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3 years ago

Cost of Normal Spoilage

Business

1 answer:

Mars2501 [29]3 years ago

6 0

Answer:

1. Calculation of the Cost of the Tramel Job

Particulars Amount

Direct material cost $2,300

Direct labor cost $500

Overhead applied $650 (500*130)

Total cost of job $3,450

2. Particulars Debit Credit

Overhead Cost $1,300

To materials $800

To Labour $500

3. The Cost of the Tramel Job will not be affected

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Cartels are corporations that control almost all of the production and sale of a single product.

GenaCL600 [577]

FALSE. Cartels are NOT CORPORATIONS that control almost all of the production and sale of a single product.

A cartel is an agreement between competing firms to control prices of goods. They may also come into agreement to hinder the entry of a new competitor.

A cartel rises in an oligopoly. This means that few sellers are in the market and these sellers control the price and production of various goods.

7 0

3 years ago

Francis Equipment Co. closes its books regularly on December 31, but at the end of 2017 it held its cash book open so that a mor

son4ous [18]

Answer:

a. Francis Equipment Co

Adjusting entries

December 31 2017

1. Revenues Debit $ 28,000

Cash Credit $ 28,000

To reverse the cash sales recorded in December

2. Account receivable Debit $ 18,000

Sales Discounts Credit $ 360

Cash Credit $ 17,640

To reverse the collections from customers and sales discounts allowed

3. Cash Debit $ 22,450

Purchase Discounts Debit $ 250

Accounts payable Credit $ 22,700

To reverse the payments made and discounts availed

4. No entry for inventory

b. Francis Equipment company managed to show a higher retained earnings of $ 28,110

Explanation:

Computation for change in balance sheet

Cash sales reversed $ 28,000

Sales discounts allowed reversed $ 360

Purchase discounts availed reversed $ ( 250)

Net items affecting income statement $ 28,110

The income was higher by $ 28,110, so correspondingly the retained earnings account was also higher by $ 28,110

No entry is required for inventory since it was based on an inventory count conducted on December 31 and a periodic inventory system is in use.

3 0

3 years ago

On January 1, Year 1, Bell Corp. issued $340,000 of 10-year, 8 percent bonds at their face amount. Interest is payable on Decemb

Free_Kalibri [48]

Answer and Explanation:

The journal entries are shown below:

On Jan 1

Cash $340,000

Bonds payable $340,00

(Being the bond payable is issued for cash)

For recording this we debited the cash as it increased the assets and credited the bond payable as it also increased the liabilities

On Dec 31

Interest expense ($340,000 × 8%) $27,200

To Cash $27,200

(Being the interest expense for year 1 is recorded)

For recording this we debited the interest expense as it increased the expenses and credited the cash as it decreased the assets

On Dec 31

Interest expense ($340,000 × 8%) $27,200

To Cash $27,200

(Being the interest expense for year 1 is recorded)

For recording this we debited the interest expense as it increased the expenses and credited the cash as it decreased the assets

7 0

3 years ago

Chang, Inc.'s balance sheet shows a stockholders' equity-book value (total common equity) of $750 comma 500. The firm's ear

Sholpan [36]

Answer:

The price/book ratio is 2.45

This price/book ratio indicates to shareholders that the company have a greater value than the book value, hence shareholders would buy more shares.

Explanation:

In order to calculate the price/book ratio we would have to calculate the following formula:

price/book ratio=Market price per share/Equity book value per share

Market price per share=price earnings ratio*earnings per share

Market price per share=$12.25*3

Market price per share=$36.75

Equity book value per share=stockholders equity/shares of common stock outstanding

Equity book value per share=$750,500/$50,000

Equity book value per share=$15.01

Therefore, price/book ratio=$36.75/$15.01

price/book ratio=2.45

The price/book ratio is 2.45

This price/book ratio indicates to shareholders that the company have a greater value than the book value, hence shareholders would buy more shares.

3 0

3 years ago

Ben katchor used _____ to create multiple locations for the production of the slugbearers of kayrol island.

Aleonysh [2.5K]

Ben katchor used projections to create multiple locations for the production of the slugbearers of kayrol island.

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7 0

3 years ago