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faltersainse [42]
3 years ago
12

On February 12, Quality Carpet Inc., a carpet wholesaler, issued for cash 1,000,000 shares of no-par common stock (with a stated

value of $0.25) at $1.20, and on August 3, it issued for cash 10,000 shares of preferred stock, $15 par at $21.Required:A. Journalize the entries for February 12 and August 3, assuming that the common stock is to be credited with the stated value. Refer to the Chart of Accounts for exact wording of account titles.B. What is the total amount invested (total paid-in capital) by all stockholders as of August 3?
Business
1 answer:
Diano4ka-milaya [45]3 years ago
8 0

Answer:

B. The invested amount is $1,410,000

Explanation:

A. The journal entry is shown below:

For February 12:

Cash A/c Dr (1,000,000 shares × $1.20) = $1,200,000

   To Common stock  (1,000,000 shares × $0.25) = $250,000

    To Paid in capital in excess of par                         $950,000

(Being common stock is issued for cash)

For August 3:

Cash A/c Dr (10,000 shares × $21) = $210,000

   To Preference stock  (10,000 shares × $15) = $150,000

    To Paid in capital in excess of par                   $60,000

(Being preference stock is issued for cash)

B. The computation of the total amount invested is shown below:

Common stock = $250,000

Add: Preferred stock = $150,000

Add: Additional paid up capital of common stock = $950,000

Add: Additional paid up capital of Preference stock =  $60,000

So, the invested amount is $1,410,000

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Answer:

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6 0
3 years ago
A company must decide between scrapping or reworking units that do not pass inspection. The company has 16,000 defective units t
lutik1710 [3]

Answer:

It is more profitable to sell the units for scrap.

Explanation:

Giving the following information:

Defective units= 16,000 units

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The cost of 16,000 units produced is a sunk cost, therefore, it shouldn't be a part of the decision making.

Sell as it is:

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Total income= $88,000

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It is more profitable to sell the units for scrap.

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3 years ago
If no page number or paragraph number is available when directly quoting from an electronic source, then the heading or section
pishuonlain [190]

Answer:

a. True

Explanation:

Plagiarism can be defined as the act of representing or using an author's work, ideas, thoughts, language, or expressions without their consent, acknowledgement or authorization.

This ultimately implies that, plagiarism is an illegal act of presenting another author's intellectual work or copyrighted items by using their ideas, thoughts, language or expressions, word for word without authorization or permission from the original author.

The four (4) common types of plagiarism are;

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6 0
3 years ago
A cylindrical part of diameter d is loaded by an axial force p. this causes a stress of pya, where a 5 pd2y4. if the load is kno
raketka [301]

Here is the correct question.

A cylindrical part of diameter d is loaded by an axial force p. this causes a stress of P/A, where A= πd²/4. if the load is known with an uncertainty of ±10 percent, the diameter is known within ±5 percent (tolerances), and the stress that causes failure (strength) is known within ±15 percent, determine the minimum design factor that will guarantee that the part will not fail.

Answer:

the minimum design factor that will guarantee that the part will not fail. = 1.434

Explanation:

Looking at the uncertainty; loss of strength must be raised to \dfrac{1}{0.85} due to the stress that causes the failure (strength)  is known within ±15% uncertainty.

Looking at the uncertainty; the maximum allowable load  must be reduced to \dfrac{1}{1.1} because the load is known with an uncertainty of ±10.

Looking at the uncertainty; the diameter must be raised to \dfrac{1}{0.95}  because the diameter is known within an uncertainty of ±5.

The decrease in the maximum allowable stress can be estimated as:

\sigma' = \dfrac{P'}{A'}

where,

\sigma = stress

P = load

A = cross-sectional area of the cylinder

∴

\sigma' = \dfrac{P'}{\dfrac{\pi}{4}(d')^2}

replacing P' with \dfrac{1}{1.1}P   and d' with \dfrac{1}{0.95}d, we have:

\sigma' = \dfrac{(\dfrac{1}{1.1})\times p }{\dfrac{\pi}{4}(\dfrac{1}{0.95 } d)^2 }

\sigma' =\dfrac{P}{\dfrac{\pi}{4}d^2} (\dfrac{\dfrac{1}{1.1} }{(\dfrac{1}{0.95})^2 }) }

\sigma' =\sigma \times (\dfrac{\dfrac{1}{1.1} }{(\dfrac{1}{0.95})^2 }) }

\sigma' =\sigma \times 0.82045

\dfrac{\sigma' }{\sigma } =0.82045

Thus, the uncertainty in diameter and the load of the allowable stress needs to decrease to 0.82045

Now, the minimum design factor that will ascertain that the part will not fail can be computed as:

n_d = \dfrac{loss  \ of  \ function \  parameter }{maximum \  allowable \ parameter}

where;

the design factor = n_d

n_d =\dfrac{\dfrac{1}{0.85} }{0.82045}

the design factor  n_d = 1.434.

Thus,  the minimum design factor that will guarantee that the part will not fail. = 1.434

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