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2 years ago

Cost outlays are recorded as an expense when they are incurred to earn revenue in the _______________ accounting period

Business

1 answer:

Deffense [45]2 years ago

8 0

Answer:

Present

Explanation:

An outlay cost is a cost incurred at the time when we have to execute the strategy or purchasing an asset. It can be paid to the vendors for purchasing the goods like for inventory. So this cost should be recognized as an expense when they are incurred in order to earn the revenue in the current or present accounting period

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Bond Valuation and Changes in Maturity and Required Returns Suppose Hillard Manufacturing sold an issue of bonds with a 10-year

g100num [7]

Answer:

It will be sold at $1,186.71

Explanation:

We will calculate the present value of the cuopon payment and the maturity at the new market rate of 7%

The coupon payment will be calcualte as the PV of ordinary annuity

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C $50 (1,000 x 10%/2 as there are 2 payment per year)

time 16 (8 years x 2 payment per year)

rate 0.035 (7% rate / 2 payment per year)

$50 \times \frac{1-(1+0.035)^{-16} }{0.035} = PV\\$

PV $604.7058

The maturity will be calculate as the PV of a lump sum

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity 1,000.00

time 8 years

rate 0.07

$\frac{1000}{(1 + 0.07)^{8} } = PV$

PV 582.01

The market price will be the sum of both:

PV cuopon $604.7058

PV maturity $582.0091

Total $1,186.7149

6 0

3 years ago

Sarafiny Corporation is in the process of preparing its annual budget. The following beginning and ending inventory levels are p

I am Lyosha [343]

Answer:

See below

Explanation:

Raw materials purchased is computed as;

Raw material purchase = Ending inventory + required for production - beginning inventory

= 50,000 + ((80,000 + 770,000 - 30,000) × 3) - 60,000

= 50,000 + 2,460,000 - 60,000

= 2,450,000 grams

8 0

2 years ago

Hitzu Co. sold a copier (that costs $4,500) for $9,000 cash with a two-year parts warranty to a customer on August 16 of Year 1.

Makovka662 [10]

Answer:

Explanation:

Requirement 1

Warranty expense in 2015 = $9,000 x 6%

Warranty expense in 2015 = $540

Note: As mention above Hitzu expects warranty cost to be 6% of dollar sales

Requirement 2

Estimate warranty liability as of Dec 2015 = $540

Requirement 3

Warranty expense in 2016 = 0

Requirement 4

Estimated warrant liability as of Dec 2016 = $540 -$114

Estimated warrant liability as of Dec 2016 = $426

Note: As the repair costs 114 on the same day of repair.

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3 years ago

State law requires all electricians to be licensed. Ted is not licensed, but has been doing electrical work with his family busi

alex41 [277]

Answer:

Yes

Explanation:

Yes, Robin would need to pay because she knew that Ted was not licensed and still decided to hire him. Therefore, agreeing to contract Ted and pay him for the work that he has done. Regardless of whether or not Ted's job was legal or not Robin still agreed and must pay Ted. Ted will later have to deal with his own legal issues but that does not affect the contract that was agreed upon by both parties.

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2 years ago

Which statement best reflects the importance of following safety guidelines?

Zolol [24]

Answer:

OSHA responds to complaints of unsafe work environments, and can fine or take negligent employers to court.

Explanation:

4 0

3 years ago

Read 2 more answers