Universal Foods issued 10% bonds, dated January 1, with a face amount of $150 million on January 1, 2016. The bonds mature on December 31, 2030 (15 years). The market rate of interest for similar issues was 12%. Interest is paid semiannually on June 30 and December 31. Universal uses the straight-line method. Required: 1. Determine the price of the bonds at January 1, 2016. 2. Prepare the journal entry to record their issuance by Universal Foods on January 1, 2016. 3. Prepare the journal entry to record interest on June 30, 2016. 4. Prepare the journal entry to record interest on December 31, 2023.
Answers
Answer:
1. $ 129,352,725
2. Jan 1 2016
Jan 1 2016
Dr Cash $ 129,352,725
Dr Discount on issue of bonds $20,647,275
Cr Bonds payable $150,000,000
3. June 30, 2016
Dr Interest expense $8,188,243
Cr Discount on bonds payable $688,243
Cr Cash $7,500,000
4. December 31, 2023
Dr Interest expense $8,188,243
Cr Discount on bonds payable $688,243
Cr Cash $7,500,000
Explanation:
1. Calculation to Determine the price of the bonds at January 1, 2016
First step is to find Present value of an ordinary annuity of $1: n = 30, i = 6% (PVA of $1) using ordinary annuity table
Present value of an ordinary annuity of $1: n = 30, i = 6% (PVA of $1)
Present value of an ordinary annuity of $1=13.76483
Second step is to find the Present value of $1: n = 30, i = 6% (PV of $1)
Present value of $1: n = 30, i = 6% (PV of $1)=0.17411
Now let calculate the Price of the bonds at January 1, 2016
Interest $ 103,236,225
[(10%/2 semiannually*$150,000,000) *13.76483]
Add Principal $26,116,500
($150,000,000 *0.17411 )
Present value (price) of the bonds $ 129,352,725
($ 103,236,225+$26,116,500)
Therefore the Price of the bonds at January 1, 2016 will be $ 129,352,725
2. Preparation of the journal entry to record their issuance by Universal Foods on January 1, 2016.
Jan 1 2016
Dr Cash $ 129,352,725
($ 103,236,225+$26,116,500)
Dr Discount on issue of bonds $20,647,275
($150,000,000-$ 129,352,725)
Cr Bonds payable $150,000,000
(Being to record issue of Bond)
3. Preparation of the journal entry to record interest on June 30, 2016
June 30, 2016
Dr Interest expense $8,188,243
($7,500,000 + $688,243)
Cr Discount on bonds payable $688,243
($20,647,275 ÷ 30)
Cr Cash $7,500,000
(10%/2 × $150,000,000)
(Being to record interest paid)
4. Preparation of the journal entry to record interest on December 31, 2023.
December 31, 2023
Dr Interest expense $8,188,243
($7,500,000 + $688,243)
Cr Discount on bonds payable $688,243
($20,647,275 ÷ 30)
Cr Cash $7,500,000
(10%/2× $150,000,000)
(Being to record interest paid)
Related Questions
Joseph and Krystal are part of your social group. They joined Missile’s Financial Services together as middle managers. Each one, reports to a different senior manager. These senior managers report to the Managing Director. Once a month after payday, Joseph, Krystal and other members of the social group all try to have lunch together.
Joseph is very distressed. ‘I’ve had an awful week and this morning was the worst!’ He recounts what happen between himself and Nicholas, his manager.
‘Nicholas and I were to meet with a new supplier to finalize a contract. I have been dealing with the supplier all this time, over two and a half months and we just needed to finalize the costing. We had reached an agreement about the cost that both of us were comfortable with. For the past two weeks, I have been trying to get Nicholas to look at the contract and agree the figures etc. We really need this guy’s company. They are fast and have a great reputation for products and services. The price is good and they are willing to customize the stationary, with no additional cost to us. Anyway, Nicholas was always too busy to meet. I emailed him the contract and my teams thoughts on how we should proceed hoping he would read it.’ My team consists of the Accounts/Finance Manager, Inventory Manger, Legal, Research & Development, Public Relations Manager and I, and we meet at different times and days, whether collectively or selectively.
‘Anyway we, Nicholas and I, met with the supplier this morning. We are going through the contract, the next thing I know Nicholas says, ‘This won’t work for us. The cost is too high. Where did these calculations come from?’ ‘If the floor had opened up and swallowed me I could have not been more embarrassed. I mean I spent three weeks, working on it with the team Accounting, PR and Legal! Joseph shaking his head continued, ‘he just took over the conversation. I mean we got the contract signed but in the end all that happened was that the figures were rearranged we still end up paying the same.’ ‘I am tired of this foolishness. He stays locked in his office on his cell every day. Only God knows what he does in there.’
