Please answer ASAP:
Eve runs a small Business. She runs her business operations from a rented office. Eve has paid the office rent worth $10,000 for the next four months in advance. Under which component of her businesses balance sheet with this amount fall?
A. Current assets
B.fixed assets
C. Current liabilities
D. Long term liabilities
E. Owners equity

Answers

Answer 1

Answer:

A. Current assets

Explanation:

Eve has prepaid her rent for the next four months. It means Eve has made payments for a service that she is yet to consume. Prepayments are currents assets. In this case, Eve's landlord owes her four months' worth of rent, only that she does not expect monetary payment.

Because Eve will use the room for four months without payments, the rent prepayment is an asset to the business.

Current assets are the assets convertible to cash in a period of one year or less. Liabilities would be the money Eve owes to third parties.

Answer 2

Answer:

A

Explanation:

it is current assets because she has paid for it in advance and it is a short period of time.


Related Questions

Manufacturing cost data for Orlando Company, which uses a job order cost system, are presented below.
Direct materials used $ (a) $ 83,000 $ 63,150
Direct labor 50,000 140,000 (h)
Manufacturing overhead applied 42,500 (d) (i)
Total manufacturing costs 145,650 (e) 213,000
Work in process 1/1/14 (b) 15,500 18,000
Total cost of work in process 201,500 (f) (j)
Work in process 12/31/14 (c) 11,800 (k)
Cost of goods manufactured 192,300 (g) 222,000
Case A Case B Case C

Answers

Answer:

Instructions. Indicate the missing amount for each letter. Assume that in all cases manufacturing overhead is applied on the basis of direct labor cost and the rate is the same.

                           The Calculation of missing figure.

Particulars                                       Case A         Case B      Case C

Direct materials used                      $53,150      $83,000     $63,150

Direct labor                                      $50,000     $140,000   $81000

Manufacturing overhead applied   $42,500     $119000     $68850

Total manufacturing costs            $145,650   $342,000  $213,000

Work in process 1/1/14                     $55,850     $15,500     $18,000

Total cost of work in process        $201,500  $357,500  $231,000

Work in process 12/31/14                 $9,200       $11,800      $11000

Cost of goods manufactured        $192,300  $345,700  $222,000

Please help! Tina Technology is looking to raise $85,000 worth of capital, and she is looking to raise that money through the internet and still fall under an SEC exemption. How should Tina go about raising that money? Due to the amount of capital she is looking to raise, will Tina be subject to any other special requirements?​

Answers

Answer:

Throughout this circumstance, the financing approach may be used by Tina Technology through fundraising as well as demand protection from either the SEC.  

Explanation:

The following were all those requirements:

The Crowdfunding framework encourages eligible organizations to deliver as well as sell entrepreneurship security.

The principles mandate all transactions together underneath the Crowdfunding Legislation to take place online by an SEC-registered representative, whether through a distributor provider or via a fundraising access.Control the amount that individual financial professionals will impose on certain cryptocurrency donations over a term of one year. For even the most portion, insurance purchased through a crowdfunding marketplace will not be traded once per season. General guide Crowdfunding donations rely on exclusion structures for "troublemakers".

Student volunteers take visitors on a tour of 7 campus buildings. How many different tours are possible?

Answers

Answer:

7! = 5040

Explanation:

Given that Number of campus buildings = 7

To obtain the number of different possible tours, obtain the factorial of 7

7! = 7 * 6 * 5 * 4 * 3 * 2 * 1

7! = 5040

Troy's financial records for the year reflect the following: Interest income from bank savings account $1,440 Taxable annuity receipts 2,880 City ad valorem property tax on investments 216 Investment interest expense 5,040 Calculate Troy's net investment income and his current investment interest deduction. How is a deduction for any potential excess investment interest treated?Troy's net investment income is $_____and his investment interest deduction is $______investment interest expense not deducted this year is_____.

Answers

Answer:

net Investment income for Troy = $4,104.

Investment interest deduction = $4,104.

Brought forward.

Explanation:

So, from the question above we are his the folly information for the financial report of Troy.

=> Interest income from bank savings account = $1,440.

=> The Taxable annuity receipts = 2,880.

=> City ad valorem property tax on investments = 216.

=> Investment interest expense = 5,040.

Therefore, Troy's net investment income can be calculated by the addition of Interest income from bank savings account with The Taxable annuity receipts, that is;

Troy's investment income = Interest income from bank savings account + The Taxable annuity receipts.

Troy's investment income = $1,440 + 2,880 = $4,320.

