How would you improve weak internal controls to better safeguard a company's assets (provide specific examples of the weak internal control)? Would these internal controls differ with a different type of business?
(a) What are some methods a business uses to determine if the activity is value added or not? (b) How do you think business learn from customers (consumers) what is value added and what is not value added? (c) Cost pools provide more accurate cost allocation. If this method is more accurate why doesn't everyone use the ABC
Madlem, Inc., produces and sells a single product whose selling price is $240.00 per unit and whose variable expense is $86.40 per unit. The company's fixed expense is $720,384 per month. Required: Determine the monthly break-even in either unit or total dollar sales. Show your work!
Cole laboratories makes and sells a lawn fertilizer called Fastgro. The company has developed standard costs for one bag of Fastgro as follows: Standard Standard Quantity Cost per Bag Direct material 20 pounds $8.00 Direct labor 0.1 hours 1.10 Variable manuf. overhead 0.1 hours .40 The company had no beginning i
The Polishing Department of Grayson Manufacturing Company has the following production and manufacturing cost data for August. Materials are entered at the beginning of the process. Production: Beginning inventory 1,600 units that are 100% complete as to materials and 30% complete as to conversion costs; units started during
Assume that a corporation is a constant growth company whose last dividend (D0, which was paid yesterday) was $2.00 and whose dividend is expected to grow indefinitely at a 6% rate. The discount rate is 13%. What is the firm's expected dividend stream over the next 3 years? What is the firm's current stock price? What is the
Ebay businesses and federal taxation issues; damages awarded for physical injuries and federal taxation issues
A Business Made Possible by eBay. Please respond to the following: - Evaluate whether or not Ted's activities are a business or a hobby and state how you would know or what you would ask Ted. - Evaluate on a scale of 1-3, with one being ethical and three being highly unethical, Ted's actions from the perspective of the IRS.
9-49 Larson's Laundry had the following results in 20x1 and 20x3; 20X1 20X3 Pounds of laundry processed 1,360,000 pounds 1,525,000 pounds Sales Revenue $720,000 $1,014,000 Direct- Labor hours worked 45,100 hours 46,650 hours Direct Labor cost $316,00 $408,000 The Laundry used the same facilities in 20X3 as in
1. Equipment is sold for cash in an amount equal to the cost of the equipment recorded on the books. How does this sale affect the accounting equation? a One asset increases; one asset decreases. b Assets increase; liabilities increase. c Assets increase; liabilities decrease. d Assets increase; owner's e
How do not-for-profits differ from governments in the way they account for business-type activities, such as dining halls, gift shops, and admission fees?
The Statement of Cash Flows Many users of the financial statements assert that the statement of cash flow is the most useful statement since companies preparing this statement cannot use creative accounting practices to create cash, and measures like free cash flow are used heavily in financial analysis. However, some oppone
Passive or material? Lane Mitchell is a married individual who files a separate return for the taxable year
Lane Mitchell is a married individual who files a separate return for the taxable year. He is employed full time as an accountant and also owns an interest in a minor league baseball team. He does no work in connection with the baseball activity and anticipates that it will produce a loss. He pays his wife to work as an office r
Air Production Company produces pneumatic lifts used to assist emergency rescue teams used to assist victims of auto and other accidents. The costs of manufacturing and marketing the pneumatic lifts at the company's normal volume of 3000 per month are shown in Exhibit 1. Exhibit 1 Unit manufacturing costs: Variable materi
What did you find to be the most challenging part of this problems? Explain why. Snyder Software Inc. successfully developed a new spreadsheet program. However, to produce and market the program, the company needed $2.0 million of additional financing. On January 1, 2007, Snyder borrowed money as follows. 1. Snyder issued $5
What are the company's total assets at the end of its most recent annual reporting period? Why is this important? What are the total assets at the end of the previous annual reporting period? Link to the financial information for Microsofts 2011 : http://www.microsoft.com/investor/reports/ar11/financial_review/index.h
March Direct material: 5.00 pounds $8.00 per pound $40.00 Budgeted Units 25,000 Direct labor: 2.00 hours $14.00 per hour $28.00 Actual Units 30,000 Advertising Variable overhead: 2.00 hours $5.00 per hour $10.00 Sales salaries and commissions Total standard cost per unit $
BTech, LLC, a startup biotechnology company is preparing alternative proposals for producing a new product in an existing building. In the proposal being considered in this question, the building will be renovated and equipped in one year. Production then will start in year 1. MACRS depreciation will be used with depreciation de
Bolder Bikes, Inc. manufactures mountain bike frames in Boulder Colorado. In 2012, they produced 24,000 frames at a total cost of $1,296,000. Frames Unlimited, Inc. has offered to supply as many frames as Boulder Bikes wants at a cost of $49.50. Boulder Bikes anticipates needing 26,000 frames each year over the next few years.
