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2 years ago

When purchases of merchandise are made for cash, the transaction may be recorded with the following entry *

Business

1 answer:

Zepler [3.9K]2 years ago

3 0

Answer:

Dr Merchandise Inventory Cr Cash

Explanation:

Based on the information given in a situation where purchases of merchandise are made for cash the transaction will be recorded in the journal entry by debiting Merchandise Inventory and Crediting Cash reason been that MERCHANDISE are current asset and Secondly merchandise are anticipated to be either sold out, used or turn them into cash within a period of one year, although it sometimes depends on the method of payment in which the merchandise was been paid for , which is why we have to Debit Merchandise Inventory Account and Credit Cash Account.

Hence:

Journal entry

Dr Merchandise Inventory

Cr Cash

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Jones Lumber Co. has annual fixed costs including depreciation of $300,000 and variable costs that are 88.25 percent of sales. W

STALIN [3.7K]

Answer:

$2,553,191

Explanation:

The formula to compute the break even point in dollars amount is presented below:

= (Fixed cost ) ÷ (Profit volume ratio)

where,

Fixed cost = $300,000

And the profit volume ratio would be

= (Contribution margin) ÷ (Sales) × 100

We assume the sales be 100%

So, the variable cost is

= 88.25%

And, the contribution margin is

= 100 - 88.25

= 11.75%

So, the break even sales would be

= $300,000 ÷ 11.75%

= $2,553,191

7 0

3 years ago

Ellen has entered all of her monthly expenses. She needs to create a formula that will deduct her monthly expenses from her mont

Phantasy [73]

Answer:

Absolute reference

Explanation:

An absolute reference in excel indicates a reference that is locked such that rows and columns do not alter when copied to another cell in the excel sheet.

It points to an actual fixed location in excel and absolute referencing is simply by adding a dollar sign before the row and column.

In other words ,Ellen will absolutely reference her income ,as the income is the same month-on-month.

5 0

3 years ago

A company issued a 20-year, $1,000 par value bond that pays semiannual interest of $40. If the semiannual market rate of interes

Kitty [74]

Answer: $828

Explanation:

Given the following :

Semi-annual payment = $40

Period = 20 years

Number of payments = (20 * 2)(semiannual) = 40 payments

Par value = $1000

Interest rate = 5%

Using the PV table:

PV at $1 (40, 5%) = 0.1420

PVA at $1 (40, 5%) = 17.159

[Par value * PV at $1 (40, 5%)] + [$40 * PVA at $1 (40, 5%)]

= ($1000 * 0.1420) + ($40 * 17.159)

= $142 + $686.36

=$828.36

= $826

4 0

2 years ago

If gdp is $20 trillon, how many years will it take for gdp to increase to $40 trillion if annual growth is 10 percent?

ElenaW [278]

It will take 7 years.

Given GDP is $20 trillion and increased GDP is $40 trillion.

Gross domestic product (GDP) is the standard measure of value added generated by the country's production of goods and services over a certain time period. GDP is the total monetary or market worth of all completed products and services produced within a country's boundaries in a certain time period.

As such, it also accounts for the money generated by such output, as well as the overall amount spent on final products and services (less imports).

Time take to reach $40 trillion is to be found.

Formula to find the time taken to reach $40 trillion is given below:

F = P *(1+i) ^t

Here,

F = 40,

P = 20,

I = 10%

Now put the values in the formula given above.

F = 0.1040 = 20 × (1+0.10) ^t(1.10)^t

= 40 / 20

= 2

Taking log both sides t = log 2 / log 1.10

= 7.27 yrs or 7 yrs

Therefore, it will take 7 years.

To know more about GDP click here:

brainly.com/question/1383956

#SPJ4

8 0

1 year ago

One method of setting price using the cost-plus method is to add

Amiraneli [1.4K]

Cost-plus pricing, also known as mark-up price, takes place when a firm calculates its unit costs and then adds a percentage profit to determine price.

6 0

3 years ago