Answer: please refer to the explanation section for journals and notes
Explanation:
1 April
DR Inventory 23000
CR Trade Payable 23000
inventory is purchased on Free on Board Shipping terms, risks and Ownership of inventory transfers to Kerber Co the moment Wilkes company ships the inventory. inventory must be recognised
6 April
DR Freight costs 900
CR Bank 900
DR Inventory 900
CR Freight costs 900
Kerber Co Paid Freight costs of $900. There are two events happening in this transaction being the payment of freight costs and the capitalisation of freight costs. Freight costs are capitalised (included in the value of inventory) as they are costs necessary to get the inventory in to the premises of the customer (Kerber Co).
7 April
DR Equipment 26000
CR Creditor/Liability 26000
Kerber Co purchase inventory on credit. equipment is debited because Equipment is an asset and liability is credited.
8 April
DR Trade Payable 3000
CR inventory 3000
Damaged inventory returned will decrease inventory balance and also decrease the amount owed to the creditor (Wilkes Company)
. Trade Payable account is Debited and inventory account is credited to record the decrease in inventory and amount payable
15 April
DR Trade Payable 20000
CR Bank 20000
23000 - 3000 = 20 000
recording payment made to the Creditor for inventory purchased or settlement of the trade payable account
Dupe's present age = 14 years
Olu's present age = 11 years
Explanation:
- Let Dupe's age be x. Let Olu's age be y. Since their ages add up to 25 years, x + y = 25
- Eight years ago Dupe's age was double that of Olu's age. Solving by simultaneous equations. Four methods are Elimination Method, Graphical Method, Substitution Method, and Matrix Method. Let us try out Elimination method for solving a pair of simultaneous linear equations that reduces one equation to one that has only a single variable. Once this has been done, the solution is the same as that for when one line was vertical or parallel.
- Therefore, eight years ago, Dupe's age was 6 and Olu's age was 3 so that x=2y becomes, 6=2*3. Eight years hence, x=6+8=14 and y=3+8=11. That makes, x or Dupe's age as 14 years and y or Olu's age as 11 years.
Processed by the cerebral cortex only
Answer:
c) merchant wholesaler
Explanation:
A merchant wholesaler is a business unit that buys merchandise in bulk from manufacturers and resells to retailers in smaller quantities. The wholesale business has profit motives. It forms a link between manufacturers and retailers.
Unlike agents and brokers, merchant wholesalers take ownership of the goods they buy. Carolyne should avoid becoming a merchant wholesaler. As a wholesaler, she will own all the merchandise she purchases. She can choose to be either an agent or broker as these do not take title to the merchandise.
Answer:
a. -$783 Unfavorable
b. 550 Favorable
Explanation:
a. The computation of Variable Overhead Rate Variance is shown below:-
Variable Overhead Rate Variance = Actual hours × (Standard Variable Overhead rate per hour - Actual Variable Overhead rate per hour)
= 8,700 × ($4.10 - ($36,540 ÷ 8,700)
= 8,700 × ($4.10 - $4.19)
= 8,700 × -$0.09
= -$783 Unfavorable
b. The computation of Variable Overhead Efficiency Variance is shown below:-
Variable Overhead Efficiency Variance = Standard Variable Overhead Rate per Hour × (Standard Hours for Actual Production - Actual Hours)
= 5.5 × ((5.5 × 1,600) - 8,700)
= 5.5 × (8,800 - 8,700)
= 5.5 × 100
= 550 Favorable
