On December 31, 2010, Beckford Company issues 150,000 stock-appreciation rights to its officers entitling them to receive cash for the difference between the market price of its stock and a pre-established price of $10. The fair value of the SARs is estimated to be $4 per SAR on December 31, 2011; $1 on December 31, 2012; $10 on December 31, 2013; and $9 on December 31, 2014. The service period is 4 years, and the exercise period is 7 years.Instructions:(a) Prepare a schedule that shows the amount of compensation expense allocable to each year affected by the stock-appreciation rights plan.(b) Prepare the entry at December 31, 2014, to record compensation expense, if any, in 2014.(c) Prepare the entry on December 31, 2014, assuming that all 150,000 SARs are exercised.

Answers

Answer 1

Answer:

Beckford Company

a) A schedule of Compensation Expense for each year:

Stock-Appreciation Rights (SARs):

Date Due                  SARs        Fair Value  Compensation  Annual %

                                                    of SARs    Recognizable    Expenses

December 31, 2011   150,000      $4            $600,000    $150,000 (25%)

December 31, 2012  150,000      $1                150,000        37,500 (25%)

December 31, 2013  150,000      $10        $1,500,000      375,000 (25%)

December 31, 2014  150,000      $9         $1,350,000      337,500 (25%)

Total SARs Compensation Expense for the 4 years =  $900,000

b) Journal Entry at December 31, 2014 to record compensation expense:

Debit Compensation Expense (SARs) $337,500

Credit SARs Liability $337,500

To record the compensation expense for 2014.

c) Debit Compensation Expense (SARs) $900,000

Credit SARs Liability $900,000

To record the compensation expense for the four years.

Explanation:

a) Data and Calculations:

Stock-appreciation rights = 150,000

Period of exercise = 4 years

Portion exercisable each year = 37,500 (150,000/4)

Pre-established price of SARs = $10

Fair values of the SARs are:

December 31, 2011 = $4

December 31, 2012 = $1

December 31, 2013 = $10

December 31, 2014 = $9

b) Stock Appreciation Rights (SARs), like stock options, compensate Beckford employees during a predetermined period of four years with the difference between the stock's market price and a predetermined price of $10.  Since the SARs are exercisable over four years, the compensation expense is based on the portion of the stock that is exercisable each year (which is 150,000 divided by 4).  It differs from stock options because employees are entitled to a cash payment or stock issuance at the end of the period, whereas employees pay for stock options when they exercise them.


Related Questions

should central banks implement expansionary monetary policy to prevent deep recessions with uncertain long-term consequences?

Answers

Yes, the bank should use expansionary monetary policy.

When the economy is in recession and the produces less than its potential GDP, then expansionary fiscal policy is most suitable. The contractionary fiscal policy reduces the aggregate demand by either cutting government expenditure or raising the taxes.

During difficult economic circumstances, the central bank may use the expansionary monetary policy to reduce the unemployment and stimulate growth. It normally does so by decreasing its benchmark federal funds rate, or the interest rate at which banks lend to one another to meet reserve requirements.

Therefore, the answer is yes.

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Blue Stores accepts both its own and national credit cards. During the year, the following selected summary transactions occurred.
Made Blue credit card sales totaling $20,800. (There were no balances prior to January 15.)
Made Visa credit card sales (service charge fee 2%) totaling $5,400.
Collected $11,800 on Blue credit card sales.
Added finance charges of 1.5% to Blue credit card account balances.
Jan. 15
20
Feb. 10
15
Journalize the transactions for Blue Stores. (Credit account titles are automatically indented when amount is entered. Do not indent
manually. Record journal entries in the order presented in the problem.)
Account Titles and Explanation
Date
Debit
Credit
www
I

Answers

Answer:

yes

Explanation:

yes cause everyone uses the journal

Case Study 4.3: Is There Really a Market for it? (pp. 127 - 129). This particular case study seems to bring to light many of the questions that in the future, you will have to ask as you begin to market your products or services. It also aligns well with the Marketing Plan that you are building.

answer all 6 questions in details.

Answers

The characteristics of the population that made hospital adminstrators a potential market is the disease incidence and the referral patterns.

How to illustrate the information?

When the suburb population was examined, the service that the analyst think would appeal to the community is a housing unit.

The type of research that was carried out to verify the conclusion based on the secondary data is a survey of the community residents.

The findings contradicted what was found in the secondary data as it was found that the population wasn't progressive and the housing construction wasn't necessary.

Also, the development of the innovative health sector was discouraged as it was found that the population preferred traditional medicine.

