1. What is the breakeven point for the KDJ Inn? 2. If the fixed cost lease is traded for a variable lease of 20 percent of total sales, what is the revised breakeven point for the KDJ Inn? 3. If (independent of #2) the variable costs increase by 10 percent, by what percentage must sales increase in order for the KDJ Inn to ear
Journalize entries for the transaction using excel or word or any processing programs. The program is at this website (you might need to enlarge it): http://netprofitspro.com/acct.jpg
Answers to Income tax accounting questions: Answers how to fill out personal income tax Form 1040, Schedules A, B, C and Form 2441.
This mini-essay discusses one of the top five reasons why small businesses fail: running out of money. How can this business be out of cash? We've been turning a profit for months and sales are growing. Do not confuse cash and profits. The business owner cannot spend profits--only cash. Moreover cash must be available, whe
Angelicus and Co. manufactures three different qualities of lock, Domestic, Commercial and Industrial. The company's results for the year ended 31 March 2003 were as follows. Domestic Commercial Industrial Total Sales (units) 120000 45000 56250 221 250 $0 $0 $0 $0 Sales (total value) 240 180 450 870 Total co
If the English population continues to increase at the same rate as it has between 1984 and 1994, what would you estimate the English population would be in 2004? Please present the answer in 3 significant figures 1984 = 47 million people 1994 = 48.7 million people
For each of the following items, give an example of a business transaction: 1. Increase an asset and increase a liability. 2. Increase one asset and decrease another asset. 3. Decrease an asset and decrease owner's equity. 4. Decrease an asset and decrease a liability. 5. Increase an asset and increase owner'
Dr. Robert Grossman founded Electro Cardio Systems, Inc, in 1972. The prinsipal purpose of the firm was to engage in research and development of heart pump devices... The attorney also found that Dr. Grossman and "friendly" members of the board of directors currently owned 175,000 shares of ECS. (The complete case is in the att
Please provide me with your insights into this case so that I can add more to it.
A winner of the Texas Lotto has decided to invest $50,000 per year in the stock market. Under consideration are stocks for a petrochemical firm and a public utility. Although a long-range goal is to get the highest possible return, some consideration is given to the risk involved with the stocks. A risk index on a scale of 1
OP co. applies overhead based on direct labor hours & has the following available for November: STANDARD: Direct labor hours per unit are 5, Variable overhead per DLH are $0.75, Fixed overhead per DLH (based on 8,900 DLH's)is $1.90 ACTUAL: Units produced are 1,800, Direct Labor hours are 8,900, Variable overh
1. You are thinking about investing in a risky portfolio. In one year, you expect the portfolio to be worth either $120,000 or $160,000, with equal probability, and you expect to receive $4,000 in dividends. The interest rate on one-year T-bills is 3%. a. If you require a risk premium of 7%, how much would you be willing to
Dode Brinker own a portfolio of two securities with the following expected returns, standard deviation, and weights Security--Expected return--Standard deviation--Weight A 10% 20% .35 B 15% 25 .65 What correlation between the two securities p
Problem 5-3A Budgeted income statement And supporting budgets Objective 4 Total direct labor cost in Slitting Dept., $205,120 The budget director of Instant Memories Film company, with the assistance of the controller, treasurer, production manager, and sales manager, has gathered the following data for use in develo
Given the following expected return vector and variance-covariance matrix for three assets: ER= 10.1 7.8 5.0 VC= 210 60 0 60 90 0 0 0 0 and given the fact that Pie Traynor's risky portfolio is split 50-50 between the two risky asets: a) Which security of the thre
Problem 6-4A p. 250 Standard factory overhead Variance report Wells Inc., a manufacturer of construction equipment, prepared the following factory overhead cost budget for the Welding Department for May 2003. The company expected to operate the department at 100% of normal capacity of 3,000 hours. Variable costs: I
For the year ended 12/31/02, ABC companny has implemented an employee bonus program equal to 3% of ABC's net income before bonus expenses, which employees will share equally. ABC's net income before bonus expenses is expected to be $500,000 and the bonus expense is computed off of that. Compute the amount of bonus payable to
A facility manager asked for information to help in forecasting handling costs. The following printout was generated using the least squares regression method: Fixed cost: $2550 Variable cost per unit: 1.85 Activity variable: units of production volume a. Using the info from the printout, develop a cost function that ca
Definitions of important accounting terms ACCOUNTS REPORTING ENTITY MATERIALITY TEST EQUITY RELIABILITY CONSERVATISM IRREVOCABLE CONTRACT LIABILITIES EXPENSE ACCRUAL BASIS OF ACCOUNTING ASSETS OBJECTIVITY OF FINANCIAL REPORTING DEPRECIATION EXPENSE GOODWILL UNREALISED GAIN REVENUES UNREALISED LO
1. Using the step method, allocate the service department costs to the operating department. 2. Assume that the company allocates service department costs by the direct method, rather than by the step method. Assuming that the company uses the direct method, how much overhead costs would be assigned to each operating department
E14-31 A comparison of Investment Alternatives including income taxes Ms. Keri Lee, an expert in retro-fitting buildings to meet seismic safety standards, has just received a $200,000 after-tax bonus for the successful completion of a project on time and under budget. Business has been so good that she is planning to retire i
E13-5 Miyamoto Jewelers is considering a special order for 10 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $389.95 and its unit product cost is $264.00 as shown below: Materials $143 Direct Labor 86 Manufacturing overhead 35 Unit product cos
E12-10 Evaluating New Investment Using Return on Investment and Residual Income. Division A Division B Division C Sales 6000000 10000000 8000000 Average operating assets 1500000 5000000 2000000 Pretax income 300000 900000 180000 Minimum required rate of return 15% 18% 12% 1. Compute the return on investment (ROI) for
A) Place a mark in the appropriate column to indicate the type of account B) Place a mark in the appropriate column to indicate on which financial statement that account is reported. Financial Statement Type of Account: Asset
For each Transaction, describe the event (including amounts) that caused the entry to be made. See attached file for the complete question. Jill and Phil have just established a security alarm maintenance service. They charge $20 per hour per person and are usually paid by check upon completion of the job. For certain custom
Tree Top Airlines began as a small commuter line * years ago but has grown into the seventh largest airline in America, with a strong regional route system. In addition, it has many routes to America's commercial centers and a few selected international routes. Tree Top has a fleet of 350 planes and approximately 7,000 employees
The person keeping the financial records forgot to record the expiration of prepaid rent during the current year. The result of this error is that: Net Income Owners' Equity Assets A) overstated understated understated B) overstated overstated overstated C) overstated understated no effect D) no effect n
The primary purpose of accounting is to: A) Certify the accuracy of records B) Maximize the amount of profit that a firm has earned C) Measure and report financial information of economic entities D) Provide useful information about economic entities for decision making.
The standard deviation of the rate of return for Lind Distributing is 18% while that for Henry Manufacturing is 22%. If the correlation between their returns is -0.25, what is the standard deviation of a portfolio composed 70% of Lind and 30% of Henry common stock?
Accounting multiple choice questions