As an alternative to the used automobile , the student can purchase a new “utility” model for $13,600 with a 3-year warranty. First-year maintenance cost is expected to be $50 and the maintenance cost will increase by $50 per year thereafter. Operation costs for this new automobile are expected to be $960 for each year of use and its salvage value decreases by 20% per year.What is the economic advantage of the new automobile without interest; with interest at 10%?

Q: ž Inventory U Apr 24 Apr. 30 Apr 30 Balance 0 s, and sales data for portable game players are as…

A: Lets understand the basics. In LIFO basis company assumes that, goods purchase last in the inventory…

Q: the business. February 1 - PPS paid advance rent for 6 months. P120,000. February 2 - PPS received…

A:

Q: What is the trial balance of balances

A: Business organizations generally prepare a statement that contains the balances of all the ledgers…

Q: 2.)  Feather Friends, Inc., distributes a high-quality wooden birdhouse that sells for $20 per unit.…

A: 1. No we do not recommend to do changes as the profit is decreasing by 6000.

Q: If Goodwill is understated on the financial statements: O a. Total Liabilities are understated O b.…

A: The correct answer for the above mentioned question is given in the following steps for your…

Q: job costing system implementaion?

A: Job Costing System: The act of gathering information on the expenses associated with a particular…

Q: Lower of Cost or Market Moore Company uses the LIFO inventory method and carries Product A in…

A: Ceiling , Net realizable value  = Selling price  - cost to sell =$10 -$1 =$9

Q: received                                                 1,000,000 Long-term loss accrual in excess…

A: The difference between Financial income and Taxable income will result in Deferred tax assets or…

Q: A company reported the following: Net income $423,790 Preferred dividends $31,390 Shares of common…

A: Calculation of company's price-earnings ratio :- To calculate company price earnings ratio we need…

Q: The business entity assumption is important because O a. it requires that the company record all of…

A: Business entity assumption is a fundamental accounting assumption as per which the business entity…

Q: PLEASE ANSWER ALL QUESTIONS IN BOTH 1 AND 2 PLEASE. 1. Some accountants believe that deferred taxes…

A: Temporary differences are defined as differences between the carrying amount of assets and…

Q: ACCOUNT Retained Earnings Date Item Debit Credit Debit Jan. 1 Balance June 30 Stock dividend 17,500…

A: >Statement of Cash flows is one of the financial statements, and is prepared for a particular…

Q: Using the net present value method

A: The NPV is calculated in the following table:

Q: On January 1, 2020, Naruto Company signed an eight-year noncancelable lease for a new machine,…

A: Present value of aggregate lease payments on January 1, 2020 is P10,80,000 hence at the inception of…

Q: Perpetual Inventory Using FIFO Beginning inventory, purchases, and sales for Item Zeta9 are as…

A: Purchases   Sales   Closing balance  Date  Quantity    Rate   Amount   Quantity    Rate…

Q: used in manufacturing a product. ofessional fees paid to consultants to conduct market study-----P…

A: Research & Development expense- The costs incurred in developing new products or processes are…

Q: Comparative financial statement data for Carmono Company follow: This Year Last Year Assets Cash $3…

A: The cash flow statement (CFS), is a financial statement that summarizes the movement of cash and…

Q: On January 2, 2021, Mr Smith company leased a machine from Mrs Smith Company.   The the following…

A: The formula to calculate the right to use asset is as below.  Right to use asset = Lease liability +…

Q: Logan and Johnathan exchange land, and the exchange qualifies as like kind under § 1031. Because…

A: The realized gain is calculated by deducting the adjusted basis from the amount realized. If the…

Q: The taxpayers are husband and wife  with the following data during the taxable year:  Husband:…

A: Income Tax Calculation Here to discuss the details of the calculation of income tax for both Husband…

Q: On January 3, 2018, Honest company acquired an item of property, plant and equipment at a cost of…

A: Asset will be reclassified as held for sale will be valued at lower of following 1) carrying value…

Q: They Company owns land and building classified as investment property. The land and building is…

A:

Q: Bought office supplies of P21,400 in cash on May 29, 2019. At the end of the fiscal reporting period…

A: 1. Entry to be made on May 29, 2019: Dr. Supplies Expense 21,400 Cr. Cash 21,400 2. Supplies in hand…

Q: Bought office supplies of P21,400 in cash on May 29, 2019. At the end of the fiscal reporting period…

A: Under Expense Method, we first calculate the office supplies used and then record journal entries.…

