Answer:
0.64
Explanation:
Debts to total asset ratio = Total liabilities / total assets
For J.Cox Inc 2016; Debts to total asset ratio = $47,422 / 73,744
Debts to total asset ratio = 0.64306
Debts to total asset ratio = 0.64
2016 debt-to-total-assets ratio for J. Cox, Inc. is 0.64
Answer:
Entry to record adjustment:
COGS Dr $9.4m
Inventory Cr $9.4m
Explanation:
The question relates to a change in accounting policy. According to IAS 8 (changes in accounting policy and estimate), a change in accounting policy is to be reflected retrospectively and prospectively, which means any changes should be implemented by bringing changes in the past records. Since CPS company has been using FIFO method, the inventory has been overstated in the financial statements. A shift to AVCO has resulted in a decrease in inventory value.
The value of inventory has to be reduced as a result of change in accounting policy (i.e $38m - $28.6m). This is the closing inventory so a reduction in the value of closing inventory results in an increase in cost of goods sold (COGS), therefore, the adjusting entry will be aimed at reducing inventory and increasing cost of goods sold, see as follows:
Entry:
COGS Dr $9.4m
Inventory Cr $9.4m
In this report, there are three variables being
mentioned. These are:
1st variable = 19 minutes
2nd variable = 7 jumps
3rd variable = 79%
In this problem, I believe what we are asked to do is to
identify the type of variable the 2nd variable is. We are given that
the 2nd variable is “7 jumps”.
This means that the 2nd variable is quantitative because it
refers to or relating to a measurement of something rather than the quality. We
also know that jumps can only take whole numbers, not decimal. Therefore it is
also discrete. Hence, the 2nd variable is:
quantitative and discrete
Answer:
Robinson's deferred income tax expense or benefit for the current year would be $6,700
Explanation:
The computation of the deferred income tax expense or benefit for the current year is shown below:
= Deferred tax expense - adjustment of tax based on the tax rate
where,
Deferred tax expense = (Favorable temporary differences - unfavorable temporary differences) × corporate tax rate
= ($50,000 - $20,000) × 21%
= $6,300
And, the adjustment of tax equals to
= Net taxable temporary difference × (Tax rate - corporate tax rate)
= $100,000 × (34% - 21%)
= $13,000
Now put these values to the above formula
So, the value would equal to
= $6,300 - $13,000
= $6,700
Answer: (C) Revenue recognition principle
Explanation:
The revenue recognition is one of the type of principle that help[s in understanding the various types of accounts based guidelines that helps in identifying the particular condition in which the revenue is basically recognize.
The importance of third principle is that it helps in ensure the actual loss or the profit Margin that maintains the financial credibility.
According to the given question, the revenue recognition principle basically accepting the various types of accounting principle that helps in satisfying the performance obligations.
Therefore, Option (C) is correct answer.
