Answer:
$117,000
Explanation:
All costs incurred in manufacturing a product are recorded in the Work in Process Account. The Debit entry on this Account shows the increase in costs and the credit entry shows the transfer of goods to Finished Goods Inventory
So the Work In Process Account must be debited with the Total labor Cost incurred of $117,000 ($106,000 direct labor + $11,000 indirect labor)
Conclusion :
The proper journal entry to record these events would include a debit to Work in Process for $117,000
Answer:
The law of one price establishes that the product or service price will remain the same for all the entire world.
Explanation:
The law of one price establishes that the product or service price will remain the same for all the entire world. It is necessary to take into account for this law that the price of the currency needs to be also the same and that the price of the product or service would not be affected by other factors such as additional buyers or sellers in the market.
On the other hand the purchasing power parity refers to the idea of an equilibrium of currencies in exchange rates, it means that the power for purchasing will be represented in the same way in the different countries, and it is important to mention that this theory is base in the law of one price.
The the long run equilibrium is an idea that in theory represents all the equilibrium of prices, quantities, and markets in general; on the other hand, for the short run equilibrium there are some limitations in which the market cannot be explained as properly and fully balanced.
Explanation:
The computation is shown below:
It records the two items i.e
Tax Anticipation Notes Payable = $1,000,000
And, the expenditure is recorded for
= Tax Anticipation Notes Payable × tax rate × number of months ÷ total number of months in a year
= $1,000,000 × 4% × 6 months ÷ 12 months
= $20,000
Both the above items are debited for $1,000,000 and $40,000 respectively
Answer:
A. $816,000
Explanation:
The formula to compute the net sales is shown below:
= Total sales - sales returned
where,
Sales returned = Total sales × sales return percentage
= $850,000 × 4%
= $34,000
And, the total sales is $850,000
Now put these values to the above formula
So, the value would equal to
= $850,000 - $34,000
= $816,000
Answer:
The correct answer is C.
Explanation:
Giving the following information:
A machine with a cost of $65,000 has an estimated residual value of $5,000 and an estimated life of 4 years or 18,000 hours.
To calculate the depreciation expense for each year, we need to use the following formula:
Annual depreciation= 2*[(book value)/estimated life (years)]
Year1= [(65,000 - 5,000)/4]*2= $30,000
Year2= [(60,000 - 30,000)/4]*2= $15,000
