Rebel Technology maintains its records using cash-basis accounting. During the year, the company received cash from customers, $43,000, and paid cash for salaries, $23,500. At the beginning of the year, customers owe Rebel $1,000. By the end of the year, customers owe $6,600. At the beginning of the year, Rebel owes salaries of $5,600. At the end of the year, Rebel owes salaries of $3,300. Determine cash-basis net income and accrual-basis net income for the year.

Answers

Answer 1
Answer:

Answer:

The cash-basis net income and accrual-basis net income for the year is $19,500 and $22,800 respectively.

Explanation:

The computation is shown below:

1. Net income under cash basis:

= Received cash from customers - paid cash for salaries

= $43,000 - $23,500

= $19,500

2. Net income under accrual basis:

= Cash received - salary paid

where,

Cash received = Cash owed at the end of the year + cash received - cash owed at the beginning of the year

= $6,600 + $43,000 - $1,000

= $48,600

And, the salary paid = salary owed at the end of the year + salary paid - salary owed at the beginning of the year

= $5,600 + $23,500 - $3,300

= $25,800

Now put these values to the above formula  

So, the value would equal to

= $48,600 - $25,800

= $22,800

Answer 2
Answer:

1. Cash basis in as accounting method that recognizes revenues and expenses only when the cash is received or paid out.

Net income under cash basis = Received cash from customers - Cash paid for salaries

Net income under cash basis = $43,000 - $23,500

Net income under cash basis = $19,500

2. Accrual basis is as accounting method where accounting transactions are recorded for revenue when earned and expenses when incurred.

Net income under  accrual basis = Cash received - Salary paid

Net income under  accrual basis = (Cash owed at the end of the year + Cash received - Cash owed at the beginning of the year) - (Salary owed at the end of the year + Salary paid - Salary owed at the beginning of the year)

Net income under  accrual basis = ($6,600 + $43,000 - $1,000) - ($5,600 + $23,500 - $3,300)

Net income under accrual basis = $48,600 - $25,80

Net income under accrual basis = $22,800

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PA5. LO 6.3Medical Tape makes two products: Generic and Label. It estimates it will produce 423,694 units of Generic and 652,200 of Label, and the overhead for each of its cost pools is as follows:



It has also estimated the activities for each cost driver as follows:



How much is the overhead allocated to each unit of Generic and Label?

Answers

Answer:

The allocated overhead per unit to Generic is $1.34 and to Label is $1.25 per unit.

Explanation:

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After the World Cup soccer games, Puma, the German sporting goods manufacturer, increased its end-of-year sales target by $641 million. Puma developed _____ plans with a goal that extra sales would come from new product categories the company was introducing, sale of soccer equipment, and consolidation of several subsidiaries.

Answers

Answer:

tactical

Explanation:

"Planning" is a very important process in order for a business to know how it is going to allocate and manage its resources to achieve its goals in a more organized way.

Among the planning options mentioned, Puma uses "tactical plans" in order to achieve its goal. Such type of plan is focused on a specific goal. In the case of Puma, it is focused on achieving $641 million in its sales target.

Tactical plans also include "when" or the time in which goals are going to be achieved. Most of the time, goals are set from less than a year to one year. In Puma's case, it's goal is by the end of the year.

Tactical plans also state the strategies that the company will use in order to achieve its goal. In order for Puma to increase its sales, it will be introducing new products, sell soccer equipment and combine different subsidiaries. These strategies will help Puma accomplish its mission.

So, this explains the answer.

Final answer:

Puma implemented strategic sales plans based on new product introduction, sale of soccer equipment, and subsidiary consolidation to increase its end-of-year sales target by $641 million post World Cup soccer games.

Explanation:

Based on the question posed, Puma adopted strategic sales plans to increase revenue by $641 million following the World Cup soccer games. These Sales plans were driven around three major strategies; Introducing new product categories, focusing on sales of soccer equipment, and consolidating several company subsidiaries. Introduction of new products would attract more customers and help increase sales. Focusing more on sale of soccer equipment during the World cup period helps to capitalize on the increased demand for such products. Lastly, consolidation of subsidiaries can minimize costs and improve efficiency, leading to an increase in sales.

