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2 years ago

The amounts to calculate ratio of liabilities to stockholders' equity can be found on

2 answers:

5 0

The answer to this question is a balance sheet. A balance sheet is a financial statement that indicates the total assets, liabilities, and the shareholders' / owners' equity at a particular period / time. A balance sheet deals with the accounting equation which is assets = liabilities + equity. Balance sheets are audited because it is required by law.

Sergeeva-Olga [200]2 years ago

3 0

The amount is found on the balance sheet

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Margot's Deli Company has the following information for July. Cost of materials placed in production $30,000 Direct labor 25,000

matrenka [14]

Answer:

cost of goods manufactured= $68,400

Explanation:

Giving the following information:

Cost of materials placed in production $30,000

Direct labor 25,000

Factory overhead 14,000

Work in process inventory, July 1 2,900

Work in process inventory, July 31 3,500

<u>To calculate the cost of goods manufactured, we need to use the following formula:</u>

<u></u>

cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP

cost of goods manufactured= 2,900 + 30,000 + 25,000 + 14,000 - 3,500

cost of goods manufactured= $68,400

8 0

2 years ago

Alfred lost his 3-year-old camera. It cost him $150 three years ago and had a life expectancy of 6 years. Alfred has actual cash

salantis [7]

Answer:

insurance company will pay $75 to Alfred.

Explanation:

given data

Actual cost of camera = $200

Alfred cost of camera = $150

Life expectancy = 6 years

solution

we get here first Remain life of camera that is

Remain life of camera = 6 years - 3 years

Remain life of camera = 3 years

and

now we get here current cost of the camera that is

current cost of camera = Alfred cost of camera × (Remain life of camera ÷ Life expectancy) ........................1

put here value and we get

Current cost of camera = $150 × $\frac{3}{6}$

Current cost of camera = $75

so that insurance company will pay $75 to Alfred.

5 0

2 years ago

The 2021 income statement of Adrian Express reports sales of $20,710,000, cost of goods sold of $12,600,000, and net income of $

Verizon [17]

Answer:

Adrian Express

1. Five Profitability Ratios:

Gross profit ratio: = 39.2%

Return on assets = 20%

Profit margin = 9.6%

Asset turnover = 2.1 times

Return on equity = 37.4%

2. I think the company is:

Less profitable

than the industry average.

Explanation:

a) Data and Calculations:

Sales Revenue $20,710,000

Cost of goods sold $12,600,000

Gross profit $8,110,000

Net income $1,980,000

ADRIAN EXPRESS

Balance Sheets

December 31, 2021 and 2020

2021 2020

Assets

Current assets:

Cash $840,000 $930,000

Accounts receivable 1,775,000 1,205,000

Inventory 2,245,000 1,675,000

Current assets $4,860,000 $3,810,000

Long-term assets 5,040,000 4,410,000

Total assets $ 9,900,000 $8,220,000

Liabilities and Stockholders' Equity

Current liabilities $ 2,074,000 $1,844,000

Long-term liabilities 2,526,000 2,584,000

Common stock 2,075,000 2,005,000

Retained earnings 3,225,000 1,787,000

Total Equity 5,300,000 3,792,000

Total liabilities & stockholders' equity $9,900,000 $8,220,000

Industry averages for the following profitability ratios are as follows:

Gross profit ratio 45 %

Return on assets 25 %

Profit margin 15 %

Asset turnover 8.5 times

Return on equity 35 %

Gross profit ratio: = Gross profit/Sales * 100

= $8,110,000/$20,710,000 * 100

= 39.2%

Return on assets = Net income/Assets * 100

= $1,980,000/$9,900,000 * 100

= 20%

Profit margin = Net Income/Sales * 100

= $1,980,000/$20,710,000 * 100

= 9.6%

Asset turnover = Sales/Total Assets

= $20,710,000/$9,900,000 = 2.1 times

Return on equity = Net Income/Total Equity * 100

= $1,980,000/$5,300,000 * 100

= 37.4%

6 0

3 years ago

Problem 5.3 Your birthday is coming up and instead of other presents, your parents promised to give you $2,600 in cash. Since yo

Papessa [141]

Answer:

Ans. The value of investment after 2 years is $3,155.51

Explanation:

Hi, first we need toconvert that 9.80 percent, compounded quarterly into an effective quarterly rate, that is just by dividing by 4, since there are 4 quarters in a year, that is:

r(effective quarterly)= 9.8%/4 =2.45%

Now, since the rate is effective quarterly, the periods (time of the invesmet) has to be in quarters, so we multiply 2 years by 4 and we get 8 quarters.

With all the above information, we can go ahead and use the following formula in order to find the future value of this investment.

$FutureValue=PresentValue*(1+r)^{n}$

It should all look like this.

$FutureValue=2,600*(1+0.0245)^{8}=3,155.51$

So, the future value of this investment is $3,155.51

Best of luck.

8 0

3 years ago

On April 2, Granger Sales decides to establish a $290 petty cash fund to relieve the burden on Accounting.

aliya0001 [1]

Answer and Explanation:

The journal entries are shown below:

On Apr 2

Petty cash $290

To Cash $290

(Being the establishment of the petty cash fund is recorded)

For recording this we debited petty cash as it increased the cash and credited the cash as it reduced the assets

On Apr 10

Mail & Postage $62

Contributions and Donations $33

Meals & entertainment $114

Cash Short and Over $4 ($290 - $62 - $33 - $114 - $77)

To Cash $213

(Being the replenishment of the fund is recorded)

For recording this, we debited the mail & postage, contributions & donations, meals & entertainment as it increased the expenses and credited the cash as it reduced the assets and the balancing figure is debited to cash short and over

On Apr 11

Petty Cash $140 ($430 - $290)

To Cash $75

For recording this we debited petty cash as it increased the cash and credited the cash as it reduced the assets

5 0

3 years ago