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When calculating the quick ratio or "acid test" which current asset or liability is omitted?​

Answers

Inventory is omitted while computing the quick ratio or "acid test".

The quick ratio is computed as shown below:

= (Current Assets - Inventory) / Current Liabilities

As can be seen in the above formula, inventory is omitted while computing the quick ratio

So, the correct answer is the option of Inventory.

The "acid-taste" ratio is used to indicate an organization's capability to repay its current liabilities without relying on the sale of stock or on obtaining extra financing.

Inventory is not protected in calculating the ratio, as it is not in the essential asset which could result easily and unexpectedly converted into cash.

Your question is incomplete. Please read below for the missing content.

When calculating the quick ratio or "acid test" which current asset or liability is omitted?

A. Account [Payables

B. Inventory

C. Accounts Receivable

D. Cash

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1. Define economics from perspective of wealth, welfare, Scarcity & Growth which, defenation more suits for economics? Why ? ​

Answers

Economics can be defined as the study of the scarce resources that are in a [place and how to use the scarce resources to carry out production of goods and services for the growth of society.

Why is this a great definition of economics?

This is due to the fact that it takes into consideration the fact that there a limited  resources in a nation.

And despite these the needs are plenty and so it is useful that the scarce resources are well utilized to solve the issues of man.

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Beedle issued a 10-year bond to Aeron Company on 1/1/20x6. The bonds have a 6% annual interest rate and pay interest semi-annually on June 30 and December 31. The market rate of interest on 1/1/20x6 for bonds of similar risk was 5% (annual). The face value of the bonds purchased was $200,000.
The fair value of the bonds of the bonds at December 31 was as follows:
$ 213,200 12/31/20X6 $ 213,300 12/31/20X7 $ 212,000 12/31/20x8
Assume Beedle does not make any special elections regarding the reporting of the bonds. Beedle prepares annual financial statements and completes adjusting entries at the end of the year. Beedle has no debt other than this bond.
1. Compute the issue price of the bonds. Show and label any computations or steps (for possible partial credit).
2. Complete an amortization schedule through 20X9 (8 payments) for the bonds in excel. Round (or truncate)
dollar figures to the nearest dollar.
3. Show the journal entry recorded by Beedle on 1/1/20x6.
4. What amount is in each of these accounts after all of the 20x6 entries are completed? (Issuance, 2 payments
and adjusting entries, if any.) Label each balance as debit or credit. You might want to use t-accounts to track these (I would), but just give me the ending balances, please.) A. Bond payable B. Discount or premium C. Fair value adjustment on Bond payable
D. Interest expense
5. Beedle pays Aeron $212,000 on 12/31/20X8 to retire the bonds. Assume all regular entries are recorded before
the retirement transaction. Record the journal entry by Beedle for the bond retirement transaction.

Answers

1. The issue price of the bonds is $215,589.16.

2. An amortization schedule through 20x9 is as follows:

Amortization Schedule:

Period       PV             PMT   Interest Expense  Amortization        FV

1       $215,589.16     $6,000       $5,389.73            $610.27      $214,978.89

2      $214,978.89    $6,000      $5,374.47           $625.53      $214,353.36

Year 2

3     $214,353.36     $6,000      $5,358.83             $641.17        $213,712.20

4      $213,712.20     $6,000      $5,342.80           $657.20      $213,055.00

Year 3

5    $213,055.00     $6,000      $5,326.38            $673.62        $212,381.38

6     $212,381.38     $6,000      $5,309.53            $690.47        $211,690.91

Year 4

7      $211,690.91    $6,000      $5,292.27             $707.73        $210,983.18

8     $210,983.18    $6,000      $5,274.58            $725.42       $210,257.76

3. The journal entry recorded by Beedle on January 1, 20x6 is as follows:

Debit Cash $215,589.16

Credit Bonds Payable $200,000

Credit Bond Premium $15,589.16

To record the issuance of $200,000 at 6% interest, semi-annually.

4. The amount in the accounts at the end of 20x6 are:

A. Bond payable $200,000

B. Premium $14,353.36 ($15,589.16 - $610.27 = $625.53)

C. Fair value adjustment on Bond payable = $1,235.80 ($610.27 = $625.53)

D. Interest expense = $10,764.20

5. The journal entry to record the bond retirement transaction on 12/31/20X8 is as follows:

Debit Bonds Payable $200,000

Debit Bonds Premium $12,000

Credit Cash $212,000

To record the bond retirement.

