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3 years ago

Consider each situation for Kathy, Inc. below independently.

Business

1 answer:

drek231 [11]3 years ago

8 0

Answer:

Kathy, inc.

a. The land should be recorded initially at $250,000. This is what it caused the company to acquire it in exchange for common stock.

b. The total amount that should be recorded for additional paid-in capital from the second situation is:

= $4,000.

Explanation:

Data and Calculations

a. Common stock issued for land = 10,000

Par value of common stock = $25

Market value of common stock = $35

Appraised value of land = $400,000

Value of land = $250,000 ($25 * 10,000)

b. Outstanding common stock = 500,000 shares

New issue of 2,000 $10 par Class A common stock at $12 = $24,000

New issue of 100 shares of no-par Class B common stock at $20 = $2,000

Total amount received = $26,000

Common stock value:

2,000 at $10 = $20,000

Additional paid-in capital = $4,000 ($24,000 - $20,000)

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NextLinx Corporation provides a wide range of strategic implementation services for small- and medium-sized organizations. It al

maks197457 [2]

Answer:

The correct answer is: e-commerce enabler.

Explanation:

An e-commerce enabler is an online-based business that allows other individuals and businesses to offer their products as part of the enabler's webpage. The e-commerce enabler acts as a mall where different stores offer their goods without the need of having a correlation. One of the most famous e-commerce enabler worldwide is Alibaba.

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3 years ago

John Williams, manager of Phoenix Entertainment, wants to compute the variable overhead efficiency variance for the year. He has

jenyasd209 [6]

Answer:

$10,125 Favorable

Actual quantity of the cost-allocation base used - Actual quantity of the cost-allocation base that should have been used to produce the actual output) × Budgeted variable overhead cost per unit of the cost-allocation base

Explanation:

Variable overhead spending variance = Actual Spending - budgeted Spending based on actual quantity

Variable overhead spending variance = (Actual Input x Actual rate) - ( Actual input x Budgeted rate)

Variable overhead spending variance = (10,125 x $29) - ( 10,125 x $30)

Variable overhead spending variance = $293,625 - $303,750

Variable overhead spending variance = $10,125 Favorable

Variable overhead spending variance is

4 0

3 years ago

Suppose buyers of fountain drinks are required to send $0.50 to the government for every fountain drink they buy. Further, suppo

Mekhanik [1.2K]

Answer:

d. All of the above are correct.

Explanation:

a. This tax causes the demand curve for fountain drinks to shift downward by $0.50 at each quantity.

b. The price paid by buyers is $0.30 per drink more than it was before the tax.

This is true as the difference between $0.50 and $0.20 is $0.30. The price paid by buyers is indeed $0.30 per drink more than it was before the tax.

c. Forty percent of the burden of the tax falls on the sellers.

This is true as $0.20 of $0.50 is 40% and this tax burden falls on the sellers.

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3 years ago

Explain why a relative price is an opportunity cost. The money price of a pound of bananas is $0. 90 and the money price of a tu

dimaraw [331]

The opportunity cost is stated in relative pricing, that is, the price of one option in comparison to another.

When there are numerous vendors in a market but no one is significant enough to control the price of a product. Because both items must be produced, the relative price must match the opportunity cost. If the opportunity cost of one good is lower in the home country than so will be the relative price.

As bananas cost $0.90 per kg, so, if a toothpaste is for $2.25, we are forgoing 2.25 kgs banana (2.25/0.9). Thus, the opportunity cost is 2.5 kg bananas which is equal to the relative price of bananas.

Therefore, relative price is an opportunity cost.

To know more about relative price click here:

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2 years ago

Zoie makes 2 products from a common input. Each product may be sold at the split-off point or processed further. The following i

Ymorist [56]

Answer:

Zoie

The minimum amount the company should accept if Product 1 is sold at the split-off point is:

= $30,000.

Explanation:

a) Data and Calculations:

Product 1 Product 2

Allocated joint processing costs 21,200 35,700

Sales value at split-off point 38,100 19,200

Costs of further processing 17,000 19,900

Sales value after further processing 30,000 28,300

The minimum amount the company should accept if Product 1 is sold at the split-off point is $30,000.

b) Further processing of Product 1 does not make economic sense. Zoie should sell the product at split-off point at $38,100. Similarly, based on the facts provided, Product 2 hardly deserves further processing.

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3 years ago