On January 1, 2020, Kingbird, Inc. signed a fixed-price contract to have Builder Associates construct a major plant facility at a cost of $4,471,000. It was estimated that it would take 3 years to complete the project. Also on January 1, 2020, to finance the construction cost, Kingbird borrowed $4,471,000 payable in 10 annual installments of $447,100, plus interest at the rate of 10%. During 2020, Kingbird made deposit and progress payments totaling $1,676,625 under the contract; the weighted-average amount of accumulated expenditures was $894,200 for the year. The excess borrowed funds were invested in short-term securities, from which Kingbird realized investment income of $265,300.

What amount should Kingbird report as capitalized interest at December 31, 2020?

Capitalized interest

$

Answers

Answer 1

To determine the amount of capitalized interest, we need to calculate the weighted-average accumulated expenditures for the year. This is done by multiplying the amount of expenditures by the fraction of time that the funds were outstanding.

In this case, the expenditures for the year were $894,200, and the weighted-average accumulated expenditures need to be calculated based on the timing of the expenditures and the borrowed funds.

First, we need to determine the average outstanding balance of the borrowed funds during the year:

Average outstanding balance = (Principal borrowed - Total payments made) / 2

Average outstanding balance = ($4,471,000 - $447,100) / 2 = $4,023,950

Next, we calculate the weighted-average accumulated expenditures:

Weighted-average accumulated expenditures = Average outstanding balance * Expenditures

Weighted-average accumulated expenditures = $4,023,950 * $894,200 = $3,599,827,869,000

The capitalized interest is the lower of the actual interest expense incurred during the year or the weighted-average accumulated expenditures. In this case, the actual interest expense can be calculated as:

Actual interest expense = Average outstanding balance * Interest rate

Actual interest expense = $4,023,950 * 10% = $402,395

Since the actual interest expense of $402,395 is lower than the weighted-average accumulated expenditures of $3,599,827,869,000, the amount of capitalized interest at December 31, 2020, is:

Capitalized interest = Actual interest expense = $402,395

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Related Questions

The acid-test ratio is: Multiple Choice O Cash divided by accounts payable. O The liquidity ratio divided by the equity ratio. O Current assets minus inventory divided by current liabilities minus accounts payable. O Cash, net receivables, and current investments divided by current liabilities.

Answers

The correct answer for the acid-test ratio is option D, which states that the ratio is calculated by dividing the sum of cash, net receivables, and current investments by the sum of current liabilities.

Acid-test ratio is also known as the quick ratio and is a measure of a company's ability to meet short-term financial obligations. By excluding inventory from the calculation, the acid-test ratio provides a more conservative view of a company's liquidity position.

A higher ratio indicates a better liquidity position as it implies that the company has enough liquid assets to cover its current liabilities.

However, a very high ratio may also indicate that the company is not investing its assets optimally.

Therefore, it is important to interpret the ratio in the context of the industry, company size, and other financial metrics.

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With a command economy, do individuals have choice and flexibility

Answers

No. In a command economy, everything is determined by the government.

QUESTION 8 of 10:
a) Profit
b) Cost
c) Markdown
d) Margin
is the amount of money the store pays to purchase the merchandise from a supplier.

Answers

b) Cost

The amount of money the store pays to purchase the merchandise from a supplier is referred to as the cost. It represents the expense incurred by the store in acquiring the goods that will be sold to customers. The cost of merchandise is an essential component in determining profitability and calculating other financial metrics such as gross profit and profit margin.

what does a high employment rate include?

Answers

A high employment rate is a good thing, high employment is when all of our available labor resources are being used in the most efficient way possible
A high employment rate increases the stock market. Additionally, if an employment rate is low then less people will have money to spend therefore decreasing the profits that a specific country will gain.

plz help if ur good at taxes

plz help if ur good at taxes

Answers

Answer:

pay: 73,300

income tax: 73,300*0.37 = 27,121

EI: 73,300*0.0173=1,268.09

CPP: 2,590

Yearly Pay will be 73,300-27,121-1,268.09-2,590 = $42,320.91

Weekly pay (paycheck) = 42320.91/52 = $ 813.86

Explanation:

franchises will generally have higher ____, but they offer ongoing support and training.

