Answer:
a. Inflation rate is 75%
b, Inflation rate is 40%
Explanation:
Inflation rate = (the value expended on same quantity of goods last year minus the value expended on same quantity of goods in Base year) divided by the value expended on same quantity of goods in Base Year
The derivation of Inflation is shown in the attached document
Answer:
$555,750
Explanation:
First we need to calculate the units produced in the month of August.
We know that the opening inventory of finished goods is equal to 40% of that month's sale.
- The Opening inventory of August will be: 11100 * 0.4 = 4440
- Units produced in august relating to August sales will be 11100 - 4440 = 6660
- Units produced in August relating to September's sales will be 12600 * 0.4 = 5040
- Total units produced in August = 6660 + 5040 = 11700 units
- labour hours required for August = 11700 * 2.5 = 29250 direct labor hours
- So, Direct labor Cost = 29250 * 19 = 555750
Answer:
The correct answer is $1,114.64
Explanation:
According to the scenario, the given data are as follows:
Rate (Semiannual) = 6% ÷ 2 = 3%
Time period = 5 years
Time period (semi annual) (Nper) = 5 × 2 = 10
Face value (PV) = $1,000
payment (pmt) = $1,000 × 4%/2 = $20
We can calculate the FV by using financial calculator,
The attachment is attached below.
So, the Price = $1,114.64
Complete question:
Petra owns a coffee shop. She has ten employees.In 2007, she paid her employees minimum wage ($5.85 an hour).In 2008, the minimum wage increased to $6.55 an hour.In 2009, the minimum wage increased to $7.25 an hour. Petra is paying her ten employees for 40 hours a week 52 weeks each year. In 2007 Petra spent___ on wages for her employees each week. When the minimum wage rose in 2009, Petra had to increase her annual budget for wage from 2008 by___
Answer: $2340 ; $14,560
Explanation:
Given the following :
2007 minimum wage = $5.85/ hour
2008 minimum wage = $6.55/ hour
2009 minimum wage = $7.25/ hour
Number of Employees = 10
Number of hours = 40 hours per week for 52 weeks
Amount spent on wages per week in 2007:
Minimum wage × number of employees × number of hours per week
= $5.85 × 10 × 40 = $2340
B.)
wage increase between 2008 - 2009:
$7.25/hour - 6.55/hour = $0.7/hour
Therefore, increase in annual budget equals:
Wage increase × number of employees × number of hours per week × number of weeks
= $0.7 × 10 × 40 × 52 = $14,560
Answer:
Explanation:
From the information povided:
(a) To compute the amount of goodwill paid by Chicago Corporation
Particulars Amount ($)
Accounts Receivable 100000
Inventory 170000
Plant & Equipment 400000
Land 90000
Customer List 4000
Trade Names <u> 16000</u>
NET ASSETS (A) <u>780000</u>
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Current liabilities 76000
Non-current liabilities <u>160000 </u>
NET LIABILITIES (B) <u> 236000</u>
∴
PURCHASE CONSIDERATION (A -B) 544000
<u>Less:</u> Cash Paid <u> 580000</u>
GODWILL <u> 36000 </u>
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b)
In the books of Chicago Corporation, the Journal Entry to record the purchase of Naperville Company.
Account Name Dr. Cr.
Accounts Receivable A/C 100000
Inventory A/C 170000
Plant Equipment A/C 400000
Land A/C 90000
Customer List A/C 4000
Trade Names A/C 16000
Goodwill A/C 36000
Current liabilities A/C 76000
Non-Current Liabilities A/C 160000
Cash A/C 580000
c)
The minimum required amount of goodwill that Chicago can amortize by the end of 2020 is $3600.This is because the amortization can take place for a period of 10 years.
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