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3 years ago

This information relates to Wildhorse Co..

Business

1 answer:

noname [10]3 years ago

4 0

Answer:

Wildhorse Co.’s books

Perpetual Inventory System

Date Account Dr. Cr

5 April Merchandise Inventory $28,200

Accounts/ Notes Payable $28200

Purchased merchandise from Carla Vista Company for $28,200, terms 2/10, n/30.

6 April Freight Charges $ 710

Cash $ 710

Paid freight costs of $710

7 April Equipment $ 33200

Accounts Payable $ 33,200

Purchased equipment on account for $33,200.

8 April Accounts Payable $3800

Merchandise Inventory $ 3800

Returned $3,800 of April 5 merchandise

15 April Accounts Payable $ 24,400

Purchases Discount 488

Cash $ 23,912

Paid the amount due ($28,200- $3800= $24,400)

2% of $ 24,400= $ 488

b. Payment of balance due on May 4 instead of Apr 5

4 May Accounts Payable $ 24,400

Cash $ 24,400

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Question 2

Vesnalui [34]

Answer:

d. willingness to pay of all buyers in the market.

Explanation:

The demand curve shows the relationship between the price of a good or service and the quantity demanded at a particular time.

Therefore, a demand curve reflects:

a. highest price buyers are willing to pay for each quantity.

b.quantity that each buyer will ultimately purchase.

c. value each buyer in the market places on the good.

With this in mind, what the demand curve does not reflect, with these in mind is a willingness to pay of all buyers in the market.

8 0

3 years ago

On January 23, 10,000 shares of Tolle Company are acquired at a price of $30 per share plus a $100 brokerage commission. On Apri

Vaselesa [24]

Answer:

January 23rd

Dr Investment in Tolle 300,100

Cr Cash 300,100

(to record the acquired of 10,000 Tolle's shares at $30 each and a brokerage cost of $100)

April 12th

Dr Cash 5,000

Cr Dividend Revenue 5,000

(to record dividend revenue from 10,00 Tolle's shares at $0.5 each)

June 10th

Dr Cash 135,900

Cr Investment on Tolle 120,040

Cr Gain on investment disposal 15,860

(to record the sales of 4,000 Tolle's shares at $34 plus $110 commission fees incurred).

Explanation:

All the explanation is given at the end of each transaction. Further explanation as below:

Given there is no information mentioned whether the share acquired is fro 20% to above and the partial disposal of the investment comes quite near to the time of first acquire; we apply the Cost Method for accounting these transactions.

In the June 10th transaction, we have:

- The actual selling price per share = (Selling price x share sold - Brokerage commission) / share sold = ( 34 x 4,000 - 100) / 4,000 = $33.975;

- The cost of share sold per share = ( Purchasing price x share purchase - Brokerage commission)/ share purchased = ( 30 x 10,000 + 100) / 10,000 = $30.01

=> Cost of share recorded ( Cr Investment account) = 30.01 x 4,000 = 120,040;

=> Gain on investment disposal = ( 33.975 - 30.01) x 4,000 = 15,860.

=> Cash receipt = 4,000 x 34 - 100 = $135,900.

3 0

4 years ago

Classic Limo, Inc. provides limousine service to Tri-Cities airport. The price of the service is fixed at a flat rate for each t

Illusion [34]

Answer:

1) See the attached excel file for the analysis of the possible operating income for Classic Limo, Inc.

2) The scenario with the highest operating profit $280,500 which is Excellent with $40 Contribution Margin and 10,500 Numbers of Customers.

Explanation:

1) Using the above information, construct an Excel spreadsheet to prepare an analysis of the possible operating income for Classic Limo, Inc.

Note: See the attached excel file for the analysis of the possible operating income for Classic Limo, Inc.

2) If you were manager of Classic Limo, Inc. and had to choose only one budget scenario to use for planning for the year, which one of the nine scenarios would you choose?

The scenario that would be chosen is the scenario with the highest operating profit $280,500 which is Excellent with $40 Contribution Margin and 10,500 Numbers of Customers.

Download xlsx

4 0

3 years ago

Which test of a business plan involves proving that a market for the product or service really does exist and that the company c

Vinil7 [7]

Reality test of a business plan involves proving that a market for the product or service really does exist and that the company can produce the product or provide the service at a reasonable cost.

<h3><u>Explanation:</u></h3>

An entrepreneur must be successful in the business he starts as he takes ;lot of risks with that. It is very essential for an entrepreneur to create a business plan before taking any forward steps in the business. Performing the reality check will help an entrepreneur to ensure that he is in the right track of the business.

In the reality check, an entrepreneur gets to know about the viability of the market, his own strength and weakness and the financial position for the production of the products. It helps an entrepreneur to know about the demands that exists for his product and how can he produce those products or services as reasonable cost.

5 0

3 years ago

You have $12,500 you want to invest for the next 30 years. You are offered an investment plan that will pay you 7 percent per ye

lubasha [3.4K]

Answer:

Balance after 30 years = $151,018.50

Explanation:

In order to calculate this, we will calculate the future value on an amount invested, gaining interest over the years of investment, and this is given by:

$FV = PV (1 + r)^{t}$