1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
dmitriy555 [2]
3 years ago
11

As a long-term investment at the beginning of the 2021 fiscal year, Florists International purchased 30% of Nursery Supplies Inc

.'s 20 million shares for $63 million. The fair value and book value of the shares were the same at that time. During the year, Nursery Supplies earned net income of $40 million and distributed cash dividends of $1.00 per share. At the end of the year, the fair value of the shares is $59 million.Required:Prepare the appropriate journal entries from the purchase through the end of the year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions, (i.e., 10,000,000 should be entered as 10).)
Business
1 answer:
kompoz [17]3 years ago
5 0

Answer:

See the explanation below

Explanation:

Share of net income = 30% × $40 million = $12 million

Dividend received = 20 million × $1 = $20 million

The journal are as follows:

<u>Details                                                     Dr ($'million)          Cr ($'million)    </u>

Investment in Nursery Supplies Inc.            63

Cash                                                                                                   63

<u><em>Being the cash payment for investment in Nursery Supplies Inc.              </em></u>

Investment in Nursery Supplies Inc.            12

Investment income                                                                            12

<em><u>Being the a share of net income of Nursery Supplies Inc.                             </u></em>

Cash                                                              20

Investment in Nursery Supplies Inc.                                                 20

<u><em>Being dividend received from Investment in Nursery Supplies Inc.            </em></u>

You might be interested in
Palin Inc., an electronics manufacturer, is headquartered in Texas. The firm shifted its operations from Texas to China due to l
Fittoniya [83]

Answer: Offshoring.

Explanation:

Palin Inc., is involved in Offshoring by taking their production operations from the U.S of America to China where they can get cheap and quality labor. Offshoring occurs when a production company changes their industry site to a new location, which posseses quality and cheaper labor than their original location.

3 0
3 years ago
B
ludmilkaskok [199]

Answer:

1)decrease 2)increase

Explanation:

Because the money come in the business

5 0
3 years ago
"The production supervisor estimates that the ending work-in-process is 16 percent complete. Compute the cost of paint transferr
Luba_88 [7]

Complete Question:

Sanchez & Company produces paints. On July 1st it had no work in progress inventory. It starts reduction of 150,000 gallons of paint in July and completes 120000 gallons. The cost of the resources used by Sanchez in July consists of the following:

Materials- $137000

Conversion Costs- $175000

"The production supervisor estimates that the ending work-in-process is 16 percent complete. Compute the cost of paint transferred to finished goods and the amount in work-in-process ending inventory as of July 31"

Cost of paint transferred to finished goods__________

Work-in-process ending inventory_________

Answer

The Cost of Paint Transferred to Finished = $300,000

Work-in-Process Ending Inventory = $12,000

Explanation:

Given

Materials = $137,000

Conversion Costs = $175,000

Started = 150,000 gallons

Completed = (120,000) gallons

Ending Work in Progress = 150,000 - 120,000

Ending Work in Progress = 30,000

To calculate cost of paint transferred out and ending inventory of work in progress,

First we'll need to calculate the cost per unit of a paint(gallon)

This is given by: total cost ÷ total unit.

Calculating Total Cost:

Total Cost = $137,000 + $175,000

Total Cost = $312,000

Calculating Total Units:

Ending Work in Progress = : 16% complete ----- Given

So, Ending Work in Progress = 16% * 30,000 = 4,800

Total Completed Unit is then given by: 120,000 gallon + 4,800

Total = 124,800

Calculating Cost per unit

If the total cost is $312,000 then a unit will cost

$312,000/124,800

Cost per unit = $2.5/unit

Finally,

The Cost of Paint Transferred to Finished Goods is calculated by:

Total Units Transferred out = 120,000 gallons

Cost = 120,000 * $2.5

Cost = $300,000

Work-in-Process Ending Inventory is calculated by:

Ending Inventory = 4,800 ----- calculated

Work in Process Ending Inventory = 4,800 * $2.5

Work in Process = $12,000

6 0
3 years ago
Is it recommended to skip performing the risk identification on a project? Why not? What is likely to
svetoff [14.1K]

It is not recommended to skip performing the risk identification on a project. If this process is skipped, the organization might run into unforeseen dangers that will stall their projects and prevent them from reaching their objectives.

<h3>What is the risk identification step?</h3>

The risk identification process is designed to study and find out the elements that will prevent an organization from reaching its set objectives.

he risk identification process helps the organization to know the risk that is set before them and prepare to bypass or overcome the challenges. The risk identification step is the first step that must be taken to avoid problems along the way.

Learn more about the risk identification step here:

brainly.com/question/28214983

#SPJ1

6 0
1 year ago
Cody Manufacturing started doing business on January 1st of the current year. Cody estimates that its sales will be 9,000 units
uranmaximum [27]

Answer:

cool

Explanation:

i like it

4 0
3 years ago
Other questions:
  • Identify barriers to partnership working
    14·1 answer
  • Lucinda buys a new gps system for​ $250. she receives consumer surplus of​ $75 from the purchase. what value does lucinda place
    12·1 answer
  • Describing a topic, idea, or concept you find so engaging that it makes you lose all track of time. Why does it captivate you? W
    8·1 answer
  • When there is uncertainly of the product quality, buyers should not anticipate that the temporary warehouse seller of unbranded
    13·1 answer
  • Which process that occurs in living organisms us similar to the burning of fossil fuels?
    7·1 answer
  • Choose the system of linear inequalities that represent the given scenario. Let a represent the number of adult tickets and let
    9·2 answers
  • 3)During a routine market study conducted by CL Foods, it was noted that Chinese and Indian food products were in high demand in
    6·1 answer
  • Marketers provide value to the consumer and other stakeholders by doing all of these with their offerings except which?
    11·1 answer
  • For the year ended December 31, 2021, Norstar Industries reported net income of $965,000. At January 1, 2021, the company had 1,
    8·1 answer
  • As mavis gets ready to open her new business, she has identified the tasks that need to be accomplished and has assigned employe
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!