Answer:
Option (C) 160,000
Explanation:
Data provided in the question:
Appraisal value = $154,000
Offer price = $172,000
Cash = $40,000
Note payable = $45,000
Mortgage amount = $75,000
Now,
Cost basis recorded in the buyer's accounting records to recognize this purchase will be
= Cash + Note payable + Mortgage amount
= $40,000 + $45,000 + $75,000
= $160,000
Hence,
Option (C) 160,000
Answer:
The overhead applied and the under- or over application of overhead for the period is $2,375,000 and $95,000 respectively
Explanation:
The computation of the overhead applied and the under- or over application of overhead for the period is shown below:
Overhead applied = (Estimated annual overhead cost ÷ Estimated machine hours) × Actual machine hours
= ($2,500,000 ÷ 100,000 machine hours) × 95,000 machine hours
= $2,375,000
So, the over applied overhead = Actual annual overhead cost - Overhead applied
= $2,470,000 - $2,375,000
= $95,000
Answer:
Cash Collection is $122,000
Receivable as on August 31, is $97,000
Explanation:
Total budgeted cash collection in the month of August is $122,000 and total receivables as on August 31 is $97,000.
A schedule for the cash collection is made in MS Excel file, which is attached with this answer, please find it.