Answer:
$20,000
Explanation:
Allowance for uncollectible accounts will be 2% of its accounts receivable = 2% * 900,000 = $18,000
the balance of the Allowance for Doubtful Accounts after year-end = a credit balance of $2,000 + allowance for uncollectible accounts in year of $18,000
= $20,000
Answer:
Inventory= $5,040
Explanation:
Giving the following information:
March 1, 2021, inventory: 1,000 gallons @ $7.20 per gallon = $7,200
Purchases:
Mar. 10 600 gals @ $ 7.25
Mar. 16 800 gals @ $ 7.30
Mar. 23 600 gals @ $ 7.35
Sales:
Mar. 5 400 gals
Mar. 14 700 gals
Mar. 20 500 gals
Mar. 26 700 gals
Total units= 3,000
Total sales= 2,300
Ending inventory= 700 units
LIFO (last-in, first-out)
Inventory= 700*7.20= $5,040
Answer:
material price variance (standard price - actual price) * quantity purchased
MPV= ( 3.30 - 3.50) 2300 =$460 Unfavorable
Material quantity variance = ( standard quantity - actual quantity) standard price
MQV = ( 1920 -2300) 3.30 = $1254 Unfavorable
Labour price (rate) variance = (Standard rate - actual rate) actual hours
LRV = (12- 11.8) * 280 = $56 Favorable
Labor hours variance = ( standard hours - actual hours) * standard rate
LHV = ( 240 - 280) * $12 = $480 unfavorable
Explanation:
the complete question:
Levine Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product. Direct materials (8 pounds at $3.30 per pound) $26.40 Direct labor (1 hours at $12.00 per hour) $12.00 During the month of April, the company manufactures 240 units and incurs the following actual costs. Direct materials purchased and used (2,300 pounds) $8,050 Direct labor (280 hours) $3,304 Compute the total price, and quantity variances for materials and labor.
Answer:
Explanation:
The journal entry is shown below:
1. Accounts receivable A/c Dr $160
To Sales discounts forfeited $160
(Being sales discount is recorded)
The computation of the sales discount is shown below:
= (Sales value - payment made) × discount rate
= ($40,000 - $24,000) × 1%
= $160
2. Cash A/c Dr $16,000
To Accounts receivable A/c $16,000
(Being cash is received)
Answer:
The correct answer is letter "B": The sum of the credits exceeds the sum of the debits in the Income Statement columns on the work sheet.
Explanation:
Net Income, bottom line, or total earnings or profits is a measure of how profitable the company is over a period of time. To find net income, we should take a look at the company's total revenue to subtract any expenses associated with the company's doing business. After deducting taxes from that amount we will have the company's net income.
In the case in the income statement credits exceed debits, the net income of a company is likely to be positive.