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Ainat [17]
3 years ago
14

James Corporation owns 80 percent of Carl Corporation's common stock. During October, Carl sold merchandise to James for $205,00

0. At December 31, 60 percent of this merchandise remains in James's inventory. Gross profit percentages were 30 percent for James and 40 percent for Carl. The amount of intra-entity gross profit in inventory at December 31 that should be eliminated in the consolidation process is
Business
1 answer:
lana66690 [7]3 years ago
7 0

Answer:

$35,143

Explanation:

Step 1 : Determine the value of Ending Inventory

Ending Inventory = $205,000 x 60 %

                              = $123,000

Step 2 : Determine the amount of unrealized profit in inventory

The Subsidiary (Carl Corporation) sold inventory to Parent (James Corporation).

James Corporation is the Parent of a Group since its owns more than 50% of voting rights of Carl Corporation

We use the gross profit percentage of the seller to determine the unrealized profit in inventory which is 40%.

Unrealized profit in inventory = 40/140 x $123,000

                                                   = $35,143

Conclusion :

The amount of intra-entity gross profit in inventory at December 31 that should be eliminated in the consolidation process is $35,143.

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Schach [20]

Answer:

$1,061.28

Explanation:

We need to calculate the present value of the bond using the minimum effective rate of 7.1225%

First we calcualte the present value of an annuity of $80 for 10 years

C * \frac{1-(1+r)^{-time} }{rate} = PV\\

80 * \frac{1-(1+7.1225%)^{-10} }{7.1225%} = PV\\

PV = $558.72

Then we calculate the $1,000 in 10 years present value

\frac{Principal}{(1 + rate)^{time}}= PV

\frac{1,000}{(1 + 7.1225%)^{10} } = PV

PV =  $502.57

Then we add both values

$502.57 + $558.72 = $1,061.28

This will be the present value AKA market price which yields the minimun rate of 7.1225%

7 0
3 years ago
According to the textbook, globalization involves international exchange. included in this exchange is trade in goods and servic
Bogdan [553]
I think it might be C, I'm not sure but I think it is.

Hope this helped. Have a great day! :D
8 0
3 years ago
Kate purchased 500 shares of Fast Deliveries stock on Wednesday, July 7th. Ted purchased 100 shares of Fast Deliveries stock on
Nataly_w [17]

Answer:

d. Both Ted and Kate are entitled to the dividend.

Explanation:

There are 3 important dates when a corporation declares a dividend:

  1. The declaration date: in this case June 20th. It is the date when the corporation declares that it will pay a certain cash dividend.
  2. The date of record: the date of record is one day after the ex-dividend date, which means that the stockholders that the stock until the ex-dividend date will be entitled to receive the dividend. The stockholders that purchase the stock on the record date or any date after the ex-dividend date, will not be entitled to receive the dividend. In this case, the ex-dividend date was July 11th, and both Ted and Kate purchased the stocks before that date.
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5 0
3 years ago
Which food was received in the temperature danger zone
Luba_88 [7]
Temperature danger zone is defined as the specified range of temperature at which micro organisms grow rapidly in food. The danger zone ranges from 40F to 140F. To keep food out of danger zone, cold food must be kept at or below 40F while hot food must be kept at or above 140F. From the question given above, three of the food fall in the temperature danger zone, but cottage cheese is still safe at 40F because of the fermentation process by which it was made and shell egg is still safe at 43F because it has shell to protect it. Thus, the correct answer is POTATO SALAD AT 46F.
5 0
3 years ago
You are choosing between these four investments and you want to be​ 95% certain that you do not lose more than 8.00 % on your in
Ainat [17]

Answer:

Corporate Bonds and T-Bills will have return above 8%

Explanation:

given data

investments  = 4

investment = 8 %

solution

first of all we get  95% confidence interval that is as

and here  investment returns and standard deviation are attach so

95% confidence interval = Return - 2 × SD to Return + 2 × SD    ................a

so here

we can see here as per table attach

here only Corporate Bonds and T-Bills will have return above 8%    

8 0
3 years ago
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