1. Do you believe that Nicholas is an unethical manager? Justify your response by choosing one of the ethical decision making concepts outlined in unit 2 to argue/support your writing.
2. From the chosen ethical decision making concept selected by you in question 1, show its relationship to any one of the variables in an analytical tool, outlined in unit 1, read.
Answers
1. Based on the information provided, it is not possible to ascertain whether Nicholas is an unethical manager. However, Joseph’s account of the situation raises some red flags about Nicholas’ behavior.
2. The chosen ethical decision-making concept is fairness, which is one of the key ethical principles in business.
1. Based on the information provided, it is not possible to ascertain whether Nicholas is an unethical manager. However, Joseph’s account of the situation raises some red flags about Nicholas’ behavior. It appears that Nicholas did not take the time to review the contract or the team’s thoughts, but still took over the conversation with the supplier and changed the figures. This behavior could be seen as a violation of the ethical principle of fairness, which involves treating others in a reasonable, equitable, and impartial way. Nicholas’ actions suggest that he did not give due consideration to the team’s input or their efforts to finalize the contract, which could affect their working relationship and trust in him as their manager.
2. The chosen ethical decision-making concept is fairness, which is one of the key ethical principles in business. Fairness is based on the idea of treating all stakeholders equitably and impartially, taking into account their needs, interests, and perspectives. In this case study, Nicholas’ actions appear to violate the principle of fairness by disregarding the efforts of Joseph and his team to finalize the contract, and making unilateral changes without adequate review or discussion.
To analyze this situation using an analytical tool, we can use the Stakeholder Mapping tool, which helps to identify and categorize stakeholders based on their level of interest and power. In this tool, stakeholders are divided into four categories: High power/high interest, High power/low interest, Low power/high interest, and Low power/low interest. In this case, Joseph and his team are the stakeholders with high power and high interest in the situation, as they are responsible for finalizing the contract.
Using the Stakeholder Mapping tool, we can see that Nicholas’ actions have the potential to undermine the trust and collaboration of high power/high-interest stakeholders, who are critical to the success of the project. Specifically, his actions may cause frustration, resentment, and loss of confidence in his management ability. This could result in a breakdown of communication and cooperation, which would ultimately affect the team’s performance and the overall success of the project. Therefore, it is important for Nicholas to consider the perspectives and input of all stakeholders, including those with high power and high interest, when making decisions that affect them. By doing so, he can ensure that his decisions are ethical, fair, and aligned with the needs of all stakeholders.
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The city in which you live provides its budget information in monthly budgetary control reports with each month representing 1/12th of the overall budget. You overhear several managers discussing the budget at a community meeting. You were surprised to hear that half of the managers liked this process and that the other half felt that it did not adequately match their expenses. Discuss the issues regarding the preparation of the budgets and why half of the departments liked the process and why the other half did not like the process.
Answers
The process of comparing actual revenues and expenditures to budgeted figures/planned income or expenditure is known as budgetary control. Half of the department likes the budget process because it is beneficial to them, while the other half dislikes it because it does not adequately match their expenses.
What is budgetary control?Budgetary control is a set of procedures that ensures an organization's actual revenues and expenditures closely match its financial plan. The system typically entails setting personal budget-based goals for managers, as well as a set of rewards that are triggered when the goals are met.
Some managers did not like the budget as the expenses revealed in the budget did not match with the expenses that the managers have forecasted. For the other half of the managers, they liked the budgetary control that the city have provided because it is as per their expectation.
Therefore, the issue regarding the preparation of the budgets are discussed.
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If
you are
using $50 to buy your groceries, which function of money is
this?
Answers
Answer:
Medium of Exchange
Explanation:
A medium of exchange is an instrument used as an intermediary to facilitate the exchange of goods and services. A good medium of exchange must give a fair valuation of the items being traded. Money is a widely accepted medium of exchange.
Almost all items in a market have a monetary value attached to them. A Buyer or seller would easily know the amount of money needed to trade an item. The $50 is being used as a medium of exchange for the purchase of groceries. The seller accepts the money if they agree with the buyer on the quantity of groceries worth $50.
