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uysha [10]
2 years ago
9

Newton Corporation entered into the following transactions during its first year of operations. (Assume all transactions involve

cash.) Acquired $2,000 of capital from the owners. Purchased $600 of direct raw materials. Used $400 of these direct raw materials in the production process. Paid production workers $800 cash. Paid $400 for manufacturing overhead. Started and completed 200 units of inventory. Sold 50 units at a price of $12 each. Paid $80 for selling and administrative expenses. The amount of net income for the year was:
Business
1 answer:
makkiz [27]2 years ago
8 0

Answer:

Newton Corporation

Net income for the year = $120

Explanation:

a) Data and Calculations:

Direct materials cost =   $400

Direct labor cost =            800

Manufacturing overhead 400

Total manufacturing cost $1,600

Cost per unit = $8

Ending Inventory of finished goods = 150 units * $8 = $1,200

Cost of goods sold = 50 * $8 = $400

Sales revenue = 50 * $12 = $600

Newton Corporation

Income Statement

For the year ended December 31:

Sales Revenue     $600

Cost of goods sold 400

Gross income       $200

Selling & Admin.

 expense                 80

Net Income          $120

b) Newton Corporation's net income is the difference between the Sales Revenue, cost of goods sold and selling and administrative expenses.

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timofeeve [1]

<u>Solution and Explanation:</u>

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1st january, 2019    Account receivable                  500

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                    (To record sales on account)

                        Cost of goods sold                              310

                       Merchandise inventory                                                      310

             (To record cost of goods sold)

31st january, 2019       Notes receivable                     500

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(To record notes receivable for the 60 days at the rate of 6 percent)

1st April, 2019 Allowances for Doubtfull accounts          500

                        Notes receivable                                                                500

(In order to write off Sally Millers account, no interest revenue is to be recognised)

2nd May, 2019           Notes receivable                             500

                              Allowances for doubtful debts                                     500

( in order to record re-instatement)

2nd May, 2019             Cash                                                  507.50

                                  Notes receivable                                                        500

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3 years ago
Which of the following is a potential operating instrument for the central​ bank? A. The M1 money supply B. The monetary base C.
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Answer:

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Olive Maccones dies without a will. She has three sons and seven grandchildren. She owned a substantial amount of property. What
navik [9.2K]

Answer:

The property will be transferred according to the Statute of Descent and Distribution.

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The heirs or next of kin are beneficiaries to the estate. Heirs can be be blood relatives, adopted children, adopted parent, or surviving spouse.

The line of descent is the order of beneficiaries that are from an ancestor. The line of descent can be direct such as sons, or collateral such as cousins.

In this case where Olive Maccones dies without a will and she has three sons and seven grandchildren, her estate will be distributed by a court based on the line of descent of her sons and grandchildren.

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2 years ago
David taylor purchased a teapot for $23.95, a coffee maker for $33.95, and a deluxe microwave for $196.75 for his mother's birth
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A mortgage of $80,000 with 2 points means the borrower would have to pay at closing $800. Group startsTrue or FalseTrue, unselec
zavuch27 [327]

A mortgage of $80,000 with 2 points means the borrower would have to pay at closing $800 is false because the real pay at closing is $1,600.

<h3>What is mortgage?</h3>

A mortgage is a loan that is used to buy or to maintain a land, home, or other sort of real estate.

The borrower checks to refund the lender over a period of time, usually in an ordination of regular installments divided into principal and interest. The property is used as security for the loan.

According to the given information,

Mortgage Amount = $80,000

Points = 2

Let the 2 points is taken as a percentage:

Point 1 = 1%, and

Point 2 = 2%

Now, as we know that in the loan process, the amount of point is cyphered at the closing. Then, the closing cost is commuted as:

\text{Closing Cost Amount} =\text{Mortgage} \times \text{Points}\\\\\text{Closing Cost Amount} =$80,000 \times 2\%\\\\\text{Closing Cost Amount} =\$1,600

Therefore, the given problem is false, that the borrower have to pay $800, he would have to pay only $1,600.

Learn more about the mortgage, refer to:

brainly.com/question/15074748

#SPJ1

3 0
2 years ago
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