1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
3241004551 [841]
3 years ago
13

Additional sales were made to Larry by Bird in 2018; inventory costing $24,000 was transferred at a price of $40,000. Of this to

tal, 30% was not consumed until 2019. Larry should record equity income in Worthy in 2018 of _______.
Business
1 answer:
Alona [7]3 years ago
7 0

Answer:

$11,200

Explanation:

As not mentioned in the account. It is Assumed that the Larry and Bird are related parties and Bird made a sale at a transfer price of $40,000 with $24,000 cost of inventory.

Bird can only recognize the equity up to the ratio of inventory used or sold by the related party.

As 30% was not consumed then consumption will be 70%, so 70% of the income is realized and it will be recorded.

Equity Income = $40,000 - $24,000 = $16,000

Realized Equity income = $16,000 x 70% = $11,200

* There is some ambiguity in the question given.

You might be interested in
Baker Corp. is required by a debt agreement to maintain a current ratio of at least​ 2.5, and​ Baker's current ratio now is 3. B
Orlov [11]

Answer:

$1.67 Million

Explanation:

Current asset = 15 Million    

Current liabiltiy = 15 Million/3

                          = 5 Million    

Let the inventory X can be purchased with short term debt without violation

per current ratio requirement    

(15 + x)/5+x = 2.5    

       15 + x  = 12.5 + 2.5x    

            2.5 = 1.5x    

               x = $1.67 Million

Therefore, $1.67 Million inventory can Baker purchase without violating its debt agreement if their total current assets equal​ $15 million

7 0
3 years ago
The computerization of the layout and paste-up process further complicated printing, as did the digitizing of photographs. a. Tr
Anna35 [415]

Answer:

The correct answer is letter "A": True.

Explanation:

Digitizing photographs complicated printing since it pushed printers' manufacturers to invest more in their development teams to create high-quality image printing devices. This was originated as a result of the spread of the paste-up process which allowed individuals to attach almost any image to their documents for printing purposes.

6 0
3 years ago
If you calculate the cost of attendance (COA) at an institute of higher
lutik1710 [3]
The answer is tuition fees, room and board, books, supplies and other expenses.
6 0
2 years ago
Martha Manufacturing produces a single product that sells for $80. Variable costs per unit equal $32. The company expects total
garri49 [273]
Each unit sells: $80
Each unit costs to make: $32
Fixed costs: 72,000
Goal: 2,000 units sold

If they meet their goal, let's see how that would go:

(2,000 * 80) - (2,000 * 32) - 72,000 = ?
160,000 - 64,000 - 72,000 = 24,000

24,000 is the profit they would make for hitting their goal.

Question 1:
What is the break-even point? The break-even means they make no money, but they also lose no money. So that final number (24,000) would be 0 instead. How many units would they have to make to hit zero?
(x * 80) - (x * 32) - 72,000 = 0.
80x - 32x = 72,000
48x = 72,000
x = 1500 units

We can verify by using our first formula we've already determined, using this new value for units.
(1,500* 80) - (1,500 * 32) - 72,000 = ?
120,000 - 48,000 - 72,000 = 0? True!

Question 2: If they increase their expenses by 16,000, what is their new break even point?

(x * 80) - (x * 32) - 72,000 - 16000 = 0.
80x - 32x - 88000 = 0
48x = 88000
x = 1833

Question 3: 10% reduction in selling price and 10% increase in sales. (Assuming based off the original formula the problem provided.)

Original: (2,000 * 80) - (2,000 * 32) - 72,000 = ?

10% Reduction in price: 8
80-8 = 72

10% increase in sales: 200
2000 + 200 = 2200

Plugin to our formula:
(2200 * 72) - (2200 * 32) - 72,000 = ?
158400 - 70400 - 72,000 = 16,000

Since this number is positive, this is income. (D)
7 0
3 years ago
How long after taxes accepted will i get my refund?.
erica [24]

Answer:

E-file and direct deposit 1-3 weeks

E-file and check. 1 month

Mail in return and direct deposit 3 weeks

Mail in return and check 2 months

Explanation:

i dont know if this is what your looking for but here it is.

3 0
2 years ago
Other questions:
  • Which of these is a renewable resource? A. Coal B. Trees C. Iron D. Oil<br><br> 2b2t
    11·2 answers
  • The following lots of a particular commodity were available for sale during the year:Beginning inventory 10 units at $60First pu
    13·1 answer
  • Chaia makes slate table tops for a living. She is guaranteed a base pay of $300 per week, and also earns $75 per completed table
    11·1 answer
  • Two mutually exclusive alternatives are being considered for the environmental protection equipment at a petroleum refinery. One
    7·1 answer
  • If labor cost are 55,000 dollers for concession staff, 82,500 dollers for security and 45.000 for parking lot operations and 49,
    11·1 answer
  • At December 31, 2017, before any year-end adjustments, Macarty Company's Prepaid Insurance account had a balance of $2,700. It w
    8·1 answer
  • What is the rationale behind the ceiling when applying the lower-of-cost-or-market method to inventory?
    10·1 answer
  • You are holding a stock that has a beta of 1.39 and is currently in equilibrium. The required return on the stock is 20.47%, and
    6·1 answer
  • Identify the change in the parent function that will produce the related function shown as a dash line. f(x)= √ x
    7·1 answer
  • Assume that Swiss investors have francs available to invest in securities, and they initially view U.S. and British interest rat
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!