Answer:
The journal entry is shown below:
Explanation:
The journal entry for the following will be as:
Accounts Payable A/c.......................Dr $4,000
Merchandise Inventory A/c..........Cr $80
Cash A/c..............................................Cr $3,920
As the buyer purchases merchandise worth $4,000, so the accounts payable account is debited and the buyer will be applied a discount of 2%, so merchandise inventory is credited and against the cash is paid, so the cash account is credited.
Working Note:
Discount = Amount × 2%
= $4,000 × 2%
= $80
Answer:
Cash receipt:
Particulars Amount
................................................................
Sales = $1,500
Sales tax @4.00 % = $60
................................................................
Total = $1,560
.................................................................
Explanation:
Data :
Merchandise cost in the sales slip = $1,500
sales tax rate for the merchandise = 4%
Now,
the cash receipt data will include the merchandise cost, the amount of tax and the total amount after including the tax
Thus,
The amount of tax on the merchandise = sales tax rate × Merchandise cost
or
The amount of tax on the merchandise = 0.04 × $1,500 = $60
Hence,
the total cost = cost of merchandise + the sales tax = $1,500 + $60 = $1,560
Cash receipt:
Particulars Amount
................................................................
Sales = $1,500
Sales tax @4.00 % = $60
................................................................
Total = $1,560
.................................................................
Answer:
increase in income of $80
Explanation:
Prepare an Analysis of Costs and Savings if the Company buys from Outside Supplier.
Note : The fixed costs per unit at are unavoidable are irrelevant and disregarded in this decision.
<u>Analysis of Costs and Savings</u>
Purchase Price (400 widgets × $44.00) = ($17,600)
Savings :
Variable Costs ($35.60 × 400 widgets) = $14,240
Fixed Cost ( $8.60 × 400 widgets) = $3,440
Net Income effect = $80
Conclusion :
The effect on net income if the company instead buys the widgets is an increase in income of $80
Answer:
DDDD. =DAVERAGE(Earnings,2,A2:C4)
Explanation:
Took the test
