Valmont, Inc., experienced the following events in 2012, in its first year of operations. 1. Received $20,000 cash from the issue of common stock. 2. Performed services on account for $50,000. 3. Paid the utility expense of $12,500. 4. Collected $39,000 of the accounts receivable. 5. Recorded $9,000 of accrued sal
Are you more likely to choose to become a preferred shareholder over a common shareholder? why?
I would need assistance on the accounting exercise problems attached. 1. The common stock of Bugs & Thugs, Inc. is currently selling at $110 per share. The board decides to increase share volume prior to a new issue. The per share par value is $10; book value is $60 per share. 10m shares are outstanding and issued. a) Pro
1. A manufacturer of thermostats uses a kanban system to control the flow of materials. The packaging center processes 10 thermostats an hour and receives completed thermostats every 30 minutes. Containers hold 5 thermostats each. How many kanbans are needed for the packaging center? (Round your answer to 1 decimal place
2. Carlos Gonzales is production manager at an assembly plant that manufactures cordless telephones. The company is planning to install a pull system. The process is being planned to have a usage rate of fifty pieces per hour. Each container is designed to hold ten pieces. It takes an average of thirty minutes to complete a cyc
Explain some different ways that members succeed in gaining power and influence in the workplace. Assess and explain a time when you gained power and influence in your own workplace. How successful was it?
Consider the following: The Local Literacy Council provides 99% of its services through volunteer tutors and those tutors can be anything from housewives to college students to store clerks to accountants to attorneys. Under FASB could these donated services be recognized with a dollar value? How might that affect the financ
Let's talk about donated services. Clearly unique to nonprofits (well, I've never heard of anyone willingly donating their time and efforts to General Motors, but I guess it's possible) - What does FASB say about donated services? What do you think of the comment regarding the issue of the value of services being reliably measu
FASB has special rules for reporting on private health care organizations. And of course, if the health care organization is associated with government (as an SPE), then GASB rules. What are the similarities and differences in the accounting practices between the two? We've been discussing about the different standard settin
So we know that all three models (private, investor owned, and public schools) have distinctions on which a standards setting body provides their accounting rules. We also know that they all use accrual accounting (economic resource measurement focus). One of the reasons it is important to distinguish between them is knowing whi
Obtain the relevant authoritative literature on product financing arrangements using the FASB's Codification Research System. You might gain access at the FASB website (www.fasb.org). What is the specific citation that provides guidance for determining whether an arrangement involving the sale of inventory is in substance a
4. Clayton Company produces a single product. Last year, the company's variable production costs totaled $8,000 and its fixed manufacturing overhead costs totaled $4,800. The company produced 4,000 units during the year and sold 3,600 units. Assuming no units in the beginning inventory: A) under variable costing, the units i
1. Sam and Denny's ice cream shop charges $1.7 for a cone. Variable expenses are $0.34 per cone, and fixed costs total $2,200 per month. A "sweetheart"promotion is being planned for the second week of February. During this week, a person buying a cone at the regular price would receive a free cone for a friend. It is estimated
Ottawa Corporation owns machinery that cost $20,000 when purchased on July 1, 2007. Depreciation has been recorded at a rate of $2,400 per year, resulting in a balance in accumulated depreciation of $8,400 at December 31, 2010. The machinery is sold on September 1, 2011, for $10,500. Prepare journal entries to (a) update d
Quantum Technology had $640,000 of retained earnings on December 31, 2010. The company paid common dividends of $30,000 in 2010 and had retained earnings of $500,000 on December 31, 2009. How much did Quantum Technology earn during 2010 and what would earnings per share be if 40,000 shares of common stock outstanding?
Collegiate Products produces and sells padded stadium seats emblazoned with a university logo. The company has the capacity to produce as many as 6,000 seats per month but consistently averages much less. When 4,500 seats are produced, each seat has $5 of variable costs and $2 of fixed overhead costs allocated to it. The seats typically sell for $25 each. The company has been approached by a small college who wishes to purchase 500 seats for special alumni at a price of $5 per seat. If the special order weres accepted, net income would be?
