All categories

3 years ago

Classifying assets liabilities and owners equity

1 answer:

5 0

Assets - cash, prepaid insurance, supplies, anything owned

Liability - steward supply company, any amount owed,

Owners equity - Alice Jones, owners capital account

You might be interested in

The Porch Cushion Company manufactures foam cushions. The number of cushions to be produced in the upcoming three months follow

vodomira [7]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

Number of foam cushions to be produced in July 13, 000

Number of foam cushions to be produced in August 12, 000

Number of foam cushions to be produced in September 14, 000

Each cushion requires 2 pounds of the foam used as stuffing. The company has a policy that the ending inventory of foam each month must be equal to 25% of the following month's expected production needs.

Production for August:

Sales= 12,000*2= 24,000

Ending inventory= (14,000*0.25)*2= 7,000

Beginning inventory= (12,000*0.25)*2= 6,000 (-)

Total= 25,000 pounds

5 0

3 years ago

The manager of a major retail store has taken a random sample of 25 customers. The average sale was $52.50. The population stand

Anna35 [415]

Answer:P value = 1 - 0.9793 = 0.0207

Explanation:

we can use Z value and normal distribution to find P value. P value is the area of beyond the value of Z value

sample mean (x.bar) = $52.20

Population mean (U) = $50

Sample Standard deviation (Sd) =$ 6.10

sample (n) = 25

Z = $\frac{(x.bar - U)}{Sd/\sqrt{n} }$ = $\frac{52.50 - 50}{6.10/\sqrt{25} }$

Z = 2.50/1.22 = 2.049280328 = 2.049

area (normal distribution table) = 0.9793

P value = 1 - 0.9793 = 0.0207

7 0

3 years ago

You are promised that when you retire from your current job, in 40 years' time, you will receive a gold watch valued at $1 000.

xxMikexx [17]

Answer:

Present Value= $142

Explanation:

Giving the following information:

In 40 years, you will receive a gold watch valued at $1,000. The interest rate is 5%.

<u>We have to calculate the value today of $1,000. To do this, we need to use the following formula:</u>

PV= FV/ (1+i)^n

PV= 1,000 / (1.05)^40

PV= $142

8 0

3 years ago

Condensed financial data of Bonita Company for 2020 and 2019 are presented below. BONITA COMPANY COMPARATIVE BALANCE SHEET AS OF

Rufina [12.5K]

Answer:

<u>Statement of cash flows for the year ended December 31, 2020</u>

Cash flow from Operating Activities

Income before tax 1,200

Adjustments for Non - Cash items :

Depreciation (1,220 - 1,190) 30

Gain on sale of investments (80)

Adjustments to Changes in Working Capital Items :

Increase in Receivables (390)

Decrease in Inventory 330

Increase in Accounts payable 300

Decrease in Accrued liabilities (50)

Cash generated from operations 1340

Income tax paid ( 550)

Net Cash from Financing Activities 790

Cash flow from Investing Activities

Purchase of Plant Assets (180 - 70) (110)

Proceeds from Sale of Investments(1,440 +80 - 1,320) 200

Net Cash from Investing Activities 90

Cash flow from Financing Activities

Repurchase of Bonds (1,580-1,400) (180)

Issue of Common Stock (1940 - 1660 - 70) 210

Net Cash from Financing Activities 30

Movement during the year 650

Cash and Cash Equivalents at Beginning of the year 1,180

Cash and Cash Equivalents at End of the year 1,830

Explanation:

The Direct method has been used : This must show adjustment to the Income before interest and tax.

The Statement of Cash flows is prepared under the following headings :

Cash flow from Operating Activities
Cash flow from Financing Activities
Cash flow from Investing Activities

5 0

3 years ago

Synovec Co. is growing quickly. Dividends are expected to grow at a rate of 20 percent for the next three years, with the growth

Grace [21]

Answer:

current share price is $71.05

Explanation:

given data

grow at a rate = 20 percent

time = 3 year

growth rate falling off = 8 percent

dividend = $1.45

solution

we get here price of the stock in Year 3 that is 1 year before the constant dividend growth that is

P(3) = D(3) × (1 + g) ÷ (R - g) .............1

P(3) = D0 (1 + g1)³ × (1 + g2) ÷ (R - g)

P(3) = $\frac{1.45\times 1.20^3 \times 1.08}{0.11-0.08}$

P(3) = $90.206

and

then price of the stock today is present value of first three dividends + present value of the Year 3 stock price

so price of the stock today is

P(0) = $\frac{1.45(1.20) }{1.11} + \frac{1.45(1.20)^2}{1.11^2} +\frac{1.45(1.20)63}{1.11^3} +\frac{90.2016}{1.11^3}$

P(0) = $71.05

4 0

3 years ago