Answer:
True
Explanation:
The accrual accounting system is one of the two methods of reporting or recording income and expenses. The other way is the cash system.
In the accrual method, income and expenses are accounted for when they were earned or incurred regardless of whether money changed hands. Sales are reported when goods are delivered, and the invoice is issued even if the customer has not paid.
The accrual system is the standard method of operating for many businesses, big and small. The accrual method matches revenue and income with the time of their respective economic events. The general accounting principles recommend the accrual accounting system for both the private and public sectors.
Porter theorizes that the four attributes in his diamond model may promote or impede the creation of competitive advantage. Factor endowments are a nation's position in factors of production such as skilled labor or infrastructure necessary to compete in a given industry. Demand conditions are the nature of home demand for the industry's product or service. Related and supporting industries are the presence or absence of supplier industries and related industries that are internationally competitive. Firm strategy, structure, and rivalry are the conditions governing how companies are created, organized, and managed and the nature of domestic rivalry.
Required:
What is the most appropriate attribute of national competive advaritage from Porter's theory?
Explanation:
The most appropriate attribute of the national competitive advantage of Porter's theory is factor endowments.
This attribute corresponds to the one that can most significantly impact the competitive position that a company will have in the market, as it refers to the conditions that a company will have to develop its essential factors such as labor, technology, capital, etc., these factors being totally influenced by the local economy and its favorable conditions for the flow of business.
For this reason, it is necessary to have government incentives for public and private companies through the development of economic policies that favor the competitiveness of companies and the improvement of their factors, increasing their quality and efficiency.
Atom Endeavour Co. issued $17 million face amount of 12.0% bonds when market interest rates were 13.38% for bonds of similar risk and other characteristics. Required: a. How much interest will be paid annually on these bonds
Answer:
$2,040,000
Explanation:
Annual Interest calculation
Interest = Par/Face Value × Coupon Rate
= $17,000,000 × 12.0%
= $2,040,000
Therefore, interest to be paid annually on these bonds is $2,040,000.
Exercise 2-8 Preparing T-accounts (ledger) and a trial balance LO P2 Following are the transactions of a new company called Pose-for-Pics Aug. 1 Madison Harris, the owner, invested $6,see cash and $33,509 of photog company paid $2,100 cash for an insurance policy covering the next 24 month:s s The company purchased office supplies for $888 cash. 20 The company received $3,331 cash in photography fees earned. 31 The company paid $675 cash for August utilities.
Required:
1. Post the transactions to the T-accounts.
2. Use the amounts from the T-accounts in Requirement (1) to prepare an August 31 trial balance for Pose-for-Pics. Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Post the transactions to the T-accounts Cash ies Balance
Answer:
Pose-for-Pics
1. T-accounts:
Cash Account
Date Accounts Titles Debit Credit
Aug. 1 Common Stock $6,500
Aug. 1 Prepaid Insurance $2,100
Aug. 1 Supplies 888
Aug. 20 Service Revenue 3,331
Aug. 31 Utilities Expense 675
Aug. 30 Ending balance $6,168
Common Stock
Date Accounts Titles Debit Credit
Aug. 1 Cash $6,500
Aug. 1 Equipment 33,509
Aug. 30 Ending Balance $40,009
Photography Equipment
Date Accounts Titles Debit Credit
Aug. 1 Common Stock $33,509
Prepaid Insurance
Date Accounts Titles Debit Credit
Aug. 1 Cash $2,100
Supplies
Date Accounts Titles Debit Credit
Aug. 1 Cash $888
Service Revenue
Date Accounts Titles Debit Credit
Aug. 20 Cash $3,331
Utilities Expense
Date Accounts Titles Debit Credit
Aug. 31 Cash $675
2. Pose-for-Pics
TRIAL BALANCE
As of August 31
Accounts Titles Debit Credit
Cash $6,168
Common Stock $40,009
Photography Equipment 33,509
Prepaid Insurance 2,100
Supplies 888
Service Revenue 3,331
Utilities Expense 675
Totals $43,340 $43,340
Explanation:
Correctly posting the transactions of Pose-for-Pics to the general ledger ensures that the two sides of the Trial Balance are equal as of August 31. The balanced Trial Balance assures the arithmetical accuracy of the entries and postings in the general ledger. This trial balance will then form the basis for preparing the financial statements after effecting the necessary adjusting entries.
An example of a pioneering cost is the cost of Multiple Choice hiring management personnel. competing with existing multinationals. promoting a new product. transport fees. retaining employees.
Answer:
C. promoting a new product.
Explanation:
A foreign direct investment (FDI) can be defined as an investment made by an individual or business entity (investor) into an investment market (industry) located in another country. The investor here, shares a different country of origin from the country where his investment is located.
When establishing a foreign direct investment, investors are required to consider some basic entry decisions such as free market, political stability, low inflation rates, pioneering costs etc.
In a foreign investment, pioneering cost arises because the business investment differs from that in the firm's domestic market and such it is necessary that, the firm dedicate a good deal of time, money (expenses) and efforts to learning and adapting to the market rules, policies and processes.
Hence, an example of a pioneering cost is the cost of promoting a new product, cost of enlightening and education of customers etc.
According to the video, which activities are Executive Secretaries and Administrative Assistants likely to do? Check all that apply.
Answer:
1 2 3
Explanation:
I was right 2020
Answer: its 1,2,3 I answered it in the comment section. Because it didn't work.
Explanation: hope this helps.