Collegiate Products produces and sells padded stadium seats emblazoned with a university logo. The company has the capacity to produce as many as 6,000 seats per month but consistently averages much less. When 4,500 seats are produced, each seat has $5 of variable costs and $2 of fixed overhead costs allocated to it. The seats t
1. Cost-Volume-Profit Analysis or Break-even Analysis Blue Ridge Ski Resort produces a variety of snow skis. Snow skis are produced in large batches and 10 batches are produced per year. The company's controller has recently implemented an activity-based costing (ABC) system. The following information is also available: Averag
Why might investment strategies designed to avoid taxes contradict the principles of efficient diversification? Please discuss in detail and provide 2 quality references.
What do you view as the biggest differences between governmental accounting and for-profit financial accounting? Explain your rationale.
Please help me to answer this question. What role did the accounting profession play in the recent sub prime mortgage crisis? What could they have done differently?
1 Crabtree Inc. produces two types of products -Ã? Gizmos and Gadgets. The following information is available related to each product: Gizmos Gadgets Sales price per unit $80 $50 Variable costs per unit 36 22 Three-fourths of the products sold are Gizmo
Assuming the following ratios are constant, what is the sustainable growth rate? Total Assets/sales 1.0 Net income/sales .1 Debt/equity .3 Dividends/net income .4
The expected return for the asset shown in the following table is 18.75%. If the return distribution for the asset is described as below, what is the standard deviation for the asset's returns? Return Probability .10 .25 .20
Why are research and development costs expensed? Is this consistent with how other similar costs are handled? Explain why or why not. Should research and development costs be expensed? Explain why or why not.
If a company's net income is increasing, but its cash flows from operating activities are decreasing, a possible cause is that the company is 1. making substantial expenditures on new equipment 2. using substantial amounts of cash to pay off its loans 3. increasing its inventory at a faster rate than its sales revenu
Depreciation, as the term is used in accounting, means: 1. The accumulation of cash to replace equipment when it wears out. 2. The physical deterioration of an asset. 3. The allocation of the cost of equipment to expense in the periods in which services are received from the asset. 4. The journal entry used to adj
A company's adjusting entry for uncollectibles at year-end would include 1. Debit to bad debts expense. 2. Credit to accounts receivable. 3. Debit to accounts receivable. 4. Debit to allowance for uncollectible accounts.
As of December 31, International Galleries, Ltd.'s general ledger account for Prepaid Advertising Expense had a balance of $10,000. However, an analysis of the account showed that $6,000 of that amount was for ads in the Daily Tribune newspaper that had been published during December. As of December 31, Tribune Newspaper Publishing, Inc.'s general ledger account for Unearned Advertising Revenue had a balance of $8,000. However, an analysis of the account showed that $6,000 of that amount was for International Galleries' ads that had been published during December. Which of the following adjusting entries would be appropriate on Daily Tribune's books? 1. Debit Advertising Revenue for $6,000. 2. Debit Unearned Advertising Revenue for $6,000. 3. Credit Unearned Advertising Revenue for $2,000. 4. None of the above.
As of December 31, International Galleries, Ltd.'s general ledger account for Prepaid Advertising Expense had a balance of $10,000. However, an analysis of the account showed that $6,000 of that amount was for ads in the Daily Tribune newspaper that had been published during December. As of December 31, Tribune Newspaper Publish
See the attached file. 1. Prepare the December 31, 2009, stockholders' equity section of the balance sheet assuming that the company reports net income of $72,000 for the year. Paid-in capital 8% Preferred stock, $29 par value, 50,000 shares authorized, 5,000 shares issued and outstanding $ Common stock, $5 p
During the year, Olsen Company traded an automobile plus $8,400 in cash to Barry Company for another automobile. The car Olsen used as a trade-in originally had cost $16,000, of which $14,500 has been depreciated. Olsen also purchased new office furniture during the year. The list price of the furniture was $9,600. Olsen p