Answer:
Explanation:
General Journal
Dr Cr
Equipment - new 348,000
Accumulated depreciation 300,000
Cash 68,000
Equipment - old 552,000
Gain 28,000
Workings:
Equipment – new ($280,000 + 68,000) = $348,000
Gain ($280,000 – 252,000) = $28,000
Answer:
condenced income statement
net sales 4699520
cost of sales (3097360)
opening stock 599200
purchase 3120320
returns ( 16800 )
frieght in 80640
closing stock (686000)
gross profit 1602160
other incomes 299040
purchase discount 30240
rent income 268800
expenses (1092448
)
office salary 387520
sales salary 31808
sales discount 38080
commission 92960
selling costs 77280
telephone costs 19040
accounting service 36960
utility costs 35840
insurance 26880
mascellaneous 8960
advertising 60480
delivery costs 104160
casuality loss 78400
depreciation-office 53760
depreciation-sales 40320
operating profit 808752
interest expense 197120 ( 197120
)
profit before tax 611632
tax expense (122326.4)
profit after tax <u>489305.6</u>
Explanation:
To get the net sales we take sales and minus sales return. The unearned sales are not to be recorded until they are earned and its performance obligation is satisfied. The balance sheet items such as common stock, cash do not belong in the statement of comprehensive incomes. T o calculate tax expense we take profit before tax and multiply by the tax rate.
Answer:
Expected Cost = $60,000
Present Value of Expected Cost = $45,079
Explanation:
The chance that the bankruptcy will happen is 30% and the cost it will incur if it happens is $200,000. The expected cost is the probability of the event happening multiplied by the cost of the event happening.
Expected Cost = 200,000 * 0.3
= $60,000
The present value of this cost assuming a discount rate of 10% is;
= 
= $45,078.89
= $45,079
Answer:
a single firm producing a product for which there are no close substitutes.
Explanation:
A pure monopoly is a single supplier having a market or industry i.e. defined. The firm should be considered as an industry also in this there is no competitor or any subsitution existed. It can be arise at the time when the market share of the one firm is more than 90%
So as per the given situation, the above represent the answer