The adjusted trial balance of Norton Company contained the following information. Assume the tax rate is 25%:
Debit Credit
Sales revenue $390,000
Sales returns and allowances $10,000
Sales discounts 5,000
Cost of goods sold 200,000
Operating expenses 110,000
Interest revenue 8,000
Interest expense 3,000
Required:
Compute income from operations.
a. $175,000
b. $65,000
c. $50,000
d. $70,000
Answer:
b. $65,000
Explanation:
Particulars Amount
Revenues
Service Revenue $390,000
Less: Sales Return and allowance $10,000
Less: Sales Discount $5,000
Net Sales Revenue $375,000
Less: Cost of Goods Sold $200,000
Gross Profit $175,000
Less: Operating Expenses $110,000
Operating Income $65,000
Thus, income from operation is $65,000
Carmel Corporation is considering the purchase of a machine costing $38,000 with a 4-year useful life and no salvage value. Carmel uses straight-line depreciation and assumes that the annual cash inflow from the machine will be received uniformly throughout each year. In calculating the accounting rate of return, what is Carmel's average investment?
Answer:
$19,000
Explanation
Calculation for Carmel's average investment
Using this formula
Average investment=Investment/2
Let plug in the formula
Average investment=($38,000 + $0)/2
Average investment=$19,000
Therefore Carmel's average investment will be $19,000
You are considering four hotels that differ from each other with respect to their price and customer reviews:
Answer: H4
Explanation:
Looking at the reviews given per price, a conclusion can be made that the higher the price of staying in the hotel, the higher the ratings given which would imply that the hotels charging higher, have better amenities.
This does not hold for H4 however as they are charging more than H1 but still getting the same reviews as them.
This could either mean that H1 is efficient enough to be getting the same rating for the same price as H4 or that H4 is inefficient such that they are not utilizing their amenities enough to get a higher rating than H1 who they should be better than.
Either scenario point to inefficiency on H4's part.
definition of observant in entrepreneur characteristics
Answer:
In Entrepreneur characteristics, observant refers to the ability to quickly notice a certain pattern or unusual situation.
This skill is important because of these two following reasons:
- It helped the entrepreneur notice an existing trend. This trend could represent the things that are currently favored by the consumers in a certain market. Understanding trend will help you creating a product that can fit into that trend.
- It also help the entrepreneur notice the problems that occur internally. For example, being observant will help the entrepreneur notice the negative emotion that the employees experience when facing a certain problem. After noticing this, the entrepreneur could develop some sort of strategy to lift their spirit.
Due to erratic sales of its sole product—a high-capacity battery for laptop computers—PEM, Inc., has been experiencing difficulty for some time. The company’s contribution format income statement for the most recent month is given below:
Sales (13,200 units × $40 per unit) $528,000
Variable expenses 316,800
Contribution margin 211,200
Fixed expenses 235,200
Net operating loss $(24,000)
1. Compute the company’s CM ratio and its break-even point in both unit sales and dollar sales.
2. The president believes that a $6,800 increase in the monthly advertising budget, combined with an intensified effort by the sales staff, will result in an $89,000 increase in monthly sales. If the president is right, what will be the effect on the company’s monthly net operating income or loss?
3. Refer to the original data. The sales manager is convinced that a 10% reduction in the selling price, combined with an increase of $31,000 in the monthly advertising budget, will double unit sales. What will the new contribution format income statement look like if these changes are adopted?
4. Refer to the original data. The Marketing Department thinks that a fancy new package for the laptop computer battery would help sales. The new package would increase packaging costs by $0.60 cents per unit. Assuming no other changes, how many units would have to be sold each month to earn a profit of $4,100?
5. Refer to the original data. By automating, the company could reduce variable expenses by $3 per unit. However, fixed expenses would increase by $55,000 each month.
A. Compute the new CM ratio and the new break-even point in both unit sales and dollar sales.
CM ratio 45%
Break-even points in units 183
Break-even points in dollars 7,305
B. Assume that the company expects to sell 20,700 units next month. Prepare two contribution format income statements, one assuming that operations are not automated and one assuming that they are.
C. Would you recommend that the company automate its operations?
1. Yes
2. No
Answer:
1. Compute the company’s CM ratio and its break-even point in both unit sales and dollar sales.
CM ratio = 211,200 / 528,000 = 39.96%
break even point in $ = 235,200 / 39.96% = $588,588
break even point in units = 588,588 / 40 = 14,714.7 ≈ 14,715 units
2. The president believes that a $6,800 increase in the monthly advertising budget, combined with an intensified effort by the sales staff, will result in an $89,000 increase in monthly sales. If the president is right, what will be the effect on the company’s monthly net operating income or loss?
total revenue = $617,000
variable expenses = $617,000 x 60.04% = $370,446.80
contribution margin = $246,553.20
fixed expenses = $242,000
operating profit = $4,553.20
3. Refer to the original data. The sales manager is convinced that a 10% reduction in the selling price, combined with an increase of $31,000 in the monthly advertising budget, will double unit sales. What will the new contribution format income statement look like if these changes are adopted?
total revenue = $950,400
variable expenses = 26,400 x $24.016 = $634,022.40
contribution margin = $316,377.60
fixed expenses = $266,200
operating profit = $50,177.60
4. Refer to the original data. The Marketing Department thinks that a fancy new package for the laptop computer battery would help sales. The new package would increase packaging costs by $0.60 cents per unit. Assuming no other changes, how many units would have to be sold each month to earn a profit of $4,100?
