Which term describes a list of all ledger accounts that businesses maintain?

Beck Manufacturing reports the information below for 2017. Raw Materials Inventory Begin. Inv. 10,000 Purchases 45,000 Avail. fo

Vanyuwa [196]

Answer:

transferred out (COGM) 131,000

Cost of goods sold: 129,000

Explanation:

DM used 46,500

Direct labor 27,500

Overhead 55,000

Total: 129,000 cost added for the period

Then, we calcualte the amount transferred-out:

Beginning WIP 14,000

Cost added 129,000

Ending WIP (12,000)

Trasferred out: 131,000 (cost of goods manufactured)

And finally, the cost of goods sold for the year:

Beginning FG 16,000

Trasferred out 131,000

Ending FG (18,000)

COGS: 129,000

5 0

2 years ago

Kivi Service Stations is considering expanding its operations to include the greater Dubuque area. Rather than build new service

gayaneshka [121]

Answer:

A. $1,085,000

B. $316,000

Explanation:

A. Computation of an estimated fair value for any goodwill associated with Kivi purchasing Joe’s Garage

Actual average net income per year $220,000

Sales multiplier 9.25 times

Estimated fair market value of Joe's Garage$2,035,000

($220,000*9.45 Times)

Fair market value of identifiable assets($950,000)

Estimated goodwill of Joe's Garage$1,085,000

($2,035,000-$950,000)

b. Computation for an estimated fair value for any goodwill associated with Kivi purchasing Gas N’ Go.

Actual average net income per year$275,000

Earnings for Gas N' Go($196,000)

(20%×$980,000)

Estimated excess earnings of Gas N' Go$79,000

($275,000-$196,000)

Management expect excess earning of four years ×4

Estimated goodwill of Gas N' Go $316,000

($79,000×4 years)

4 0

1 year ago

In 2017 Wilkinson Company had net credit sales of $2250000. On January 1, 2017, Allowance for Doubtful Accounts had a credit bal

mamaluj [8]

Answer:

$114,000

Explanation:

Given that,

Net credit sales = $2,250,000

Opening allowance for Doubtful Accounts = $36,000

Uncollectible accounts receivable written off = $90,000

Firstly, we need to find the excess amount to be adjusted to allowance for Doubtful Accounts. It is calculated as follows:

= Uncollectible accounts receivable written off - Opening allowance for Doubtful Accounts

= $90,000 - $36,000

= $54,000

Allowance amount:

= 10% of the balance in receivables

= 0.1 × $600,000

= $60,000

Therefore, the required adjustment to the Allowance for Doubtful Accounts at December 31, 2017 is determined by summing up the excess amount and allowance amount.

= Excess amount to be adjusted to allowance for Doubtful Accounts + Allowance amount

= $54,000 + $60,000

= $114,000

4 0

2 years ago

The Acmeville Metropolitan Bus Service currently charges $0.88 for an all-day ticket and is used by an average of 513 riders a d

ki77a [65]

Answer:

Price elasticity of demand = Change in Quantity/ Change in Price

Using midpoint formula;

Change in Quantity ;

$= \frac{Q2 - Q1}{\frac{Q1 + Q2}{2} } \\\\= \frac{363 - 513}{\frac{513 + 363}{2} }\\\\= -0.342$

Change in Price;

$= \frac{P2 - P1}{\frac{P1 + P2}{2} } \\\\= \frac{0.99 - 0.88}{\frac{0.99 + 0.88}{2} }\\\\= 0.118$

Price elasticity of demand = -0.342/0.118

= -2.90

Demand is elastic, so decreasing ticket prices will increase revenue.

When the elasticity is larger than 1 it means that a 1% change in price will change demand by more than 1%. In this case, a a decrease of price by 1% will bring 2.9% increase in customers.

6 0

1 year ago

Furniture costing $75,900 is sold at its book value in 2019. Acquisitions of furniture total $64,300 cash, on which no depreciat

SVEN [57.7K]

Answer:

Hie, the question you have provided is missing information relating to Accumulated depreciation or book value of the furniture as well as profit or loss on sale of furniture.

However, important principles are explained below :

The Furniture Disposal T - Account is used to calculate the cash received from the sale of furniture.

The Format of the Account is as follows :

Debits :

Record the Costs of the Furniture Sold. In this cases Cost is $75,900

Record the Profit on Sale of Furniture (if there was profit). The information is incomplete in this case.

Credits :

Record the Accumulated Depreciation on the Furniture. This figure is missing.

Record the Loss on Sale of Furniture (if there was a loss). The information is incomplete in this case.

The Balancing figure would be the Cash Received on sale of Furniture and to be recorded here.

Conclusion :

The Cash Received on Sale of Furniture is a Balancing figure of the Furniture Disposal T - Account.

7 0

1 year ago