Q: ID=P17,122.05 and N = P21,318.29, what is the value of E? Note: E Total Earnings D-Deduction N= Net…

A: Formula used : Net pay = Total earnings - Deductions

Q: They Company owns land and building classified as investment property .  The land and building is…

A: Fair value gain for the year 2021 = Fair value of Investment property as on Dec 31, 2021 - Fair…

Q: Which of the following users is not considered an internal user of accounting O a. An employee O b.…

A: Internal user of accounting means the stakeholder within the organization who uses the accounting…

Q: Johnson last month (December) sales were 20,000 units @ $50. The company estimates an increase of…

A: A budget is a forecast of revenue and expenses for a certain future period of time that is generally…

Q: 0.4 10.0 Long-term debt ratio Times interest earned Current ratio 12 1.0 Quick ratio Cash ratio 0.5…

A: 1) Current ratio = Current Assets / Current Liabilities   1.2 = Current Assets / 75   Current Assets…

Q: Chapter : Fixed Assets On December 10, 2018, Stella contracted with Billys Construction to have a…

A:

Q: Preference over dividends 4. Rainbow Co. has 100,000 (P50 par) 6% preference shares and 250,000 (P40…

A: Note: As per our guidelines, we will solve the first three subparts for you.   a)

Q: The Barrell Company is approached by a bank that offers to implement a lockbox system of receipts…

A: Lockbox system is one of the system used by banking industry. This is a bank operated mailing…

Q: How much unrealized gain on equity investment is recognized in profit or loss for the year 2020?

A: The determination of unrealised gain on equity investment that should be recognised in profit or…

Q: how much is the gross profit to be recognized in 2023?

A: Gross profit recognized in 2023= total Gross profit - gross profit in 2022.

Q: Prepare the Income Statement for the month ended 31 December 2021 using the variable costing method.

A: Lets understand the basics. There are two type of costing system are followed which are, (1)…

Q: Bought office supplies of P21,400 in cash on May 29, 2019. At the end of the fiscal reporting…

A: Option 3

Q: Zombie Berhad has the following trial balance at 31 December 2021: RM RM 7,602,504 Revenue Purchases…

A: We are given the trial balance of Zombie Berhad as on 31st Dec 2021 along with some additional…

Q: Process 1 AP beer company prepare beer using two processes, information for the next period Is as…

A: Given that, Input material in process one = 2,000 kg Labor cost = $12,000 Normal loss = 10%  Actual…

Q: On July 1, 2023, Jerry Corporation acquired 25% of the shares of Von, Inc. for P1,000,000. At that…

A: Note: Since you have posted a question with multiple sub-parts, we will solve first three subparts…

Q: During the year 2021, Pal Company purchased 1,000 shares of Pak Company ordinary shares at P150 per…

A: It is pertinent to note that securities held for trading purposes are measured at fair value through…

Q: The following are the unit costs of making and selling an item at a volume of 30,000 units per month…

A: In case of defective products to be sold, the cost of manufacturing the defective products have…

Q: Chapter : Goodwill On January 1, 2021, PT Nain purchased the net asset of PT Wuna which will be an…

A: . Financial records are those documents which reflect or summarize business transactions.A proper…

Q: Sales-Value-at-Split-off Method Alomar Company manufactures four products from a joint production…

A: at the sales split point it is considered at a point where the cost of two or more product can be…

Q: Question A 68-year old retiree has a pension savings of $51,000, a 401k of $58,000, and an IRA…

A: Option 2

Q: Account Title Cash Accounts Receivable Supplies Land Office Equipment Accumulated Depreciation…

A: Stockholder's Equity - Stockholder's Equity includes the amount contributed by shareholders issued…

Q: An entity reported the following information during the first year of operations: Pretax financial…

A: The income tax expense is computed based on financial income. The difference between the actual…

Q: acquire the net assets of Best Company.  Better is willing to pay for goodwill computed by…

A: Goodwill is the intangible assets for the company and when would will eat self generated it is not…

Q: Speedy Clean Laundry purchased $6,500 worth of laundry supplies on June 2 and recorded the purchase…

A: A journal entry is a form of accounting entry that is used to report a business transaction in a…

Q: Question 1 1. Justin is the sole trader of DMK Trading who maintains his non-current assets at cost.…

A: A capital improvement is the addition of a permanent structural change or the restoration of some…

Q: The average of the stockholder's equity was not computed, factored in, nor explained.

A: The average of the stockholder's equity is calculated by taking the average of the current year and…

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.