1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
lord [1]
3 years ago
8

You are given the following information for Sookie's Cookies Co.: sales = $51,200; costs = $39,600; addition to retained earning

s = $2,320; dividends paid = $935; interest expense = $1,560; tax rate = 40 percent.Calculate the depreciation expense for the company.
Business
1 answer:
ipn [44]3 years ago
5 0

Answer:

The depreciation expense for the company is $4615.

Explanation:

profit before depreciation and tax = (sales - cost) - interest expense

= ($51,200  - $39,600)  - $1,560  

= $10040

Addition to retained earnings = $2,320

dividends paid = $935

tax rate = 40 percent.

Addition to retained earnings = [(Profit before depreciation and tax - depreciation expense ) * (1- Tax)] - dividend paid

$2320 = [($10040 - depreciation expense)* (1 - 0.40)] - 935

$3255 = ($10040 - depreciation expense)* 0.60

$5425 = $10040 - depreciation expense

Depreciation expense = 10040 - 5425

                                      = $4615

Therefore, The depreciation expense for the company is $4615.

You might be interested in
Some of the transactions of Torres Company during August are listed below. Torres uses the periodic inventory method.
Nadya [2.5K]

Answer:

Purchase  12000 debit

Accounts Payable  12000 credit

--to record purchase--    

Accounts Payable   1200 debit

Returns&Allowance       1200 credit

--to record returned goods--

Purchase  16000 debit

Accounts Payable  16000 credit

--to record purchase--    

Purchase          20000 debit

Accounts Payable  20000 credit

--to record purchase--  

Account Payable    16,000 debit

     Purchase Discount      160 credit

     Cash                        15,840 credit

-to record payment within--

SECOND METHOD:

Purchase  11,760 debit

Accounts Payable  11,760 credit

--to record purchase--    

Accounts Payable   1,176 debit

Returns&Allowance       1,176 credit

--to record returned goods--

Purchase  15,840 debit

Accounts Payable  15,840 credit

--to record purchase--    

Purchase          19,600 debit

Accounts Payable  19,600 credit

--to record purchase--  

Account Payable    16,000 debit

     Cash                        15,840 credit

-to record payment within--

interst expense      216 debit

  account payable         216 credit

--to record interest incurred--

Explanation:

As we use periodic system we calculate the inventory and COGS at the end of the period so we use purchase and returns accounts rather than adjusting inventories in every transactions.

In the second method we use itnerest expense when the discount is loss.

<u><em>interest incurred for the period:</em></u>

(12,000 - 1,200) x 2% = 216

The secodn purchase at the end of the monthcan be paid within discount period therefore, we do not recognize interest expense yet.

3 0
3 years ago
Kassandra Young is a business manager at Weith Productions. Although she does not have a background in technology, her job requi
Vadim26 [7]

Answer:

D. Dashboard

Explanation:

Dashboard: It is a tool that allows the user to have a glance of multiple information in one platform, it helps to take insight and do performance analysis with the required key performance indicator. It is very powerful tool used in corporate management as it summarizes the complex data into easier and relevant information as required for a particular department or business. It makes a manager´s job easier and effective decision making.

6 0
3 years ago
If a population consists of the positive even numbers through 30 aqnd if A= (2,6,12,24), what is A?
blondinia [14]
Um im sorry i tried idk
5 0
3 years ago
Country A can produce two goods: good X is labor-intensive and good Y is labor-intensive. As a result of international trade the
vekshin1

Answer:

Both goods are originally labor intensive, so we can conclude that the country has a lot of labor resources, while their capital resources should be rather limited. Since the world price of good X increases compared to the price of good Y, then the country will export larger amounts of good X since its price is relatively higher.

4 0
3 years ago
Clonex Labs, Inc., uses a process costing system. The following data are available for one department for October:
Alex73 [517]

Answer:

Equivalent units of Production = 46500 & 37800

Explanation:

At the start of October, Clonex Labs inc, started with 385000 units into production and at the end of the month it had completed 409000 units this means the difference between 409000 and 385000 is the number of units transferred to the next department (i.e 24000), now that we have computed this, we find ending work-in-process as follows:

Clonex Labs, Inc.                                           Materials   Conversion

Units transferred to the next department:    24000        24,000

Ending work in process :

Materials : 30000x75%                                  22500

Conversion : 30000x46%                                                    13800

                                                                      -------------        -------------

Equivalent units of Production =                    46500           37800            

                                                                     =========        ========  

3 0
3 years ago
Other questions:
  • Kristian Thalen has just joined the corporate treasury group at Electrolux of Sweden, a multinational Swedish appliance maker. E
    5·1 answer
  • in one paragraph, explain how tight or open the job market is in your area. What skills and abilities will you need to work on t
    9·1 answer
  • Which of the following is the best area on a vehicle to place a jack
    9·2 answers
  • Ajay is an Indian who owns a multinational company (MNC) that is headquartered in Bangalore. He ensures that his company consist
    7·1 answer
  • Zara has developed the practice of delivering less merchandise to its stores on a more frequent basis. This quick response syste
    6·1 answer
  • Nicaragua bases the valuation of its currency on the U.S. dollar. The value of Nicaragua's currency is changed based on the chan
    13·1 answer
  • At December​ 31, 2018​, Salish Hardware owes $ 4 comma 800 on accounts​ payable, plus salaries payable of $ 5 comma 300 and inco
    9·1 answer
  • Hillary enters into a shipment contract with a dress manufacturer for fifty red dresses. The dress manufacturer sends fifty blue
    11·1 answer
  • Timing Technology, Inc. manufactures timing devices. During 20x1, 1,500,000 units were completed and transferred to finished-goo
    14·1 answer
  • Keynesian economics argues for the use of _____ policy to stabilize the economy.
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!