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mario62 [17]
3 years ago
5

Amdahl, Inc. leases a piece of equipment from BFF on January 1, 2018. The lease agreement calls for 5 annual payments of $33,000

to be paid by Amdahl at the beginning of the year (starting with 2018). Ownership of the equipment will transfer to Amdahl at the end of the fifth year. The explicit rate on this lease is 8%.
1. Prepare Amdhal's journal entries on January 1, 2018.
Business
1 answer:
Furkat [3]3 years ago
7 0

Answer:

See explainations below

Explanation:

There will be changes in both balance sheet and income statement:

1. Balance sheet:

At, January 1, 2018 both asset and liability will increase by the amount equal to present value of all lease payments:

Present value of all lease payments = 33,000 + 33,000/(1 + 8%) + ... + 33,000/(1 + 8%)^4 = 142,300.19

2. Profit and loss statement:

At, January 1, 2018 interest expense will increase by the amount equal to present value of all lease payments multiplied by the interest rate, or: 142,300.19 x 8% = 11,384.01

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The following materials standards have been established for a particular product: Standard quantity per unit of output 5.9pounds
lisabon 2012 [21]

Answer:

Usage variance = $22,564.5 unfavorable

Explanation:

<em>A material usage variance occurs when the standard quantity required to active a particular level of production is higher or lower than than the actual actual quantity used. A favorable variance would mean than less quantity of materials were used than the standard to achieve a given output level. And an adverse variance would mean the opposite</em>

                                                                                    Pounds

850 units should have used ( 850× 5.9 pounds)         5,015

but did use                                                                    <u>  6,550</u>

Usage variance                                                             1,535 unfavorable

×    standard price                                                         <u> $14.70</u>  

Usage variance                                                           <u> 22,564.5</u> unfavorable                                        

Usage variance = $22,564.5 unfavorable

8 0
3 years ago
Ronald, Jamie, Ben, and Joseph are colleagues who want to start a company of their own. All of them want to be actively involved
Fudgin [204]

Answer: A limited liability company

Explanation:

A limited liability company is a company in which the liability of members is limited to the amount of money invested in the business.

The characteristics of a limited liability company includes:

1. Limited liability - the liability of members is limited to the amount invested by members.

2. Members have the option of managing the company by themselves or employing managers.

3. The Limited liability company is a separate legal entity from its members.

8 0
3 years ago
What are the principal tools and technologies for accessing information from databases to improve business performance and decis
slamgirl [31]

Answer:

There are many principal tools and technologies for accessing information from databases that help make business performance and decision making better.

Data warehouse:

  • A data warehouse is a big database that houses all the data that is needed to make decisions throughout the whole organization.

How a data warehouse works:

  • The data warehouse first takes all the data from the company's operational systems and combines it with the data that is pulled from outside sources.
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How it benefits organizations:

  • A data warehouse benefits organizations by making data available for anyone to access as needed.
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Business intelligence:

  • Business intelligence is the term used to describe the data and software tools for organizing, analyzing, and providing access to data in order to help a company make better decisions.
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How it relates to database technology:

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  • Different information on a certain piece of data would be represented in a different dimension. Comment

OLAP capabilities:

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Data mining:

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How it is different from OLAP:

  • OLAP requires the user to have a good idea about the information for which they are looking.
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The type of information that data mining provides:

Associations:

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Sequences:

  • Occurrences when events are connected over time.

Classifications:

  • The recognition of patterns and relationships that define the group to which an item belongs.
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Clusters:

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Forecasts:

  • Forecasts make predictions by using existing values to predict what other values will be.
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Text mining:

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Web mining:

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How they differ from conventional data mining:

  • Conventional data mining finds patterns and relationships in information that is structured.  

The way that users can access information from a company's internal databases through the Web:

  • A user can access information from a company's internal databases through the Web is by using Web browser software on their PC.
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8 0
3 years ago
Cynthia always buys whichever brand of paper towels is on sale, even if it is not the highest quality towel. her paper towel buy
Ann [662]

Single feature model

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6 0
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Which of these statements is true? Group of answer choices
Thepotemich [5.8K]

Answer:

In general, the higher the total asset turnover and the lower the capital intensity ratio, the more efficient the overall asset management of the firm will be.

Explanation:

Asset Turnover = Net Sales / Total Asset

Capital Intensity = Total Asset / Net Sales

According to the above formulas most efficient situation will be to increase the asset turnover and decrease the capital intesity ratio because they are reciprocal to each other, so thses will behave inversly with each other. Higher turnover means the higher sales using total asset and lower capital intensity ratio means asset are lower timesto the net sales which is an efficient use of asset.

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3 years ago
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