Which of the following is NOT a cost typically associated with owning a car?

On January 1, 2020, Waterway Company purchased 11% bonds, having a maturity value of $312,000 for $336,270.95. The bonds provide

mafiozo [28]

Answer and Explanation:

The journal entries are shown below:

1. 11% bonds payable $336,270.95

To cash $336,270.95

(Being the bond purchased for cash is recorded)

2. Cash ($312,000 × 11%) $34,320

To Interest revenue ($336,270.95 × 9%) $30,264

To 11% bond payable $4,056

(Being the interest revenue is recorded)

Fair value adjustment $1,685.05

To Unrealized gain $1,685.05

(Being the recognition of fair value is recorded)

It is computed below:

= (333,900 - ($336,270.95 - $4,056) )

3. Unrealized gain $13,000 ($333,900 - $320,900)

To fair value adjustment $13,000

(Being the recognition of fair value is recorded)

8 0

3 years ago

Describe the difference between a fixed-quantity (Q) and a fixed-period (P) inventory systems and provide an example for each.

sergeinik [125]

Answer and Explanation:

The fixed quantity inventory system, the quantity of an order or the lot size is fixed in nature i.e. the similar amount means the quantity is ordered each and every time. It could be managed by continonusly watching the level of inventory. Example - economic order quantity

On the other hand, the fixed period inventory system is a system in which the inventory is to be checked at fixed inventory. It is same as the periodic reveiw system instead of the continuous basis. Example - drugstore

7 0

3 years ago

Exercise 5-8 Equivalent Units; Cost per Equivalent Unit; Assigning Costs to Units-Weighted-Average Method [LO5-2, LO5-3, LO5-4]

S_A_V [24]

Answer:

1. Calculate the first production department's equivalent units of production for materials and conversion for May.

materials = 275,000 + 50,000 = 325,000
conversion = 275,000 + 12,500 = 287,500

2. Compute the first production department's cost per equivalent unit for materials and conversion for May.

materials = $169,000 / 325,000 = $0.52
conversion = $253,000 / 287,500 = $0.88

3. Compute the first production department's cost of ending work in process inventory for materials, conversion, and in total for May.

materials = 50,000 x $0.52 = $26,000
conversion = 12,500 x $0.88 = $11,000
total = $37,000

4. Compute the first production department's cost of the units transferred to the next production department for materials, conversion, and in total for May.

materials = 275,000 x $0.52 = $143,000
conversion = 275,000 x $0.88 = $242,000
total = $385,000

Explanation:

Beginning WIP 70,000 units

materials $56,100

conversion $16,400

Ending WIP 50,000 units

100% completed for materials (50,000 EU)

25% completed for conversion (12,500 EU)

units started 255,000

total units transferred out 275,000

materials cost added during the period = $112,900

conversion cost added during the period = $236,600

7 0

3 years ago

The delivery of computing as a service is knonw as?

ZanzabumX [31]

Answer:

Infrastructure as a service

Explanation:

5 0

4 years ago

Explain how a seller can determine whether the demand for his or her good is inelastic, elastic, or unit elastic between two pri

patriot [66]

Answer:

by calculating the elasticity of demand.

Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.

Price elasticity of demand = percentage change in quantity demanded / percentage change in price

If the absolute value of price elasticity is greater than one, it means demand is elastic. Elastic demand means that quantity demanded is sensitive to price changes.

Demand is inelastic if a small change in price has little or no effect on quantity demanded. The absolute value of elasticity would be less than one

Demand is unit elastic if a small change in price has an equal and proportionate effect on quantity demanded.

Explanation:

8 0

3 years ago