Primary data can usually be obtained more quickly and at a lower cost than secondary data.

The consolidated inventory of Allister and Barone at year end 31st December is the sum of their individual inventories minus the allowance for unrealized profit on intra-group sales of $180,000

Allowance for unrealized =amount of unsold inventory/total sales*profit on sale

amount of unsold =10%*$180,000=$18,000

total profit on the sale=sales price-cost=$180,000-$130,000=$50,000

allowance for unrealized profit=$18,000/180,000*50,000=$5,000

Consolidated inventory=$500,000+$300,000-$5,000=$795,000

5 0

4 years ago

Cullumber Co. receives $343,800 when it issues a $343,800, 10%, mortgage note payable to finance the construction of a building

Katyanochek1 [597]

Answer:

See the journal entries below.

Explanation:

The journal entries will look as follows:

Date Description Debit ($) Credit ($)

31 Dec 20 Cash 343,800

Mortgage note payable 343,800

(To record the issue of mortgage note.)

31 Dec 21 Interest expense (w.1) 34,380

Mortgage note payable (w.2) 22,920

Cash 57,300

(To record the first annual installment on Mortgage note.)

31 Dec 22 Interest expense (w.4) 32,088

Mortgage note payable (w.5) 25,212

Cash 57,300

(To record the second annual installment on Mortgage note.)

Workings:

w.1. Interest expense on December 31, 2021 = Mortgage loan amount * Interest rate = $343,800 * 10% = $34,380

w.2. Principal paid on December 31, 2021 = Annual installment payments - Interest expense on December 31, 2021 = $57,300 - $34,380 = $22,920

w.3 Mortgage loan balance on December 31, 2021 = Mortgage loan amount - Principal paid on December 31, 2021 = $343,800 - $22,920 = $320,880

w.4. Interest expense on December 31, 2022 = Mortgage loan balance on December 31, 2021 * Interest rate = $320,880 * 10% = $32,088

w.5. Principal paid on December 31, 2022 = Annual installment payments - Interest expense on December 31, 2022 = $57,300 - $32,088 = $25,212

6 0

3 years ago

________ offer a limited assortment of general merchandise at very low prices and are often found in lower-rent locations.

True [87]

Answer:

D. Extreme Value Retailers

Explanation:

I majored in Business

7 0

3 years ago