variable expenses per unit = $24.016 + $0.60 = $24.616
contribution margin per unit = $40 - $24.616 = $15.384
break even point + $4,100 gains = 239,300 / 15.384 = 15,555.122 ≈ 15,556 units
5. Refer to the original data. By automating, the company could reduce variable expenses by $3 per unit. However, fixed expenses would increase by $55,000 each month.
a) contribution margin per unit = $18.984
break even point = 290,200 / 18.984 = 15,286.56 ≈ 15,287 units
break even point in $ = 15,287 x $40 = $611,480
b) not automated automated
sales revenue $828,000 $828,000
variable costs $497,131.20 $435,031.20
contribution margin $330,868.80 $392,968.80
fixed costs $235,200 $290,200
operating income $95,668.80 $102,768.80
c) 2. No
In order for the automation process to be profitable, the number of sales units must increase a lot, and since the company is struggling to sell enough units, I doubt it will work.
1. CM ratio = 211,200 / 528,000 = 39.96%
break even point in $ = 235,200 / 39.96% = $588,588
break even point in units = 588,588 / 40 = 14,714.7 ≈ 14,715 units
2. The total revenue = $617,000
variable expenses = $617,000 x 60.04% = $370,446.80
contribution margin = $246,553.20
fixed expenses = $242,000
operating profit = $4,553.20
3.The entire revenue = $950,400
variable expenses = 26,400 x $24.016 = $634,022.40
contribution margin = $316,377.60
fixed expenses = $266,200
operating profit = $50,177.60
4. variable expenses per unit = $24.016 + $0.60 = $24.616
contribution margin per unit = $40 - $24.616 = $15.384
break even point + $4,100 gains = 239,300 / 15.384 = 15,555.122 ≈ 15,556 units
5. a) contribution margin per unit = $18.984
break even point = 290,200 / 18.984 = 15,286.56 ≈ 15,287 units
break even point in $ = 15,287 x $40 = $611,480
b) not automated automated
sales revenue $828,000 $828,000
variable costs $497,131.20 $435,031.20
contribution margin $330,868.80 $392,968.80
fixed costs $235,200 $290,200
operating income $95,668.80 $102,768.80
c) answer is 2. No
When the automation process to be profitable, the amount of sales units must increase plenty, also since the corporate is struggling to sell enough units.
Find out more information about income statement here:
https://brainly.com/question/13061040
On July 1, 2020, Culver Inc. made two sales. 1. It sold land having a fair value of $902,220 in exchange for a 4-year zero-interest-bearing promissory note in the face amount of $1,419,656. The land is carried on Culver's books at a cost of $590,900. 2. It rendered services in exchange for a 3%, 8-year promissory note having a face value of $402,150 (interest payable annually). Culver Inc. recently had to pay 8% interest for money that it borrowed from British National Bank. The customers in these two transactions have credit ratings that require them to borrow money at 12% interest.
Record the two journal entries that should be recorded by Sunland Inc. for the sales transactions above that took place on July 1, 2020. (Round present value factor calculations to 5 decimal places, e.g. 1.25124 and final answers to 0 decimal places, e.g. 5,275. If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
No. Date Account Titles and Explanation Debit Credit
1. July 1, 2020
2. July 1, 2020
Answer:
1) July 1, 2020, sale of land
Dr Notes receivable 1,419,656
Cr Land 590,900
Cr Discount on notes receivable 517,436
Cr Gain on sale of land 311,320
Discount on notes receivable $1,419,656 - $902,220 = $517,436
Gain on sale of land $902,220 - $590,900 = $311,320
2) July 1, 2020, service revenue
Dr Notes receivable 402,150
Cr Service revenue 342,218.69
Cr Discount on notes receivable 59,931.31
annual interests = $402,150 x 3% = $12,064.50
discount on notes payable = present value of annual interest = $12,064.50 x 4.9676 (PV annuity factor, 12%, 8 periods) = $59,931.31
If the expected rate of return for the market is not much greater than the risk-free rate of return, what does this suggest about the general level of compensation for bearing systematic risk
Answer:
the expected rate of return of an investment is calculated using the following formula:
Re = risk free + beta x (market risk - risk free)
market risk - risk free = risk premium
another way of calling market risk is systematic risk
the beta for the whole market is 1, so we can simplify the equation:
market Re = risk free + risk premium
If the expected rate of return is barely above the risk free rate, that means that the market risk (or systematic risk) is not very high, therefore, resulting in a low risk premium. I.e. market risk is very low, probably because the economy is doing very well in general terms and the inflation rate is probably also very low.
Entries into T accounts and Trial Balance Connie Young, an architect, opened an office on October 1, 2019. During the month, she completed the following transactions connected with her professional practice:
a. Transferred cash from a personal bank account to an account to be used for the business, $36,000.
b. Paid October rent for office and workroom, $2,400.
c. Purchased used automobile for $32,800, paying $7,800 cash and giving a note payable for the remainder.
d. Purchased office and computer equipment on account, $9,000
e. Paid cash for supplies, $2,150
f. Paid cash for annual insurance policies, $4,000
g. Received cash from a client for plans delivered, $12,200.
h. Paid cash for miscellaneous expenses, $815
i. Paid cash to creditors on account, $4,500
J. Paid $5,000 on note payable.
k. Received an invoice for blueprint service, due in November, $2,890.
