Swinnerton Clothing Company's balance sheet showed total current assets of $2,250, all of which were required in operations. Its current liabilities consisted of $575 of accounts payable, $300 of 6% short-term notes payable to the bank, and $145 of accrued wages and taxes. What was its net operating working capital that was financed by investors?
Answers
Answer: $1,530
Explanation:
It's net working capital that was financed by investors include the following figures,
Total current Assets.
Accounts Payables and Accrued wages need to be deducted because they came about as a result of operations and are neither of debt or equity financing so are considered free.
So, in calculating we have,
= 2,250 - 575 - 145
= $1,530
Swinnerton Clothing Company's net operating working capital that was financed by investors is $1,530
Answer:
$1,530
Explanation:
This can be calculated as follows:
Details Amount ($)
Total current assets 2,250
Accounts payable (575)
Accrued wages and taxes (145)
Net operating working capital financed by investors 1,530
Therefore, Swinnerton Clothing Company's net operating working capital that was financed by investors is $1,530.
Related Questions
On January 8, the end of the first weekly pay period of the year, Regis Company's payroll register showed that its employees earned $21,760 of office salaries and $60,840 of sales salaries. Withholdings from the employees' salaries include FICA Social Security taxes at the rate of 6.20%, FICA Medicare taxes at the rate of 1.45%, $13,560 of federal income taxes, $1,420 of medical insurance deductions, and $940 of union dues. No employee earned more than $7,000 in this first period.Calculate below the amounts for each of these four taxes of Regis Company. Regis’s merit rating reduces its state unemployment tax rate to 3% of the first $7,000 paid each employee. The federal unemployment tax rate is 0.8%. (Round your answers to 2 decimal places.) FICA - Social Security FICA -Medicare FUTA SUTA Prepare the journal entry to record Regis Company's January 8 (employee) payroll expenses and liabilities. (Round your answers to 2 decimal places.) Prepare the journal entry to record Regis’s (employer) payroll taxes resulting from the January 8 payroll. Regis’s merit rating reduces its state unemployment tax rate to 3% of the first $7,000 paid each employee. The federal unemployment tax rate is 0.8%.
Jensen Company uses the percentage of credit sales method for calculating Bad Debt Expense. The company reported $216,000 in total sales during the year; $178,000 of which were on credit. Jensen has experienced bad debt losses of 6% of credit sales in prior periods. What is the estimated amount of Bad Debt Expense for the year
If the marginal propensity to consume is 0.8, by how much will GDP increase after government spending increases by $200
Elenor Company sells 400 units of inventory for $40 each. The inventory originally cost Elenor $26 each. What is Elenor’s gross profit on this transaction?
Answers
Answer:
Signature Appliance Group
The environmental force that caused the company to change its product features is:
the Social and Cultural Environment.
Explanation:
The Social and Cultural Environment refers to the changing needs of customers in South America as a result of the values, attitudes, and preferred styles of consumers. These are always in a state of flux every year. Since customers preferred to grill outside rather than inside their kitchens, adding the grill unit in the ovens that the company sells in South America will not enable customers to choose its ovens over competitors'. To respond to the stated needs of its customers, the grill must be removed, thereby reducing the cost of the ovens.
Final answer:
The change made by Signature Appliance Group in removing the grill unit from their ovens sold in South America was influenced by the consumer environment force. This change was made in response to consumer preferences for outdoor grilling, thus altering the physical aspects of their product.
Explanation:
In the context of the scenario provided, it was the consumer environment force that influenced Signature Appliance Group to remove the grill unit from its ovens sold in South America. Consumer environment force pertains to changes in consumer preferences, habits, or buying behaviors. The company observed that its customers in South America preferred outdoor grilling and as a result, they opted not to use the grilling feature of the oven. Hence, the company decided to alter the physical aspects of its product by removing the grill from the ovens. Such alteration represents a response to consumer demands, thereby aiming to improve customer satisfaction and product relevance. Expounding on physical aspects, these are tangible characteristics or features of a product that cater to consumer needs and preferences, as shown in the example of nonstick surface, unbreakable bottle, and other such elements.
