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Stella [2.4K]
3 years ago
8

Tem Co. issued rights to its existing shareholders without consideration. A shareholder received a right to buy one share for ea

ch 20 shares held. The exercise price was in excess of par value, but less than the current market price. Retained earnings decreases when _________.Rights Are Issued, Rights Are Exercised
A. Yes, No
B. Yes, Yes
C. No, No
D. No, Yes
Business
1 answer:
Nata [24]3 years ago
8 0

Answer:

C. No, No

Explanation:

When stock rights are issued for no consideration, only a memorandum entry is made.

Therefore, when stock rights are exercised and when they are issued, the issuing company will reflect the proceeds as an increase in common stock and additional paid-in capital.

Thus, the retained earnings will not be affected when rights are issued or exercised.

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Assume that on September 1, Office Depot had an inventory that included a variety of calculators. The company uses a perpetual i
White raven [17]

Answer and Explanation:

The journal entries are shown below:

1. Merchandise Inventory $1,620

        To Accounts Payable $1,620

(Being the calculators purchased on account)

2. Merchandise Inventory $50

              To Cash $50

(Being freight expenses paid for cash)

3. Accounts Payable $38

          To Merchandise Inventory $38

(being the returned inventory is recorded)

4. Accounts Receivable $690

          To  Sales Revenues $690

(Being the sales is recorded)

Cost of Goods Sold $520

     To Merchandise Inventory $520

(Being the cost is recorded)

5. Sales returns $45

       To Accounts Receivable $45

(being the sales return is recorded)

Merchandise Inventory $34

    To Cost of Goods Sold $34

(Being the cost of returned is recorded)

6. Accounts Receivable $760

     To Sales Revenues $760

(being the sale is recorded)

Cost of Goods Sold $570

   To Merchandise Inventory $570

(Being the cost is recorded)

4 0
3 years ago
based on this information, the amount of overhead allocated to a job that used 300 direct labor hours is $
Amiraneli [1.4K]

The amount of overhead allocated to a job that used 300 direct labor hours is $900.

<h3>Overhead allocated:</h3>

First step is to calculate the predetermined overhead rate per direct labor hour

Using this formula

Predetermined overhead rate=Estimated manufacturing overhead/Estimated direct labor hours

Predetermined overhead rate=$450,000/150,000

Second step is to calculate the overhead allocated

Overhead allocated=Predetermined overhead rate × Direct labor hours

Overhead allocated=$3×300

Overhead allocated=$900

Inconclusion the amount of overhead allocated to a job that used 300 direct labor hours is $900.

Learn more about overhead allocated here:brainly.com/question/15739613

3 0
2 years ago
The following information is available for the current year ending December 31:
Oduvanchick [21]

Answer:

Over/under allocation= $30,000 overapplied

Explanation:

Giving the following information:

Manufacturing overhead applied $150,000

The actual amount of manufacturing overhead costs 120,000

To calculate the ending balance, we need to determine whether the overhead was under or over applied:

Over/under allocation= real MOH - allocated MOH

Over/under allocation= 120,000 - 150,000= 30,000 overapplied

7 0
2 years ago
I think it is False but I don't think so
MrRa [10]

That is false. The worker can have what ever diet they think is best for them

3 0
3 years ago
Read 2 more answers
When you are using money to purchase a new mp3 player, money is serving as a:?
m_a_m_a [10]
The choices were A) store of value. B) medium of exchange. C) unit of account. D) double coincidence of wants

<span>The answer is </span>B<span>) medium of exchange. The money was used as a medium to purchase a product. </span><span> It</span><span> can be observed on different transactions of customers to obtain their needed item. It can be a necessity or a want that person must have.</span>
5 0
3 years ago
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