L Recorded fees earned on plans delivered, payment to be received in November, 18,300,
m. Paid salary of assistants, $6,450
n. Paid gas, oil, and repairs on an automobile for October, $1,020
Required:
1. Record the above transactions (in chronological order) directly in the following T accounts, without journalizing. Cash; Accounts Receivable; Supplies; Prepaid Insurance Automobiles; Equipment; Accounts Payable; Notes Payable: Connie Young, Capital; Professional Fees; Salary Expense; Blueprint Expense; Rent Expense; Automobile Expense; s Expense. To the left of each amount entered in the accounts, select the appropriate letter to identify the transaction.
2. Determine the account balances of the T accounts. Accounts containing a single entry only (such as Prepaid Insurance) do not need a balance.
Answer:
Cash
debit credit
a. 36,000
b. 2,400
c. 7,800
e. 2,150
f. 4,000
g. 12,200
h. 815
i. 4,500
j. 5,000
m. 6,450
n. 1,020
13,865
Accounts Receivable
debit credit
l. 18,300
Supplies
debit credit
e. 2,150
Prepaid Insurance
debit credit
f. 4,000
Equipment
debit credit
d. 9,000
Automobiles
debit credit
c. 32,800
Accounts Payable
debit credit
d. 9,000
i. 4,500
k. 2,890
7,390
Notes Payable
debit credit
c. 25,000
j. 5,000
20,000
Connie Young, Capital
debit credit
a. 36,000
Professional Fees
debit credit
g. 12,200
l. 18,300
30,500
Salary Expense
debit credit
m. 6,450
Blueprint Expense
debit credit
k. 2,890
Rent Expense
debit credit
b. 2,400
Automobile Expense
debit credit
n. 1,020
Miscellaneous Expense
debit credit
h. 815
1 and 2. Recording the transactions in T-accounts and balancing the T-accounts are as follows:
Cash
Account Titles Debit Credit
a. Connie Young, Capital $36,000
b. Rent Expense $2,400
c. Automobile Cash 7,800
e. Supplies 2,150
f. Prepaid Insurance 4,000
g. Professional Fees 12,200
h. Miscellaneous Expenses 815
i. Accounts Payable 4,500
j. Notes Payable 5,000
m. Salary Expense 6,450
n. Automobile Expense 1,020
Ending balance $14,065
Totals $48,200 $48,200
Accounts Receivable
Account Titles Debit Credit
l. Accounts Receivable $18,300
Supplies
Account Titles Debit Credit
e. Cash $2,150
Prepaid Insurance
Account Titles Debit Credit
f. Cash $4,000
Automobiles
Account Titles Debit Credit
c. Cash $7,800
c. Notes Payable $25,000
Ending balance $32,800
Equipment
Account Titles Debit Credit
d. Accounts Payable $9,000
Accounts Payable
Account Titles Debit Credit
d. Equipment $9,000
i. Cash $4,500
Ending balance $4,500
Notes Payable
Account Titles Debit Credit
c. Automobiles $25,000
j. Cash $5,000
Ending balance $20,000
Connie Young, Capital
Account Titles Debit Credit
a. Cash $36,000
Professional Fees
Account Titles Debit Credit
g. Cash $12,200
l. Accounts Receivable 18,300
Ending balance $30,500
Salary Expense
Account Titles Debit Credit
m. Cash $6,450
Blueprint Expense
Account Titles Debit Credit
k. Accounts Payable $2,890
Rent Expense
Account Titles Debit Credit
b. Cash $2,400
Automobile Expense
Account Titles Debit Credit
n. Cash $1,020
Miscellaneous Expense
Account Titles Debit Credit
h. Cash $815
Data Analysis:
a. Cash $36,000 Connie Young, Capital $36,000
b. Rent Expense $2,400 Cash $2,400
c. Automobile $32,800 Cash $7,800 Notes Payable $25,000
d. Equipment $9,000 Accounts Payable $9,000
e. Supplies $2,150 Cash $2,150
f. Prepaid Insurance $4,000 Cash $4,000
g. Cash $12,200 Professional Fees $12,200
h. Miscellaneous Expenses $815 Cash $815
i. Accounts Payable $4,500 Cash $4,500
j. Notes Payable $5,000 Cash $5,000
k. Blueprint Expense $2,890 Accounts Payable $2,890
l. Accounts Receivable $18,300 Professional Fees $18,300
m. Salary Expense $6,450 Cash $6,450
n. Automobile Expense $1,020 Cash $1,020
Learn more: https://brainly.com/question/17463664
Mike Greenberg opened Pina Window Washing Inc. on July 1, 2022. During July, the following transactions were completed.
July 1 Issued 11,500 shares of common stock for $11,500 cash.
1 Purchased used truck for $7,680, paying $1,920 cash and the balance on account.
3 Purchased cleaning supplies for $860 on account.
5 Paid $1,680 cash on a 1-year insurance policy effective July 1.
12 Billed customers $3,550 for cleaning services performed.
18 Paid $960 cash on amount owed on truck and $480 on amount owed on cleaning supplies.
20 Paid $1,920 cash for employee salaries.
21 Collected $1,540 cash from customers billed on July 12.
25 Billed customers $2,400 for cleaning services performed.
31 Paid $280 for maintenance of the truck during month.
31 Declared and paid $580 cash dividend.
Required:
Prepare a trial balance,adjusting entries,adjustede trial balance.