Answers

Franchises will generally have higher direct financing but they offer ongoing support and training.

What is the meaning of financing?

Finance is the study and practice of money, money-related instruments, and capital assets. It is associated with economics, which refers to the study of the creation, transfer, and consumption that money, assets, goods, and services, but it is not the same as economics.

The process of raising capital or finances for any type of spending is known as financing. It is the act of directing various financial resources—such as credit, loans, and invested capital—to those parts of the economy that need them most or can use them most effectively.

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All of the following are service providing industries except

Answers

Manufacturing industry

Answer:

Manufacturing industry hope it helps.

Explanation:

Nathan wants a formula to return "YES" if the value in cell A1 is less than the value in cell B1, and to return "No" otherwise. Which of the following functions should he use?

Answers

Answer:

IF function

Explanation:

The options to the question are missing; however, I'll assume the question related to Microsoft Office Excel.

To do the task in the question, Nathan can only make use of the IF function.

This is so, because the question relates to conditional statement.

The full if statement is:.

=IF(A1 < B1, "YES","NO")

Mr. corona looked for work for six months but could not find a job to his liking. he now spends his time at the beach. for purposes of employment, he is considered?

Answers

Mr. Corona is considered unemployed since he looked for work for six months but could not find a job to his liking.

Mr. Corona is considered unemployed because he actively searched for work for a period of six months but was unable to secure a job that met his preferences or requirements. Unemployment refers to the state of being without a paid job, actively seeking employment, and being available to work.

While Mr. Corona's situation may not align with everyone's definition of an ideal job search, the key factor is his inability to find suitable employment despite actively looking for work.

It is important to note that unemployment can be a complex issue influenced by various factors, including economic conditions, job availability, skills match, and personal preferences.

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How can an employer help develop a strong work ethic into an employee?

By modeling a stong work ethic and mentoring employee
Have the employee practice on their work ethic
Have the employee reflect on their own work ethic
Have the employee study books or articles

Answers

It’s the second one about practice you nerd

Which best describes the types of indicators that the HDI measures?
O economic and industrial indicators
O infrastructure and social indicators
O social and economic indicators
O stability and social indicators

Answers

Answer:

O social and economic indicators

Explanation:

The Human Development Index (HDI) is a statistic used to measure a country's achievements in different aspects of its social and economic welfare. The united nations developed HDI to evaluate different dimensions of human development in a country. Dimensions of human development refer to people's health, educational level, and standards of living.

The HDI  makes comparisons between countries by analyzing components such as average annual income and educational achievements.

Social and economic indicators is best describes the types of indicators that the HDI measures. The HDI analyzes factors such as average annual income and educational achievements to directly compare between countries.

What is HDI ?

The Human Development Index is a metric that assesses a country's progress in various areas of social and economic development.

HDI was created by the United Nations to assess many aspects of a country's human development. Human development dimensions include people's health, educational attainment, and living conditions.

Thus, option C is correct.

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Is wanting to increase sales over the next year a good objective if (no/yes) write why

Answers

Answer:

Yes because some family's are not doing very good in money so they should be able to afford more items

But also no at the same time because if you have more sales more of your stuff will be out of stock.

Explanation:

what life? and how are you

Answers

Answer:

life is evrthing on earth that is living or requires certain things to live and If you want a lie im awsome.

QUESTION 49 Technical analysis assumes that: O a. all of the options O b. none of the options O c. All financial information, including all traders' hopes and fears, are reflected in the price. O d. It provides the only mechanism to measure the irrational (emotional) component in the markets QUESTION 50 A confirmation candle is: O a. C. A candle that opens below support and above the resistance level O b. Both A and C O c. A. A candle that opens and closes above the resistance level O d. Both A and B O e. B. A candle that opens and closes below the support level

Answers

When it comes to a technical analysis, the best option is C, and when it comes to a confirmation candle, both A and B are correct, as further explained below.