Data and Calculations:

Maturity period = 10 years

Interest rate = 6% semi-annually

Interest payment dates = June 30 and December 31

Market rate = 5%

Face value = $200,000

Semi-annual coupon payment = $6,000 ($200,000 x 3%)

Fair value of the bonds at December 31:

12/31/20X6 $ 213,200

12/31/20X7 $ 213,300

12/31/20x8 $ 212,000

Issue Price Calculations:

N (# of periods) = 20 (10 years x 2)

I/Y (Interest per year) = 5%

PMT (Periodic Payment) = $6,000 ($200,000 x 6% x 1/2)

FV (Future Value) = $200,000

Results:

PV = $215,589.16

Sum of all periodic payments = $120,000 ($6,000 x 20)

Total Interest $104,410.84

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On a production possibility curve, data points that fall outside of the curve represent

he government decides what is produced, along with how much is produced.


The government controls some aspects of the economy, such as infrastructure and transportation, while private consumers and producers control the means of production in other areas.


The government has no involvement or decision-making in what or how much is produced.

Answers

Option C. On the production possibility curve the data that falls outside of the curve shows that The government has no involvement or decision-making in what or how much is produced.

What is the point outside the production possibility curve?

This is the point that is used to show the production that is unattainable by the government.

This point show that the the level of production is not one that is realistic. Hence it is impossible.

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Which of the following is an example of an adjusting entry?
A. Revenue that has been billed but not yet paid
B. Revenue from a prior accounting period
C. Revenue in the form of products as opposed to cash
D. Revenue that has been billed and paid

Answers

The correct answer is option A.  An example of an adjusting entry is Revenue that has been billed but not yet paid

What is an adjusting entry?

These are entries that share correct amount between income and expenditure in the period they occur, usually at the end of the financial period.

It is to be noted that adjusting entries are alteration made to journal entries that have been previously recorded.

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17. Use the table below to draw a component bar chart and multiple bar chart. Maize (tons) Millet (tons) Rice (tons) 60 20 20 70 30 10 20 45 70 Year 2012 2013 40 80 2014 2015 2016 50 (Note: Use a graph sheet to draw). 35 40 60 Total 100 140 110 120 180 A​

Answers

See attachment for the component bar chart and the multiple bar chart

How to draw the bar charts?

The table of values is given as:

Maize (tons) Millet (tons) Rice (tons)   Year

60                   20                       20       2012

70                    30                       10       2013

20                     45                      70      2014

40                      80                     50     2015

35                      40                      60    2016

The component bar chart

Here the bars of each year are stacked upon one other for each year

i.e. the bar chart will look as follows

Maize

Millet

Rice

Year

Next, we enter the values on the table of values in a graphing tool

See attachment for the component bar chart

The multiple bar chart

Here the bars of each year are stacked upon one other for each year

i.e. the bar chart will look as follows

Maize Millet Rice

      Year

Next, we enter the values on the table of values in a graphing tool

See attachment for the multiple bar chart

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If you are interested in investing in a stock. Mark which of the following is a way you can PROFIT from your investment? (Check all that apply)
Holding the Stock for at least 5 years
Principal
Dividends
Selling the stock at a higher price than you paid for it

Answers

One can profit from stock investment through dividends and selling the stock at a higher price

What is stock investment?

Stock investment means buying shares in a company in expectation of dividends and capital gains, which can be achieved by selling at a higher price than the initial purchase price.

Basically, gains from stocks are through dividend yield and capital gains, which means that principal receipt is not applicable since that applies to bond or debt issuance.

Holding the stock for 5 years does not guarantee a positive return because prices cannot be predicted.

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The following Computer output presents the least-squares regression line for predicting the price of a certain commodity from the price of a barrel of oil.

_______________________________________________________________________



Predictor

Coef

SE Coef

T

P

Constant

147.851724

68.827814

2.148139

0.098187

Oil

0.493103

0.691769

0.712815

0.515337

_______________________________________________________________________

Write the equation of the least-squares regression line.

y = 0.098187 + 0.515337x
y = 2.148139 + 0.712815x
y = 147.851724 + 0.493103x
y =0.493103 + 147.851724x

Answers

Answer:

y=2.148139 +0.712815x

Computer output presents the least-squares  for predicting the price of a certain commodity from the price of a barrel of oil is y=2.148139 +0.712815x

A regression is a statistical approach that relates a based variable to one or extra impartial (explanatory) variables. A regression version is able to expose whether modifications discovered in the structured variable are related to modifications in one or more of the explanatory variables.

