All categories

3 years ago

Reporting Stockholders' Equity

Business

1 answer:

Mrac [35]3 years ago

5 0

Answer:

Kindly check attached picture

Explanation:

Given the following :

Common Stock, $120 par - $48,000,000

Paid-In Capital from Sale of Treasury Stock - 4,500,000

Paid-In Capital in Excess of Par—Common Stock - 6,400,000

Retained Earnings - 63,680,000

Treasury Stock - 5,200,000

Kindly see attached picture for detailed explanation

You might be interested in

On January 1, Duffy Enterprises issued $100,000 in bonds that mature in 10 years. The bonds were issued at face value. The bonds

Salsk061 [2.6K]

Answer:

Given that,

Value of bonds issued = $100,000

Maturity period = 10 years

Bonds were issued at face value.

Interest rate = 8%

Interest is paid once per year on December 31.

Since, the bonds are issued at the face value, so there would be no premium or discount on the issue of bonds.

The cash is received by the company for issuing bonds and it is debited. We know that bonds are a part of liabilities, so they are credited

Therefore, the journal entry is as follows:

Cash A/c Dr. $100,000

To bonds payable $100,000

(To record the issuance of bonds)

7 0

3 years ago

Suppose the money market, drawn with the value of money on the vertical axis, is in equilibrium. If the money supply increases,

belka [17]

Answer: excess supply of money that will result in an increase in spending

Explanation:

The money market refers to the total amount of money that's in circulation in an economy at a particular time.

If the money supply increases, this implies that there'll be more money available for the people in the economy to spend. This ultimately leads to the increase in the demand for goods and services in an economy.

Therefore, the correct option will be "excess supply of money that will result in an increase in spending".

8 0

2 years ago

L Corporation produces and sells 13,800 units of Product X each month. The selling price of Product X is $20 per unit, and varia

Ray Of Light [21]

Answer:

It will be a financial disadvantage of 52,800

Explanation:

Continued Discontinued Differential

Sales 276000 - -276,000

Variable -193,200 - 193,200

Fixed -30,000 - 30,000

Allocate cost -73000 -73000 -

Result - 20,200 -73,000 -52,800

We compare each alternative:

if discontinued only the allocate cost will remain.

but we also loss the contribution of the product sales.

Sales 13,800 x 20

Variable 13,800 x 14

Tracable Fixed total fixed cost - unavoidable fixed cost

103,000 - 73,000 = 30,000

Allocate 73,000

Once we got the number we plug into the table and calcualte the differential income.

8 0

3 years ago

Two products, QI and VH, emerge from a joint process. Product QI has been allocated $19,300 of the total joint costs of $40,000.

Sidana [21]

Answer:

Net advantage (disadvantage) ($5,400)

Explanation:

Product QI

Sales value after further processing ($15 × 2,600) $39,000

Costs of further processing $10,600

Benefit of further processing $28,400

($39,000-$10 600)

Less: Sales value at split-off point ($13 × 2,600) $33 800

Net advantage (disadvantage) ($5,400)

4 0

3 years ago

Read 2 more answers

ABC systems:_____.

photoshop1234 [79]

Answer: highlight the different levels of activities.

Explanation:

The activity-based costing (ABC) system is an accounting method that is used by a company to calculate the total cost of activities that'll be utilized when making a product.

In the activity based costing system, costs are being assigned to every that is used during production. Also, the direct cost and the overhead costs are being considered. In ABC system, the different levels of activities are highlighted.

6 0

3 years ago