Answer:
depreciation rate per unit $0.34
Explanation:
To calculate the depreciation cost per unit we divide the amount subject to depreciation by the estimated untis production over its useful life:
depreciable amount:
$41,000 - $3,600 = $ 37,400
depreciation rate:
$37,400 / 110,000 units = $0.34
Answer:
Amount of Check = $784
so correct option is a. $784
Explanation:
given data
Merchandise on account = $1,000
Long Company returns = $200
credit terms = 2/10
n/30
to find out
What is the amount of the check
solution
we know here that Total Merchandise will be
Total Merchandise = Merchandise on account - returns ....................1
Total Merchandise = $1000 - $200
Total Merchandise = $800
and
discount will be here
Discount = 0.02 × 800
returns = $16
so
Amount of Check will be as
Amount of Check = Total Merchandise - Discount ...................2
put here value
Amount of Check = Total Merchandise - Discount
Amount of Check = $800 - $16
Amount of Check = $784
so correct option is a. $784
Answer:
$607,000
Explanation:
False Value Hardware began 2016 with a credit balance of $32,000 in the allowance for sales returns account.
Sales and cash collections from customers during the year were $650,000 and $610,000, respectively.
False Value estimates that 6% of all sales will be returned.
During 2016, customers returned merchandise for credit of $28,000 to their accounts.
False Value's 2016 income statement would report net sales of:
The closing balance in the allowance for sales returns account will be: 32,000 opening balance + 6% 0f 650,000 - sales returns within the year of 28,000 = $43,000
Hence Net Sales will be 650,000 - 43,000 = $607,000
Answer:
True
Explanation:
Unlike Accrual basis accounting the cash basis method of accounting requires revenue to be recognized when performance obligations are settled rather than when they are incurred.
The major difference between cash and accrual accounting is in the timing of when transactions are taken account of. Whereas Accrual accounting recognizes transactions when they occur (i.e. expenses when they are incurred and revenue when they are earned) Cash accounting recognizes revenue and expenses only when cash is paid.
Answer:
13.86%
Explanation:
Calculation to determine the flotation-adjusted (net) cost of its new common stock
Using this formula
Cost of new common stock(re) = [d1 / stock price (1-flotation cost)] +g
Let plug in the formula
Cost of new common stock(re)= [$1.36 / 33.35 (1 – 0.065)]+0.094
Cost of new common stock(re)= [$1.36 / 33.35 (0.935)]+0.094
Cost of new common stock(re)= [$1.36/31.182)+0.094
Cost of new common stock(re)=0.04361+0.094
Cost of new common stock(re)=0.1376*100
Cost of new common stock(re)=13.76%
Therefore the flotation-adjusted (net) cost of its new common stock will be 13.76%
