Answer:
B) 280,000; 200,000 
Explanation:
Assets = Liabilities + Shareholder Equity
Assets:
Cash                              $50,000 
Accounts receivable    $80,000 
Inventory                     $100,000 
Gross P&E                   $730,000
<u>depreciation               ($130,000)</u>
total                          = $830,000 
Liabilities: 
Accounts payable         $12,000 
Notes payable              $50,000 
<u>Long-term debt           $218,000 </u>
total                          = $280,000
Equity = $830,000 - $280,000 = $550,000
Common stock            $100,000
Add. paid-in capital    $250,000 
Retained earnings = $550,000 - $100,000 (common stock) - $250,000 (APIC) = $200,000
 
        
             
        
        
        
Answer:
defective
Explanation:
In an electronic firm it is necessary to keep check for every circuit as they turn out to be defective. There can be minor error is circuit formation but this will be considered as defective because circuits are very sensitive and even minor error can lead to short circuits which could lead to a disaster. It is necessary for a firm to keep track and quality of every circuit should be checked.
 
        
             
        
        
        
Answer:
the book value of the shareholder equity is $53,413
Explanation:
The computation of the book value of the shareholder equity is shown below;
Book value of shareholders equity is 
= Book value of mailing + net working capital - Long term debt
= $25,955 + $92,535  $65,077
= $53,413
Hence, the book value of the shareholder equity is $53,413
 
        
             
        
        
        
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.
 
 
        
             
        
        
        
Answer:
2. the cost drivers should be duration drivers 
Explanation:
There are two types of cost drivers, transaction drivers and duration drivers:
- transaction drivers are calculated by determining how many times did an activity occur, e.g. how many machine setups were carried out.
- duration drivers are calculated based on the time it takes for an activity to occur, e.g. how many machine hours were sued to produce certain product.