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umka21 [38]
3 years ago
8

Crane Corporation had income from operations of $6,433,500. In addition, it suffered an unusual and infrequent pretax loss of $7

78,800 from a volcano eruption, interest revenue of $18,630, and a write-down on buildings of $56,090. The corporation’s tax rate is 30%. Prepare a partial income statement for Crane beginning with Income from operations. The corporation had 4,958,200 shares of common stock outstanding during 2020. (Round earnings per share to 2 decimal places, e.g. 1.48.)
Business
1 answer:
OverLord2011 [107]3 years ago
3 0

Answer:

Kindly check explanation

Explanation:

Given the following :

Income from operations before income tax and extraordinary item = $6,433,500

Income tax expense = (0.3 × 6,433,500) = $1,930,050

Income before extraordinary item ($6,433,500 - $1,930,050 = $4,503,450

Extraordinary event - loss from eruption = $778,800

Less:Applicable income tax : (1 - 0.3) × 778,000) = $544,600

Less : Interest revenue = $18,630

Less : write down on building = $56,090

Net income = $4,503,450 - (544,600 + 18,630 + 56,090) = $3,884,130

Income before extraordinary item = $4,503,450 / 4,958,200 = 0.9082832 = 0.91

Extraordinary loss = 544600 / 4,958,200 = 0.1098382 = 0.11

Net income = 3,884,130 / 4,958,200 = 0.7833750 = 0.78

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Pina Colada Corp. had 150 units in beginning inventory at a total cost of $16,500. The company purchased 300 units at a total co
ICE Princess25 [194]

Answer:

FIFO = $17,000

LIFO = $9,350

Average-cost = $14,450

Explanation:

Initial inventory: 150 units, at a total cost of $16,500 ($110 per unit).

Purchases: 300 units, at a total cost of $60,000 ($200 per unit).

Final inventory: 85 units.

Unit sold: 150+300-85=365 units

FIFO (first in, first out)

In this method, we considered that the units that were first in the inventory were sold first.

Initial inventory:  150 u. x $110 per unit = $16,500      $16,500

Variations:           300u. x $200 per unit = $60,000   $76,500

                          -150 u. x $110 per unit = -$16.500      $60,000

                          -215 u. x $200 per unit = -$43,000   $17,000

Final inventory      85 u. x $200 per unit = $17,000

LIFO (last in, first out)

In this method, we considered that the first units that leave the inventory are the last that have arrived.

Initial inventory:  150 u. x $110 per unit = $16,500       $16,500

Variations:           300u. x $200 per unit = $60,000    $76,500

                          -300 u. x $200 per unit = -$60,000   $16,500

                          -65 u. x $110 per unit = -$7,150           $  9,350

Final inventory      85 u. x $110 per unit = $9,350

Average cost

In this method, every unit that left the inventory is valuated with an average-cost per unit of the inventory.

Initial inventory:  150 u. x $110 per unit = $16,500       $16,500

Variations:           300u. x $200 per unit = $60,000    $76,500

                          -365 u. x <em>$170*</em> per unit = -$62,050   $14,450

Final inventory      85 u. x $170 per unit = $14,450

<em>*average cost = (150*110+300*200)/(150+300)=76500/450=$170</em>

5 0
3 years ago
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At the time when products and services are produced or provided to customers, which functional area is responsible for ensuring
Norma-Jean [14]

Answer: operations

Explanation:

At the time when products and services are produced or provided to customers, the functional area that is responsible for ensuring that those products and services meet high quality standards is operations.

The people in the operations department are in charge of managing activities that relates to production of goods and services. Some if their functions are managing operations, embracing design, performance improvement, planning, control, and operations strategy.

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3 years ago
Never use a circular saw that doesn't have a lower blade gaurd bcause the
Scorpion4ik [409]
The guard prevents you from touching the blade.
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2 years ago
Slow​ 'n Steady,​ Inc., has a stock price of $ 34​, will pay a dividend next year of $ 3.10​, and has expected dividend growth o
erica [24]

Answer:

10.92%

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The formula and the computation of the estimated cost of equity capital is shown below:

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We assume the cost of equity be X

$34 = $3.10  ÷ (cost of equity - 1.8%)

$34 X - $34 × 1.8X = $3.10

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The cost of equity would be 10.92%

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2 years ago
Which of the following would not be reported as current liabilities on the balance sheet?
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D. Accounts receivable
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