:

“A. prohibited under all circumstances, regardless of the Notary Signing Agent’s level of expertise”

“B. permissible if the Notary Signing Agent has the breakdown of the fees”

“C. recommended in order to convince the borrower he or she is getting a fairly priced best loan”

“D. encouraged in order to provide superior customer service to the borrower”

The notary is allowed to explain the fees that make up the Annual Percentage Rate (APR) of a borrower’s loan but he is not allowed to comment on its source, its accuracy, or his opinion of the information.

7 0
2 years ago
True or false the risk premium is primarily concerned with business risk, financial risk, and inflation risk.
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The answer is true .
7 0
2 years ago
Baker Company owns 15% of the common stock of Charlie Corporation and used the fair-value method to account for this investment.
solniwko [45]

Answer:

the income that recognized on this investment is $10,500

Explanation:

The computation of the income recognized on this investment for the year 2021 is shown below"

= dividend × share of ownership

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The dividend is $70,000

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= $70,000 × 15%

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3 0
2 years ago
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Explanation:

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