Answer:
b. The balance of the Allowance for Doubtful Accounts will be $22,000 after adjustment.
Explanation:
If credit losses are estimated at 1% of credit sales than balance of allowance for doubtful account after adjustment will be = $6,000 + $1,600,000 * 1%
= $6,000 + $16,000
= $22,000
Answer:
Instructions are listed below
Explanation:
Giving the following information:
Condelezza Co. expects to produce 10,000 units of Product A and 20,000 units of Product B in the coming year.
Budgeted factory overhead costs for the coming year are:
Assembly $310,000
Finishing 240,000
Total $550,000
The machine hours expected to be used in the coming year are as follows:
Assembly Dept.
Product A 15,100
Product B 4,900
Total 20,000
Finishing Dept.
Product A 9,000
Product B 11,000
Total 20,000
A) Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 550,000/40,000= $13.75 per machine hour
B) Departamental rates:
Assembly= 310,000/20,000= $15.5 per machine hour.
Finishing= 240,000/20,000= $12 per machine hour.
Answer:
True
Explanation:
You should always treat others the way you want to be treated. If you were the one who could be treated badly, would your actions be different?
Answer:
The required rate of return is r = 0.1475 or 14.75%
Explanation:
The required rate of return is the minimum return that investors demand/expect on a stock based on the systematic risk of the stock as given by the beta. The expected or required rate of return on a stock can be calculated using the CAPM equation.
The equation is,
r = rRF + Beta * (rM - rRF)
Where,
- rRF is the risk free rate
- rM is the return on market
r = 0.06 + 1.25 * (0.13 - 0.06)
r = 0.1475 or 14.75%
Answer:
dividend payment = $6
Explanation:
given data
sell = $65
pay = $65.74
require a return = 8%
solution
we will use here present value formula that is express as
current stock price ( present value ) = 
........................1
$65.74 = 
here d is dividend
solve it we get
d = $6.00
so dividend payment = $6
