Which of these channel members is last in the distribution channel?

Carla Corporation owns machinery that cost $24,800 when purchased on July 1, 2017. Depreciation has been recorded at a rate of $

liberstina [14]

Answer:

a. Journal entries to update depreciation for 2021:

Debit Depreciation expense $1,984

Credit Accumulated depreciation account $1,984

b. Journal entries to record the sale:

Debit Cash $13,020

Debit Accumulated depreciation account $12,400

Credit Gain on asset disposal $620

Credit Machinery asset $24,800

Explanation:

a. Depreciation of the machinery has been recorded at a rate of $2,976 per year.

Depreciation per month = $2,976/12 = $248. In 2021, the machinery is used from Jan 1 to August 31 (8 months).

Depreciation expense for 2021 = $248 x 8 = $1,984

Journal entries to update depreciation for 2021:

Debit Depreciation expense $1,984

Credit Accumulated depreciation account $1,984

b.

Accumulated depreciation account at December 31, 2020 has credit balance of $12,400 ($10,416 + $1,984 = $12,400)

The carrying amount of the machinery = Cost of the machinery - Accumulated depreciation = $24,800 - $12,400 = $12,400

Sales price - Carrying amount of the machinery = $13,020 - $12,400 = $620>0

The company recognizes gain on the sale. Journal entries to record the sale:

Debit Cash $13,020

Debit Accumulated depreciation account $12,400

Credit Gain on asset disposal $620

Credit Machinery asset $24,800

8 0

3 years ago

Transactions Units Amount

mario62 [17]

Answer:

a) Cost of Goods Sold under each method of inventory:

1) Average Cost:

Beginning Inventory 600 units $1,800

Purchases: January 12, 580 units 2,900

Purchases: January 26, 180 units 1,260

Cost of goods available for sale, 1,360 units $5,960

Less ending Inventory, 440 units $1,927.20

Cost of goods sold, 920 units $4,032.80

a2) FIFO:

Beginning Inventory 600 units $1,800

Purchases: January 12, 580 units 2,900

Purchases: January 26, 180 units 1,260

Cost of goods available for sale, 1,360 units $5,960

Less ending Inventory, 440 units $2,560

Cost of goods sold, 920 units $3,400

a3) LIFO

Beginning Inventory 600 units $1,800

Purchases: January 12, 580 units 2,900

Purchases: January 26, 180 units 1,260

Cost of goods available for sale, 1,360 units $5,960

Less ending Inventory, 440 units $1,320

Cost of goods sold, 920 units $4,640

a4) Specific Identification:

Beginning Inventory 600 units $1,800

Purchases: January 12, 580 units 2,900

Purchases: January 26, 180 units 1,260

Cost of goods available for sale, 1,360 units $5,960

Less ending Inventory, 440 units $2,280

Cost of goods sold, 920 units $3,680

B. Partial Income Statement under:

Average cost FIFO LIFO Specific Identification

Beginning Inventory $1,800 $1,800 $1,800 $1,800

Purchases 4,160 4,160 4,160 4,160

Cost of goods for sale $5,960 $5,960 $5,960 $5,960

Less ending Inventory 1,927.20 2,560 1,320 2,280

Cost of goods sold $4,032.80 $3,400 $4,640 $3,680

Explanation:

a) The average cost per unit under Average Method =

Average cost per unit =$4.38 (5,960/1,360)

Ending Inventory, 440 x $4.38 = $1,927.20

b) Ending Inventory under FIFO: 440 units

Cost of 180 units = $1,260

Cost of 260 units = 1,300 (260 x $5)

Total cost = $2,560

c) Ending Inventory under LIFO: 440 units

Cost of 440 units from beginning inventory = 440 x $3 = $1,320

d) Ending Inventory under Specific Identification: 440 units

Remaining opening inventory 140 units at $3 = $420

Remaining Jan 12, 120 units at $5 = $600

Remaining Jan 26, 180 units at $7 = $1,260

Total cost of ending inventory = $2,280

e) These are various inventory costing methods which present different results in their cost of goods sold and the ending inventory.

6 0

3 years ago

Bruce thought, "My manager is going to be disappointed and surprised that I am leaving the organization after 15 successful year

Nataliya [291]

Answer:

A. Meet with his manager face-to-face.

Explanation:

A face-to-face meeting with the manager is probably the most prefered step to be taken first.

5 0

3 years ago

A group in an overall market whose members have something in common is called a <br> ______.

andrey2020 [161]

Answer:

market segment

Explanation:

A market segment is a group of people in a homogeneous market who share common marketable characteristics.

3 0

2 years ago

Negotiations often involve three types of issues. For ______________ issues, the parties' preferences are directly opposed. For

NNADVOKAT [17]

Answer:

1. Distributive issues

2. Integrative issues

3. Congruent issues

Explanation:

Typically, for every negotiation process, any of the three kinds of issues are involved, this includes the following distributive, congruent, and integrative issues.

Hence, Negotiations often involve three types of issues. For DISTRIBUTIVE issues, the parties' preferences are directly opposed. For INTEGRATIVE issues, the parties have directionally-opposed preferences but value the issues differently. For CONGRUENT issues, the parties have the same preferences.

5 0

2 years ago

Which of these channel members is last in the distribution channel?￼

Which of these channel members is last in the distribution channel?