Answer:
Journal Entries
Dr. Cr.
Sale of Merchandise
a. Account Receivable $4,240
Sales $4,000
Sales Tax Payable $240
Cost of Goods Sold $2,360
Merchandise Inventory $2,360
b. Payment of Sales Tax
Sales tax Payable $42,110
Cash $42,110
Explanation:
Sales of Merchandise increase the account receivable and tax liability as well. Inventory has been reduced by the cost of merchandise.
Tax is paid and sales tax liability is reduced along with cash.
Answer:
Unit sales level multiplied by a constant unit contribution margin.
Explanation:
The change in period-to-period operating income when using variable costing can be explained by the change in the Unit sales level multiplied by a constant unit contribution margin.
Hope this helps!
Answer:
<u>Diesel Additives Company</u>
<u>Current Assets section</u>
Materials inventory 26,800
Work in process inventory 61,100
Finished goods inventory 89,400
Supplies 13,800
Prepaid insurance 9,000
Accounts receivable 348,200
Cash 167,500
Total Current Assets 715,800
Explanation:
Current Assets section of Diesel Additives Company's balance sheet at August 31 is shown above.
Answer:
NPV = $ 3,969,921.84
IRR = 23.94%
Explanation:
As the values are not given so i searched and found a similar question. i am using those values.
using formulas:
Cash Flows = Net Income + Depreciation + Investment + NWC + After-tax Salvage value
NPV = NPV(rate, CF1...CF5) - CF0
IRR = IRR(values)
It requires a table for it to be solved easily and efficiently so i am putting a screen shot of a word file on which i have solved the question. the question and its values are also given in screenshots.
Explanation:
pause and take a deep breath
