The manager of the manufacturing unit of a company is responsible for the costs of the manufacturing unit. The president is in the process of deciding whether to evaluate the manager of the manufacturing unit by the average cost per unit or the variable cost per unit. Quality and timely delivery would be used in conjunction with
Harold's roof repair has provided the following data concerning it costs: Fixed Cost per Month Cost per repair-hour Wages and Salaries............$21,380 $15.80 parts and supplies
Olympia Bivalve farms and sells oysters in the pacific northwest.The company harvested and sold 7,000 pounds of oysters in july. The company's flexible for July appears below: Olimpia Bivalve flexible budget
Jackie's is a large, locally-owned general retail business operating out of a single location. A condensed version of their most recent annual segmented income statement is given below (all amounts in thousands of dollars). Company Dept A Dept B Depts C-F Sales $3,450 $ 345 $690 $2,415 COGS 1,538 179 3
Product J is one of the many products manufactured and sold by Gooble Company. An income statement by product line for the past year indicated a net loss for Product J of $7,250. This net loss resulted from sales of $265,000, cost of goods sold of $186,500, and operating expenses of $85,750. It is estimated that 30% of the cost
Presented here is an aging schedule for Zimmerman Company. Please see attachment. Customer Total Not Yet Due Number of Days Past Due 1â?"30 31â?"60 61â?"90 Over 90 Aaron $22,000 $12,000 $10,000 Barry 40,000 40,000 C
Dan in Florida wants to trade Liz in New York: Dan's rental property is worth $350,000. Dan's adjusted basis is $200,000. Liz's rental property is worth $650,000 and has a $250,000 mortgage that will be assumed by Dan. Dan will also give Liz $50,000 in cash at closing. Liz's adjusted basis is $400,000. What
The factory overhead costs (maintenance department) are allocated to products based on the number of hours of maintenance use by each product line. The maintenance department has fixed costs of 500,000 and variable costs of 25 per hour of maintenance provided. The variable costs include the salaries of the maintenance workers. More maintenance workers can be added if greater maintenance is demanded by the other departments without affecting the fixed costs of the maintenance department. The maintenance department expects to provide 20000 hours of maintenance.
The factory overhead costs (maintenance department) are allocated to products based on the number of hours of maintenance use by each product line. The maintenance department has fixed costs of 500,000 and variable costs of 25 per hour of maintenance provided. The variable costs include the salaries of the maintenance workers. M
Geballe Industries is a division of a major corporation. Last year the division had total sales of $21,420,000, net operating income of $2,270,520, and average operating assets of $6,000,000. The company's minimum required rate of return is 10%. Question What is the division's margin? What is the division's turnover? W
The table below shows the differences in accounting treatments for goodwill in three selected countries. Accounting for goodwill in selected countries United States - No-to expense immediately; No-to charge to equity; No*-tax deductible Canada - No-to expense immediately; No-to char
The management of Wallingford MicroBrew is considering the purchase of an automated bottling machine for $93,500. The machine would replace an old piece of equipment that costs $43,000 per year to operate. The new machine would cost $13,000 per year to operate. The old machine currently in use could be sold now for a scrap value
Issa Company manufactures a personal computer designed for use in schools and markets it under its own label. Issa has the capacity to produce 25,000 units a year but is currently producing and selling only 15,000 units a year. The computerââ?¬â?¢s normal selling price is $1,600 per unit with no volume discounts. The unit-l
Last year the return on total assets in Jeffrey Company was 8.5%. The total assets were 2.9 million at the beginning of the year and 3.1 million at the end of the year. The tax rate was 30%, interest expense totaled $110 thousand, and sales were $5.2 million. Net income for the year was: A) $145,000 B) $222,000 C) $33
Distributions from Clampett, Inc., How much gain must the SA general partnership recognize on the transfer of these assets from Sue and Andrew? What is Brett's outside tax basis in his LLC interest?
