Calculation of Direct Material Budget for the month of July:
Budgeted production (Units) for July 5,000
Material required per unit (pounds) 3
Material requirement for July (pounds) = (5000 units * 3 pounds) 15,000
Add: Ending material inventory (5300 units * 3 pounds* 30%) 4,770
Less: Beginning material inventory 4,500
Direct Material Purchase (Pounds) (15000+4770-4500) = 15,270
Cost per pound of Metrial ($) $6.00
Direct Material Purchase ($) (15270 pounds * $6) = $91,620
Accounting adds and subtracts numbers billing etc.
Bookkeeping just organizes and stores imformation.
<span>Inez is still obligated to accept delivery of the boat because it is still the boat that she contracted out and built to the specifications that she requested. Just because it was contracted out to another company doesn't mean that she didn't get what she wanted for the price she wanted. If she didn't have a specific design then she might have an argument, however she did and it was built to that design specs.</span>
Answer:
Dr Cash $13,000,000
Cr Other financing source- refunding of existing debt $13,000,000
Dr Other financing uses - refunding of existing debts $13,000,000
Cr Cash $13,000,000
Explanation:
Preparation of the Journal entries to record the transaction on the books of the debt service fund.
Based on the information given we were told that the Town of McHenry has the amount of $13,000,000 in general obligation bonds outstanding in which On July 1, 2017, a current refunding of the amount of $13,000,000 took place which means that the Journal entries to Record the transaction on the books of the service debt fund will be :
Dr Cash $13,000,000
Cr Other financing source- refunding of existing debt $13,000,000
Dr Other financing uses - refunding of existing debts $13,000,000
Cr Cash $13,000,000
Because it is very easy to spend money that you do not have by using a credit card. Most think they can pay it off the following month, but that rarely happens.
