In 1998 Canada highest court declared

Acme Air Compressor Company has decided to limit the number of compressors it will supply to some of its distributors that it su

kondor19780726 [428]

Answer:

b. False

Explanation:

A Referent power in an organization my be defined as the power of a person or a company that is based on high level of identification with that of admiration or inspiration or out of respect.

Thus in the context, the Acme company does not uses its referent power to its distribution channel when the company decides to limit the supply of the its compressors to some of its distributors as the distributors are selling some of the air compressors of the competitor company.

Hence the answer is FALSE.

4 0

3 years ago

A new accountant at Leftwich Inc. is trying to identify which of the amounts shown below should be reported as the current asset

natima [27]

Answer:

The correct answer is $17,620.

Explanation:

According to the scenario, the computation of the given data are as follows:

We will include the following transaction as a cash and cash equivalents:

1.$60 of currency and coin in a locked box.

2.A $10,000 U.S. Treasury bill.

3.$260 of April-dated checks that Leftwich has received from customers.

5.$2,500 in the company’s checking account.

6.$4,800 in its savings account.

So, we can calculate the cash and cash equivalents by using following formula:

Cash and Cash equivalents = Amount in point 1 + Amount in point 2 + Amount in point 3 + Amount in point 5 + Amount in point 6

By putting the value, we get

= $60 + $10,000 + $260 + $2,500 + $4,800

= $17,620

4 0

3 years ago

Brown Cow Dairy uses the aging approach to estimate Bad Debt Expense. The balance of each account receivable is aged on the basi

mars1129 [50]

<u>Solution and Explanation:</u>

Age of the Amount Estimated Estimated

Receivables Uncollectibles Uncollectible Amounts

1-30 days old $12,000 3% $360

31-90 days old $5,000 15% $750

more than 90

days old $3,000 30% $900

Estimated year end Balances for Uncollectible Amounts $2,010

Bad Debt Expense for the year : Estimated Uncollectible Amount - Existing Credit Balance in the Allowance Account

Bad Debt Expense : $2,010 minus $800 = 1210

If the existing balance is Debit Balance of $600.

Bad Debt Expense : $2,010 plus 600 = $2,610.

8 0

3 years ago

Sales-Value-at-Split-off Method Alomar Company manufactures four products from a joint production process: barlon, selene, plice

julia-pushkina [17]

Answer:

Alomar Company

Allocation of Joint Costs:

Barlon = $10,270

Selene = $25,431

Plicene = $31,789

Corsol = $59,910

Total = $127,400

Explanation:

a) Data and Calculations:

Joint costs:

Direct materials $67,900

Direct labor 34,000

Overhead 25,500

Total joint costs $127,400

Joint Products Barlon Selene Plicene Corsol Total

Batch output units 1,400 2,600 2,500 3,500 10,000

Selling price per unit $15 $20 $26 $35

Sales value $21,000 $52,000 $65,000 $122,500 $260,500

Allocation of Joint Costs:

Barlon = $10,270 ($21,000/$260,500* $127,400)

Selene = $25,431 ($52,000/$260,500* $127,400)

Plicene = $31,789 ($65,000/$260,500* $127,400)

Corsol = $59,910 ($122,500/$260,500* $127,400)

8 0

3 years ago

Moss Corp. owns 20% of Dubro Corp.'s preferred stock and 40% of its common stock. Dubro's stock outstanding at December 31, Year

Temka [501]

Answer:

Revenue due to investment in Dubro = $22,000

Explanation:

In the given case, revenue to be recorded will be based on calculation as follows:

Since investment in equity is 40% of total share, equity method will be used.

In such method all income share in equity and preference dividend will form part of income for the current year.

Dividend = $10,000 $\times$ 20% as invested in preference capital.

= $2,000

Share in income = $50,000 $\times$ 40% as invested in equity = $20,000

Note: Dividend will be deducted from net income as net income for equity

Net income - Dividend = $60,000 - $10,000 = $50,000

Thus, net share of income = $2,000 + $20,000 = $22,000

7 0

4 years ago