1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
ikadub [295]
2 years ago
12

Zenith Consulting Co. has the following accounts in its ledger: Cash; Accounts Receivable; Supplies; Office Equipment; Accounts

Payable; Common Stock; Retained Earnings; Dividends; Fees Earned; Rent Expense; Advertising Expense; Utilities Expense; Miscellaneous Expense.
Transactions
Mar.1 Paid rent for the month, $4,000.
3 Paid advertising expense, $1,350.
5 Paid cash for supplies, $1,800.
6 Purchased office equipment on account, $11,500.
10 Received cash from customers on account, $8,600.
15 Paid creditor on account, $3,180.
27 Paid cash for miscellaneous expenses, $700.
30 Paid telephone bill for the month, $550.
31 Fees earned and billed to customers for the month, $37,200.
31 Paid electricity bill for the month, $830.
31 Paid dividends, $2,000.
Journalize the preceding selected transactions for March 2018 in a two-column journal. Refer to the Chart of Accounts for exact wording of account titles.
CHART OF ACCOUNTS
Zenith Consulting Co.
General Ledger
ASSETS
11 Cash
12 Accounts Receivable
13 Supplies
14 Office Equipment
LIABILITIES
21 Accounts Payable
EQUITY
31 Common Stock
32 Retained Earnings
33 Dividends
REVENUE
41 Fees Earned
EXPENSES
51 Rent Expense
52 Advertising Expense
53 Utilities Expense
54 Miscellaneous Expense
Business
1 answer:
omeli [17]2 years ago
7 0

Answer:

Date        Account Title and Explanation     Debit       Credit

Mar-01     Rent expenses                               $4,000

                     Cash                                                          $4,000

               (To record payment of rent for the month)

Mar-03    Advertising expenses                    $1,350

                      Cash                                                         $1,350

                (To record payment advertising expenses for the month)  

Mar-05     Supplies                                         $1,800

                       Cash                                                          $1,800

                 (To record payment for supplies)  

Mar-06     Office equipment                           $11,500  

                        Accounts payable                                   $11,500

                 (To record purchase of office equipment on account)  

Mar-10      Cash                                              $8,600

                        Accounts receivable                              $8,600

                (To record cash receipt from customers on account)  

Mar-15       Accounts payable                        $3,180  

                         Cash                                                        $3,180

                (To record payment to creditors on account)

Mar-27      Misc. expenses                             $700

                        Cash                                                         $700

                 (To record payment for misc. expenses)

Mar-30      Utilities expenses                         $550

                        Cash                                                          $550

               (To record payment for telephone expenses for the month)  

Mar-31       Accounts receivable                    $37,200  

                        Fees earned                                             $37,200

               (To record fee earned and billed to customer for the month)  

Mar-31       Utilities expenses                         $830

                         Cash                                                          $830

                (To record payment for electricity bill for the month)  

Mar-31      Dividends                                         $2,000  

                         Cash                                                           $2,000

                (To record payment of dividends)  

You might be interested in
What do you prefer Aldi or Lidl? and why?​
Jlenok [28]
Aldi!!! Personal preference due to the organization.
4 0
2 years ago
Calla Company produces skateboards that sell for $56 per unit. The company currently has the capacity to produce 95,000 skateboa
Tema [17]

Answer:

Calla Company

Three-column comparative Income Statement:

                                                  Normal         Special order       Total

Sales Revenue                       $4,580,800         $673,200     $5,254,000

Cost of sales:

Direct materials                      $ 981,600           $158,400       $1,140,000

Direct labor                                613,500              99,000            712,500

Overhead                                  954,000              76,973         1,030,973

Selling expenses                      558,000               84,151             642,151

Administrative expenses          477,000                  890            477,890

Total costs and expenses  $ 3,584,100           $419,414      $4,003,514

Net income                           $ 996,700         $ 253,786     $1,250,486

Explanation:

a) Data and Calculations:

Annual production capacity = 95,000 units

Actual annual production and sales = 81,800 units

Special order (units) = 13,200

Selling price (normal) = $56 per unit

Special order selling price = $51 per unit

Direct materials                      $ 981,600

Direct labor                                613,500

Overhead                                  954,000

Selling expenses                      558,000

Administrative expenses          477,000

Total costs and expenses  $ 3,584,100

Three-column comparative Income Statement:

