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amid [387]
3 years ago
5

On April 1, Otisco, Inc. paid Garcia Publishing Company $1,548 for 36-month subscriptions to several different magazines. Otisco

debited the prepayment to a Prepaid Subscriptions account, and the subscriptions started immediately. What adjusting entry should be made by Otisco, Inc. for the adjustment on December 31 of the first year assuming the company is using a calendar-year reporting period and no previous adjustments had been made?
Business
1 answer:
SSSSS [86.1K]3 years ago
4 0

Answer:

advertizing expense 387 debit

    prepaid expense       387 credit

--to record expired advertizing at year-end ---

Explanation:

1,548 is the value of 36 months

from April to December 31th 9 months has expired thus:

1,548 x 9/36 = 387 expired advertizing

we will decrease our prepaid and post the advertizing expense for the expired amount

the prepaid is considered an asset as we have the right to receive advertize of our product and brand for the term of the contract thus, to decrease it we credit

the expense as decrease our equity will be debited

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lawyer [7]

Answer:

E $4.00

Explanation:

Calculation of the approximate overhead cost per unit of Product B2 under activity-based costing.

Calulation of the Activity 1 allocated to Product B2 line:

$48,000 × 4,800/6,000 = $38,400

Calculation of the Activity 2 allocated to Product B2 line:

$63,000 × 4,760/7,000 = $42,840

Calculation of the Activity 3 allocated to Product B2 line:

$80,000 × 800/8,000 = $8,000

Hence the Total overhead allocated to Product B2 will be :

$38,400+$42,840+$8,000

= $89,240

The Overhead per unit of Product B2 will be :

$89,240/22,310

= $4.00

Therefore the approximate overhead cost per unit of Product B2 under activity-based costing will be $4.00

4 0
3 years ago
A company recently announced that it would be going public. The usual suspects, Morgan Stanley, JPMorgan Chase, and Goldman Sach
Deffense [45]

Answer:

$42.5 billion

Explanation:

the expected value formula = ∑ (valueₙ x probabilityₙ)

expected value = (low value x probability of low value) + (most likely value x probability of most likely value) + (high value x probability of high value)

= ($5 billion x 20%) + ($45 billion x 70%) + ($100 billion x 10%) = $1 billion + $31.5 billion + $10 billion = $42.5 billion

8 0
3 years ago
Summer lay-by and christmas were two occasions in which ______ could look forward to for recreation and relaxation.
Pie
<span>Summer lay-by and Christmas were two occasions in which slaves could look forward to for recreation and relaxation.</span>
4 0
3 years ago
One bag of oranges is sold for $6.00 to a company that turns them into juice which is sold to consumers for $12.00. Another bag
Sedaia [141]

Answer:

19 is added to the gdp

Explanation:

6 (bag of oranges) + 6(bag of oranges) + (12-6)(juice) + (7-6)(bag of oranges) = 19 is added to the gdp

In this case I'm using the income approach to calculate GDP, which includes the income earned by wages to labor (not present), rent by land (you may say that the original bag of oranges), the return on capital (interest, not present),and  entrepreneur’s profits (juice and grocery store)

6 0
3 years ago
Most stock exchanges today use electronic trading
n200080 [17]
True

(Not sure what was the question about but I’m guessing it’s a true/false?)

hope this helps :)
4 0
3 years ago
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