A regression analysis is completed for considered one of purposes: so that it will expect the price of the established variable for individuals for whom some statistics concerning the explanatory variables is to be had, or if you want to estimate the effect of some explanatory variable at the structured variable.

COMMODITY = - 43.987621 + 23.368407 OIL

OIL PRICE = $ 114 /per barrel

Commodity = - 43.987621 + 23.3658407*(144)

Commodity = $2620.010777

according to the options B is the answer.

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14. ABC is expected to pay GHS 500 dividend per share next year, and then sell for GHS2, 000 thereafter. If your discount rate is 28%, how much will you pay for a share today? Suppose dividend will increase by 10% per annum and you have a 4-year holding period in mind. How much will you pay, if the price is also expected to increase at 10% pa? (7 Marks)

XYZ Dividend Announcement [8 marks]

Shareholders of XYZ Company will be smiling all the way to the bank following an announcement of a dividend of 8 pesewas per share to all shareholders in respect of the 2014 financial year.

The announcement was made on March 1, 2015 and the dividend is expected to be approved by investors at the company's Annual General Meeting scheduled for March 27, 2015.

In this regard, members registered in the books of XYZ at the close of business on March 23, 2015 will qualify for the payment of the final dividend. The ex-dividend date has however been set as Friday, March 20, 2015. The final dividend will be paid on March 30, 2015. XYZ is presently trading at GHS 3.13 per share on the Ghana Stock Exchange.

a) Given that the GSE rules provide that all transactions on the floor of the exchange must go through the books of the firm by the close of business on the third working day following the transaction, what is the last date on which to buy the shares in other to receive the dividends announced?

b) What is the last day on which to sell your shares if you do not wish to receive these dividends?

c) If the equity of XYZ is worth GHS 313 million, how much will Esi receive if she owns 1% of the shares of XYZ?

d) What is XYZ’s dividend yield?

Answers

1a) The price I will pay for a share today in ABC is GHS 1,785.71.

1b) The price I will for a share today in ABC with a dividend growth rate of 10% is GHS 2,777.78.

2)  XYZ Company:

2a) The last date on which to buy the shares of XYZ Company in order to receive the dividends announced is March 20, 2015.

2b) The last date on which to sell shares if you do not wish to receive dividends is March 20, 2015.

2c) The dividend received by Esi from XYZ Company is GHS 80,000.

2d) XYZ's dividend yield is 2.56%(GHS 0.08/GHS 3.13)

Data and Calculations:

ABC Company:

Expected dividend per share next year = GHS 500

Selling price per share thereafter = GHS 2,000

Discount rate = 28%

1a. Price to pay = GHS 1,785.71 (GHS 500/28%)

1b. Dividend growth rate = 10%

Price to pay = GHS 2,777.78 (GHS 500 (28% -10%)

2)  XYZ Company:

Dividend per share declared = GHS 0.08

Dividend record date = March 23, 2015

Ex-dividend date = March 20, 2015

Dividend payment date = March 30, 2015

Present share price = GHS 3.13

2a) The last date to buy shares is March 20, 2015.

2b) The last date to sell shares is March 20, 2015.

2c) Equity value of XYZ = GHS 313 million

Outstanding shares = 100 million (GHS313 million/GHS 3.13)

Esi's shareholding = 1 million (100 million x 1%)

Dividend received by Esi = GHS 80,000 (1 million x GHS 0.08)

2d) XYZ's dividend yield is 2.56%(GHS 0.08/GHS 3.13)

= Dividend per share/Share Price

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Why is the self and social awareness skill important and how can it help to prepare you for automation; remote work or changes in your industry?

Answers

Answer:

Explanation:

Self-awareness allows us to see things from the perspective of others, practice self-control, work creatively and productively, and experience pride in ourselves and our work as well as general self-esteem (Silvia & O'Brien, 2004). It leads to better decision making (Ridley, Schutz, Glanz, & Weinstein, 1992).

Self-awareness enables us to practice self-control, work creatively and productively, see things from others' perspectives, feel pride in our work and ourselves, and have a healthy sense of self-worth. It facilitates improved decision-making.

What is Self-awareness?

According to psychologists Shelley Duval and Robert Wicklund, the ability to focus on oneself and how your acts, ideas, or emotions do or do not align with your internal standards.

The first thing we may do is deliberately look into who we are by learning more about who and what we are. One useful technique is to evaluate oneself in terms of the four sides or elements of the self: the bodily, emotional, mental, and spiritual self.

