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uysha [10]
3 years ago
5

At the beginning of 2021, Angel Corporation began offering a two-year warranty on its products. The warranty program was expecte

d to cost Angel 4% of net sales. Net sales made under warranty in 2021 were $180 million. Fifteen percent of the units sold were returned in 2021 and repaired or replaced at a cost of $5.3 million. The amount of warranty expense on Angel's 2021 income statement is:
Business
1 answer:
WINSTONCH [101]3 years ago
7 0

Answer:

$7.2 million

Explanation:

Given that

Net sales = $180 million

Cost of the warranty program  = 4%

The computation of the amount of warranty expense is given below:-

Amount of warranty expense = Net sales × Cost of the warranty program

= $180 million × 4%

= $7.2 million

Repairs cost less than the expected liability during the year and no extra expenditures are reported.

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Alice is an employee of Mid-State Realty Services. She would likely be required to do which of the following?
masha68 [24]

Answer:

The correct answer is B. Attend weekly staff meetings at the office.

Explanation:

Taking into account the nature of the organization (real estate sector), where sellers are assigned a quantity X of properties, they must usually account for their weekly activities. For which it is necessary to attend meetings held in order to assess trends, achievement of objectives, etc.

7 0
3 years ago
Problem 2-15 (Algorithmic) Life Insurance (LO 2.8) Sharon transfers to Russ a life insurance policy with a cash surrender value
skelet666 [1.2K]

Answer:

$38,440

Explanation:

Calculation to determine How much of the proceeds, if any, is taxable to Russ

Face value of policy $74,400

Less: Cash Surrender value ($24,800)

Less: Premium paid ($11,160)

Taxable Proceeds $38,440

Therefore the taxable Proceeds are $38,440.

6 0
3 years ago
The projected benefit obligation was $80 million at the beginning of the year. Service cost for the year was $10 million. At the
irinina [24]

Answer:

$87 million

Explanation:

The projected benefit obligation (PBO) is a measurement of the present amount of money needed by a company to cover future pension liabilities. PBO uses how long the employee will work and any increased future obligations to the employee's pension.

Given that:

PBO at the beginning of the year = $80 million

Service cost for the year =  $10 million

Interest =  Discount rate × PBO at beginning of the year = 5% × $80 million = 0.05 × $80 million = $4 million

Actuarial (gain) Loss = Amount paid - Expected money = $5 million - $4 million = $1 million

Benefits paid paid by trustees = $6 million

The total pension expense for the year = PBO at year beginning + Service cost + interest - Actuarial (gain) Loss - benefits = $80 million + $10 million + $4 million - $1 million - $6 million = $87 million

6 0
3 years ago
How is a Trial Balance used?
Sloan [31]

In order to create balance sheets and other financial accounts, trial balances are a crucial document for auditors. To identify any accounting problems, a trial balance is performed to ensure that the general ledger accounts' debit and credit column totals match.

<h3>What purpose does a trial balance serve?</h3>

Any mathematical mistakes that have occurred in a double entry accounting system can be found using a trial balance. There shouldn't be any arithmetic errors in the ledgers if the sum of the debits and credits equals the total of the trial balance.

<h3>What exactly does a trial balance contain?</h3>

It varies. A trial balance can be used by businesses to monitor their financial status, and they may create multiple different types of trial balances over the course of the fiscal year.  All of the significant accounting items, including as assets, liabilities, equity, revenues, expenses, gains, and losses, may be included in a trial balance.

To Know more about  trial balance

brainly.com/question/15059786

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3 0
1 year ago
Define the "Social Entrepreneurs" and state some examples of "Social Enterprise Obligations" that are important to you and why.
sashaice [31]

Social entrepreneurs is the term that is used to refer to the persons that have businesses that would serve them certain social objectives.

<h3>Who is an entrepreneur?</h3>

This is the term that is used to refer to the person that is a business owner. The entrepreneur is one that is able to open a business and follow up with its establishment for the sake of making profits and other forms of gains.

The social enterprise obligations that are important are fund raising activities, child rights and other forms of rights in the society. some others would be the empowerments for women in the society and other forms of environmental goals.

Read more on entrepreneurship here:brainly.com/question/22477690

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4 0
2 years ago
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