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2 years ago

7

Gross profit is equal to a. sales plus cost of goods sold b. sales less selling expenses c. sales less cost of goods sold d. sal

es plus selling expenses

1 answer:

alexdok [17]2 years ago

8 0

Answer:

sales less cost of goods sold

Explanation:

Gross profit is the profit earned after after deducting the costs of goods sold from revenue

I hope my answer helps you

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The Peridot Company purchased machinery on January 2, 2019, for $800,000. A five-year life was estimated and no residual value w

Umnica [9.8K]

Answer:

1.- Without Retrospective effect

2.- No as it comes from a change in estimations not an accounting error.

3.- yes. It will give a full explanation about the reasons to extend the useful life.

4.- Depreciation expense for 2021: 60,000

Explanation:

1.- The change in the useful life does not represent an accounting error. It comes from the estimation process.

800,000 - 160,000 x 2 = 480,000 book value at beginning 2021

480,000 / 8 new useful life = 60,000 depreciation per year.

5 0

3 years ago

Saturn Corporation issued $300,000 par value 10-year bonds at 107 on January 1, 20X3, which Star Corporation purchased. Pluto Co

taurus [48]

Answer:

a. $8,000 gain

Explanation:

The face value of the bonds purchased by Pluto Corporation are $120,000. The bonds are purchased at discount of $1,980. The bonds have carrying value of $126,019 at the time of purchase. The net gain or loss is calculated by the difference between two values.

$120,000 - $126,019 - $6,019

The discount amount of the bond was $1,980.

Total gain on the bonds approximately ($6,019 + $1,980) = $8,000

8 0

2 years ago

Ordinary simple interest brings increased revenue to the lender. The general practice

densk [106]

Answer:

Exact = $34.5

Ordinary = $35

Explanation:

Given that :

Principal, P = $1500

Interest rate = 14% = 0.14

Number of days = 60

For exact :

Exact simple interest uses 365 days :

Simple interest = principal * rate * time

Simple interest = $1500 * 0.14 * 60 / 365 = 34.520547 = $34.5

For ordinary simple interest :

Simple interest = principal * rate * time

Simple interest = $1500 * 0.14 * 60 / 360 = $35

6 0

3 years ago

Suppose two factors are identified for the U.S. economy: the growth rate of industrial production, IP, and the inflation rate, I

Arisa [49]

Answer:

15.4%

Explanation:

Calculation to determine your best guess for the rate of return on the stock

The revised estimate on the rate of return on

the stock would be:

Before

14% = α +[4%*1] + [6%*0.4]

α = 14% - 6.4%

α = 7.6%

With the changes:

7.6% + [5%*1] + [7%*0.4]

= 7.6% + 5% + 2.8%

= 15.4%

Therefore your best guess for the rate of return on the stock will be 15.4%

3 0

2 years ago

The Pinetop Corporation issues 1,000 shares of 6%, $100 par value preferred stock at the beginning of 2014. All remaining shares

lidiya [134]

Answer:

$12,000 and $6,000

Explanation:

For computing the dividend, first we have to find out the yearly dividend which is shown below:

= Number of shares × par value per share × dividend rate × number of years

= 1,000 shares × $100 × 6% × 2 years

= $12,000

Out of $18,000, the $12,000 will be paid to preferred stockholders and the remaining $6,000 will be paid to common stockholders

5 0

3 years ago