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Lina20 [59]
3 years ago
15

During the current year ending on December 31, BSP Company completed the following transactions:a.On January 1, purchased a pate

nt for $28,000 cash (estimated useful life, seven years).b.On January 1, purchased the assets (not detailed) of another business for $164,000 cash, including $10,000 for goodwill. The company assumed no liabilities. Goodwill has an indefinite life.c.On December 31, constructed a storage shed on land leased from D. Heald. The cost was $15,600. The company uses straight-line depreciation. The lease will expire in three years. (Amounts spent to enhance leased property are capitalized as intangible assets called Leasehold Improvements.)d.Total expenditures for ordinary repairs and maintenance were $5,500 during the current year.e.On December 31 of the current year, sold Machine A for $6,000 cash. Original cost was $25,000; accumulated depreciation to December 31 of the prior year was $16,000 (on a straight-line basis with a $5,000 residual value and five-year useful life).f.On December 31 of the current year, paid $5,000 for a complete reconditioning of Machine B acquired on January 1 of the prior year. Original cost, $31,000; accumulated depreciation to December 31 of the prior year was $1,600 (on a straight-line basis with a $7,000 residual value and 15-year useful life).Required:1.For each of these transactions, indicate the accounts, amounts, and effects (+ for increase and − for decrease) on the accounting equation. Use the following structure
Business
1 answer:
Mariana [72]3 years ago
5 0

Answer:

A. Patent = 28000 / 7 years = 4000

B. Goodwill = Indefinite life, so amortization is zero

C. Leasehold improvements = Construction is done on 31 December hence no depreciation for the current year

D. Ordinary repairs and maintenance = Revenue expenditure, so no depreciation

E. Machine A = Already recorded depreciation So no additional depredation as it is sold

F. Machine B (31000 - 7000) / 15 year = 1600

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Sémeuo is a German transnational food and beverage company. Recently, some of the products were rejected by the quality control
marin [14]

Answer:

D, a pareto diagram

Explanation:

The pareto diagram was named after the discoverer of the diagram/technique, Vilfredo Pareto. He used the diagram in his study of wealth and poverty in Europe in the 1900s.

The pareto diagram is a bar chart that ranks related events in decreasing other of occurrence. It contains both a bar and line graph. The individual events are recorded by the bar while the total event is recorded by the line graphs.

In the above question, for Clarissa to identify defects, she has to use Pareto diagram which will have the defects represented by the bar and the total production process by the line graph. This helps her to find out the stage in production where the defects started from and how much effect it has onn the production process.

Cheers.

4 0
3 years ago
The Southside Corporation budgeted 4,400 pounds of direct materials to make 2,600 units of product. The company actually used 4,
garik1379 [7]

Answer:

$3.75

Explanation:

As we already know that

Direct materials quantity variance = (Budged pounds of direct material  - Actual pounds of direct material) × Standard rate

$1,500 unfavorable  = (4,400 pounds - 4,800 pounds) × Standard rate

$1,500 unfavorable  = 400 × Standard rate

So, standard rate is

= $1,500 ÷ $400

= $3.75

We simply applied the above formula

5 0
3 years ago
Read 2 more answers
Using the income statement for Times Mirror and Glass Co., compute the following ratios:
Umnica [9.8K]

Answer:

(A) Interest coverage charge ratio= 6.21

(B) Fixed charge coverage = 2.84

(C) Profit margin ratio= 8.57%

(D) Total assets turnover= 1.55

(E) Return on assets= 13.26%

Explanation:

(A) The Interest coverage charge ratio can be calculated as follows= EBIT/Interest expense

= 45,300/7,300

= 6.21

(B) The fixed charge coverage can be calculated as follows

= income before fixed charge + interest/fixed charges + interest

= 45,300+13,300/7,300+13,300

= 58,600/20,600

= 2.84

(C) The profit margin ratio can be calculated as follows

= Net income/sales × 100

= 22,800/266,000 × 100

=0.0857 × 100

= 8.57%

(D) The total assets turnover can be calculated as follows

= Sales/total assets

= 266,000/172,000

= 1.55

(E) The return on assets can be calculated as follows

= Net income/Total assets × 100

= 22,800/172,000 × 100

= 0.13255×100

= 13.26%

8 0
3 years ago
Government's unfunded liabilities: a. result in more efficient policies in an attempt to satisfy these liabilities. b. result fr
Misha Larkins [42]

Answer:

The correct answer is B. result from the political bias toward immediate benefits and deferred costs.

Explanation:

While many people run hysterically on the streets begging politicians to act in the face of the threat of climate change, many people, young and old, may be demanding the same type of action, but to fix the unfunded passive systems.

By extending eligibility and increasing the benefits of a pay-per-use system while at the same time having fewer children to finance it, previous generations have left a fearsome financial obligation. Either taxes will increase dramatically for tomorrow's workers, lowering their standard of living, or benefits will fall for tomorrow's retirees, lowering their standard of living. A group will feel very angry.

These problems were anticipated even when politicians were raising payments, but each elected government simply kicked the can and allowed things to continue as usual.

 Social security systems and pension funds are actuarially not funded systems. There is no obligation for this generation to have children at the same rate as previous generations. Therefore, when those born in the 1950s reach retirement age in the next century, their stipends will feel more like a burden due to the ranks of non-active members of society that will depend on their contributions to live.

5 0
3 years ago
Is a stackelberg solution a Nash (stable) equilibrium? Explain. 2. Does the solution change if stackelberg game is considered in
e-lub [12.9K]

The Stackelberg solution can be used to find the perfect or stable Nash equilibrium or equilibria.

<h3>What is this equilibrium about?</h3>

Other answers:

Based on the above, Note that the strategy profile is one where one serves best each player, and based on the strategies of the other player and it covers the fact that all player playing in a Nash equilibrium must be in every subgame.

Note also that The Stackelberg leadership model is said to be a kind off strategic game  that is played in economics where the leader firm is known to moves first and then the follower firms is said to then move in a sequential manner and I think, the solution do not change if stackelberg game is considered in the long run.

I believe that the stackelberg leader will not collude with the stackelberg follower but in a lot of cases, there may be a collusion.

Yes, a Stackelberg leader can be more likely or less likely to merge with the follower firm as a merger can be profitable to them.

Learn more about equilibrium from

brainly.com/question/517289

#SPJ1

8 0
2 years ago
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