Answer:
e. -$835.
Explanation:
Cash Flow to Stockholders is the difference between dividend paid and net new common equity raised. The Company X has paid $150 as dividend. The additional capital raised is included in common stock amount. The difference between common stock account of 2017 and 2018 is additional paid in capital.
Cash flow to Stockholders = Dividend paid - (Common stock in 2017 - Common stock in 2018)
Cash Flow to Stockholder = $150 - ($5,460 - $4,475)
Cash Flow to Stockholder = -$835.
Answer:
Debit Cost of Goods Sold $500
Explanation:
When inventory is purchased, debit inventory and credit cash or accounts payable. When inventory is sold, credit inventory (with the cost of inventory sold) and debit cost of goods sold(p/l).
Further more, sales is recognized by crediting sales account and debiting cash or accounts receivables.
As such, if original cost of the merchandise to X-Mart was $500, entries required would include a credit to merchandise inventory $500 and Debit Cost of Goods Sold $500.
Answer:
Product cost: $
Variable production cost 5.00
Variable selling cost <u>2.00
</u>
Total variable cost 7.00
Total fixed cost <u>3.00</u>
Total cost 10.00
Desired profit <u> 8.00</u>
Selling price <u> 18.00</u>
Mark-up percentage on product cost
= <u>8</u> x 100
10
= 80%
Explanation:
In this case, we will divide the profit by the total cost in order to obtain the mark-up percentage on cost. The total cost equals $10 while the profit is $8. The division of profit by total cost multiplied by 100 gives the mark-up percentage on product cost.