When we are conscious of ourselves, we may recognize our virtues and shortcomings. This knowledge enables us to set our own goals.

Thus, Self-awareness enables us to practice self-control.

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If an increase in the price of good x causes a decrease in the demand for good y, we can conclude that:_________

Answers

Answer:

the price of good Y will Increase and goods are complimentary

This is like highschool economics,

There should be quizlet flash cards for this

If an increase in the price of good x causes a decrease in the demand for good y, we can conclude that then, both X and Y goods are complementary goods.

What are substitute goods?

Similar products that a client may employ for the same purpose are substitute goods. If the product they prefer is offered, your customers might buy it, but they might also look at alternatives if the price, the product's availability, or its quality changes. The demand for an item is frequently affected by these changes as well.

A complementary good or service is one that is utilized in conjunction with another good or service. Typically, the complimentary product has little to no value when ingested by itself. However, when combined with another good or service, it raises the bid's overall worth.

When two goods are complementary, a rise in the price of one good will result in a decline in the demand for the other good. The demand curve is also affected by the costs of related or replacement commodities.

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The remnants of a supernova will form a tightly packed ball called a ______.

Answers

Answer:

hydrostatic equilibrium

Explanation:

don't know if it's right but if it is, give me brainly lol

A good theory is hard to understood, while simple enough to capture the key features of the object or situation being studied.

True

False



Events that occur locally, or nationally, impact the rest of the consumers and producers in this country.

True

False



Microeconomics and macroeconomics are not separate subjects, but rather complementary perspectives on the overall subject of the economy.

True

False




Most real-world industries will either be a perfect competition or a monopoly and will not fall in the middle ground of market structures.

True

False

Answers

A good theory is hard to understand, while simple enough to capture the key features of the object or situation being studied.
Answer: False.

The given statement "A good theory should be sophisticated enough to capture the complexities of the object or situation being studied while also being simple enough for understanding and practical use" is True.

Events that occur locally or nationally can have ripple effects on the entire economy, impacting both consumers and producers in the country is True.

Microeconomics and macroeconomics are indeed complementary perspectives that together form a comprehensive understanding of the economy is True. Microeconomics focuses on individual units like households and firms, while macroeconomics deals with the overall economy's performance.

The statement "Most real-world industries will either be a perfect competition or a monopoly and will not fall in the middle ground of market structures." is false

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Rights are offset by _____, which are obligations to perform certain tasks and duties.

Answers

Rights are offset by responsibilities, which are obligations to perform certain tasks and duties.

On June 1, Sheridan Company Ltd. borrows $162,000 from Acme Bank on a 6-month, $162,000, 4% note. The note matures on December 1.
(a)Prepare the entry on June 1. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
(b) Prepare the adjusting entry on June 30. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
(c) Prepare the entry at maturity (December 1), assuming monthly adjusting entries have been made through November 30. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
(d) What was the total financing cost (interest expense)?

Answers

a) The journal entry on June 1 for Sheridan Company Litd. is as follows:

Journal Entry:

June 1:

Debit Cash $162,000

Credit Note Payable (Acme Bank) $162,000

b) The adjusting entry on June 30 is as follows:

Adjusting Journal Entry:

June 30:

Debit Interest Expense $540

Credit Interest Payable (Acme Bank) $540

c) The journal entry at maturity on December 1 is as follows:

Journal Entry:

December 1:

Debit Note Payable (Acme Bank) $162,000

Debit Interest Payable (Acme Bank) $3,240

Credit Cash $165,240

d) The total financing cost (interest expense) was $3,240.

What does the finance cost mean?

The finance cost refers to the interest expense that Sheridan Company Ltd. must pay to Acme Bank for using the credit from the 4% note.

Data and Calculations:

Note Payable = $162,000

Interest rate = 4%

Maturity period = 6%

Monthly finance cost = $540 ($162,000 x 4% x 1/12)

Total finance cost = $3,240 ($162,000 x 4% x 6/12)

Thus, the finance cost is computed as the principal multiplied by 4% multiplied by 6/12 months.

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The drive three has a long line of cars at the window what should the drive thru cashier do

Answers

The drive-thru cashier should do is plead with them to be patient as each one of them will be attended to or served.

Drive-thru is a fast food where customers can easily order their food from their car without them having to leave their car or having to come down from their car.

The drive-thru cashier should be able to work under pressure and should possess good communication skills.

The Drive-thru cashier duties include:

• To greet the customers

•Collect what the customers what to order.

