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2 years ago

The following transactions occurred during a recent year:

Business

1 answer:

Natasha_Volkova [10]2 years ago

6 0

The Company's preliminary Net Income can be determined as $575.

Preliminary net income = Total Revenue - Total Expenses

= $575 ($4,230 - $3,655)

Revenue:

d. Sales Revenue $680

f. Service Revenue $2,870

i. Service Revenue $680

Total Revenue $4,230

Expenses:

a. Wages Expense $1,700

e. Utilities Expense $1,360

h. Travel Expense $115

k. Advertising Expense $480

Total Expenses $3,655

Thus, the company generated a preliminary net income of $575 for the period.

Learn more about determining net income at brainly.com/question/19850768

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One of the differences in accounting for a process costing system compared to a job order system is that the amounts used to tra

AlekseyPX

Answer:

The correct answer is letter "A": true.

Explanation:

Companies using the process costing approach accumulate and assign costs to mass production of a good. Instead, job order costing assigns costs of manufacturing to individual units of production. In process costing, the costs are reported from one department involved in manufacturing to another following the production process. On the other hand, in job order costing, the costs are reported in job cost cards as they are being used.

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3 years ago

Faust Company uses the perpetual inventory system. Faust sold goods that cost $2,300 for $3,600. The sale was made on account. W

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Answer:

increase total assets by $1,300.

Explanation:

The net effect is shown below

The first entry is

Cost of goods sold Dr $2,300

To Merchandise Inventory $2,300

(Being the cost of inventory is recorded)

Now the second entry is

Account receivable Dr 3,600

To Sales revenue 3,600

(Being the sales is recorded)

Now the net effect is

= 3,600 - 2,300

= 1,300

This 1,300 reflect the increase in the total assets

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3 years ago

Determine proper classification (LO11-1) Wi-Fi, Inc., has the following selected transactions during the year. Required: Select

jekas [21]

Answer:

a. Operating activities (indirect method)

1. Pays a $20,000 account payable

2. Collects a $15,000 account receivable

3. Pays $75,000 to suppliers for inventory.

b. Investing activities

Purchases equipment for $

Loans $50,000 to a customer, accepting a note receivable.

c. Financing activities

Issues $20 million in bonds

Declares and pays a cash dividend of $100,000

d. A separate noncash activities note

Exchanges land for a new patent. Both are valued at $300,000.

Explanation:

The categorisation and their effects are explained as follows:

a. Operating activities (indirect method)

1. Pays a $20,000 account payable: This a cash outflow and its effect is a reduction in cash flow from operating activities.

2. Collects a $15,000 account receivable: This a cash inflow and its effect is an increase cash flow from operating activities.

3. Pays $75,000 to suppliers for inventory: This a cash outflow and its effect is a reduction in cash flow from operating activities.

b. Investing activities

1. Purchases equipment for $: This a cash outflow and its effect is a reduction in cash flow from investing activities.

2. Loans $50,000 to a customer, accepting a note receivable: This a cash outflow and its effect is a reduction in cash flow from investing activities.

c. Financing activities

1. Issues $20 million in bonds: This a cash inflow and its effect is an increase in cash flow from financing activities.

2. Declares and pays a cash dividend of $100,000: This a cash outflow and its effect is a reduction in cash flow from financing activities.

d. A separate noncash activities note

1. Exchanges land for a new patent. Both are valued at $300,000: This is a noncash transaction that neitheir leads to the outlow nor inflow of cash.

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3 years ago

A company's normal selling price for its product is $23 per unit. However, due to market competition, the selling price has fall

zmey [24]

Answer:

$2.720

Explanation:

Under the inventory at the lower of cost or market method, we value inventory by taking the lowest value, either market, or cost. In this case, the cost, or replacement cost, is lower than the market value, so the value of the inventory will be found by multiplying the units by the replacement cost:

170 units x $16 per unit = $2.720

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3 years ago

Diana tells crystal, “i think i’ll sell that camping gear i bought for hiking the pacific trail for $250. i’m never going to mak

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The answer is a statement of future intent. It is a statement of an intention has to do something in the future is not an offer. Agreements to agree arise when two parties are conversing an event involving future transactions which are still in progress. A statement of future intent is not a legally binding contract. It only designates an agreement by the two parties involved in the negotiation to attempt to form a future agreement. An agreement to agree is not binding if the matter under discussion is still in argument.

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3 years ago