Warehouse Sports, a large box store retailer of athletic shoes, orders 200,000 shoes per year from its manufacturer. If w-

Mendoza Corporation was organized on January 1, 2020. It is authorized to issue 20,000 shares of 6%, $40 par value preferred sto

Ann [662]

Answer:

a) Journal Entry

Jan 10 Debit Bank $300,000 Credit Capital $200,000 Credit Additional Capital paid-in-excess $100,000

Mar 01 Debit Bank $550,000 Credit Preferred Capital $400,000 Credit Capital paid in excess- Preferred $150,000

Apr 01 Debit Land $75,000 Credit Capital $50,000 Credit Capital paid in excess $25,000

May 01 Debit Bank $300,000 Credit Capital $150,000 Credit Capital paid in excess $150,000

Aug 01 Debit Attorney Fees $50,000 Credit Capital $20,000 Credit Capital Paid in excess $30,000

Sep 01 Debit Bank $30,000 Credit Capital $10,000 Credit Capital Paid in excess $20,000

Nov 01 Debit Bank $120,000 Credit Capital - Preferred $80,000 Credit Capital Paid in excess- Preferred $40,000

b) Paid in capital - Common stock = $325,000

- Preferred stock = $190,000

Explanation:

When stock has a par value or stated value then that means its legally recognized capital per issue can only be calculated as follows

shares issued * par value

or shares issued * stated value

then any surplus cash above the par or state value is recognized as capital paid in excess

Paid in capital - Common stock

10 Jan = $100,000

01 Apr = $25,000

01 May = $150,000

01 Aug = $30,000

01 Sep = $20,000

Total = $325,000

Paid in capital - Preferred stock

01 Mar = $150,000

01 Nov = $40,000

Total = $190,000

5 0

4 years ago

Read 2 more answers

During the sprint, what scrum value must the team demonstrate to achieve the goal?.

Ivanshal [37]

The commencement Team commits to achieving its goals and to supporting one another. Their primary focus is on the work of Sprint to form the simplest attainable progress toward these goals.

The commencement Team and its stakeholders are open concerning the work and, therefore, the challenges. Scrum Masters ought to be fearless about removing impediments that weigh down the team's progress. The 5 commencement values are commitment, focus, openness, respect, and courageousness.

Scrum team members should be committed to success and be willing to form realistic goals and continue them. However, 'focus' is the worth shown once a team sets the goal of delivering the foremost essential feature before continuing on to consecutive.

To learn more about Scrum Masters, visit here

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#SPJ4

4 0

1 year ago

Which of the terms or phrases listed below is more associated with financial statements prepared in accordance with U.S. GAAP th

nekit [7.7K]

Answer:

The answer is Accumulated other comprehensive income

Explanation:

The statement of accumulated other comprehensive income is specific to U.S GAAP.It is known as statement of comprehensive under International Financial Reporting Standards.

The statement records losses and gains that are unrealized.For instance a company whose investment is in shares,would have to record the investment at fair value, that is the market price at each year end, any gains or losses arising from such valuation,especially if the shares are held for long term, is posted to the accumulated other comprehensive income or statement of comprehensive income.

The reason is that the shares are still held within the business not yet disposed of,hence the gains or losses are not realized and should not be recognized in profit or loss.

4 0

4 years ago

A firm has a production function satisfying constant returns to scale. Their cost of producing 100 units of their product is $20

umka21 [38]

Answer:

1,000,000

Explanation:

As there are constant returns to scale the cost to produce a greater output will grow following a linear fucntion thus,

if 100 units units are produced at a cost of 200,000 dolllars

then 500 units will be produced five times that amount:

200,000 x 500/100 = 200,000 x 5 = 1,000,000

The total cost for 500 units will be a million dollars

8 0

3 years ago

Read 2 more answers

Todco planned to produce 3,000 units of its single product, Teragram, during November. The standard specifications for one unit

Brums [2.3K]

Answer:

(A) the actual cost of materials was less than the standard cost.

Explanation:

Since actual production was 3,100 units we shall calculate standard cost for such product

standard cost of material per unit = 6 pounds for $0.30 per pound = $1.8 per unit

Cost for 3,100 units = 3,100 $\times$ $1.8 = $5,580

Favorable material purchase price variance = $380 favorable

which means actual price was less than standard price,

Unfavorable material quantity variance of $120 means actual quantity used is more than standard quantity.

Material Quantity Variance = (Standard Quantity - Actual Quantity) $\times$ Standard Price

Standard Quantity = 3,100 $\times$ 6 = 18,600

- 120 = (18,600 - AQ) $\times$ $0.3

-120/0.3 = 18,600 - AQ

-400 = 18,600 - AQ

AQ = 18,600 + 400 = 19,000 units

Using material price variance, we have

$380 = ($0.3 - AP) $\times$ 19,000

$380/19,000 = $0.3 - AP

$0.02 = $0.3 - AP

AP = $0.3 - $0.02 = $0.28

Therefore Actual Cost = 19,000 $\times$ $0.28 = $5,320

Standard Cost = $5,580

Therefore correct statement is

(A) the actual cost of materials was less than the standard cost.

4 0

3 years ago