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prisoha [69]
3 years ago
10

Computronics, inc. has a current ratio of 1.5. this implies that if the firm liquidates its current assets in order to pay off i

ts current liabilities, it can sell the current assets for as little as:
Business
1 answer:
Eddi Din [679]3 years ago
8 0
<span>If the figure of 1.5 represents the debt ratio of the firm then it can be inferred that the liabilities of the firm greatly exceed current assets. Without further information as to the values of Computronics, inc. current assets and liabilities the price at which the firm can sell its assets cannot be computed. However it can be stated that the firm must sell current assets at a premium of 50% of the value of the assets in order to recoup the debt of its current liabilities.</span>
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The following balances were taken from the general ledger of Doogie Corporation as of December 31. All balances are normal. Cash
love history [14]

Answer:

Please refer to the attached

Explanation:

Please refer to the attached.

Note that in trial balance Debit side must always be equal to debit side

7 0
3 years ago
Sagon Corporation has provided data concerning the Corporation's Manufacturing Overhead account for the month of September. Prio
Romashka [77]

Answer: Manufacturing overhead for the month was underapplied by $19,000.

Explanation:

From the question, we are informed that before the closing of the overapplied or underapplied balance to cost of goods sold, the total of the debits to the manufacturing overhead account was $75,000 and the total of the credits to the account was $56,000.

This implies that the manufacturing overhead for the month was underapplied by ($75000 - $56000)= $19000. The manufacturing overhead debit balance shows that manufacturing overhead was simply underapplied in this case.

6 0
4 years ago
Loran's pretax accounting income in 20X1 is $100,000. Loran had bad debt expense for financial reporting purposes of $14,000 in
stira [4]

Answer:

$2,800

Explanation:

Particulars                                                                       Amount

Favorable temporary difference at the end of 20X2   $7000

* Income tax rate                                                             <u>   40%  </u>

Deferred tax asset account at the end of 20X2         <u>$2,800</u>

6 0
3 years ago
Oak Interiors is owned and operated by Fred Biggs, an interior decorator. In the ledger of Oak Interiors, the first digit of the
Kipish [7]

Answer:

Oak Interiors

Matching each account number with its most likely account in the list:

12 - Cash

13 - Accounts Receivable

17 - Land

21 - Accounts Payable

31 - Fred Biggs, Capital

32 - Fred Biggs, Drawing

41 - Fees Earned

51 - Supplies Expense

52 - Wages Expense

53 - Miscellaneous Expense

Explanation:

a) Data and Classifications:

Digits and Accounts:

1—assets

12 - Cash

13 - Accounts Receivable

17 - Land

2—liabilities

21 - Accounts Payable

3—owner’s equity

31 - Fred Biggs, Capital

32 - Fred Biggs, Drawing

4—revenues

41 - Fees Earned

5—expenses

51 - Supplies Expense

52 - Wages Expense

53 - Miscellaneous Expense

b) The chart of accounts of Oak Interiors is where the financial accounting is organized into five major categories.  These categories are called accounts.  They include assets, liabilities, equity, revenue, and expenses.  This implies that all business transactions that are recorded in accounts are summarized under any of these five major headings.

4 0
2 years ago
How does the law of diminishing marginal utility relate to law of demand?
HACTEHA [7]

Answer:

Explanation:

The law of diminishing marginal utility helps to explain the negative slope of the demand curve and the law of demand.If the satisfaction obtained from a good declines, then buyers are willing to pay a lower price, hence demand price is inversely related to quantity demanded, which is the law of demand.

3 0
3 years ago
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