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3 years ago

For the current year, Klay Corporation reports the following information:

Business

2 answers:

DerKrebs [107]3 years ago

7 0

Answer:

The company’s cash flows from operating activities was a cash inflow of $5,000

Explanation:

Cash at the end of the year = Cash at the beginning of the year + Net cash inflows from investing activities + Net cash inflows from financing activities + Net cash inflows from operating activities

Therefore,

Net cash inflows from operating activities = Cash at the beginning of the year + Net cash inflows from investing activities + Net cash inflows from financing activities - Cash at the end of the year = $340,000 + $40,000 + $45,000 - $420,000 = $5,000 >0

The company’s cash flows from operating activities was a cash inflow of $5,000

Doss [256]3 years ago

4 0

Answer:

A cash outflow of $5,000

Explanation:

the sum of cash flows from the operating, investing and financing activities must equal the net change in cash during the period

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The cost of meeting SEC and possibly additional state reporting requirements regarding disclosure of financial information, the

Rama09 [41]

Answer:

True.

Explanation:

Danger of losing control, and the possibility of an inactive market and an attendant low stock price are potential disadvantages of going public.

Companies that seeks to sell its stock on different stock markets or other major public exchanges must meet and maintain numerous listing requirements. Failure to comply with these mandates on an ongoing basis could cause the stock to become delisted from the exchange. The chief purpose of these requirements is to increase market transparency in an effort to foster investor confidence.

8 0

3 years ago

Read 2 more answers

Parker Corporation has a job-order costing system and uses a predetermined overhead rate based on direct labor-hours to apply ma

AnnyKZ [126]

Answer:

Unitary cost= $62.5

Explanation:

Giving the following information:

Predetermined overhead rate based on direct labor-hours to apply manufacturing overhead to jobs. At the beginning of the year, manufacturing overhead and direct labor-hours for the year were estimated at $50,000 and 20,000 hours.

Materials costs on the job totaled $4,000 and labor costs totaled $1,500 at $5 per hour.

First, we need to determine the allocated MOH:

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

Estimated manufacturing overhead rate= 50000/20000= $2.5 per direct labor hour

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base= 2.5* (1500/5)= $750

Total cost= 4000 + 1500 + 750= $6,250

Unitary cost= 6250/100= $62.5

3 0

3 years ago

Kumar Inc. uses a perpetual inventory system. At January 1, 2020, inventory was $214,000,000 at both cost and realizable value.

MAVERICK [17]

Answer:

A. Dr Cost of Goods Sold $21,000,000

Cr Allowance to Reduce Inventory to Market $21,000,000

B. Dr Loss Due to Market Decline of Inventory $21,000,000

Cr Allowance to Reduce Inventory to Market $21,000,000

Explanation:

A.Preparation of the necessary December 31 entry under the cost-of-goods-sold method

COST-OF-GOODS-SOLD METHOD

Dr Cost of Goods Sold $21,000,000

Cr Allowance to Reduce Inventory to Market $21,000,000

($286,000,000 - $265,000,000)

B.Preparation of the necessary December 31 entry under the Loss method

LOSS METHOD

Dr Loss Due to Market Decline of Inventory $21,000,000

Cr Allowance to Reduce Inventory to Market $21,000,000

($286,000,000 - $265,000,000)

7 0

3 years ago

Riverbed Company sells goods that cost $320,000 to Ricard Company for $407,000 on January 2, 2020. The sales price includes an i

Alecsey [184]

Answer:

a) Journal entries to record the sale on January 2, 2020:

Debit Accounts Receivable with $407,000

Credit Sales Account with $368,500

Credit Deferred Revenue (Installation Fee) with $38,500

Being sales of goods and installation services.

b) Income Statement for 1st Quarter of 2020

Sales - $368,500

Installation Fee - $19,250

Total Income - $387,750

less cost of sales - $320,000

Net Income - $67,750

c) The revenue Shaw should recognize in relation to the sale to Ricard is $387,750 (goods and accrued installation fee). The installation fee to be recognized is for 3 months only.

Explanation:

The installation fee is for 6 months. Therefore, 3 months' worth of fee will be recognized in the income statement ending on March 31, 2020.

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3 years ago

Describe the short run effects of each of the following socks on the aggregate price level and aggregate output. a. The governme

zhannawk [14.2K]

Answer:

The answer is

A: Aggregate price level increases and aggregate output decreases

B. Both aggregate price level aggregate output increases

C. Aggregate price level increases and aggregate output decreases

Explanation:

A. This government action will increase the aggregate price level increases due to inflation. Aggregate output will decrease due to the increase in cost of product (high wage to labor)

B. Because of the increased spending Investment in solar program, both aggregate output and aggregate price level increase.

C. Due to the severe weather destroyed crops, aggregate price level increases and aggregate output decreases. This happened because there will be decrease in supply of crops.

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3 years ago