Give your analysis about investment based on:

Cash $207,200 Salaries and wages expense (sales) $318,080 Inventory 599,200 Salaries and wages expense (office) 387,520 Sales re

yawa3891 [41]

Answer:

condenced income statement

net sales 4699520

cost of sales (3097360)

opening stock 599200

purchase 3120320

returns ( 16800 )

frieght in 80640

closing stock (686000)

gross profit 1602160

other incomes 299040

purchase discount 30240

rent income 268800

expenses (1092448 )

office salary 387520

sales salary 31808

sales discount 38080

commission 92960

selling costs 77280

telephone costs 19040

accounting service 36960

utility costs 35840

insurance 26880

mascellaneous 8960

advertising 60480

delivery costs 104160

casuality loss 78400

depreciation-office 53760

depreciation-sales 40320

operating profit 808752

interest expense 197120 ( 197120 )

profit before tax 611632

tax expense (122326.4)

profit after tax <u>489305.6</u>

Explanation:

To get the net sales we take sales and minus sales return. The unearned sales are not to be recorded until they are earned and its performance obligation is satisfied. The balance sheet items such as common stock, cash do not belong in the statement of comprehensive incomes. T o calculate tax expense we take profit before tax and multiply by the tax rate.

8 0

3 years ago

How often do bondholders generally receive interest payments on their bond investment?

AURORKA [14]

Bondholders earn income in two primary ways. First, most bonds return regular interest—coupon rate—payments that are usually paid semi-annually. However, depending on the structure of the bond it may pay yearly, quarterly, or even monthly coupons.

6 0

3 years ago

When using the allowance method for accounting for bad debts, accounts receivable is reported on the balance sheet at the expect

Minchanka [31]

Answer:

Have no effect on net realizable value

Explanation:

Net realizable value is the value of accounts receivable less any allowance for bad debts. This amount is reported in the balance sheet. Under allowance method, if a particular receivable is uncollectible, then the amount is reduced from both accounts receivable and allowance for bad debts. As such, there is no effect on the net realizable value as both the accounts are reduced by the amount that is uncollectible.

4 0

3 years ago

A certain project has a project cost of $387,000 and the annual inflows resulting from the product created is $64,000. What is t

Komok [63]

Answer:

Payback period is 6.5625 years

Explanation:

All amounts are in $

Item outflow inflow balance

Year 0 387,000 0 (387,000)

Year 1 0 64,000 (323,000)

Year 2 0 64,000 (259,000)

Year 3 0 64,000 (195,000)

Year 4 0 64,000 (131,000)

Year 5 0 64,000 (67,000)

Year 6 0 64,000 (3,000)

The remaining $3000 will flow in

= (3000/64000) × 12

= 0.5625

Payback period is 6.5625 years

4 0

3 years ago

Problem 5-30 Graphing; Incremental Analysis; Operating Leverage [LO5-2, LO5-4, LO5-5, LO5-6, LO5-8][The following information ap

WARRIOR [948]

Answer:

Break Even Point

In Units = 2,000 units

In value = $80,000

Explanation:

Break even Point = $\frac{Fixed\ Cost}{Contribution}$

When we use contribution per unit, we get the break even point in units sales.

When we use the contribution margin as a percentage of sales we get break even sales in value.

Contribution per unit = $20

Contribution margin in percentage = $20/$40 = 50%

Therefore, Break even Point in units = $\frac{40,000}{20} = 2,000$

Break even units = 2,000

Break Even Point in value = $\frac{40,000}{0.50} = 80,000$

Sales to be made in value at break even = $80,000

8 0

3 years ago