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3 years ago

Kampus Corporation had the following eight investment transactions or events:

Business

1 answer:

Fed [463]3 years ago

3 0

Answer:

Kampus Corporation

Journal Entries:

Jan 1 Debit Bonds Receivable (Argon Co.) $10,000

Credit Cash $10,000

To record a short-term investment in available-for-sale (AFS) debt securities.)

Jan 3 Debit Investments (Long-term) in Elmer, Inc. $36,000

Credit Cash $36,000

To record the long-term investment (1,200 shares of Elmer, Inc. at $30 each.)

Mar 31 Debit Cash $300

Credit Dividend Received $300

To record dividend received from Elmer's investment

($0.25 per share of 1,200 shares).

Jun 1 Debit Investment in Logan, Inc. $300,000

Credit Cash $300,000

To record the investment in 5,000 shares of $60 per share, representing a 40% equity ownership.

Sep 30 Debit Cash $10,000

Credit Investment in Logan, Inc. $10,000

To record dividend received from investment in Logan, Inc. ($2 per share of 5,000 shares).

Dec 31 Debit Investment in Logan, Inc. $60,000

Credit Retained Earnings $60,000

To record 40% share of the Net income of $150,000 in Logan, Inc.

Dec 31 No Journal Required: Argon Co. bond had a fair (market) value of $12,000.

Dec 31 Debit Unrealized Loss from Investment in Elmer, Inc. $6,000

Credit Investment in Elmer, Inc. $6,000

To record $5 lost in the (market) value of $25 per share.

Explanation:

a) Data and Analysis:

Jan 1 Bonds Receivable (Argon Co.) $10,000 Cash $10,000

a short-term investment in available-for-sale (AFS) debt securities.)

Jan 3 Investments (Long-term) in Elmer, Inc. $36,000 Cash $36,000 1,200 shares of Elmer, Inc. at $30 each.

Mar 31 Cash $300 Dividend Received $300

$0.25 per share of 1,200 shares.

Jun 1 Investment in Logan, Inc. $300,000 Cash $300,000

5,000 shares of $60 per share, represent a 40% ownership.

Sep 30 Cash $10,000 Dividend Received $10,000

$2 per share of 5,000 shares.

Dec 31 Investment in Logan, Inc. $60,000 Retained Earnings $60,000

40% share of the Net income of $150,000 in Logan, Inc.

Dec 31 No Journal Required: Argon Co. bond had a fair (market) value of $12,000.

Dec 31 Unrealized Loss from Investment in Elmer, Inc. $6,000 Investment in Elmer, Inc. $6,000 (market) value of $25 per share.

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Employees at Fratelli Inc. are encouraged to participate in decision making. Organizational control is based on group norms and

BARSIC [14]

Answer:

Letter a is correct. Descentralized control.

Explanation:

A company that has decentralized control has a more flexible hierarchy, where all employees are motivated to contribute ideas and opinions and participate in the decision making process. Decentralized management is common in large companies, such as Google and Dell, which ensures greater autonomy and freedom of action for employees.

The biggest benefits seen by decentralization are the flexibility to adapt to market changes, the speed of decision making that prevents opportunity costs, and the sense of motivation and value creation between employee and organization.

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3 years ago

What kind of table lists the quantity of a good that a person will buy at different prices?

Monica [59]

Answer: Demand Schedule

Explanation: A schedule is a table that lists quantity and price of a good. Since, here it is given quantity of a good that a person will buy we are referring to a single individual. So, the table which lists quantity for a good demanded by a single individual at different prices is given by an individual demand schedule.

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4 years ago

Read 2 more answers

The income statement for Stretch-Tape Corporation reports net sales of $540,000 and net income of $65,700. Average total assets

Mnenie [13.5K]

Answer:

7.3%; 12.17%; 0.6 times; 15.95%

Explanation:

Return on assets:

= Net Income ÷ Average total assets

= ($65,700 ÷ $900,000) × 100

= 7.3%

Profit Margin:

= Net Income ÷ Net Sales

= ($65,700 ÷ $540,000) × 100

= 12.17%

Asset Turnover:

= Net Sales ÷ Average Total Assets

= $540,000 ÷ $900,000

= 0.6 times

Return on Equity:

= Net Income before dividend ÷ Equity

= [($65,700 + $30,000) ÷ $600,000] × 100

= ($95,700 ÷ $600,000] × 100

= 15.95%

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3 years ago

Grizzly Company had Retained Earnings at December 31, 2018 of $210,000. During 2019, the company had revenues of $410,000 and ba

NISA [10]

Answer:

Retained earnings on the December 31, 2019: $253,000

Explanation:

Ending balance in retained earnings is calculated by using following formula:

Ending balance in retained earnings = Beginning balance in retained earnings + Net income - Cash dividends - Stock dividends

Grizzly Company had Retained Earnings at December 31, 2018 of $210,000. Beginning balance in retained earnings at January 01, 2019 is $210,000

Net income = Revenues - Expenses = $410,000 - $355,000 = $55,000

Ending balance in retained earnings = $210,000 + $55,000 - $12,000 = $253,000

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3 years ago

Milton Friedman, Karthik Ramanna, and Peter Singer walk into a bar. Unfortunately, itâs not a joke. You are the unlucky bartende

Lilit [14]

Answer:

Consider the following explanation

Explanation:

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This is where the Corporate social responsibility comes in. The usage of resources and then replenishing it back into the nature is very very important according to Mr.Singer. He explained why the industries should not be given the liberty to discharge waste anywhere but must be either penalised or made to indulge in the act of social responsibility. With such conclusive thought s all th three agreed on a larger perspective of business.

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