A company has the following items on its year-end trial balance:Net sales $500‚000Common stock 100,000Insurance expense 75,000Wages 50,000Cost of goods sold 100,000Cash 40,000Accounts payable 25,000Interest payable 25,000What is the company's gross profit?A. $230‚000B. $500,000C. $400,000D. $275‚000
Answers
Answer:
C. $400,000
Explanation:
The computation of the gross profit is shown below:
Gross profit = Net Sales - costs of goods sold
= $500,000 - $100,000
= $400,000
For determining the gross profit, we deduct the costs of goods sold from the net sales, so that the true value can come. It is shown in the income statement
All other information which is given is not relevant. Hence, ignored it
Related Questions
Peterson Company billed its customers a total of $840,000 for the month of November. The total includes a 5% state sales tax.(a) Determine the proper amount of revenue to report for the month.(b) Prepare the general journal entry to record the revenue and related liabilities for the month.
The following information applies to the questions displayed below.]Performance Products Corporation makes two products, titanium Rims and Posts. Data regarding the two products follow:DirectLabor-Hoursper unit AnnualProductionRims 0.30 26,000 unitsPosts 0.50 70,000 unitsAdditional information about the company follows:Rims require $15 in direct materials per unit, and Posts require $11.The direct labor wage rate is $15 per hour.Rims are more complex to manufacture than Posts and they require special equipment.The ABC system has the following activity cost pools:Estimated ActivityActivity Cost Pool Activity Measure EstimatedOverheadCost Rims Posts TotalMachine setups Number of setups $ 32,900 60 140 200Special processing Machine-hours $114,800 4,000 0 4,000General factory Direct labor-hours $1,404,000 6,000 72,000 78,000c.A security guard patrols the company grounds after normal working hours.d.Purchase orders are issued for materials to be used in production.e.Modifications are made to product designs.f.New employees are hired by the personnel office.g.Machine settings are changed between batches of different products.h.Parts inventories are maintained in the storeroom. (Each product requires its own unique parts.)i. Insurance costs are incurred on theRequired:1. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.)Activity Cost Pool Activity RateMachine setups per setupSpecial processing per MHGeneral factory per DLHcompanyâs2. Determine the unit product cost of each product according to the ABC system. (Do not round intermediate calculations. Round your final answers to 2 decimal places.)Unit product cost of Rims Unit product cost of Posts
On January 1 st, you make plans to travel to Switzerland the following summer. The direct quote for Swiss francs is $0.30.Since it will be a short trip, you believe $3000 in spending money will be sufficient. On June 1 st, the direct quote for Swiss francs is $0.40.As a result, How much Swiss francs will buy your $3000.
Royal Enterprises has presented the following information for the past three months operations: Month Units Average Cost June 3,300 $ 11.80 July 5,700 $ 7.80 August 6,900 $ 7.00 a. Using the high-low method, calculate the fixed cost per month and variable cost per unit. (Round your variable cost to 2 decimal places.) b. What would total costs be for a month with 5,300 units produced?
Answers
Answer:
The answer is True
Explanation:
b. Coaches make suggestions to clients rather than elicit ideas.
c. Coaches clarify an individual's psychological contract.
d. Coaching is typically a special investment in top-level managers.
Answers
Answer:
b. coached make suggestions to clients rather than elicit ideas.
Final answer:
Coaches clarify an individual's psychological contract.
Explanation:
A true statement about coaching according to the options given would be option c: 'Coaches clarify an individual's psychological contract.' This specific line of action within coaching entails that coaches help clients clarify their professional roles, duties, and expectations, which can also indirectly lead to mental clarity.
As for the other options, they each possess some inaccuracies. Option a: 'Coaching should never be carried out in groups,' is incorrect because group coaching is indeed a common practice. Option b: 'Coaches make suggestions to clients rather than elicit ideas,' is inaccurate due to coaches often encouraging clients to develop their thoughts and solutions. Lastly, option d, 'Coaching is typically a special investment in top-level managers,' comprises a limited viewpoint since coaching is applicable to employees of all levels.
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Answers
Answer: $538,806.50
Explanation:
This question is a compound interest question. If the savings increased at 14% per year then the amount when he is 68 will be;
Future Value = Present Value * ( 1 + Interest Rate ) ^ Years
Years = 68 - 20
= 48
Future Value = 1,000 ( 1 + 14%) ^ 48
= 1,000 * 538.8065
= $538,806.50
Answers
Answer:
-2.4%
Explanation:
The GDP per person of the nation of Freedonia for the current and last year, respectively, are:
The growth rate (R) between this year and last year is given by:
The growth rate of real GDP per person was -2.4%.
Answers
Answer:
The correct answer is letter "E": cash flow to stockholders.
Explanation:
The cash flow to stockholders is the amount of money a firm pays to its debtholders and stockholders. It is calculating by subtracting the dividends paid minus new equity -if raised any. The Board of Directors determines the amount and the period to be considered for the dividends and if they are paid from the organization's current earnings or the reserve revenues.
Answers
Answer:
c) $767,464.54
Explanation:
The computation of the future value of an annuity is shown below:
As we know that
Future value of annuity F = Payment made × ((1 + rate of interest)^t - 1) ÷ rate of interest
= $3,400 × (1.092^35 - 1) ÷ 0.092
= $3,400 × 225.7249
= $767,464.54
Hence, the future value of an annuity is $767,464.54
Therefore the correct option is c.
Final answer:
Noma will have $767,464.54 in 35 years.
Explanation:
To calculate the future value of Noma's savings, we can use the formula for compound interest: FV = P(1 + r)^t, where FV is the future value, P is the principal amount, r is the interest rate, and t is the number of years. In this case, Noma plans to save $3,400 per year for 35 years with an annual interest rate of 9.2 percent. Plugging these values into the formula:
FV = 3400 * (1 + 0.092)^35
Calculating this expression, Noma will have a future value of $767,464.54 in 35 years.
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