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kogti [31]
3 years ago
12

During the year, Apex Co. sold an unprofitable component of the company. The component had a net loss from operations during the

period of $150,000 and its assets sold at a loss of $100,000. Apex reported income from continuing operations before taxes of $128,387. All items are taxed at 30%. How would this item appear in the income statement?
Business
1 answer:
natita [175]3 years ago
6 0

Answer: In the Apex income statement,

Income from continuing operations before taxes $128,387

Taxation $36,483.9

Profit for the year from continuing operations $164,870.9

Loss from discontinued

operations ($175,000)

Loss for the year ($10,129.1)

Explanation: First, there was a tax expense on the profit from continuing operations to the tune of $38,516.1 (30% of $128,387) because the company made a gain. Subsequently, there was a deferred tax asset on the loss sustained on discontinued operations of $75,000 therefore resulting in tax asset of $36,483.9.

There is usually a need to report the profit from continuing operations separately from that of discontinued operations so that actual profit and cash flows from continuing operations can be easily recognizable from that of discontinued operations. In that way, the users of the financial statements would be able to distinguish between the two profit lines.

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A company had an unadjusted Cost of Goods Sold of $1,690,000. The company closes its underapplied or overapplied overhead to Cos
lakkis [162]

Answer:

"$1,673,750" is the appropriate answer.

Explanation:

The given values in the question are:

Applied overhead,

= $666,250

Actual overhead,

= $650,000

Unadjusted cost,

= $1,690,000

Now,

The overapplied overhead will be:

= Applied \ overhead-Actual \ overhead

= 666,250-650,000

= 16,250 ($)

hence,

The goods sold's adjusted cost will be:

= Unadjusted \ cost-Overapplied \ overhead

= 1,690,000-16,250

= 1,673,750 ($)

8 0
3 years ago
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Nuetrik [128]
This is tough to answer in 3-5 sentences, and tends to also be a heavy identifier of your possible political leanings.  You'll have to apologize if some of mine leak out in the response, but this is a question we debate hotly more frequently than every 4 years.

In general, international trade can help increase the GDP and overall profits for US-based corporations.  However, if all we do is export, and we don't import, other countries don't look favorably upon that and may heavily tax our goods to counter this.

I believe we do need to be thoughtful about the amounts and kinds of international trade that we engage in.  For example, farming is always a hotly debated issue for international trade, in part because farmers in other countries with a dramatically lower cost of living OR farmers in countries with a favorable currency rate (exchange from their currency to our dollars gives them an advantage) can undercut our farmers here in the US, many of whom are already struggling.

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The return for a portfolio consisting of n securities will be based on the return for each of the securities as well as the prop
andrew11 [14]

Answer:

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4 0
3 years ago
You are opening a savings account that earns compound interest. Which compounding frequency will earn you the most money?
mojhsa [17]

Answer:

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I hope my answer helps you

5 0
3 years ago
Wayman Corporation reports the following amounts in its December 31, 2021, income statement.
MrRissso [65]

Answer:

                          Wayman Corporation

                  Multiple-step income statement

Sales                                                              $425,000

Less: Cost of goods sold                              <u>$135,000</u>

Gross Profit                                                    $290,000

Operating Expenses

Salary Expenses                   $45,000

Utility Expenses                    $55,000

Advertising Expenses          <u>$35,000</u>

Total Operating Expenses                             <u>($135,000)</u>

Net Operating Income                                   $155,000

Other Income and Expenses

Interest expense                                               <u>$25,000</u>

Net Income before Tax                                   $130,000

Income tax expense                                         <u>$55,000 </u>

Net Income                                                       <u>$75,000</u>

6 0
3 years ago
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