Answer:
6.94
Explanation:
The total cost of materials is $172,000
The equivalent unit of production materials is 50,000
The total conversion costs are $105,000
The equivalent unit of production is 30,000
Therefore the total manufacturingg costs per unit can be calculated as follows
172,000/50,000
= 3.44
105,000/30,000
= 3.5
3.44+3.5
= 6.94
Answer:
Prepare the necessary entry to clear the Intangible Assets account and to set up separate accounts for distinct types of intangibles.
- Dr Patents 387,900
- Cr Intangible assets 387,900
- Dr Goodwill 341,000
- Cr Intangible assets 341,000
- Dr Franchises 421,000
- Cr Intangible assets 421,000
- Dr Copyright 145,200
- Cr Intangible assets 145,200
- Dr Research and development expense 211,000
- Cr Intangible assets 211,000
Make the entry as of December 31, 2020, recording any necessary amortization:
- Dr Patents 387,900
- Cr Intangible assets 387,900
- Dr Amortization expense 43,100
- Cr Accumulated amortization - Patents 43,100
- Dr Goodwill 341,000
- Cr Intangible assets 341,000
- Dr Franchises 421,000
- Cr Intangible assets 421,000
- Dr Amortization expense 42,100
- Cr Accumulated amortization - Franchises 43,100
- Dr Copyright 145,200
- Cr Intangible assets 145,200
- Dr Amortization expense 29,040
- Cr Accumulated amortization - Copyright 29,040
*R&D costs are expenses, they are not amortized.
Reflect all balances accurately as of December 31, 2020. Use straight-line amortization
.
- Patents $344,800
- Goodwill $341,000
- Franchises $378,900
- Copyright $116,160
Answer:
Letter A is correct. <u><em>Direct investment.</em></u>
Explanation:
Direct Investment or Foreign Direct Investment is defined as international investment for the purposes of creation and operations in another country. This type of investment may establish a majority or minority interest in companies that give the investor control over the operations and activities of that company.
In the case of the matter, it involves the Ford company whose direct investment was made in India to open its own business operations in India.
It is a type of complex investment, often used by companies wishing to establish a commercial presence in foreign countries, so it involves not only capital and interest, but management systems and technology.
Answer:
Purchasing power parity methods
Explanation:
Purchasing power parity (PPP) method compares the productivity and the standards of living between countries by using the 'basket of goods approach'. The basket approach implies a determination of the quantity of money needed to purchase a common unit(basket) of goods and services in different countries. Two countries will be said to be at par if a 'basket of goods' costs the same considering the exchange rates.
Cost of living and the inflation rate in a country determine the purchasing power of its currency. Purchasing power parity attempts to equalize different currencies by considering inflation and purchasing power in each country.
Answer:
Increase in the estimated life of depreciable assets
Opinion of third parties
Explanation:
If management reports truthfully, the economic events that are likely to prompt the following accounting changes are an increase in the estimated life of depreciable assets.
The features of accounting, that would make it costly for dishonest managers to make the same changes without any corresponding economic changes is auditing.
Auditiors are the third parties which provide a clean account of the financial statement of the company, therefore if the changes in the accounting policy are consistent with economic changes, the audits will not provide a clean account of the financial statement
