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2 years ago

The following events apply to Guiltf Seafood for the 2018 fiscal year:

Business

1 answer:

Paladinen [302]2 years ago

6 0

Answer:

Cash + Equipment - Accumulated depreciation = Common stock + Retained = $46,460

Explanation:

Note: See the attached excel file for the horizontal statements model.

In the attached excel file, we have:

Accumulated depreciation = (Cost of cooktop or equipment - Estimated salvage value) / Expected useful life = ($39,000 - $3,200) / 5 = $2,440

From the attached excel file, the accounting equation can be proved from the balances as follows:

Cash + Equipment - Accumulated depreciation = $33,500 + 15,400 - $2,440 = $46,460

Common stock + Retained = $39,000 + $7,460 = $46,460

Therefore, we have:

Cash + Equipment - Accumulated depreciation = Common stock + Retained = $46,460

Download xlsx

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The basic difference between a master budget and a flexible budget is that a: Group of answer choices flexible budget considers

lubasha [3.4K]

Answer:

master budget is based on one specific level of production and a flexible budget can be prepared for any production level within a relevant range.

Explanation:

A master budget is a budget that contains an aggregation of smaller level budgets into an overall single budget

A flexible budget is a budget that can be adjusted based on the activity levels of a firm.

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3 years ago

On October 1, 2015, Zircon Jewelry Company accepted a 4-month, 10% note for $2,400 in settlement of an overdue account receivabl

Whitepunk [10]

Answer:

Explanation:

The journal entry is shown below:

Cash A/c Dr $2,480

To Interest receivable $60

To Interest revenue $20

To Note receivable $2,400

(Being the collection of funds is recorded)

The computation of interest receivable is shown below:

= Principal × rate of interest × number of months ÷ (total number of months in a year)

= $2,400 × 10% × (3 months ÷ 12 months)

= $60

And for interest revenue would be

= Principal × rate of interest × number of months ÷ (total number of months in a year)

= $2,400 × 10% × (1 months ÷ 12 months)

= $20

7 0

3 years ago

Classify the following item as belonging in the revenue, expenditure, human resources/payroll, production, or financing cycle:

Semmy [17]

Answer:

d. Establish a $10,000 credit limit for a new customer

s. Collect payments on customer accounts

r. Sell a DVD player

l. Sell concert tickets

a. Purchase raw materials

e. Pay for raw materials

o. Pay utility bills

Expenditure

c. Hire a new assistant controller

f. Disburse payroll checks to factory workers

k. Record factory employee timecards

n. Send new employees to a business ethics course

q. Pay federal payroll taxes

u. Pay sales commissions

Human Resources/Payroll

g. Record goods received from a vendor

j. Complete a picking ticket for a customer order

i. Decide how many units to make next month

v. Send an order to a vendor

w. Put purchased goods into the warehouse

Production

b. Pay off mortgage on a factory

h. Update the allowance for doubtful accounts

m. Draw on line of credit

p. Pay property taxes on an office building

t. Obtain a bank loan

Financial Cycle

Explanation:

6 0

3 years ago

Marshmellow Corporation sells a product for $140 per unit. The product's current sales are 12,500 units and its break-even sales

xeze [42]

Answer:

c. 10%

Explanation:

Margin of safety is the sales value at which the business is safe from making loss. It measures the profit after the break-even point. The sales over the break-even point is considered as the margin of safety.

Margin of safety = Actual Sales - Break-even point = 12,500 units - 11,250 units = 1250 units

Percentage of margin of safety to sales = Margin of safety / Actual sales

Percentage of margin of safety to sales = 1,250 / 12,500

Percentage of margin of safety to sales = 0.10

Percentage of margin of safety to sales = 10%

3 0

3 years ago

Baskets Inc. gathered the following actual results for the current month: Actual amounts: Units produced 6000 Direct material

ss7ja [257]

Answer:

price variance $(22,800.00) UNFAVORABLE

Explanation:

$(standard\:cost-actual\:cost) \times actual \: quantity= DM \: price \: variance$

std cost $6.00

actual cost $9.00

quantity 7,600

difference $(3.00)

price variance $(22,800.00)

We calculate the actual cost by dividing total cost by the lbs purchased:

68,400/7,600 = 9

Because the diference is negative, the variance is unfavorable.

Each pound cost more than it was planned.

8 0

3 years ago