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NikAS [45]
4 years ago
13

Romney's Marketing Company has the following adjusted trial balance at the end of the current year. No dividends were declared.

However, 500 shares ($0.10 par value per share) issued at the end of the year for $3,000 are included below: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Debit Credit
Cash $ 1,570
Accounts receivable 2,220
Interest receivable 270
Prepaid insurance 1,710
Notes receivable (long-term) 2,880
Equipment 15,500
Accumulated depreciation $ 2,970
Accounts payable 2,230
Accrued expenses payable 3,740
Income taxes payable 2,650
Unearned rent revenue 330
Common Stock (820 shares) 82
Additional paid-in capital 3,508
Retained earnings 5,080
Sales revenue 37,250
Interest revenue 160
Rent revenue 560
Wages expense 19,000
Depreciation expense 1,750
Utilities expense 320
Insurance expense 780
Rent expense 9,800
Income tax expense 2,760
Total $ 58,560 $ 58,560
Prepare a multi-step income statement in good form for the current year. Include earnings per share.
Business
1 answer:
DerKrebs [107]4 years ago
4 0

Answer:

Net income = $3,560

Explanation:

                                       Romney's Marketing Company

                                        Multi-step income statement

                               For the Year ended December 31 20YY

Sales revenues 37,250

Less: Cost of goods sold = 0

Gross profit                                                          = 37,250

Less: Operating expense:

Wages expense                                 = $19,000

Depreciation expense                       = $1,750

Utilities expense                                = $320

Insurance expense                            = $780

Rent expense                                     = $9,800

Total operating expense                   = ($31,650)

Add: operating income:

Rent revenue                                      =  $560

Total operating income                                         = $6,160

Other operating income

Interest revenue                                                    = 160

Net income before taxes                                      = $6,320

Income tax expense                                              = $2,760

Net income                                                             = $3,560

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Liono4ka [1.6K]
<span>Buzz's contribution margin will be 34% if the price is lowered.
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3 0
4 years ago
Wenig Inc. has some material that originally cost $73,500. The material has a scrap value of $45,600 as is, but if reworked at a
Lady_Fox [76]

Answer:

It gives the increment of $5,900.

Explanation:

For computing the increment effect, the following things is need to be considered.

1. Incremental sales of reworking cost = Sales price - rework cost

                                                                = $58,100 - $6,600

                                                                = $51,500

2. Scrap value = $45,600

As in the give question, the incremental value is computed based on reworking rather than scrap value. So, the scrap value amount is to be deducted from the incremental sales of reworking cost.

The amount is equals to

= $55,100 - $45,600

= $5,900

Thus, it gives the increment of $5,900.

8 0
3 years ago
In the 1990s, many isolated individuals began to see the growth of federal prison populations as a problem. Later they would for
tekilochka [14]

Answer:

C. Incipient Stage of the Social Movement

Explanation:

Social Movements represent group actions. The movement is usually characterized by the coming together of organisations or individuals, it can be formal or informal. The focus of social movements is to provoke action or bring about change in areas of the society.

Social Movements are marked by 4 stages: Emergence, coalescence, bureaucratization, and decline

Stage 1: Emergence or Incipient Stage - This stage is where individuals in isolated areas begin to see or believe there is a problem with a policy or an area of society. There is disappointment with certain social or political issues. It is the stage of realisation of a problem and dissatisfaction with the problem and this is the stage identified in the question.

Stage 2: Coalescence - This stage goes beyond the dissatisfaction to people, groups coming together to discuss the issue and then campaigns and protests begin to emerge

Stage 3: bureaucratization- Powerful unions begin to emerge, these coalitions also begin to acquire political power to cause change in the issues they are addressing.

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3 0
3 years ago
If the Potinsky household spends ​$37 comma 300 annually on all living expenses and​ long-term debt, calculate the amount recomm
Finger [1]

Answer:

$9,249 for three months, $18,498 for six months.

Explanation:

Experts recommend that an emergency fund should include 3 to 6 months of cash to provide for living expenses.

The Potinsky household spends $37,000 annually, therefore, it spends $3,083 monthly ($37,000 / 12).

For a three-month emergency fund = $3,083 x 3

                                                           = $9,249

For a six-month emergency fund = $3,083 x 6

                                                       = $18,498

8 0
4 years ago
Butler Corporation is considering the purchase of new equipment costing $78,000. The projected annual after-tax net income from
True [87]

Answer:

-$7,621

Explanation:

Calculation to determine the net present value of the machine

Using this formula

Net present value of the machine=(Net cash flow *present value of an annuity at 11%)- Amount invested

Let plug in the formula

Net present value of the machine=($2,800+$26000*2.4437)-$78,000

Net present value of the machine=($28,800*2.4437)-78,000

Net present value of the machine=$70,379-$78,000

Net present value of the machine=-$7,621

Therefore the Net present value of the machine is -$7,621

5 0
3 years ago
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