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3 years ago

Determine which of the following statements are correct regarding damaged or obsolete goods. (Check all that apply.)

Business

1 answer:

fenix001 [56]3 years ago

8 0

Answer:

1.  Damaged or obsolete goods are not counted in inventory if they cannot be sold.

2.  If these can be sold… Cost should be reduced to Net Realizable Value

Explanation:

The law relating to the valuation of inventory is that ''inventory should be valued at lower of 'Cost' and 'Net Realizable Value'.

Therefore in the case of damaged or obsolete goods, they have to be eliminated from inventory, otherwise it will lead to overvaluation.

However in the case where these can be sold, They have to be valued at lower of 'cost' or 'salable value', implying that 'Cost' should be reduced to 'Net Realizable Value'

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Sunland Corporation had net sales of $2,425,800 and interest revenue of $38,200 during 2020. Expenses for 2020 were cost of good

ladessa [460]

Answer:

Prepare a single-step income statement for the year ended December 31, 2020

Explanation:

SUNLAND CORPORATION

Inconme statement

For the year endend December 2020

Revenue

Net Sales 2.425.800

Interes Revenue 38.200

Total Revenue 2.464.000

Expenses

Cost Of goods 1.458.200

Administrative expenses 212.600

Selling xpenses 282.000

Interes expense 46.400

Tax rate 139.440

Expenses 2.138.640

Net income 325.360

Shares issued 70210

Earning p/share 4,63

7 0

3 years ago

Develop an Excel worksheet simulation for the following problem. The management of Paragon Household Products is considering the

Alexxandr [17]

<h2>Disclamer:</h2>

As it ask to run simulations the values calculates will difer even if you follow the same step as I did.

Answer:

Mean Profit: $ 4,295

Probability of loss: 29.80%

As the product has a mean profit it will on average generate gains

but:

as the standard deviation of the simulation was $ 7,778.40

we should not invest on the product as it is to variable

Explanation:

We are going to use the =RAND() function of excel

which, generates a random number between 0 and 1

This will be done 1,000 times 500 for the variable cost

and 500 for the demand.

Then we copy and paste this numbers to get them fixed.

Then, we convert them into actual cost and demand in units considering their distribution

using excel dist.norm.inv

Now, with this values we solve for profit on each one.

FOr the complexity I attached the excel file as the plataform interface cannot handle large tables.

Download xlsx

6 0

2 years ago

At the beginning of the period, the Cutting Department budgeted direct labor of $52,350 and supervisor salaries of $42,150 for 3

xxTIMURxx [149]

Answer:

$77,000

Explanation:

Direct Labor = $52,350 (Its varies with the number of Production hours). Hence, $52,350 for 3,490 hours

For 3,800 hours, (52,350/3,490) * 3,800 = $57,000

Supervisor Salaries = $20,000 (Since the Supervisor Salary is not an incremental cost, it is a fixed one). So, the Supervisor Salaries remain $20,000

Net budget (flexible) = $57,000 + $20,000

Net budget (flexible) = $77,000

4 0

3 years ago

Below is the aging of receivables schedule for Evers Industries. Aging-of-Receivables Schedule November 30 Customer Balance Not

Murrr4er [49]

Answer:

uncollectible ammount expense 47,972 debit

allowance for doubtful account 47,972 credit

Explanation:

Fro mthe talbe we are given the amount of account over-time fro meach customer.

As we are presented with all date we should proceed directly with the journal entry:

the aging method stated an allowance of 60,727

the current balance is for (12,755)

the adjustment will be for: 47,972

5 0

3 years ago

State chartered banks are required to become members of the federal reserve system.

alex41 [277]

I think that any bank or incorporated banking institutions involved can become members.

3 0

3 years ago