1. All of the following are characteristics of perfectly competitive markets, except:A: No barriers to entry or exit (fully mobile)B: Large number of buyers & sellersC: A homogeneous product (not differentiated)D: Individual firms have the power to control price.2. The individual firm's demand curve (as compared to the market demand curve) in a perfectly competitive market is:A: Perfectly inelastic (vertical)B: Downward sloping, but inside of the market demand curve.C: Perfectly elastic (horizontal at the market price)D: Identical to the market demand curve.3. The maximization of profit occurs where:A: Total costs reaches a minimum.B: The price is as high as the demand will allow.C: Total revenues reaches a maximum.D: The difference between total revenues (TR) and total costs (TC) is the greatest.4: A firm's shutdown point is:A: The minimum on the marginal cost curve (MC).B: The minimum on the average variable cost (AVC) curve.C: The minimum on the average total cost curve (ATC).D: When demand equals zero.5. Which of the following statements about perfectly competitive markets is correct?A. In the long run, perfectly competitive firms earn zero economic profit.B. In the long run, perfectly competitive firms can earn profits, losses or break-even.C. In the short run, firms will never choose to shut down.D. In the short run, perfectly competitive firms will never earn a profit.
Answers
1) Note that all of the following are characteristics of perfectly competitive markets, except "A homogeneous product (not differentiated" (Option C)
2) The individual firm's demand curve (as compared to the market demand curve) in a perfectly competitive market is: " Downward sloping, but inside of the market demand curve" (Option B)
3) The maximization of profit occurs where: "The difference between total revenues (TR) and total costs (TC) is the greatest." (Option D)
4) A firm's shutdown point is "The minimum on the average variable cost (AVC) curve." (Option B)
5) The statement about perfectly competitive markets that is correct is;" In the long run, perfectly competitive firms earn zero economic profit" (Option A)
What is a perfectly competitive market?A perfect market, sometimes known as an atomistic market, is described in economics by numerous idealizing requirements, together known as perfect competition, or atomistic competition.
A marketing situation in which there are many vendors of a product that cannot be distinguished and, as a result, no single business has a substantial price effect.
Other prevalent variables are the ease with which new enterprises can enter the market and excellent market knowledge.
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Consider this scenario: “Your supervisor asks you to prepare a five-slide presentation for a brief executive training session. Company executives have new laptops with PowerPoint 2013 installed and he wants you attend the next training session to discuss PowerPoint document properties and demonstrate how to set them.” What information will you include in your presentation?
Answers
Since, the Company Executives have new laptops with PowerPoint 2013 installed , I would demonstrate the properties of PowerPoint 2013 in the presentation.
What is PowerPoint 2013 ?PowerPoint 2013 is a presentation software that allows you to create dynamic slide presentations. Slideshows can include animation, narration, images, videos, and much more.
The presentation will contain all the features of the PowerPoint and how to use them. The features include Presenter View, Color Picker, Play From and Motion Path End, Threaded comments, Switching accounts / SkyDrive integration.
Therefore, the presentation for the training session will include features about PowerPoint 2013 and how to use them.
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As a producer and seller of athletic shoes, apparel, and equipment, Nike sells
gross domestic products
goods
services
supplies
Answers
As a producer and seller of athletic shoes, apparel, and equipment, Nike sells goods.
Goods are tangible products that people buy to satisfy their wants and needs. Goods can be classified into two categories: consumer goods and producer goods.Consumer goods are items purchased by consumers for their own use and enjoyment, while producer goods are used by businesses to produce other goods and services.Therefore, Nike sells goods, which are tangible products such as athletic shoes, apparel, and equipment.Nike is a leading producer and seller of athletic shoes, apparel, and equipment. The company is one of the largest players in the sportswear industry and is recognized globally for its high-quality products and innovative designs. As a producer and seller of these goods, Nike contributes significantly to the gross domestic product of many countries. The gross domestic product is the total value of goods and services produced in a country within a particular period.For more questions on Nike
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Why is it important to stick to a study schedule even if you are caught up with everything? a It guarantees higher grades on your exams. b It helps to create good study habits. c It is time set aside so you can take a break from watching television. d It gives you more time to play your favorite game without interruption.
Answers
Answer:
Explanation:
B - It helps to create good study habits.
