Answer:
A. Group depreciation rate 17.197%
Group life 5.02 years
Depreciation for 2016 $5,675
B. 2019
Dr Stove, refrigerator and dishwasher $2,700
Cr Cash $2,700
2019
Dr Accumulated Depreciation $1,300
Dr Cash $200
Cr Stove, refrigerator and dishwasher $1,500
Explanation:
A. Calculation to determine the group depreciation rate, group life, and depreciation for 2016.
First step is the Computation of Group depreciation rate, group life and depreciation for 2016
Assets Original Residual Depreciation Estimated Depreciation
Cost Value Cost Life-Years per year-SLM
Stoves $15,000-$3,000= $12,000 6 $2,000 ($12,000/6=$2,000)
Refrigerators $10,000-$1,000=$9,000 5 $1,800 ($9,000/5=$1,800)
Dishwashers $8,000-$500=$7,500 4 $1,875
($7,500/4=$1,875)
Total $33,000 $4,500 $28,500 $5,675
Now let determine the group depreciation rate, group life, and depreciation for 2016.
Calculation for group depreciation rate using this formula
Group Depreciation Rate = Total depreciation per year ÷ Total original cost
Let plug in the formula
Group depreciation rate = $5,675 ÷ $33,000*100
Group depreciation rate= 17.197%
Calculation for Group life using this formula
Group life = Total depreciation cost ÷ Total depreciation per year
Let plug in the formula
Group life = $28,500 ÷ $5,675
Group life = 5.02 years
Calculation for Depreciation for 2016 using this formula
Depreciation for 2016= Original Cost × Group Depreciation Rate
Let plug in the formula
Depreciation for 2016 = $33,000 × 0.17197
Depreciation for 2016= $5,675
Therefore the group depreciation rate is 17.197%, group life is 5.02 years, and depreciation for 2016 is $5,675
B. Preparation of the journal entries to record the purchase of the new refrigerators and the sale of the old refrigerators.
2019
Dr Stove, refrigerator and dishwasher $2,700
Cr Cash $2,700
(To record purchase of new refrigerator)
2019
Dr Accumulated Depreciation $1,300
($1,500-$200)
Dr Cash $200
Cr Stove, refrigerator and dishwasher $1,500
(To record sale of old refrigerator)
Gentle Ben's Bar and Restaurant uses 6,700 quart bottles of an imported wine each year. The effervescent wine costs $4 per bottle and is served only in whole bottles because it loses its bubbles quickly. Ben figures that it costs $25 each time an order is placed, and holding costs are 15 percent of the purchase price. It takes three weeks for an order to arrive. Weekly demand is 134 bottles (closed two weeks per year) with a standard deviation of 30 bottles. Ben would like to use an inventory system that minimizes inventory cost and will provide a 95 percent service probability.
Required:
a. What is the economic quantity for Ben to order? (Round your answer to the nearest whole number.)
b. At what inventory level should he place an order? (Round your answer to the nearest whole number.)
Answer:
a. The answer is:762 bottlé.
b. The answer is: 487 bottles.
Explanation:
a. The economic order quantity is calculated as: [tex]\sqrt{(2xDxS/H)}[/tex] = [tex]\sqrt{2 x 6968 x 25)/0.6[/tex] = 762 units because: D = annual demand = Weekly demand x week opening per year = 134 x 52 = 6968; S = Cost per order = 25; H = Holding cost per unit = 15% x purchase price = 15% x 4 = 0.6
b. Inventory level to place order:
With the inventory system providing a 95 percent service probability, z level is 1.64 (using the NORM.S.INV function in excel).
So Inventory level to place order = 134 * 3 + 1.64 * 30 * 3^0.5= 487 bottles.
By offering more generous unemployment insurance programs, European countries can expect Group of answer choices longer periods of unemployment for their workers. shorter periods of unemployment for their workers. workers to gain new skills quickly in response to fluctuations in the labor market. to pay less in taxes than in the United States.
