Answer:
Inventory turnover ratio = 7.2 times
Explanation:
Given:
Beginning inventory = $70,000
Ending inventory = $108,000
Cost of goods sold = $644,000
Sales = $888,000
Find:
Inventory turnover ratio
Computation:
Average inventory = [Beginning inventory + Ending inventory] / 2
Average inventory = ($70,000 + $108,000) / 2
Average inventory = $89,000
Inventory turnover ratio = Cost of goods sold / Average inventory
Inventory turnover ratio = $644,000 / $89,000
Inventory turnover ratio = 7.2 times
Answer:
The correct answer is option C.
Explanation:
A monopolistic competitive firm has a downward sloping demand curve. Such a firm is a price maker. It decides price and output through the interaction of the marginal revenue and marginal cost.
The marginal revenue is the change in revenue because of selling an additional output. At high prices, the marginal revenue will be positive while at low prices it will be negative.
Answer:
take the payments over time payout
Explanation:
My personal opinion/advice would be to take the payments over time payout. There are many reasons for this, the first one being that most individuals are not used to receiving large sums of cash and usually end up wasting all the money as soon as they receive it, which usually does not occur if the payments are made over time. The second and more important reason is that if the payments are made over different years your would pay a much lesser amount on taxes every year that passes. This means that the even with the interest rate you would most likely have more overall money if you take the payments over time.
Answer:
The correct option is 2. $50,200
Explanation:
Please see below the required journals for the transactions that occurred:
Debit Allowance for doubtful accounts $31,800
Credit Accounts receivable $31,800
(<em>To record write-off of accounts receivable)</em>
Debit Accounts receivable $2,340,000
Credit Sales revenue $2,340,000
<em>(To record credit sales during the year)</em>
Debit Cash $1,910,000
Credit Accounts receivable $1,910,000
<em>(To record collection on account)</em>
- The effect of the above journals on allowance for doubtful account is a reduction. Since Dinty already assessed its allowance for doubtful account to be $82,000, bad debt expense required will be $50,200 ($82,000 - $31,800).
- The balance in accounts receivable will be $2,340,000 - $1,910,000 - $31,800 = $398,200.
Answer: $13,200
Explanation:
Given that,
Contributing to a traditional IRA = 7 years
Total in account = $30,000
Withdrawal from IRA to help pay for the car = $20,000
marginal tax bracket = 24 percent
Therefore,
After tax withdrawal:
= Withdraws - 10% penalty as per IRS for early withdrawal - 24% tax on $20,000
= $20,000 - 0.1 × 20,000 - 0.24 × 20,000
= $20,000 - 2,000 - 4,800
= $13,200
