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Arada [10]
3 years ago
9

Teller, a calendar year company, purchased merchandise from TechCom on November 1 of the current year. TechCom accepted Teller's

$4,800, 90-day, 10% note as payment. What entry should TechCom make on February 1 of the next year when the note is paid, assuming an adjusting entry for interest was made for interest on December 31?
Business
1 answer:
ikadub [295]3 years ago
4 0

Answer:

Dr Interest Receivable $240

Cr       Interest Income             $240

Explanation:

The reason is that the Techcom company is lender and must account the lending as a loan.

The loan will be paid with the interest at the end of the period. The interest received at the end of December 31 would be the single month loan at the $4800 at the interest rate which is 10 percent here.

The Interest Income = $4800 * (10% interest rate * 2/12) = $240

The interes would be recorded for the two months which is $240 and accounted for as under:

Dr Interest Receivable $240

Cr       Interest Income             $240

And at the end of January 31, Teller will make the payment which would be accounted for as under:

Dr Cash $5260

Cr Interest Revenue  $120

Cr Notes Receivable $4800

Cr Interest Receivable $240

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Answer:

$51,790

Explanation:

Amrein Corporation Manufacturing Overhead Budget

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Variable manufacturing overhead rate $5

Variable manufacturing overhead $12,500

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Total manufacturing overhead $55,510

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Therefore the August cash disbursements for manufacturing overhead on the manufacturing overhead budget should be $51,790

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The partnership of Brandon and Ryan is being liquidated. All gains and losses are shared in a 3:1 ratio, respectively. Before li
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b.
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2 years ago
Lizzie Corporation has provided the following information about one of its laptop computers: Date Transaction Number of Units Co
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Answer:

the ending inventory using the FIFO cost flow assumption is $282,900

Explanation:

The computation of the ending inventory using the FIFO cost flow assumption is shown below;

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8 0
3 years ago
A coin sold at auction in 2017 for $1,965,500. The coin had a face value of $5 when it was issued in 1794 and had previously bee
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0.0642 or 6.42%

Explanation:

The period 't' between the year when the coin was issued, 1794, and 1971 is:

t=1971-1794 \\t=177\ years

If the coin had a value of $5 and after a period of t=177 years it was worth $305,000, the annual tax rate by which the coin appreciated is determined by:

305,000 = 5*(1+r)^{177}\\r=\sqrt[177]{61,000}-1\\r=0.0642=6.42\%

The annual rate was 0.0642 or 6.42%.

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c. The investor will have a direct say in how the companies that the venture capital firm funds will be run

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