Questions
Question # 2 — Percentage-of-completion method. Arshdeep Builders contracted to build a high-rise for $35,000,000. Construction...

Question # 2 — Percentage-of-completion method.
Arshdeep Builders contracted to build a high-rise for $35,000,000. Construction began in 2018 and is
expected to be completed in 2020. Data for 2018 and 2019 are:
Costs incurred to date Estimated costs to complete
Arshdeep uses the percentage-of-completion method.
Instructions
2018 $4,500,000 18,000,000
2019 $13,000,000
12,000,000
(a) How much gross profit should be reported for 2018? Show your computation.
(b) How much gross profit should be reported for 2019?
(c) Make the journal entry to record the revenue and gross profit for 2019.

In: Accounting

1.A firm has a ROE of 16.875%, asset turnover of 2.5, and an equity multiplier of...

1.A firm has a ROE of 16.875%, asset turnover of 2.5, and an equity multiplier of 1.5. If the firm has sales revenue of $10000, what is its net income? Net income is $450

2.A firm has cash flow from assets of $200, cash flow to creditors of $125, and $15 of net equity raised. Calculate the amount of dividends paid to shareholders. Dividends paid : $90

3.What is the firm’s sustainable growth rate? I got 13.5% for sustainable growth rate but I don't know why it is wrong please help

In: Finance

Cruz Inc. manufactures a popular premium toy. During its first year, the company incurred these costs:...

Cruz Inc. manufactures a popular premium toy. During its first year, the company incurred these costs:

$427000 Cost to manufacture 7000 toys
$110000 Research and development costs
$35000 Cost to ship completed products to retailers

Cruz sells 80% of its products for $183 each.

1. What will Cruz report as sales revenue for Year1?  

2. What will Cruz report as the cost of goods sold for Year1?  

3. What will Cruz report as net income for Year1?  

4. What will Cruz report as inventory on the balance sheet as of the end of Year1?  

In: Accounting

EGN3613: Engineering Economics Analysis Assignment 1 What are the steps used in a decision making process?...

EGN3613: Engineering Economics Analysis

Assignment 1

What are the steps used in a decision making process? Provide an example of the process in bank replacing their old ATM machines with new state of the art ones.

Define the role of engineers in the Business Decision Making Process.

Explain the difference between large and small scale Engineering Projects.

Explain in details that factors that might affect Engineering Economic Decisions

What does the Economic Principle “Marginal revenue must exceed marginal cost” means? Provide at least two references to support your explanation.

In: Economics

Calculate the Net Present Value and Pay-Back Period for the below investment (please show calculations): Rate...

Calculate the Net Present Value and Pay-Back Period for the below investment (please show calculations):

Rate of Return: 15%

Inflation Rate: 2%

Please note: Investment costs are taken at the start of the year and recurring costs and revenue at the end of the year.

The cash flows in the table are nominal cash flows (they have not been adjusted for inflation)

Investment:

Year Investment Cost Recurring Cost Savings
0 $                 300,000
1 $            100,000 $          75,000
2 $            100,000 $        150,000
3 $            100,000 $        300,000
4 $            100,000 $        500,000
5 $            100,000 $        500,000

In: Finance

Vaughn Inc. had beginning inventory of $12,411 at cost and $19,700 at retail. Net purchases were...

Vaughn Inc. had beginning inventory of $12,411 at cost and $19,700 at retail. Net purchases were $99,730 at cost and $153,700 at retail. Net markups were $10,500, net markdowns were $6,400, and sales revenue was $149,700. Assume the price level increased from 100 at the beginning of the year to 105 at year-end. Compute ending inventory at cost using the dollar-value LIFO retail method. (Round ratios for computational purposes to 1 decimal place, e.g. 78.7% and final answer to 0 decimal places, e.g. 28,987.)

In: Accounting

An adjusting entry shows a debit to Depreciation Expense. The credit would be to Accumulated Depreciation....

An adjusting entry shows a debit to Depreciation Expense. The credit would be to Accumulated Depreciation. (T/F)

ABC Co. provides contracting services to XYZ Co. XYZ paid ABC in advance (down payment). This would be deferred revenue for ABC. Co (T/F)

To record depreciation for the month you would (A. dr. Accumulated Depreciation and cr. Depreciation Expenses) (B. dr. Depreciation Expenses and cr. Accumulated Depreciation) (C. dr. Depreciation Expense and cr. Cash) (D. none of these are correct)

Adjusting entries can be categorized as accruals or deferrals. (T/F)

In: Accounting

A firm is considering purchasing a new machine, which costs $600,000 and has a six-year life,...

A firm is considering purchasing a new machine, which costs $600,000 and has a six-year life, a CCA rate of 25 percent and an expected salvage value of $40,000. The asset class will remain open. The project will generate sales revenue of $200,000 in the first year, which will grow at 6 percent per year in the subsequent years. Variable costs will be $80,000 for the first year, which will grow at 7 percent per year. The firm's marginal tax rate is 35 percent and required return is 10 percent. Should the project be accepted?

Preferred using Excel as the answer

In: Finance

James Jones is the owner of a small retail business operated as a sole proprietorship. During...

James Jones is the owner of a small retail business operated as a sole proprietorship. During 2018, his business recorded the following items of income and expense.

Revenue from Inventory Sales $147,000

Cost of Goods Sold 33,500

Business License Tax 2,400

Rent on Retail Space 42,000

Supplies 15,000

Wages Paid to Employees 22,000

Payroll Taxes 1,700

Utilities 3,600

A.) Compute taxable income attributable to the sole proprietorship by completing Schedule C to be included in James's 2018 Form 1040. You mush show your work!

In: Accounting

(TCO C) A tile manufacturer has supplied the following data. Tons of cement produced and sold...

(TCO C) A tile manufacturer has supplied the following data.

Tons of cement produced and sold

220,000

Sales revenue

$924,000

Variable manufacturing expense

$297,000

Fixed manufacturing expense

$280,000

Variable selling and admin expense

$165,000

Fixed selling and admin expense

$82,000

Net operating income

$100,000



Required:
Calculate the company's unit contribution margin.
Calculate the company's contribution margin ratio.
If the company increases its unit sales volume by 5% without increasing its fixed expenses, what would the company's net operating income be?

In: Accounting