Global Inc. bought 18,000 shares of Creative Co.'s stock for $245,000 on June 8, 2012, classified as available for sale. Market value declined to $142,000 by December 31, 2012. Global reclassified this as trading securities in December 2013 when market value rose to $198,000. What effect on 2013 income should Global report for Creative Co. shares?
Q: Need answer the general accounting question
A: Step 1: Define Equivalent Units for Conversion CostsEquivalent units for conversion costs represent…
Q: solve this question General accounting
A: Step 1: Define Amortization is the process of gradually expensing the cost of an intangible asset…
Q: Head first company plans to sell
A: Concept of Variable CostVariable cost refers to expenses that change directly with the level of…
Q: What is the gross profit margin?
A: The question requires the determination of the gross profit margin.Gross profit margin shows the…
Q: correct answer best answer
A: The question requires the determination of the increase in sales. The increase in sales refers to…
Q: What is the denominator in computing the annual rate of return on these financial accounting…
A: Step 1: Definition of the Denominator in the Annual Rate of Return The Annual Rate of Return (ARR)…
Q: Total revenue minus total cost equals: a. quantity. b. change in profit. c. marginal cost. d.…
A: Understanding ProfitThe concept of profit is very simple in business and economics; it reflects the…
Q: If you want to make a 15% profit from 250 shillings, what price do you place on your goods? Answer
A: Approach to solving the question:Freeform Detailed explanation: To determine the selling price when…
Q: Answer
A: Assuming no Manufacturing Overheads, thus $0 is taken Part (a): Calculation of the Total…
Q: Solve this financial accounting problem
A: Step 1: Introduction to stockholders' equityStockholders' equity refers to the residual value of the…
Q: Provide answer
A: Question 1: Step 1. Calculate the Warranty expense for the current month Warranty expense for the…
Q: Creston Alloy Works manufactures a single product that sells for $90 per unit. Variable costs are…
A: Explanation of Selling Price: Selling price is the amount a company charges customers for each unit…
Q: What are the variable expenses per unit on these financial accounting question?
A: Step 1: Define Variable Expenses per UnitVariable expenses per unit are the costs that change with…
Q: Please give me true answer this financial accounting question
A: Step 1: Define Net IncomeNet income is the company's total profit after deducting all expenses,…
Q: ans
A: Step 1: Definition of Ending InventoryEnding inventory refers to the value of unsold goods that…
Q: Accounting
A: Concept of Market Value of AssetsThe market value of assets represents the estimated worth of a…
Q: Abc
A: To determine the predetermined overhead rate as a percentage of direct labor costs, we use the…
Q: The projected benefits obligation was underfunded at the end of 2010 by ? General accounting
A: To determine how much the Projected Benefit Obligation (PBO) is underfunded at the end of 2010, we…
Q: Answer this MCQ
A: Explanation of Manufacturing Overhead Rate: This is a predetermined rate used to allocate indirect…
Q: Yom Electronics has an accounts receivable turnover for the year of 8.2. Net sales for the period…
A: Explanation of Accounts Receivable Turnover: Accounts Receivable Turnover is a financial ratio that…
Q: L.L. Bean operates two factories that produce its popular Bean boots (also known as "duck boots") in…
A: To accurately record the anticipated sales return for one pair of L.L. Bean's Bean Boots, we need to…
Q: Abdul soda has provided the following data
A: Explanation of Sales Volume Variance: Sales Volume Variance measures the difference between actual…
Q: choose best answer
A: To calculate the return on equity (ROE), we need to use the following formula:ROE = Net Income /…
Q: Sub: General Accounting
A: Concept of Net IncomeNet Income is the total profit a company earns after deducting all expenses,…
Q: need help this questions
A: Step 1: Definition of Job Cost SheetA job cost sheet is a financial document that tracks the costs…
Q: How much overhead is applied to work in process?
A: Explanation of Job-Order Costing System: This is a cost accounting system used when a company…
Q: Need help this question solution
A: Step 1: Definition of Net IncomeNet income represents a company's total earnings after deducting all…
Q: Calculate the price charged to the customer for Job
A: Concept of Job Order CostingJob order costing is a cost accounting system used by businesses that…
Q: hi expert please help me
A: To determine the Return on Equity (ROE) for both financing scenarios, we use the formula:ROE = Net…
Q: Compute the sales price variance and the sales volume variance for may 2008
A: Step 1: Definition of Sales Price Variance and Sales Volume VarianceSales Price Variance measures…
Q: If investors expect a 14% return on a $50 stock that pays a dividend of $2.50, what is the implied…
A: 1. Calculate the Dividend Yield:Dividend Yield = (Annual Dividend / Stock Price) * 100Dividend Yield…
Q: answer
A: The real interest rate is calculated using the formula: 1+r=Current Consumption IncreaseFuture…
Q: What is employee net pay
A: Explanation of Net Pay:Net pay is the amount an employee takes home after all deductions, including…
Q: Compute bolster's predetermined overhead rate
A: To compute Bolster's predetermined overhead rate and applied overhead for February, follow these…
Q: Need answer the financial accounting question not use ai and chatgpt
A: Cullumber Supplies Co. should report as cash only the items that are considered cash equivalents,…
Q: Question 25
A: Concept of Retained EarningsRetained earnings represent the cumulative net income of a company that…
Q: Market rule?