What is a technical analysis?

Technical analysis assumes that all relevant financial information, as well as the collective psychology and emotions of traders, are already reflected in the price of an asset. This assumption forms the basis of analyzing historical price patterns and indicators to make predictions about future price movements.

A confirmation candle can refer to either a candle that opens and closes above the resistance level (option A) or a candle that opens and closes below the support level (option B). Both scenarios can be seen as confirming a particular trend or level of support/resistance in technical analysis.

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dvd recorders would be an example of independent demand items T/F

Answers

The statement dvd recorders would be an example of independent demand items is true because an illustration of an item with independent demand would be a DVD recorder. For dependent-demand items, reorder point models are frequently employed.

Operational decoupling is relevant to the railway sector. The C items make up roughly 15% of the total items but 60% of the total monetary usage in the A-B-C method. Demand for a finished good, such a computer, bicycle, or pizza, is referred to as independent demand. Demand for component parts or subassemblies, on the other hand, is known as dependent demand. As an illustration, think of the computer's microchips, a bicycle's wheels, or the pizza's cheese.

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. determine the predetermined overhead rate used (based on direct materials cost). 2. only one job remains in work in process inventory at year-end. its direct materials cost is $30,000. how much direct labor cost and applied overhead are assigned to this job?

Answers

The predetermined overhead rate used is $2.50 per dollar of direct materials cost, and the amount of direct labor cost and applied overhead assigned to the job is $12,000 and $75,000, respectively.

Predetermined overhead rate = Estimated total manufacturing overhead cost / Estimated total direct materials costFor example, if the estimated total manufacturing overhead cost for the period is $500,000 and the estimated total direct materials cost is $1,000,000, then the predetermined overhead rate would be:Predetermined overhead rate = $500,000 / $1,000,000 = 0.50 or 50%Therefore, the predetermined overhead rate based on direct materials cost is 50%.The formula for the total manufacturing cost of a job is:Total manufacturing cost = Direct materials cost + Direct labor cost + Manufacturing overhead costSince we know the direct materials cost for the job is $30,000, we can use the predetermined overhead rate to estimate the manufacturing overhead cost for the job. The formula for the manufacturing overhead cost assigned to the job is:Manufacturing overhead cost = Predetermined overhead rate x Direct materials costTherefore, the direct labor cost assigned to the job is $0 and the applied overhead is $15,000. This means that the total cost of the job in work in process inventory is $45,000.

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a(n) _______ is a dissenting shareholder’s right to have his/her shares appraised and to receive monetary compensation from the corporation for their value

Answers

An appraisal right is a dissenting shareholder's right to have his/her shares appraised and to receive monetary compensation from the corporation for their value.

What is meant by appraisal rights?

Appraisal rights are a legal protection that allows shareholders who dissent or object to a proposed corporate action, such as a merger, consolidation, or share exchange, to have their shares independently appraised to determine their fair value. If the shareholder disagrees with the proposed action or the price offered for their shares, they may exercise their appraisal rights and demand that the corporation buy back their shares at the fair value determined by an appraisal process.

The purpose of appraisal rights is to protect minority shareholders from potential unfair treatment in corporate actions that could result in a loss of value or control of their shares. By exercising appraisal rights, dissenting shareholders have the opportunity to receive fair compensation for their shares, as determined by an independent appraisal, rather than being forced to accept the terms of the proposed corporate action.

It's important to note that the specific rules and procedures for exercising appraisal rights may vary by jurisdiction and the type of corporate action involved, as they are governed by applicable corporate laws and regulations. Shareholders considering exercising appraisal rights should seek legal advice and follow the appropriate legal processes in their jurisdiction to protect their rights and interests.

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.Marketing as a field of study originally broke off from which academic discipline?Industrial engineeringOrganizational behaviorAgricultural economicsEngineering technology

Answers

Marketing as a field of study originally broke off from the discipline of Agricultural economics.

