PLEASE HELP ME

During June, Buttrey Corporation incurred $72,000 of direct labor costs and $12,000 of indirect labor costs. The journal entry t

romanna [79]

The correct question is:

During June, Buttrey Corporation incurred $67,000 of direct labor costs and $7,000 of indirect labor costs. The journal entry to record the accrual of these wages would include a:

A)debit to Work in Process of $67,000B)credit to Work in Process of $74,000C)debit to Work in Process of $74,000D)credit to Work in Process of $67,

Answer:

a. debit to Work in Process of $67,000

Explanation:

Labour costs are made up of direct labour cost and indirect labour costs.

An addition of these two items results in amount of money the company will pay as wages to worked (labour).

In the given scenario we will then add direct and indirect labour cost to get wages to be paid.

Wage = 72,000 + 12,000 = $84,000

Wages is credited when raising journal entry

Direct labour will be classified under work in process (that is $72,000)

While indirect labour is manufacturing overhead $12,000)

Work in process and manufacturing overhead are debited when raising journal entry

So one of the entries will be a debit to Work in Process of $67,000

7 0

3 years ago

Enok, a prospective franchise owner, is looking to keep his monthly costs as low as possible. The franchisor he is checking out

slamgirl [31]

Answer:

Option (3) is correct.

Explanation:

Given that,

Enok, a prospective franchise owner,

Royalty payments = 8 percent of sales could be as high as $300,000 per month

Therefore, the franchiser is claiming that a franchisee can expect monthly sales to be as high as:

= $300,000 × (100 ÷ 8)

= $300,000 × 12.5

= $3,750,000

Option (3) is correct.

4 0

3 years ago

Using the information below calculate the ending total asset of Lisa Inc.  Lisa Inc raises $3,000 of shareholders’ equity.  Li

Julli [10]

Answer:

The ending total asset is $3,800

Explanation:

 Lisa Inc raises $3,000 of shareholders’ equity. This movement increase the assets, because the $3,000 increase in the shareholders’ equity will affect the asset

 Lisa Inc purchases a building worth $300 for cash. Won´t modifies the assets , decrease cash but increase buildings

 Lisa Inc takes out a loan for $500 and receives cash. Increase assets (cash) , increase Liabilities (Accounts Payable)

 Lisa Inc purchases $300 of inventories, the supplier gives her credit. Increase assets (inventory) , increase Liabilities (Notes Payable)

Asset= $3,000+$500+$300=$3,800

6 0

3 years ago

Use the following balance sheet and cash flow statement information to answer the questions below. Liquid assets: $10,000; home

Ilya [14]

Answer:

(a) Liquidity ratio for individuals

basic liquidity ratio = cash assets / monthly expenses = $10,000 / $6,000 = 1.67

Depending on the maturity of the investment assets, the liquidity ratio could increase, but since the information is limited, we can only consider liquid assets. E.g. if the investment assets include bonds that mature in a very short term they should be included in this formula, but if they include bonds that mature in x number of years, then they aren't included.

(b) Asset-to-debt ratio :

generally the formula is debt to asset ratio = $175,500 / $330,000 = 0.53

but here we are asked to find asset to debt = $330,000 / $175,500 = 1.88

(c) Debt service-to-income ratio

debt service to income ratio = monthly payments / gross income = ($250 + $2,100) / $9,000 = $2,350 / $9,000 = 0.26

(d) Debt payments-to-disposable income ratio

debt payments to disposable income ratio = monthly payments / disposable income = ($250 + $2,100) / $6,800 = $2,350 / $6,800 = 0.35

4 0

3 years ago

An 11.0-W energy-efficient fluorescent lightbulb is designed to produce the same illumination as a conventional 40.0-W incandesc

Viktor [21]

Answer:

40-11 = 29----- 29 *240h = 6960 w = 6.96 kw

0.113 * 6.96 = 0.78648 $

8 0

3 years ago