Answer & Explanation:
Most balance sheets are arranged according to this equation:
Assets = Liabilities + Shareholders’ Equity
The equation above includes three broad buckets, or categories, of value which must be accounted for:
1. Assets
An asset is anything a company owns which holds some amount of quantifiable value, meaning that it could be liquidated and turned to cash. They are the goods and resources owned by the company.
Assets can be further broken down into current assets and noncurrent assets.
- Current assets are typically what a company expects to convert into cash within a year’s time, such as cash and cash equivalents, prepaid expenses, inventory, marketable securities, and accounts receivable.
- Noncurrent assets are long-term investments that a company does not expect to convert into cash in the short term, such as land, equipment, patents, trademarks, and intellectual property.
2. Liabilities
A liability is anything a company or organization owes to a debtor. This may refer to payroll expenses, rent and utility payments, debt payments, money owed to suppliers, taxes, or bonds payable.
As with assets, liabilities can be classified as either current liabilities or noncurrent liabilities.
- Current liabilities are typically those due within one year, which may include accounts payable and other accrued expenses.
- Noncurrent liabilities are typically those that a company doesn’t expect to repay within one year. They are usually long-term obligations, such as leases, bonds payable, or loans.
3. Shareholders’ Equity
Shareholders’ equity refers generally to the net worth of a company, and reflects the amount of money that would be left over if all assets were sold and liabilities paid. Shareholders’ equity belongs to the shareholders, whether they be private or public owners.
Just as assets must equal liabilities plus shareholders’ equity, shareholders’ equity can be depicted by this equation:
Shareholders’ Equity = Assets - Liabilities
— Courtesy of Harvard Business School
I hope this helped! :)
Answer:
Cost per equivalent unit for conversion costs for the month = $8.262
Explanation:
The weighted average cost of valuation does not separate the opening inventory from the units newly introduced when accounting for completed units in a production period.
To determine the cost per equivalent units using Weighted Average Method, follow the steps below:
<em>Step 1: Determine the equivalent Unit</em>
Completed units = 25000+ 97000- 28000 = 94000
Workings Equiva. Units
Completed units 94000 (94000 *100%) = 94,000
Closing WIP 28000 (28,000 * 10%) = 2,800
Total Equivalent units 96,800.00
<em>Step 2 : calculate total conversion cost </em>
= 51820+747970= 799,790.00
<em />
<em>Step 3 = Cost per Equivalent unit per conversion cost</em>
Cost per unit = Total conversion cost/total Equivalent units
= 799,790.00 / 96,800.00
= $8.262
Cost per equivalent unit for conversion costs for the month = $8.262
In order to buy a car worth $25,000 a monthly payment of $622.12 is required.
Mortgages are one type of loan that frequently has a structure that calls for a stream of identical monthly payments. The lender can assess whether the customer's budget can support equal monthly payments by doing so.
Suppose the monthly payment is M.
With 9 percent APR, the effective monthly rate is 9%/12 = 0.75%.
There will be 12 x 4 years, or 48 monthly payments.
The face value of the loan must be equal to the present value of these monthly payments, or
which yields M = 622.12.
If you only paid interest, the monthly payment would be calculated as follows: principal * monthly interest rate (9% /12) = 25,000*0.75% = 187.5.
The results would be that after five years, you would still owe the whole amount of $25,000 and would have to pay $11,250 in interest.
Learn more about loans:
brainly.com/question/11794123
#SPJ4
Answer:
D Select the cost allocation bases.
Explanation:
An allocation base OR cost allocation based is the foundation on which Cost accounting apportions the overhead costs. An allocation base can come inform of a quantity, such as the used machine hours, the consumed electricity kilowatt hours (kWh), or the square footage that is being occupied.
the ABC implementation step in order will be to select the cost allocation bases.
Answer:
The cash flow to creditors during 2014 was $139000,the amount by which net working capital investment has reduced.
The stockholders invested $241,000 more into the business
The net cash flows from asset is the $1,100,000 net firm's capital spending
Lastly,the operating cash flow is $240,000 as calculated below
Explanation:
Net working capital investment denotes the amount of cash the company parted with in 2014 in financing its current obligations.
Stockholders as the owners of the company made more cash available to the company in 2014 by investing more cash resources in it as follows:
Common stock account increased by $10000($164000-$154000)
Additional paid-in surplus increased by $300000($3090000-$2790000)
The gives $400000 cash from stockholders minus dividends of $159000
Operating cash flow
Net income $0
add interest $101000
Reduction in net working capital $139000
Operating cash flow $240000
