Many firm choose to enter the market early to get a number of advantages including the opportunity to do monopoly of the business. What are some benefits of entering market early? There are opportunities to enter the market late. Why a firm may choose to enter into a market late?
In: Computer Science
BC Company sells three products, X, Y, and Z. During October, Product X had sales of $500,000; Product Y had sales totaling $300,000; and Product Z reported sales of $200,000. ABC Company as a whole reported total fixed costs of $443,000, a total segment margin of $77,000, and a net income of $53,000. The traceable fixed costs for Product X amounted to $80,000 during October and the traceable fixed costs for Product Z were $60,000 in October. Calculate the traceable fixed costs with Product Y in October.
In: Accounting
On October 15, 2016, Koala, Inc. issued a 10 year bond (with a typical $1000 face value) that had an annual coupon value of $60. [We are assuming that the 2020 coupon has just been redeemed.]
• Initially, the bond was sold for the premium price of $1,025.
• On October 15, 2020, this bond was selling for only $975.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.5% on October 15, 2016, which reflects market expectations about future rates of inflation.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.0% on October 15, 2020, which reflects market expectations about future rates of inflation.
Question: What was the nominal yield on this bond on October 15, 2016? [To 1 decimal place.]
In: Economics
On October 15, 2016, Koala, Inc. issued a 10 year bond (with a typical $1000 face value) that had an annual coupon value of $60. [We are assuming that the 2020 coupon has just been redeemed.]
• Initially, the bond was sold for the premium price of $1,025.
• On October 15, 2020, this bond was selling for only $975.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.5% on October 15, 2016, which reflects market expectations about future rates of inflation.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.0% on October 15, 2020, which reflects market expectations about future rates of inflation.
Question- What was the nominal yield on this bond on October 15, 2020? [To 1 decimal place.]
In: Economics
On October 15, 2016, Koala, Inc. issued a 10 year bond (with a typical $1000 face value) that had an annual coupon value of $60. [We are assuming that the 2020 coupon has just been redeemed.]
• Initially, the bond was sold for the premium price of $1,025.
• On October 15, 2020, this bond was selling for only $975.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.5% on October 15, 2016, which reflects market expectations about future rates of inflation.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.0% on October 15, 2020, which reflects market expectations about future rates of inflation.
Question- What was the current yield on this bond on October 15, 2020? [To 2 decimal place.]
In: Economics
On October 15, 2016, Koala, Inc. issued a 10 year bond (with a typical $1000 face value) that had an annual coupon value of $60. [We are assuming that the 2020 coupon has just been redeemed.]
• Initially, the bond was sold for the premium price of $1,025.
• On October 15, 2020, this bond was selling for only $975.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.5% on October 15, 2016, which reflects market expectations about future rates of inflation.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.0% on October 15, 2020, which reflects market expectations about future rates of inflation.
Question- What was the risk premium for this bond on October 15, 2016? [To 3 decimal places.]
In: Economics
On October 15, 2016, Koala, Inc. issued a 10 year bond (with a typical $1000 face value) that had an annual coupon value of $60. [We are assuming that the 2020 coupon has just been redeemed.]
• Initially, the bond was sold for the premium price of $1,025.
• On October 15, 2020, this bond was selling for only $975.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.5% on October 15, 2016, which reflects market expectations about future rates of inflation.
• The market rate of interest for a riskless corporate bond, of this maturity, was 4.0% on October 15, 2020, which reflects market expectations about future rates of inflation.
Q- 8. What was the risk premium for this bond on October 15, 2020? [To 3 decimal places.]
In: Economics
1. Complete the Adjustments section of the work sheet using the following information:
On October 30, an inventory of the supplies showed that items costing $1,730 were used this
month. Record an adjustment for the supplies used in October.
On October 1, 20xx the company purchased a twelve-month insurance policy for $8,400.
Record an adjustment for the expired insurance during the month of October.
