Answer and Explanation:
The Journal entry is shown below:-
1. Cash Dr, $31,770
To Common stock $31,770
(Being issuance of shares for cash is recorded)
2. No Journal Entry is required
3. Office furniture Dr, $3,740
To Accounts payable $3,740
(Being purchase of office furniture on credit is recorded)
4. Accounts receivable $10,430
To service revenue $10,430
(Being customer billed for service is recorded)
5. Cash $185
To credit revenue $185
(Being cash received for service is recorded)
6. Accounts payable $800
To cash $800
(Being cash paid for office furniture purchased is recorded)
7. Salaries expense Dr, $3560
To cash $3560
(Being salary paid is recorded)
Answer:
c. $8013.29
Explanation:
The retained earnings is the accumulated net earnings/losses over the period of existence of an entity. This is usually posted to the retained earnings accounted for as part of owners equity on the face of the balance sheet net the dividend paid.
The net income is the difference between the sales and all expenses including depreciation.
Let the depreciation be d
Net income = retained earnings + dividend
= $4221 + $469
= $4,690
$4,690 = 0.79 ($30,600 - $15,350 - $1,300 - d)
The 0.79 being the net of the tax which is the 21% applied on the net of sales and expenses.
d = $13,950 - $5,936.71
d = $8,013.29
Answer:
Fixed overhead costs
Variable and fixed cost distinctions
less than absorption costing net operating income
Explanation:
Fixed overhead costs are costs that do not change with change in the volume of production activity. Rent of the production facility is an example of fixed overhead cost.
Variable costs are costs that change with change in the volume of production activity. Tax is an example of variable cost.
between absorption costing net operating income and variable costing net operating income can be explained by the way these two methods account for <u>Fixed overhead costs</u>. all overhead costs fixed overhead costs selling and administrative expenses variable overhead costs Knowledge Check 02 Absorption costing income statements ignore <u>Variable and fixed cost distinctions</u>. direct materials and direct labor costs direct and indirect cost distinctions product and period cost distinctions variable and fixed cost distinctions Knowledge Check 03 When the number of units produced is greater than the number of units sold, variable costing net operating income will be <u>less than absorption costing net operating income</u>. the same as absorption costing net operating income greater than absorption costing net operating income less than absorption costing net operating income
Answer:
The dividend yield is 5%
Explanation:
The amrket value of common stock is known and the dividend yield on the common stock will be calculated.
The dividend yeild is basically the dividend return that the stock is providing expresses as a percentage of its market price.
Thus, the formula for dividend yield is,
Dividend Yield = Dividend per share / market price per share
The dividend yield on Common stock = 4 / 80 = 0.05 or 5%
Answer:<u> Selling Price = $9803.92</u>
Explanation:
Given:
Treasury bill will provide 2% return in every 6 months.
Time = 6 months
Rate of return = 2% per 6 months
Selling Price of Treasury bill = 
Selling Price = 
<u><em>Hence price we would expect a 6-month maturity Treasury bill to sell for is $9803.92</em></u>
