Answer and Explanation:
The computation is shown below:
1. The Return on assets is
Return on assets = (Net income) ÷ (average of total assets)
where,
Net income is $6,500
Average total assets = (Beginning total assets + ending total assets) ÷ 2
= ($29,768 + $38,497) ÷ 2
= $34,132.50
Now put these values to the above formula
So, the return on asset is
= $6,500 ÷ $34,132.50
= 19.04
2. Cash Return on assets is
= Operating cash flows ÷Average total assets
= $9,314 ÷ $34,132.50
= 27.29%
3 Cash flow to sales ratio is
= Operating Cash Flow ÷ Net sales
= 9,314 ÷ $23,451
= 39.72%
And, Asset turnover ratio is
= Net sales ÷Average total assets
= $23,451 ÷ $34,132.50
= 0.68 times
Answer:
Depreciation expense for May $1000
Explanation:
The depreciation expense is the systematic allocation of the cost of asset over the estimated useful of the asset. The units of production method of depreciation allocates the depreciation based on the level of activity for which the asset is used in a particular year divided by the activity expected throughout the useful life of the asset.
The depreciation is calculated as follows,
Depreciation expense = (Cost - Salvage value) * Activity in units for the period/Activity in units over the total estimated useful life of the asset
Depreciation expense - May = (220000 - 60000) * 5000/800000
Depreciation expense - May = $1000
Posting accounts to the post closing trial balance follows the exact
same procedures as preparing the other trial balances. Each account
balance is transferred from the ledger accounts to the trial balance.
All accounts with debit balances are listed on the left column and all
accounts with credit balances are listed on the right column.
The process is the same as the previous trial balances. Now the ledger accounts just have post closing entry totals.
An post closing trial balance is formatted the same as the other trial balances in the accounting cycle displaying in three columns: a column for account names, debits, and credits.
Since only balance sheet accounts are listed on this trial balance,
they are presented in balance sheet order starting with assets,
liabilities, and ending with equity.
As with the unadjusted and adjusted trial balances,
both the debit and credit columns are calculated at the bottom of a
trial balance. If these columns aren’t equal, the trial balance was
prepared incorrectly or the closing entries weren’t transferred to the
ledger accounts accurately.
As with all financial reports,
trial balances are always prepared with a heading. Typically, the
heading consists of three lines containing the company name, name of the
trial balance, and date of the reporting period.
The post closing trial balance is a list of all accounts and their balances after the closing entries
have been journalized and posted to the ledger. In other words, the
post closing trial balance is a list of accounts or permanent accounts
that still have balances after the closing entries have been made.
This accounts list is identical to the accounts presented on the
balance sheet. This makes sense because all of the income statement
accounts have been closed and no longer have a current balance. The
purpose of preparing the post closing trial balance is verify that all
temporary accounts have been closed properly and the total debits and
credits in the accounting system equal after the closing entries have
been made.
In the scenario, Jane is performing the managerial role of a <u>Disseminator.</u>
<u>Explanation:</u>
<h3>Answer: Neither. They will use International Law. </h3>
Explanation:
When companies from different countries get into a contract, it is quite desirable that they stipulate which country's laws that they will abide by should the need arise.
However, if this is not done, there is still a method of enforcing. When not specifically listed, contract between companies from different countries falls under a branch of Private International law which is International Contract Law which is synonymous with International Sales law.
This law falls under the jurisdiction of the United Nations Convention on Contracts for the International Sale of Goods (CISG) which came into effect in January 1988.
Both France and the United States of America have ratified the law and so Cowboy Hats is free to take legal action within this framework if they so please.