I'm selling candy and need tips.

Harvey's Wholesale Company sold supplies of $46,000 to Northeast Company on April 12 of the current year, with terms 1/15, n/60.

victus00 [196]

Answer:

D) Cash 45,540 Accounts receivable 45,540

Explanation:

The journal entry is shown below:

Cash A/c Dr $45,540

To Accounts receivable A/c $45,540

(Being cash is received in respect of goods sold)

The computation is shown below:

= Sold value of supplies - the sold value of supplies × discount percentage

= $46,000 - $46,000 × 1%

= $46,000 - $460

= $45,540

Since the net method is used so we debited the cash account and credited the account receivable account.

8 0

3 years ago

Ronald is 92 years old and in poor health. Clever investing earlier in his life has left him with a sizeable income. He is able

Sergio039 [100]

Answer:

Two(2) exemptions

Explanation:

The first exemption would be based on the fact that Ronald has health challenges while the second exemption would be on the basis of Ed's (his son) state of mental capability.

8 0

3 years ago

On November 30, 2013, Piani Incorporated purchased for cash of $25 per share all 400,000 shares of the outstanding common stock

Alenkinab [10]

Answer:

b. 800,000

Explanation:

Step 1; Calcualate Excess Valuation of Surge in Piani's Consolidated Balance Sheet

Surge's balance sheet as at November 30, 2013 showed a book value of $8,000,000

However, Piani Purchased 400,000 Shares of Surge's Outstanding Common Stock at $25 each. The total Cost therefore to Piani is

$25× 400,000= $10,000,000

The difference between Surge's book value and Piani's valuation of Surge is

Surge's value in Piani- Surge's book value

$10,000,000-$8,000,000= $2,000,000

Step 2: Calculate the Difference between the Excess Property Fair Value and the Step One Total to arrive at the Goodwill

Out of the $2,000,000; $1,200,000 represents the excess of the fair value of Surge's Property, Plant and Equipment on November 30, 2013.

The Goodwill Value Therefore is

The difference in Surge's Stock Valuation- Excess Fair Value of Surge's Property, Plant and Equipment

= $2,000,000-$1, 200,000

=$800,000

7 0

3 years ago

In 2016, a grandfather gave a life estate to his grandson and a remainder interest to his granddaughter. Each interest is valued

ycow [4]

The gift to the grandaughter is Partially shielded by the annual gift tax exclusion. In the year of 2016, the federal government created the estate and gift tax exemption is $5.45 million per individual.
Which means that the inheritence that given to the granddaughter would be tax free as long as it does not surpass the net value of 5.45 million.

7 0

3 years ago

Mariposa Inc is considering improving its production process by acquiring a new machine. There are two machines management is an

kondor19780726 [428]

Answer:

Machine B should be purchased because it has a lower equivalent annual cost

Explanation:

To determine the better of the two options, we would compare the equivalent annual cost of each options using a discount rate of 14% per annum

Equivalent annual cost = Total PV of cost /Annuity factor

Total PV of cost = Initial cost + PV of annual operating cost

PV of annual operating cost= Annual operating cost × Annuity factor

Annuity factor = (1- (1+r)^(-n))/r

r- rate , n- years

Machine A

PV of annual operating cost = 8,000 × (1- 1.14^(-3)/0.14= 18573.05622

PV of total cost = 290,000 +18573.05622 = 308,573.06

Uniform Annual cost = 308,573.06 /2.321632027 = 132,912.13

Equivalent annual cost = $132,912.13

Machine B

PV of annual operating cost = 12,000 × (1- 1.14^(-2)/0.14= 19759.92613

PV of total cost = 180,000 + 19759.92613 = 199,759.93

Equivalent annual cost = 199,759.93 /1.6466=$121,312.15

Equivalent annual cost = $121,312.15

Machine B should be purchased because it has a lower equivalent annual cost

Total PV of cost

6 0

3 years ago