Answer:
Mel, an agent for a dress shop, orders one hundred dresses from SAG Manufacturing for the April Sale. There is no specific agreement in the sale contract indicating when title will pass to the department store. The title will pass to the department store when
-
c. SAG physically delivers the dresses to the department store. IF THERE IS NO EXPLICIT AGREEMENT REGARDING WHEN TITLE PASSES, TITLE OF THE GOODS WILL PASS WHEN THE SELLER COMPLETES DELIVERY OF THE GOODS.
Frank contracts with Bumper Cars, Inc. to buy five bumper cars. The contract lists the five cars as BC001, BC002, BC003, BC004, BC005. Identification
- b. has taken place. SINCE THE GOODS HAVE ALREADY BEEN MARKED AND DESIGNATED, IDENTIFICATION HAS TAKEN PLACE.
Olga’s Clothing Store contracts to buy forty men’s suits from Louie’s Manufacturing, Inc. Unless the contract states otherwise, it is assumed to be
-
c. a shipment contract. A SHIPMENT CONTRACT REFERS TO A CONTRACT WHERE THE SELLER IS AUTHORIZED TO DELIVER THE PASS THE GOODS TO THE BUYER BUT A DELIVERY POINT HAS NOT BEEN SPECIFIED, THEREFORE, TITLE PASSES AT THE POINT OF SHIPMENT.
Answer:
The depreciation expense would amount to $15,500
Explanation:
Under the double declining method, the formula is as:
Annual depreciation expense = Net Book Value × 2 / Number of years
where
Net book value amounts to $77,500
Number of years is 10 years
Putting the value above:
Annual depreciation expense = $ 77,500 × 2 / 10
= $77,500 × 0.2
= $15,500
NOTE: Under the method of double declining, the residual or the salvage value is not considered or ignored.
When using the double-declining method, residual value is ignored.
Answer and Explanation:
1. Unit Cost for June = Total Cost/ Equivalent Units of output
= 174,000/75,000
= $2.32 per unit
2. Cost of Ending Work in Progress = Cost per unit * Ending WIP
= 2.32 * 21,600
= $50,112
Cost of goods transferred out = Cost per unit * Units completed
= 2.32 * 53,400
= $123,888
3. By using the Weighted Average method for calculating cost, May costs will also be reflected in the cost figures. In May, the measures to reduce cost had not been implemented so the costs were still higher than anticipated for June. They will therefore pull the June costs upward such that the cost reductions will not show up in June.
This can be overcome by using a method that would reflect the cost of June alone.
Answer:
B. debit to Bad Debt Expense for $3,200.
Explanation:
In the given question, the total of uncollectible accounts is $4,000 and the allowance for doubtful accounts has an $800 credit balance. The remaining amount which is left i.e $3,200 ($4,000 - $800) is debited to bad debt expense
The journal entry is shown below:
Bad debt expense A/c Dr $3,200
To Allowance for Doubtful Accounts $3,200
(Being bad debt expense recorded)
Add to the law that dogs can be unleashed on your own property within a fenced in area.