A: Explanation of FIFO Method:The First-In, First-Out (FIFO) method is an inventory valuation approach…
Q: What is the net income reported by Meera auto repairs for the year?
A: Explanation of Net Income: Net income represents the financial profit or loss a business generates…
Q: If sales = $1,000 and COGS = $600, and operating expenses = $100, the gross profit percentage would…
A: Step 1: Definition of Gross Profit PercentageThe gross profit percentage measures a company's…
Q: Hi expert please give me answer general accounting question
A: Step 1: Definition of Operating Cash Flow (OCF)Operating Cash Flow (OCF) represents the cash…
Q: Carter Industries has stockholders' equity of $350,000 and total liabilities of $215,000. What is…
A: Explanation of Accounting Equation:The accounting equation is the foundation of double-entry…
Q: Ans plz general accounting
A: Step 1: Definition of Predetermined Overhead RateThe predetermined overhead rate is used to apply…
Q: Answer
A: Concept of Total Sales RevenueTotal Sales Revenue represents the total amount of money a business…
Q: Accurate answer
A: Explanation of Special Order Pricing:Special order pricing is a pricing strategy used when a company…
Q: SteelMax produces metal containers that require 2.5 meters of material at $1.20 per meter and 0.3…
A: Step 1: Calculation of total standard material cost per unitStandard quantity of material required…
Q: During the year, Minot Company produced 120,000 drills for industrial equipment. Minot's direct…
A: Step 1: Definition of Standard Quantity AllowedStandard quantity allowed refers to the expected…
Q: The balance in the office supplies account on June 1 was $16,300, supplies purchased during June…
A: Concept of Total Office Supplies AvailableTotal office supplies available refer to the total amount…
Q: 5 POINTS
A: Given:Opening count = 240 itemsUsed items = 185Damaged items = 15Closing count =…
Q: Ans. General Account
A: Step 1: Definition of Gross Profit PercentageThe gross profit percentage (gross margin) measures the…
Q: kindly help me with accounting question
A: Step 1: Definition of Stockholders' EquityStockholders' equity represents the owners' claim on a…
What effect on 2013 income should global report for creative co shares?
Step by step
Solved in 2 steps
- Please provide this question solution general accountingABAKA Co. reported the following differences in the statement of financial position accounts on December 31, 2023 and 2022. Additional information: - Net income for the current year was P1,900,000 - During 2023, ABAKA Co. purchased trading securities for P900,000 cash and sold trading securities costing P500,000 for P800,000. On December 31, 2023, the market value of the remaining trading securities increased to P500,000. - Cash dividend of P500,000 was declared. - Equipment costing P800,000 and having a carrying amount of P550,000 was sold for P650,000. - Equipment costing P3,000,000 was acquired through issuance of long-term debt. - The long-term investment pertains to 20% common stock investment in SANDALS Corp. which was purchased on December 31, 2022. SANDALS Corp. reported 2023 net income at P5,000,000 and declared and paid dividends of P500,000. - 100,000 ordinary shares were issued for P20. Requirements: Determine the net cash provided by: a) Operating activities b)…During 2017, Latvia Company purchased trading securities with the following cost and market value on December 31, 2017. Security Cost Market Value A – 1 000 shares 200 000 300 000 B – 10 000 shares 1 700 000 1 600 000 C – 20 000 shares 3 100 000 2 900 000 5 000 000 4 800 000 The entity sold 10 000 shares of security B on January 15, 2018, for P 150 per share. 1. What amount of unrealized gain or loss should be reported in income statement for 2017? 2. What amount should be reported as loss on sale of trading investment of 2018?
