Answer:
$664,000
Explanation:
Below is the calculation for the budgeted total manufacturing expense:
The total budgeted manufacturing costs can be calculated as
= Fixed costs + Variable costs
= $24,000 + ($16 × 40,000 linear feet of block)
= $24,000 + $640,000
= $664,000
This total is derived by simply adding the fixed and variable expenses so we arrive at the overall budgeted manufacturing cost.
Answer:
The reversing entries are outlined below
Explanation:
The accountant should reverse the entries made for salaries payable and interest receivable accruals.
December 31, 2021 (To document interest receivable)
DEBIT CREDIT
Interest receivable [$115,000*8%*3/12] 2300
Interest revenue 2300
December 31, 2021 (To document salaries payable)
DEBIT CREDIT
Salaries expense 7550
Salaries payable 7550
January 1, 2022 (To reverse entry from December 31, 2021)
DEBIT CREDIT
Interest revenue 2300
Interest receivable 2300
January 1, 2022 (To reverse entry from December 31, 2021)
DEBIT CREDIT
Salaries payable 7550
Salaries expense 7550
Answer:
Mike's acknowledged gain from the transfer of the house to him is:
$175,000
Explanation:
a) Data and Calculations:
Marital property = $1,500,000
Cost of property = $575,000
Residual value = $925,000
Alimony to Karen = $750,000 ($150,000 * 5)
Balance (Mike's) = $175,000
The amount of $175,000 signifies the surplus of the fair market value of the marital property after accounting for the property's cost and the alimony paid to Karen. Thus, Mike recognizes a gain of $175,000 following the property sale.