A $15 cash payment is made to Starbucks to purchase coffee for a business client, a $64 cash payment is made for supplies purchased from Office Depot, and a $42 cash payment is made to UPS to deliver goods to a customer. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
Answers
Answer:
The journal entry to record the replenishment of the fund is Petty Cash Fund $92 Cash $92 Journal entry:Before proceeding with the journal entry, we have to determine the total amount = cash payment made to starbucks + cash payment to supplies + cash payment to UPS= $13 + $46 + $33= $92Now the journal entry is Petty Cash Fund $92 Cash $92 (To record the replenishment of the funds)
Explanation:
It can be a bit tricky to tell the difference between a national and international
business.
True
False
Answers
Answer:
False
Explanation:
Domestic business involves those economic transactions that take place within the geographical boundaries of a country. International business involves those economic transactions that take place outside the geographical boundaries of a country.
International business can help improve political relations among countries. Culture refers to the type of government of a country.
The contrast between those with and those without Internet access is known as the __________ divide.
A. technology
B. global digital
C. interspace
D. None of the above
Answers
Answer: It is 100% B. Global digital
Explanation: The answer is on Quizlet.
The contrast between those with and without Internet access is known as the Global Digital divide. Thus option (B) is correct.
What is the Digital Divide?The digital divide refers to the gap between demographics and regions that have access to modern information and communications technology and those that don't.
The digital divide encompasses the technical and financial ability to utilize available technology, along with access(or lack of access) to the internet. It exist between developed and developing, urban and rural populations.
The consequences of the digital divide include isolation, which can affect mental health, educational barriers as postsecondary education increasingly moves online, and worsening gender discrimination, also affects the human and economic development of a nation.
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Step 2. Search to find any summary about the company that mentions funds for starting the business. Try to find any information containing employee data in this section.
Step 3. Find the section where the product or service is detailed. Look to see what kinds of products or services will be involved with the business. Compare this with what other similar business plans are offering.
Record the information you found for steps 2 and 3. Make sure you discuss how the company got money to start the business, employee data, and what products or services the company provides in comparison with what other similar business plans are offering.
Answers
We can see here that such company gotten after searching for company that mentions funds for starting the business is Go-o-gle.
Funds for starting the business: $1 million in funding from Andy Bechtolsheim.
Employee data: over 160,000 employees worldwide.
What is a company?A company is a legal and organizational entity formed by individuals or a group of individuals with the purpose of conducting business activities. It is an association of individuals who come together to engage in commercial, industrial, or professional activities in order to generate revenue and make a profit.
Their products are digital and online services.
Comparing this company, we see Microsoft.
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Which stage of the product development cycle first involves a deep look into whether the demand is high enough to make the product profitable? A. test market B. financial analysis C. commercialization D. idea evaluation
Answers
Answer:
b
Explanation:
Explain the meaning of environmental scanning. Illustrate with examples the
relevance of technological, political, economic, social, and regulatory environments
in the context of marketing strategy. How managers are involved in environmental
scanning?
Answers
Environmental scanning refers to the process of gathering and analyzing information about the external factors that can impact an organization's business environment.
Technological factors include advancements in technology, such as the rise of e-commerce, mobile applications, or automation, which can create new marketing channels or change consumer behaviors.
Political factors encompass government policies, regulations, and political stability that can impact marketing strategies. For example, changes in trade policies or regulations related to data privacy can influence international marketing activities.
Economic factors include economic conditions, such as inflation rates, exchange rates, or consumer purchasing power, which can affect consumer behavior and demand for products or services.
Social factors refer to societal trends, cultural norms, and consumer preferences that can influence marketing strategies. For instance, shifts in consumer values towards sustainability or increased focus on health and wellness can shape product development and advertising campaigns.
Regulatory factors involve laws and regulations that organizations must comply with, such as consumer protection laws or industry-specific regulations. These can impact marketing activities, advertising content, or product labeling.
Managers play a crucial role in environmental scanning. They are responsible for monitoring and analyzing the external environment, identifying relevant trends and potential opportunities, and making informed decisions based on the insights gained.
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Using the readings for this unit as a guide, discuss what you see as the role of ethics as it pertains to management and managers. Does management, in your view, help shape the values and ethics of an organization? What about an organization’s sustainability efforts and commitment? On whom does the responsibility to consider sustainability fall? Is employee behavior, ethical or not, a by-product of the organization's ethical climate? What ideally is the manager's role in helping to create and maintain organizational integrity?
Answers
Managers must be committed to making decisions in accordance with core values such as honesty, integrity, respect for others, taking responsibility for their actions and being accountable for them. To be an effective, ethical leader, managers must learn how to spot ethical issues in their organization.
