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If cash dividends on preferred stock are not declared in the current year, disclosure of the fact would be required if the preferred stock was
- Cumulative
- Non-cumulative
A. 1 only.
B. 2 only.
C. Both 1 and 2
D. Neither 1 nor 2
The answer is A. Can you explain to me why the answer is A only? Thank you.
Lasky Company sold merchandise with a list price of USD 60,000 on July 1. For each of the
following independent assumptions, calculate (1) the gross selling price used to record the sale and (2) the amount
that the buyer would have to remit when paying the invoice.
Trade Discount Credit Date
Granted Terms Paid
a. 30%, 20% 2/10, n/30 July 10
b. 40%, 10% 2/EOM, n/60 August 10
c. 30%, 10%, 5% 3/10/EOM, n/60 August 10
d. 40% 1/10, n/30 July 12
Raiser Company purchased goods at a gross selling price of USD 2,400 on August 1. Discount terms
of 2/10, n/30 were available. For each of the following independent situations, determine (1) the cash discount available on the final payment and (2) the amount paid if payment is made within the discount period.
Purchase Transportation Freight Allowance Terms Paid (by) Granted
a. FOB shipping point $240 (buyer) $480
b. FOB destination 120 (seller) 240
c. FOB shipping point 180 (seller) 720
d. FOB destination 192 (buyer) 120
Stuart Company purchased goods for USD 84,000 on June 14, under the following terms: 3/10, n/
30; FOB shipping point, freight collect. The bill for the freight was paid on June 15, USD 1,200.
a. Assume that the invoice was paid on June 24, and prepare all entries required on Stuart Company's books.
b. Assume that the invoice was paid on July 11. Prepare the entry to record the payment made on that date
Exercise H Cramer Company uses periodic inventory procedure. Determine the cost of goods sold for the company assuming purchases during the period were USD 40,000, transportation-in was USD 300, purchase returns and allowances were USD 1,000, beginning inventory was USD 25,000, purchase discounts were USD2,000, and ending inventory was USD 13,000.
Gross sales $ 640,000 $ ? $ ?
Sales discounts ? 25,600 19,200
Sales returns and allowances 19,200 44,800 32,000
Net sales 608,000 1,209,600
Merchandise inventory, January 1 256,000 384,000
Purchases 384,000 768,000
Purchase discounts 7,680 13,440 12,800
Purchase returns and allowances 24,320 31,360 32,000
Net purchases 352,000 672,000
Transportation-in 25,600 38,400 32,000
Net cost of purchases 377,600 761,600 ?
Cost of goods available for sale ? 1,081,600 1,088,000
Merchandise inventory, December 31 ? 384,000 448,000
Cost of goods sold 320,000 ? 640,000
Gross margin 512,000 320,000
In each case, use the following information to calculate the missing information
24 The company purchased merchandise on account at a cost of USD 345,600; terms 2/10, n/30, FOB shipping point, freight collect.
26 The company returned USD 57,600 of the merchandise purchased June 24 to the vendor for credit.
27 A trucking company was paid USD 7,200 for delivery to Rusk Company of the goods purchased June 24.
29 The company sold merchandise on account, USD 384,000; terms 2/10, n/30.
30 Sold merchandise for cash, USD 172,800.
30 Payment was received for the sale of June 15.
30 Paid store rent for June, USD 43,200.
30 Paid the amount due on the purchase of June 24.
The inventory on hand at the close of business June 30 was USD 672,000 at cost.
a. Prepare journal entries for the transactions.
ABC Ltd is evaluating to invest in two projects. Project X may yield a return of £1.5m with a probability of 20%, or a return of £5m with a probability of 60%. Project Y, instead, may earn a negative return of £3m with a probability of 70% or a positive return of £7m with a probability of 30%.
1) How much is the expected return for project X and Y?
if one of your family member is working abroad and sending you money in which national income we will count it?
