When bonds are issued at their face amount, the journal entry will include a __________ to _________

Comparing each item on a financial statement with a total amount from the same statement is referred to as

Arada [10]

Answer: vertical analysis

Explanation:

Vertical analysis is when each item on a financial statement is compared with a total amount from the same statement.

Vertical analysis refers to a financial statement analysis method whereby each line item in a statement is listed as a percentage of the base figure. In such case, each amount in the income statement will then be restated as a percentage of sales.

8 0

2 years ago

Morris Company applies overhead based on direct labor costs. For the current year, Morris Company estimated total overhead costs

alekssr [168]

Answer:

As overhead was underapplied, the balance in overhead will be $33,000 credit.

Explanation:

First, we need to calculate the predetermined overhead rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 452,000 / 2,260,000

Predetermined manufacturing overhead rate= $0.2 per direct labor dollar

Now, we can allocate costs:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 0.2*1,930,000

Allocated MOH= $386,000

Finally, we determine the over/under allocation:

Under/over applied overhead= real overhead - allocated overhead

Under/over applied overhead= 419,000 - 386,000

Underapplied overhead= $33,000

As overhead was underapplied, the balance in overhead will be $33,000 credit.

8 0

2 years ago

What does good customer service mean to you?

PSYCHO15rus [73]

If you give sales, have really good customer service, have clearance on some items, and if they honor what a worker says to the customer. Also if the workers are respectful

4 0

3 years ago

Lake inc. and river inc. reported net incomes of $800,000 and $1,000,000 respectively, for the most recent fiscal year. both com

Aliun [14]

Answer:

ROA= 8%

Explanation:

Return on assets is defined as the revenue that an asset generates in a particular period.

ROA shows how efficiently a manager is generating income from the companie's assets.

The formula is

Return on asset = Net income ÷ Ending Assets

Net income= $800,000

Ending asset= Price of shares * Number of shares

Ending asset= 50 * 200,000 = $10,000,000

ROA= 800,000 ÷ 10,000,000

ROA= 0.08= 8%

A ROA of above 5% is considered o be a good return on investment

5 0

3 years ago

Investment A has an expected return of 14% with a standard deviation of 4%, while investment B has an expected return of 20% wit

Alex

Answer:

d. rational investors could pick either A or B, depending on their level of risk aversion

Explanation:

In making investment decisions investors use various analysis to make an informed decision on which assets will suit their needs.

Two of such analysis are returns standard deviation.

Returns shows the percentage of original investment that is expected to come back as profit.

Standard deviation is the tendency of investment performance to deviate from a mean value.

The higher the standard deviation the more the risk of getting low returns or getting higher profit. This is well suited to risk takers.

The lower the standard deviation the less variance from a mean value, so risk averse investors will prefer this.

In the given scenario risk averse investors will prefer Investment A with expected return of 14% with a standard deviation of 4%. Because of the low standard deviation.

Risk takers will prefer investment B with expected return of 20% with a standard deviation of 9%. Because of the higher standard deviation.

7 0

2 years ago

When bonds are issued at their face amount, the journal entry will include a __________ to __________.

When bonds are issued at their face amount, the journal entry will include a to .