Answer:
Longer periods of unemployment for their workers.
Explanation:
Unemployment is when people who are willing and able work do not have jobs
Types of unemployment
structural unemployment is an unemployment that occurs as a result of changes in the economy. These changes can be as a result of changes in technology, polices or competition. Structural unemployment tends to be permanent.
Frictional unemployment: the period of time a person is unemployed from the period he leaves his current job and the time he gets another job. Eg. when a real estate agent who leaves a job in Texas and searches for a similar, higher-paying job in California.
Voluntary unemployment: e.g. worker at a fast-food restaurant who quits work and attends college.
Cyclical unemployment: it occurs as a result of fluctuations in the economy. Unemployment would be high in a downturn and low in a boom
If a government gives generous unemployment insurance programs, there would be less incentive to find jobs because one of the main reasons why people would want to work is to have money. If the government provides generous pay to the unemployed, there would be less motivation to work and unemployment increases
what is goal formulation?? explain the goal formulation process
Answer:
Goal formation is a process of how a goal is initiated or added to, while goal displacement is a process whereby goals are shifted out, changed, toned down or removed from the original set.
Wally owns 200 acres of land.Wally offers to sell the land to Robert for $1,500 per acre.Robert replies that he does not need 200 acres of land but would like to buy 40 acres at $1,500 per acre.Wally agrees to sell but does not identify which 40 acres.Later,Wally refuses to sell any land to Robert.What is the result?
A) Robert wins; this is an enforceable contract with complete and definite terms.
B) Robert wins; the UCC will decide which 40 acres are to be sold.
C) Wally wins; the original offer was not intended to be an offer but merely an invitation to negotiate.
D) Wally wins; this agreement is too indefinite since it does not identify which 40 acres are to be sold.
Answer:
D) Wally wins; this agreement is too indefinite since it does not identify which 40 acres are to be sold.
Explanation:
Since in the given situation, wally agrees to sell but here the identification of the land is not mentioned i.e. 40 acres and at the later time the wally refused to sold any land so here wally should wins as the agreement is not definite which type of the land should be sold so it becomes the agreement void
Hence, the correct option is d.
Garson, Inc. produces three products... Garson, Inc. produces three products. Data concerning the selling prices and unit costs of the three products appear below:
Product
F G H
Selling price $100 $ 80 $110
Variable costs $60 $50 $65
Fixed costs $10 $5 $7
Milling machine time (minutes) 10 6 5
Fixed costs are applied to the products on the basis of direct labor hours. Demand for the three products exceeds the company's productive capacity. The milling machine is the constraint, with only 2,800 minutes of milling machine time available this week.
Required:
a. Given the milling machine constraint, which product should be emphasized?
b. Assuming that there is still unfilled demand for the product that the company should emphasize in part (a) above, up to how much should the company be willing to pay for an additional hour of milling machine time?
Answer and Explanation:
The computation is shown below:
a.
Particulars F G H
Selling price (a) $100 $80 $110
Variable costs (b) -$60 -$50 -$65
Contribution Margin $40 $30 $45
Milling machine time
(minutes) 10 6 5
Contribution Margin
per minute $4 $5 $9
based on the above calculation, the product H should be emphasized as it has the highest contribution margin per minute
b. The price the company should pay is
= $9 × 60 minutes per hour
= $540
The adjusted trial balance of Parsons Company at December 31, 2020, includes the following accounts: Common Stock $15,600, Dividends $7,000, Service Revenue $37,000, Salaries and Wages Expense $16,000, Insurance Expense $2,000, Rent Expense $4,000, Supplies Expense $1,500, and Depreciation Expense $1,300.
Required:
Prepare an income statement for the year.
Answer:
$12,200
Explanation:
Preparation of an income statement for the year.