Therefore, the net Investment income for Troy is calculated as;

The net Investment income for Troy = Troy's investment income - City ad valorem property tax on investments.

=>The net Investment income for Troy = $4,320 - $216 = $4,104

Therefore let's fill in the gaps given in the question:

"Troy's net investment income is $4,104 and his investment interest deduction is $4,104.

Investment interest expense not deducted this year is BROUGHT FORWARD"

A partially amortizing mortgage is made for $180,000 for a term of 30 years. The borrower and lender agree that a balance of $40,000 will remain and be repaid as a lump sum at that time. If the interest rate is 6.50%, what must the monthly payment be over the 30 year period?

a. $1,101.56
b. $1,137.72
c. $5,285.36
d. $11,700.00

Answers

Answer:

Monthly payment= $1,137.8

Explanation:

Giving the following information:

PV= 180,000

n= 30*12= 360

i= 0.065/12= 0.005417

To calculate the monthly payment, we need to use the following formula:

Monthly payment= (PV*i) / [1 - (1+i)^(-n)]

Monthly payment= (180,000*0.005417) / [1 - (1.005417^-360)]

Monthly payment= $1,137.8

On May 2, you receive your bank statement showing a balance of $1,641.18. Your checkbook shows a balance of $1,427.15. Outstanding checks are $167.31, $245.66, and $302.56. The account earned $62.11. Deposit in transit amount to $555.61, and there is a service charge of $8.00. Calculate the reconciled balance. CHECKBOOK BALANCE STATEMENT BALANCE Add: Interest Earned & Other Credits Add: Deposits in Transit SUBTOTAL SUBTOTAL Deduct: Services Charges & Other Debits Deduct: Outstanding Checks ADJUSTED CHECKBOOK BALANCE ADJUSTED STATEMENT BALANCE

Answers

Answer and Explanation:

The computation is shown below:

Particulars                   Amount ($)    Particulars                 Amount ($)

Checkbook balance    1,427.15           Statement balance 1,641.18

Add: Interest earned and                    Add: Deposits in transit 555.26

other credits                  62.11

Less: Service charges                        Less: Outstanding checks (715.53)

and other debits         (8.00)

Adjusted checkbook balance 1,481.26 Adjusted statement balance 1,481.26

The outstanding checks would be total of

= $167.31 + $245.66 + $302.56

= $715.53

Your local T-Spirit store is having a sale on the latest i-razpod cell phone. The store is also offering financing to those who
qualify. The new cell phone is on sale for $150.00 with a two year contract. The sales associate informs you that the
closed-end installment loan offered by the store is a 24 month installment plan with monthly payments of $8.44.
Determine the finance charge (interest) of the installment loan.
a $52.00
C. $54.30
b. $52.56
d. $56.10

Answers

Answer:

$52.56 on edge 2020

Explanation:

Answer:

b

Explanation:

yep

Suppose that real gdp per capita in italy is $33,500. if real gdp per capita is growing at a rate of 1.6% per year, how many years will it take for real gdp per capita to reach $67,000?

Answers

Answer:

45 years

Explanation:

The computation of the number of years to reach the $67,000 real GDP per capita is shown below:

Here we use the rule of 72 that doubles the real gdp per capita

= 72 ÷ growth rate

= 72 ÷ 1.6%

= 45 years

In 45 years the real GDP per capita would be doubled that means from $33,500 to $67,000 it would be reached in 45 years

We simply applied the above formula so that the correct value could come

And, the same is to be considered  

Arthur, the ruler of Avalon, has asked for your help with the economy of his country. Arthur's economic minister provides you with the following information:Work-eligible population: 30 million Labor force: 24 million Employed people: 21 million Frictionally unemployed people: 2 million Structurally unemployed people: 1.5 million Arthur would like to know whether his kingdom is enjoying an expansion or suffering a recession. See if you can advise him. Give all numeric answers to two decimals.King Arthur, right now Avalon's unemployment rate is _____%, but Avalon's natural rate of unemployment is ___%. Therefore, the Avalon economy is currently in a(an) (enter expansion or recession).

Answers

Answer:

King Arthur, right now Avalon's unemployment rate is 12.5% but Avalon's natural rate of unemployment is 14.58%. Therefore, the Avalon economy is currently in a expansion.