Social responsibility is a business's duty to make ethical decisions that positively impact society. Organizations need to consider how their actions affect communities to create long-lasting trusting relationships. In order to be socially responsible, companies must strictly follow their codes of ethics.
Economics Unit 5 Study Guide
Answers
The Government agency and the organizations are the groups that are facilitated for the working by the government, privately or with government support.
What is Government agency?The Government agency and the organizations are the groups that are operated either privately or by the government for the operation of the task.
The Government agency is defined as a public organization with the task to complete the work for the government.
The Government Contractor is a private business that works for the completion of the government work.
The Government Corporation is given as the establishment for the independent operation of the goods and services supported by the government.
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intends on adding a new product line. the contribution margin ratio for the new product is 0.2. they have a target operating income of $60,000, and targeted sales volume in dollars is $480,000. then total fixed costs must be: g
Answers
Answer:
The total fixed costs must be:
$36,000.
Explanation:
a) Data and Calculations:
Contribution margin ratio for the new product = 0.2
Target operating income = $60,000
Targeted sales volume in dollars = $480,000
Fixed costs = targeted sales volume in dollars multiplied by contribution margin ratio, minus target operating income
Fixed costs = ($480,000 * 0.2) - $60,000 = $36,000
b) The focus should be on the break-even formula for dollar sales with a target profit. When the formula is reversed, the fixed costs can be calculated as shown above.
Which of the following is a characteristic of general partnerships? (1 point) O The partnership has limited life. O The partners have limited liability. O Each partner has different rights when representing the partnership. O One person is the owner of a general partnership.
Answers
Each partner has different rights when representing the partnership is a characteristic of general partnerships
What happens in a general partneship?A general partnership is a business arrangement by which two or more individuals agree to share responsibilities assets profits and financial and legal liabilities of a jointly owned business.
The basic characteristics of a general partnership include group ownership personal liability decentralized management and pass through federal income taxation limited liability of owners for business matters is the primary benefit that is available under other business structures but it is not characteristic of a general partnership.
Therefore the correct answer to your question is Each partner has different rights when representing the partnership.
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Conducting a search of the store is part of store closing duties.Why?
Answers
Searching for the store is one of the store closing duties so no work or the detailing of the extra work to be done is being overlooked.
What are the Store closing duties?Store closing duties are one of the most important duties which is a must and also needs to be followed the most important thing regarding the store closing duties are to in an organized manner to close down the hops and also to move on freely for over some time.
The Store closing duties include a lot of things including the most important and also the only way of carefully carrying out the most essential form of few steps that to look after the shops, the customers as well as the way a sho needs to close before anything else.
Store closing duties are also carried out very carefully and it is the most important responsibility of the store owners.
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If a Target front store item is out of stock, and CVS needs the item to fill a script, what should CVS employee do?
Answers
Answer:
CVS employees should ask customers to wait till the new stock arrives.
Explanation:
Target Front stores operates in a busy area. Customers visit and buy from target store as they find it easy to buy everything at one shop. It is a kind of department store which offers every product to its customers. When target store is out of certain products it should immediately mark it as stock out so that customer does not waits for it.
Discuss the political, social, economic, technological and other
configurations that support cross-border trade by giving examples of any
multinational firms operating in Ethiopia
Answers
Answer: , I can give you an overview of the political, social, economic, and technological factors that support cross-border trade, along with some examples of multinational firms operating in Ethiopia.
Political Factors: - The government's policies and regulations play a significant role in supporting cross-border trade. - A favorable political climate encourages multinational firms to invest in the country.
- Ethiopia has implemented policies aimed at attracting foreign investors, such as tax incentives and relaxed regulations.