On October 3, the company purchased a six-month advertising contract for $4,800. Record an
adjustment for the expired advertising in October. Assume a full month of advertising expired in
October .
The company owns store equipment and purchased it for $83,000. The store equipment has an
estimated useful life of 8 years and a salvage value of $8,000. Record depreciation on the store
equipment for one month using the 200% declining balance method.
e - f. Based on a physical count, ending merchandise inventory was determined to be $21,500. g. Record the estimate for uncollectible accounts using the percent of credit sales method at 2%
of credit (on account) sales
Complete the remaining columns of the work sheet and determine the amount for net income (or net loss).
Copy the amounts on the worksheet in the Income Statement and Balance Sheet columns and create a horizontal ands vertical analysis
In: Accounting
Please, I need a correct answer and clear explanation. Thank you,
(Determine expenses)
The following are activities in a three-month period for Basiliadis Company:
1.A new lease for the business premises goes into effect on October 1 and increases the rent from $1,000 to $1,150 per month. The rent for the next month is always prepaid on the last day of the current month. Accordingly, rent of $1,000 was paid on August 31, and $1,150 was paid on September 30 and October 31.
2.The company borrowed $12,000 on September 1. The interest rate on the loan is 10% per year and interest is to be repaid quarterly.
3.Basiliadis Company purchased a large supply of lubricant for $2,000 on September 1. The lubricant is to be used in the company's operations and is expected to last for four months.
4.Employees work Monday through Friday and are paid each Monday for the previous week's work. The payroll for the week of Monday, September 29, to Friday, October 3 (paid on October 6), is $10,000. The payroll for the week of Monday, October 27, to Friday, October 31 (paid on November 3), is $10,500.
Required
For each of the above independent cases, determine how much of the cost should be recognized as expense in each of the months of September, October, and November.
In: Accounting
Wheeling Company is a merchandiser that provided a balance sheet as of September 30 as shown below:
| Wheeling Company Balance Sheet September 30 |
||
| Assets | ||
| Cash | $ | 70,600 |
| Accounts receivable | 118,000 | |
| Inventory | 51,300 | |
| Buildings and equipment, net of depreciation | 244,000 | |
| Total assets | $ | 483,900 |
| Liabilities and Stockholders’ Equity | ||
| Accounts payable | $ | 119,900 |
| Common stock | 216,000 | |
| Retained earnings | 148,000 | |
| Total liabilities and stockholders’ equity | $ | 483,900 |
The company is in the process of preparing a budget for October and has assembled the following data:
Sales are budgeted at $380,000 for October and $390,000 for November. Of these sales, 35% will be for cash; the remainder will be credit sales. Forty percent of a month’s credit sales are collected in the month the sales are made, and the remaining 60% is collected in the following month. All of the September 30 accounts receivable will be collected in October.
The budgeted cost of goods sold is always 45% of sales and the ending merchandise inventory is always 30% of the following month’s cost of goods sold.
All merchandise purchases are on account. Thirty percent of all purchases are paid for in the month of purchase and 70% are paid for in the following month. All of the September 30 accounts payable to suppliers will be paid during October.
Selling and administrative expenses for October are budgeted at $79,600, exclusive of depreciation. These expenses will be paid in cash. Depreciation is budgeted at $2,440 for the month.
Required:
1. Using the information provided, calculate or prepare the following:
e. A budgeted balance sheet at October 31.
2. Assume the following changes to the underlying budgeting assumptions:
(1) 50% of a month’s credit sales are collected in the month the sales are made and the remaining 50% is collected in the following month, (2) the ending merchandise inventory is always 10% of the following month’s cost of goods sold, and (3) 20% of all purchases are paid for in the month of purchase and 80% are paid for in the following month. Using these new assumptions, calculate or prepare the following:
a. The budgeted cash collections for October.
b. The budgeted merchandise purchases for October.
c. The budgeted cash disbursements for merchandise purchases for October.
d. Net operating income for the month of October.
e. A budgeted balance sheet at October 31.
In: Accounting