Explanation:

Number of Unemployed = Labor force - Employed

Number of Unemployed = 24 - 21

Number of Unemployed = 3

The unemployment rate = (3/24)*100

The unemployment rate = 12.5%

The Natural unemployment rate = Frictional Rate + Structural unemployment Rate

The Natural unemployment rate = [(2+1.5)/24]*100

The Natural unemployment rate = (3.5/24) * 100

The Natural unemployment rate = 14.58%

From the solution, the current unemployment rate less than natural rate,  thus the Avalon economy is currently in a expansion

A management concept based on an understanding of the changing wants and needs of customers, and which leads to flexible product designs and production processes, is called:_______.A. Continuous improvement. B. Customer orientation. C. Just-in-time. D. Theory of constraints. E. Total quality management.

Answers

Answer:

customer orientation

Explanation:

customer orientation can be regarded as business approach where the company helps the customer to achieve their aim and goals.

When an employee reaches a $200,000 income level, they are required to pay a supplementary percentage to their _______________________ tax deduction?A. Social SecurityB. MedicareC. FederalD. Local

Answers

Answer:

B. Medicare

Explanation:

given data

employee reaches income level =  $200,000

so they are require to pay a supplementary percentage to their Medicare tax because at an income level above than the each and every employee are required to pay their additional percentage of income as  FICA Medicare tax.

and current rate for Medicare is approx 1.45% for the employee and  employer.

The following balances are available for Chrisman Company:
December 31, 2016 December 31, 2015
Cash $8,000 $10,000
Accounts receivable 20,000 15,000
Inventory 15,000 25,000
Prepaid rent 9,000 6,000
Land 75,000 75,000
Plant and equipment 400,000 300,000
Accumulated depreciation (65,000) (30,000)
Totals $462,000 $401,000
Accounts payable $12,000 $10,000
Income taxes payable 3,000 5,000
Short-term notes payable 35,000 25,000
Bonds payable 75,000 100,000
Common stock 200,000 150,000
Retained earnings 137,000 111,000
Totals $462,000 $401,000
Bonds were retired during 2016 at face value, plant and equipment were acquired for cash, and common stock was issued for cash. Depreciation expense for the year was $35,000. Net income was reported at $26,000.
Required:
Prepare a statement of cash flows for 2016 using the indirect method in the Operating Activities section. Use the minus sign to indicate cash payments, cash outflows, or decreases in cash.

Answers

Answer:

Chrisman Company

Statement of Cash Flows for the year ended December 31, 2016

(using the indirect method):

Operating activities:

Adjusted cash from operations      $61,000

Changes in working capital:

Accounts receivable                         -5,000

Inventory                                           10,000    

Prepaid rent                                      -3,000

Accounts payable                              2,000

Income taxes payable                      -2,000

Short-term notes payable               10,000

Net cash from operating activities 73,000

Investing activities:

Equipment                                    -100,000

Financing activities:

Bonds                         -25,000

Common stock           50,000      25,000

Net cash flows                             -$2,000

Explanation:

a) Data and Calculations:

                                            December 31     December 31     Changes

                                                  2016                2015

Cash                                        $8,000            $10,000             -$2,000

Accounts receivable              20,000               15,000                5,000

Inventory                                 15,000              25,000              -10,000

Prepaid rent                             9,000                 6,000                3,000

Land                                       75,000               75,000                0

Plant and equipment          400,000            300,000             100,000

Accumulated depreciation (65,000)             (30,000)              35,000

Totals                               $462,000            $401,000    

Accounts payable              $12,000              $10,000              $2,000

Income taxes payable           3,000                 5,000                -2,000

Short-term notes payable  35,000               25,000                10,000

Bonds payable                    75,000              100,000             -25,000

Common stock                200,000               150,000              50,000

Retained earnings            137,000                 111,000              26,000

Totals                             $462,000             $401,000

b) Net income $26,000

Depreciation 35,000

Adjusted cash from operations = $61,000

c) The statement of cash flows can be prepared using either the direct method or the indirect method.  The indirect method affects mainly the operating activities section and starts with the net income and adjusts it with non-cash items before considering the changes in the working capital.  The statement is a financial statement that classifies the cash flows during the period into three main categories: operating, investing, and financing activities.  There are also non-cash flows involving accounts that do not cause any cash flows.

What is the break even quantity for the following situation? FC is $1,200 per week, Variable cost is $2 per unit and Revenue is $6 per unit.A) 100.
B) 200.
C) 600.
D) 1,200.
E) 300.

Answers

Answer:

he Break-even quantity is 300 units.

