Answer:
the net cash used in financing activities is -$3,803,000
Explanation:
The computation of the net cash used in financing activities is shown below:
= Payment of cash dividend - payment for early retirement + proceeds from the sale of treasury stock
= -$280,000 -$3,974,000 + $451,000
= -$3,803,000
hence, the net cash used in financing activities is -$3,803,000
WE simply applied the above formula
Answer and Explanation:
a. The computation of the weighted average contribution margin ratio is shown below:
The Contribution margin ratio is
= (Combined contribution ) ÷ (Sales)
= ($60,000 + $180,000) ÷ ($1,000,000)
= ($240,000) ÷ ($1,000,000)
= 0.24
b. Now the break even point in dollars is
= Fixed cost ÷ contribution margin ratio
= $300,000 ÷ 0.24
= $1,250,000
We simply applied the above formula so that the correct value could come
And, the same is to be considered
Answer:
Utilities
Explanation:
Variable costs are expenses that vary proportionately with the changes in production level. Should production level rise, variable costs increases. Variable costs form the majority of the direct cost of production.
Unlike fixed costs, the monthly bill for variable costs will keep fluctuating. In this scenario, utilities represent the variable cost. Expenses on electricity, water and other consumables will vary from time to time. With a high level of production, consumption of power and water will be high.
Rent and insurance cost will remain the same regardless of production level. A professional fee is an overhead expense. It is not an input in the production process.
Answer:
Cash (Dr.) $21,200
Common Stock (Cr.) $21,200
Cash (Dr.) $4,500
Services to client (Cr.) $4,500
Cash (Dr.) $11,200
Unearned Revenue (Cr.) $11,200
Cash (Dr.) $5,900
Accounts Receivable (Cr.) $5,900
Cash (Dr.) $11,000
Notes Payable (Cr.) $11,000
Explanation:
Adams services may record these transactions as journal entries. The transactions may have some changes after they are recorded then adjusting entries will be prepared to reflect the correct effect of transaction on business activities.