PARSONS COMPANY Income Statement
For the year ended December 31,2020
Service Revenue $37,000
Expenses:
Salaries and wages $16,000
Insurance Expense $2,000
Rent Expense $4,000
Supplies Expense $1,500
Depreciation Expense $1,300
Total Expenses $24,800
Net Income $12,200
($37,000-$24,800)
Therefore income statement for the year is $12,200
The journal entry for a sale on account under the periodic inventory system includes: Multiple choice question. a debit to sales and a credit to accounts receivable a debit to accounts receivable and a credit to sales a debit to cost of goods sold and a credit to merchandise inventory a debit to cost of goods sold and a credit to merchandise inventory; and a debit to accounts receivable and a credit to sales
Answer:
a debit to accounts receivable and a credit to sales.
Explanation:
A periodic inventory system can be defined as a method of financial accounting, that typically involves updating informations about an inventory on a periodic basis (at specific intervals) as the sales or purchases are being made by the customers, through the use of either an enterprise management software applications or a digitized point-of-sale equipment.
Under a periodic inventory system, updates of the journal entry for cost of goods sold (sales) would include debiting accounts receivable and crediting sales on a periodic basis.
Additionally, the periodic system of inventory is a function of the cost of goods sold.
Suppose you invest $250,000 in an annuity that returns 5 annual payments, with the first payment one year from now and each subsequent payment growing by 6%. At an interest rate of 7%, how much is the first annual payment you receive
Answer:
$54,508.98
Explanation:
Formula of present value of growing annuity: PVGA = A*[(1 - (1+g)^n/(1+i)^n)) / (i-g)
$250,000 = A*[(1 - (1+0.06)^5/(1+0.07)^5)] / (0.07 - 0.06)
$250,000*(0.01) = A*(1 - (1.06)^5/(1.07)^5)
$250,000*(0.01) = A*(1 - 0.9541363)
$2500 = A * 0.045864
A = $2,500 / 0.045864
A = 54508.983080412
A = $54,508.98
So, the amount of the first annual payment i will receive $54,508.98.
A successful lease agreement is created so that both the lessee and lessor reap some benefits. Tax and depreciation write-offs are some critical reasons for leasing, but there are several other qualitative reasons for leasing. Below are two situations in which a firm must decide whether to lease or to buy a particular asset. Based on your understanding of the advantages to leasing from a qualitative perspective, what is the firm likely to do in each situation—lease or buy? Assume all other quantitative factors remain constant.
Compnay #1:
Win Jet Corp. is a private-jet charter company. Due to increased demand during the summer, it needs to add three more jets to its fleet. Win Jet is more likely to ___________
Compnay #2:
Kiran owns a medium-sized printing business. She owns three one-color (black) printers and needs a color printer for volume print production. She wants to keep the operating expenses related to the color printer low, so she should ____________ a color printer.
Answer:
Company 1 : Lease new jets.
Company 2 : Buy a color printer.
Explanation:
Lease and buy are both options available to a business for acquiring an equipment. Lease option is best suited to company 1 where the demand for private jet charter has increased in summer. The demand will not remain constant in other seasons so leasing the jets for summer season is best and less costly than buying them.
For company 2, it is better to purchase color printer rather than leasing it as the demand for volume print stays throughout the year and she wants to keep her cost at minimum. Leasing the printer will be an additional monthly expense while buying the printer is one time expense.
Boeing has equipment with a carrying amount of $2,400,000. The expected future net cash flows from the equipment are $2,445,000, and its fair value is $2,040,000. The equipment is expected to be used in operations in the future. What amount (if any) should Torque report as an impairment to its equipment?
A) No impairment should be reported.
B) $360,000
C) $45,000
D) $405,000
Answer:
C) $45,000
Explanation:
Under US GAAP, an asset is impaired if carrying value is more than its future undiscounted cash flows
carrying value= $2,400,000
future undiscounted cash flows=$2,445,000
In other words, the fair value of equipment which stood at $2,040,000, is irrelevant in ascertaining the impairment.
