Note that common work styles are listed toward the top, and less common work styles are listed toward the bottom.

Assume that on July 1, 2018, Togo's Sandwiches issues a $2.97 million, one-year note. Interest is payable at maturity.

allsm [11]

Answer:

7% interest at Cec-31 for 6 months:

Dr Interest expense(7%*$2,970,000*6/12) $ 103,950

Cr Interest payable $103,950

9% interest at Sept 30 for 3 months:

Dr Interest expense(9%*$2,970,000*3/12) $66,825

Cr Interest payable $66,825

6% interest at Oct 31 for 4 months:

Dr Interest expense(6%*$2,970,000*4/12) $ 59,400

Cr Interest payable $59,400

8% interest at Jan 31 for 7 months:

Dr Interest expense(8%*$2,970,000*7/12) $138,600

Cr Interest payable $ 138,600

Explanation:

The rationale for debiting interest expense is that is an expense account and increase in expense is normally debited to expense account while interest payable account is credited as the interest obligations are yet discharged by a way of paying cash to investors

5 0

3 years ago

Which is the During the last stage of the purchase decision process, known as ________, a consumer compares a purchased product

Sergio039 [100]

Answer:

Post-purchase behavior

Explanation:

For both the questions the answer is same post purchase behavior. After consumer buy the product, he starts to compare the product to his expectations. And also the last stage of purchase decision is post purchase behavior. In this stage customer experience the product and starts to compare with his expectations. If it fulfill his expectations then he will buy it again otherwise he will switch to some other product.

6 0

3 years ago

Read 2 more answers

Pierce Corporation exchanged old equipment for new equipment. The original cost of the old equipment was $120,000, and its accum

ololo11 [35]

Answer:

new equipment 50,000 debit

accumulated depreciation 40,000 debit

loss at disposal: 30,000 debit

old equipment 120,000 credit

--to record trade of equipment--

Explanation:

Let's break the transactions into small parts:

We need to remove the old equipment from accounting along with their accumulated depreciation so:

accumulated depreciation 40,000 debit

old equipment 120,000 credit

Then, we debit the new equipment at fair value:

new equipment 50,000 debit

Last, assuming the trade has commercial substance: we recognize the gain or loss on sale:

book value of traded equipment: 80,000

fair value of new equipment: 50,000

loss at disposal: 30,000

<u>Thus, the journal entry will be as follows:</u>

new equipment 50,000 debit

accumulated depreciation 40,000 debit

loss at disposal: 30,000 debit

old equipment 120,000 credit

4 0

3 years ago

A private not-for-profit entity receives three large cash donations: One gift of $75,000 is restricted by the donor so that it c

kupik [55]

Answer:

$310,000

Explanation:

Calculation to determine the increase in the current year in net assets with donor restrictions

Using this formula

Net assets current year Increase=Restricted gift by donor+Restricted gift to pay salary+Restricted gift withheld+Unspent income earned

Let plug in the formula

Net assets current year Increase=$75,000+$95,000+$125,000+$15,000

Net assets current year Increase=$310,000

Therefore the increase in the current year in net assets with donor restrictions will be $310,000

8 0

2 years ago

To guide cost allocation decisions, the ability to bear criterion ________.

hoa [83]

Answer:

the answer is D

Explanation:

Disagree. Cost accounting data plays a key role in many management planning and control decisions. The division president will be able to make better operating and strategy decisions by being involved in key decisions about cost pools and cost allocation bases. Such an understanding, for example, can help the division president evaluate the profitability of different customers The salary of a plant security guard would be a direct cost when the cost object is the security department of the plant. It would be an indirect cost when the cost object is a product. Exhibit 14-1 outlines four purposes for allocating costs:

1. To provide information for economic decisions.

2. To motivate managers and employees.

3. To justify costs or compute reimbursement.

4. To measure income and assets for reporting to external parties.

Exhibit 14-2 lists four criteria used to guide cost allocation decisions:

1. Cause and effect.

2. Benefits received.

3. Fairness or equity.

Ability to bear. The cause-and-effect criterion and the benefits-received criterion are the dominant criteria when the purpose of the allocation is related to the economic decision purpose or the motivation purpose. Using the levels approach introduced in Chapter 7, the salesvolume variance is a Level 2 variance. By sequencing through Level 3 (salesmix and salesquantity variances) and then Level 4 (marketsize and marketshare variances), managers can gain insight into the causes of a specific sales-volume variance caused by changes in the mix and quantity of the products sold as well as changes in market size and market share. The total salesmix variance arises from differences in the budgeted contribution margin of the actual and budgeted sales mix. The composite unit concept enables the effect of individual product changes to be summarized in a single intuitive number by using weights based on the mix of individual units in the actual and budgeted mix of products sold. A favorable salesquantity variance arises because the actual units of all products sold exceed the budgeted units of all products sold. The salesquantity variance can be decomposed into (a) a marketsize variance (because the actual total market size in units is different from the budgeted market size in units), and (b) a market share variance (because the actual market share of a company is different from the budgeted market share of a company). Both variances use the budgeted average contribution margin per unit.

8 0

3 years ago