Ask question

Ask question

All categories

3 years ago

5

Most lenders will expect entrepreneurs to provide equity funds in an amount of at least ____ percent of the business before appr

oving a loan.

1 answer:

MaRussiya [10]3 years ago

4 0

70 percent is a safe amount of capital

You might be interested in

During the current year, the Jules Company incurred the following product costs:Direct materials used in production $250,000Dire

ICE Princess25 [194]

Answer:

Option (D) is correct.

Explanation:

Given that,

Direct materials used in production = $250,000

Direct labor = $185,000

Manufacturing overhead = $245,500

Beginning Work in Process Inventory = $20,000

Ending Work in Process Inventory = $30,000

Cost of finished goods manufactured for the year:

= Direct materials used in production + Direct labor + Manufacturing overhead + Beginning Work in Process Inventory

= $250,000 + $185,000 + $245,500 + $20,000 - $30,000

= $670,500

5 0

3 years ago

Exercise 5-12 Presented below is the trial balance of Larkspur Corporation at December 31, 2017. Debit Credit Cash $ 200,490 Sal

shutvik [7]

Answer:

2017 Balance Sheet

$1,368,060 TOTAL CURRENT ASSETS

$2,637,630 TOTAL NONCURRENT ASSETS

$4,005,690 TOTAL ASSETS

$792,730 TOTAL CURRENT LIABILITIES

$1,906,980 TOTAL NONCURRENT LIABILITIES

$2,699,710 TOTAL LIABILITIES

$1,305,980 TOTAL EQUITY

$4,005,690 TOTAL EQUITY + LIABILITIES

Explanation:

Liquidity it's define as the speed of an assets to be converted to cash,

the assets that take less days to buy or to sold are more liquid than others.

Cash it's the assets most liquid then are the Accounts Receivables and Inventories for last, in the middle exist different assets as Equity investments.

Prepaid expenses are not liquid because these accounts doesn't means the company could get cash if not that the company have rights over something.

2017 Balance Sheet

$200,490 Cash

$157,080 Debt Investments

$410,000 Accounts Receivable

$600,490 Inventory

$1,368,060 TOTAL CURRENT ASSETS

$264,080 Land

$604,080 Equipment

-$60,000 Accum Depreciation

$1,043,490 Buildings

-$152,000 Accum Depreciation

$195,000 Patents

$280,490 Equity Investments

$160,000 Other Assets Intangibles

$302,490 Debt Investments

$2,637,630 TOTAL NONCURRENT ASSETS

$4,005,690 TOTAL ASSETS

$459,080 Accounts Payable

$94,080 Notes Payable

$100,080 Accrued Liabilities

$139,490 Dividends Payable

$792,730 TOTAL CURRENT LIABILITIES

$903,490 Notes Payable

$1,003,490 Bond Payable

$1,906,980 TOTAL NONCURRENT LIABILITIES

$2,699,710 TOTAL LIABILITIES

$1,004,080 Common Stock

-$195,080 Treasury Stocks

$83,490 Paid in Capital

$413,490 Retained Earnings

$1,305,980 TOTAL EQUITY

$4,005,690 TOTAL EQUITY + LIABILITIES

Income Statement

Sales $8,104,080

Depreciation -$4,800,000

MARGEN BRUTO $3,304,080

Selling Expenses -$2,004,080

Adm Expenses -$901,820

Interest Expenses -$212,820

Income Statement $185,360

Investment Revenue $64,820

Gain $81,820

3 0

3 years ago

An incomplete cost of goods manufactured schedule is presented below.

svlad2 [7]

Completing the Cost of Goods Manufactured Schedule for Riverbed Company is as follows:

<h3>Cost of Goods Manufactured Schedule</h3>

Work in process (1/1) $222,600

Direct materials:

Raw materials inventory (1/1) $ 47,300

Add: Raw materials purchases 168,000

Total raw materials available for use $215,300

Less: Raw materials inventory (12/31) 24,500

Direct materials used $190,800

Direct labor $114,500

Manufacturing overhead:

Indirect labor 19,600

Factory depreciation 37,900

Factory utilities 72,600

Total overhead 130,100

Total manufacturing cost $658,000

Total cost of work in process $658,000

Less: Work in process (12/31) 85,600

Cost of goods manufactured $572,400

<h3>What is the Schedule of Cost of Goods Manufactured?</h3>

The Schedule of Cost of Goods Manufactured shows the costs of:

Beginning Work in Process
Raw materials used
Direct labor
Overhead
Less Ending Work in Process.

Thus, the Schedule of Cost of Goods Manufactured for Riverbed Company shows that the cost of goods manufactured for the period is <u>$572,400</u>.

Learn more about preparing the Schedule of Cost of Goods Manufactured at brainly.com/question/24257342

#SPJ1

6 0

2 years ago

The term ___________________ describes the proportion of deposits that the bankmust hold in the form of reserves that are not lo

antoniya [11.8K]

Answer:

reserve ratio

Explanation:

3 0

3 years ago

The income statement shows the difference between a firm's income and its costs--i.e., its profits--during a specified period of

Aloiza [94]

Answer:

True.

Explanation:

‘Cash Flow Statement’ is one of major financial statement that indicates the inflow and outflow of cash along with the reasons by categorizing each cash transaction in three activities i.e., operating, investing or financing activity. Non-cash transactions are not considered while preparing a cash flow statement.

The cash flow from operating activities is generally more than the net income after taxes.

The cash flow from operating activities includes only the cash transactions relating to the operations of the business. It ignores the non-cash transactions. On the other hand, net income is derived after deducting all the expenses (paid or unpaid) from the revenue earned, pertaining to a particular period.

Example: Depreciation expense is a non-cash transaction. It is treated as follows:

While calculating cash flow from operating activities, depreciation expense is ignored (added back to the net income) as it is a non-cash transaction.

On the other hand, depreciation expense pertaining to the accounting period is deducted from revenue to calculate net income after taxes.

Thus, the cash flow from operations is generally more than the net income after taxes.

5 0

3 years ago