Since the expected future net cash flows are more than the carrying value by $45,000($2,445,000-$2,440,000), the equipment can be said to have been impaired by $45,000
how nike meet the needs of their customers ?
Answer:
they make different shoes for different people and uses
Explanation:
and Nike sucks they use sweat shops to make their shoes
Nike meets the needs of their customers by making different shoes for different people and uses.
What is the meaning of Customers?An individual or company that buys products or services from this other company is known as a customer. Customers are important since they bring in money. Businesses would cease to exist without them.
An individual but rather a business that purchases goods or services from another company is known as a customer. Customers are crucial to businesses because they generate income; without them, they would cease to exist.
Customers will have a positive opinion of you if you listen to them, recognize their requirements, thank them, and foster a welcoming, helpful environment. A satisfied client is more likely to make repeat visits and spend more money. They might also recommend others to your company.
The market and indeed the product exists for their benefit, and they are also the ones to whom the value is now being created. When a company sells its products as a component in some other company's product, this can be a bit complicated. The creator of the product in this instance is the main client.
Learn more about the Customers here:
https://brainly.com/question/26743878
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For a market to be competitive:______.
a. each buyer and seller is small, relative to the whole market; no single decision maker has any influence over the market price.
b. the price must be a fair price.
c. sellers should have substantial pricing power.
d. all you need are many buyers and many sellers
Answer:
Option A:
Each buyer and seller is small, relative to the whole market; no single decision maker has any influence over the market price.
Explanation:
A competitive market is a market that is characterized by free entry and exit. This means that any party has a right to enter the industry, do business, and leave it freely. In other words, no party or business holds enough stake to become a gatekeeper in that industry.
Furthermore, prices are determined by the forces of demand and supply, and cannot be arbitrarily set by any business.
No single decision maker has any influence over the market price.
This makes option A correct.
Assume you are planning to invest $7,923 each year for six years and will earn 10 percent per year. Determine the future value of this annuity due problem if your first $7,923 is invested now. (Round answer to 0 decimal places.)
Answer:
$67243.85
Explanation:
The first step is to determine the present value of the cash flows
Present value is the sum of discounted cash flows
Present value can be calculated using a financial calculator
Cash flow each year from year 0 to 5 = $7,923
I = 10%
PV = 37957.40
The formula for calculating future value:
FV = P (1 + r) n
FV = Future value
P = Present value
R = interest rate
N = number of years
37957.40(1.1^6) =
To find the PV using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.
3. Press compute
Companies Heidee and Leaudy have the same sales, tax rate, interest rate on their debt, total assets, and basic earning power. Both companies have positive net incomes. Company Heidee has a higher debt ratio and, therefore, a higher interest expense. Which of the following statements is CORRECT? Explain your selection with at least 200 words.
a. Company Heidee has more net income.
b. Company Heidee pays less in taxes.
c. Company Heidee has a lower equity multiplier.
d. Company Heidee has a higher ROA.
e. Company Heidee has a higher times interest earned (TIE) ratio.
Answer:
All the statements are CORRECT about Heidee Company, except statement 'e'.
Explanation:
With the higher debt ratio and higher interest expense, Heidee Company will pay less in taxes, all other things equal. Taxes are computed on the after-interest income. This lower tax expense will also translate to more net income for Heidee. Certainly, based on its higher debt ratio than Leaudy, its equity multiplier will be higher. It will also return more in assets than Leaudy based on the higher net income.
Additional information: During the year, $70 of common stock was issued in exchange for plant assets. No plant assets were sold in 2020. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)
Answer:
Net increase in cash = $650
Explanation:
Note: This question is not complete. The complete question is therefore provided before answering the question. See the attached pdf for the complete question.
Also note: See the attached excel file for the statement of cash flows using the indirect method.
