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2 years ago

The company's adjusted trial balance as follows includes the following accounts balances:

Business

1 answer:

Zina [86]2 years ago

7 0

Answer:

Expense & revenue summary a/c (credit balance) = $3500

Explanation:

1. Dr Expense & revenue summary 52500

Cr Sales discount 1500

Cr Sales return & allowance 3000

Cr Depreciation expense 25000

Cr Salaries expense 23000

(Close expenses to expense & revenue summary a/c)

2. Dr Sales 56000

Cr Expense & revenue summary 56000

(Close sales to expense & revenue summary a/c)

3. Dr Expense & revenue summary a/c 3500

Cr Retained earning a/c 3500

(To close expense & revenue summary a/c)

4. Dr Retained earning 2000

Cr Expense & revenue summary 2000

(Close dividend to expense & revenue summary a/c)d

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2 years ago

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Brief Exercise 5-8 Cullumber Company has a unit selling price of $630, variable costs per unit of $300, and fixed costs of $327,

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Answer:

(a)

Mathematical Equation for break-even

F = QP - QV

Where

F = fixed cost

Q = Break-even quantity

P = Selling price

V = Variable cost

F = Q ( P - V )

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Q = 991 units

(b)

Contribution Margin = Price per unit - Variable cost per unit

Contribution Margin = $630 - $300 = $330

Break-even Point in Units = Fixed Cost / Contribution margin per unit

Break-even Point in Units = $327,030 / $330 = 991 units

Explanation:

Mathematical equation use the the break-even equation which represent the behavior of each element towards the break-even point.

Contribution per unit method use the contribution of each unit to calculate the break-even point.

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Following is a simple income statement. Match each term with its definition from the drop-down list of choices. Income Statement

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Answer:

Matching each term with its definition:

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Answer:

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