Explanation:

The computation of the break even quantity is shown below

Given that

Fixed costs, FC = $1,200 per week

Variable costs, VC = $2 per unit

Revenue = $6 per unit

Based on the above information

Let us assume the break-even quantity be Z

As we know that

Total Costs = Total Revenue

Fixed costs + Variable costs = Price per unit × Quantity sold

$1,200 + ($2 x Z) = ($6 × Z)

1200 + 2Z = 6Z

4Z = 1200

Z = 300

Hence, the Break-even quantity is 300 units.

Certain schools of economic thought suggest that a _____________ would reduce pollution in a __________________, when compared to command-and-control regulation.
a. marketable permit; less cost-effective way
b. pollution tax; flexible, more cost-effective way
c. marketable permit; less flexible manner
d. pollution tax; less cost effective, but flexible way

Answers

Answer:

B.

Explanation:

Certain schools of economic thought suggest that a pollution tax would reduce pollution in a flexible, more cost-effective way when compared to command-and-control regulation. Therefore Option B is correct.

What is School?

School refers to a place where formal education or knowledge is conducted. This essay uses the term to refer to both lower-level and higher-level educational institutions.

A school is a section of the school system made up of pupils belonging to one or more grade levels or other dissimilar groupings, organized as a single commodity with one or more teachers to deliver teaching of a specific sort, and housed in one or more facilities.

As is the situation when elementary and secondary schools are housed in the same building or compound, more than one school may be located there.

According to the organization's mandate, the school's daily operations are overseen by elected officials who may include department heads and school administrators. The b role is one of learning, education, and research.

To know more about the School follow the link.

https://brainly.com/question/27601494

#SPJ6

Analyzing and Reporting Financial Statement Effects of Bond Transactions On January 1 of the current year, Trueman Corporation issued $600,000 of 20-year, 11% bonds for $554,861, yielding a market (yield) rate of 12%. Interest is payable semiannually on June 30 and December 31.
(a) Confirm the bond issue price. Round answers to the nearest whole number.
Present value of principal repayment Answer
Present value of interest payments Answer
Selling price of bonds $ 554,861
(b) Indicate the financial statement effects using the template for (1) bond issuance, (2) semiannual interest payment and discount amortization on June 30, and (3) semiannual interest payment and discount amortization on December 31 of the current year. Round answers to the nearest whole number. Use negative signs with answers, when appropriate.
Balance Sheet
Transaction Cash Asset + Noncash Assets = Liabilities + Contributed Capital + Earned Capital
(1) Answer Answer
1.00 points out of 1.00
Answer Answer Answer
(2) Answer Answer Answer Answer Answer
(3) Answer
0.00 points out of 1.00
Answer Answer Answer Answer
0.00 points out of 1.00
Income Statement
Revenue
-
Expenses
=
Net Income
Answer Answer Answer
Answer Answer Answer
0.00 points out of 1.00
Answer Answer Answer

Answers

Answer:

a) the issue price of the bonds was $554,861:

PV of face value = $600,000 / (1 + 6%)⁴⁰ = $58,333

PV of coupon payments = $33,000 x 15.046 (PV annuity factor, 6%, 40 periods) = $496,518

market price = $554,851 which is close enough to verify the issue price (the $10 difference is probably due to a rounding error).

b) the journal entries are:

January 1, year 1

Dr Cash 554,861

Dr Discount on bonds payable 45,139

    Cr Bonds payable 600,000

June 30, year 1

Dr Interest expense 33,292

    Cr Cash 33,000

    Cr Discount on bonds payable 292

amortization of discount of bonds payable = ($554,861 x 6%) - $33,000 = $291.66 ≈ $292

December 31, year 1

Dr Interest expense 33,309

    Cr Cash 33,000

    Cr Discount on bonds payable 309

amortization of discount of bonds payable = ($555,153 x 6%) - $33,000 = $309.18 ≈ $309

Assets                   =         Liabilities                                     +   Equity

Cash                         Bonds payable    Discount on BP

554,861                    600,000               (45,139)

(33,000)                                                 292                            (33,292)

(33,000)                                                 309                            (33,309)

Revenues      -          Expenses           =       Net income

0                                0                                  0

0                                33,292                         (33,292)

0                                33,309                         (33,309)

A semiannual TIPS was issued in December 2017 with a face value of $1,000 and a coupon rate of 1.2%. What coupon payment it must have paid in December 2018 if the CPI was 247.91 in December 2017 and 251.23 in June 2018?

