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2 years ago

Why did Tonya's lender most likely deny her credit?

1 answer:

3 0

Creditors will decline your request for credit if they see that your income is insufficient to cover your debts.

Lenders will be reluctant to approve a loan if you have a bankruptcy on your credit report since it increases the risk involved.

Thus, Option B is correct.

<h3>Who makes the decision about your credit application?</h3>

Your information is provided to the credit reporting bureau, but the lender ultimately decides whether or not to extend credit.

The best course of action is typically to speak with the lender directly if you require more details especially regarding your denial.

For more information about Credit application refer to the link:

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LO 3.1A companyâ€™s product sells for $150 and has variable costs of $60 associated with the product. What is its contribution m

Pavel [41]

Answer:

$90

Explanation:

The formula and the computation of the contribution margin per unit are presented below:

Contribution margin per unit = Selling price per unit - variable cost per unit

= $150 - $60

= $90

If we deduct the variable cost per unit from the selling price per unit, then the contribution margin per unit can arrive

We only considered the selling price and the variable cost per unit

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3 years ago

Lucy Sportswear manufactures a line of specialty T-shirts using a job order costing system. In March the company incurred the fo

wlad13 [49]

Answer:

Unitary cost of goods sold= $5.95

Explanation:

Giving the following information:

direct materials= $13,200

direct labor= $4,900

Job ICU2 required 800 machine hours.

Factory overhead was applied to the job at a rate of $25 per machine hour.

The cost of goods sold is calculated using the direct material, direct labor, and applied factory overhead.

First, we need to calculate the allocated overhead:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 25*800= 20,000

Now, we need to calculate the cost of goods sold per unit:

Total cost= 13,200 + 4,900+ 20,000= 38,100

Unitary cost= 38,100/6,400= $5.95

Unitary cost of goods sold= $5.95

4 0

3 years ago

If the Federal Reserve sells securities on the open market, how are the purchases of U.S. financial assets by foreigners and the

Sergeeva-Olga [200]

Answer:

A. Increase/Increase

Explanation:

The Federal Reserve is part of the inner economy of the country, which means that if it sells products on the open market (in the world) the inner economy will increase, in consequence the International Value of Dollar will increase because of the demand.

8 0

3 years ago

Power Corporation acquired 100 percent ownership of Scrub Company on February 12, 20X9. At the date of acquisition, Scrub Compan

Rufina [12.5K]

Answer:

a. See the journal entries in the explanation below.

Retained Earnings is $175,000

Goodwill is $25,000

b. See the journal entries in the explanation below.

Retained Earnings is $175,000

Capital Reserve is $4,000

Explanation:

Note: There are mistakes the names of the companies in the requirements a anb b. These correctly restated before answering the question by as follows:

a. Prepare the following consolidation entries required to prepare a consolidated balance sheet immediately after the business combination assuming Power acquired its ownership of Scrub for $291,000. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

1. Record the basic consolidation entry

2. Record the excess value (differential reclassification entry)

b. Prepare the following consolidation entries required to prepare a consolidated balance sheet immediately after the business combination assuming Power acquired its ownership of Scrub for $262,000. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

1. Record the basic consolidation entry.

2. Record the excess value (differential) reclassification entry.

The answers and explanation are therefore given as follows:

a. Prepare the following consolidation entries required when Consideration is $291,000

1. Record the basic consolidation entry

Accounts Dr ($) Cr ($)

Common Stock 91,000

Retained Earnings (w.1) 175,000

Goodwill (w.2) 25,000

Investment in Scrub Company 291,000

(To record the elimination of investment and stockholder equity.)

2. Record the excess value (differential reclassification entry)

Note that $25,000 is transferred to Goodwill account in part 1 above.

The $25,000 is transferred to Goodwill because when the consideration is greater than the net asset value which is calculated as the of Common Stock and Retained Earnings, the difference is the Goodwill.

When Net Consideration is more than the net asset value (Stockholder Equity), then the difference is to be transferred to Goodwill.

Workings:

w.1: Calculation of retained earning to be eliminated

Particulars $

Retained Earnings Balance 160,000

Increase in land value 21,000

Decrease in inventories values (6,000)

Fair Value retained earnings to be eliminated 175,000

w.2: Calculation of Goodwill to be recognized

Particulars $ $

Consideration paid for acquisition 291,000

Assets of Scrub:

Asset book value 420,000

Increase in land value 21,000

Decrease in inventories values (6,000)

Assets 435,000

Liabilities (169,000)

Net asset value of Scrub (266,000)

Goodwill to be recognized 25,000

b. Prepare the following consolidation entries required when Consideration is $262,000

1. Record the basic consolidation entry

Accounts Dr ($) Cr ($)

Common Stock 91,000

Retained Earnings (w.3) 175,000

Investment in Scrub Company 262,000

Capital reserve (w.4) 4,000

(To record the elimination of investment and stockholder equity.)

2. Record the excess value (differential reclassification entry)

Note that $4,000 is transferred to Capital Reserve in part 1 above.

The $4,000 is transferred to Capital Rserve because when the consideration is less than the net asset value which is calculated as the of Common Stock and Retained Earnings, the difference is Capital Reserve.

When Net Consideration is less than the net asset value (Stockholder Equity), then the difference is to be transferred to Capital reserve.

Workings:

w.3: Calculation of retained earning to be eliminated

Particulars $

Retained Earnings Balance 160,000

Increase in land value 21,000

Decrease in inventories values (6,000)

Fair Value retained earnings to be eliminated 175,000

w.4: Calculation of Goodwill to be recognized

Particulars $ $

Consideration paid for acquisition 262,000

Assets of Scrub:

Asset book value 420,000

Increase in land value 21,000

Decrease in inventories values (6,000)

Assets 435,000

Liabilities (169,000)

Net asset value of Scrub (266,000)

Capital reserve to be recognized  (4,000) 

3 0

3 years ago

Sue’s Jewelry sold 20 necklaces for $25 each to a credit customer. The invoice included a 6% sales tax and payment terms of 2/10

tiny-mole [99]

I took the test. The answer is A. Accounts Receivable for $530.

Brainliest please?

4 0

3 years ago