All categories

3 years ago

Kolander Company has the following accounts and balances at the end of the year:

Business

1 answer:

Mrac [35]3 years ago

4 0

Answer:

The correct answer is $ 49,000. (which is not in options)

Explanation:

This problem requires us to calculate value of retain earning at the end of the year. We know that assets = equity + liabilities and equity = common stock + retain earning. Following this rule we can easily calculate amount of retain earning. Detail Calculation is given below.

Asset

Accounts Receivable $30,000

Land $42,000

Investments $7,000

Building $59,000

Cash and Equivalents $80,000

Equipment $64,500

Supplies $6,000

Total Asset $288,500

Less

Liability

Notes Payable $59,000

Interest Payable $5,500

Income Taxes Payable $10,000

Accounts Payable $38,000

Total Liabilities $112,500

Less

Equity

Common Stock $127,000

Retain earning $ 49,000

You might be interested in

Place the steps to creating a budget in order:

bagirrra123 [75]

Answer:

1. Figure out your net income

2. Determine if you have enough income to cover all your expenses

3. make list of variable expense

4. make list of fixed expenses

5. adjust expense

done !

4 0

3 years ago

During the first month of operations ended August 31, Kodiak Fridgeration Company manufactured 48,000 mini refrigerators, of whi

Anvisha [2.4K]

Answer:

Part a.

Income statement based on the absorption costing concept.

Sales $8,800,000.00

Less Cost of Sales

Beginning Inventory $0

Add Manufacturing Cost $6,048,000.00

Less Ending Inventory ($504,000.00) ($5,544,000.00)

Gross Profit $3,256,000.00

Less Expenses :

Selling and administrative expenses:

Variable $528,000.00

Fixed $352,000.00 ($880,000.00)

Net Income/(loss) $2,376,000.00

Part b.

Income statement based on the variable costing concept.

Sales $8,800,000.00

Less Cost of Sales

Beginning Inventory $0

Add Manufacturing Cost $5,520,000.00

Less Ending Inventory ($460,000.00) ($5,060,000.00)

Contribution $3,740,000.00

Less Expenses :

Fixed manufacturing cost $528,000.00

Selling and administrative expenses:

Variable $528,000.00

Fixed $352,000.00 ($1,408,000.00)

Net Income/(loss) $2,332,000.00

Part c.

Reason : Fixed Costs deferred in Ending Inventory in Absorption Costing has resulted in a higher Income.

Explanation:

<u>Units in Ending Inventory Calculation :</u>

Production 48,000

Less Sales (44,000)

Ending Inventory 4,000

Absorption Costing Calcs

<u>Variable Manufacturing Costs</u>

Direct materials $3,360,000.00

Direct labor $1,344,000.00

Variable manufacturing cost $816,000.00

Fixed manufacturing cost $528,000.00

Total $6,048,000.00

Ending Inventory = $6,048,000.00 × 4,000 / 48,000

= $504,000

Variable Costing Calcs

<u>Variable Manufacturing Costs</u>

Direct materials $3,360,000.00

Direct labor $1,344,000.00

Variable manufacturing cost $816,000.00

Total $5,520,000.00

Ending Inventory = $5,520,000.00 × 4,000 / 48,000

= $460,000

4 0

3 years ago

Global reserves of oil, gas, and coal are still abundant. <br> a. True <br> b. False

tiny-mole [99]

I think the answer must be True! Because the scientist are uncertain of how long the resources will be last. Hope it helped you! Have a great day! :)

3 0

3 years ago

If a corporation has only one class of stock, it is referred to as preferred stock. solitary stock. common stock. classless stoc

riadik2000 [5.3K]

Common stock

If a corporation has only one class of stock, it is referred to as Common stock.

<h3>What is a common stock?</h3>

A security that symbolizes ownership in a firm is called common stock.
Common stock owners choose the board of directors and cast ballots for corporate rules.
Long-term rates of return are often higher with this type of stock ownership.

<h3>What is the name of common stock?</h3>

ordinary share

The ownership of equity in a firm is represented by common stock, a category of securities.
There are several words that are equivalent to the term "common stock," such as "common share," "ordinary share," or "voting share."

<h3>The benefits of common stock</h3>

More so than bonds or cash, equity ownership offers the highest rate of return over the long term.
Long-term returns on common stocks have exceeded 6% real, making them one of the finest ways to beat inflation.

To learn more about common stock visit:

brainly.com/question/13762106

#SPJ4

8 0

2 years ago

Ithaca is considering a new $45,000 snowplow that will save the city $400 per day of use compared to the existing one. It should

Yuliya22 [10]

Answer:

a/ 20 days per year on average

b/ The use of road salt to is an effective deicer method. However, it will eventually causes some harmful impact on the environment including but not limited to increasing in water/soild salinity, contamination of public drinking waters, destroy the soild structure and slowly killing of trees and plants. Luckily, there are some other options which are more environment-friendly such as Cheese brine, Sand, Urea, Beet molasses

Explanation:

a/ To evaluate the investment of the new snowplow, denote X is the average amount of saving per a year as the new snowplow is used.

Consider the average amount of saving as an annuity for the next 12 years, with the discount rate of 14%. The present value (PV) = 45,000 - 2,500/1.14^(-12) =$44,481.1

Thus, to obtain the rate of return of 14%, PV of the annuity should be equals to $44,481.1 meaning: 44,481.1= (X/14%) x [ 1 - 1.14^(-12)] <=> X = $7858.44

As one day use would save Ithaca $400, to achieve the targeted saving of $7858.44, the city has to use the snowplow at least 20 days per year ( 7858.44/400)

5 0

3 years ago

Kolander Company has the following accounts and balances at the end of the​ year:

Kolander Company has the following accounts and balances at the end of the year: