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faltersainse [42]
3 years ago
14

In February, X City ordered $550,000 of supplies. On March 17th it received all of the ordered supplies and an invoice of $551,0

00. Which of the following would be recorded upon receipt of the supplies and invoice?
A. Debit Budgetary Fund Balance -- Reserve for Encumbrances for $551,000.
B. Debit Budgetary Fund Balance -- Reserve for Encumbrances for $550,000.
C. Debit Encumbrances Control for $551,000.
D. Debit Encumbrances Control for $550,000.
Business
1 answer:
Neporo4naja [7]3 years ago
4 0

Answer:

B. Debit Budgetary Fund Balance -- Reserve for Encumbrances for $550,000.

Explanation:

X City made an order for goods worth $550,000 and when the goods were received the invoice states $551,000. The company should indicate in the invoice the correct amount received and work with that.

Reserve for encumbrances is an account that contains funds that have been reserved for a particular purpose. In this case since the order was made in February, the funds of $550,000 would have been put in this account.

On receipt of the goods we debit Budgetary Fund Balance -- Reserve for Encumbrances for $550,000 (the correct value of goods received).

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The manager of a clothing store in the mall has hired five new employees for the summer. All of them have just graduated from hi
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Answer:

Theory X

Explanation:

It is correct to say that this manager is using the management approach known as theory X, which is a philosophy that says employees work only for the benefits they receive, and that they avoid job responsibilities, so management must be inflexible and follow the hierarchy of functions, with the manager being responsible for a high degree of supervision of the work and the responsibility of the employee for any error.

Theory X may not be ideal for the current administration, where the focus of organizations are people and the formation of a culture focused on innovation and collaboration.

5 0
2 years ago
If the percentage increase in the quantity supplied equals the percentage increase in the price, the supply:
Nadya [2.5K]

Answer: is unit elastic

Explanation:

If the percentage increase in the quantity supplied equals the percentage increase in the price, the supply will be said to be unit elastic.

In the unit elastic supply, it should be noted that supply responds perfectly to the changes in price. This simply means that there'll be an equal change between the price change and the quantity that is supplied.

8 0
2 years ago
on January 1, 2017, anodel, Inc. acquired a machine for 1,010,000. the estimated useful life of the asset is five years. residua
Licemer1 [7]

Answer:

Annual depreciation= $189,600

Explanation:

Giving the following information:

On January 1, 2017, anodel, Inc. acquired a machine for 1,010,000. the estimated useful life of the asset is five years. residual value at the end of five years is estimated to be 62000.

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= (1,010,000 - 62,000)/5= $189,600

6 0
3 years ago
A system of accounting for manufacturing operations that produces timely information about inventories and manufacturing costs p
sasho [114]

Answer:

The answer is cost accounting system.

Explanation:

Cost accounting is a tool that allows you to estimate the actual price of the products, which allows you to establish a profit margin for each unit sold. Depending on the activity of the company, several techniques are used such as production costing, process costing, standard costing, absorption costing, etc.

5 0
2 years ago
Target profit a.are when sales and costs are exactly equal. b.can be calculated by modifying the break-even equation. c.equals d
Irina-Kira [14]

Answer:

b. can be calculated by modifying the break-even equation.

Explanation:

As the name implies, target profit can be explained to be the certain amount a business enterprise or a business organisation targets to hit at the end of its sales or at the end of her business dealings.

It can be easily seen in a cash flow planning as it is once modified to approximate cash flow, and also used for revealing expected results to investors and lenders. In all that it is been used for, in the scenario above, it also can be calculated by modifying the break-even equation, and deriving more conservative budgeting packages in business development too.

Adjust the contribution margin per unit and units sold based on an expected sales promotion.

Alter the fixed cost total and the contribution margin per unit for the effects of outsourcing production.

Alter the contribution margin for the effects of changing to a just-in-time production system.

If there is continually a large unfavorable variance between the target and actual profit, it may be necessary to examine the system used to derive the target profit,

7 0
2 years ago
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