Answer:
B. NAFTA
Explanation:
North American Free Trade Agreement (NAFTA) is a regional agreement between the Government of Canada, the Government of the United Mexican States, and the Government of the United States of America that created a free trade zone.
NAFTA administers the mechanisms stipulated in the Treaty to resolve commercial disputes between national industries or the governments of the party countries in a timely and impartial manner.
Answer: -($0.5025) million
Explanation:
As depreciation is expected to increase this year by $0.670 million.
Therefore,
Expenses will increase and will result in decrease in income before tax by $0.670 million.
Additional tax saving on increase in depreciation = $0.67 × 25%
= $0.1675 million
Hence,
Total change in net income = -($0.67) + $0.1675
= -($0.5025) million
Answer: c.$71 per machine hour
Explanation:
The Pre-determined Overhead rate is the rate Thomlin Company forecasted that the company would incur total overhead for the current year.
They forecasted total overhead of $11,597,000 with 164,000 total machine hours.
Since the rate is based on Machine Hours the rate would be,
= Total Forecasted Overhead / Total Forecasted Machine Hours
= 11,597,000 / 164,000
= 70.71
= $71
Answer:
The Estimated Monthly Mortgage Payment
= $2,810.81
Explanation:
Data and Calculations:
House price = $475,000
Down payment = $100,000
Percentage of down payment = 21.05% ($100,000/$475,000 * 100)
Finance period = 15 years = 180 months (15 * 12)
Nominal annual interest compounded monthly = 4%
The estimated monthly mortgage payment using an online finance calculator:
Monthly Pay: $2,810.81
House Price $475,000.00
Loan Amount $380,000.00
Down Payment $95,000.00
Total of 180 Mortgage Payments $505,946.54
Total Interest $125,946.54
Mortgage Payoff Date Jan. 2036
Explanation:
The journal entry to record the re-issuance of the stock is shown below:
Cash A/c Dr $240,000 (20,000 shares × $12)
Retained earnings A/c Dr $80,000
To Treasury stock $320,000
(Being the re-issuance of the stock is recorded)
The computation is shown below:
For treasury stock
= 20,000 shares × ($16 per share - $12 per share)
= $80,000
So as we can see the retained earnings is decreased by $80,000
