Answer:
a. Dr Cash 17,500
Cr Common Stock 17,500
b. Dr Supplies 2,300
Cr Account payable 2,300
c. Dr Cash 13,300
Cr Sales commission 13,300
d. Dr Rent expense 3,000
Cr Cash 3,000
e. Dr Account payable 1,150
Cr Cash 1,150
f. Dr Dividend 1,800
Cr Cash 1, 800
g. Dr Automobile expense 1,500
Dr Miscellaneous expense 400
Cr Cash 1,900
h. Dr Salaries expense 2,800
Cr Cash 2,800
i. Dr Supplies expense 1,050
Cr Supplies 1,050
Explanation:
Preparation of Journal entry
a. Dr Cash 17,500
Cr Common Stock 17,500
b. Dr Supplies 2,300
Cr Account payable 2,300
c. Dr Cash 13,300
Cr Sales commission 13,300
d. Dr Rent expense 3,000
Cr Cash 3,000
e. Dr Account payable 1,150
Cr Cash 1,150
f. Dr Dividend 1,800
Cr Cash 1, 800
g. Dr Automobile expense 1,500
Dr Miscellaneous expense 400
Cr Cash 1,900
(1,500+400)
h. Dr Salaries expense 2,800
Cr Cash 2,800
i. Dr Supplies expense 1,050
Cr Supplies 1,050
Answer:
False
Explanation:
Studies of mutual fund performance indicate that mutual funds that outperformed the market in one time period usually do not beat the market in the next time period.
Answer:
Agency conflicts between managers and shareholders
1. A New Beginning (ANB)
A. Yes; Alexander is misappropriating some of Akiko's wealth by unilaterally purchasing a nonbusiness asset using ANB's funds.
2. The Green Zone Inc. (TGZ):
B. No; although an agency relationship exists between TGZ's management-including Tae as TGZ's chairman and CEO and the firm's shareholders-there is no agency conflict, because no expropriation or wasting of the shareholders' wealth has occurred.
3. In the best interest of shareholders, compensation packages should be structured in a way such that managers have an incentive to maximize the__LONG-TERM____value of the company's common stock price.
4. In addition to well-designed executive compensation packages, two other motivational forces can align the interests of managers with those of their shareholders.
a. Reward the manager with a combination of salary and stock options
b. Let the manager to understand that a takeover can happen if she does not perform well.
5. In the late 1980s and early 1990s, Congress passed legislation making it more difficult for outside investors to stage hostile takeovers. This legislation likely__increases____conflicts between managers and stockholders.
Explanation:
Agency conflicts of interest exist in any relationship where one party is expected to act in another's best interests. Agency problems or conflicts of interest usually exist between a company's management and the company's stockholders. But, it can equally exist in a relationship where one party acts against the interest of the other.
Answer:
$270,000
Explanation:
Calculation for the amount of Machining cost assigned to Product A
Using this formula
Machine cost=Machine hours*Activity rate
Let plug in the formula
Machine cost=1,800*$150
Machine cost =$270,000
Therefore the amount of Machining cost assigned to Product A will be $270,000