Answer:
July 1 Issued 11,500 shares of common stock for $11,500 cash.
Dr Cash 11,500
Cr Common stock 11,500
July 1 Purchased used truck for $7,680, paying $1,920 cash and the balance on account.
Dr Vehicles 7,680
Cr Cash 1,920
Cr Accounts payable 5,760
July 3 Purchased cleaning supplies for $860 on account.
Dr Supplies 860
Cr Accounts payable 860
July 5 Paid $1,680 cash on a 1-year insurance policy effective July 1.
Dr Prepaid insurance 1,680
Cr Cash 1,680
July 12 Billed customers $3,550 for cleaning services performed.
Dr Accounts receivable 3,550
Cr Service revenue 3,550
July 18 Paid $960 cash on amount owed on truck and $480 on amount owed on cleaning supplies.
Dr Accounts payable 1,440
Cr Cash 1,440
July 20 Paid $1,920 cash for employee salaries.
Dr Wages expense 1,920
Cr Cash 1,920
July 21 Collected $1,540 cash from customers billed on July 12.
Dr Cash 1,540
Cr Accounts receivable 1,540
July 25 Billed customers $2,400 for cleaning services performed.
Dr Accounts receivable 2,400
Cr Service revenue 2,400
July 31 Paid $280 for maintenance of the truck during month.
Dr Truck maintenance expenses 280
Cr Cash 280
July 31 Declared and paid $580 cash dividend.
Dr Dividends 580
Cr Cash 580
trial balanceDr Cash $5,220
Dr Accounts receivable $4,410
Dr Supplies $860
Dr Prepaid insurance $1,680
Dr Vehicles $7,680
Cr Common stock $11,500
Cr Accounts payable $5,180
Cr Service revenue $5,950
Dr Wages expense $1,920
Dr Truck maintenance expenses $280
Dr Dividends $580
totals $22,630 $22,630
adjusting entriesThe only adjusting entry that we can record appropriately is insurance expense:
Dr Insurance expense 140
Cr prepaid insurance 140
We should also record adjusting entries for
wages expense (after January 20th)depreciation expense (truck)supplies expensebut we are not given any amounts.
adjusted trial balanceDr Cash $5,220
Dr Accounts receivable $4,410
Dr Supplies $860
Dr Prepaid insurance $1,540
Dr Vehicles $7,680
Cr Common stock $11,500
Cr Accounts payable $5,180
Cr Service revenue $5,950
Dr Wages expense $1,920
Dr Truck maintenance expenses $280
Dr Insurance expense $140
Dr Dividends $580
totals $22,630 $22,630
Differentiate between piecemeal and time related salary determination methods
use this link
https://brainly.com/question/18427994
Wilson Products uses standard costing. It allocates manufacturing overhead (both variable and fixed) to products on the basis of standard direct manufacturing labor-hours (DLH). Wilson Products develops its manufacturing overhead rate from the current annual budget. The manufacturing overhead budget for 2014 is based on budgeted output of 672,000 units, requiring 3,360,000 DLH. The company is able to schedule production uniformly throughout the year.
A total of 72,000 output units requiring 321,000 DLH was produced during May 2014. Manufacturing overhead (MOH) costs incurred for May amounted to $ 355,800. The actual costs, compared with the annual budget and 1/12 of the annual budget, are as follows:
Calculate the following amounts for Wilson Products for May 2014:
Total Amount Per Output Unit Per DLH Input Unit Monthly MOH Budget May 2017 Actual MOH Costs for May 2017
Variable MOH
Indirect manufacturing labor $1,008,000 $1.50 $0.30 $84,000 $84,000
Supplies 672,000 1.00 0.2 56,000 117,000
Fixed MOH
Supervision 571,200 0.85 0.17 47,600 41,000
Utilities 369,600 0.55 0.11 30,800 55,000
Depreciation 705,600 1.05 0.21 58,800 88,800
Total $33,26,400 $4.95 $0.99 $277,200 $355,800
Required:
a. Total manufacturing overhead costs allocated.
b. Variable manufacturing overhead spending variance.
c. Fixed manufacturing overhead spending variance.
d. Variable manufacturing overhead efficiency variance.
e. Production-volume variance Be sure to identify each variance as favorable (F) or unfavorable(U).
Answer:
Please see attached solution
Explanation:
a. Total manufacturing overhead costs allocated $356,400
b. Variable manufacturing overhead spending variance $40,500U
c. Fixed manufacturing overhead spending variance $17,600U
d. Variable manufacturing overhead efficiency variance $19,500F
e. Production volume variance $39,200F
Please find attached detailed solution to the above questions
Within Kraljic's Portfolio Analysis, products that represent High Risk and Low Value to the company are categorized as: A. Leverage or Preferred B. Superior C. Bottleneck D. Critical or Strategic E. Routine or Arms-Length
Answer:
C. Bottleneck
Explanation:
Kraljic's Portfolio Analysis is used to assess business risk and maximise profits. It reduces cost by estimating security level of an endeavour.
It involves the following step:
- Product purchase classification
- Market analysis
- Strategic positioning
- Action planning
Product classification is the process by which commodities are categorised based on risk level and profitability.
