Zhender Inc. manufactures hair brushes that sell at wholesale for $2.60 per unit. Budgeted production in both 2018 and 2019 was 3,800 units. There was no beginning inventory in 2018. The following data summarized the 2018 and 2019 operations:
| 2018 | 2019 | |||||
| Units sold | 2,900 | 4,000 | ||||
| Units produced | 3,800 | 3,800 | ||||
| Costs: | ||||||
| Variable factory overhead per unit | $ | 0.55 | $ | 0.65 | ||
| Fixed factory overhead | $ | 1,710 | $ | 1,710 | ||
| Variable marketing per unit | $ | 0.75 | $ | 1.00 | ||
| Fixed Selling and Administrative | $ | 650 | $ | 650 | ||
Full costing operating income for 2018 is calculated to be: (Do not round intermediate calculations. Round your final answers to whole dollar amounts.)
In: Accounting
Maple Inc. owns equipment that it purchased on January 1, 2018 for $4 Million.
The following additional information is available:
Depreciation: 10-year useful life, straight line basis, no residual.
Dec 31, 2018 – Book value (after recording 2018 depreciation): $3,600,000
Dec 31, 2018 – Fair value: $4,500,000
Dec 31, 2019 – Fair value $3,000,000
The company uses the revaluation model (asset adjustment method) to account for its property, plant and equipment.
Instructions
Assuming the entry for the current year's depreciation has already been recorded, prepare the entr(ies) at:
In: Accounting
In: Accounting
On January 1, 2018, HGC Camera Store adopted the dollar-value LIFO retail inventory method. Inventory transactions at both cost and retail, and cost indexes for 2018 and 2019 are as follows: 2018 2019 Cost Retail Cost Retail Beginning inventory $ 42,000 $ 60,000 Net purchases 94,500 118,000 $ 108,108 $ 133,200 Freight-in 3,000 3,500 Net markups 15,000 10,000 Net markdowns 3,000 3,200 Net sales to customers 117,360 119,890 Sales to employees (net of 10% discount) 3,600 6,300 Price Index: January 1, 2018 1.00 December 31, 2018 1.04 December 31, 2019 1.09
In: Accounting
Federal Semiconductors issued 8% bonds, dated January 1, with a face amount of $740 million on January 1, 2018. The bonds sold for $671,914,968 and mature on December 31, 2037 (20 years). For bonds of similar risk and maturity the market yield was 9%. Interest is paid semiannually on June 30 and December 31. Required: 1. to 3. Prepare the journal entry to record their issuance by Federal on January 1, 2018, interest on June 30, 2018 (at the effective rate) and interest on December 31, 2018 (at the effective rate). 4. At what amount will Federal report the bonds among its liabilities in the December 31, 2018, balance sheet
In: Accounting
On February 1, 2018, Fox Corporation issued 7% bonds dated February 1, 2018, with a face amount of $120,000. The bonds sold for $108,125 and mature in 20 years. The effective interest rate for these bonds was 8%. Interest is paid semiannually on July 31 and January 31. Fox's fiscal year is the calendar year. Fox uses the straight-line method of amortization.
Required: 1. Prepare the journal entry to record the bond issuance on February 1, 2018.
2. Prepare the entry to record interest on July 31, 2018.
3. Prepare the necessary journal entry on December 31, 2018.
4. Prepare the necessary journal entry on January 31, 2019.
In: Accounting
On February 1, 2018, Fox Corporation issued 9% bonds dated
February 1, 2018, with a face amount of $240,000. The bonds sold
for $219,410 and mature in 20 years. The effective interest rate
for these bonds was 10%. Interest is paid semiannually on July 31
and January 31. Fox's fiscal year is the calendar year. Fox uses
the straight-line method of amortization.
Required:
1. Prepare the journal entry to record the bond
issuance on February 1, 2018.
2. Prepare the entry to record interest on July
31, 2018.
3. Prepare the necessary journal entry on December
31, 2018.
4. Prepare the necessary journal entry on January
31, 2019.
In: Accounting
Federal Semiconductors issued 13% bonds, dated January 1, with a face amount of $780 million on January 1, 2018. The bonds sold for $728,006,097 and mature on December 31, 2037 (20 years). For bonds of similar risk and maturity the market yield was 14%. Interest is paid semiannually on June 30 and December 31. Required: 1. to 3. Prepare the journal entry to record their issuance by Federal on January 1, 2018, interest on June 30, 2018 (at the effective rate) and interest on December 31, 2018 (at the effective rate). 4. At what amount will Federal report the bonds among its liabilities in the December 31, 2018, balance sheet?
In: Accounting
General Therapeutics Co.’s Revenue in 2018 was $55,000 while its cost of goods sold was $42,000; the company paid $600 in interest while value for depreciation was $6,000.
Also, for 2018 net fixed assets were $25,000 while its current assets were $8,000 and current liabilities were $5,000.
These are the values for 2017: net fixed assets = $19,500, current assets = $6,800 and current liabilities = $4,500. The tax rate is 35%.
Required:
In: Finance
|
The 2017 balance sheet of Kerber’s Tennis Shop, Inc., showed
$2.25 million in long-term debt, $730,000 in the common stock
account, and $6.4 million in the additional paid-in surplus
account. The 2018 balance sheet showed $3.9 million, $955,000, and
$8.65 million in the same three accounts, respectively. The 2018
income statement showed an interest expense of $200,000. The
company paid out $620,000 in cash dividends during 2018. If the
firm's net capital spending for 2018 was $760,000, and the firm
reduced its net working capital investment by $165,000, what was
the firm's 2018 operating cash flow, or OCF? |
Multiple Choice
$-2,710,000
$-5,140,000
$-3,305,000
$3,635,000
$-3,950,000
In: Finance