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3 years ago

Transactions involving the purchase and sale of fixed assets would be considered _______ activities.

1 answer:

4 0

Transactions involving the purchase and sale of fixed assets would be considered INVESTING activities.
Investing activities refers to those activities carried out by the company which involve sales or purchases of fixed assets such as building and equipment.

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Patrick Rach International issued 5% bonds convertible into shares of the company's common stock. Rach applies U.S. GAAP. Upon i

Ludmilka [50]

Answer:

The correct answer is letter "B": The proceeds of the bond issue entirely as debt.

Explanation:

Under the U.S. General Accepted Accounting Principles (GAAP) the issuance costs of bonds are ignored for reporting purposes but the amount of sales revenues is recorded as debt. The amortization of the bond can be calculated using the effective interest method or the straight-line method.

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3 years ago

Cheyenne Corp. uses a perpetual inventory system. Data for product E2-D2 includes the following purchases. Date Number of Units

4vir4ik [10]

Answer:

The COGS for the June 1st sale is $17 per unit, and the COGS for the August 27th sale is $20 per unit.

Explanation:

Date Number of units Unit balance Unit cost Average cost

May 7 40 40 $17 $17

June 1 (20) 20 $17

July 28 30 50 $22 $20

August 27 (30) 20 $20

The average COGS after the purchase on July 28 = [(20 x $17) + (30 x $22)] / 50 = ($340 + $660) / 50 = $20

6 0

3 years ago

Plz plz plz help me with these two click the pic plz multi choice

makvit [3.9K]

Answer:

For the first multi choice, I think the answer is `whether or not there is enough competition to keep prices low and quality high'

For the second multi choice, I think the answer is `the market is failing to compensate those who are impacted by the sale of goods and services`

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2 years ago

The management of Wengel Corporation is considering dropping product B90D. Data from the company's accounting system appear belo

slamgirl [31]

Answer:

Net loss of $24,600

Explanation:

Sales $773,900

Variable Expenses ($402,100)

Contribution Margin $371,800

Avoidable Expenses of B90D

Fixed Manufacturing Expenses $186,000

Fixed Selling and Admin Expenses %161,200

Total Avoidable expenses $347,200

If the product B90D is discontinued,the contribution margin of $371,800 will be lost by Wengel corporation and costs of $347,200 will be saved.

Therefore there will be net loss of $(371,800-347,200) $24,600 to the company if the product is discontinued.

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2 years ago

On January 1, 2017 the City of Graf pays $85,500 fora work of art to display in the local library. The city will take appropriat

Nookie1986 [14]

Answer:

Explanation:

The journal entries are shown below:

a. Artwork A/c Dr $85,500

To Cash A/c $85,500

(Being work is reported on the government-wide financial statements)

Depreciation Expense A/c Dr $5,700

To Accumulated Depreciation A/c $5,700

(Being depreciation expense is recorded)

The depreciation expense is shown below:

= Original cost ÷ useful life

= $85,500 ÷ 15 years

= $5,700

b. Artwork expenditure A/c Dr $85,500

To Cash A/c $85,500

(Being work is reported on the fund financial statements

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3 years ago