Answers

Answer:

The coupon payment = $6.08

Explanation:

The coupon payment = Face value*Coupon rate / 2*CPI June 2017 / CPI December 2018

The coupon payment = $1,000*1.2% / 2*251.23 / 247.91

The coupon payment = 6.08035174055

The coupon payment = $6.08

Sarah's dog had purebred puppies that she decided to sell on www.puppyfind.com. She ships them using an airline. If a puppy dies and the buyer decides to sue, who can he sue?


Sarah

the sole proprietorship

the airline carrier

all of the above

Answers

Answer:

The buyer should sue the airline carrier

Explanation:

Because it is the airlines job to make sure that the puppy are safe and health

One reason for imbalance or disequilibrium in the family during the adolescent years is that parents
A. are too involved in their own careers to notice their children.
B. may be experiencing their own type of "identity crisis."
C. may be pushing their child toward financial independence too early.
D. are too restrictive of their adolescents' finances.

Answers

Answer: B. may be experiencing their own type of "identity crisis."

Explanation:

Studies have shown that adolescents tend to suffer from identity crises as they enter and progress through teenagehood as they learn which behavior to assimilate and adopt and which to discard.

This has been shown to often coincide with the midlife crises felt by adults which on its own can be a form of identity crises. When this coincides with the identity crises felt by adolescents, an imbalance or disequilibrium in the family is experienced.

Tatum can borrow at 7.15 percent. The company currently has no debt and the cost of equity is 11.55 percent. The current value of the firm is $670,000. The corporate tax rate is 25 percent. What will the value be if the company borrows $385,000 and uses the proceeds to repurchase shares? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) Value of the firm __________

Answers

Answer:

$766,250

Explanation:

The value of the firm is calculated as follows:

Value of firm = Current value + (Borrowing *Tax rate)

Value of firm = $670,000 + ($385,000*25%)

Value of firm = $670,000 + $96,250

Value of firm = $766,250

The value of the firm will be $766,250 if it borrows $385,000 and uses the proceeds to repurchase shares.

Consider the following information about an asset that is being review for impairment: Book value $ 700,000 Estimate future cash flows 650,000 Fair value 590,000 What is the amount of the impairment loss for this asset?

Answers

Answer:

The amount of the impairment loss for this asset is $110,000

Explanation:

A assets is impaired when the fair market value of that assets lowers than the book value of the asset.

To calculate the impairment of an assets following formula is used

Impairent = Book value of Asset -  fair market value of the asset

Placing values in the formula

Impairent = $700,000 -  $590,000

Impairent = $110,000

Selling and administrative expenses include all of the following except:____________. a. shipping document preparation. b. post-sale technical support. c. factory overhead. d. customer return processing.

Answers

Answer:

c. factory overhead.

Explanation:

Selling and administrative expenses can be defined as the operating expenses which comprises of all the costs incurred in the smooth running of a business.

Selling and administrative expenses include all of the following shipping document preparation, post-sale technical support, and customer return processing except factory overhead.

A factory overhead can be defined as the amount of money incurred by a company or business entity in the course of its manufacturing process.

This ultimately implies that, factory overhead refers to cost incurred in the manufacturing process of finished goods and cannot be linked directly to the goods.

The factory overhead costs include costs such as indirect labor, rent, depreciation, utility bills, property taxes etc.

what is the effect of a "payment on account" by the business and by the

customer

Answers

Answer:

The Effect of a "Payment on Account"

By the Business:  

The payment reduces the balance of the Accounts Payable.  A current liability is reduced while cash is also reduced by an equal amount.

By the Customer:

The payment reduces the balance of the Accounts Receivable.  One current asset is reduced and a current asset (cash) is increased by an equal amount.

Explanation:

"Payment on account" represents settlement of liabilities by the business or the customer.  When the business settles its liability, there is an outflow of cash.  When a customer settles its liability to the business, there is an inflow of cash to the business.

theory of production​

Answers

Answer:

Theory of production, in economics, an effort to explain the principles by which a business firm decides how much of each commodity that it sells (its “outputs” or “products”) it will produce, and how much of each kind of labour, raw material, fixed capital good, etc., that it employs (its “inputs” or “factors of .