From the attached excel file, we have:
Net cash flow from operating activities = $830
Net cash flow from investing activities = $30
Net cash from financing activities = -$210
Net increase in cash = $650
Bo decides to establish a fund that it will use 10 years from now to replace an aging production facility. The company will make a $100,000 initial contribution to the fund and plans to make quarterly contributions of $50,000 beginning in three months. The fund earns 12%, compounded quarterly. What will be the value of the fund 10 years from now
Answer: $4,096,266.76
Explanation:
First find the value of the initial $100,000 ten years into the future.
Rate = 12% / 4 = 3% quarterly
Period = 10 * 4 = 40 quarterly periods
= 100,000 * (1 + 3%)⁴⁰
= $326,203.78
This will be added to the future value of the $50,000 annuity.
Future value of annuity = Annity * ( ( 1 + rate)^number of periods - 1) / rate
= 50,000 * ( ( 1 + 3%) ⁴⁰ - 1) / 3%
= $3,770,062.99
Add both future values:
= 3,770,062.99 + 326,203.78
= $4,096,266.76
You own a stock portfolio invested 32 percent in Stock Q, 22 percent in Stock R, 19 percent in Stock S, and 27 percent in Stock T. The betas for these four stocks are 1.63, 1.35, 2.56, and 0.68, respectively. What is the portfolio beta? Enter the answer with 4 decimals (e.g. 1.1234)
Answer:
Beta= 1.4886
Explanation:
Giving the following information:
You own a stock portfolio invested 32 percent in Stock Q, 22 percent in Stock R, 19 percent in Stock S, and 27 percent in Stock T.
The betas for these four stocks are 1.63, 1.35, 2.56, and 0.68, respectively.
To calculate the portfolio beta, we need to use the following formula:
Beta= (proportion of investment A*beta A) + (proportion of investment B*beta B)
Beta= (0.32*1.63) + (0.22*1.35) + (0.19*2.56) + (0.27*0.68)
Beta= 1.4886
Use following information to answer Q31-Q35
A firm produces output according to the following function: q = f(L,K) = L0.5K0.5 . The cost of labor is $4 per hour and the rental cost of capital is $12 per hour. The production function exhibits
A. constant returns to scale.
B. increasing returns to scale.
C. decreasing retums to scale.
D. increasing returns to scale for small levels of output, then constant retums to scale, and eventually decreasing returns to scale as output increases,
Answer:
A. Constant returns to scale.
Explanation:
In the given output function the labor and capital both have function of 0.5 which means if more labor is required then more capital needs to be injected. In the current output there is constant return to scale as labor and capital both are equally employed.
On January 1, 2019, Brooks Inc. borrows $90,000 from a bank and signs a 5% installment note requiring four annual payments of $25,381. The first installment payment is made on December 31.
Required:
Write down the necessary journal entry
Answer:
Date General Journal Debit Credit
12/31 Interest Expense (90,000 x 5%) $4,500
Notes Payable (Bal. Figure) $20,881
Cash $25,381
The prepaid insurance account had a beginning balance of $8,540 and was debited for $530 for premiums paid during the year. Journalize the adjusting entry required at the end of the year, assuming the amount of unexpired insurance related to future periods is $6,010.
Answer: See explanation
Explanation:
The adjusting entry required at the end of the year will be illustrated below:
Dr Insurance expense $3060
Cr Prepaid insurance $3060
Working:
Opening prepaid insurance = $8540
Add: Insurance premium = $530
Less: Unexpired insurance premium = $6010
Insurance expense = $3060
A U.S. firm must make a payment of 1 million yen to a Japanese firm that has sold the U.S. firm sets of Japanese baseball-player trading cards. The U.S. firm begins with a dollar checking account. Explain in detail how this payment would be made, including the use of the spot foreign exchange market and banks in both countries.
