Explanation:
The computation is shown below:
Year Depreciation Book value
0 $1,200,000
1 $125,000 $1,075,000
2 $125,000 $950,000
3 $125,000 $825,000
4 $125,000 $700,000
5 $125,000 $575,000
6 $125,000 $450,000
7 $125,000 $325,000
8 $125,000 $200,000
The depreciation expense is
= ($1,200,000 - $200,000) ÷ (8 years)
= $125,000
Conforming Loan Limits Increase By 18% in 2021 for the Year Ahead.
Answer: Option (a) is correct.
Explanation:
Given that,
Dividend in 2016 = $20,000
Preferred Shares = 400
Par Value of Preferred Stock = 400 × 10 = $4000
Rate of Dividend of Preferred Stock = 5%
(a) Dividend to preferred Shareholders:
= Par Value of Preferred Stock × Rate of Dividend
= $4000 × 5%
= $200
(b) Dividend to Common Shareholders:
= Total Dividend - Dividend to Preferred Shareholders
= $20,000 - $200
= $19,800
Answer:
The month that is lower than the lower control limit is February ($220,000).
Explanation:
Giving the following information:
Highland Company's standard cost is $250,000.
The allowable deviation is ±10%.
Actual Fixed costs:
January $235,000
February 220,000
March 245,000
April 265,000
May 270,000
June 280,000
First, we need to calculate the lower control limit:
Lower control limit= 250,000*0.9= $225,000
The month that is lower than the lower control limit is February ($220,000).