Explanation:

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Jumber Corp makes one product. Budgeted unit sales are shown belowJan 7300Feb 8600March 10100April 13600The ending finished goods inventory should equal 30% of the following month's sales. The budgeted required production for February is closest to:A) 8600 unitsB) 11630 unitsC) 9050 unitsD) 14210 units

Answers

Answer: 9050 units

Explanation:

From the information given in the question, the following can be deduced:

Budgeted sales for February = 8,600

Add: Desired ending inventory = 3% × 10100 = 0.3 × 10100 = 3,030

Total needs = 8600 + 3030 = 11630

Less: Beginning inventory = (2,580)

Required production = 9050

The budgeted required production for February is 9050 units

Consider the estimated equation from your textbook: Test Score = 698.9 - 2.28 times STR, R^2 = 0.051, SER = 18.6 (10.4) (0.52) The t-statistic for the slope is approximately: a) 67.20. b) 4.38. c) 1.76. d) 0.52.

Answers

Answer:

b) 4.38

Explanation:.

Calculation for the t-statistic for the slope

Using this formula

Slope = Regression equation / Standard Error

Let plug in the formula

Slope= 2.28 / .52

Slope = 4.38

Therefore the t-statistic for the slope is approximately 4.38

Both excess supply and excess demand are a result of
equilibrium
disequilibrium
overproduction.
elasticity

Answers

Answer:

disequilibrium

Explanation:

Disequilibrium is the state of the market when the external and internal forces are stopping from achieving the market balance, so the market is excessively falling out this balance. It can be short-term, or long-term

Disequilibrium happens when the supply is not equal to the demand, when the market is inequal, it can lead to excess supply and excess demand.

Excess demand and excess supply only affect the market as a result of disequilibrium.

What is Disequilibrium?This is a scenario where the quantity supplied does not match the quantity demanded at a given price. Leads to a lost of balance in economy as well as price problems.

When the demand is not enough to meet the supply, this disequilibrium is called excess supply. The reverse is excess demand.

In conclusion, option B is correct.

Find out more on disequilibrium at https://brainly.com/question/657854.

Organization ________ refers to the formal arrangement of roles, responsibilities, and relationships within an organization.

Answers

Answer:

A) structure

Explanation:

The organization structure is the structure where the arrangement of the rule, roles, responsibilities, relationships in a formal way could be done in an organziations.

It tells the way to accomplish the goals and the objectives of the company

Therefore according to the given situation, the option A is correct

hence, the same is to be considered

Tri-coat Paints has a current market value of $41 per share with earnings of $3.64. What is the present value of its growth opportunities (PVGO) if the required return is 9%?

Answers

Answer:

the present value of its growth opportunities (PVGO) is $0.56

Explanation:

The computation of the present value of growth opportunities is shown below:

= Price per share - (Earnings ÷ required rate of return)

= $41 - ($3.64 ÷ 9%)

= $41 - $40.44

= $0.56

hence, the present value of its growth opportunities (PVGO) is $0.56

We simply applied the above formula so that the correct value could come

And, the same is to be considered  

The wages payable related to the factory workers for Larkin Company during the month of January are $76,000. The employer's payroll taxes for the factory payroll are $8,000. The fringe benefits to be paid by the employer on this payroll are $6,000. Of the total accumulated cost of factory labor, 85% is related to direct labor and 15% is attributable to indirect labor.
Prepare entries for factory labor.
Instructions
a. Prepare the entry to record the factory labor costs for the month of January.
b. Prepare the entry to assign factory labor to production.
(Weygandt, 12/2017, p. 20-31) Weygandt, J. J., Kimmel, P. D., Kieso, D. E. (2017). Accounting Principles, 13th Edition. [[VitalSource Bookshelf version]]. Retrieved from vbk://9781119411017 Always check citation for accuracy before use.

Answers

Answer:

a. Date  Account Titles and Explanation     Debit       Credit

             Factory labor                                   $90,000

                      Factory wages payable                            $76,000

                      Employer payroll taxes payable              $8,000

                      Employer fringe benefits payable            $6,000

b. The entry to assign factory labor to production is the following

Date  Account Titles and Explanation     Debit       Credit

          Work in process inventory             $76,500

           (85% of $90,000)

           Manufacturing overhead                $13,500

            (15% of $90,000)

                    Factory labor                                          $90,000

In the previous problem, suppose the project requires an initial investment in net working capital of $150,000, and the fixed asset will have a market value of $185,000 at the end of the project. What is the project’s Year 0 net cash flow?

Answers

Answer: See explanation

Explanation:

You didn't tell us the previous problem you are talking about but let me help out.

The project’s Year 0 net cash flow will be calculated as:

= - Initial cost in fixed assets - Net working capital

Since we already know that our net working capital is $150,000, let's assume that the initial cost in fixed assets given in your previous problem is $2,000,000.

Therefore, the project’s Year 0 net cash flow will be:

= -2,000,000 - 150,000

= -2,150,000

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