Identify whether the given statement is true or false.

Question

Want to see more full solutions like this?

Answer 1

Question

Chapter 26, Problem 1TF

To determine

Identify whether the given statement is true or false.

Expert Solution & Answer

Answer to Problem 1TF

False statement

Explanation of Solution

While manufacturing goods, direct materials are considered as major part of the finished product. The indirect materials are only used in manufacturing process and are not included as major part of the finished product.

Therefore, the given statement “Both direct and indirect materials enter into and become major parts of the finished product” is False.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

Consolidation Working Paper One Year after Acquisition, Bargain Purchase On January 1, 2022, Paxon Corporation acquired 90 percent of the outstanding common stock of Saxon Company for $1.8 billion cash. The fair value of the 10 percent noncontrolling interest in Saxon was estimated to be $150 million at the date of acquisition. Paxon uses the complete equity method to report its investment. The trial balances of Paxon and Saxon (in millions) Cash and receivables Inventory Equity method investments Investment in Saxon Dr(Cr) Paxon Saxon $3,225 $855 2,260 530 December 31, 2022, appear below: 2,441.5 Land 650 300 Buildings and equipment, net 3,600 1,150 Current liabilities (2,020) (1,200) Long-term debt (5,000) (450) (500) (50) Common stock, par value Additional paid-in capital Retained earnings, January 1 Dividends Sales revenue (1,200) (200) (2,410) (600) 500 250 (30,000) (12,000) Equity in net income of Saxon (616.5) Gain on acquisition (250) Gain on sale of securities (150) Cost of…

KIARA LIMITED STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER: ASSETS Property, plant and equipment (cost) Accumulated depreciation Long-term investments Inventory Accounts receivable Company tax paid in advance Bank EQUITY AND LIABILITIES 2024 2023 R R 2 490 000 1 620 000 (630 000) 660 000 1 050 000 1 230 000 30 000 (480 000) 450 000 1 290 000 900 000 0 750 000 660 000 5 580 000 4 440 000 Ordinary share capital 2 700 000 2 000 000 Retained income 1 500 000 1 158 000 Long-term loan from Kip Bank (15%) 900 000 1 000 000 Accounts payable 480 000 228 000 Company tax payable 0 54 000 5 580 000 4 440 000 ADDITIONAL INFORMATION All purchases and sales are on credit. Interim dividends paid during the year amounted to R150 750. Credit terms of 3/10 net 60 days are granted by creditors.

Accounting Question

Answer 2

Question

Chapter 26, Problem 1TF

To determine

Identify whether the given statement is true or false.

Expert Solution & Answer

Answer to Problem 1TF

False statement

Explanation of Solution

While manufacturing goods, direct materials are considered as major part of the finished product. The indirect materials are only used in manufacturing process and are not included as major part of the finished product.

Therefore, the given statement “Both direct and indirect materials enter into and become major parts of the finished product” is False.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Question

Chapter 26, Problem 1TF

To determine

Identify whether the given statement is true or false.

Expert Solution & Answer

Answer to Problem 1TF

False statement

Explanation of Solution

While manufacturing goods, direct materials are considered as major part of the finished product. The indirect materials are only used in manufacturing process and are not included as major part of the finished product.

Therefore, the given statement “Both direct and indirect materials enter into and become major parts of the finished product” is False.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Question

Chapter 26, Problem 1TF

To determine

Identify whether the given statement is true or false.

Expert Solution & Answer

Answer to Problem 1TF

False statement

Explanation of Solution

While manufacturing goods, direct materials are considered as major part of the finished product. The indirect materials are only used in manufacturing process and are not included as major part of the finished product.

Therefore, the given statement “Both direct and indirect materials enter into and become major parts of the finished product” is False.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Chapter 26, Problem 1TF

To determine

Identify whether the given statement is true or false.

Expert Solution & Answer

Answer to Problem 1TF

False statement

Explanation of Solution

While manufacturing goods, direct materials are considered as major part of the finished product. The indirect materials are only used in manufacturing process and are not included as major part of the finished product.

Therefore, the given statement “Both direct and indirect materials enter into and become major parts of the finished product” is False.

Answer 6

Chapter 26, Problem 1TF

To determine

Identify whether the given statement is true or false.

Expert Solution & Answer

Answer to Problem 1TF

False statement

Explanation of Solution

While manufacturing goods, direct materials are considered as major part of the finished product. The indirect materials are only used in manufacturing process and are not included as major part of the finished product.

Therefore, the given statement “Both direct and indirect materials enter into and become major parts of the finished product” is False.

Answer 7

Chapter 26, Problem 1TF

To determine

Identify whether the given statement is true or false.

Answer 8

Expert Solution & Answer

Answer to Problem 1TF

False statement

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

Explanation of Solution

While manufacturing goods, direct materials are considered as major part of the finished product. The indirect materials are only used in manufacturing process and are not included as major part of the finished product.

Therefore, the given statement “Both direct and indirect materials enter into and become major parts of the finished product” is False.