Learn more about Consumer Environment Force here:
#SPJ12
purchase order
employee time ticket
receiving document
Answers
Answer:
job cost sheet
Explanation:
The job cost sheet refers to the statement used to report production costs and is developed by businesses using a work-order charging system to measure and assign costs of goods and services.
is the responsibility of the accounts department to chart all production costs (primary supplies, direct labor and overhead production) on the work cost sheet. For each worker, a separate job expense sheet is arranged.
Job cost sheet not gets utilized for paying work expenses only, it's also component of the reporting records of the business. It is also used in the system account as something of a subordinate ledger to the project as it includes all the information about the work being done.
Answers
Answers
Answer:
Dr. Retained Earning $86,000,000
Cr. Common Stock $860,000
Cr. Paid-in-Capital excess of par $85,140,000
Explanation:
Stock dividend is the payment of dividend to stockholder in the form of stock/shares of the company. Stock are issued at the market price and the value of the dividend is transferred from the retained earning to the add-in-capital accounts.
Dividend Value = 860,000 x 100 = $86,000,000
Par Value of Stocks = $1 x 860,000 = $860,000
Add-in-capital excess of par common stock = ($100-$1) x 860,000 = $85,140,000
Final answer:
To record a large stock dividend, debit the Retained Earnings by the total market value of the dividend, then credit the Common Stock by the par value part, and credit the Paid-In Capital in Excess of Par by the remaining part.
Explanation:
To record a large stock dividend, you need to debit (decrease) Retained Earnings and credit (increase) Common Stock and Paid-in Capital in Excess of Par. Here's an example using Shriver Food Systems, Inc. data:
- Calculate the total market value of the dividend: 260,000 shares * $100 per share = $26,000,000
- Deduct the par value: $26,000,000 - (260,000 shares * $1 par value) = $25,740,000
- Make the journal entry: Debit Retained Earnings for $26,000,000. Credit Common Stock for $260,000 (this represents the par value). Credit Paid-In Capital in Excess of Par for $25,740,000 (this represents the remainder).
Learn more about Large Stock Dividend here:
#SPJ11
Answers
Answer:
a. Expected rate of return = 10%
b. Expected rate of return = 12%
Explanation:
Using dividend growth model we have,
where P = Current market price
D = Dividend at the year end
K = Expected return
g = growth rate
Putting values in the above we have,
a. $64 =
=
K = 0.07 + 0.03 = 0.1 = 10%
b. $64 =
=
K = 0.07 + 0.05 = 0.12 = 12%
Final Answer
a. Expected rate of return = 10%
b. Expected rate of return = 12%
Final answer:
The expected rate of return on the stock with a dividend growth rate of 3% is 7.03%, and with a dividend growth rate of 5% it is 9.03%.
Explanation:
The expected rate of return of an investment in a stock can be reduced to a calculation involving the cost of the stock, the dividends expected to be paid, and the rate of growth of those dividends. The formula for the expected rate of return is:
Rate of Return = (Dividends one year from now / Current Stock Price) + Dividend Growth Rate
In the case of the stock you are analyzing:
- for a dividend growth rate of 3%, the formula becomes:
- Expected Rate of Return = ($4.50 / $64) + 0.03 = 7.03%
- for a dividend growth rate of 5%, the formula becomes:
- Expected Rate of Return = ($4.50 / $64) + 0.05 = 9.03%
Learn more about Rate of Return here:
#SPJ3
Answers
Answer:
$1,023
Explanation:
The computation of the selling price of Job 806 is given below:-
Total cost of JOB 806 = $682
Selling price of the cost = 100 + 50
= 150%
Selling price = Total cost of JOB 806 × Selling price of the cost Percentage
= $682 × 150%
= $1,023
Therefore for computing the selling price we simply multiply the total cost of JOB 806 with selling price of the cost percentage.