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2 years ago

The following are a trial balance and several transactions that relate to Lewisville's Concert Hall Bond Fund:

Business

1 answer:

Vera_Pavlovna [14]2 years ago

6 0

Answer:

a. Journal entries

1. Estimated revenues (Dr.) $100,000

Estimated other financing sources (Dr.) $50,000

Appropriations (Cr.) $125,000

Fund Balance Budget (Cr.) $25,000

2. Cash (Dr.) $50,000

General Fund Transfer (Cr.) $50,000

3. Property Tax receivable (Dr.) $100,000

Uncollectable Taxes (Cr.) $5,000

Collectable Property taxes revenue (Cr.) $95,000

4. Cash (Dr.) $60,000

Collectable property tax revenue (Cr.) $60,000

5. Cash (Dr.) $1,000

Revenue From Investments (Cr.) $1,000

6. Cash (Dr.) $30,000

Collectable property tax revenue (Cr.) $30,000

7. Interest expense (Dr.) $37,500

Interest Payable (Cr.) $37,500

8. Fiscal Agent fee (Dr.) $500

Cash (Cr.) $500

9. Cash (Dr.) $1,000

Investment Revenue (Cr.) $1,000

10. Interest Expense (Dr.) $37,500

Principal payment (Dr.) $50,000

[Fiscal Agent] Cash (Cr.) $87,500

11. Investment Revenue Receivable (Dr.) $500

Investment Revenue (Cr.) $500

Explanation:

b. Trial Balance

Particulars : Debit (Dr.) $ ; Credit (Cr.) $

Cash: 76,500 ; 0

Property Taxes receivable 10,000 ; 0

Allowance for uncollectable property 0 ; 5,000

Investments 40,000 ; 0

Investment revenue receivable 500 ; 0

Restricted fund balance 0 ; 100,000

Revenue - property taxes 0 ; 95,000

Revenue- Investments 0 ; 2,500

Transfer to general fund 0 ; 50,000

Interest Expense 75,000 ; 0

Bond principal 50,000 ; 0

Fiscal agent fees 500 ; 0

Estimated revenues 100,000 ; 0

Estimated other financing sources 50,000 ; 0

Appropriations 0 ; 125,000

Fund balance Budget 0 ; 25,000

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ACE Electronics introduces a new voice-activated personal computer that no longer requires a keyboard. ACE charges the high pric

ArbitrLikvidat [17]

Answer:

C) competition

Explanation:

ACE's new computer is in the introduction stage of the product life cycle. It is a very new and different product and therefore ACE can charge a high price until the growth stage begins. During the growth stage, the product's demand will increase and it will become a normal available product, that will attract several competitors into the market. Competitors might introduce newer versions of the product which are slightly different, but specially the price will be a decisive factor. As more competitors enter the market, the price will fall.

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2 years ago

Assuming that data mining techniques are to be used in the following cases, identify whether the task required is supervised or

Greeley [361]

Answer:

Supervised and Unsupervised Learning:

a. Unsupervised learning

b. Supervised learning

3. Supervised learning

4. Unsupervised learning

Explanation:

The key difference between supervised machine learning and unsupervised machine learning is that with supervised machine learning there is a training dataset (labeled data) on which the algorithm is trained to predict patterns. With unsupervised machine learning on the other hand, there is no training data. So, the algorithm discovers patterns on itself without reference to another labeled data or training dataset.

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2 years ago

A trader creates a long butterfly spread from options with strike prices $60, $65, and $70 by trading a total of 400 options. Th

malfutka [58]

Answer:

$400

Explanation:

From the question, there is a butterfly spread when a trader buys 100 options with strike prices $60 and $70 and sells 200 options with strike price $65.

The maximum gain is the point where both the stock price and the middle strike price are equal, i.e. equal to $65. At that point, the options payoffs are respectively $500, 0, and 0. By implication, the total payoff is $500.

The set up cost of the butterfly spread can be calculated as follows:

Setup cost = ($11×100) + ($18×100) – ($14×200)

= 1,100 + 1,800 – 2,800

Setup cost = $100

Net gain = Options payoffs – Setup cost = $500 - $100 = $400

Therefore, the maximum net gain (after the cost of the options is taken into account) is $400.

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2 years ago

DeMont Tax Services provides primarily two lines of service: accounting and tax. Accounting-related services represent 60% of it

pogonyaev

Answer:

Accounting revenue = $7,500,000

Tax revenue = $5,000,000

Explanation:

Contribution margin is net of Sales price and variable cost per unit.

Break-even is the level of sales at which the business have no profit no loss. At this point business only covers the the variable and fixed cost.

Average contribution = (Revenue from Accounting x Contribution of accounting services ) + (Revenue from Tax x Contribution of Tax services )

Average contribution = (60% x 30%) + (40% x 40%) = 18% + 16% = 34%

Revenue at break-even = Fixed cost / Contribution margin ratio

Revenue at break-even = $4,250,000 / 34% = $12,500,000

Accounting revenue = $12,500,000 x 60% = 7,500,000

Tax revenue = $12,500,000 x 40% = 5,000,000

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2 years ago

If Angela's $98,760 home appreciates three percent a year, will she have enough appreciation to try to sell the home for a $15,0

Mama L [17]

Answer:

Yes, she will (total profit of $15,730)

Explanation:

We must determine the future value of Angela house:

future value = present value (1 + appreciation rate)ⁿ

present value = $98,760
appreciation rate = 3%
n= 5

FV = $98,760 (1.03)⁵ = $98,760 x 1.1592740743 = $114,490

now the difference between the future value and the present value = $114,490 - $98.760 = $15,730

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2 years ago