Answer:
The appropriate journal entry to record the March purchases of shares under the employee share purchase plan are as follows:
Debit: Cash ($12 × 85%) × $50,000 = $510,000
Debit: Compensation Expense ($12 × 8%) × $50,000 = $90,000
Credit: Common Stock = $50,000
Paid in Capital – Excess of Par ($50,000 × $11) = $550,000
Answer:
<u>cost to be accounted for:</u>
beginning cost: 180,000
added cost 756,000
total cost <em> 936,000</em>
<u>cost accounted for:</u>
ending WIP 30,000 x 5.2 = 156,000
trasnsferred-out: 150,000 x 5.2 = 780,000
total cost accounted for <em> 936,000</em>
Explanation:
150,000 completed
50,000 at 60%
weighted average equivalent unit:
complete + percetage of completion ending WIP
150,000 + 50,000 x 60% = 180,000
Cost per unit:
936,000 / 180,000 = 5.2 dollar per unit
we should match the total cost pool with the ending WIP and trasnferred out units
Increasing the reserve requirement is a powerful ANTI INFLATION weapon that reduces the overall supply of money.
In order to reduce the amount of money in an economy, the federal reserve can increase the reserve requirements of the commercial banks in the economy. This will reduce the amount of money that the banks can give out as loan and this will work to prevent inflation.
Answer: Limited liabilities and partnerships
Explanation:
Limited liabilities mean that the partners within the firm are only liable to pay off their debts with the amount they had invested as capital in the company. Partnership is an agreement between certain number of partners to share the profit and loss of the company. In this case since there is a 50/50 allocation of profits and there are only 2 partners therefore, this is a limited liability partnership.
Answer:
B. The zero based budget requires managers to re-justify every planned expenditure every year.
Explanation:
A zero based budget is one that does not take into account historical data when it is considering the present year budget. Each departmental requirement is re-evaluated and a new amount is assigned as budget for the year.
However conventional budgets carryover the previous year's expenses as a base data point. This results in similar budgeting across years.
So the main difference between the two is that zero based budget requires managers to re-justify every planned expenditure every year.
