1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
GenaCL600 [577]
2 years ago
5

Harlan Mining Co. has recently decided to go public and has hired you as an independent CPA. One statement that the enterprise i

s anxious to have prepared is a statement of cash flows. Financial statements of Harlan Mining Co. for 2022 and 2021 are provided below. Cash Accounts receivable Inventory Property, plant and equipment Less accumulated depreciation
BALANCE SHEETS
12/31/22 12/31/21
Cash $408,000 192,000
Accounts receivable 360,000 216,000
Inventoy 384,000 $480,000
Property, plant and equipment $608,000 $960,000
Less accumulated depreciation (320,000) 288,000 (304,000) 656,000
$1.440.000 $1.544.000
Accounts payable $176,000 $96.000
Income taxes payable 352,000 392,000
Bonds payable 360,000 600,000Common stock 216,000 216,000
Retained earnings 336.000 240.000
$1,544.000 $1.440.000
INCOME STATEMENT
For the Year Ended December 31, 2022
Sales revenue $8,400,000
Cost of sales 7,152.000
Gross profit 1,248,000
Selling expenses $600,000
Administrative expenses 192.000 792,000
Income from operations 456,000
Interest expense 72,000
Income before taxes 384,000
Income taxes 96,000
Net income $288.000
The following additional data were provided:
1. Dividends for the year 2019 were $192,000.
2. During the year, equipment was sold for $240,000. This equipment cost $352,000 originally and had a book value of $288,000 at the time of sale. The loss on sale was incorrectly charged to cost of sales.
3. All depreciation expense is in the selling expense category.
Under the direct method, the cash received from customers is:____.
Business
1 answer:
cupoosta [38]2 years ago
5 0

Answer:

The cash received from customers under the direct method is $8,256,000.

Explanation:

Given:

Beginning accounts receivable = Accounts receivable on 12/31/21 = $216,000

Ending accounts receivable = Accounts receivable on 12/31/22 = $360,000

Sales revenue = $8,400,000

Therefore, we have:

Cash received from customers = Beginning accounts receivable + Sales revenue - Ending accounts receivable = $216,000 + $8,400,000 - $360,000 = $8,256,000

Therefore, the cash received from customers under the direct method is $8,256,000.

You might be interested in
Charles is planning a trip to Guatemala. He has allocated $415 for spending money. If the exchange rate from US dollars to Guate
svet-max [94.6K]
A. its the answer  3,533.10 quetzals
4 0
3 years ago
Read 2 more answers
Depreciation Methods A delivery truck costing $22,000 is expected to have a $2,000 salvage value at the end of its useful life o
Artist 52 [7]

Answer:

a. $5,000

b. $5,500

c. $6,000

Explanation:

The computation of the depreciation expense for the second year is shown below:

a) Straight-line method:

= (Original cost - residual value) ÷ (useful life)

= ($22,000 - $2,000) ÷ (4 years)

= ($20,000) ÷ (4 years)

= $5,000

In this method, the depreciation is same for all the remaining useful life

(b) Double-declining balance method:

First we have to find the depreciation rate which is shown below:

= One ÷ useful life

= 1 ÷ 4

= 25%

Now the rate is double So, 50%

In year 1, the original cost is $22,000, so the depreciation is $11,000 after applying the 50% depreciation rate

And, in year 2, the $11,000 × 50% = $5,500

(c) Units-of-production method:

= (Original cost - residual value) ÷ (estimated production)

= ($22,000 - $2,000) ÷ ($100,000 miles)

= ($20,000) ÷ ($100,000 miles)

= $0.2 per miles

Now for the second year, it would be

= Production units in second year × depreciation per miles

= 30,000 miles × $0.2

= $6,000

4 0
3 years ago
A difference between people-processing services and possession-processing services is that possession-processing services:
Contact [7]

Answer:

b. do not require customers to enter the service factory.

Explanation:

Possession processing involves tangible services provided on property belonging to a customer. It involves activities like lawn mowing, cleaning services. The property that is recoevong the action must be present but the customer does not need to be.

In people processing on the other hand, the customer is present and services provided are intangible, knowledge based, and customised to each client. For example retail banking services.

3 0
3 years ago
Which of the following provides a consumer with the deepest comprehension and the greatest chance of accurate recall? a. Spreadi
horrorfan [7]

Answer:

Personal elaboration

Explanation:

Personal elaboration is the simplest and important form of recall memory. In this process, the consumer can recall the deepest comprehension and then there is the greatest chance to recall accurately.  

Different strategies play a great part in this process.

  • To describe the place in details
  • Use very specific words
  • Show taste, smell, feeling, smell.
  • To show the comparison between two similar things
  • To use the exact words from another person
  • To describe something movement about objects
  • Show the feeling that how something has happened  
3 0
3 years ago
Two ways Brexit benefits the US? I don't need anything about why it doesn't, just need two reasons why it does.
Annette [7]

1. Potentially enables US to trade with UK on better terms (than previously allowed when UK was a member of the EU)

2. Expected that Brexit will enable UK government to award National Health Service contracts to US suppliers

3. Brexit weakens the EU and hence makes US/NAFTA relatively stronger

3 0
2 years ago
Other questions:
  • Ring Company designs and builds jewelry. During June it had applied overhead of $120,000. Overhead is applied at the rate of 75%
    6·1 answer
  • Benefits provide ______ and variable pay provides _____.
    10·1 answer
  • Steve went to his favorite hamburger restaurant with $3, expecting to buy a $2 hamburger and a $1 soda. when he arrived he disco
    10·1 answer
  • _____ is a rater error in which a rater gives high ratings to all employees regardless of their performance.
    7·1 answer
  • Effects of containerisation,..... 10 points
    9·1 answer
  • "E3-26A Record manufacturing overhead (Learning Objectives 5 & 6) Refer to the data in Exercise 3-25A. Smith’s accountant fo
    7·1 answer
  • A 12-month insurance policy was purchased on Dec. 1 for $3,600 and the Prepaid insurance account was increased for the payment.
    12·1 answer
  • What is the fullform of <br> MD,GM<br>​
    10·1 answer
  • A company that continually adds more features to an existing product to try to appeal to more customers may end up overwhelming
    14·1 answer
  • Jericho Snacks is an all-equity firm with estimated earnings before interest and taxes of $624,000 annually forever. Currently,
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!