nswers are correct or not. Ps. In your solution, you identify the given and the what is being asked in the problem and I want to see the formula that you used and box your final answ
Q: The firm with the largest ratio of fixed costs to total costs automatically gets the greatest…
A: Lets understand the basics. Fixed cost is a cost which is fixed over a period of time. It includes…
Q: Merchandise is purchased for $6,000 on September 2 subject to terms of 2/10, n/30, FOB destination.…
A: Freight cost: Freight cost is the fee paid to a carrier company for transporting goods from their…
Q: 1. For external reporting, the individual financial statements of the home office and the branch are…
A: Hi student Since there are multiple questions, we will answer only first question.
Q: A B C Initial investment…
A: Net present value is one of the methods of capital budgeting where projects net present value is…
Q: Please document all journal entries for each month, January through March. - $65,000 Insurance…
A: Journal entries are first step in accounting to record business event. It always consist two parts…
Q: During 2021, Eaton Co. introduced a new product carrying a two-year warranty against defects. The…
A: The liabilities are the amount due to be paid in near future. The warranty Expenses are estimated…
Q: Juan Company purchased four convenience store buildings on January 1, 2015 for a total of…
A: Impairment is done when book value of an asset is more than it's recoverable value. In that case the…
Q: 17. Most lease agreements between landlords and tenants are classified as an estate for years. True…
A: Leasehold estate is an ownership of a temporary right to hold land or property in which a lesser or…
Q: For fiscal year 2021, ABC Corporation, a retailer, has Pl.4 billion in gross sales, P560 million in…
A: The amount of income tax due is the difference between the net income received and the amount paid…
Q: Using the Tax Schedule for Head of Household, calculate the tax for a head of household with a…
A: Income tax payable is an obligation for the tax payers to the government on the taxable income.…
Q: e takeover strategy that can be made by an entity when there is a high chance that current holders…
A: Introduction An anti-takeover measure is any move that is initiated on a ceaseless or irregular…
Q: How much should BC report as taxable gross income?
A: Gross income is the income which a company has earned by selling the products or services during the…
Q: Devon Corp. is trying to decide whether to lease or purchase a piece of equipment. The total cost…
A: While making the decision between purchasing or leasing the Equipment, net present value between…
Q: Calculate the gross profit and the sales figures using the income statement approach.
A: Income statement approach refers to the approach which is used to determine the gross profit and it…
Q: RUE OR FALSE? The cumulative effect of change in accounting policy is shown in the income statemen
A: Solution Concept Accounting policy refers to the principles that is used in the presentation and…
Q: Prepare the journal entry on the books of the partnership to record the withdrawal of Stine
A: Journal Entries a. Stin capital a/c Dr. 60000 Gregg capital a/c Dr. 8000 Baker capital a/c…
Q: Compute requirements #7,8 and 9
A: The technique of replacing a projected cost for an actual cost in accounting records is known as…
Q: Tic Ling sold 1,000 shares directly to the stock market for P 1,000,000. How much is the percentage…
A: Solution Provision applicable Percentage tax When the share is sold /disposed through…
Q: Cost of service 3,000,000 Stockholders’ Equity 5,000,000 Gross profit 2,000,000…
A: A tax liability is the total amount of tax debt owed by an individual, corporation, or other entity…
Q: ABC Corporation, an international organization made the following calls: Calls from Manila to…
A: There are various types of taxes imposed by a government on the services rendered in a country. The…
Q: The depreciation for 2022 and 2021 was P550,000 and P500,000, respectively. What amount was debited…
A: Depreciation refers to the reduction in the value of asset due to its normal use and tear and wear.…
Q: The general journal for Allie's Bakery is shown below. DATE DESCRIPTION DEBIT CREDIT 20X1 Aug.10…
A: Accounts receivable are current assets, resembling amount to be collected from the customers.
Q: 15. The following are examples of corporate expenses deductible from gross income, which of the…
A: To claim a deduction of expense it must qualify the following conditions 1. Expense that is…
Q: Correcting the Trial Balance: Near the end of the year, Alpha received $2,000 cash in advance from a…
A: The adjustment entries are prepared to adjust the revenue and expenses of the current period.