                                                  Normal         Special order       Total

Sales volume                             81,800                  13,200         95,000

Selling price                                $56                     $51    

Sales Revenue                       $4,580,800         $673,200     $5,254,000

Cost of sales:

Direct materials                      $ 981,600           $158,400       $1,140,000

Direct labor                                613,500              99,000            712,500

Overhead                                  954,000              76,973         1,030,973

Selling expenses                      558,000               84,151             642,151

Administrative expenses          477,000                  890            477,890

Total costs and expenses  $ 3,584,100           $419,414      $4,003,514

Net income                           $ 996,700         $ 253,786     $1,250,486

1. Direct materials cost per unit = $981,600/81,800 = $12

2. Direct labor cost per unit = $613,500/81,800 = $7.50

3. Variable Overhead cost = $954,000/2 = $477,000

Variable overhead cost per unit = $477,000/81,800 = $5.83129

4. Variable selling expenses = 70% of $558,000 = $390,600

Variable selling expenses per unit = $390,600/81,800 = $4.77506

Additional selling expense per unit = $6.37506 ($4.77506 + $1.60)

Selling expense for special order = 84,151($6.37506 * 13,200)

5. Administrative expenses increased by $890

8 0
3 years ago
Your company is considering purchasing a machine for $270,000. This machine will bring revenues of $100,000 in the second year,
kumpel [21]

Answer:

Yes we should go with this project because it has a positive NPV of $4,350

Explanation:

We need to calculate the net present value of the machine to decide whether to invest in the machine or not.

As per Given Data

Costs $270,000

Cash Inflows

Year 2      $100,000

Year 3      $150,000

Year 4      $75,000

Interest Rate = 6%

Net Present Value

As we know Net Present value is calculated by discounting each years cash flows using using the Weighted Average cost of Capital.

Year       Cash Inflows    Discount factor 13%  Present values

Year 0      $(270,000)     (1+6%)^-0                 $(270,000)

Year 2      $100,000        (1+6%)^-2                 $89,000

Year 3      $150,000        (1+6%)^-3                 $125,943

Year 4      $75,000          (1+6%)^-4                 <u>$59,407  </u>

Net present value                                            <u>$4,350   </u>

7 0
3 years ago
Allison's Auto Art is a company that applios pinstripes to vehicles. Allison's cost for a basic 1 -color pinstriping job is $35,
valkas [14]

Answer:

C. yes, she still makes a profit by selling the 3-color application.

Explanation:

As for the information provided,

Cost for 1 color pin striping job = $35

Cost for three color pin striping job accordingly = $35 \times 3 = $105

Price charged for pin striping is as follows:

For 1 color = $95

For 3 colors = $175

Even on 3 color striping there is a profit of $70, thus, it should be sold.

As there is no loss, although the profit margin is decreased as a percentage of cost when compare to margin on 1 color pin striping.

Thus, correct option is Statement C.  

3 0
3 years ago
On late-night TV, you see an infomercial claiming that the price of the product has been slashed for a special offer and now inc
SSSSS [86.1K]
The answer is that’s-not-all
3 0
3 years ago
Other questions:
  • True or False: Risk is a work value that would fit a police officer.
    8·2 answers
  • Happy Helpers Maid Service is calculating its standard direct labor rate. The direct labor rate is $12 per hour. Happy Helpers i
    14·1 answer
  • You have $7,500 to deposit. Regency Bank offers 15 percent per year compounded monthly (1.25 percent per month), while King Bank
    11·1 answer
  • Younger employees also are more likely to use the Internet and social media to accomplish their tasks. This is an example of the
    8·1 answer
  • Assume that the interest rate is 4% compounded monthly. Roy buys 100 shares of Moogle company, at the market price of $30 per sh
    9·1 answer
  • The number of units expected to be sold is uniformly distributed between 300 and 500. If r is a random number between 0 and 1, t
    9·1 answer
  • _____________ are a form of financial instrument through which corporations and governments borrow money from financial investor
    6·1 answer
  • MC Qu. 97 Bioclean Co. sells a biodegradable... Bioclean Co., a merchandiser, sells a biodegradable cleaning product and has pre
    9·1 answer
  • Indicate whether each of the following transactions represents an increase in net exports, a decrease in net exports, an increas
    11·1 answer
  • Please help economics
    13·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!