Answer:
Explanation:
Crane Co
June 1. Credit: Sales $52,200
Debit: Acc receivable $52,200
Being sales on account
June 12 Debit: Bank. $ 50,634
Debit: Discount Allowed $1,566
Credit: Acc receivable. $52,200
Being payment received on sales
Answer:
$33.50
Explanation:
we can use the perpetual growth model to determine the price of the stock
the firm's stock price = ($1.25 x 1.15)/1.11 + ($1.25 x 1.15²)/1.11² + ($1.25 x 1.15³)/1.11³ + [($1.25 x 1.15³ x 1.06)/(11% - 6%)]/1.11³
the stock price in 3 years = ($1.25 x 1.15³ x 1.06)/(11% - 6%) = $40.30
the firm's stock price = ($1.25 x 1.15)/1.11 + ($1.25 x 1.15²)/1.11² + ($1.25 x 1.15³)/1.11³ + $40.30/1.11³ = $1.30 + $1.34 + $1.39 + $29.47 = $33.50
Answer:
A: Volume-based methods are more accurate and allowed by GAAP.
Explanation:
Answer:
A $1,200,000
Explanation:
The correct answer is D.
the gross margin equals 40% of net sales = 40%* 1,800,000= 720,000
Cost of goods sold will therefore be 60% of net sales;
Cost of goods sold = (60% * 1,800,000) = 1,080,000.
Cost of goods available for sale = cost of goods sold + the cost of ending inventory.
Cost of goods available for sale = 1,080,000+120,000 = $1,200,000