Q: Determine the adjusted BANK balance using the following data provided by Ilustre Company: Balance…
A: Bank reconciliation: It is a statement drawn up by the business to verify the cash book balance with…
Q: of a weight distribution of shares satisfying the criterion. there is a dictator there are exactly 3…
A:
Q: On January 1, 2021, Jason Corp. purchased 5-year bonds with a face value of P10,000,000 and a stated…
A: When bonds were classified based on business model of collecting contractual cash flows and to sell,…
Q: Kiwi company issued a 2.5% promissory note payable in 3 equal annual installments to purchase…
A: Introduction Note payable is a instrument and promissory note in which person agrees to pay certain…
Q: vanhoe Variety Store unes the LIFO retal inventory method. Information relating to the computation…
A: Inventory is the current asset reported on the balance sheet of the company. It is used in the…
Q: At January 1, 2021, the company had issued 40,000 executive stock options permitting executives to…
A: As per IAS 102, Share based payments Compensation expense will be recognised each year, over vesting…
Q: Freddy runs a business selling clocks. He buys 614 clocks for $44 each (including GST) and sells for…
A: Australian GST The GST Rate in Australia is 10% Goods and services tax (GST) is a tax of 10% on most…
Q: 6. Find the amount at the end of 15 years if P 55 000 is invested at an interest rate of 5%…
A: In the given question, P 55,000 is invested today at 5% compounded Semi-annually for 10 years and…
Q: 1. Compute the present value of a $2,000 deposit in year 1, and another $1,500 deposit at the end of…
A: Present value means the actual amount is adjusted with the interest rate so as to get the present…
Q: Nicanor retired at the end of 2022 after rendering 25 years of continuous services for ABC…
A: Introduction: 'Gross compensation' refers to the total of compensation and perks paid to or on terms…
Q: Seved Provide the missing data in the following table for a distributor of martial arts products:…
A: Financial ratios help to analyse various accounting data. Ratios summarise the data so that the…
Q: Cooper Inc. took physical inventory count at the end of 2020. On the day of physical count, there…
A: Generally there are two terms of Shipping: FOB SHIPPING FOB DESTINATION Under FOB SHIPPING,…
Q: On March 31, 20X1, Home Decorating Pavilion received a bank statement showing a balance of $9,650.…
A: Bank reconciliation statement is used to rectify the difference between the cash balance as per…
Q: Shale Remodeling uses time and materials pricing. It reports the following information: Direct…
A: Material mark up percentage is based on the material related overhead and markup rate on the…
Q: At January 1, 2021, Canaday Corporation had outstanding the following securities: 720 million common…
A: Earnings per share are the earnings of the company that is held in hands of the each shareholder of…
Q: 9.5 Irish Catering started in business on 1 January 2010, its financial year ending 31 December. The…
A: Depreciation is the amount which is to be reduced from value of assets to recognise the normal…
Q: Shipments of inventory to the branch may be billed at other than cost. When billing prices are above…
A: Introduction:- Branch Accounting is the different type of bookkeeping or accounting.…
Q: n an operating lease, when the annual lease payment is greater than the straight-line amortization…
A: Prepaid rent is the payment of money in advance for the purpose of rent. It would be recognized as a…
Q: gross
A: a) For the month of January, Mary's take-home salary would've been $14,560. To get at this figure,…
Q: An entity is preparing its financial statements for the first time in accordance with PFRS for SMEs…
A: Financial statements are the reports presenting the financial position and profitability of an…
Q: On January 1, 2021, Golden Company acquires $400,000 of ABC Company's 10- year, 6% bonds at a price…
A: Introduction Carrying value of bond refers to face value of bond plus unamortized premium, during…
Q: aughter, Tabitha. Tabitha sub alue of $200,000. How much
A: Fair market value refers to the monetary value of an asset at which the asset will be sold in the…
Q: What is financial assets designated at FVOCI? Why does an entity used it? How?
