What the effect of these events and transactions

Assignment Help Accounting Basics
Reference no: EM133141547

Question - At Ruth Company, events and transactions during 2017 included the following. The tax rate for all items is 30%.

(1) Depreciation for 2015 was found to be understated by $150,000.

(2) A strike by the employees of a supplier resulted in a loss of $125,000.

(3) The inventory at December 31, 2015 was overstated by $200,000.

Required - What the effect of these events and transactions on 2017 income from continuing operations net of tax?

a. ($87,500).

b. ($192,500).

c. ($332,500).

d. ($245,000).

Reference no: EM133141547

Questions Cloud

Bed bureau to healthcare supply chain : What benefits can be drawn from the introduction of a Bed Bureau to the healthcare supply chain?
What is bcci cost of equity capital and its WACC : Question - The common stock of Build-well Conservation & Construction, Inc. (BCCI), has a beta of .8. What is BCCI cost of equity capital and its WACC
How much is the goodwill or gain on bargain purchase : LBN Inc. recognized net income amounting to P650,000 on December 31, 2022. How much is the goodwill or gain on bargain purchase
Compute the fixed overhead budget and volume variances : Standard direct labour-hours allowed for the actual output 10,600. Compute the fixed overhead budget and volume variances
What the effect of these events and transactions : The inventory at December 31, 2015 was overstated by $200,000. What the effect of these events and transactions on 2017
Prepare a tabular summary of the effects of the actions : Prepare a tabular summary of the effects of the alternative actions on the components of stockholders' equity, outstanding shares, and par value per share
What is the value of chiefs common equity : The value of Chiefs Corporation's core operations is $120,000, the value of its nonoperating assets is $40,000, What is the value of Chiefs common equity
Presentation for managing accounting information : Prepare Presentation for Managing Accounting and Financial Accounting Information
What is total cost of the ending inventory according to lifo : The firm uses the perpetual inventory system, and there are 26 units of the item on hand at the end of the year. What is total cost of the ending inventory

Reviews

Write a Review

Accounting Basics Questions & Answers

  What is the value of the option to expand

At year 1 it expects to get a cash inflows equal to $4,500,000 if the project is a success and $1,500,000. What is the value of the option to expand

  Finding the earnings per share

For 2010, Fielder Corporation reported net income of $30,000; net sales $400,000; and average shares outstanding of 6,000. There were no preferred stock dividends. What was the 2010 earnings per share?

  Prepare a bank reconciliation for unique globe

The bank service charge for May amounted to $30. Prepare a bank reconciliation for Unique Globe, Inc., as of May 31, 2010

  Prepare long-term liabilities section of the balance sheet

Presented here are long-term liability items for Skysong, Inc. at December 31, 2017. Prepare the long-term liabilities section of the balance sheet for Skysong

  Discuss important role of women in international management

Discuss the important role of women in international management and the unique challenges faced by them. Conduct a literature search on the Herzing.

  Calculate arnold and beth''s deductions for agi

Arnold and Beth file a joint return and have the information. Calculate Arnold and Beth's deductions for AGI. Calculate Arnold and Beth's deductions from AGI.

  Question - discussion for ethics issues accounting

Question - Discussion for Ethics/Fraud/Legal Issues Accounting. What do you believe? Use ethical reasoning to support your answer

  Prepare the journal entry for the borrowing funds

Prepare the journal entry for the borrowing funds,Prepare the adjusting entry to accrue the monthly interest expense at June 30 on the note payable?

  Determine the ending inventory using lifo

Based on the information provided determine the cost of goods sold and ending inventory using LIFO, FIFO and Weighted Average

  What can be concluded from the dashboard

What can be concluded from the dashboard? You are an accounts payable manager at Tiptop Sellers, which is a medium size department store.

  Allocate the income to Liz and Doug

Liz and Doug were divorced on December 31, 2019, after 10 years of marriage. Allocate the income to Liz and Doug assuming that they live in Texas

  Flip company purchased equipment on january 1 2011 for

flip company purchased equipment on january 1 2011 for 90000. it is estimated that the equipment will have a 5000

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd