Finance Answers

On October 1, 2009, Nautilus Co. received $15,300 for the rent of land for 12 months. Journalize the adjusting entry required for unearned rent on December 31, 2009.

Can you please explain why the sale price on the pizza question is 12 when it's on a 20% promotion but after the promotion it drops to 9.60 should the sale price not increase after the promotion has finished

Analyse the following transactions according to traditional approach.
a. 1.1.2011 Sunitha started his business with cash Rs. 5,00,000
b. 2.1.2011 Borrowed from Malathi Rs. 5,00,000
c. 2.1.2011 Purchased furniture Rs. 1,00,000
d. 4.1.2011 Purchased furniture from Meenal on credit Rs. 1,50,000
e. 5.1.2011 Purchased goods for cash Rs. 50,000
f. 6.1.2011 Purchased goods from Ram on credit Rs. 2,50,000
g. 8.1.2011 Sold goods for cash Rs. 1,25,000
h. 8.1.2011 Sold goods to Shyam on credit Rs. 55,000
i. 9.1.2011 Received cash from Shyam Rs. 25,000
j. 10.1.2011 Paid cash to Ram Rs. 90,000

Following is the balance sheet for the period ending 31st March 2011 and 2012. If the current year’s net loss is Rs.38,000, Calculate the cash flow from operating activities.
31st MARCH
2011
2012
Short-term loan to employees
15,000
18,000
Creditors
30,000
8,000
Provision for doubtful debts
1,200
-

Draw the Balance Sheet for the following information provided by Sandeep Ltd..
a. Current Ratio : 2.50
b. Liquidity Ratio : 1.50
c. Net Working Capital : Rs.300000
d. Stock Turnover Ratio : 6 times
e. Ratio of Gross Profit to Sales : 20%
f. Fixed Asset Turnover Ratio : 2 times
g. Average Debt collection period : 2 months
h. Fixed Assets to Net Worth : 0.80
i. Reserve and Surplus to Capital : 0.50

Audra acquires the following new five-year class property in 2011:

Asset Acquisition Date Cost
A January 10 $106,000
B July 5 $70,000
C November 15 $1,950,000
Total $2,126,000,

Audra elects § 179 for Asset C. Audra's taxable income from her business would not create a limitation for purposes of the § 179 deduction. Audra takes additional first year depreciation. Determain her total cost recovery deduction ( including section 179 deduction) for the year.

What are the special features of factor pricing? How factor pricing differs from commodity pricing?

Explain the importance of integrity and ethics in preparing and reporting financial information..

can you explain why prices decrease when a market moves from a monopoly to perfect competition?

Consider a small country in which the demand and supply curves of a
particular commodity are respectively given as:
Qd=120-20P (1)
Qs=20P (2)

where Qd is the quantity demanded, Qs the quantity supplied, and P the price.

(a) compute the equilibrium price and quantity under conditions of autarky and
the elasticity of demand (Ed ) and supply (Es ) at the point of equilibrium.

(b) Suppose now that the country decides to engage in trade for this particular
commodity and the international price Pw=1. Compute Qd , Qs, imports (M),
Ed , Es , and the changes in consumers’ surplus, producers’ surplus and in total
welfare. Discuss your answer.

(c) Lets assume that the country imposes a tariff t =1 per unit. Compute Qd , Qs ,
M, Ed , Es , and the changes in consumers’ surplus, producers’ surplus, total
welfare and in tariff revenue (TR) and compare the results with free trade case.