In the early 20th century, marketing was primarily seen as a part of economics and business administration. However, as the discipline evolved and focused more on consumer behavior, distribution channels, and market research, it began to differentiate itself from the broader field of economics.

The emergence of agricultural economics as a separate academic discipline was instrumental in the development of marketing as a distinct field of study. Agricultural economists recognized the importance of understanding market dynamics, consumer demand, pricing, and distribution within the context of agricultural products.

Over time, marketing expanded beyond agricultural products and encompassed a wide range of industries and consumer goods. It became recognized as a separate field of study with its own theories, frameworks, and methodologies. Today, marketing is considered an interdisciplinary field that draws from economics, psychology, sociology, and other social sciences to understand and influence consumer behavior and create value in the marketplace.

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"A customer contributed $50,000 to a variable annuity contract. The account value has grown over the years and the NAV is now $70,000. The customer is now age 60, and takes a lump-sum distribution of $25,000 to pay for expenses. Which statement is TRUE?"

Answers

Answer: $20,000 of the distribution is taxable and $5,000 is not taxable

Explanation:

The options to the question are:

A. The entire $25,000 distribution is not taxable

B. $5,000 of the distribution is taxable and $20,000 is not taxable

C. $20,000 of the distribution is taxable and $5,000 is not taxable

D. The entire $25,000 distribution is taxable.

From the question, we are told that a customer contributed $50,000 to a variable annuity contract and that the account value has grown over the years and the NAV is now $70,000.

We are further told that the customer is now age 60, and takes a lump-sum distribution of $25,000 to pay for expenses. This indicates that there will be tax deductible in the amount of :

= $70000 - $50000 = $20,000. It should also be noted that $5000 won't be taxed.

Which describes a challenge we might see if remote working was the norm.
A. businesses would have to pay building costs or rent a workspace
B. there would be more cars on the road for people having to drive to work
C. workplaces could be more flexible with hours and job assignments
D. it would be harder to find jobs because the applicant pool would be larger

Answers

A challenge that might come about if remote working was the norm is D. it would be harder to find jobs because the applicant pool would be larger

What are challenges of remote work?

A major challenge that remote work presents is that jobs would be harder to find thanks to there being a large applicant pool. This is because people can basically apply from anywhere in the world which means that with these many people applying, they's all have lower chances of getting employed.

Remote work does have some advantages however and they include businesses not having to rent workplaces and less cars on the road.

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Which of the following items might require additional coverages on a Homeowners Policy?
A. Expensive jewelry
B. Garage
C. Pool
D. Deck

Answers

Answer:

c. pool

Explanation:

I think it is right answer of ur Question

Items that require additional coverages on a Homeowners Policy is Pool. Thus the correct answer is C.

What is homeowners policy?

A homeowners policy is an insurance policy that provides safety to the items of the home from destructive events which can damage the surroundings. This event can be a fire, gas leak, theft, etc.

A swimming pool is considered a detached construction in the house which creates separately. So, it is not covered by your home's insurance unless you specifically add additional coverage.

Therefore, the option C pool is the appropriate answer.

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If the cost of production decreases for Tesla’s cars, what effect will this have on consumers who want to buy one???

Answers

Answer:

The consumers will pay more.

Explanation:

Should the production cost increase, the price of  Tesla cars is also likely to increase. Typically, producers are likely to pass the increased costs to the cars' final price. The market price for the cars will go up, meaning customers will pay more for the cars.

In the U.S., cash takes which two forms

Answers

its takes the form of paper money and coins

What is pre instruction assessment?.

Answers

Pre-assessment gives instructors a means to gain crucial details about what students know and can perform before teaching, as well as about their interests and learning preferences. Pre-assessments may consist of activities to be completed using paper and pencil or maybe performance-based.

Before starting a learning activity, diagnostic tests, often called pre-assessments, give teachers insight into students' prior knowledge and beliefs. They also offer a starting point for determining how much learning has occurred when the learning activity is over.

