Answer:
15,351.00 unfavourable
Explanation:
<em>Material quantity variance occurs when the actual quantity used to achieved a given level of output is more or less than the standard quantity.</em>
<em>It is determined by the difference between the actual and standard quantity of material for the actual level of output multiplied by the the standard price</em>
gram
300 units should have used (300× 4.6) 1380
but did used <u>2,400</u>
1020
Standard price ×<u> 15.05</u>
Material quantity variance 1<u>5,351.00</u> unfavourable
Answer: $1,035,000
Explanation:
In recording the cost of the long term bond, we record only the amount we paid to get it and not the interest we paid on it.
In this case we Kern Company paid for the bonds at 102 of par (par is 100) AND paid brokerage fees as well.
This means that the cost to be recorded is,
= 1,000,000 * (102/100) + 15,000 ( brokerage fee)
= $1,035,000
The amount to record as the cost of this long-term investment in bonds is $1,035,000
Answer:
Disclose the contingency and state that an estimate cannot be made.
Explanation:
Taylor Company's attorney informs its client that it is possible, but not probable, that the company will lose a currently litigated lawsuit. No reliable estimate of the potential loss is currently available. Taylor should accrue and/or disclose this potential loss BY DISCLOSING THE CONTINGENCY AND STATE THAT AN ESTIMATE CANNOT BE MADE.