The Credit Card Accountability, Responsibility, and Disclosure Act of 2009 or also known as the Credit CARD Act was passed on May 22, 2009. This act will make it easier for the consumers to settle their credit card liability balances. This is made as an answer to the increasing number of consumer debt.
Answer:
Increase
Explanation:
Operating income is a company's profit after deducting operating expenses which are the cost of running operations daily.
When the product line 2 is dropped cost of running operations will reduce thereby increasing the operating income.
Answer:
I can't help you sorry
Explanation:
I don't know what any of this means
Answer:
$8 per direct labor hours and $2 per direct labor hours
Explanation:
The computation of the predetermined overhead rate is shown below:
Predetermined overhead rate = Budgeted fixed manufacturing overhead ÷ planned activity level
= $480,000 ÷ 60,000 direct labor hours
= $8 per direct labor hours
And, the budgeted variable manufacturing overhead is $2 per direct labor hours
We simply divide the budgeted fixed manufacturing overhead by the planned activity level
Answer:
Interest expense to be recorded on Dec 31 2018= $8425
Explanation:
Lets first understand what adjusting entry is? Adjusting entries are entries passed at the reporting date in order to comply to the accruals concept of accounting. Accruals concept requires entities to record revenue and expenses in the period that they occur and should not wait until they are received or paid respectively. Revenues and expenses should be matched for the period and recorded.
Now that we have understood adjusting entry, lets calculate interest expense that should be recorded on December 31 2018. So Arch Services records interest payment on a semi-annul basis (i.e every 6 months). Now the bonds are issued on November (i.e two months to the reporting date), considering the accruals concept Arch Services will have to record interest for two months.
The interest expense is calculated as follows:
Annual Interest= $337000×15%
Annual Interest= $50550
Lets convert it into monthly basis as follows:
Monthly interest expense= $4212.5
Interest for two months would be = $4212.5×2
Interest expense to be recorded on Dec 31 2018= $8425