- The government's efforts to improve infrastructure, such as roads and ports, has also contributed to the growth of cross-border trade. Social Factors:
- The availability of skilled and affordable labor is an important factor that influences the growth of multinational firms in Ethiopia. - Ethiopia's young and growing population presents an opportunity for firms to expand their markets. - The cultural diversity of the country is also attractive to multinational firms seeking to expand their operations globally. Economic Factors: - Ethiopia has a liberalized economy with a stable macroeconomic environment that supports cross-border trade. - The country has made significant progress in economic reforms, including the privatization of state-owned enterprises. - Ethiopia's strategic location, with access to the Red Sea and proximity to the Middle East and Europe, has made it an attractive destination for multinational firms. Technological Factors: - Technology has played a significant role in supporting cross-border trade, making it easier and more cost-effective. - The use of e-commerce platforms has made it possible for multinational firms to reach customers in different parts of the world. - The availability of high-speed internet and mobile networks has also facilitated cross-border trade. Examples of Multinational Firms Operating in Ethiopia: - Coca-Cola is a global brand that operates in Ethiopia and has invested heavily in the country. - H&M, the Swedish fashion retailer, has opened stores in Ethiopia, taking advantage of the country's textile industry. - Unilever, the British-Dutch consumer goods company, has also invested in Ethiopia, setting up a manufacturing plant for its products. In conclusion, the political, social, economic, and technological factors mentioned above have contributed to the growth of cross-border trade in Ethiopia. This has attracted multinational firms to invest in the country, with many seeing Ethiopia as a potential hub for doing business in Africa
Explanation:
Diego Company manufactures one product that is sold for $71 per unit in two geographic regions—the East and West regions. The following information pertains to the company’s first year of operations in which it produced 54,000 units and sold 49,000 units. Variable costs per unit: Manufacturing: Direct materials $ 22 Direct labor $ 12 Variable manufacturing overhead $ 3 Variable selling and administrative $ 5 Fixed costs per year: Fixed manufacturing overhead $ 864,000 Fixed selling and administrative expenses $ 586,000 The company sold 36,000 units in the East region and 13,000 units in the West region. It determined that $280,000 of its fixed selling and administrative expenses is traceable to the West region, $230,000 is traceable to the East region, and the remaining $76,000 is a common fixed cost. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product.
5. What is the company’s total gross margin under absorption costing?
6 What is the company’s break-even point in unit sales?
7. What would have been the company’s variable costing net operating income (loss) if it had produced and sold 49,000 units? What would have been the company’s absorption costing net operating income (loss) if it had produced and sold 49,000 units? Prepare a contribution format segmented income statement that includes a Total column and columns for the East and West regions.
Answers
Answer:
Diego Company
1. The company's total gross margin under absorption costing is:
= $802,000
2. The company's break-even point in unit sales is:
= 50,000 units
3. The company’s variable costing net operating income (loss) if it had produced and sold 49,000 units is:
= ($29,000).
4. The company's absorption costing net operating income (loss) if it had produced and sold 49,000 units is:
= ($29,000).
5. Contribution Format Segmented Income Statement
East West Total
Sales units 36,000 13,000 49,000
Sales revenue $2,556,000 $923,000 $3,479,000
Variable cost of goods sold:
Production costs 1,332,000 481,000 1,813,000 ($37 * 49,000)
Selling and admin. 180,000 65,000 245,000
Total variables $1,512,000 $546,000 $2,058,000
Contribution $1,044,000 $377,000 $1,421,000
Fixed costs:
Manufacturing 280,000 230,000 510,000
Common costs 76,000
Total fixed costs $280,000 $230,000 $586,000
Net income $764,000 $146,000 $835,000
Explanation:
a) Data and Calculations:
Selling price = $71 per unit
East West
Sales units 36,000 13,000
Production units = 54,000
Sales unit = 49,000
Variable costs per unit:
Manufacturing:
Direct materials $ 22
Direct labor $ 12
Variable manufacturing overhead $ 3
Total variable manufacturing costs = $37 per unit
Variable selling and administrative $ 5
Fixed costs per year:
Fixed manufacturing overhead $ 864,000
Fixed selling and administrative expenses $ 586,000 (West $280,000 East $230,000, and $76,000 common)
Total fixed costs = $1,450,000
Total gross margin under absorption costing:
Sales revenue $3,479,000 ($71 * 49,000)
Cost of production:
Variable costs $1,813,000
Fixed costs 864,000 2,677,000
Gross profit $802,000
Break-even point in unit sales:
Sales price = $71
Variable manufacturing cost per unit = $37
Variable selling cost per unit = $5
Total variable cost per unit = $42
Contribution margin per unit = $29
Break-even point in unit sales = FC/contribution margin
= $1,450,000/$29 = 50,000 units
Sales revenue $3,479,000 ($71 * 49,000)
Variable production costs 1,813,000 ($37 * 49,000)
Variable selling costs 245,000 ($5 * 49,000)
Total variable costs $2,058,000
Contribution margin $1,421,000
Fixed costs
Manufacturing 864,000
Selling and admin. 586,000 $1,450,000
Net operating income (loss) ($29,000)
Sales revenue $3,479,000 ($71 * 49,000)
Production costs:
Variable costs 1,813,000 ($37 * 49000)
Manufacturing 864,000
Total production costs 2,677,000
Cost of goods sold $2,677,000
Gross profit $802,000
Period costs:
Selling and administrative 831,000
Net operating income (loss) ($29,000)
free brainlyest. first answer gets it
Answers
Answer:
adasdw
Explanation:
Answer:
yeah letttttsssss goooooo
WatchNU is a company that designs and manufacturers drones for military use. The supply manager is getting ready to renegotiate the contract with the security service provider that it uses for its offices and manufacturing plant. Three suppliers responded to the RFP for security services for the next three years. The current security services provider, SecureIT quoted $945,000 per year. Two suppliers that have not been used by WatchNU in the past quoted $1,048,000 and $1,056,000 respectively. The supply manager is also analyzing the costs associated with insourcing security services rather than using a supplier as a way to reduce costs and provide greater control over security. The salary and benefits for a full-time security services manager is estimated to be $99,000. Other fixed costs are estimated to be $29,000/year. Three security guards are needed 24 hours/day, 365 days per year. The salary and benefits for the security guards is $34/hour.
