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# Accounting

### Cash flows after tax

(Cash flows after tax) Revenues increase by \$400,000, cash operating expenses increase by \$180,000, and depreciation increases by \$45,000. The tax rate is 34% a. Calculate the cash flow after tax using the formula that CFAT is operating cash flows after tax plus the depreciation tax shield. b. Calculate the cash flow after t

### Solving for unknowns in financial accounting

J Income: \$280,000 Revenue: \$_______ Invested capital: \$______ Return on sales: 7% Capital turnover: 4 Rate on return on invested capital: _____% Cost of capital: 16% Economic profit: \$_____ K Income: \$_____ Revenue: \$_______ Invested capital: \$3,000,000 Return on sales: 4% Capital turnover: _____ Rate on retur

The predetrmiend overhead allocation rate for Forsythe, Inc. is based on estimated \$250,000 for direct materials; 410,000 for direct labor; 55,000 for Indirect materials; 125,000 for Indirect labor; 50,000 for sales commission; 170,000 for Factory depreciation; 15,000 for factory property taxes; 35,000 for Factory utilities; 62,

### Managerial Accounting. Cost Accounting. Contribution margin, incremental costs, breakeven

Allied Laboratories is combining some of its most common tests into one-price packages. One such package will contain three tests that have the following variable costs: Test A Test B Test C Disposable syringe \$3.00 \$3.00 \$3.00 Blood vial

### Journaling assets accounting 101

July 2 Bought Splashdown in it's entirety for a total price of \$540,800. The assets include pool furniture, \$3,800; the pool/slide facility(includes filter system, pools, pump, and slides), \$148,800; building, \$96,200; and land, \$292,000. Paid \$120,000 down and signed a mortgage note for the remainder. Journalise the transaction

### Financial Accounting: Bank reconciliation, cash controls, practice exam problems

Osage farm supply had poor internal control over its cash transaction. Facts about the company's cash position at nov 30 are described below. The accounting records showed a cash balance of \$35,400 which included a deposit in trainsit of \$1,245. The balance indicated in the bank statement was \$20,000. Included in the ban

### Average daily credit sales

Martin Electronics has and account receivable turnover equal to 15 times. If accounts receivable are equal to \$80,000 what is the average daily credit sales? (round your answer to the nearest dollar amount) Average daily credit sales: ?

### Quick and Current Liquidity Ratios, DuPont Ratio, Profit Margin

GE does business in Puerto Rico. Compute the quick and current liquidity ratios, the DuPont ratio, profit margin, asset utilization, and financial leverage for GE. Discuss how measurement conventions (IASB and FASB) affect presentations. If your chosen company uses the cash basis of accounting, how would that differ from the

### Financial Accounting: Equity transactions: Journal Entries: Treasury Stock

On January 1, 2010, the stockholders equity section of Lopez Corporation shows: Common stock (\$5 par value) \$1,500,000; paid-in capital in excess of par value \$1,000,000; and retained earnings \$1,200,000. During the year, the following treasury stock transactions occurred. Mar. 1 Purchased 30,000 shares for cash at \$15 per sh

### Intermediate financial accounting: Determine amount of impairment loss

Which of the following statements concerning the impairment of fixed assets is true? I. Impairment losses are shown on the income statement net of tax. II. An impairment loss is recognized if the present value of all expected future cash flows produced by the fixed asset is less than carrying value. III. To deter

### Depreciation methods for introductory financial accounting

A fixed asset has a cost of \$12,000 and a salvage value of \$3,000. The asset has a three-year life. If depreciation in the third year amounted to \$1,500, which depreciation method was used? o Straight-line. o Double-declining-balance. o Units of production. o Sum-of-the-years digits.

### Managerial Accounting. Cost Accounting. Practice Exam (41 Questions) on costing methods, work in process, fixed costs, variable costs, more

1. Calculate the conversion costs from the following information: A. \$3,000 B. \$4,000 C. \$4,500 D. \$5,000 E. \$7,000 Mukwonago Industries has developed two new products but has only enough plant capacity to introduce one product during the current year. The following data will assist management in deciding whi

### Ordinary and necessary business expenditure deduction

Joshua hired his brothers firm to provide accounting services, to his business. During the current year, Michael paid his brothers firm \$82,000 for services even though other firms were willing to provide the same services for \$40,000. How much of this expenditure, if any, is deductible as an ordinary and necessary business ex

### List what you consider to be three of the most important control procedures that should be implemented for microcomputers. Give a reason for each.

