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Firlakuza [10]
4 years ago
6

Capital budgeting decisions include ______. increasing the salary of the current company president hiring new factory workers ac

quiring a new facility to increase capacity deciding to replace old equipment purchasing new equipment to reduce cost determining which equipment to purchase among available al
Business
1 answer:
Rasek [7]4 years ago
7 0

Answer:

a.) acquiring a new facility to increase capacity

b.) deciding to replace old equipment

c.) purchasing new equipment to reduce cost

e.) determining which equipment to purchase among available alternatives

f.) choosing to lease or buy new equipment

Explanation:

Capital budgeting refers to the process in which the business analyzed which planned fixed asset should be purchased or not.

The decision is based on whether the fixed asset should provide you better return after invested it or not and choose that fixed asset that generated a better return at minimum cost

Therefore it includes the above answers

You might be interested in
Chaz Denver Company has identified that the cost of a new computer will be $40,000, but with the use of the new computer, net in
saveliy_v [14]

Answer:

 D: 5 years

Explanation:

Cash payback period calculates the amount of years it takes for the amount invested in a project/ product / equipment to be recouped from revenue.

The cost of the computer is $40,000

Net income increases by $ 5,000 yearly

Depreciation expense is $3,000 yearly

Revenue = $5000 +$3000=$8,000

Pay back period = $40,000 / $8000 = 5 years

I hope my answer helps you.

7 0
3 years ago
Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2020. As of that date, Abernethy has the followin
kobusy [5.1K]

The consolidation worksheet entries for December 31, 2020, and December 31, 2021 is: Debit Common Stock -Abernethy                           $250000; Debit  Additional paid-n capital – Abernethy $50,000; Debit Retained earnings   $431,110; Credit Investment in Abernethy $731,110.

<h3> Consolidation worksheet entries </h3>

December 31, 2020

Entry S

Debit Common Stock -Abernethy                           $250000

Debit  Additional paid-n capital – Abernethy           $50,000

Debit Retained earnings                                           $431,110

($731,110-$250,000-$50,000)

Credit Investment in Abernethy                               $731,110

(Elimination entry for Abernethy common stock)

Entry A          

Debit Goodwill                                             $107,510

Credit Investment in Abernethy                                            $107,510

($731,110-$250,000+$323,600+$50,000)

(To recognize excess acquisition cost as goodwill)

Entry I            

Debit Equity in Earnings of Subsidiary      $129,000

Credit Investment in Abernethy                           $129,000

(Elimination entry for inter-company income for 2020)

Entry D          

Debit Investment in Abernethy                    $16,000

Credit Dividends paid                                               $16,000

(Elimination of inter-company dividend payments)

Entry E            

No Journal Entry Required

(Unamortized goodwill under the partial equity method)

Entry C          

No Journal entry required

(Goodwill unamortized)

December 31, 2021

Entry S

Debit Common Stock – Abernethy                         $250,000

Debit Additional-Paid-in Capital –Abernethy         $50,000

Debit Retained Earnings –Abernethy                        $431,110

($731,110-$250,000-$50,000)

Credit Investment in Abernethy                             $731,110

(Elimination entry of beginning stockholder’s equity balances of Subsidiary)

Entry A

Debit Goodwill                                                         $145,000

Credit Investment in Abernethy                                $145,000

(To record goodwill balance)

Entry I

Debit Equity in Earnings in Subsidiary                   $176,000

Credit Investment in Abernethy                                $176,000

(Elimination of inter-company accrual for the year 2021)

Entry D

Debit Investment in Abernethy                                $38,000

Credit Dividends Paid                                               $38,000

(Elimination of inter-company dividend payments)

Entry E            

No journal entry is required

Therefore the entries is: Debit Common Stock -Abernethy                           $250000; Debit  Additional paid-n capital – Abernethy $50,000; Debit Retained earnings   $431,110; Credit Investment in Abernethy $731,110.

Learn more about  Consolidation worksheet entries here:brainly.com/question/15128084

#SPJ1

4 0
2 years ago
P is self-employed and owns an individual disability income policy. he becomes totally disabled on june 1 and receives $2,000 a
klemol [59]
The benefits received from an individual disability insurance policy is not subject to federal income tax.

From what I've read in various online articles, <span>individual disability income insurance benefits are tax free because you have already paid for tax. The premiums you pay are from after-tax dollars. This means that taxes required on insurance disability benefits have already been paid prior to the benefits given. </span>
6 0
3 years ago
True or false: forecasts are set on the marketing budget detail spreadsheet.
Sladkaya [172]
The statement above is true. Forecasting is the utilization of notable information to decide the heading of future patterns. Organizations use estimating to decide how to apportion their financial plans or plan for expected costs for an up and coming timeframe. This is regularly in view of the anticipated interest in the products and ventures they offer.
4 0
3 years ago
Read 2 more answers
The following selected data were taken from the books of the Owens O-Rings Company. The company uses job costing to account for
Arturiano [62]

Answer:

b. $44,480

Explanation:

As Job 407 was left out the ending inventory would be of Job 407

Materials + Labor + Factory Overhead= $9000+ $ 5200 + $10,000 + 3,900*$5.20= $44,480

The costs For Job 405 and 406 would be calculated as follows

                     Material X           Material Y

Job 405,          $9,000.

Job 406            $5,000              $8,000

<u />

<u>Total                  $ 14,000             $8,000</u>

Direct Labor                   Hours                      Cost              

Job 405                         5,000                       $24,500

Job 406                          5,600                       $16,000

<u />

<u>Total                              10,600                         $40,000 </u>

<u />

<u>Factory Overhead</u>

<em>Indirect Labor                      $5,700    </em>

<em>Factory paychecks            $38,700    </em>

<em>factory overhead charges $21,400</em>

<em>Depreciation                       $7,400</em>

<em>Selling and administrative costs  $4,100</em>

<em />

7 0
3 years ago
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