Answer:
Cost of goods sold is $7,700
Gross Profit is $2,300
Explanation:
Cost of goods sold is Cost of goods available for sale less ending merchandise inventory. Ending merchandise understated by $300 means ending merchandise was accounted $300 less. So, $300 need to be added to ending merchandise. No ending merchandise is $2,300 (2,000 + 300)
Cost of goods sold will be 10,000 - 2,300 = $7,700
Gross profit is sales revenue less cost of goods sold which is computed as shown below:
Gross profit = 10,000 - 7,700
= $2,300
Answer:
$1,300
Explanation:
Given that,
On November 15, 2021
sold gift cards = $1,950
Of the gift cards sold in November,
Redeemed in November = $195
Redeemed in December = $455
Therefore, the deferred revenue is as follows
= November sales - Redemptions
= November sales - (Redeemed in November + Redeemed in December)
= $1,950 - ($195 + $455)
= $1,950 - $650
= $1,300
Answer:
The correct options are:
A. Debit to Factory Overhead
D. Credit to Factory Utilities Payable
Explanation:
The debit entry of the use of utilities in a factory would be recorded in factory overhead since cost of utilities is a not a direct factory cost.
However, the corresponding credit would be in the factory utilities payable as an obligation awaiting payment to be made to the supplier of the service being enjoyed by the factory in order to run on daily basis
Whole life policies provide “guaranteed” cash value accounts that grow according to a formula the insurance company determines. Universal life policies accumulate cash value based on current interest rates. Variable life policies invest funds in subaccounts, which operate like mutual funds.
Answer:a.
It would increase by $500,000 multiplied by the reciprocal of the required reserve ratio.
Explanation:
A bank will often hold government securities as an asset. If a bank were to sell S500,000 in government securities to an individual who paid for the bond in cash and the bank placed this cash in its vault, by how much would the money supply change as a result - It would increase by $500,000 multiplied by the reciprocal of the required reserve ratio.
The money supply is the entire stock of currency and other liquid instruments circulating in a country's economy and is given by the formula:
MONEY SUPPLY = RESERVES X MONEY MULTIPLIER
Therefore the bank reserves increasing in the scenario will increase money supplier by the effect of the money multiplier or the reciprocal of the required reserve ratio.