•To receive payments form the customers.

•To deliver the package that the customers ordered.

• To manage the drive-through windows.

Check your mirrors and blind spots before moving your car. Fast food drive-thru lanes typically consist of two stations. At the first station, the driver can drag his car onto a large menu with his board and two-way speakers. At this station, you can order through a loudspeaker.

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Vibrant Company had $920,000 of sales in each of Year 1, Year 2, and Year 3, and it purchased merchandise costing $510,000 in each of those years. It also maintained a $220,000 physical inventory from the beginning to the end of that three-year period. In accounting for inventory, it made an error at the end of Year 1 that caused its Year 1 ending inventory to appear on its statements as $200,000 rather than the correct $220,000.

Answers

1. The preparation of the correct income statement for Vibrant Company for each of the three years is as follows:

Vibrant Company

Income Statement

For the years ended December 31, Year 1, Year 2, and Year 3

                                               Year 1        Year 2       Year 3           Total

Sales revenue                  $920,000   $920,000   $920,000  $2,760,000

Cost of goods sold:

Beginning inventory        $220,000   $220,000  $220,000     $220,000

Purchases                           510,000      510,000      510,000     1,530,000

Goods available for sale $730,000   $730,000   $730,000   $1,750,000

Less Ending inventory    $220,000  $220,000   $220,000     $220,000

Cost of goods sold            510,000      510,000      510,000     1,530,000

Gross profit                      $410,000    $410,000   $410,000    $1,230,000

2. The preparation of the income statements showing the effects of the error for Vibrant Company for each of the three years is as follows:

Vibrant Company

Income Statement

For the years ended December 31, Year 1, Year 2, and Year 3

                                               Year 1        Year 2       Year 3           Total

Sales revenue                  $920,000   $920,000   $920,000  $2,760,000

Cost of goods sold:

Beginning inventory        $220,000   $200,000  $220,000     $220,000

Purchases                           510,000      510,000      510,000     1,530,000

Goods available for sale $730,000    $710,000   $730,000   $1,750,000

Less Ending inventory    $200,000  $220,000   $220,000     $220,000

Cost of goods sold            530,000     490,000      510,000     1,530,000

Gross profit                     $390,000   $430,000   $410,000   $1,230,000

Thus, the misstatement of the ending inventory as $200,000 instead of $220,000 caused the gross profit for year 1 and year 2 to be correspondingly misstated by $20,000, respectively.

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TopKnotch Mfg. Co. has a production cost of $280. It sells its product to a wholesaler for $400. The wholesaler then sells the item to retailers for $500 and the retailers sell the item for $1,000.

A. What is the retailer’s markup percentage on selling price?



B. What is the wholesaler’s markup percentage on selling price?




C. What is the manufacturer’s markup percentage on cost?

Answers

Answer: 50%, 40%

Explanation: A. What is the retailer’s markup percentage on selling price?  

Selling price – cost/Selling price X 100 so 1000-500=500/1000 =.5 X 100 = 50%

B. What is the wholesaler’s markup percentage on selling price? 1000-400/1000 X 100 = 40%

A. The retailer's markup percentage on selling price is 100%.

B. The wholesaler's markup percentage on selling price is 25%.

C. The manufacturer's markup percentage on cost is approximately 42.86%.

A. Retailer's Markup Percentage on Selling Price is calculated as follows:

Markup = Selling Price - Purchased Price

Markup = $1,000 - $500

= $500

Markup Percentage = (Markup / Purchased Price) * 100

Markup Percentage = ($500 / $500) * 100

= 100%

B. Wholesaler's Markup Percentage on Selling Price is calculated as follows:

Markup = Selling Price - Purchased Price

Markup = $500 - $400

= $100

Markup Percentage = (Markup / Purchased Price) * 100

Markup Percentage = ($100 / $400) * 100

= 25%

C. Manufacturer's Markup Percentage on Cost is calculated as follows:

Markup = Selling Price - Production Cost

Markup = $400 - $280

= $120

Markup Percentage = (Markup / Production Cost) * 100

Markup Percentage = ($120 / $280) * 100

= 42.86%

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The sales and cost data for two companies in the transportation industry are as follows:

X Company Y Company
Amount Percent Amount Percent
Sales $ 150,000 100.00 $ 150,000 100.00
Variable costs 90,000 60.00 45,000 30.00
Contribution margin 60,000 40.00 105,000 70.00
Fixed costs 34,200 70,250
Operating income (πB) $ 25,800 $ 34,750

X Company's degree of operating leverage (DOL) at the current sales volume level is calculated to be:

Multiple Choice

2.33

3.00

5.00

4.00

1.00

Answers

The correct option for X Company's degree of operating leverage (DOL) at the current sales volume level is calculated to be is A. 2.33

For X-Company :

Degree of operating leverage =  Contribution ÷ EBIT i.e., operating income

= 60000 ÷ 25800

= 2.33 times

Operating leverage is a fee-accounting method that measures the degree to which a company or assignment can boom operating profits by way of growing revenue. An enterprise that generates sales with an excessive gross margin and occasional variable charges has high operating leverage.

