AHDI Corporation uses a job-costing system at its plant. The plant has a machining department and a finishing department. The machining department allocates overhead to the jobs based on machine hours and the finishing department allocates overhead to the jobs based on direct labor costs. The budget for the plant is as follo
Spreadsheet Assignment Karman Company has two different bonds currently outstanding. Both bonds have a par value of $26,500 and a maturity of 19 years. The required return on both bonds is 10 percent, compounded semiannually. Bond M makes no payments for the first 7 years, then pays $1,600 every six months over the su
Forensic Accounting and Fraud Examination Case Study 1: And the Fraud Continues 1. Discuss the internal control weaknesses that existed at MCI that contributed to the commission of this fraud. 2. Identify and justify the approach you would take if you suspected fraudulent activity within an organization where you work. 3
1. Compare and contrast the deductive, inductive and pragmatic research methods. 2. Discuss human information processing research and the consequences of its findings on accounting. 3. Describe all sources of accounting information that could contribute to an investor's decision to buy, hold or sell a stock. 4. Eva
7-2 Brookwood Medical Center - What motivated the managers to build a new cost system? How does the reciprocal method allocate indirect costs to revenue-producing departments?
See attached 7-2 Brookwood Medical Center "In 1990, a major insurer asked us to bid on performing all of their open-heart surgeries in the Southeast United States. We prepared a bid by puiling charges on all (not just Medicare) patients we had treated in the four diagnostic related groups (DRGs) and applying the hospit
How important is it that an organization have an exclusive right to exercise a real option? That is, can we really say that an option being considered has value if competitors may exercise it also?
GASB Statement 34 is a pretty big deal in government accounting. It mandates that governments' basic financial statements include two separate but related sets of statements. 1. What are these two separate but related sets of statements? What are their different purposes? What is the fundamental difference between the two? 2
1. Jan. 2 Invested $10,000 cash in business in exchange for common stock. 3 Purchased used car for $4,000 cash for use in business. 9 Purchased supplies on account for $500. 11 Billed customers $1,800 for services performed. 16 Paid $200 cash for advertising. 20 Received $700 cash from customers bill
How would applying a flat tax decrease errors, when the progressive tax rates is just a simple formula? How would you measure gross income? Do you think that deductions should be eliminated? Which ones and why?
1. Sentilles, Inc., a calendar year S corporation, incurred the following items this year. a. Calculate Sentilles's nonseparately computed income. b. How much ordinary income or loss is reported by Brittany Nelson, a 25% shareholder? § 1231 gain $ 11,000 Tax-exempt interes
Section 61 of the IRS Code defines income as "income from whatever source derived unless otherwise excluded." In determining income, several key concepts have evolved from this definition. Explain the following concepts and provide at leas one example of each. Explain which concept you think is most beneficial from a taxpayer's
For a transaction as a like kind exchange the property must received by the earlier of the due date including extension of the return for the year in which the transfer of the property being exchange occurred or by what day after the property given up in the exchange is transferred. A. 30 days after the transfer B. 60 days a
William Stevenson sold his warehouse to a public utility for $24,000 under a threat of condemnation. He paid $25000 for the property and spent an addition $1000 for a new roof. He had claimed $3600 depreciation in conjunction with the condemnation award, Mr. Stevenson paid $201 in legal fee. Mr. Stevenson A. Realize no gain
Before completing form 6252 and 4797 for an installment sale of real property, the tax professional would manually A. Determine the gain on the sale for each year of the installment sale B. Determine the return of capital and installment of gain on the sale C. Determine the interest to be paid for each year of the installme
1. January 2008, Shari purchased a $20,000 piece of equipment for exclusive use in his business. She claimed a $6,000 section 179 deduction and $6,654 MACRS depreciation. She sold the equipment in November 2010 for $7,000. What is the amount and type of gain or loss and where on form 4797 does Shari report the sale? A. $346 s
Please help me with an assignment by discussing the following questions: Are the tax consequences of the formation of a partnership similar to those of S corporations? How? If there are differences, how and why are they different? Please include some references for further investigatory purposes.
