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Novay_Z [31]
3 years ago
6

Sheridan, Inc. is a calendar-year corporation whose financial statements for 2020 and 2021 included errors as follows: Year Endi

ng Inventory Depreciation Expense 2020 $254000 overstated $200000 overstated 2021 121000 understated 79500 understated Assume that purchases were recorded correctly and that no correcting entries were made at December 31, 2020, or at December 31, 2021. Ignoring income taxes, by how much should Sheridan's retained earnings be retroactively adjusted at January 1, 2022
Business
1 answer:
KengaRu [80]3 years ago
8 0

Answer:

the retained earnings retroactively adjusted is $241,500

Explanation:

The computation of the retained earning retroactively adjusted is as follows:

Net income overstated -$54,000 ($254,000 - $200,000)

Net income understated  $41,500 ($121,000 - $79,500)

Inventory $254,000

Increase in retained earnings $241,500

Hence, the retained earnings retroactively adjusted is $241,500

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Victryl Company applies overhead based on direct labor hours. At the beginning of the year, Victryl estimates overhead to be $70
fenix001 [56]

Answer:

The answer is: The overhead variance was $1,700 and it was overapplied

Explanation:

Victryl's estimated overhead cost per labor hour was:

$700,000 / 35,000 = $20 per labor hour

If during February, Victryl had 5,000 direct labor hours, then its estimated cost should have been: $20 x 5,000 = $100,000 estimated overhead cost

The actual overhead cost was $98,300, which is $1,700 less than the estimated cost.

8 0
3 years ago
Identify an advertisement or commercial that targets only one of the generational groups. Describe the promotion in detail and i
rjkz [21]

Answer: Commercial washing soaps

Explanation: The target of these commercials can be aimed at housewives, commercials tend to highlight the characteristics of how the clothes will look after the use of the product, such as effectiveness, freshness, softness and smell.

Housewives or people in charge of doing laundry at home, in turn, look for an effective product that can alleviate the time it takes to perform this household work.

7 0
3 years ago
Alternative A has a rate of return of 14% and Alternative B has a rate of return of 17%. If the investment required in B is larg
charle [14.2K]

Answer:

The answer is "larger than 17%".

Explanation:

Assume the sum of investment as B is more than A:

In part A:  

                                                                        A                    B           Increment

Purchase(assumed)                                          100              150                   50  

Departure Rate                                                   14%              17%                

Return                                                                 14                25.5               11.5      

The rate of return increases( \frac{11.5}{50} \times 100)                                                       23      

In part B:  

                                                                         A                    B           Increment

Purchase(assumed)                                          100              120                   20  

Departure Rate                                                  14%              17%                

Return                                                                 14                20.4               6.4      

The rate of return increases( \frac{6.4}{20} \times 100)                                                        32      

8 0
3 years ago
Marketing plans are important only for big companies. True or False
Lady_Fox [76]

Thats a big FALSE because the only reason those big companies got big is because they had marketing plans when they were little companies. Marketing plans are important for ALL businesses, big or little.

5 0
4 years ago
Read 2 more answers
Assets Liabilities
olganol [36]

Answer:

1. What is the net working capital for the above company?

Net Working Capital will be 45

2. If the company pays back all of its accounts payable today using cash, what will its net working capital be (in million of USDs)?

Net Working Capital will be 45

3. If the company buys new property, plant and equipment today using its entire cash balance, what will its net working capital be (in million of USDs)?

Net Working Capital will be -1

Explanation:

1.

Net Working Capital = Total Current Asset - Total Current Liabilities

Net Working Capital = 89 - 44 = 45

2.

Current Asset after payment = 89 - 39 = 50

Current Liabilities after payment = 44 - 39 = 5

Net Working Capital = Total Current Asset - Total Current Liabilities

Net Working Capital = 50 - 5 = 45

3.

Current Asset after Purchase = 89 - 46 = 43

Current Liabilities after Purchase = 44 - 0 = 44

Net Working Capital = 43 - 44 = -1

4 0
3 years ago
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