Generally speaking, high operating leverage is better than low operating leverage, because it permits groups to earn large profits on each incremental sale. Having said that, groups with a low degree of operating leverage may also discover it simpler to earn a profit when dealing with a decreased level of income.

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Upscale hotels in the United States recently cut their prices by 20 percent in an effort to bolster dwindling occupancy rates among business travelers. A survey performed by a major research organization indicated that businesses are wary of current economic conditions and are now resorting to electronic media, such as the Internet and the telephone, to transact business. Assume a company’s budget permits it to spend $5,000 per month on either business travel or electronic media to transact business. Graphically illustrate how a 20 percent decline in the price of business travel would impact this company’s budget set if the price of business travel was initially $1,000 per trip and the price of electronic media was $500 per hour. Suppose that, after the price of business travel drops, the company issues a report indicating that its marginal rate of substitution between electronic media and business travel is 1. Is the company allocating resources efficiently? Explain

Answers

The graphical illustration is given in the attachment. It shows how a 20 percent decline in the price of business travel would impact this company’s budget set if the price of business travel was initially $1,000 per trip and the price of electronic media was $500 per hour. This exercise is about budgeting.

Suppose that, after the price of business travel drops, the company issues a report indicating that its marginal rate of substitution between electronic media and business travel is 1. Is the company allocating resources efficiently?

No. The company is not allocating resources efficiently.

What is the explanation for the above?

The new price of business travel when the cost of business travel is lowered by 20% is derived as follows:

1000 * 20%

= $200

New price =

1,000 - 200

= $800

Recall that the budget limit is $5,000:

Number of travel units assuming the budget is fully allotted for travel

= 5000/800

= 6.25 journeys

Number of travel units assuming the funding is entirely devoted to media

= 5000/500

= 10 media

From the above, we can create a budget line B2 with media on the y-axis and travel on the x-axis.

When the price is dropped, the budget line shifts to the right, reading the slope and steepness of the budget line.

It is to be noted that the Marginal Rate of Substitution (MRS) is the gradient of the budget line. This line is derived by the change in y-axis and by the change in the x-axis.

Thus:

Budget line = - dy/dx

= - 10/6.25

= -1.6

This indicates that for every unit of business trip, we must sacrifice 1.6 units of media.

Remember that the MRS is -1, which implies that for every unit of business trip, the corporation gives away one unit of media.

In other words, they are paying the same price as for business travel, resulting in an inefficient use of resources.

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A rise in wages could be due to:

Answers

Explanation:

Companies can increase wages for a number of reasons. The most common reason for raising wages is an increase in the minimum wage. The federal and state governments have the power to increase the minimum wage. Consumer goods companies are also known for making incremental wage increases for their workers.

Which factor could influence an employer to increase an employee's wages?
An economic downturn
O High worker productivity
O Increase in insurance costs
O Low demand for the company's goods

Answers

A factor that could influence an employer to increase an employee's wages is high worker productivity (second option).

What can cause an employer to increase employee's wages?

Wages is the reward given to an employee for partaking in the production activities of a particular company. When wages are increased, it can either be to act as incentive to an employee or to reward the employee for an increase in productivity.

When there is an economic downturn, the profitability of a company usually reduces because there would be a low demand for the company's goods. Firms would want to conserve their profits, thus it is unlikely for them to increase employee's wages. Increase in insurance costs, increase the cost of production and reduces the company's profit. This reduces the incentive to raise employee's wages.

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20 pts
Why did Frito-Lay air a commercial the night BEFORE the Super Bowl?
OA. more football fans were watching TV that night
OB. they couldn't afford to air it during the Super Bowl
people bought the product to eat during the game
O D. there are more nonsports fans than sports fans
OC.

Answers

Answer:

People bought the product to eat during the game

Explanation:

Super Bowl parties are an American staple. People buy snacks in bulk before the Super Bowl to serve at their parties. Therefore, this is the answer that makes the most sense.

