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kotykmax [81]
1 year ago
14

upton industries has revenues of $42,629, interest expense of $1,230, depreciation of $2,609, cost of goods sold of $23,704, div

idends paid of $1,200, and administrative expenses of $7,040. assume the tax rate is 22 percent. what is the addition to retained earnings? a) $5,075.88 b) $4,630.19 c) $3,766.67 d) $4,903.18 e) $5,230.04 group of answer choices
Business
1 answer:
igor_vitrenko [27]1 year ago
3 0

Option a) $5075.88 is the addition to the retained earnings

Current profits less any dividends or other payouts to shareholders are a company's retained earnings. Every time an accounting entry is made that has an effect on a revenue or expense account, this sum is modified. A sizable retained profits balance suggests that the corporation is in a secure financial position.

Computing after-tax profit:

(Revenues - Interest cost - Depreciation - Cost of goods sold - Administrative costs) x ( 1 - tax)

= ($42629 - $1,230 - $2,609 - $23,704 - $7,040) x ( 1 - 22%)

= $6,275.88

Retained earnings addition:

= After-tax net profit - Dividends paid

= 6,275.88 - 1,200

= $5,075.88

Hence, option a) is the correct answer

Learn more about retained earnings:

brainly.com/question/14529006

#SPJ4

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Answer and Explanation:

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7 0
3 years ago
Distinguish between vending machines and mail-order houses. Explain the usefulness of mail-order houses. What type of products g
andre [41]

Answer:

Explanation:

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Mail order houses on the other hand, are companies that sell or manage mail orders. They sell their products through mail and there usually is no direct contact between the seller abs the buyer.

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Bad debt is non existent: Mail order houses do not give out credit to customers, and as such, bad debts never come into the scenario.

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3 0
3 years ago
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Anna007 [38]

Answer:

lost or stolen

Explanation:

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Under the section 3-312 of the UCC if a check is a certified check or a cashier check and if the check is lost or stolen, then the claimant of the check can fully get the refund of the amount by submitting a declaration to the bank and have to wait for 30-90 days to get a replacement check or the refund of the money. The claimant may have to present a indemnity bond to the bank.

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Image of page 1
5 0
3 years ago
**Verifiability means that the accounting​ information:
Svetlanka [38]

Accounting information that has verifiability is one that D. must be capable of being checked for​ accuracy, completeness and reliability.

<h3>What is verifiability in accounting?</h3>

in accounting, data is considered to be verifiable if a third party can come up with the same information given the chance.

for this to happen, the data needs to be capable of being checked for completeness and reliability.

find out more on verifiability in accounting at brainly.com/question/17031030.

#spj1

7 0
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