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2 years ago

Minnetonka Company leases an asset. Information regarding the lease:

Business

2 answers:

emmainna [20.7K]2 years ago

6 0

Answer:

D) Finance.

Explanation:

In a financial lease, the lessee must include the leased asset in its balance sheet. Even though the title of the leased asset is transferred after the lease term is over, the lessee must consider the leased asset as its own. The lessee even has to depreciate the leased asset in the same way as it treats similar assets owned by the company.

While the lessee depreciates the leased assets, the lessor must amortize them.

wariber [46]2 years ago

4 0

Answer: The options are given below:

A. Short term.

B. Operating.

C. Long

D. Finance.

The correct option is D. Finance.

Explanation: A finance lease is the kind of lease in which a finance company is the legal owner of the asset throughout the duration of the lease, while the lessee has both operating control over the asset, and some share of the economic risks and returns from the change in the valuation of the underlying asset.

In a finance lease agreement, ownership of the property is transferred to the lessee at the end of the lease term.

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Hana Coffee Company roasts and packs coffee beans. The process begins by placing coffee beans into the Roasting Department. From

nydimaria [60]

Answer:

Unit Information

Units charged to production:

Inventory in process, July 1 30000

Received from materials storeroom 155000

Total units accounted for 185000

Units to be assigned costs: Equivalent Units

Whole Units DM Conversion

Beginning 30,000 0 27,000

Std and comp 119,000 119,000 119,000

Transferred to 149,000 119,000 146,000

Ending 36,000 36,000 16,200

Total units 185,000 155,000 162,200

Materials Conversion (labor + overhead)

Total costs for the month 620,000 123,272

Total equivalent units 155,000 162,200

Cost per equivalent unit $4.00 $0.76

DM Conversion Total

Beginning $121,800.00

Incurred $620,000.00 $123,272.00 $743,272.00

Total costs accounted for $865,072.00

Beginning $121,800.00

To complete $20,520.00

Total beginning $142,320.00

Std and comp $566,440.00

Trasnferred $708,760.00

Ending $156,312.00

Total costs assigned $865,072.00

Explanation:

First we calcualte the physical units.

then the equivalent units.

we solve for equialent cost per unit by dividing the cost of the period by the equivalent unit

then, we make the cost reconciliation

notice how the cost accounted (beginning + incurred during the period)

matches the cost assigned (trasnferred + ending WIP inventory)

4 0

2 years ago

Which of the following is true about A/B testing?A. You need to attend WPC 300 course to learn about A/B Testing.B. To increase

Olegator [25]

Answer:

B. To increase conversion rate of your website traffic, A/B testing can be beneficial

Explanation:

A/B testing is also called split testing or bucket testing, it is a technique that involves determining which version of a Web page or an application works better by comparing two versions. A/B testing is one of the ways through which one can optimize a website funnel, it is also a way of gathering information about qualitative and quantitative user on a website.

A/B testing helps to make minor changes to a webpage, achieve significant improvement.

7 0

2 years ago

Speed World Cycles sells high-performance motorcycles and motocross racers. One of Speed World’s most popular models is the Kazo

Verdich [7]

Answer:

Speed World Cycles

a. Average Cost FIFO LIFO

Cost of goods sold $20,100 $19,900 $20,300

Ending inventory $20,100 $20,300 $19,900

b-1. FIFO will result in Speed World Cycles reporting the highest net income for the current year, because of the reduced cost of goods sold.

b-2. LIFO minimizes the income taxes owed by Speed World Cycles for the year, because it reduces the income before taxes.

b-3. Yes. However, the cost flow assumptions self-correct in later years, by which time it is not allowed to be jumping from one cost flow assumption to another.

Explanation:

a) Data and Calculations:

Purchase Date Units Purchased Unit Cost Total Cost

July 1 2 $ 4,950 $ 9,900

July 22 3 5,000 15,000

Aug. 3 3 5,100 15,300

Total 8 $ 40,200

July 28 Sold 4

September 30 4 (8 - 4)

Average cost = $40,200/8 = $5,025

a-1. Cost of goods sold = $20,100 (4 * $5,025)

Ending inventory = $20,100 (4 * $5,025)

a-2. FIFO:

Ending inventory = $20,300 (3 * $5,100 + 1 * $5,000)

Cost of goods sold = Cost of goods available minus cost of ending inventory

= $40,200 - $20,300

= $19,900

a-3 LIFO:

Cost of goods sold = $20,300 (3 * $5,100 + 1 * $5,000)

Ending inventory = Cost of goods available minus cost of goods sold

= = $40,200 - $20,300

= $19,900

6 0

1 year ago

The Bata Aerobics Company manufactures two models of steppers used for aerobics exercises. To manufacture each luxury model requ

Angelina_Jolie [31]

Answer:

to maximize profit it will produce:

400 units of luxury

none of standard.

Explanation:

luxury:

20 lb of pastic and 9 min of labor and 40 dollars profit

standard:

30lb plastic 6 of labor and $15

We calculate the contribution per constrain resourse:

labor hours

40 / 9 = 4.44

15 / 6 = 2.5

materials

40/20 = 2

15 / 30 = 0.5

As luxury provides better contribution in both categories we will maximize his production.

60 hours x 60 min per hours = 3,600 min

3,600 / 9 min = 400 units of luxury steppers

12,600/20 = 630 units of luxury

Once we use the labor hours we cannot keep producing, so we maximize the profit at 400 units of luxury at the given scenario.

As there is no amounft left for standard we don't produce any

5 0

2 years ago

The gross earnings of the factory workers for Vargas Company during the month of January are $66,000. The employer’s payroll tax

SpyIntel [72]

Answer:

(a) Debited all the loses and expenses and credited all the increased liability.

Factory Labor a/c Dr. $80,000

To Factory wages payable $66,000

To Employer payroll tax payable $8,000

To Employer fringe benefits payable $6,000

(recording of factory labor costs)

(b) All increased assets and expenses and losses are debited and credited the increased liability.

Work in process Inventory a/c (85% of $80,000) Dr. $68,000

Manufacturing account a/c (15% of $80,000) Dr. $12,000

To Factory Labor $80,000

(recording of factory labor to production)

6 0

2 years ago