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3 years ago

Revenue is reported on the income statement in the period earned. The accounting concept supporting this reporting is

1 answer:

4 0

The right answer for the question that is being asked and shown above is that: "c. the revenue recognition principle. " Revenue is reported on the income statement in the period earned. The accounting concept supporting this reporting is <span>the revenue recognition principle. </span>

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The computation of the alternative minimum tax base begins with regular taxable income. Which of the following is not part of th

klemol [59]

Answer:

A. Subtract state income taxes paid.

7 0

3 years ago

Journal entry for purchased goods from ABC Co. for Rs. 11,000.

vladimir1956 [14]

Answer:

purchase A/c. Dr. Rs.11,000

To ABC CO.A/c. Rs.11,000

(being goods purchased in cash)

3 0

2 years ago

The Can Division of Vaughn Manufacturing manufactures and sells tin cans externally for $1.20 per can. Its unit variable costs a

Nastasia [14]

Answer:

Minimum transfer price = $1.17

Explanation:

The Can Division is operating at full capacity, hence it has no excess capacity .

This implies that it can not produce enough to meet both the internal and external buyers.

Since Division X can not accommodate the demands of the Packaging Division at a price lower than the external price, because it will result to a loss in contribution.

To maximize and optimize the group profit

Minimum transfer price = External selling price - savings in internal transfer cost

= $1.20 - 0.03 = $1.17

Minimum transfer price = $1.17

5 0

3 years ago

During 2020, Vaughn Furniture Company purchases a carload of wicker chairs. The manufacturer sells the chairs to Vaughn for a lu

Vlad [161]

Answer:Gross profit realized during 2020 =$30,899

amount of inventory of unsold straight chairs on December 31, 2020 =$63,800

Explanation:

A)Vaughn Furniture Company purchases a carload of wicker chairs at a cost of a lump sum of $131,670 in 2020

Now the total number of chairs purchased per type is;

Lounge chairs 880

Armchairs 660

Straight chairs 1,540

Total = 3,080 chairs purchased

Also, Vaughn sells

440 Lounge chairs at $90 each = 440 x 90=$39,600

220 Armchairs at $80 each= 220 x 80 =$ 17600

264 Straight chairs at $50 each = 264 x 50 =$13,200

Total selling price of 924 chairs =$39,600+$ 17600+$13,200 =$70,400

Now , if 3,080 chairs can be purchased for a-lump sum amount of $131,670

924 chairs can be puchased in a lump sum of (924 x 131,670) /3080

=$39,501

Remember that the Selling price for 924 chairs =$70,400

Gross profit realized during 2020 = $70,400 -$39,501=$30,899

b).

Estimated Selling Price value for straight chair =$50

Straight chairs remaining= 1540-264=1276

1276 at $50 each = 1276 X 50 =$63,800

6 0

2 years ago

On January 1, 20X8, Potter Corporation acquired 90 percent of Shoemaker Company’s voting stock, at underlying book value. The fa

VikaD [51]

Answer:

$138,000

Explanation:

Subsidiary is a company which is controlled by its parent. Potter Corporation acquired 90% stock in Shoemaker Company. The non controlling interest is 10% in Shoemaker Company. The company made a profit of $1,380,000. The 90% share will be allocated to the parent company and only 10% share will be allocated to the Non Controlling Interest.

6 0

3 years ago