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4vir4ik [10]
3 years ago
8

Merchandise inventory is found on the balance sheet as a a. current asset. b. long-term asset. c. long-term liability. d. curren

t liability.
Business
1 answer:
scoray [572]3 years ago
7 0

Answer:

a. current asset

Explanation:

The merchandise inventory are the goods the business sales as their main operation. They are expected to be ready to sale therefore, ready to be converted to cash within the period, therefore will be current assets.

Unless the company do an specific mention and a certain amount of goods that will expected to be sold in a period of time greater than a year, all merchandise inventory will be current. These specific units will be considered non-current as their are expecteed to be converted to cash i na period greater than 1 year.

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The Osborne Company manufactures products in two​ departments:
8090 [49]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

Estimated overhead costs for the year are $ 810,000​, and estimated direct labor hours are 360,000.

The company incurred 20,000 direct labor hours.

First, we need to calculate the estimated overhead rate:

To calculate the estimated manufacturing overhead rate we need to use the following formula:

Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Estimated manufacturing overhead rate= 810,000/360,000= $2.25 per direct labor hour

Now, we can allocate overhead based on actual direct labor hours:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 2.25*20,000= $45,000

5 0
3 years ago
E-Eyes just issued some new preferred stock. The issue will pay an annual dividend of $18 in perpetuity, beginning 7 years from
barxatty [35]

Answer:

price of preferred stock = $465.65

Explanation:

given data

annual dividend = $18

return = 3.2 percent = 0.032

solution

we know prefer stock price is express as

prefer stock price Vp = \frac{d}{Kp}

here Vp is value of preference share and d is constant dividend and Kp is rate

so

prefer stock in 6th year will be = \frac{18}{0.032} = $562.50

so that price of preferred stock today = \frac{P6}{(1+Kp)^{n-1}}

price of preferred stock = \frac{562.50}{(1+0.032)^{7-1}}

price of preferred stock = $465.65

7 0
4 years ago
A car loan requiring quarterly payments carries an APR of 8%. What is the effective annual rate of interest?
ZanzabumX [31]

Answer:

Effective annual rate 8.24%

Explanation:

We solve for the effective rate by calcualte how much is the value of the APR with quarterly compounding.

(1+\frac{APR}{M} )^m = 1 + EAR

(1+0.08/4)^4 = 1+ EAR\\(1+0.08/4)^4 -1 =  EAR\\\\EAR = 0.08243216

6 0
3 years ago
A parcel delivery company delivered 103,000 packages last year, when its average employment was 84 drivers. this year the firm h
harina [27]
The answer is "-4.85%".

Year           Output           Input              Productivity             
              in Packages    in Drivers        (Output/Input)           
last year  103,000             <span>84                 1226.2    
this year  </span><span> 112,000             96                 1166.7   

Percentage change =     (</span>1166.7 - 1226.2) = <span>  -59.5/1226.2 = 0.0485
=0.0485 x 100 = -4.85%</span>
6 0
3 years ago
A U.S. company consolidates a VIE with which it has a contractual relationship, but no equity investment. If the company and the
Alex_Xolod [135]

Answer:

The correct is the VIE's fair value.

Explanation:

The fair value of a financial asset or liability on a given date is understood as the amount for which it could be delivered or liquidated, respectively, on that date between two parties, independent and experts in the field, acting freely and prudently, under conditions of market. The most objective and usual reference to the fair value of a financial asset or liability is the price that would be paid for it in an organized, transparent and deep market ("quoted price" or "market price").

When there is no market price for a given financial asset or liability, it is used to estimate its fair value to that established in recent transactions of analogous instruments and, failing that, to mathematical valuation models sufficiently contrasted by the international financial community. In the use of these models, the specific peculiarities of the asset or liability to be valued and, in particular, the different types of risks associated with the asset or liability are taken into account. Notwithstanding the foregoing, the limitations of the valuation models developed and the possible inaccuracies in the assumptions and parameters required by these models may result in the estimated fair value of an asset or liability not exactly matching the price at which the asset or liability could be delivered or liquidated on the date of its valuation.

7 0
4 years ago
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