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3 years ago

Sales on account for the first two months of the current year are budgeted as follows:

Business

1 answer:

Gnom [1K]3 years ago

3 0

Answer:

$705,400

Explanation:

Computation for the estimated cash collections on accounts receivable for the month of February.

January sales received in February:

Within discount period $102,900

[ (15%*$700,000) x 0.98]

After discount period $49,000

( 7%* $700,000)

February Sales received in February:

Within discount period $441,000

[(60% * $750,000) x 0.98]

After discount period $112,500

(15% of $750,000)

Estimated cash collections for February $705,400

($102,900+$49,000+$441,000+$112,500)

Therefore the estimated cash collections on accounts receivable for the month of February is $705,400

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Typical Corp. reported a deferred tax liability of $6,000,000 for the year ended December 31, 2017, when the tax rate was 40%. T

Alex_Xolod [135]

Answer:

Income tax expense (Balancing figure) $13,200,000

To Deferred tax liability (8% × $15,000,000) $1,200,000

To Income tax payable ($30,000,000 × 40%) $12,000,000

(Being the income tax expense is recorded)

Explanation:

The compound journal entry is shown below:

Income tax expense (Balancing figure) $13,200,000

To Deferred tax liability (8% × $15,000,000) $1,200,000

To Income tax payable ($30,000,000 × 40%) $12,000,000

(Being the income tax expense is recorded)

For recording this, we debited the income tax expense as it increased the expenses and at the same time it also increased the liabilities i.e deferred tax liability and income tax payable so it would be credited

6 0

3 years ago

Hunkins Corporation has provided the following data concerning last month's operations. Purchases of raw materials $ 33,000 Indi

nalin [4]

Answer:

Cost of goods manufactured $ 159,000

Explanation:

Direct materials:

Beginning raw materials inventory $ 14,000

Add: Purchases of raw materials 33,000

Total raw materials available 47,000

Less: Ending raw materials inventory 20,000

Raw materials used in production 27,000

Less: Indirect materials included in manufacturing overhead 4,000 23,000

Direct labor 58,000

Manufacturing overhead cost applied to work in process 91,000

Total manufacturing costs 172,000

Add: Beginning work in process inventory 57,000

Total 229,000

Less: Ending work in process inventory 70,000

Cost of goods manufactured $ 159,000

Therefore the direct materials cost for the month on the Schedule of Cost of Goods Manufactured is $159,000

8 0

3 years ago

TB MC Qu. 7-77 Corbel Corporation has two divisions: Division A and ... Corbel Corporation has two divisions: Division A and Div

irina1246 [14]

Answer:

Corbel Corporation's common fixed cost is $41,650

Explanation:

Division A contribution margin $47,700

Division B contribution Margin $80,850 $128,550

($231,000 * 35%)

Less: Traceable fixed cost $59,700

Operating Income $27,200 ($86,900)

Common fixed cost $41,650

3 0

3 years ago

Empirical evidence from 1960 to 2010 shows that convergence in economic growth is occurring in which of the following cases?

kaheart [24]

Answer:

Correct Answer:

c. Low-income developing countries are catching up to high-income industrial countries.

Explanation:

The evidence which shows that low income developing countries are catching up to high-income industrial countries could be found in the series of developmental strides made by some countries like Rwanda, Kenya, Tanzania, Indonesia, Vietnam etc over the years. Most of their achievements is at par with most European countries in different sectors such as educational, and social sectors.

7 0

3 years ago

On January 1, 2017, Whitefeather Industries issued 300, $1,000 face value bonds. The bonds have a five-year life and pay interes

Ludmilka [50]

Answer:

$15000

Explanation:

All types of bonds have some common characteristics which include;

- A face/par value

- A coupon rate (interest rate).

- Either redeemable/irredeemable or convertible.

The face value of one bond is $1000 so the total value of 300 bonds would be $300,000 (300×$1000). In this example these are redeemable bonds which means Whitefeather Industries would be liable to payback the capital amount of bonds after five years (maturity date).

The coupon rate (i.e interest) is charged on Par value. So the Interest can be calculated as $300,000×10% = $30,000 per year.

In this question interest is payable semi-annually, therefore The amount of interest that occurs on December 31, 2017 is $15000 (For the last six months - July 1st till Dec 31st; $30000×6÷12).

4 0

3 years ago