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3 years ago

Delinquency occurs at how many days past due on your loan repayment?

1 answer:

5 0

Delinquencies are reported when the loan is 30 or more days past due to the credit bureau. When the borrower is 90 or more days past due is stated to be a serious delinquency.

Explanation:

Delinquency is a situation in which the loan borrower fails to pay the loan or makes an overdue on the periodical payment.

Delinquency rate:

The percentage of loans within the loan portfolio of a financial institution whose payments are delinquent. The formula to calculate the delinquency rate is as follows,

$\text{Delinquency Rate }=\frac{\text{Number of delinquent accounts}}{\text{total number of credit accounts}}\times100$

Average days delinquent:

This is calculated by subtracting the days sales outstanding (DSO) from best Possible DSO which is represented as

$\bold{\text{ADD= Days Sales Outstanding - Best Possible Days Sales Outstanding}}$

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Empire Company is a manufacturer of smartphones. Its controller resigned in October 2017.

Helen [10]

Answer:

a. Schedule of cost of goods manufactured for October 2017.

Raw materials costs ($264,000 + $18,000 - $29,000) $253,000

Direct labor costs $190,000

Depreciation on factory equipment $31,000

Indirect labor cost $28,000

Rent on factory facilities $60,000

Utilities expense $12,000 × 75% $9,000

Insurance expense $8,000 × 60% $4,800

Add Opening Work in process Inventory $20,000

Less Closing Work in process Inventory ($14,000)

Cost of goods manufactured $581,800

b. Income statement for October 2017.

Sales Revenue $780,000

Less Cost of Goods Sold :

Opening Finished goods Inventory $30,000

Add Cost of goods manufactured $581,800

Less Closing Finished goods Inventory ($50,000) ($561,800)

Gross Profit $218,200

Less Expenses :

Advertising expense $90,000

Selling and administrative salaries $75,000

Depreciation on sales equipment $45,000

Utilities expense 12,000 × 25 % $3,000

Insurance expense 8,000 × 40 % $3,200 ($216,200)

Net Profit / Loss $2,000

Explanation:

First, Prepare the cost of goods manufactured for October 2017 and include the amount in the calculation of cost of goods sold.

In the cost of goods manufactured schedule, include only the costs that are factory related.

Then, Prepare the income statement for October 2017, making sure to adjust the Utilities and Insurance expenses appropriately.

4 0

3 years ago

Jabiru Corporation purchased a 20% interest in Fish Company common stock on January 1, 2013 for $300,000. This investment was ac

Vesna [10]

Answer:

$280,950

Explanation:

As for the information given:

Closing balance of investment on 31 December 2015 = $440,000

Now the following adjustments need to be made to calculate the balance as on 1 August 2016

Add: Share of income from Jan to Jul 2016 = $4,000 $\times$ 7 months $\times$ 20% = $5,600

Less: Dividend Received = $20,000 $\times$ 20% = $4,000

Less: Amortization of patent = $6,000/12 $\times$ 7 = $3,500

= $440,000 - $1,900 = $438,100

Since Jabiru sold half of its investment, thus, value of its half of the investment shall be:

$438,100/2 = $219,050

Sale value = $500,000

Thus, gain amount = $500,000 - $219,050 = $280,950

5 0

3 years ago

The following information pertained to Azur Co. for the year: Price of goods purchased $102,800 Price discounts 10,280 Freight-i

MrRissso [65]

Answer:

$118,220

Explanation:

The Costs of Goods Sold COGS is calculated using the following formula.

COGS = Beginning inventory + purchases - Ending Inventory

For Azur company

Beginning inventory: 30,840

Ending inventory : 20,560

Net purchases equal Net purchase equal to purchases plus freight-in minus discounts freight-out are administrative expenses, hence do not feature in COGS

Net purchases =$102,800 + $15,420 -$ 10,280

Net purchases =$107,940

COGS = $30,840 +$107,940 -$20560

COGS = $118,220

7 0

3 years ago

Suppose that firm a dislikes hiring black accountants, while firm b is happy to hire them. so ted ends up working at firm b rath

egoroff_w [7]

Regardless of the firm, most companies will do at least a bi-annual audit if not quarterly. In this case Ted would do the same amount of audits for either company, two to four depending on the companies frequency.

6 0

3 years ago

Explain in detail two engagments. ASAP

dexar [7]

Answer:

easy a

Explanation:

easy a

3 0

3 years ago