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8_murik_8 [283]
3 years ago
7

MC Qu. 138 Fortune Company's direct materials... Fortune Company's direct materials budget shows the following cost of materials

to be purchased for the coming three months:JanuaryFebruaryMarch Material purchases$ 13,18015,29012,110 Payments for purchases are expected to be made 50% in the month of purchase and 50% in the month following purchase. The December Accounts Payable balance is $7,900. The expected January 31 Accounts Payable balance is:
Business
1 answer:
Usimov [2.4K]3 years ago
7 0

Answer:

The answer is "$6,590".

Explanation:

If 50% of the purchase amount would be paid in the next month, the account payable in January will thus amount to 50% of the item purchased in January. In January, all accounts payable at the start of Dec will therefore not be added to the trade payables for January.

=\$ 13,180 \times 50\%\\\\=\$ 13,180 \times \frac{50}{100}\\\\=\frac{\$ 659000}{100}\\\\=\$ 6,590\\\\

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4 0
1 year ago
Oldhat Financial starts its first day of operations with $11 million in capital.A total of $120 million in checkable deposits ar
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Answer:

a.

Assets Side

Required Reserves   $10 million        

Excess Reserves   $51 million    

Loans   $70 million

Total $131 million

Liabilities Side

Checkable Deposits   $120 million

Bank Capital   $11 million

Total $131 million  

b. Bank capitalization can be measured with bank Leverage Ratio.

= Capital/Assets

= 11/131

= 8.40%

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c. Risk Weighted Assets = $50 million

Risk weighted capital ratio = 22%

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Residential mortgages are 50% risk weighted  = $ 20 millions

Total = $50 million.

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7 0
3 years ago
Which of the following statements is CORRECT? (Assume that the risk-free rate is a constant.)a. If the market risk premium incre
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4 years ago
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2 years ago
Lopez Corporation incurred the following costs while manufacturing its product.
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Answer:

$358,150

Explanation:

Cost of goods manufactured is calculated in a Schedule of Manufacturing Costs as follows :

Cost of goods manufactured = Beginning Work In Process + Total Manufacturing Costs - Ending Work In Process

where,

Total Manufacturing Costs :

Materials used in product              $124,260

Depreciation on plant                     $69,650

Property taxes on plant                   $21,750

Labor costs of assembly-line        $120,570

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