Eisentrout Corporation has two production departments, Machining and Customizing. The company uses a job-order costing system an

Response:

D. Record a debit of $140 to Sales Revenue and a credit of $140 to Cash.

Clarification:

The journal entry for documenting the sale:

Dr Cash 3,500

Cr Sales revenue 3,500

Dr Cost of goods sold XY

Cr Merchandise inventory XY

The journal entry to account for the allowance on the defective items:

Dr Sales revenue (or sales returns and allowances) 140

Cr Cash 140

The sales returns and allowances account serves as a contra revenue account that decreases overall sales revenue. In this circumstance, the company solely utilizes the sales revenue account, which is diminished through debiting.

Answer:

The entrance fee is charged per person, while the purchase of souvenirs is applicable collectively

Explanation:

According to the details mentioned in the question, children pay a discounted rate for tickets, which indicates that the tickets are priced individually. Conversely, souvenirs have a uniform price for groups since they can be shared among members, unlike the individual tickets.

Response:

The yearly average return stands at 9.6 %

Clarification:

Calculating the average return

Assuming the price per share is 100

                                                       Initial    Growth             Final

                                                         Value            %                   Value

Company A  50 % at 100                5,000              8 %                 5,400

Company B 30 % at 100                 3,000              12 %                3,360    

Company C 20 % at 100                  2,000             10 %                2,200

Total amounts                             10,000                                     10,960

To find the average return, take the increase in value over the base, divided by the base

10,960 -  10,000  =  960/ 10000  = 9.6 % average return