The following are the categories:
- Leverage items have high profit and low supply risk
- Non critical items have low risk and low profit
- Bottleneck items have high risk and low profit
- Strategic items have high profit and high risk
The product that shows high risk and low value should be option c. Bottleneck
Kraljic's Portfolio analysis:According to the above analysis, the product should be split into 4 parts:
Strategic items - These items shows high risk and high value in terms of profit for the company.Bottleneck items- These items shows high risk and low value in terms of profit for the company.Leverage items- These items show low risk and high value in terms of profit for the company.Non-critical items- These items represent low risk and low value in terms of profit for the companyHence, the correct option is: B. Bottleneck
Learn more about risk here: https://brainly.com/question/22095474
Daryl Kirby opened Squid Realty Co. on January 1, 2015. At the end of the first year, the business needed additional capital. On behalf of Squid Realty Co., Daryl applied to Ocean National Bank for a loan of $375,000. Based on Squid Realty Co.'s financial statements, which had been prepared on a cash basis, the Ocean National Bank loan officer rejected loan as too risky. After receiving the rejecting notice, Daryl instructed his accountant to prepare the financial statement on an accrual basis. These statements included $65,000 in accounts receivable and $85,000 in accounts payable. Daryl then instructed his accountant to record an additional $30,000 of accounts receivable for commissions on property for which a contract had been signed on December 28, 2015. The title to the property is to transfer on January 5, 2016, when an attorney formally records the transfer of the property to the buyer. Daryl then applied for a $375,000 loan from Free Spirit Bank, using the revised financial statements. On this application, Daryl indicated that he had not previously been rejected for credit.
Required:
Discuss the ethical and professional conduct of Daryl Kirby in applying for the loan from Free Spirit Bank.
Answer:
There are issues with Revenue recognition, Accrual basis of accounting and Cash basis of accounting.
Explanation:
The ethical issues are important to handle with care in business. The accountant has used accrual basis accounting technique in order to apply for a loan. The revised financial statements are prepared with accrual concept so that the company is successful in procuring loan. The revenue should be recognized when performance obligation is completed and the required services are rendered. The accrual concept states that the transaction should be recorded when it occurs regardless when the cash is actually received. Daryl has been involved in unethical practice as he has instructed his accountant to prepare revised financial statements to portray that the company's performance is good. It is an intention to deceive bank in order to procure loan.
Nicole Boyd, an HR manager, receives many complaints that some line managers have rejected some employees request to work from home. Nicole reviews the situation and finds that the employees who made the request have high-quality work performance. Nicole takes up the case with the line managers; they finally reach an agreement that employees with a good track record will be allowed to work from home three days a week. According to the Uhlrich’s model, Nicole’s act of confronting the line managers with an issue faced by some employees represents this role of an HR manager.
a. True
b. False
Answer: True
Explanation:
According to the Uhlrich’s model, Nicole’s act of confronting the line managers with an issue faced by some employees represents this role of an HR manager. This is the employees advocate role of the human resource official.
Employee advocate simply means that the human resource official plays a vital role in order to achieve organizational success based on their advocacy of the workers and knowledge regarding them.
What is a good job people do you hear me
Answer:
A lawyer is a good job
Explanation:
lol
whne you try your best and do the best possible you can, but without harmnig anyone or yourself, emotionally or physically
Curtiss Construction Company, Inc., entered into a fixed-price contract with Axelrod Associates on July 1, 2016, to construct a four-story office building. At that time, Curtiss estimated that it would take between two and three years to complete the project. The total contract price for construction of the building is $4,000,000. Curtiss concludes that the contract does not qualify for revenue recognition over time. The building was completed on December 31, 2018. Estimated percentage of completion, accumulated contract costs incurred, estimated costs to complete the contract, and accumulated billings to Axelrod under the contract were as follows:
At 12-31-2016 At 12-31-2017 At 12-31-2018
Percentage of completion 10% 60% 100%
Costs incurred to date $350,000 $2,500,000 $4,250,000
Estimated costs to complete 3,150,000 1,700,000 0
Billings to Axelrod, to date 720,000 2,170,000 3,600,000
Required:
1. Compute gross profit or loss to be recognized as a result of this contract for each of the three years.
Year Gross Profit (Loss) Recognized
2016
2017
2018
Total project profit (loss)
2. Assuming Curtiss recognizes revenue over time according to percentage of completion, compute gross profit or loss to be recognized in each of the three years.
Year Gross Profit (Loss) Recognized
2016
2017
2018
3. Assuming Curtiss recognizes revenue over time according to percentage of completion, compute the amount to be shown in the balance sheet at the end of 2016 and 2017 as either cost in excess of billings or billings in excess of costs.
Balance Sheet (Partial) 2016 2017
Current assets:
Current liabilities:
Answer:
Please see attached solution
Explanation:
Please find attached detailed solution to the above questions ; 1 , 2 and 3.
Explain how allocating the profits evenly between the partners would work. Consider the fairness to each of the partners in your response.
Answer and Explanation:
Allocation of profit to partners is all dependent on partnership agreement also called partnership deed where sharing ratio as well as role and participation of partners are stated clearly. The sharing ratio states how profits or losses in the partnership is shared amongst partners. If there is ratio to share profit equally or higher and lower for certain partners, it is made and stated clear in partnership deed before business commences, this ensures there is fairness in partners' dealings and everyone gets his share according to agreement
Comparative financial statement data for Bridgeport Corp. and Sarasota Corp., two competitors, appear below. All balance sheet data are as of December 31, 2017.
Bridgeport Corp. Sarasota Corp.
