Answer:
correct option is $0
Explanation:
given data
purchased truck = $270,000
transportation and calibration costs = $30,000
life = 20 years
financed period = 15 year
solution
we know here that some expenses like insurance and depreciation etc is allocated by systematic and the rational procedure for some period
so that during that period related asset is expected to provide the benefit
and acquisition of capital asset is not record as expenses
we know appropriate property and plant or the equipment assets account are debit on purchases
so that Depreciation expenses are recorded to reflect the allocation of costs of the asset to operation over service life of assets
so here correct option is $0
Explanation:
The journal entry is as follows:
Land Dr $70,000
Additional paid in capital $5,000
To Common stock $75,000
(Being the common stock is issued in exchanged for cash)
The computation of the additional paid in capital is shown below:
= Common stock - the appraised value of land
where,
The common stock = 750 shares × $100 = $75,000
And, the appraised value of land is $70,000
So, the remaining balance is
= $75,000 - $70,000
= $5,000
The $5,000 would be recorded as an additional paid in capital
Answer:
1. If a firm increases its dividend payout rate the: firm will have less cash available for new investment. True
2. Stock price will likely fall by the same percentage. False
3. Retention ratio will rise at the same rate. False
Explanation:
1. If a firm increases its dividend payout rate the: firm will have less cash available for new investment. This assertion is true because the company would be paying out a larger portion of earnings as dividends, hence the balance portion for new investment will be lower as a result.
2. Stock price will likely fall by the same percentage. This assertion is most unlikely because normally, if a particular stock is paying higher dividends investors will have high expectation and be willing to pay a higher price to buy a stock that pays high dividends
3. Retention ratio will rise at the same rate. This conclusion is also incorrect because pay out ratio and retention ratio have an inverse relationship. If more dividend is paid out, then less money is retained.
Answer:
3,000 units and 1,950 units
Explanation:
For computing the equivalent units of ending work in process for materials and conversion cost, first we have to determine the ending work in process units which is shown below:
Ending work in process units = Beginning inventory + units started - units completed and transferred
= 2,500 units + 18,000 units - 17,500 units
= 3,000 units
Now the equivalent units of ending work in process for materials would be
= 3,000 units × 100%
= 3,000 units
And, for conversion cost it would be
= 3,000 units × 65%
= 1,950 units
Answer:
recognition phase
Explanation:
There are 5 phases in the consumer decision-making process:
- recognition: the customer realizes that he/she has an unsatisfied need or problem that must be satisfied or solved. In this case, Lucy realized that her car needs more oil and she has to purchase some.
- information search
- evaluations of alternatives
- purchase
- evaluation of decision
