Answer:
D : Company 4
Explanation:
Since all the painting companies require 5 hours to paint the truck, and they all will use the same amount of materials, then you have to choose the company that charges the lowest rate per hour:
- Company 1 charges $57 per hour x 4 hours = $285 + $240 = $525
- Company 2 charges $52.50 per hour x 4 hours = $262.50 + $240 = $502.50
- Company 3 charges $48.95 per hour x 4 hours = $244.75 + $240 = $484.75
- Company 4 charges $46.20 per hour x 4 hours = $231 + $240 = $471 ⇒ lowest price
Answer:
6,000 ordinary gain
Explanation:
The computation of gain or loss is shown below:-
Given that
Worth of an inventory = $60,000
Basic inventory = $42,000
Now if we divide this two by each other so the percentage would be
= $60,000 ÷ $42,000 i.e to be greater than the 120% and it is said that the one third would be considered of $18,000
The $18,000 come from
= $42,000 - $24,000
= $18,000
Now its one third is $6,000 and the same is to be treated as ordinary gain
Answer:
The the value of the ending Finished Goods Inventory $24,628,50
Explanation:
See attached file
Answer:
C. In the notes to the financial statements.
Explanation:
Based on the scenario being described within the question it can be said that the contingency should be reported in the notes to the financial statements.
This is because this is a gain contingency which is contingent on receipt of the compensation. Therefore since gain contingencies are only reported in the noted and never actually recognized in the final statements then the answer to this question is C.
Answer: B $22,500 ordinary and $3,500 capital.
Explanation:
Total loss incurred to Kristen = $26,000
The fair market value = $22,500
Capital loss = Total loss incurred - fair market value
Capital loss = $26,000 - $22,500 = $3,500 Capital loss
So the right answer is Option B $22,500 ordinary and $3,500 capital