Answer:
a. true
Explanation:
The production, sales, and the financial objected of the company are predicted via applying the various independent budgets. Also these budget should become the portion of the master budget. The impact should be collated on the budgeted balance sheet, income statement, and the cash budget
Therefore the given statement is true
Answer:
See
Explanation:
Rahal's final balance in its allowance for uncollectible accounts at December 31, will be calculated as:
Step 1:
$404,400 × 1%
= $404,400 × 0.01
= $4,044
Step 2:
$2,100 - $2,340
= ($240)
Step 3:
$4,044 + ($240)
$3,804
Therefore, Rahal's final balance in its allowance for uncollectible accounts at December 31, 2021 is $3,804
Answer:
The $4,060,000 should be added to the net income under the operating activity.
Explanation:
Depreciation: It is the amount which shows a reduction in the value of the fixed assets due to tear and wear, obsolesce, usage, etc.
Operating activities: It includes those transactions which affect the working capital, and it records transactions of cash receipts and cash payments also.
Moreover, the depreciation amount should be added to the net income amount because depreciation is a non - cash expense.
So, $4,060,000 should be added to the net income under the operating activity.
Answer:
From all indications,it is very clear that the question requires a journal entry to record the unpaid interest.
Dr Interest expense $1125
Cr Interest payable $1125
Explanation:
This is a typical case of an omitted entry in the books of accounts,specifically it relates year-end close accounting adjustments.
Under the accrual basis, which is prevalent in the private sector,expenses are to recorded when incurred not when they are settled in cash,as result it is imperative that the above transaction needs be adjusted by debiting interest expense account and crediting same amount to interest payable account to affirm that the company has an obligation to $1125 to mortgage providers.
Answer:
$222,450
Explanation:
Computation of annual income statement for Kvass Inc. is shown below
Sales revenue
$4,887,000
Less:
Selling and admn expenses
($1,052,000)
Other expenses
($249,300)
Advertising and promotion expenses
($553,350)
Salaries and wages expenses
($2,527,800)
Income tax expenses
($167,350)
Interest expense
($114,750)
Net income
$222,450