2017 2017
Net sales $2,340,000 $806,000
Cost of goods sold 1,527,500 442,000
Operating expenses 367,900 127,400
Interest expense 11,700 4,940
Income tax expense 110,500 46,800
Current assets 434,600 195,436
Plant assets (net) 691,600 181,646
Current liabilities 86,223 43,831
Long-term liabilities 141,050 52,889
Net cash provided by operating activities 179,400 46,800
Capital expenditures 117,000 26,000
Dividends paid on common stock 46,800 19,500
Weighted-average number of shares outstanding 80,000 50,000
Required:
Compute the net income and earnings per share for each company for 2017.
b. Compute working capital and the current ratios for each company for 2017.
c. Compute the debt to assets ratio and the free cash flow for each company for 2017.
Answer:
a) Bridgeport Corp.
net income $322,400
EPS = $4.03
Sarasota Corp.
net income $184,860
EPS = $3.70
b. Bridgeport Corp.
working capital = $434,600 - $86,223 = $348,377
current ratio = $434,600 / $86,223 = 5.04
Sarasota Corp.
working capital = $195,436 - $43,831 = $151,605
current ratio = $195,436 / $43,831 = 4.46
c. Bridgeport Corp.
debt to assets ratio = $227,273 / $1,126,200 = 0.2
net cash flow = $179,400 - $117,000 - $46,800 = $15,600
Sarasota Corp.
debt to assets ratio = $96,720 / $377,082 = 0.26
net cash flow = $46,800 - $26,000 - $19,500 = $1,300
Explanation:
Bridgeport Corp. Sarasota Corp.
2017 2017
Net sales $2,340,000 $806,000
Cost of goods sold 1,527,500 442,000
Gross profit 812,500 364,000
Operating expenses 367,900 127,400
Interest expense 11,700 4,940
Income tax expense 110,500 46,800
Net income $322,400 $184,860
Weighted-average number of shares outstanding 80,000 50,000
Rank the following items from the lowest (1) to highest (6) authority in the Federal tax law system: Ranking a. Interpretive Regulation. b. Legislative Regulation. c. Letter Ruling. 1 d. Revenue Ruling. e. Internal Revenue Code. f. Proposed Regulation.
Answer:
Items are being ranked from lowest (1) to highest (6)-
1. Letter ruling.
2. Proposed Regulation.
3. Revenue Ruling.
4. Interpretive Regulation.
5. Legislative Regulation.
6. Internal Revenue Code.
Explanation:
Federal tax law system: The term "federal tax law system" is described as a system that is being administered through the IRS that is responsible for collecting money on the basis of "earned income". Federal income tax is supposed to be collected by a "withholding process" wherein the employer tend to deduct tax from every employee payroll.
In the question above, the given statement represents the answer as c-f-d-a-b-e.
Tariff effects: An overview
Consider two hypothetical countries, Alagir and Ertil. Both countries produce iGadgets, and the price of iGadgets is lower in Alagir than in Ertil. If Alagir and Ertil open to trade, producers in would be more likely to lobby their government for an import tariff on iGadgets in order to protect themselves from foreign competition.
Which of the following statements about the effects of the tariff compared to free trade are correct?
A. In Alagir, workers in iGadget importing companies lose their jobs.
B. In Ertil, some workers at retail and shipping companies that import iGadgets lose their jobs.
C. In Ertil, consumers pay more for the domestic iGadgets.
D. In Ertil, workers in iGadget importing companies see more jobs available to them.
E. In Ertil, producers of iGadgets are willing to expand output.
Answer:
1. If Alagir and Ertil open to trade, producers in Ertil would be more likely to lobby their government for an import tariff on iGadgets in order to protect themselves from foreign competition.
Producers in Ertil would be at a disadvantage because people in Ertil would simply buy the lower priced iGadgets from Alagir so the producers in Ertil would lobby their Government for tariffs to protect them.
2.
B. In Ertil, some workers at retail and shipping companies that import iGadgets lose their jobs.If an import tariff is imposed, people will find the goods from Alagir more expensive and so will import less. The companies who did the shipping and retail of the goods from Alagir would have to let go of some people to save costs or because they would close down.
C. In Ertil, consumers pay more for the domestic iGadgets.With tariffs to protect them, the domestic producers in Ertil can charge higher prices.
E. In Ertil, producers of iGadgets are willing to expand output.With the tariff protecting them, the producers will be willing to expand output so that they can sell more iGadgets at the new higher price.
Consider the following story:
Woody loves bowling, and he also loves Beth.
Woody does not particularly like the beach.
The best outcome for Woody is to be at the bowling alley with Beth.
Given the choice of going bowling alone or being at the beach with Beth, Woody would choose to be with Beth.
The worst outcome for Woody is to be at the beach alone.
Beth loves the beach, and she also loves Woody.
Beth does not particularly like bowling.
The best outcome for Beth is to be at the beach with Woody.
Given the choice of going to the beach alone or bowling with Woody, Beth would choose to be with Woody.
The worst outcome for Beth is to be at the bowling alley alone. Woody and Beth plan to meet after work, but each has forgotten where. Suppose the following payoff matrix tells the story, given Woody and Beth's preferences above.
Complete the matrix by filling in the missing payoffs. (Enter your responses as integers.)
Beth
Bowling Beach
Woody Bowling
Beach
a. Find all Nash equilibria in this game, if any.
b. Is this game an archetype? If yes, identify the archetype and explain your selection.
Answer:
a. Both beth and Woody are comfortable at their own preferences and feel dominant in their own strategy.
