|
In: Accounting
Roberto Company makes wooden foot stools and has prepared a sales budget of 15,000 finished units for the first quarter of 2020. The company has an inventory of 450 foot stools on hand at December 31, 2019 and has a target finished goods inventory of 750 foot stools at the end of the first quarter, 2020. It takes five (5) board feet of wood to produce a foot stool. The company has 15,000 board feet of wood on hand at December 31, 2019 and a target ending inventory of 3,750 board feet at the end of the first quarter, 2020. The wood costs $8 per board foot. What is the cost of direct material used in the first quarter of 2020?
Group of answer choices $588,000 $600,000 $522,000 $612,000
In: Accounting
On January 1, 2020, Oriole Company purchased 11% bonds, having a maturity value of $328,000 for $353,515.61. The bonds provide the bondholders with a 9% yield. They are dated January 1, 2020, and mature January 1, 2025, with interest received on January 1 of each year. Oriole Company uses the effective-interest method to allocate unamortized discount or premium. The bonds are classified as available-for-sale category. The fair value of the bonds at December 31 of each year-end is as follows.
2020
$351,400
2023
$338,100
2021
$337,000
2024
$328,000
2022
$336,000
(a) Prepare the journal entry at
the date of the bond purchase.
(b) Prepare the journal entries to
record the interest revenue and recognition of fair value for
2020.
(c) Prepare the journal entry to
record the recognition of fair value for 2021.
In: Accounting
Presented below is information related to Kiwi Ltd. for calendar
2020. The corporation uses IFRS.
| Defined benefit obligation, Jan 1...................... | $720,000 | ||
| Fair value of plan assets, Jan 1........................ | 700,000 | ||
| Current service cost......................................... | 90,000 | ||
| Contributions to plan....................................... | 125,000 | ||
| Actual and expected return on plan assets...... | 56,000 | ||
| Past service costs (effective Jan 1).................. | 10,000 | ||
| Benefits paid to retirees.................................. | 96,000 | ||
| Interest (discount) rate.................................... | 9% |
The pension expense to be reported for 2020 is:
A) $108,800 B) $60,000 C) $140,000 D) $109,700
The balance of the defined benefit obligation at December 31, 2020 is
A) $779,700
B) $789,700
C) $778,800
D) $724,000
The fair value of the plan assets at December 31, 2020 is
|
$875,000. |
|
$819,000. |
|
$785,000. |
|
$805,000. |
In: Accounting
Wildhorse Company had $278,700 of net income in 2019 when the selling price per unit was $154, the variable costs per unit were $94, and the fixed costs were $573,300. Management expects per unit data and total fixed costs to remain the same in 2020. The president of Wildhorse Company is under pressure from stockholders to increase net income by $42,600 in 2020.
A.)Compute the number of units sold in 2019.
B.)Compute the number of units that would have to be sold in 2020
to reach the stockholders’ desired profit level.
C.)Assume that Wildhorse Company sells the same number of units in 2020 as it did in 2019. What would the selling price have to be in order to reach the stockholders’ desired profit level? New selling price
In: Accounting
The inventory of Waterway Company on December 31, 2020, consists
of the following items.
|
Part |
Quantity |
Cost per Unit |
Net Realizable Value |
||||
|---|---|---|---|---|---|---|---|
|
110 |
540 | $130.00 | $137.00 | ||||
|
111 |
930 | 82.20 | 71.00 | ||||
|
112 |
470 | 109.60 | 104.00 | ||||
|
113 |
180 | 232.90 | 246.60 | ||||
|
120 |
420 | 281.00 | 285.00 | ||||
|
121 |
a |
1,700 | 22.00 | 1.00 | |||
|
122 |
270 | 328.80 | 322.00 | ||||
a Part No. 121 is obsolete and has a realizable value of
$1.00 each as scrap.
(a) Determine the inventory as of December 31,
2020, by the LCNRV method, applying this method to each
item.
| Inventory as of December 31, 2020 |
$enter the Inventory as of December 31 in dollars |
(b) Determine the inventory by the LCNRV method,
applying the method to the total of the inventory.
| Inventory as of December 31, 2020 |
$enter the Inventory as of December 31 in dollars |
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.
Q- 8. What was the risk premium for this bond on October 15, 2020? [To 3 decimal places.]
In: Economics
On December 31, 2019, Sandhill Corporation had 140,000 common shares outstanding. On April 30, 2020, the company issued an additional 50,000 common shares for cash. On July 31, 2020, the company repurchased and cancelled 20,000 common shares.
During the year ended December 31, 2020, Sandhill earned income before taxes of $40,000,000. Not included in this income was a loss from discontinued operations of $5,000,000 before tax. The company was subject to a 25% income tax rate.
Calculate earnings per share(From continuing operations, Discontinuing operations) data as they should appear on the 2020 income statement of Sandhill Corporation. (Round answers to 2 decimal places, e.g. 52.75.)
Earnings per share
Continuing operations
$
Discontinued operations
Earnings per share
$
In: Accounting
On January 1, 2020, Riverbed Company purchased 12% bonds, having a maturity value of $276,000 for $296,924.88. The bonds provide the bondholders with a 10% yield. They are dated January 1, 2020, and mature January 1, 2025, with interest received on January 1 of each year. Riverbed Company uses the effective-interest method to allocate unamortized discount or premium. The bonds are classified as available-for-sale category. The fair value of the bonds at December 31 of each year-end is as follows. 2020 $294,800 2023 $286,100 2021 $285,000 2024 $276,000 2022 $284,100 (a) Prepare the journal entry at the date of the bond purchase. (b) Prepare the journal entries to record the interest revenue and recognition of fair value for 2020. (c) Prepare the journal entry to record the recognition of fair value for 2021.
In: Accounting
Case 2: Reporting shareholders’ equity
Vinabread Ltd had the following equity account on 1 July 2020:
Share Capital (100,000 shares) 1,800,000
Retained Earnings $ 960,000
General Reserve $ 100,000
Vinabread Ltd’s profit for the year ending 30 June 2020, which has not been included in the retained earnings was $180,000. During the year, the following transactions and events occurred:
July 15, 2020 Declared and paid interim dividend of $0.50 per share.
July 30, 2020 Effected 3 for 1 share split,
June 30, 2021 Declared a final cash dividend of $0.30 per share and transferred $20,000 from retained earnings to general reserve.
Required: Prepare the equity section of the statement of financial position of Vinabread Ltd as at 30 June 2021.
In: Finance