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Keisha owns a house worth $275,000 with a mortgage of $195,000. She owns a car worth $12,000 and has $7,500 in car loans. She has $3,000 in investments, $2,700 in a bank account, and owes $1,500 on a credit card. What is Keisha’s net worth?
$88,700
$91,700
$292,700
$496,700

Answers

Answer:

$88,700

Explanation:

Given:

Keisha owns a house value $275,000 with a mortgage of $195,000. She owns a car value $12,000 and has $7,500 in car loans.

She has $3,000 in investments, $2,700 in a bank account, and owes $1,500 on a credit card.

Hence, The net worth of Keisha is $88,700

Answer:

Answer:

$88,700

Explanation:

Given:

Keisha owns a house value $275,000 with a mortgage of $195,000. She owns a car value $12,000 and has $7,500 in car loans.

She has $3,000 in investments, $2,700 in a bank account, and owes $1,500 on a credit card.

Hence, The net worth of Keisha is $88,700

Explanation:

Which statement would be MOST important to include in a summary of the section "Karl Marx"? Marx theorized that capitalists would try to get more work from people for less pay. Marxism is more durable as a critique of capitalism than as a system for governing. Marx's idea about communism influenced the Russian Revolution in 1917. Marx thought that machines would make life dull and repetitive.

Answers

The most important claim about Karl Marx would be the theorizing that capitalists would try to get more work from people for less pay.

Who was Karl Marx?

He was a German philosopher who developed the foundations of communism, a system that criticized capitalism and its doctrines. His most prominent theories are about the transition to communism, the class struggle, the Marxist theory of ideology and surplus value.

Therefore, the correct option for the question refers to surplus value, which was defined for Karl Marx as the difference between the value of the work produced by employees and their salary paid. For him, the surplus value is the work produced and not paid, being a condition of exploration of the capitalist system.

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if a company decides to eliminate an unprofitable segment, its net income will always increase.

Answers

If a company decides to eliminate an unprofitable segment, it is possible that its net income will increase. This is because the unprofitable segment was likely causing a loss for the company, which was impacting the overall net income. By eliminating this segment, the company can cut its losses and potentially increase its overall net income.

However, it is not guaranteed that net income will always increase as there may be other factors at play that could impact the company's financial performance.

It ultimately depends on the specifics of the company's financial situation and the impact of eliminating the unprofitable segment.
When a company decides to eliminate an unprofitable segment, the net income may increase, decrease, or remain the same depending on the specific situation.

While it is likely that eliminating an unprofitable segment can lead to a reduction in costs and potentially increase net income, there may be other factors at play, such as potential loss of revenue or costs associated with closing the segment.
1. Company identifies an unprofitable segment.
2. Company decides to eliminate the unprofitable segment.
3. The elimination process might reduce costs associated with the segment.
4. However, there might be other factors, such as lost revenue or closing costs, that could impact the net income.
5. The net income might increase, decrease, or remain the same depending on the balance between reduced costs and other factors.

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The applicant arrived for her interview, and the executive assistant greeted her in the lobby.

Answers

What is your question? maybe i can help

100 ponits !!!! what is net income. and how do you we calculate net income.

Answers

Answer:

Net income is an entity's income minus cost of goods sold, expenses, depreciation, amortization, interest, and taxes for an accouting period.  Gross receipts / revenue less cost of doing business (including Cost of Goods Sold, operational and administrative expenses.)  Your business' bottom line - what you pay taxes on.

Explanation:

Answer:

Businesses can calculate net income by taking their total incoming revenue for a specific time period and subtracting from it all business expenses for that same time period.

Explanation:

Witch method of commuting is most likely to reduce your need to go to the gym or get a treadmill

Answers

Answer:

Walking or using of bicycle

Explanation:

Use of legs are needed in both method of commuting. Leg muscles will be worked up and it also produces sweat that is equivalent to gym exercise

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