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Amiraneli [1.4K]

3 years ago

6

A corporation issued 2,500 shares of its no par common stock at a cash price of $11 per share. The entry to record this transact

ion would be:

1 answer:

dsp733 years ago

5 0

Answer:

Date Account Titles and Explanation Debit Credit

Cash $27,500

Common stock $27,500

(Being shares issued at cash price recorded)

Common stock = 2,500 shares * $11

Common stock = $27,500

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The acquisition costs of property, plant, and equipment do not include: a. The ordinary and necessary costs to bring the asset t

Anna35 [415]

Answer:

Maintenance costs during the first 30 days of use

Explanation:

As we know that

The asset are classified into three types i.e current asset, fixed assets, and the intangible asset

The fixed asset is also known as a long term asset which includes the plant & machinery, land & building, furniture & fixtures, etc

In addition, the purchasing price or acquisition cost of the land, plant and equipment covers the required costs used to get the asset in the desired condition and place of use, the net invoice price plus the legal fees, the shipping fees, the installation and any related sales tax, but the maintenance and repair expenses are not included in the purchase price for first 30 days of use

The last option is incorrect it should be 30 days instead of 180 days

6 0

3 years ago

Pedee Company's inventory turnover in days is 80 days. Which of the following actions could help to improve that ratio? a.Increa

snow_lady [41]

Answer:

d. Reduce average Inventory

Explanation:

Inventory turnover ratio represents how quickly an entity's inventory is converted into sales and cash is generated.

Inventory turnover in days is computed as;

= $\frac{365\ days}{Inventory\ Turnover\ ratio}$

Inventory turnover ratio can be computed as:

= $\frac{Cost\ of\ goods\ sold}{Average\ Stock}$

Average stock = $\frac{Op\ stock\ +\ Closing\ Stock}{2}$

wherein, Op stock = Opening stock

Cost of Goods Sold = Sales - Gross Profit

A reduction in the average inventory level would increase the inventory turnover ratio, and thus reduce the inventory conversion period from 80 days to a lower level.

7 0

3 years ago

Suppose a retail store was offering 10% off all prices on all goods. The incentive to take advantage of the 10% savings is:_____

STALIN [3.7K]

Answer:Directly related to the list price of the good

Explanation:

6 0

3 years ago

Which of the following accounting strategies (for financial reporting purposes) is the least likely for a firm that is currently

jeyben [28]

Using straight-line depreciation.

Changing to FIFO

Using the weighted average method for capitalizing interest during times of reduced interest rates, rather than the specific method.

Changing to the successful efforts method of accounting for natural resource exploration costs.

Changing to the successful efforts method of accounting for natural resource exploration costs.

<u>Explanation:</u>

The particular technique initially underwrites the enthusiasm on explicit obligation. With financing costs on the decay, enthusiasm on lower rate obligation is promoted and more is expensed, comparative with the weighted normal technique, which underwrites at the normal rate over all obligation.

The weighted normal strategy would underwrite more enthusiasm on more established (higher loan cost) obligation, in this way diminishing the present measure of premium cost and expanding income. Expanding profit lessens the danger of rebelliousness for this firm.

4 0

3 years ago

Your sister turned 35 today, and she is planning to save $20,000 per year for retirement, with the first deposit to be made one

Elenna [48]

Answer:

She can spend $162,114.58 at the end of each period before she can exhaust the amount.

Explanation:

She will save up to $1,889,215.73 by saving $20,000 per year for 30 years, making the first deposit at the end of a year from today.

FV (Future Value) $1,889,215.73

PV (Present Value) $248,180.82

N (Number of Periods) 30.000

I/Y (Interest Rate) 7.000%

PMT (Periodic Payment) $20,000.00

Starting Investment $0.00

Total Principal $600,000.00

Total Interest $1,289,215.73

She can can retrieve $162,114.58 at the end of each period to reach the future value of $0.00.

FV (Future Value) $-0.00

PV (Present Value) $-0.00

N (Number of Periods) 25.000

I/Y (Interest Rate) 7.000%

PMT (Periodic Payment) $-162,114.58

Starting Investment $1,889,215.73

Total Principal $-2,163,648.74

Total Interest $2,163,648.74

8 0

3 years ago