Answer and Explanation:
The US firm uses its dollar checking account to purchase 1 million yen from its bank(exchanges dollar with yen) and then requests the bank send the 1 million yen to the Japanese firm. The bank sends this one million yen to the Japanese firm through its correspondent bank in Japan or it's branch in Japan(if it has one).
An unfunded pension liability is reported on the balance sheet as a(n) a.current liability or a long-term liability, depending upon when the pension liability is to be paid. b.long-term liability. c.current liability. d.owners' equity.
Answer:
A)current liability or a long-term liability, depending upon when the pension liability is to be paid
Explanation:
Unfunded pension plans can be regarded as plans that do not have
any assets set aside, in this case,
retirement benefits are usually paid from employer contributions directly. The set up of the retirement accounts can be by companies or governments.
Unfunded Liability = [( Value of Pension Fund Assets invested ) -[ ( present value of all future liabilities to pay pensions)]
After using this formula, if the gotten
result is less than "zero" then pension plan can be regarded as "underfunded"
It should be noted that An unfunded pension liability is reported on the balance sheet as a current liability or a long-term liability, depending upon when the pension liability is to be paid.
Swifty Corporation began the year with retained earnings of $102000. During 2022, the company issued $80000 of common stock for cash. The company recorded revenues of $743000, expenses of $672000, and paid dividends of $40000. What was Swifty's net income for the year 2022
Answer:
the net income for the year 2022 of Swifty is $71000
Explanation:
The computation of the net income is shown below:
As we know that
The net income is
= revenues - expenses
= $743,000 - $672,000
= $71,000
Hence, the net income for the year 2022 of Swifty is $71000
We simply applied the above formula so that the correct value could come
On October 1, Ebony Ernst organized Ernst Consulting; on October 3, the owner contributed $82,650 in assets in exchange for its common stock to launch the business. On October 31, the company’s records show the following items and amounts.
Cash $15,200 Cash dividends $460
Accounts receivable 12,410 Consulting revenue 12,410
Office supplies 1,770 Rent expense 2,140
Land 46,080 Salaries expense 5,300
Office equipment 16,450 Telephone expense 750
Accounts payable 6,060 Miscellaneous expenses 560
Common stock 82,650
Required:
Using the above information prepare an October income statement for the business.
Answer:
$15000
Explanation:
Suppose that Dmitri, an economist from a research institute in Texas, and Frances, an economist from a public television program, are arguing over saving incentives. The following dialogue shows an excerpt from their debate: Frances: I think it's safe to say that, in general, the savings rate of households in today's economy is much lower than it really needs to be to sustain an improvement in living standards. Dmitri: I think a switch from the income tax to a consumption tax would bring growth in living standards. Frances: You really think households would change their saving behavior enough in response to this to make a difference.Because I don't. The disagreement between these economists is most likely due to _____. Depite their differences, with which proposition are two economists chosen at random most likely to agree? A. Employers should not be restricted from outsourcing work to foreign nations. B. Central banks should focus more on maintaining low unemployment than on maintaining low inflation. C. Business managers can raise profit more easily by reducing costs than by raising revenue.
Answer:
Difference in scientific judgementsA. Employers should not be restricted from outsourcing work to foreign nations.Explanation:
The difference in opinion between these two is based on a difference between in scientific judgments because they believe that different things will happen in response to implementing a different form of taxes.
Regardless of what they think in the above regard, these economists are most likely to support the outsourcing of work if it is cheaper to do so because economists generally believe that the most efficient method of production should be undertaken.
A pre-determined overhead rate includes:_____.
a. estimated total manufacturing overhead cost in the numerator.
b. only the fixed portion of the estimated manufacturing overhead cost in the numerator.
c. only the variable portion of the estimated manufacturing overhead cost in the numerator.
d. estimated total manufacturing overhead cost in the denominator.
Answer:
a. estimated total manufacturing overhead cost in the numerator.
