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1. In the year-end financial statements, the Manufacturing Overhead account should have: a. A debit balance, representing overhead on hand and available for use. b. A credit balance, representing accumulated depreciation and amounts owed to suppliers of overhead items. c. Either a debit or a credit balance, depending upon


Use the following to answer questions 1-4: Shown below are selected data from the balance sheet of Ames Hardware, a small retail store (dollar amounts are in thousands): Cash $20 Accounts receivable 100 Inventory 195 Total assets 450 Current liabilities 150 Non-current liabilities 120 1. Refer to the above data. Ames' d


1. Newby Corporation's 2000 net income is smaller than net cash flow from operating activities. Which of the following would not be an explanation of why net income is smaller than net cash flow from operating activities? a. Newby paid dividends to shareholders during 2000. b. Newby's accounts payable increased during 2000.

Accounting/ business analysis

1. Tandem Corporation issued 200,000 shares of $2 par value capital stock at date of incorporation for cash at a price of $7 per share. During the first year of operations, the company earned $80,000 and declared a dividend of $25,000. At the end of this first year of operations, the balance of the Common Stock account is:

Tax factors

Using the case below, please help with the following questions: What tax factors are relevant to Whelan Pharmaceuticlas in deciding where to manufacture Varex? Which country is favored in site selection? What are the non tax factors? Should the sourcing committee choose Ireland or continental Europe? Where should Whe

Accounting/business analysis

Use the following to answer questions 1-2. The following information is from the manufacturing budget and budgeted financial statements of Pinecove Industries: Direct materials inventory, 1/1 $104,000 Direct materials inventory, 12/31 128,000 Direct materials budgeted for use during year 400,000 Accounts payable to supplie

Business analysis: Baker Company, Boggs Corporation, Stellar Corporation

1. Baker Company manufactures and sells 20,000 units of product X per month. Each unit of product X sells for $15 and has a contribution margin of $4. If product X is discontinued, $56,000 in fixed monthly overhead costs would be eliminated and there would be no effect on the sales volume of Baker Company's other products. I

Accounting/business analysis

Malachite Company produces a single product. The selling price is $30 per unit, and variable costs amount to $21 per unit. Malachite's fixed costs per month total $45,000. 1. Refer to the above information. What is the contribution margin ratio of Malachite's product? a. 70%. b. 42.9%. c. 30%. d. 18%. 2. Refer to the ab

Accounting/ business analysis

The following information is available regarding the total manufacturing overhead of Peterson Company for a recent four month period. Direct Labor Manufacturing Hours Overhead May 90,000 $213,000 June 100,000 227,000 July 70,000 185,000 August 80,000 199,000 1. Refer to the above information. Using the high-low method,

Tax factors

Whelan Pharmaceuticals, a U.S. company with $3 billion in sales, must decide where to manufacture its newest product. In considering possible sites, both foreign and U.S., the firm must identify and make trade-offs between tax, marketing, and manufacturing factors. what tax issues are relevant in to this company which site

Accounting for market values

Accounting for market values. Mrs. Rosewood recently approached her bank manager and requested a loan for her business, Flowers Ltd. After viewing Flowers' financial information, the bank manager made the following estimates concerning Flowers, Ltd: Unrecorded Goodwill $300,000 The market value of inventories, capital asset

ABC Costing Problem

A company produces two types of leather purses: standard and handcrafted Both purses use equipment for cutting and stitching. The equipment also has the capability of creating standard designs. The standard purses use only these standard designs. They are all of the same size to accommodate the design features of the equipme

Miller-Orr Model

In the Miller-Orr Model, which is NOT true ______ When the cash balance falls to zero, the amount coverted from maretable securities to cash is the amount represented by the upper limit or When the cash balance reaches the upper limit, an amount equal to the return point minus the upper limit is converted to marketabl

Remaining earnings after satisfying oblications

After satisfying oblications to creditors, the government, and preferred stockholders, any remaining earnings will most likely be allocated to any of the following "EXCEPT" _________ common shareholders as cash dividends, common shareholders as stock dividends, retained by the firm for future investment, or a combination

Risk-adjusted discount rates

In adjusting for risk, which of the following is - "TRUE" - about the risk adjusted discount rate and/or the certainly equivalent methods _____________ (a) The risk-adjusted discount rate allows for the use of varied costs of capital, enabling the large multi-divisional firm to incorporate differing levels of divisional ri

Risk-free rates are noted.

The amount by which the required discount rate exceeds the risk-free rate is called ______ the opportunity cost, the risk premium, the risk equivalent, or the excess risk

Preferred Stock

Preferred Stock is valued as if it were _____ a fixed income obligation, a bond, a perpetuity, or a common stock I believe the answer is - a fixed income obligation - please advise answer & why - thanks!

Growth Rate of Dividends

The first year someone owned stock they received $1.71 per share and in the fifth year they received $2.89 per share. What was the growth rate of the dividends over the five year period _____ 7 %, 14%, 12%, or 5%

Market Research

The following applies to all 4 parts: After conducting a market research study, Morla Manufacturing decided to produce a new interior door to complement its exterior door line. It is estimated that the new interior door can be sold at a target price of $60. The estimated annual target sales volume is $20,000 interior door

Critical Success Factors

Introduction: Kirsten Malon has found a way to profitably exploit her computer know-how. She has started a firm that offers consulting services for computer and software repair and analysis. Most of her customers have purchased computers or software systems with little vendor support and need help in installing and using th

Car purchase decision

The following applies to both parts: Jerry's 5-year Chevy Geo Prism requires $3,000 in estimated repairs. His friend suggested that he buy a 5-year Honda Civic for the $3,000 cash. The following is the estimated costs for the two cars: Chevy Geo Prism


A key reason for assigning selling and distribution costs to products for analytical purposes is that -- all direct costs must be assigned, different processes, products and/or customers require different qualtities of selling and distribution activtities, customers demanded it, or controllers demanded it I believe - a

Introducing a New Prodct to Market

Company X is a small firm innovative in the production and sale of electrical business products. The company is well known for its attention to quality and innovations. During the past 15 months, a new product has been under development that allows users handheld access to email and video images. Company X code named the

Support Costs

The following applies to the following two parts: A company manufactures pipes and applies manufacturing support costs tp production at a predetermined rate of $15 per direct labor hour. The following data are obtained from the accounting records for June 20x2: Direct materials

Fixed; Variable and Semivariable Costs

Valley Meat Company produces one of the best sausage products in Pennsylvania. The company's controller compiled the following information by analyzing the accounting records: 1. Meat costs the company $2.80 per pound of sausage produced. 2. Compensation of production employees is $2.00 per pound of sausage produced. 3. Sup


Instructions: For each plan, determine the division of the net income under each of the following assumptions: (1) net income of $150,000 and (2) net income of $90,000. Present the data in tabular form, using the following columnar headings: PLEASE SHOW THE BASIC CONCEPT ON HOW TO ANSWER A-F. WHAT IS THE BEST WAY TO SET UP


1. After the physical inventory is completed, A) quantities are listed on inventory summary sheets. B) quantities are entered into various general ledger inventory accounts. C) the accuracy of the inventory summary sheets is checked by the person listing the quantities on the sheets. D) unit costs are determined by dividing

Accounting MGM

Scenario: Lava Rock Bicycles, headquartered in San Miguel, California builds bikes for novice to mid-level cyclists, triathletes, and world-class athletes interested in cross-training. Lava Rock is beginning its 6th year of business. It continues to grow its product line and target customer market and it recently became a publ