Oriole Tools uses the allowance method to account for uncollectible accounts.

May 20 The account of Barack Obama for $1,092 was deemed to be uncollectible and is written off as a bad debt.
Aug. 7 Received a check for $264 from Barack Obama whose account had previously been written off as uncollectible.
Dec. 31 Use the following information for the year-end adjusting entry:
The balances of Accounts Receivable and Allowance for Doubtful Accounts at year- end are $104,800 and $104, respectively, both with debit balances. It is estimated that bad debts will be 1.5% of accounts receivable.

Prepare the appropriate journal entries to record the above transactions during 2014

Answers

1. The appropriate journal entries to record the transactions during 2014 for Oriole Tools are as follows:

Journal Entries:

May 20 Debit Allowance for Doubtful Accounts $1,092

Credit Accounts Receivable $1,092

To write off as a bad debt.

Aug. 7 Debit Accounts Receivable $264

Credit Allowance for Doubtful Accounts $264

To reverse a previously written-off uncollectible.

Debit Cash $264

Credit Accounts Receivable $264

To record the receipt of cash on account.

2. The appropriate adjusting entries to record the adjustments year-end for Oriole Tools are as follows:

Adjusting Entry:

Dec. 31 Debit Bad Debts Expense $1,676

Credit Allowance for Doubtful Accounts $1,676

Transaction Analysis:

May 20 Allowance for Doubtful Accounts $1,092 Accounts Receivable $1,092

To write off as a bad debt.

Aug. 7 Accounts Receivable $264 Allowance for Doubtful Accounts $264

To reverse a previously written-off uncollectible.

Cash $264 Accounts Receivable $264

To record the receipt of cash on account.

Dec. 31 Year-end adjusting entry:

Dec. 31 Bad Debts Expense $1,676 Allowance for Doubtful Accounts $1,676

Data and Calculations:

The balances of at year-end:

Accounts Receivable = $104,800 DR

Allowance for Doubtful Accounts = $104 DR

Estimated bad debts = $1,572 (1.5% x $104,800)

Bad Debts Expense = $1,676 ($104 + $1,572)

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Venya and Kari own a flower shop that specializes in custom bouquets. Wanting to expand into selling potted plants, they create a production possibility chart to assess whether the potted plants are a good idea. Study their chart:

Answers

Venya and Kari would be able to produce 50 potted plants on Day 3.

What is a production possibility?

This curve is an economic tool that illustrates varying amounts of two products that can be produced when both depend on the same finite resource

Based on the given chart, Venya and Kari would be able to produce 50 potted plants on Day 3.

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Answer:

50

Explanation:

Two firms Apple and Samsung in the smart phone market have combined demand given by Q = 200 – P. Their total costs are given by TC Apple = 4 Q Apple + Q 2 Apple and TC Samsung = 4 Q Samsung + Q 2 Samsung . If they cannot successfully collude and instead produce where the market price equals marginal cost, their total output will be

Answers

The total output of both smart phones company would be 98.

How to solve for output

The combined demand is

Given, Q = 200 - P

Therefore P = 200 - Q

Q = Qa + Qs

P = 200 - QA - QS

For apple, We have

4 Q Apple + Q² Apple

and

4 Q Samsung + Q² Samsung

4 Q + Q² A

= 4 + 2QA

Then 200 - QA - QS = 4 + 2QA

Take like terms

3QA + QS = 196 --- eqn 1

For samsung we do the same thing till we arrive at

QA + 3QS = 196 --- eqn 2

Solve eqn 1 and 2 simultaneously

We would have QA = 49 and Qs = 49

Total output is the addition of both values

49 + 49 = 98

How to solve for total output

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from order Technology plays a major role in how warehouses are managed these days processing right through to inventory keeping and shipping. Do some research on what systems are available and specifically the financial benefits it holds for the user and owner. Write a short essay of no longer than 250 words. ​

Answers

The purpose of a WMS is to help provide that goods and materials move through warehouses in the most efficient and cost-effective way. A WMS handles many processes that enable these movements, including inventory tracking, picking, receiving and putaway

How does information technology help with warehousing?

The real-time information provides accurate, current information to managers, warehouse workers, and operations personnel – all at the identical time – for better decision-making. Besides real-time information, WMS releases the guesswork of where the event is found.

What's the most significant thing in warehouse management?Goods tracking.Selection and packing.Receiving and stowingShipping.ReportingEnable logistical growth.Parcels are processed and shipped faster.

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