Answer and Explanation:
The journal entry is shown below
Cash $46,620
To Notes Receivable $44,400
To Interest receivable ($44,400 × 15% × 120 days ÷ 360 days)
(Being the cash received is recorded)
Here we debited the cash as it increased the assets and at the same time we credited the interest receivable and the note receivable as it decreased the assets
The same is to be considered
Disposable income is the remaining amount after the deduction of taxes and social security charges etc... you can then spend this money however you want. So the answer is A.
Hope this helps.
Answer:
see below
Explanation:
This transaction is affecting the bank's balance and F brown accounts. It is increasing the bank balance( asset account) by 4000 and increasing accounts payable/F brown ( liabilities account) by 4000.
An increase in assets is debited while an increase in liabilities is credited.
the journal entry will be
Bank A/c Dr. 4000
F brown A/c 4000
Answer:
158460 ( B )
Explanation:
Given data :
production department ; 56000 units
process inventory = 32% = 0.32
completed and transferred units = 167000
ending goods units = 14000, 67% complete = 0.67
attached below is the table representation of the solution
The number of equivalent units produced by the department
= ∑ all the variables listed on the table
= 38080 + 11100 + 9380 = 158460
Answer:
Requirement 2
a) Net Operating Income (Loss) for year 1 under absorption costing = 110,600
b) Net Operating Income (Loss) for year 2 under absorption costing = 257,600
c) Net Operating Income (Loss) for year 1 under variable costing = 238,200
d) Net Operating Income (Loss) for year 2 under variable costing = 385,200
e) The cost of goods sold is always less under variable costing than under absorption costing.
Explanation:
a) Absorption Costing, also called full absorption costing, capture all costs associated with manufacturing a particular product, such that the direct and indirect costs, such as direct materials, direct labor, rent, and insurance, are fully accounted for using this managerial accounting method.
b) Variable Costing is a managerial accounting technique that assigns variable costs to inventory, so that all period (fixed overhead) costs are charged to expenses in the period incurred, while only direct materials, direct labor, and variable manufacturing overhead costs are assigned to inventory.