The outcome to meet somewhere will be either the bowling alley or the beach, any one of Beth and Woody will dominate, however both's priority is to stay together which is fulfilled in both the scenarios.
Explanation:
a. Both beth and Woody are comfortable at their own preferences and feel dominant in their own strategy.
The outcome to meet somewhere will be either the bowling alley or the beach, any one of Beth and Woody will dominate, however both's priority is to stay together which is fulfilled in both the scenarios.
______ factors are things in the global environment that may impact a firm’s operations or success, examples are a rise in interest rates, or a natural disaster.
Answer:
External.
Explanation:
The external factors in an organization, are all factors of its macroeconomic environment, and which directly or indirectly influence the results of its business, some of these factors can be: capital, inflation, technological changes, political changes, social changes, etc.
It is essential that managers establish in their strategic plans the external environment, so that there is security and control to deal with unexpected changes that can affect the profitability of a company, it is necessary to have control of capital, assets and liabilities, in addition to consider the changes that may occur and are not controllable.
Admitting New Partner Who Contributes Assets After the tangible assets have been adjusted to current market prices, the capital accounts of Brad Paulson and Drew Webster have balances of $45,000 and $60,000, respectively. Austin Neel is to be admitted to the partnership, contributing $30,000 cash to the partnership, for which he is to receive an ownership equity of $35,000. All partners share equally in income.
Required:
a. Journalize the entry to record the admission of Neel, who is to receive a bonus of $5,000.
b. What are the capital balances of each partner after the admission of the new partner?
c. Why are tangible assets adjusted to current market prices prior to admitting a new partner?
Answer:
a. Journal Entry to record admission of Neil
Date Account Title and Explanation Debit Credit
31-Dec Cash Account $30,000
Brad Paulson capital Account $2,500
($5000/2)
Drew Webster Capital $2,500
($5000/2)
To Austin Neel capital A/c $35,000
b. Capital account balances after admission of new partner
Date Account Title and Explanation Debit Credit
Brad paulson capital Account $42,500
($45000-$2500)
Drew Webster Capital Account $57,500
($60000-$2500)
To Austin Neel capital Account $35,000
c. Tangible assets should be adjusted to current market prices so that the new partner does not share in any gains or losses from changes in market prices prior to being admitted.
Which of the following are examples of career clusters? Select all that apply. PLEASE HURRY
Answer:
E, C, B
Explanation:
Those seem like they'd be Carrer clusters
Cooperative San José of southern Sonora state in Mexico makes a unique syrup using cane sugar and local herbs. The syrup is sold in small bottles and is prized as a flavoring for drinks and for use in desserts. The bottles are sold for $12 each. The first stage in the production process is carried out in the Mixing Department, which removes foreign matter from the raw materials and mixes them in the proper proportions in large vats. The company uses the weighted-average method in its process costing system.
A hastily prepared report for the Mixing Department for April appears below:
Units to be accounted for:
Work in process, April 1 (materials 90% complete; conversion 80% complete) 5,700
Started into production 34,100
Total units to be accounted for 39,800
Units accounted for as follows:
Transferred to next department 29,400
Work in process, April 30 (materials 70% complete; conversion 50% complete) 10,400
Total units accounted for 39,800
Cost Reconciliation Cost to be accounted for:
Work in process, April 1 $15,276
Cost added during the month 96,248
Total cost to be accounted for $111,524
Cost accounted for as follows:
Work in process, April 30 $20,384
Transferred to next department 91,140
Total cost accounted for $111,524
Required:
a. What were the Mixing Department's equivalent units of production for materials and conversion for April?
b. What were the Mixing Department's cost per equivalent unit for materials and conversion for April? The beginning inventory consisted of the following costs: materials, $10,545; and conversion cost, $4,731. The costs added during the month consisted of: materials, $64,649; and conversion cost, $31,599.
c. How many of the units transferred out of the Mixing Department in April were started and completed during that month?
d. The manager of the Mixing Department stated, "Materials prices jumped from about $1.65 per unit in March to $2.15 per unit in April, but due to good cost control I was able to hold our materials cost to less than $2.15 per unit for the month." Should this manager be rewarded for good cost control?
Answer:
a. EU:
materials = 29,400 + 7,280 = 36,680
conversion = 29,400 + 5,200 = 34,600
b. cost per EU:
materials = $75,194 / 36,680 = $2.05
conversion = $36,330 / 34,600 = $1.05
c. units started and completed during April = 23,700
d. no, he didn't do anything, When a company uses the weighted average process costing method, the cost of beginning WIP is used to determine the cost per equivalent unit. On the other hand, FIFO process costing method doesn't, it only considers costs incurred during the month to calculate cost per equivalent unit.
Explanation:
beginning WIP 5,700 $15,276
materials, $10,545
conversion cost, $4,731
units started 34,100
costs added during the month = $96,248
materials, $64,649
conversion cost, $31,599
units transferred out 29,400 $91,140
ending WIP 10,400 $20,384
materials 70% = 7,280 EU
conversion 50% = 5,200 EU
EU:
materials = 29,400 + 7,280 = 36,680
conversion = 29,400 + 5,200 = 34,600
total cost for materials = $64,649 + $10,545 = $75,194
total cost for conversion = $31,599 + $4,731 = $36,330
cost per EU:
materials = $75,194 / 36,680 = $2.05
conversion = $36,330 / 34,600 = $1.05
units started and completed during April = 29,400 - 5,700 = 23,700