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Naddik [55]
3 years ago
6

Mountaineer Excavation operates in a low-lying area that is subject to heavy rains and flooding. Because of this, Mountaineer pu

rchases one year of flood insurance in advance on March 1, paying $36,000 ($3,000/month).
Required:
1. Recore the purchase of insurance in advance on March,1.
Business
1 answer:
Serjik [45]3 years ago
4 0

Explanation:

1. The journal entry is as follows:

On March 1

Prepaid insurance A/c Dr $36,000

       To Cash A/c $36,000

(Being the prepaid insurance is recorded for cash)

For recording the advance purchase of insurance, we debited the prepaid insurance and credited the cash account. Both the accounts are recorded at $36,000 so that the proper posting could be done.

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A company purchased a computer system at a cost of $25,000. The estimated useful life is 8 years, and the estimated residual val
FrozenT [24]

Answer:

$4,687.50

Explanation:

The computation of the depreciation expense of the second year using the double-declining method is shown below:

First we have to determine the depreciation rate which is given below:

= One ÷ useful life

= 1 ÷ 4

= 12.5%

Now the rate is double So, 25%

In year 1, the original cost is $25,000, so the depreciation is $6,250 after applying the 25% depreciation rate

And, in year 2, the ($25,000 - $6,250) × 25% = $4,687.50

5 0
3 years ago
The manager of a local grocery store introduces a short conveyor belt that allows customers to place items on it prior to checki
goblinko [34]

This change is an example of the <u>"Ergonomic"</u> approach to job design.


"Job design" alludes to the way that an arrangement of assignments, or a whole job, is composed. Job design decides:  

What tasks are finished.  

How the tasks are finished.  

What number of tasks are finished.  

In what arrange the tasks are finished.  

A well designed job will energize an assortment of 'good' body positions, have sensible quality necessities, require a sensible measure of mental movement, and help cultivate sentiments of accomplishment and confidence.  

Ergonomics is the art of coordinating the job to the laborer and the item to the client.

4 0
3 years ago
Read 2 more answers
The entry to record the distribution of the stock dividend would include
Iteru [2.4K]

The correct answer is B. A debit to common stock distributed.

<em>The entry will be stock dividends debit, paid-in capital which is in excess per common credit stock, stock dividends which are being distributed.</em>

In credit entry it records distribution and declaration of stock dividend which includes the debit to the retained earnings and also a credit to the common stock.

4 0
4 years ago
The loan amount (principal) is $50,000 and the annual interest paid is $5,500. What is the annual interest rate
Mumz [18]

Answer:

The interest rate is 11%

Explanation:

The loan amount = $50000

Interest amount = $5500

Since the annual interest amount and the principal amount is given so we have to find the interest rate by using the given information. Below is the formula to find the interest rate.

Let the interest rate = x

Principal × interest rate = Interest amount

$50000 × r = $5500

r  = $5500 / $50000

r = 0.11 or 11%

The interest rate is 11%

5 0
3 years ago
Watson Company applies overhead on the basis of machine hours. Given the following data, compute the amount of overhead applied
Dmitriy789 [7]

Answer:

A: $1,475,000

Explanation:

The computation of the overhead applied is shown below:

But before that first determine the predetermined overhead rate which is

= Estimated annual overhead cost ÷ Estimated machine hours

= $1,500,000 ÷ 300,000

= $5

Now the applied overhead is

= Predetermined overhead rate × Actual machine hours

= $5 × 295,000

= $1,475,000

6 0
3 years ago
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