Required:
What are the costs to insource the security services?
Answers
Answer:
Variable Cost $893,520
Fixed Cost $128,000
Total Cost $1,021,520
Explanation:
Calculation to determine the costs to insource the security services
VARIABLE COST
Using this formula
Variable cost =Total Quantity of Output x Variable Cost Per Unit
Let plug in the formula
Variable cost =3* ($34/hour x 24 hours/day x 365 days per year)
Variable cost = $893,520
FIXED COST
Using this formula
Fixed cost=Salary and Benefits for a full time security service manager+Other Fixed Costs
Let plug in the formula
Fixed cost=($99,000) + ($29,000)
Fixed cost= $128,000
TOTAL COST
Using this formula
Total Cost = Variable Cost + Fixed Cost
Let plug in the formula
Total Cost=($893,520) + ($128,000)
Total Cost= $1,021,520
Therefore the costs to insource the security services will be:
Variable Cost $893,520
Fixed Cost $128,000
Total Cost $1,021,520
Robin Hood was an excellent archer and was the owner of Straight Shot Archery, Incorporated. The Merryman Annual Archery Tournament was taking place in three months. Little John wanted to compete in the tournament, however, he wanted to improve his skills with the bow and arrow and decided he was going to take a few lessons at Straight Shot Archery. Robin agreed to provide Little John 15 lessons for $2,500 beginning on June 1. On May 25, Little John realized that he would not have enough money, so he transferred his right under the agreement to Sheriff Nottingham, who had never used a bow or arrow before. Sheriff Nottingham notifies Robin that the contract had been assigned to him and demands that Robin Hood provide him with the lessons for $2,500.
Is Robin Hood required to perform on the contract? Assume that Robin Hood agreed to the assignment of providing lessons to Sheriff Nottingham and then fails to perform on the contract. Sheriff Nottingham sued Robin Hood for damages. Is Robin Hood liable on the contract?
Answers
In this scenario, Robin Hood agreed to provide 15 archery lessons to Little John for $2,500 beginning on June 1. However, before the lessons began, Little John assigned his right under the agreement to Sheriff Nottingham.
What is the story of Robin Hood's archery?According to legend, Robin of Locksley is taking part in an archery competition where the winner will receive a golden arrow. The final shot from his rival finds the target. Taking a step forward for his final shot, Robin also strikes the bulls-eye, splitting the other player's arrow that was already on the target.
Generally speaking, the assignment of a contract involves the transfer of one party's rights and obligations under the contract to another party. If the contract allows for assignment, and the assignment is valid, the assignee (in this case, Sheriff Nottingham) steps into the shoes of the original party (Little John) and assumes all of their rights and obligations under the contract.
Therefore, if the contract between Robin Hood and Little John allowed for assignment, and Little John's assignment to Sheriff Nottingham was valid, then Sheriff Nottingham would have the right to receive the 15 archery lessons in exchange for the $2,500 payment.
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What is the most effective way for an accounts payable coordinator
to maintain a positive relationship with outside organizations?
OA. by politely addressing customers and clients who carry past due
balances
O B. by providing assessments of credit risk to customers and
suppliers
C. by paying all vendors promptly for goods and services supplied
D. by outsourcing tasks such as payroll and collections when
appropriate
Answers
The most effective way for an accounts payable coordinator to maintain a positive relationship with outside organizations by paying all vendors promptly for goods and services supplied So, the correct answer is option C.
What is Account Payable?
