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2 years ago

Which source of funds refers to the money raised by corporations through stock markets

Business

1 answer:

liubo4ka [24]2 years ago

7 0

Answer:

Capital Funds/Equity Capital

Explanation:

A company can raise their overall capital by selling off parts of the company in the form of stocks in which then people become shareholders, most of the time called investors. This is know as Equity Funding.

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A short-term lease: Multiple Choice Must be accounted for by the short-cut method if using U.S. GAAP. Is defined as having a val

Sauron [17]

Answer: Not required to be accounted for by the short-cut method if using IFRS.

Explanation:

A Short term Lease is one where a person or entity is granted the legal use of a space for a small period of time which is a year or less.

In calculating this, the Sixteenth International Financial Reporting Standards, IFRS 16, states that a Short Term lease may be charged directly to a Profit and Loss account.

It does not approve the use of the Shortcut method which is a qualitative measure of analysis that is ONLY approved under the US Accounting system (GAAP) and even then is not widely used.

6 0

3 years ago

A company: purchased 100 units for $20 each on January 31, purchased 100 units for $30 on February 28, and sold 150 units for $4

igomit [66]

Answer:

Ending inventory as at 31 December = $1500

Explanation:

First-In-First-Out is a method of inventory valuation whereby the stock that comes in first, is used first. This is common for inventory consisting of perishables, such as vegetables where if not used/sold soon, it would be wasted.

Jan 31: Purchases = $20 x 100 units = $2000

Remaining inventory:

$20 x 100 units = $2000

Feb 28: Purchases = $30 x 100 units = $3000

Remaining inventory:

$20 x 100 units = $2000

$30 x 100 units = $3000

Sales = 150 units x $45:

$20 x 100 units = $2000

$30 x 50 units = $1500

Remaining inventory

200 - 150 = 50 units x $30 = $1500

Thus,

Cost of Goods Sold = $3500 ($2000 + $1500)

Ending inventory as at 31 December = $1500

3 0

3 years ago

Newman Finley wishes to become a millionaire. His money market fund has a balance of $296,375 and has a guaranteed interest rate

Rus_ich [418]

Answer:

Investment period = 24 years

Explanation:

The total amount that an investment made today would become if invested at a particular rate for certain number of years is known as the future value.

The $1,200,000 is the desired future value, the $296, 375 is the present value and the 6% is the interest rate.

FV = PV × (1+r)^n

1,200,000 = 296,375 × (1.06)^(n)

(1.06)^(n) = 1200000/96,375

(1.06)^(n) =4.048924504

find the log of both sides

n log 1.06= log 4.048924504

n= log 4.048924504/log 1.06

n = 24

It will take 24 years

3 0

3 years ago

A manager at jcpenney discovers that dillard's has reduced the price of its children's levi's from $31.99 to $24.99, according t

Sonja [21]

Price is the value that is put into a product or service As a result of lots of calculations, research, understanding, and risk-taking. A pricing strategy, on the other hand, is the smart way a company makes in order to target and attract customers. There are four pricing strategies:

1. Premium pricing

2. Penetration pricing

3. Economy pricing and

4. Skimming pricing

Premium pricing and skimming strategy both use a high price while penetration pricing and economy pricing use a low price. 

When Dillard company reduced the price of children’s Levis from $31.99 to $24.99, the used the penetration pricing. And when the manager of Jenney instructed his staff to do the same, he used the penetration pricing strategy also to attract customers.

4 0

3 years ago

Primera Company produces two products and uses a predetermined overhead rate to apply overhead. Primera currently applies overhe

pychu [463]

Answer:

Primera Company

1. Plantwide predetermined overhead rate:

= $1,536,000/768,000

= $2.00 per direct labor hour

Overhead assigned to each product:

Product 1 Product 2

Direct labor hours 480,000 147,200

Predetermined overhead

rate = $2 per direct labor hour

Total overhead = $960,000 $294,400

2. Predetermined departmental overhead rates:

Department 1:

Direct labor hours $2 ($1,536,000/768,000)

Department 2

Machine hours = $7.385 ($1,536,000/208,000)

Overhead assigned:

Product 1 = $960,000 (480,000 * $2)

Product 2 = $70,896 (9,600 * $7.385)

3. The applied overhead for the year:

Department 1 = $1,254,400 (627,200 * $2)

Department 2 = $1,512,448 (204,800 * $7.385)

Total = $2,766,848

Overapplied overhead for the firm = $1,134,848 ($2,766,848 - $1,632,000)

4. Debit Manufacturing overhead $1,134,848

Credit Cost of goods sold $1,134,848

To transfer the overapplied overhead to cost of goods sold.

Additional information needed if the variance is material is to determine the percentages to allocated to Work in process, Finished Goods, and Cost of Goods Sold.

Explanation:

a) Data and Calculations:

Estimates:

Department 1 Department 2 Total

Direct labor hours 640,000 128,000 768,000

Machine hours 16,000 192,000 208,000

Overhead cost $384,000 $1,152,000 $1,536,000

Actual results:

Department 1 Department 2 Total

Direct labor hours 627,200 134,400 761,600

Machine hours 17,600 204,800 222,400

Overhead cost $400,000 $1,232,000 $1,632,000

Product 1 Product 2 Total

Direct labor hours:

Department 1 480,000 147,200 627,200

Department 2 96,000 38,400 134,400

Machine hours:

Department 1 8,000 9,600 17,600

Department 2 24,800 180,000 204,800

3 0

2 years ago