N. Klein & Company had the following transactions in June. Using the matching concept, decide which of these transactions represented expenses for June a. Received orders for goods with prices totaling $25,000.00; Goods to be delivered in July b. Paid Office staff $9,750.00 for work performed in June c. Products in Inven
Biello Co. manufactures and sells medals for winners of athletic and other events. Its manufacturing plant has the capacity to produce 15,000 medals each month; current monthly production is 14,250 medals. The company normally charges $115 per medal. Cost data for the current level of production are shown below. Variable Cost
A state requires large merchants (i.e., those with sales over a specified dollar amount) to report and remit their sales taxes within fifteen days of the end of each month. It requires small' merchants to report and remit their taxes within fifteen days of the end of each quarter. In January 2012, large merchants remitted sal
Dawn Taylor is currently employed by the state Chamber of Commerce. While she enjoys the relatively short workweeks, she eventually would like to work for herself rather than for an employer. In her current position, she deals with a lot of successful entrepreneurs who have become role models for her. Dawn has also developed an
Should both favorable and unfavorable variances be investigated, or only the unfavorable ones? Explain.
The Economists' Approach to Pricing; Absorption Costing Approach to Cost-Plus Pricing Software Solutions, Inc., was started by two young software engineers to market SpamBlocker, a software application they had written that screens incoming e-mail messages and eliminates unsolicited mass mailings. Sales of the software have
(Expenditures Vs Expenses) Family Services, a small social service nonprofit agency, began operation on January 1, 20X1, with $40,000 cash and $150,000 woth of equipment, on which $60,000 was owed on a note to City Bank. The equipment was expected to have a remaining useful life of 15 years with so nalbage value. During its fir
BUDGETED SALES REVENUE $205000 ACTUAL MANUFACTURING OVERHEAD $340000 BUDGETED MACHINE HOURS 10000 BUDGETED DIRECT LABOUR HOUR 20000 BUDGETED DIRECT LABOUR RATE $14 BEDGETED MANUFACTURING OVERHEAD $364000 ACTUAL MACHINE HOURS 11000 ACTUAL DIRECT LABOUR HOURS 18000 ACTUAL DIRECT LA
1. a. Prepare separate financial statements reporting net income and return on sales for Aerospace and Electronics after the move where the expected lower fixed SGA of $3 million is allocated to the two divisions using: (1). Revenues as the allocation base. (2). Manufacturing cost as the allocation base. (3). Manufacturin
Making Good Use of Out-of-State Relatives. Please respond to the following: (The fact that a use tax has been implemented in order to prevent the avoidance of a sales tax indicates that the loss of revenue is recognized.) Discuss how common you believe this scenario may be and give example(s) to support your answer. - As a C
Describe the two major obligations incurred by a company when bonds are issued. Magda and Helga are discussing how the market price of a bond is determined. Magda believes that the market price of a bond is solely a function of the amount of the principal payment at the end of the term of a bond. Is she right? Discuss. A s
Answer the following four questions for the attached case on Schick Technologies.