Accounts payable (AP) is a liability on a company's balance sheet that represents the money that a business owes to its suppliers. Unlike notes payable liabilities, which are obligations made possible by formal legal instrument documents, it is distinct from such debts. Processing and reviewing business-to-business transactions with suppliers and ensuring that any outstanding invoices from suppliers are accepted, processed, and paid are the primary duties of an accounts payable department. Processing an invoice entails capturing crucial information from the invoice and entering it into the company's bookkeeping or financial system. Once this is done, the invoices must go through the specific business procedures of the organisation before being paid.To know more about Account Payable visit:
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Which of the outcomes in are most appealing to you? Are you more attracted to extrinsic outcomes or intrinsic outcomes?
Answers
Extrinsic outcomes are external rewards such as money, status, or recognition that come from achieving a goal. These outcomes are appealing to some individuals because they provide tangible benefits and can be easily measured by others.
On the other hand, intrinsic outcomes are internal rewards such as personal satisfaction, a sense of accomplishment, or personal growth that come from achieving a goal. These outcomes are appealing to some individuals because they provide a deeper sense of fulfillment and can be more meaningful in the long-term.
Ultimately, whether someone is more attracted to extrinsic or intrinsic outcomes depends on their personal values and goals. Some people may prioritize external rewards and seek to maximize their income or social status, while others may prioritize personal growth and seek to achieve goals that align with their passions and values.
It is important to strike a balance between both types of outcomes and to find a sense of purpose and satisfaction in the goals that we pursue.
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Classify the following items as an asset (A), a liability (L), or stockholders' equity (S) for Target Corporation, a large retailer:
a. Land
b. Accrued expenses payable
c. Supplies
d. Equipment
e. Notes payable
f. Long-term debt
g. Retained earnings
h. Prepaid expenses
i. Accounts payable
j. Accounts receivable
k. Merchandise inventory
l. Common stock
Answers
The classification of an asset, liabilities, or stockholder equity is as follows:
Land = AssetAccrued expenses payable = LiabilitiesSupplies = AssetEquipment = AssetNote payable = LiabilitiesLong-term debt = LiabilitiesRetained Earnings = Stockholder equityPrepaid expenses = AssetAccount payable = LiabilitiesMerchandise inventory = AssetCommon stock = Stockholder equityLearn more about the asset here: brainly.com/question/14404094
Using the information about managing a small business presented in this chapter, analyze whether you would like to work in a small business—either as an employee or as a founder. Given your personality, background, and experience, does working in or starting a new business appeal to you? What are the reasons for your opinion?
Answers
A small business provides innumerable options as the founder, as one can be the own boss and does not need to work under a large multi national corporation and can easily acquire employees proving them numerous opportunities and gaining huge profits.
What does the phrase "small business management" mean?
Aligning and coordinating all component of a small organisation is part of small business management. This can involve overseeing the company's everyday operations as well as its personnel, vendors, money, and other resources. The overall business strategy will frequently be under the control of a small business manager.
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What are some of the reasons why domestic policies change overtime?
Answers
Answer:
They changed as the USA entered the war.
Explanation:
American and domestic foreign policy during World
War 2 were linked in that once America entered the
war it had a significant impact on its economy.
When we say during World War 2 we must remember
that the USA did not enter the war until December
1941 after the attack on Pearl Harbour. Even then
there was no guarantee that they would become
involved in a war in Europe. It was Hitler who
declared war on the USA.
Prior to that American domestic politics
were dominated by the arguments between
interventionism and isolationism. President Roosevelt
had to tread a fine path in providing limited support to
the UK whilst being careful not to turn public opinion even more against involvement in a war thousands of miles away.
Japan's failure to deliver a knockout blow at Pearl Harbour meant that the US economy, on a war footing, was powerful enough to produce military hardware on a scale not seen before which would lead to victory in 1945 and the USA emerging as the most powerful country in the world.
Domestic policies change over time mainly due to changing societal values, economic conditions, and political influences. Society's evolving nature, economic developments, and shifts in political power greatly influence such changes.
Explanation:Domestic policies change over time due to a variety of reasons. The primary ones include changing societal values, economic conditions, and political influences. For instance, societal values evolve over time, which may either necessitate new policies or changes in existing ones to address contemporary issues. Economic conditions may influence policy changes for enhancing economic stability and growth. Changing political influences also play a significant role as different political parties with contrasting priorities and approaches to governance come to power.
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I need help with this question
Answers
Answer:
obstacles - provide a challenge