Explanation:
The journal entries are shown below:
a. Inventory Dr $23,500
To Account payable $23,500
(Being inventory purchased on credit)
b. Account payable Dr $4,200
To Purchase return $4,200
(Being the return of the inventory is recorded)
c. Account payable Dr $19,300
To Cash $19,300
(Being the payment of the invoice is recorded)
Answer:
c. $74,450
Explanation:
The computation of the Net present value is shown below
= Present value of all yearly cash inflows after applying discount factor + salvage value - initial investment
where,
The Initial investment is $120,000
All yearly cash flows would be
= Annual net operating cash inflows × PVIFA for 6 years at 14%
= $50,000 × 3.8887
= $194,435
Refer to the PVIFA table
Now put these values to the above formula
So, the value would equal to
= $194,435 - $120,000
= $74,435 approx
Answer:
Dollar profit loss = $3
Holding period return = negative 9%
Explanation:
In order to find the dollar profit or loss return we will add the dividend and selling price because that the dividend plus the selling price is the cash that Travis receives or the positive cash and we will subtract the buying price from it because it is the negative cash flow. So we will add all the positive cash flows and subtract negative cash flow from it in order to find the dollar profit loss or return.
Selling price = 27.65
Dividend = 0.85
Selling price + Dividend= 28.5
Selling price = 31.50
Dollar profit loss or return = 28.50-31.5=-3
Loss= $3
In order to find the holding period return we will divide add the dividend and selling price , subtract buying price from it and then divide it by buying price.
(27.65+0.85-31.5)/31.5= -0.09 = -9%
Holding period return = negative 9%
<span>The sales in 2018 will be $800,000. Let the sales in 2018 be x and 13% increase shows 1.13x and the calculation will be done by dividing 904000 with 1.13 and the answer will be 800000. This is simple calculation as the question is showing that the sales in 2018 were less so that answer is also checked.</span>
Answer:
Conversion cost= $58,300
Explanation:
Giving the following information:
Direct labor $ 29,000
Manufacturing overhead $ 29,300
<u>The conversion costs are the sum of the direct labor and manufacturing overhead:</u>
Conversion cost= direct labor + Manufacturing overhead
Conversion cost= 29,000 + 29,300
Conversion cost= $58,300
