Answer:
Siebens will report $933.33 of Interest Income relating to this note on its 2014 Income Statement
Explanation:
Assuming that the year end for the Siebens is on 31 December, there will be an adjusting entry passed on this day under the accrual principle to caclulate and record the interest income on notes Receivable that relates to this year. The interest income for this year can be calculated as:
Interest Income = 20000 * 0.08 * 7/12 = $933.33
The journal entry to record this will be
31 December 2014 Interest receivable $933.33
Interest Income $933.33
Answer:
d. variable selling and administrative expenses and fixed selling and administrative expenses.
Explanation:
We know that,
The net income under absorption costing would be
= Sales - costs of goods sold - selling and administrative expenses
= Net income
The sales minus costs of goods sold equals to gross profit and Gross profit minus selling and administrative expenses equals to net income
The costs of goods sold = Opening inventory + manufacturing cost - ending inventory
Manufacturing inventory = Direct material + direct labor + fixed manufacturing overhead + variable manufacturing overhead
The amount that Archie and Tina can deduct as a charitable contribution without itemizing their deductions is <u>$600</u>.
<h3>Data and Calculations:</h3>
Archie's earnings =$32,000
Tina's earnings = $24,000
The Reynolds' dependent children = Laura and Timothy
Total charitable deductions for 2021 = $1,700
Limit allowed per couple without itemization of deductibles = $300
The total charitable deductions allowed for the Reynolds = $600 ($300 x 2).
Thus, the amount that Archie and Tina can deduct as a charitable contribution without itemizing their deductions is <u>$600</u>.
Learn more about deductible charitable contributions here: brainly.com/question/8706786
Answer:
The price of the stock will be $76.97
Explanation:
We first need to determine the constant growth rate on dividends.
Growth rate (g) = (D1 - D0) / D0
Growth rate (g) = (2.08 - 2.00) / 2 = 0.04 or 4%
To calculate the price of a stock today whose dividends are growing at a constant rate, we use the constant growth model of DDM. The price of the stock today under this model is,
P0 = D1 / ( r - g )
Where,
- D1 is the dividend expected for the next year
- r is the required rate of return
- g is the growth rate
Thus, to calculate the price of the stock today at t=10, we will use the dividend expected in Year 11 or D11.
D11 = D0 * (1+g)^11
Where P10 is the price 10 years from today.
P10 = 2 * (1+0.04)^11 / (0.08 - 0.04)
P10 = $76.97
<span>b. $16,400........ would be your answer</span>