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3 years ago

The act of entering a transaction in a journal is called

1 answer:

3 0

The act of entering a transaction in a journal is called journalizing. Journalizing is the process of putting data and transactions into a journal to keep track of all assets, liabilities and stockholders' equity that an organization has. By keeping track of this information, managment can make business decisions that are in the best financial interest for the company.

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Gomez runs a small pottery firm. He hires one helper at $11,500 per year, pays annual rent of $7,000 for his shop, and spends $2

madreJ [45]

Answer:

in this problem, we need to calculate Gomez's accounting and economic profit. To do this, let us first classify and list the explicit and implicit costs. Revenue: Sales: $85,000 Explicit costs: Cost of one helper: $18,000 Rent: $8,000 Materials: $24,000 These are the costs that require an outlay of cash. Implicit costs: Opportunity cost of funds invested in equipment: $7,000 Gomez could have invested the funds in another asset that could earn him $7,000 Opportunity cost of working as a potter in his own shop: $20,000 Gomez could have worked as a potter for a competitor that could earn him $20,000. This is the worth of Gomez's skill as a potter. Entrepreneurial talent: $4,000 This is the worth of Gomez's talent in running the business. These costs do not require an outlay of cash. These are the implicit costs. Now, we are ready to calculate both the accounting and economic profit of Gomez. a. Calculate the accounting profit for Gomez's pottery firm. $_ Accounting profit = Total Revenue − Total Explicit Costs Accounting profit = $ 85 , 000 − ( $ 18 , 000 + $ 8 , 000 + $ 24 , 000 ) Accounting profit = $ 85 , 000 − $ 50 , 000 Accounting profit = $ 35 , 000 The accounting profit is equal to $35,000. b. Now calculate Gomez's economic profit. $_ Economic profit = Total Revenue − Total Explicit and Implicit Costs Economic profit = $ 85 , 000 − ( $ 18 , 000 + $ 8 , 000 + $ 24 , 000 + $ 7 , 000 + $ 20 , 000 + $ 4 , 000 ) Economic profit = $ 85 , 000 − $ 81 , 000 Economic profit = $ 4 , 000 The economic profit is equal to $4,000.

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3 years ago

A worker was just hit by a forklift. The scene is safe and you begin to assess the worker. You see that she is conscious and

user100 [1]

Answer:

Make sure the injury isn't severe. Call 911 and keep making sure they are breathing normally. If not, give them CPR until an ambulance comes. Try not to move them too much and keep them calm.

6 0

2 years ago

Has a government monopoly in home mail delivery, but several private companies, such as fedex, ups, and dhl, compete with:____.

Katena32 [7]

Has a government monopoly in home mail delivery, but several private companies, such as FedEx, ups, and DHL, compete with <u>USPS</u>.

The government affords public offerings just like the railways. subsequently, they are a monopolist due to the fact new companions or privately held groups aren't allowed to run railways. but, the fee of the tickets is affordable so most people can use public shipping.

The government affords public offerings like the railways. hence, they're a monopolist because new companions or privately held businesses are not allowed to run railways. however, the fee for the tickets is cheap so most people can use public shipping.

As a result, absolutely is certainly one of the biggest monopolies in present the global. The enterprise, in reality, monopolizes several other different markets within the globe.

Learn more about monopoly here brainly.com/question/13113415

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2 years ago

Assume that an equity investment that lacks significant influence is sold. Which of the following would be included in the two e

Anastasy [175]

Answer:

A. An update of the Fair value adjustment account

D. The amount of the unrealized holding gain or loss that has occurred since the end of the prior accounting period

Explanation:

The value of an equity investment that lacks significant influence is adjusted at the end of each accounting period against an unrealized gain/loss account.

When the equity investment is sold, the unrealized gain/loss account will become realized depending on the sales value. Before any final gain or loss is realized, an adjustment must be made to the investment's Fair value adjustment account.

E.g if the investment X's balance account was $510,000 and its fair market value was $550,000, we would first need to adjust the fair value:

Dr Fair value adjustment of investment X 40,000

Cr Unrealized holding gain 40,000

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3 years ago

Rusties Company recently implemented an activity-based costing system. At the beginning of the year, management made the followi

Delicious77 [7]

Answer:

a. Labor Cost Rate= 13 $ per DLH

b. Purchase orders Rate= $ 3 per order

c. Product testing Rate = $ 15 per test

d. Template etching Rate = $ 23 per template

e. General factory Rate= $ 6 per MHs

Explanation:

Data

Activity Activity Expected Overhead Expected

Cost Pool Measure Cost Activity

Labor-related Direct labor-hours $16,380 1,260 DLHs

Purchase orders Number of orders $1,920 640 orders

Product testing Number of tests $4,275 285 tests

Template etching Number of templates $805 35 templates

General factory Machine-hours $42,600 7,100 MHs

The activity rate can be obtained by dividing the total cost of each activity with the total cost of the driver allocated to it.

Calculations

Activity Rate = Expected Overhead Cost/ Expected Activity

a. Labor Cost Rate= $16,380 / 1,260 DLHs= 13 $ per DLH

b. Purchase orders Rate= $1,920/ 640 orders= $ 3 per order

c. Product testing Rate = $4,275 /285 tests= $ 15 per test

d. Template etching Rate = $805 /35 templates= $ 23 per template

e. General factory Rate= $42,600/ 7,100 MHs= $ 6 per MHs

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4 years ago