BUSINESS COLLEGE

g Merchandise subject to terms 1/10, n/30, FOB shipping point, is sold on account to a customer with an invoice amount of $27,000 which includes pre-paid freight costs of $2,000. The customer was issued a credit memo for $10,000 prior to payment. What is the amount of the cash discount on the sale

Answers

Answer 1
Answer:

Answer: $150

Explanation:

Transportation/ Freight charges as well as the credit memo are not to be included when calculating the discount so;

= 27,000 - 2,000 - 10,000

= $15,000

Terms of 1/10 n/30 means that the sale is subject to a 1% discount if it is paid for in 10 days.

The discount therefore is;

= 15,000 * 1%

= $150

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In the probabilistic approach to project network analysis, the time estimate annotated tm for any activity is the: Multiple Choice: O mean time. O marginal time. O mode time. O most likely time. O median time.

Answers

Answer:

Most likely time

Explanation:

Related concepts to understand the problem.

In the probabilistic approach to project network analysis the most likely time is the best estimate of the time required to complete an objective (m) or a path (M), supposing everything proceeds as usual.

Please match each description with the appropriate approach to federal finance. Policymakers should reduce spending and increase taxes when the economy is growing in order to prevent "overheating". _____This approach was considered conventional wisdom until the advent of the Great Depression. _____Policymakers should focus on keeping unemployment low and providing the people with the public goods and services they want. ____ If insisted upon, this approach would only worsen the economy during a recession. ____This approach ignores the impact of the budget on the business cycle. _____

Answers

Answer:. 1.cyclically balanced budget

2. annually balanced budget

3. functional finance

4. annually balanced budget

5. functional finance

Explanation:

policymakers should reduce spending and increase taxes when the economy is growing in order to prevent "overheating" ----Cyclically balanced budget

2. this approach was considered conventional wisdom until the advent of the great depression---Annually balanced budget

3. Policymakers should focus on keeping unemployment low and providing the people with the public goods and services they want.-----Functional finance

4. if insisted upon, would only worsen the economy during a recession--Annually balanced budget

5. ignores the impact of the budget on the business cycle.----functional finance

The following account balances were drawn from the financial statements of Grayson Company: Cash $ 5,000 Accounts payable $ 1,550 Accounts receivable $ 2,100 Common stock ? Land $ 8,600 Retained earnings, Jan.1 $ 3,300 Revenue $ 10,100 Expenses $ 7,550 Based on the above information, what is the balance of Common Stock for Grayson Company?

Answers

Answer:

The balance of Common Stock for Grayson Company is $8,300

Explanation:

For computing the common stock value, first we have to compute the ending retained earning balance which is shown below

= Beginning retained earning balance + revenues - expenses

= $3,300 + $10,100 - $7,550

= $5,850

Thus, the ending balance is $5,850

Now by applying the accounting equation we can compute the common stock value

Accounting equation is equals to

Assets = Liabilities + Equity

where,

Assets = Cash + Accounts receivable + Land

           = $5,000 + $2,100 + $8,600

           = $15,700

Liabilities = Accounts payable = $1,550

And, Equity = Ending Retained earnings balance + common stock

                   = $5,850 + common stock

Now, apply the above accounting equation which is shown below:

$15,700 = $1,550 + $5,850 + common stock

$15,700 = $7,400 + common stock

So, common stock = $8,300

Hence, the balance of Common Stock for Grayson Company is $8,300

How much would a person have to deposit now to be able to withdraw $550 at the end of each year for 20 years from an account that earns 11 percent?$3.785 95
$4 379 83
54 739 95
$5.076.55

Answers

Answer: $4,379.83

Explanation:

Given the following details:

Periodic payment = $550

Interest rate = 11%

Number of periods = 20 years

Present Value (PV) = P[(1 - (1 + r)^-n) / r]

Where

P = periodic payment = $550

r = Interest rate = 11% = 0.11

n = number of periods = 20

PV = 550[(1 - (1 + 0.11)^-20) / 0.11]

PV = 550[(1 - (1.11)^-20) / 0.11]

PV = 550[(1 - 0.1240339) / 0.11]

PV = 550[0.8759660 / 0.11]

PV = 550(7.9633281)

PV = 4379.8304

PV = 4379.83

A category of assets that typically has zero in the Free Assets column in a Statement of Affairs is:

Answers

Answer:

Tools

Explanation:

The statement of affairs is a legal document that present the company assets and liabilities and it could be generated at the time when the bankruptcy is declared

Now the category of assets that contains zero in the column of free assets in the statement of affairs is tools

Therefore the same is to be considered

During the first year of operation, 2018, McGinnis Appliance recognized $340,000 of service revenue on account. At the end of 2018, the accounts receivable balance was $66,836. Even though this is his first year in business, the owner believes he will collect all but about 5 percent of the ending balance. Required What amount of cash was collected by McGinnis during 2018

Answers

Answer:

$273,164

Explanation:

Data given in the question

Recognized amount of service revenue = $340,000

And, the account receivable balance is $66,836

So, by considering the above information, the amount of cash collected is

= Recognized amount of service revenue - the account receivable balance

= $340,000 - $66,836

= $273,164

By deducting the account receivable balance from the service revenue recognized amount we can get the cash collected amount
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