A: Here discuss about the details of financial assets which was segregated fair value through other…
Q: Benoit Company produces three products—A, B, and C. Data concerning the three products follow (per…
A: The contribution margin is calculated by deducting the variable cost from the sales revenues of the…
Q: Goodfellow Corporation reported insurance expense of $477 for the current year. The beginning and…
A: Solution: Amount of cash paid for insurance = Insurance expense for the year + Ending prepaid…
Q: The primary objective of the statement of cash flows is to provide information about a company's: O…
A: Solution: Statement of cash flows is a financial statement that provides data regarding all cash…
Good day! I need your help tutor please answer the question attached below. The answer is already provided, which means that will be your basis if your answers are correct or not.
Ps. In your solution, you identify the given and the what is being asked in the problem and I want to see the formula that you used and box your final answer. Don't give me a solution that is made in ms excel, I am not econ major so i'm asking for you to do the manual or the traditional computation.Lastly, don't give me a shortcut solution because i want to learn and study your computation :)
Step by step
Solved in 3 steps with 2 images
- Caduceus Company is considering the purchase of a new piece of factory equipment that will cost $565,000 and will generate $135,000 per year for 5 years. Calculate the IRR for this piece of equipment. For further instructions on internal rate of return In Excel, see Appendix C.Gardner Denver Company is considering the purchase of a new piece of factory equipment that will cost $420,000 and will generate $95,000 per year for 5 years. Calculate the IRR for this piece of equipment. For further Instructions on internal rate of return in Excel, see Appendix C.A printed circuit board manufacturer will construct a new plant. The potential sites have the following estimates of income and cost. A plant on Site A would cost $30.2 million (mil) to build, produce $31.6 mil/year in revenues, $22.7 mil/year in expenses, and last 18 years. At Site B construction will cost $34.5mil with $35.2mil of revenues per year, $25.2 mil/year in expenses and will also last 18 years. Use the internal rate of return to determine which site should be selected. TheMARRis 25% per year.
- A computerized machining center has been proposed for a small tool manufacturing company. If the new system, which costs $125,000, is installed, it will generate annual revenues of $100,000 and will require $20,000 in annual labor, $12,000 in annual material expenses, and another $8,000 in annual overhead (power and utility) expenses. A loan of $100,000 is borrowed from the bank for installation of the machining center which is repaid by equal annual repayments in 5 years at an interest rate of 8% compounded quarterly. Note that there is a working-capital requirement of $23,331 in year 0 and full recovery of the working capital at the end of year 5 for the machining center. The machining center would be classified as a seven-year MACRS property. If the asset is held for eight years, we can depreciate a seven-year property in respective percentages of 14.29%, 24.49%, 17.49%, 12.49%, 8.93%, 8.92%, 8.93%, and 4.46%. The company expects to phase out the facility at the end of five years,…APSco, a large electronics subcontractor for the Air Force, needs to immediately acquire 10 soldering machines with specially prepared jigs for assembling components onto circuit boards. More machines may be needed in the future. The lead production engineer has outlined two simplified, but viable, alternatives. The company’s MARR is 15% per year and capitalized cost is the evaluation technique.Alternative LT (long-term). For $8 million now, a contractor will providethe necessary number of machines (up to a maximum of 20), now andin the future, for as long as APSco needs them. The annual contract feeis a total of $25,000 with no additional per-machine annual cost. Thereis no time limit placed on the contract, and the costs do not escalate.Alternative ST (short-term). APSco buys its own machines for $275,000each and expends an estimated $12,000 per machine in annualoperating cost (AOC). The useful life of a soldering system is 5 years.Scottech is examining an investment opportunity that will involve buying $120,000 worth of equipment. They will need $10,000 in net working capital up front. Shipping will cost $5,000 and installation will cost $10,000. The firm paid a management consultant $4,000 to analyze this project, which is supposed to increase sales by $20,000 per year. If the firm accepts the project, they will have to spend $3,500 to train the employees to use the new equipment. The corporate tax rate is 21%. What is the initial outlay for the project? ($150,500) ($130,500) ($126,500) O ($148,500) O ($123,000)