ACC423 - Intermediate Accounting II Problem 1: The following information pertains to OMV Company for 2013: Deferred Tax Liability, January 1: $76,000 Related Cumulative Temporary Difference December 31: $240,000 Pretax Accounting Income: $627,000 Taxable Income: $502,000 Tax Rate: 38% The cumulative temporary di
A customer has asked Clougherty Corporation to supply 4,000 units of product M97, with some modifications, for $40.10 each. The normal selling price of this product is $48.00 each. The normal unit product cost of product M97 is computed as follows: Direct Material - $18.50 Direct Labor - $1.20 Variable Mfg OH - $8.40 Fixe
See attached article file. 1. Explain the purpose of the article 2. Provide an overview of the article and keep topics 3. If you agree with the article, do you feel the IRS handles Tax fraud fairly and the CPA doe enough to protect the client? If you disagree with the article, what should the IRS do to conduct and pr
State and Local tax questions 1. Westinghouse raises the question as to the constitutional status of various tax incentives designed to induce in-state location. Are investment tax credits and similar credits limited to in-state expenditures under a constitutional cloud after Westinghouse? What about the practice of limiting
To elect S corporation status, all of the shareholders must consent to the election. This is very different from most decisions that a corporation may make. After all, most decisions (including the decision to revoke S corporation status and go back to being to being a C corporation) require only a simple majority of shareholde
You are CEO of a natural resources company, and your offices are located prominently in downtown. About noon, one day, a bunch of environmental protestors show up in your lobby with signs labeling you as a polluter. They spread some substance on the floor of your lobby. Needless to say, the media have been invited. What
Accounting: Fraud Betty King is the new controller at EZdot.com. The previous controller was fired for incompetence. Ezdot.com has some severe cash-flow problems that have become exacerbated by the recent acquisition of another firm. The financials of both EZ and the other firm are as clear as Mississippi mud. The new compan
Less than 300 words answering why an investor may assert that "A company cannot grow faster than its sustainable growth rate."
An investor asserts: "A company cannot grow faster than its sustainable growth rate." True or false? Explain why. Just less than 300 words answering why an investor may assert, "A company cannot grow faster than its sustainable growth rate." References.
Company applies manufacturing overhead to products on the basis of standard machine hours. For most recent month, company based its budget on 4,400 machine hours. Budgeted and actual overhead costs for the month are: Variable OH: Budgeted Actual Supplies 21,500
Zaccagnino Corporation makes a range of products. The company's predetermined overhead rate is $14 per direct labor-hour, which was calculated using the following budgeted data: Variable manufacturing overhead........$105,000 Fixed manufacturing overhead............$385,000 Direct labor-hours................................
1. High-Low Points Method BEYONDBIKES.COM considers electricity a mixed cost. By using a scatter chart, George has determined that there is a relationship between electricity expense and the number of hours per month the store is open. During the past year, electricity expense totaled $7200 in the month that the store was o
Shenanigans book goes through seven "standard" techniques of misrepresentation for earnings and four for cash flow. Does Sarbanes-Oxley help prevent these situations? (i.e., why didn't Sarbanes-Oxley protect us from the financial sector melt-down?) Also, one can discuss "how did these occur" in terms of rule-based vs. princi
The cigarette industry is subject to litigation for health hazards posed by its products. The industry has been negotiating a settlement of these claims with state and federal governments. As the CFO for Philip Morris, one of the larger firms in the industry, what information would you report to investors in the annual report on
As the CFO of a company, what indicators would you look at to assess whether your firm's long-term assets were impaired? What approaches could be used, either by management or an independent valuation firm, to assess the dollar value of any asset impairment? As a financial analyst, what indicators would you look at to assess whe