Discuss some of the unique control risks associated with the use of PCs and laptop computers compared to using mainframes. List what you consider to be three of the most important control procedures that should be implemented for microcomputers. For each control procedures, give your reason for including this procedure as an imp

The work in process inventory for the Smith Corporation has a balance of \$4800 at the end of an accounting period. The job-cost sheets of two incomplete jobs show charges of \$800 and \$400 for materials used and charges of \$600 and \$1000 for direct labor used. From this information, it appears that Smith Corporation is using a

### Question about Effective Interest Method

A company issued 14%, 5 year bonds with a par value of \$5,000,000 on Jan 1, 2003. Interest to be paid semiannually on June 30 and December 31. The bonds are issued for \$5,368,035 cash when the market interest rate for this bond was 12%. What would be the journal entries to record the issuance of this company's bonds, and the f

### Accounting CVP Analysis, Costing Methods

Need assistance with four accounting homework problems (see requirements below but get problem facts from attached file). Required: a. Calculate the contribution margin ratio of each product. b. Calculate the firm's overall contribution margin ratio c. Calculate the firm's monthly break-even point in sales dollars. d. Cal

Please help with this problem. Assume a builder is constructing three houses simultaneously. The direct materials and direct labor costs for each house are shown below: House 1 House 2 House 3 Direct Materials \$ 140,000 \$ 70,000 \$ 90,000 Direct Labor 210,000 130,000 60,000 Overhead Indirect cos

### Assess impact of transactions on accounting equation components

Using the column headings provided below, show the effect, if any, of the transaction on each financial statement category by indicating whether it is an addition (+) or subtraction (-) and showing the amount in the appropriate column. Do not show items that affect net income in the retained earnings column. You should assume th

### Earnings per share for common stock

Gwinnett Park Co. reported net income of \$916,800 for its fiscal year ended September 30, 2011. At the beginning of that year, 150,000 shares of common stock were outstanding. On February 1, 2011, an additional 30,000 shares were issues. On August 1, 2011, 12,000 shares were purchased as treasury stock. During the year, the comp

### Redbird Corporation Taxable Income and E&P Calcluation

Redbird Corporation, a calendar year taxpayer, receives dividend income of \$250,000 from a corporation in which it holds 10% interest. Redbird also received interest income of \$35,000 from municipal bonds. (The municipality used the proceeds from the bond issue to construct a library). Redbird borrowed funds to purchase the muni

### Cost accounting: Acquatic Manufacturing

Can you help me get started on this assignment? Acquatic Manufacturing uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department A, direct labor hours in Department B, and machine hours in Department C. In establish

### Relevant and non-relevant costs for Starbucks

Relevant and non-relevant costs For my assignment I am using Starbucks. Identify a decision that has recently been made or will be made in the near future at Starbucks INC. Identify two relevant and two non-relevant costs in the decision. If you cannot identify specific actual amounts, make a reasonable estimate and

### Number of exemptions that can be claimed

Janet and Ted have two children, Mary (age 10) and Seth (age 12). Janet's Aunt Martha resides with the family in an apartment over the garage. Martha's only income is \$1,500 a month in Social Security benefits. Janet and Ted receive no rent payments from Martha and provide all remaining support for her living arrangements. How m

### Hambley variable cost per machine hour; Whitford overhead cost using ABC

Utility costs at one of Hambley Corporation's factories are listed below: Machine-Hours Utility Cost February 4,221 \$39,308 March 4,268 \$39,573 April

### E8.6 Common stock issue price; E8.8 Preferred stock dividend amount

E 8.6 Common stock-calculate issue price and dividend amount The balance sheet for common stock is the following: Common stock without par value, 2,000,000 shares authorized, 400,000 shares issued, and 360,000 shares outstanding - \$2,600,000 Required: a. Calculate the average price at which the shares were issued.

### Delivery Service and Period Costs

Determine the total amount of (a) delivery service (product) costs and (b) period costs. An incomplete cost of goods manufactured schedule is presented below. Madlock Manufacturing Company Cost of Goods Manufactured Schedule For the Year Ended December 31, 2005 Work in process (1/1) \$210,000 Direct materials Raw mate

### EOQ question

Sample question to help me with my homework; I am having a hard time figuring out the steps. Thanks! Thomas Kratzer is the purchasing manager for the headquarters of a large insurance company chain with a central inventory operation. Thomas' fastest moving inventory item has a demand of 6000 units per year. The cost of each u

### Gross profit percentage

Betty Boop Corp 2008 financial statements showed the following statement: Sales Revenue \$900,000 Cost of Goods Sold: \$770,000 Beginning Inventory \$56,000 Ending Inventory \$70,000 What was the company's gross profit percentage for 2008?