23- Clampett, Inc. (an S corporation) previously operated as a C corporation. Distributions from Clampett, Inc. are deemed to be paid in the following order: A. The AAA account, prior C corporation earnings and profit, shareholder's remaining stock basis B. Shareholder's remaining stock basis, the AAA account, prior
Taxes: What is the tax impact to a taxable corporation or an S corporation when it makes a property distribution to a shareholder? and more....
9- Beth's business purchased only one asset during the current year. It placed in service machinery (7-year property) on December 1 with a basis of $50,000. Calculate the maximum depreciation expense (ignoring Section 179 or bonus expensing) 10- Ilene rents her second home. During 2009, Ilene reported a net loss of $15,000 fr
Taxation: Court opinion, Series EE bond interest, child tax credit, casualty loss, Sec 1231 netting, maximum depreciaiton
3- Jaime recently found a "favorable" trial level court opinion directly on point for her tax question. Which trial level court would he prefer to have issued the opinion? 4- Sam saved diligently for his college education by putting part of his pay into U.S. Series EE saving bonds. Sam purchased the bonds for $6,500, and this
Should a company's accounting department be centralized or decentralized? Why? The first sentecse should be a thesis which answers the question directly.
Explain the impact of occupational fraud and abuse on the company. Explain the four potential corruption schemes to be aware of within the company?
An individual taxpayer sells some used assets in a garage sale. Why are none of the proceeds taxable in most situations? What usually constitutes evidence of a "sale" of property for tax purposes? What is the difference between a "worthless security" and "1244 stock"? How is it possible to have a casualty gain from t
Assume that you are a CPA working for an accounting firm. Please respond to the following: Discuss the advice you give to your clients regarding: o Planning for Retirement o Planning for Children's Education o Disability Planning
How can undetected fraud or accounting abuse affect a company?
1) Define variable and fixed costs. Comment on how these costs are used to estimate future requirements. 2) Discuss how contribution margin is used by managers for decision making. 3) Define full costing and give an example how full costing is applied and used by managers to make good business decisions.
(One Temporary Difference, Future Taxable Amounts, One Rate, Beginning Deferred Taxes) Bandung Corporation began 2007 with a $92,000 balance in the Deferred Tax Liability account. At the end of 2007, the related cumulative temporary difference amounts to $350,000, and it will reverse evenly over the next 2 years. Pretax accounti
Read the case-The Wegmanâ??s Way. What do you think is the key crucial factor that account for the Wegmanâ??s success? Would you suggest that other supermarkets should copy its way? Why?
Read the case-The Wegmanâ??s Way. What do you think is the key crucial factor that account for the Wegmanâ??s success? Would you suggest that other supermarkets should copy its way? Why? look at the attachment
The following information is for the third quarter of this year: Planned Actual Production 92,000 units 87,000 units Direct labor hours 506,800
All Sports Company's production manager, Chris Adler, had requested to have lunch with the company president. Adler wanted to put forward his suggestion to add a new product line. As they finished lunch, Meg Thomas, the company president, said, "I'll give your proposal some serious thought, Chris. I think you're right about the
Wells and Severson are manufacturing companies. Comparative data for 20X1 and 20X7 are as follows: WELLS SEVERSON Sales Revenue 20X1 $5,660,000,000 $7,658,000,000
Problem 1. The following information is for a product manufactured and sold by Rivera Corporation: Sales price per unit, $30 Variable cost per unit, $20 Total fixed costs, $200,000 Last year, Rivera earned a profit of $60,000 Required: 1) How many units did Rivera sell last year? 2) Rivera's managers are considering dec
2. Elite Industries is a division of Nifco, a diversified manufacturer whose divisions are profit centers. Elite makes a single product, X47, in its plant, which has a capacity of 18,000 units/month. At the normal volume of 10,000 units/month, X47 has a unit cost of $750, consisting of: direct materials, $260; direct labor, $180
Shown below are the amounts from the stockholders' equity section of the balance sheets of Wasson Corporation for the years ended December 31, 2010 and 2011. 2011 2010 Stockholders' equity: Capital Stock