Answer:
The correct answer is $23,663
Explanation:
Spreadsheet is attached with the calculus.
Depreciation expense is the difference between the cost of the asset and the residual value, divided by the useful life of the asset.
Depreciation expense=(original cost-residual cost) /useful life
In this case, conditions change at third year. First, we must calculate the depreciation expense with the first situation. The first 2 years , we are going to decrease the asset value with this depreciation expense.
Situation 1 Depreciation expense 14375
At third year , we must recalculate the depreciation expense. The final value of second years is the new "original value".
Situation 2
Original Value 97250
Residual Value 2600
Useful life 4
Depreciation expense= (97250
- 2600
)/4
Depreciation expense= 23,663
1. Piecework
2. Salary
3. Hourly
4. Commission
Answer:
$750
Explanation:
The formula for determination of beginning inventory is given below:
Cost of goods sold=opening inventory+purchases-closing inventory
Cost of goods sold=$2,000
Purchases=$2,250
closing inventory=$1,000
Opening inventory=Cost of goods sold+closing inventory-purchases
=2,000+1,000-2,250
=$750
Answer:
1. Using the percent-of-sales method, calculate the amount of Uncollectible-Account Expense if Summer Corporation estimates its uncollectible-account expense using a rate of 3% of credit sales. What is the ending balance of the Allowance for Uncollectible Accounts under this scenario?
14100
Summer Corporation has $ of uncollectible-account expense using the percent-of-sales method.
3100
Calculate the amount of its Uncollectible-Account Expense. What is the ending balance of the Allowance for Uncollectible Accounts under this scenario?
15000
The ending balance of the Allowance for Uncollectible Accounts is $ under this scenario.
Dont have enough information.
Explanation:
Account receivable 88000
Allowance for uncollectible -11000
Service revenue 470000
Estimate uncollectible 3%
Ending balance of the allowance 14100
Expense 3100
Allowance for Uncollectible 26000
Uncollectible expense account 15000
If we used the retail method to estimate the ending inventory first we get the given of the problem that can be used in solving.
Given
Sales - 200,000
Goods available for sale - 261,000 (cost) & 450,000 (retail)
First, we need to get the cost of retail ratio. the formula is
Cost to Retail ratio= Cost/ Retail
261,000
CRR= ------------- = 0.58
450,000
Next is to get the ending inventory by following this steps
Cost Retail
Cost of Goods Available for Sale $261,000 $450,000
- Sales $200,000
------------------
Ending Inventory $250,000
x Cost to Retail Ratio .58
------------------
Ending Inventory $145,000
So, the estimated ending inventory for the month of July is $145,000.
