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4 years ago

. Acquiring long-term assets necessary to operate the business is called a(n):

Business

1 answer:

aniked [119]4 years ago

4 0

<span>Acquiring long-term assets necessary to operate the business is called investing activity. </span>

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Graham has accepted an offer to do graduate work in the chemistry department at State University. The chemistry department offer

baherus [9]

Answer: $3500

Explanation:

In the general rule section 117(d)(1), it should be noted that when calculating the gross income, the reduction in tuition isn't included.

Based on the above reasoning, Graham's gross income will not include the $5,000 tuition reduction that was offered by the chemistry department.

Therefore, the amount that Graham must include in his gross income will be $3500.

6 0

3 years ago

Machinery purchased for $61,800 by Swifty Co. in 2016 was originally estimated to have a life of 8 years with a salvage value of

Anettt [7]

Answer:

Explanation:

Before preparing the journal entry, we need to do some calculations which are shown below:

The computation of the depreciation expense under the straight line method is shown below:

= (Original cost - residual value) ÷ (useful life)

= ($61,800 - $4,120) ÷ (8 years)

= ($57,680) ÷ (8 years)

= $7,210

In this method, the depreciation is same for all the remaining useful life

The net book value would be

= Original cost - depreciation expense × number of years

= $61,800 - $7,210 × 5

= $61,800 - $36,050

= $25,750

Now the accumulated depreciation would be

= (Net book value - salvage value) ÷ number of years

= ($25,750 - $4,635) ÷ 5 years

= $4,223

The journal entry would be

Depreciation expense A/c Dr $4,223

To Accumulated depreciation A/c $4,223

(Being the accumulated depreciation is recorded)

7 0

3 years ago

Swifty Corporation started the year with $45600 in its Common Stock account and a credit balance in Retained Earnings of $33400.

PIT_PIT [208]

Answer:

Retained earnings balance =$54,700

Explanation:

Retained earnings is the proportion of profit made by a company which is not distributed as dividend but rather re-couped to be re-invested. A payment of dividend would reduce the balance of retained earnings while further profit retained increases it.

The balance of retained earnings at the end = opening balance + profit retained for the year - dividend paid for the year

= 33,400 + 36,500 - 15,200 = $54,700

Retained earnings balance =$54,700

6 0

3 years ago

The following information relates to Clyde Corporation, which produced and sold 50,000 units during a recent accounting period.

KiRa [710]

Answer:

option $13.30

Explanation:

Data provided in the question:

Units sold = 50,000

Revenue = $850,000

Fixed cost = $210,000

Variable cost = $140,000

Selling and administrative costs:

Fixed = $300,000

Variable = $45,000

Tax rate = 40%

Production and sales for the next accounting period = 40,000

Now,

Total Contribution margin = Revenue - Variable cost

= $850,000 - $140,000 - $45,000

= $665,000

Therefore,

For 40,000 units

Contribution margin per unit

= ( Total contribution margin ) ÷ (Number of units sold )

= $665,000 ÷ 50,000

= $13.30

Note : Contribution margin remains the same in per unit

Hence,

For 40,000 sales the Contribution margin per unit will be option $13.30

3 0

3 years ago

What can you do to figure out how much you can afford when buying a car?

GuDViN [60]

You can check your credit and you can us it for the car u want ,

5 0

4 years ago