Answer:
1. Cash (Dr.) $2,000
Common Stock (Cr.) $2,000
2. Accounts Receivable (Dr.) $1,500
Revenue (Cr.) $1,500
3. Cash (Dr.) $1,200
Accounts Receivable (Cr.) $1,200
4. Salaries expense accrued (Dr.) $900
Salaries payable (Cr.) $900
5. Salary Payable (Dr.) $700
Cash (Cr.) $700
6. Dividends paid (Dr.) $100
Cash (Cr.) $100
7.Prepaid Insurance (Dr.) $360
Cash (Cr.) $360
8. Cash (Dr.) $2,880
Unearned revenue (Cr.) $2,880
9. Insurance Expense (Dr.) $290
Prepaid Insurance (Cr.) $290
10. Unearned revenue (Dr.) $2,880
Revenue (Cr.) $2,880.
Explanation:
Smith company has started its business and incurred the transactions. These transactions need to be recorded to charge each and every expense in their respective accounts. The expenses are recorded in the journal entries and then ledger accounts will be formed to summaries all the expenses in their respective account heads.
Answer:
Yes, you can be confident that the portfolio will not lose more than 30% of its value next year
Explanation:
In this question , the average return of portfolio is 12.5% and the standard deviation is 19.5%. It is estimated that there will be 30% loss next year. The confidence interval is 95%.
Range = Average return ± 2 x Standard deviation Low aid = 12.5% - (2 x19.5%) =12.5% -39% = -26.5%
High end = 12.5% +(2 x19.5%) =12.5%+39% = 51.5%
Thus, the low end is
26.5%
The range of return at 95% confidence interval is -26.5% to 51.5%
Answer: single use plan
Explanation: In simple words,single use plan refers to the plan that is made for achieving a goal that will not repeat in future.
A program plan refers to the plan that an organisation makes with an objective of outlining the activities and events that the employees have to follow for achieving organisational goals.
Hence, from the above we can conclude that a program is a single use plan as it outlines activities for a specific project that needs to be performed.
Answer:
Please find the detailed answer as follows:
Explanation:
a) Predetermined overhead rate = Estimated manufacturing overhead cost / Estimated total units in the allocation based
Predetermined overhead rate = 600,000 / 500,000 = 1.2 perunit
b) Total fixed cost spending variance = Actual fixed overhead cost - Estimated overhead cost
= 599,400 - 600,000
= 600 (F) Favourable
c) Total fixed cost volume variance = Actual fixed overheads - Estimated fixed overheads
Actual fixed overheads = Estimated fixed overhead rate * Actual units produced
= 1.2 * 508,000 = $609,600
Total fixed cost volume variance =$ 609,600 - $600,000 = $9600 (F) Favourable
