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dexar [7]
4 years ago
10

Wiley Hill opened Hill's Repairs on March 1 of the current year. During March, the following transactions occurred: Wiley invest

ed $42,000 cash in the business. Wiley contributed $117,000 of equipment to the business. The company paid $3,700 cash to rent office space for the month of March. The company received $33,000 cash for repair services provided during March. The company paid $7,900 for salaries for the month of March. The company provided $4,700 of services to customers on account. The company paid cash of $2,200 for utilities for the month of March. The company received $4,800 cash in advance from a customer for repair services to be provided in April. Wiley withdrew $6,700 for his personal use from the company. Based on this information, the balance in Wiley Hill, Capital reported on the Statement of Owner's Equity at the end of March would be ____.

Business
1 answer:
pochemuha4 years ago
5 0

Answer:

Detailed solution is given below:

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Sooner Machinery Company purchased a delivery truck at a cost of $56,000 on March 10, 2018. The truck has a useful life of six y
Fofino [41]

Answer:

Results are below.

Explanation:

Giving the following information:

Purchase price= $56,000

Useful life= 6 yearsd

Salvage value= $5,000

<u>a. To calculate the annual depreciation, we need to use the following formula:</u>

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= (56,000 - 5,000) / 6= $8,500

<u>Year 1</u>:

Annual depreciation= (8,500/12)*10= $7,083.33

<u>Year 2:</u>

Annual depreciation= $8,500

<u>b. To calculate the annual depreciation, we need to use the following formula:</u>

Annual depreciation= 1.5*[(book value)/estimated life (years)]

<u>Year 1:</u>

Annual depreciation= [(1.5*8,500)/12]*10= $10,625

<u>Year 2:</u>

Annual depreciation= [(51,000 - 10,625)/6]*1.5

Annual depreciation= $10,093.75

4 0
3 years ago
Which of the following measures the percentage change in earnings before interest and tax(or operating cash flow) associated wit
Anton [14]

Answer:

1. Measure of the percentage change in earnings before interest and tax or operating cash flow:

B) Degree of operating leverage

2. P/E Ratio of 10 indicates that:

c. ​The value of the stock will be 10 times the initial investment at the time of maturity.

Explanation:

Company B's degree of operating leverage is the financial measure that shows the degree of change of the operating income of the company in relation to a change in her sales revenue.  With this measure, investors and analysts of Company B are able to evaluate how sales impacts the company's operating income.  There are many ways to measure a company's degree of operating leverage.  One of the methods subtracts the variable costs of sales and divides that number by sales minus variable costs and fixed costs.

Company A's P/E ratio or price/earnings ratio is the measure of the relationship between the current market price and its earnings per share.  It is used to evaluate the value of the company's stock.  It points out whether the company's stock is undervalued, overvalued, or correctly valued.

4 0
3 years ago
Incorporators are required to sign the charter, deliver it to the proper state officials, and purchase a certain percentage of t
alex41 [277]

The statement " Incorporators are required to sign the charter, deliver it to the proper state officials, and purchase a certain percentage of the initial stock offering " is FALSE.

Explanation:

Incorporation of a business means making a company officially known by the company's sole property or general partner. If a company forms, it becomes a legal structure separating the individuals who founded the company.

Even though a company does not have a office there, the company must always have a registered agent within the state of incorporation.

Incorporation provides shareholders with immunity from personal liability for the company's debts.

8 0
3 years ago
Identify the accounting concept that was violated in each of the following situations.
NISA [10]

The typical accounting principles/assumption includes Accrual principle, Conservatism principle., Consistency principle, Cost principle, Economic entity principle, Full disclosure principle, Going concern principle, , Matching principle etc.

<h3>What are the correct concept for each of the following activities using the drop-down list?</h3>
  • Pastel Paint Company purchased land two years ago at a price of $250,000. Because the value of the assumptions and land has appreciated to $400,000, the company has valued the land at $400,000 in its most recent balance sheet. - The historical cost.

  • Atwell Corporation has not prepared financial statements for external users for over three years. - The periodicity assumption.

  • The Klingon Company sells farm machinery. Revenue from a large order of machinery from a new buyer was recorded the day the order was received. - The realization principle.

  • Don Smith is the sole owner of a company called Hardware City. The company recently paid a $150 utility bill for Smith's personal residence and recorded a $150 expense. - Economic entity assumption.

Read more about accounting principles

brainly.com/question/23008273

#SPJ1

5 0
1 year ago
When goods are shipped FOB destination and the seller pays the freight charges, the buyer a.journalizes a reimbursement to the s
Ksju [112]

When goods are shipped FOB destination and the seller pays the freight charges, the buyer c.makes no journal entry for the freight.

<h3>What are the journal entries for FOB destination transactions?</h3>

When merchandise is sold on FOB destination terms, it implies that the seller is legally responsible for the safety of the goods until delivered to the buyer.  In most cases, the buyer does not pay for the freight.

In such a case, the Seller also records the delivery expense or freight as a period expense.

The buyer does not make any journal entry for the cost of delivery or (freight).  Since the seller bears all the delivery risks, the buyer can only pay for the cost of the goods when they reach the buyer's destination.

Thus, when goods are shipped FOB destination and the seller pays the freight charges, the buyer c.makes no journal entry for the freight.

Learn more about FOB destination deliveries at brainly.com/question/24920251

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4 0
2 years ago
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