Is this counted in the GDP of a country ?The services of a mechanic in fixing the radiator on his own car.

On the last day of October, Wicker Company borrows $120,000 on a bank note due in 90 days (3 months) at %11 percent. Interest is

rodikova [14]

Answer:

interest expense 3,000 debit

interest payable 3000 credit

Explanation:

We will recognize the accrued interest for the period Nov 1st to Dec 31th

principal x rate x time

120,000 x 11%/12 x 3 months = 3,000

We divide the rate by 12 as there is express as annual rate and we need to match with time, which is months.

The entry will recognize interest expense for 3,000

and interest payable for 3,000

3 0

3 years ago

Tally Company uses job costing. The job cost record for Job A61 on March 1 showed a balance of $5,200. The job was completed on

Gemiola [76]

Answer:

Total cost= $15,100

Explanation:

Giving the following information:

The job cost record for Job A61 on March 1 showed a balance of $5,200.

Job A61:

March:

Direct materials= $2,300.

Direct Labor= $4,000.

Manufacturing overhead is allocated based on direct labor cost. The rate is 90% of direct labor cost.

MOH= 4000*0.9= $3,600

Total cost= 5,200 + 2,300 + 4,000 + 3,600= $15,100

8 0

3 years ago

Which of the following is NOT a step in the strategic planning process?A) defining the company missionB) setting company objecti

Colt1911 [192]

Answer:

Which of the following is NOT a step in the strategic planning process?

E) evaluating all members of the value chain

Explanation:

Strategic planning is an organization's process of defining its strategy, or direction, and making decisions on allocating its resources to pursue this strategy. It may also extend to control mechanisms for guiding the implementation of the strategy

4 0

3 years ago

Colorado Mountain Mining paid $ 896,900 for the right to extract mineral assets from a 500,000-ton deposit. In addition to the

Zepler [3.9K]

Answer:

(a) The asset would be recorded in accordance to IAS 16 Property, plant & equipment.

Dr Mining Asset 896,900

Cr Bank 896,900

(b) IAS 16 says that the costs incurred to make the asset ready for use must be capitalized as part of the asset. This means the license fee $1000 filing fee, License fee $2100 and $50,000 amount paid for geological survey must be capitalized. So the entry is as under:

Dr Mining asset (1k+2.1k+50k) $53,100

Cr Bank $53,100

(c) This assets must be depreciated on the basis of tons of minerals extracted which is 60 thousands tons in the first year.

Depreciation Expense = (60k tons / 500k tons) * (Total capitalized cost)

=(60,000/500,000) * (896,900+53,100) = $108,000

The Double entry of Depreciation Expense would be as under:

Dr Depreciation Expense $108,000

Cr Accumulating Depreciation $108,000

3 0

3 years ago

Heritage, inc., had a cost of goods sold of $45,821. At the end of the year, the accounts payable balance was $8,773. How long o

Aliun [14]

<u>Calculation of Days Payable Outstanding:</u>

Days Payable Outstanding can be calculated using the following formula:

Days Payable Outstanding = (Accounts

Payable *365) / Cost of Goods Sold

= (8,773*365)/45,821

= 69.88

Hence, Days Payable Outstanding is 69.88 days. We can say that it takes on average<u> 69.88 </u>days to the company to pay off its suppliers during the year.

3 0

3 years ago