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geniusboy [140]
3 years ago
9

Described below are certain transactions of Crane Company for 2021:

Business
1 answer:
zmey [24]3 years ago
5 0

Answer and Explanation:

a. The journal entries are shown below:

On May 10

Merchandise inventory Dr  $75,924   ($76,800 × 0.98)

         To Account payable $75,924

(Being merchandise inventory is purchased on account)

For recording this we debited the merchandise inventory as it increased the assets and credited the account payable as it also increased the liabilities

On May 18

Account payable Dr

        To Cash

(Being the cash paid is recorded)

For recording this we debited the account payable as it decreased the liabilities and credited the cash as it reduced the assets

2. On June 1

Equipment Dr $94,800

          To cash Dr $33,600

          To 9% Note payable $61,200

(Being the equipment is purchased on cash and note payable)

For recording this we debited the equipment as it increased the assets and credited the account payable and cash as it also increased the liabilities and reduced the assets

3. On Sep 30

Cash Dr $180,000

   Discount on note payable $20,000

                   To Note payable $200,000

(Being the interest bearing note is recorded)

For recording this we debited the cash as it increased the assets and credited the note payable as it also increased the liabilities and the difference is debited to note payable

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NikAS [45]

Calculate total variable cost by multiplying the cost to make one unit of your product by the number of products you've developed. For example, if it costs $60 to make one unit of your product, and you've made 20 units, your total variable cost is $60 x 20, or $1,200.

Hope this helps have a great day :)

6 0
3 years ago
Darlene Company had checks outstanding totaling $5,400 on its June bank reconciliation. In July, Darlene Company issued checks t
Pie

Answer:

b. $18,000

Explanation:

The computation of outstanding checks is shown below:-

Outstanding checks as of the end of July = Start with outstanding checks as of June + Amount of checks issued in July - Amount of checks that cleared in July

= $5,400 + $38,900 - $26,300

= $44,300 - $26,300

= $18,000

Note, The $300 check was issued by a customer, not Darlene.

So, for computing the outstanding checks as of the end of July we simply applied the above formula.

4 0
3 years ago
2. Ernesto purchased a used car for $6800. He paid 64% sales tax. How much tax did he pay?​
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3 years ago
If you sell all of the capacity on a production line, inventory from that line is sold at:
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Had to look for the options and here is my answer.
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