Answer:
MONTOYA, INC.
Balance Sheet
December 31, 2017
Assets
Current assets
Cash $360,000
Equity Investments (Trading) 121,000
Notes Receivable 445,700
Income Taxes Receivable 97,630
Inventory 239,800
Prepaid Expenses 87,920
Total current assets $1,352,050
Property, plant, and equipment
Land 480,000
Buildings $1,640,000
Less: Accum Deprec - Buildings 270,200 1,369,800
Equipment 1,470,000
Less: Accum Deprec - Equipment292,000 1,178,000
3,027,800
Intangible assets
Goodwill 125,000
Total assets $4,504,850
Liabilities and Shareholders’ Equity
Current liabilities
Accounts Payable $490,000
Notes Payable to Banks 265,000
Payroll Taxes Payable 177,591
Income Tax Payable 98,362
Rent Payable - Short-term 45,000
Total current liabilities $1,075,953
Long-term liabilities
Unsecured Notes Payable (Long-term) 1,600,000
Bonds Payable $300,000
Less: Discount on Bonds Payable 15,000 285,000
Rental Payable Long-term 480,000 2,365,000
Total liabilities 3,440,953
Shareholders’ equity
Capital Stock
Preferred stock, $10 par; 20,000 shares authorized, 15,000 shares issued 150,000
Common stock, $1 par; 400,000 shares authorized, 200,000 issued 200,000 350,000
Retained Earnings ($1,063,897 - $350,000) 713,897
Total shareholders’ equity ($4,504,850 – $3,440,953) 1,063,897
Total liabilities and shareholders’ equity $4,504,850
Computation of Retained earnings:
Accounting Equation
Total assets $4,504,850
Less: Liabilities 3,440,953
Less: Contributed capital 350,000
Retained earnings $713,897
A classified balance sheet divides assets, liabilities, and equity into subcategories. Assets and liabilities are further divided into current and non-current. Retained earnings, part of equity, is calculated by adding this period's net income to last period's retained earnings and subtracting dividends paid.
A classified balance sheet categorizes assets, liabilities, and equity into subcategories to provide more meaningful information.
Assets
can be categorized as current assets (e.g. Cash, Debt investments (trading), Notes receivable, Prepaid expenses, Income taxes receivable, Inventory), long-term investments, property plant and equipment (PPE), Intangible assets such as Goodwill, and other assets.
Liabilities
can be categorized as current liabilities (e.g. Accounts payable, Notes Payable to the bank, Rent payable (short-term), Payroll Taxes Payable, Income taxes payable) and long-term liabilities (e.g. Notes payable (long-term), Rent payable (long-term), Bonds payable less discount on bonds payable).
Equity
is comprised of share capital (Common stock and Preferred stock) and Retained earnings.
To calculate Retained earnings, begin with the last period's retained earnings, add this period's net income, and subtract dividends paid. Given the provided information, we can't calculate it as not all necessary information is provided. Hence, it is mentioned as ?.
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Answer:
inflation rate= 3.8%
Explanation:
Giving the following information:
Nominal return= 11.1 percent
Real return= 7.3 percent
The real return on investments is the difference between the nominal return and the inflation rate.
Real return= nominal return - inflation rate
inflation rate= nominal return - real return
inflation rate= 11.1 - 7.3
inflation rate= 3.8%
The inflation rate is determined by subtracting the real return on an investment from its nominal return. In this case, the inflation rate is 3.8 percent.
The inflation rate can be calculated by subtracting the real return from the nominal return. In this case, the nominal return is 11.1 percent and the real return is 7.3 percent.
To calculate the inflation rate, we use the formula: Inflation rate = Nominal return - Real return. So, the inflation rate would be: 11.1 - 7.3 = 3.8 percent.
This means that the value of money decreased by 3.8 percent over the course of the year due to inflation.
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Answer:
10.75%
Explanation:
The computation of the effective annual interest rate is shown below:
= Interest ÷ total net amount available
where,
Total net amount available would be
= Loan amount - Loan amount × interest rate - loan amount × compensating percentage
= $25,000,000 - $25,000,000 × 8.25% - $25,000,000 × 15%
= $25,000,000 - $2062,500 - $3,750,000
= $19,187,500
And, the interest would be $2,062,500
Now put these values to the above formula
So, the rate would equal to
= $2,062,500 ÷ $19,187,500
= 10.75%
Answer:
Explanation:
Step one:
To tackle this problem we need data from historical chart.
From historical chart, on August 14, 2019, 1 USD is equivalent to CAD 1.3318
Step two:
From the historical data we need to perform conversion on the data to get the USD equivalent of the CAD given in the problem
Hence
if 1 USD = CAD 1.3318 then
x USD = CAD 1,100
by cross multiplying we have
x USD= 1,100/ 1.3318
x USD= 825.95
Hence as at August 14, 2019 CAD 1,100 is USD 825.95
Answer:
If all the given description follows then:
You are a proponent of the WEAK form of the EMH.
Explanation:
Here, it has been given that:
I am believing that stock prices can reflect or show all the information about it which can be derived by examining the data related to it
i.e. The market trading data
This market trading data depicts the stock prices at the present and also the past values of all the stock prices. It also contains short interests, trading volume.
But i in this case doesn't think that its all correct as i think that the stock prices will reflect all the information's publicly and all the information's related to it fro the inside.
So, If all the given description follows then:
You are a proponent of the WEAK form of the EMH.
Weak form of EMH: The EMH weak form's depicts or supposes that the prices of the stock prices and their current values get reflected in full form.
Also allows to present all the security information of it.
It consists of all the present and current data and also the data related to the volume which have no connection with the information in future direction of the prices of security.
Prepare a direct materials budget for the second quarter.
Answer and Explanation:
The Preparation of direct materials budget for the second quarter is prepared below:-
Rida, Inc.,
Direct materials budget
For the second quarter
Particulars Amount
Production Unit 240,000
Raw material per unit 0.60
Raw material needed for production 144,000
(240,000 × 0.60)
Add: Desired ending inventory 9,450
(52,500 × 0.6 × 30%)
Total amount 153,450
Less: Beginning inventory ($43,200)
Direct material purchase $110,250
Cost per pound $175
Direct material purchase cost $19,293,750
Therefore to reach at direct material purchase cost we simply multiply the direct material purchase cost with cost per pound.
Answer:
access to end consumers
Explanation:
Handling the supply chain relates to handling the day-to-day operations related to the product and services.
The goal is to turn the raw material into the finished products by going through the process work cycle so that the product is ready to be sold and shipped to the consumer with prescribed time and exact location.
In turn, it also focuses on achieving a competitive advantage and improving client satisfaction.
At the beginning of the supply chain, they less focus to the end consumers.