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3 years ago

Given the following information, prepare an income statement for the Dental Drilling Company.

Business

1 answer:

dmitriy555 [2]3 years ago

8 0

Answer:

Results are below.

Explanation:

Giving the following information:

Selling and administrative expense $90,000

Depreciation expense 75,000

Sales 621,000

Interest expense 46,000

Cost of goods sold 231,000

Taxes 50,000

With the information listed above, we need to make an income statement following the structure below:

Sales= 621,000

COGS= (231,000)

Gross profit= 390,000

Selling and administrative expense= (90,000)

Depreciation expense= (75,000)

Interest expense= (46,000)

Eearning before taxes (EBT)= 179,000

Taxes= (50,000)

Net operating income= 129,000

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Owens Finest Mattress Co., Inc. decided to employ an anti-mission statement. Which of the following phrases did they use

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Answer would be C. We'll destroy Sealy

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3 years ago

Read 2 more answers

Which of the following is true about a "credit"? I. It is part of the double-entry procedure that keeps the accounting equation

kipiarov [429]

Answer:

III. I, II, III, and IV.

I. It is part of the double-entry procedure that keeps the accounting equation in balance.
II. It represents a decrease to assets.
III. It represents an increase to liabilities.
IV. It is on the right side of a T-account.

Explanation:

The debit-credit balance is necessary for maintaining the accounting equation in balance, i.e. all the debits must have a corresponding credit.

Asset accounts increase when they are debited and decrease when they are credited.

Liabilities accounts decrease when they are debited and increase when they are credited.

Debits are on the left side of a t-account and credits are on the right side.

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3 years ago

Manson Industries incurs unit costs of $8 ($5 variable and $3 fixed) in making an assembly part for its finished product. A supp

bekas [8.4K]

Answer:

Manson will incur a loss of $10,300 by buying the part.

Explanation:

Purchases = 10,300 * $6 = $61,800

Variable cost = 10,300 * $5 = $51,500

Fixed cost = 10,300 * $3 = $30,900

Analysis:

Details Make ($) Buy ($) Net ($)

Purchase 0 61,800 61,800

Variable 51,500 0 51,500

Fixed 30,900 30,900 0

Loss 10,300

Therefore, Manson will incur a loss of $10,300 by buying the part.

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3 years ago

The treasurer of a major U.S. firm has $29 million to invest for three months. The interest rate in the United States is .29 per

7nadin3 [17]

Answer:

Check the following calculations.

Explanation:

The U.S. firm has $29 million

Investment is for three months

And the interest rate in the United States is .29 percent per month

The value of the investment if the money is invested in U.S

= $29 million *(1+ 0.29%) ^3

= $29.2530 million

The interest rate in Great Britain is .33 percent per month.

The spot exchange rate is £.629

And the three-month forward rate is £.632.

The value of the investment if the money is invested in Great Britain

Value after spot exchange = $29 million *(£.629/$1) = £ 18.241 million

Value after three months interest earning = £ 18.241*(1+0.33%) ^3

= £ 18.4222 million

Exchanging again in US $ after 3 months

= £ 18.4222 *($1/£ .632) = $29.1490 million

Therefore the value of the investment if the money is invested in Great Britain is $29.1490 million.

The value of investment will be more if the money is invested in U.S.

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3 years ago

In the month of June, a department had 20,000 units in beginning work in process that were 70% complete. During June, 90,000 uni

fgiga [73]

Answer:

100,000 units

Explanation:

The computation of the transferred out units of the process is shown below:

= Transferred units × percentage of completion + ending work in process inventory units × percentage of completion

= 90,000 units × 100% + 10,000 units × 100%

= 90,000 units + 10,000 units

= 100,000 units

All other information which is given is not considered. Hence, ignored it

3 0

3 years ago