Answer:
A. Mar 31
Dr Raw materials $50,400
Cr Account pay $50,400
B. 31
Dr Factory labour $61,300
Cr Factory wages $61,300
Explanation:
Preparation of the Journal entries for Sunland Company
A. Since we were told that the company purchases the amount of $50,400 of raw materials on account this means that the transaction will be recorded as:
Mar 31
Dr Raw materials $50,400
Cr Account pay $50,400
B. Based on the information given we were told that the company incurs the amount of $61,300 of factory labor costs this means that the transaction will be recorded as:
31
Dr Factory labour $61,300
Cr Factory wages $61,300
Answer:
The question posted is seemingly incomplete and needs further information to be completed.
Firstly, a trial balance is a statement proving whether or not the double-entry principle has been applied correctly. It is a statement with all the debit and credit balances of all the accounts on record. The double-entry system is proven correctly when the total of the debit balances equals the total of the credit balances.
Secondly, an income statement is statement showing the financial performance or disposition of a business over a period of time. The income statements shows the balances of all the income accounts (Sales, Interest income, Rental income, etc.) and the expense accounts (Cost of Sales, Rent expense, Depreciation, etc.). The income statement will then show either a net profit or net loss once the total expenses are subtracted from the total income.
Explanation:
To help you with the exercise in drawing up a trial balance and an income statement, please find attached a template example of each and use the template example to help you further.
Answer: $125,000
Explanation: The Company usually processes 20,000 orders at a cost of $250,000. To process one order = 250,000/20,000=$12.5
Therefore if during the year 10,000 orders were proceeded. the cost will be
10,000 * $12.5 = $125,000
Answer:
Taste Freeze should Shut down production so that AVC will decrease.
Explanation:
Taste Freeze should Shut down and produce zero sandwiches because price is less than AVC.
Therefore, Taste Freeze should Shut down production so that AVC will decrease.
