Answer:
a. Journalize the adjusting entry for the estimated customer allowances.
- Dr Sales returns and allowances 10,500
- Cr Customer refunds payable 10,500
The adjusting entry should = total sales x estimated percent of returns = $1,750,000 x 0.6% = $10,500
b. Journalize the adjusting entry for the estimated customer returns.
- Dr Estimated returns inventory 8,000
- Cr Cost of merchandise sold 8,000
This amount is given in the question, $8,000, so you need to record it as a decrease in COGS and an increase in returns inventory.
Answer:
$100,340
Explanation:
<em>The amount of cost recorded in the asset account would be:</em>
List price $93,000
Less: Discount ($93,000*2%) $1,860
Add: Freight $3,800
Add: Installation&Testing <u>$5,400 </u>
Cost of the machine <u>$100,340</u>
Note: Insurance cost is not included in the cost of the machine
4320 . this prob would have been answered faster under the mathmatics topic
Answer: will be above the coupon rate
Explanation:
The Coupon rate is a fixed rate that a bond issuer pays to it's bond holders. The <em>Current Yield</em> however is calculated by dividing the Coupon payment by the Price of the bond.
When Market interest rises above the Coupon Rate, the price of the bond decreases in the market and vice versa.
Because the price of the bond is now less and it is the divisor of the Coupon rate to get the Yield, it will give a higher percentage which will be more than the Coupon rate.