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DIA [1.3K]
3 years ago
7

During the course of your examination of the financial statements of the Hales Corporation for the year ended December 31, 2021,

you discover the following: An insurance policy covering three years was purchased on January 1, 2021, for $4,200. The entire amount was debited to insurance expense and no adjusting entry was recorded for this item. During 2021, the company received a $675 cash advance from a customer for merchandise to be manufactured and shipped in 2022. The $675 was credited to sales revenue. No entry was recorded for the cost of merchandise. There were no supplies listed in the balance sheet under assets. However, you discover that supplies costing $645 were on hand at December 31. Hales borrowed $17,000 from a local bank on October 1, 2021. Principal and interest at 12% will be paid on September 30, 2022. No accrual was recorded for interest. Net income reported in the 2021 income statement is $33,000 before reflecting any of the above items.
Required:
Determine the proper amount of net income for 2021. (Amounts to be deducted should be indicated by a minus sign.)
Unadjusted Net income:
Adjustments:
a.
b
c.
d.
Adjusted net income:
Business
1 answer:
Nana76 [90]3 years ago
3 0

Answer:

$35,260

Explanation:

Calculation to Determine the proper amount of net income for 2021

Unadjusted net income $33,000

Adjustments:

a. Insurance expense overstated $2,800

[4,200-(4,200/3)]

b. Sales revenue overstated $(675)

c. Supplies expense overstated $645

d. Interest expense understated $(510)

(12%*17,000*3/12)

Adjusted net income $35,260

Therefore the proper amount of net income for 2021 will be $35,260

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Across the United States, some states are implementing policies that guarantee universal preschool across the state. These state
Marta_Voda [28]

Answer: There will be an increase in the demand for qualified preschool teachers.

Explanation:

From the question, we are told that across the United States, some states are implementing policies which will guarantee universal preschool across the state and that the policies will be based on well-publicized success of high-quality preschool programs across the country.

The impact of this policy is that there will be a rise in the demand for preschool teachers that are qualified. Recruiting highly qualified preschool teachers will be the way to the government to achieve their aims and objectives.

6 0
3 years ago
Consider a firm with only one variable input, labor. Firm output is zero when labor is zero. When the firm hires 6 workers the f
Charra [1.4K]

Answer:

$0.808

Explanation:

Given:

Number of workers hired = 6

Number of units to be produced = 90

Fixed cost of the product = $6 per unit

Variable cost = $10 per unit

Marginal product of the 7th unit of labor = 4

Now,

Total variable cost = Variable cost per unit labor × Total labor hired

or

The total variable cost = $10 × 7 = $70

Thus,

The total cost = Fixed cost + Total variable cost

or

The total cost = $6 + $70 = $76

Now,

the total units produced

= Unit produced by 6 labor + marginal product from seventh labor

or

The total units produced = 90 + 4 = 94

Hence,

the average variable cost of production when the firm hires 7 workers

= \frac{\textup{Total cost of production}}{\textup{Total units produced}}

or

= \frac{76}{94}

= $0.808

6 0
3 years ago
Read 2 more answers
You’ve been asking students to watch short videos for homework instead of reading the textbook. Students seem to be prepared for
patriot [66]

Answer:

The correct answer is the option B: include the video on a slide deck.

Explanation:

To begin with, in the situation where the teacher is trying to encourage the use of the virtual tools instead of the old textbook so therefore the students can do their homework in a way that is more interactive and dynamic then in order to know if they are doing it the teacher should include the video on a slide deck so in that way when they see the video they will have some comprehensive questions to answer and bring to the classroom or to think about and later ask them, so in that way the teacher would be able to know is they are watching or not the videos.

7 0
3 years ago
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Suppose you deposit ​$800800 cash into your checking account. By how much will checking deposits in the banking system increase
Marina CMI [18]

Answer:

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Explanation:

Checking account is the kind or form of deposit account that is held at a institution and it allows the deposits as well as withdrawals.

The change in the checking deposit is computed as:

Change in Checking deposit = Deposit amount / Required reserve ratio

where

Demand deposit is $800,800

Required reserve ratio is 0.440

Putting the values above:

Change in checking deposit = $800,800 / 0.440

Change in checking deposit = $18,20,000

8 0
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Why is it important for every person to keep track of their earnings and spending patterns?
PSYCHO15rus [73]
It is important because that is how you budget and how you are able to save money if an emergency comes up
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