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An effective goal program has goals that are​ specific, consistent, and appropriately challenging. What is​ missing?

Answers

Answer:

Feedback

Explanation:

In an effective goal program, feedback is very important and essential. The goals should be open for feedback. If the goals are specific, consistent but lack feedback, then it is no longer effective.

Feedback is important in order to evaluate how effective the goal is. So, in the above, feedback is what is missing.

Next Generation's predetermined overhead rate is $16 per direct labor-hour and its direct labor wage rate is $11 per hour. Job #1987 used $1,202 of direct materials and $5,500 of direct labor. Question:
If Job #1987 consists of 100 units, what is the average cost assigned to each unit included in the job?

Answers

Answer:

Unitary cost= $147.02

Explanation:

Giving the following information:

Next Generation's predetermined overhead rate is $16 per direct labor-hour and its direct labor wage rate is $11 per hour. Job1987 used $1,202 of direct materials and $5,500 of direct labor.

First, we need to calculate the allocated overhead to Job 1987:

direct labor hours= 5,500/11= 500 hours

Allocated overhead= 500*16= $8,000

Now, we can calculate the total cost and unitary cost of Job 1987:

Total cost= 1,202 + 5,500 + 8,000= $14,702

Unitary cost= 14,702/100 units= $147.02

North Carolina State University Irwin College of Engineering can earn 4% on its investments, how much should be in its savings account to fund one $5,000 scholarship each year for the next 10 years?

Answers

Answer:

The amount that should be in its savings account is $40,554.48.

Explanation:

To calculate this, formula for calculating the present value of an ordinary annuity is employed as follows:

PV = P * [{1 - [1 / (1 + r)]^n} / r] …………………………………. (1)

Where;

PV = Present value of or amount in the saving =?

P = yearly scholarship payment = $5,000

r = interest rate = 4%, 0.04

n = number of years = 10

Substitute the values into equation (1) to have:

PV = $5,000 * [{1 - [1 / (1 + 0.04)]^10} / 0.04]

PV = $5,000 * [{1 - [1 / 1.04]^10} / 0.04]

PV = $5,000 * [{1 - 0.961538461538461^10} / 0.04]

PV = $5,000 * [{1 - 0.675564168825795} / 0.04]

PV = $5,000 * [0.324435831174205 / 0.04]

PV = $5,000 * 8.11089577935512

PV = $40,554.48

Therefore, the amount that should be in its savings account is $40,554.48.

Final answer:

The present value of an annuity formula can be used to determine the amount needed in the savings account.

Explanation:

To determine how much should be in its savings account to fund one $5,000 scholarship each year for the next 10 years, we can use the formula for the present value of an annuity. The formula is:

PV = PMT * ((1 - (1 + r)^(-n)) / r)

Where PV is the present value, PMT is the payment amount, r is the interest rate, and n is the number of periods. In this case, the payment amount is $5,000, the interest rate is 4% (or 0.04), and the number of periods is 10. Plugging these values into the formula, we get:

PV = $5,000 * ((1 - (1 + 0.04)^(-10)) / 0.04) = $42,179.84

Therefore, North Carolina State University's Irwin College of Engineering should have $42,179.84 in its savings account to fund one $5,000 scholarship each year for the next 10 years.

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Herman Company has three products in its ending inventory. Specific per unit data at the end of the year for each of the products are as follows: Product 1 Product 2 Product 3 Cost $ 40 $ 110 $ 70 Selling price 100 180 130 Costs to sell 6 80 30

Answers

Answer and Explanation:

Given:

                                 Product 1      Product 2         Product 3

Cost of product         $20                 $90                 $50

Selling price              $40                 $120                $70

Selling cost                $6                    $40                 $10

Computation:

                                          Product 1      Product 2         Product 3

Product Cost                         $20                 $90                 $50

N.R.V                              ($40-$6)=$34  ($120-$40)=$80  ($70-$10)=$60

Per Unit Inventory Value      $20                 $90                 $50

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