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Alina [70]
3 years ago
15

On January 2, 2020, Howdy Doody Corporation purchased 12% of Ranger Corporation's common stock for $50,000. Ranger's net income

for the years ended December 31, 2020, and December 31, 2021, were $10,000 and $50,000, respectively. During 2021, Ranger declared and paid a dividend of $60,000. There were no dividends in 2020. On December 31, 2020, the fair value of the Ranger stock owned by Howdy Doody had increased to $70,000. What is the effect of this investment on the 2021 income statement
Business
1 answer:
Andrei [34K]3 years ago
3 0

Answer:

The Total amount shown in income statement as income from this investment is $ 27,200.00

Explanation:

In order to calculate the effect of this investment on the 2021 income statement we would have to make the following calculation:

effect of this investment on the 2021 income statement= Dividend received by Howdy Doody corporation+Increase in Fair value of Stock credited to income statement

Dividend received by Howdy Doody corporation=$60,000 x 12%= $7,200.00

Increase in Fair value of Stock credited to income statement=$70,000-$50,000=$ 20,000.00

Therefore, effect of this investment on the 2021 income statement= $7,200.00 +$ 20,000.00 =$27,200

The Total amount shown in income statement as income from this investment is $ 27,200.00

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Answer:

correct option is $5,750

Explanation:

given data

amounts were both zero

suspended loss = $20,750

additional capital contributions = $5,750

to find out

How much loss may J. D. deduct in 2019

solution

loss may J. D. deduct in 2019 is $5,750

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it is standardize so that J.D. only deduct loss to extend of his contribution on march

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so correct option is $5,750

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3 years ago
Which of the following statements is correct concerning product​ costs? A. Product costs are shown with current liabilities on t
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Answer: D. Product costs are expensed in the period the related product is sold

Explanation:

The statement that is true with regards to product cost is that product costs are expensed in the period the related product is sold.

It should be noted that the account for the cost of goods sold consist of product cost. In a situation whereby goods are not sold, the goods will be carried to the next period.

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3 years ago
1- What is the percentage of people employed by small businesses in the US?
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Answer:

Just-in-time (JIT).

Explanation:

In this scenario, Crown Holdings Inc. manufactures a high-resolution, full-color digital inkjet printed cans that allows smaller beverage producers to label the cans as they are needed to be filled rather than keeping a stock of preprinted cans. This is an example of how a beverage company could use just-in-time.

Just-in-time (JIT) is an inventory management method used by a company wherein goods, products, components, and labor are made available exactly when needed or just few hours before they are needed in the production process.

It is an inventory management system that is adopted by companies to reduce wastage to the barest minimum and to increase operational efficiency as goods, materials and labor are scheduled for arrival when needed in the production line. Consequently, this would help to reduce or cut costs associated with storage of materials and inventory costs.

Between the 1960s and 1970s, The concept of just-in-time was developed by Toyota in Japan.

<em>Additionally, in order to maximize the benefits of the just-in-time method, it is very important and essential that their is a proper synchronization between the manufacturer (small beverage producers) and the supplier (Crown Holdings Inc.); manufacturing cycles and the delivery of goods, materials and labor. </em>

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How does imports, exports and balance of trade relate​
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Answer:

See explanation section

Explanation:

Export - When a country ships its domestic products (Goods and Services) to another country, after meeting the demand of the domestic people, for processing, using, and selling those, the term refers to export.

Import - When a country brings other countries' products in order to fulfill the demand of its population, it is coined as an import.

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