- On January 1, 2020, Rama Company had 20,000 treasury shares of P100 par value that had been previously acquired at P120 per share. In December 2020, the entity reissued 15,000 of these treasury shares at P150 per share. The cost method is used to record treasury transactions. On December 31, 2020, what amount should be reported in the notes to financial statements as a restriction of retained earnings as a result of the treasury share transactions? a. 2,400,000 b. 1,800,000 c. 600,000 d. 500,000Kristopher Company began operations in 2014. At 12/31/22, Kristopher had a debit balance of $25,000 in its Allowance for Adjustment to Market. At January 1, 2022, Kristopher owned the following securities, accounted for using the fair value method. Cost MJO Common (25,000 shares) $550,000 JKH Preferred (1,900 shares) 199,500 EKH Common (7,500 shares) 82,500 During 2022 the following events occurred: 4/3/22 Sold 3,000 shares of MJO for $75,000. 9/6/22 Acquired 1,500 shares of WVO Common for $25 per share. At 12/31/22, the fair values for Kristopher’s securities were: MJO Common, $24 per share JKH Preferred, $103 per share EKH Common, $13 per share WVO Common, $27 per share Required: Prepare any journal entries required in 2022 to record the securities activity, including any required adjusting entries at 12/31/22. Show any calculations.…Ayayai Company’s net income for 2020 is $52,900. The only potentially dilutive securities outstanding were 1,040 options issued during 2019, each exercisable for one share at $6. None has been exercised, and 10,900 shares of common were outstanding during 2020. The average market price of Ayayai’s stock during 2020 was $20. (b) Assume the same facts as those assumed for part (a), except that the 1,040 options were issued on October 1, 2020 (rather than in 2019). The average market price during the last 3 months of 2020 was $20. Answer (b) Diluted Earnings Per Share = ?
- In 2014, Fogg, Inc., issued $10 par value common stock for $25 per share. No other common stock transactions occurred until March 31, 2016, when Fogg acquired some of the issued shares for $20 per share and retired them. Which of the following statements correctly states an effect of this acquisition and retirement? a. 2016 net income is decreased. b. Additional paid-in capital is decreased. c. 2016 net income is increased. d. Retained earnings is increased.Shamrock Company’s net income for 2020 is $52,300. The only potentially dilutive securities outstanding were 1,200 options issued during 2019, each exercisable for one share at $6. None has been exercised, and 9,300 shares of common were outstanding during 2020. The average market price of Shamrock’s stock during 2020 was $20. (a) Compute diluted earnings per share. (b) Assume the same facts as those assumed for part (a), except that the 1,200 options were issued on October 1, 2020 (rather than in 2019). The average market price during the last 3 months of 2020 was $20. Diluted earnings per shareUse the following information for the next two questions. PINA CO. carries the following marketable equity securities on its books at December 31, 2012 and 2013. All securities were purchased during 2012 and there were no beginning balances in any market adjustment accounts. Financial Assets through Profit or Loss: Fair value 12/31/12 12/31/13 Cost C Company P 500,000 P 260,000 P 400,000 E Company 260,000 400,000 400,000 R Company 700,000 600,000 500,000 Total P1,460,000 P1,260,000 P1.300,00 Financial Assets through OCI: Cost Fair value 12/31/12 12/31/13 T Company P4,200,000 P3,600,000 P3,600,00 S Company 1.000,000 1,200,000 1,400,000 Total P5,200,000 P4,800,000 P5.000,.00 12. The net amount to be recognized in the 2013 profit or loss is 13. The net amount to be recognized in 2013 as other comprehensive income is
- Jaybu Company acquired the following portfolio of equity instruments held for trading during 2022 and reported the following balances at December 31, 2022. No sales occurred during 2022. Security / Cost / Market Value, 12/31/22 AAA Company Shares / 300,000 / 350,000 BBB Company Shares / 450,000 / 410,000 CCC Company Shares / 540,000 / 640,000 DDD Company Shares / 610,000 / 650,000 How much is the unrealized gain that should be taken to profit or loss statement?Twist Corp. had no short-term investments prior to year 2017. It had the following transactions involving short-term investments in available-for-sale securities during 2017. Apr. 16 Purchased 5,000 shares of Lafayette Co. stock at $26 per share. July 7 Purchased 3,500 shares of CVF Co. stock at $51 per share. 20 Purchased 1,600 shares of Green Co. stock at $18 per share. Aug. 15 Received an $1.20 per share cash dividend on the Lafayette Co. stock. 28 Sold 3,000 shares of Lafayette Co. stock at $29 per share. Oct. 1 Received a $3.30 per share cash dividend on the CVF Co. shares. Dec. 15 Received a $1.40 per share cash dividend on the remaining Lafayette Co. shares. 31 Received a $2.70 per share cash dividend on the CVF Co. shares.Twist Corp. had no short-term investments prior to year 2017. It had the following transactions involving short-term investments in available-for-sale securities during 2017. For the Dec 31ST Adjustment Period what formula would I use? It's the only one that I can not figure out. Apr. 16 Purchased 5,000 shares of Lafayette Co. stock at $26 per share. July 7 Purchased 3,500 shares of CVF Co. stock at $51 per share. 20 Purchased 1,600 shares of Green Co. stock at $18 per share. Aug. 15 Received an $1.20 per share cash dividend on the Lafayette Co. stock. 28 Sold 3,000 shares of Lafayette Co. stock at $29 per share. Oct. 1 Received a $3.30 per share cash dividend on the CVF Co. shares. Dec. 15 Received a $1.40 per share cash dividend on the remaining Lafayette Co. shares. 31 Received a $2.70 per share cash dividend on the CVF Co. shares.