Explanation:
The formula to compute the pre-determined overhead rate is shown below;
As we know that
Pre-determined overhead rate is
= Estimated total manufacturing overhead cost ÷ estimated activity level
Here estimated activity level can be estimated direct labor hours, estimated machine hours etc
Therefore the option a is correct
Hurdzan, Inc., has a 30-day average collection period and wants to maintain a minimum cash balance of $20 million, which is what the company currently has on hand. The company currently has a receivables balance of $196 million and has developed the following sales and cash disbursement budgets (in millions):
Q1 Q2 Q3 Q4
Sales $441 $513 $594 $558
Total cash disbursement 368 465 720 456
Required:
Wrtie down cash budget for the company.
Answer:
Attached below
Explanation:
Receivables balance = $196 million
Minimum cash balance = $20 million
Given data :
Q1 Q2 Q3 Q4
Sales $441 $513 $594 $558
Total cash disbursement 368 465 720 456
attached below is the cash budget for the company as required
Ellen Co. has offered their customers a 1% discount off the amount owed if they pay within 15 days of receiving their bill. Handler Company owed Ellen Co. $2,185 as of May 1st and paid Ellen Co. on May 7th. How much cash did Handler Company send to Ellen Co. on May 7th?
Answer:
Money send to Ellen = $2163.15
Explanation:
Discount offered by the Ellen Co. = 1%
Owed amount = $2185
Since the amount is repaid within 15 days to the offer of a 1% discount will be applicable. So the Handler will send an amount that is 1% less than the actual amount.
Money send to Ellen = 2185 - (1% x 2185)
Money send to Ellen = $2163.15
During the month of March, Harley's Computer Services made purchases on account totaling $43,500. Also during the month of March, Harley was paid $8,000 by a customer for services to be provided in the future and paid $36,900 of cash on its accounts payable balance. If the balance in the accounts payable account at the beginning of March was $77,300, what is the balance in accounts payable at the end of March?
a. $6,600
b. $75,900
c. $83,900
d. $91,900
Answer:
c. $83,900
Explanation:
The computation of the balance in accounts payable at the end of March is given below;
Opening Balance $77,300
Add: Purchases made $43,500
Less: Cash Paid $(36,900)
Closing Balance $83,900
hence, the balance in accounts payable at the end of March is $83,900
Therefore the option c is correct
Following is selected financial information from General Mills Inc. for its fiscal year ended May 27, 2018 ($ millions). Cost of goods sold (COGS) $14,438.1 Cash from operating activities $3,977.4 Cash from investing activities (12,159.6) Noncash assets, end of year 42,315.0 Cash, end of year 558.6 Cash from financing activities* 7,668.2 Income tax expense 80.2 Total assets, beginning of year 30,537.6 Revenue 22,036.6 Total liabilities, end of year** 33,784.2 Total expenses, other than COGS 4,490.1 Stockholders' equity, end of year 9,089.4 and income tax * Cash from financing activities includes the effects of foreign exchange rate fluctuations. ** Total liabilities includes redeemable interest. a. Prepare the income statement for the year ended May 27, 2018. Note: Do not use negative signs with any of your answers. General Mills Income Statement ($ millions) For the year ended May 27, 2018 Answer Answer Answer Answer Answer Answer Answer Answer Answer Answer Answer Answer Answer Answer b. Prepare the balance sheet as of May 27, 2018. General Mills Balance Sheet ($ millions) May 27, 2018 Answer Answer Answer Answer Answer Answer Answer
Answer:
General Mills, Inc.
Income Statement for the year ended May 27, 2018
Revenue $22,036.6
Cost of goods sold (COGS) 14,438.1
Gross profit $7,598.5
Total expenses, other than COGS 4,490.1
Income before tax $3,108.4
Income tax expense 80.2
Net income $3,028.2
Explanation:
a) Relevant Data:
Revenue $22,036.6
Cost of goods sold (COGS) $14,438.1
Total expenses, other than COGS $4,490.1
Income tax expense $80.2