Answer and Explanation:
The computation is shown below:
a. For Account receivable days is
= Total number of days in a year × account receivable balance ÷ Sales
= 365 days × $50,000 ÷ $445,000
= 41.01 days
b. For inventory days
= Total number of days in a year × inventory balance ÷ Cost of Goods sold
= 365 days × $50,000 ÷ $280,000
= 65.18 days
c. For Account payable days
= Total number of days in a year × account payable balance ÷ Cost of Goods sold
= 365 days × $42,000 ÷ $280,000
= 54.75 days
d. For a cash to cash days
= Account receivable days + inventory days - account payable days
= 41.01 + 65.18 + 54.75
= 51.44 days
Answer:
Draw up a lease
Explanation:
There are some duties that an onsite manager can perform without a license. However, some of the duties that must be done by an licensed onsite manager include listing a property, negotiation or drawing up a lease, management of rent, acceptance of lease terms, and the disbursement of the fund from the rental. You must be licensed to carry out these duties.
Answer:
a. For raw material purchased:
Debit: Inventory - raw materials with $73,000,
Credit: cash with $73,00.
b. For raw material issued:
Debit: Work-in-Progress with $60,500
Credit: Inventory - raw materials with $65,500
Explanation:
Hotwax's journal entries for this will appear as follows in the book.
Details Dr ($) Cr ($)
Inventory - Raw materials 73,000
Cash 73,000
<em>Being the purchase of raw materials inventory in cash</em>
Work-in-Progress 60,500
Inventory - Raw materials 60,500
<em>Being the issue of raw materials for production</em>
Answer:
c. Common Stock $50,000 and Paid-in Capital in Excess of Par Value $20,000.
Explanation:
The journal entry for issuance of the common stock for cash is shown below:
Cash A/c Dr $70,000
To Common stock $50,000 (5,000 shares × $10)
To Additional paid in capital A/c - Common stock A/c $20,000
(Being the common stock is issued for cash)
While recording this entry it increased the assets so the cash account is debited while at the same time it also increased the common stock for $50,000 and the additional paid in capital in excess of par value i.e $20,000 so both these account are credited