- You must analyze a potential new product --- a caulking compound that Korry Materials’ R&D people developed for use in the residential construction industry. Korry’s marketing manager thinks they can sell 115,000 tubes per year at a price of $3.25 each for 3 years, after which the product will be obsolete. The required equipment would cost $125,000, plus another $25,000 for shipping and installation. Current assets (receivables and inventories) would increase by $35,000, while current liabilities (accounts payables and accruals) would rise by $15,000. Variable costs would be 60 percent of sales revenue, fixed costs (exclusive of depreciation) would be $70,000 per year, and the fixed assets would be depreciated under MACRS with a 3-year life. When production ceases after 3 years, the equipment should have a market value of $15,000. Korry’s tax rate is 40 percent, and it uses a 10 percent WACC for average risk projects. The R&D costs for the new product were $30,000, and…A new manufacturing facility will produce two products, each of which requires a drilling operation during processing. Two alternative types of drilling machines (D1 and D2) are being considered for purchase. One of these machines must be selected. For the same annual demand, the annual production requirements (machine hours) and the annual operating expenses (per machine) are listed in the shown Table. Which machine should be selected if the MARR is 15% per year? Show all your work to support your recommendation. Assumptions: The facility will operate 2,000 hours per year. Machine availability is 80% for Machine D1 and 75% for Machine D2. The yield of D1 is 90%, and the yield of D2 is 80%. Annual operating expenses are based on an assumed operation of 2,000 hours per year, and workers are paid during any idle time of Machine D1 or Machine D2. State any other assumptions needed to solve the problem.You must analyze a potential new product-a caulking compound that cory Material's R&D people developed for use in the residential construction industry. Cory's marketing manager thinks the company can sell 115,000tubes per year at a price of $3.25 each for 3 years, after which the product will be obsolete. The required equipment would cost $150,000, plus another $25,000 for shipping and installation. Current assets (receivables and inventories) would increase by $35,000, while current liabilities (accounts payable and accruals) would rise by $15,000. Variable cost per unit is $1.95, fixed costs (excluding depreciation) would be $70,000 per year, and fixed assets would be depreciated under MACRS with a 3-year life. (Refer to Appendix 12A for MACRS dwpreciation rates). When production ceases after 3 years, the equipment should have a market value of $15,000. Cory's tax rate is 40%, and it uses a 10% WACC for average-risk projects.
- In a bio-based material recycling company, the operation managers are considering a twin-screw extruder with a price of 12,000 OMR and another 2,000 OMR will be spent for shipping and installation of the extruder. The estimated net income generated from this machine is 3,500 OMR per year. The extruder will be used for 5 years, and then it will be sold for an estimated market value of 2,500 OMR. The extruder MARCS property class is 5 years. If the effective income tax rate (t) is 40% and the after-tax MARR is 10%. (a) What is the after-tax IRR for this project? (use trial and error procedure and GDS) (b) Should this extruder be purchased by the company?A consultant has recommended that you modernize a production line. Costs include $650,000 in equipment, a $10,000 investment in net working capital at the time of installation, and $5,000 in delivery and installation costs. The consultant has billed the firm for $7,500 for her analysis of the project. If the project is undertaken, an employee training program costing $8,000 would be required. The old machinery has no book value but can be sold for $100,000. Your firm's marginal tax rate is 34%. What is the initial outlay associated with the project? 619,500 612,000 570,000 578,000 607,000Consider a project to supply Detroit with 40,000 tons of machine screws annually forautomobile production. You will need an initial $5,600,000 investment in threadingequipment to get the project started; the project will last for 6 years. The accountingdepartment estimates that annual fixed costs will be $600,000 and that variable costsshould be $250 per ton. Further, the accounting department will depreciate the initialfixed asset investment straight-line to zero over the 6-year project life and estimate asalvage value of $450,000 after dismantling costs. The marketing department estimatesthat the automakers will let the contract at a selling price of $340 per ton. The engineeringdepartment estimates you will need an initial net working capital investment of $560,000.You require a return of 13 percent and face a marginal tax rate of 24 percent on thisproject.Suppose you’re confident about your own projections, but you’re a little unsure aboutDetroit’s actual machine screw…