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HITEC Manufacturers: Overhead Rate for Each Cost Driver

49. The HITEC Company manufactures multimedia equipment designed to be sold to universities. The company's southeastern plant has undergone production changes that have resulted in decreased usage of direct labor and increased usage of automated processes. As a result, management no longer believes that its overhead allocation m

Surfs Up: Calculate overhead rate, allocation, cost per unit, ABC

Spreadsheet please 45. Surfs Up manufactures surfboards. The company produces two models: the small board and the big board. Data regarding two boards are as follows: Products Direct Labor Hours per Units Annual Production Total Direct Labor Hours Big 1.5 10,000 boards 15,000 Small 1.0

Thiel Boots: Overhead Rates & Over or Under Applied Overhead

Thiel Boots Sales $1,000,000 Cost of goods sold direct materials 300,000 direct labor 160,000 est.overhead 240,000 700,000 Gross profit 300,000 Selling and adm expenses 175,000 Net income $125,000 Expected to sell 10,000 pairs of boot est. of production

Calculate incremental net income; investment in new receivables

Show all of your work. Q3. The Tanner Corporation is a highly successful marketer of raw leather to producers of various lines of leather products. The company is considering expanding by selling to makers or custom leather automobile seats. Tanner's marketing VP Estimates that this market can add $700,000 in new sales.

Could problems at Enron have been uncovered earlier?

1. Many analysts place more importance on the income statement than they do on the statement of cash flows. Do you think the problems at companies such as Enron would have been uncovered earlier if more emphasis was placed on the statement of cash flows? Why or why not?

prepare schedules for five accounting problems

Company A is a wholesale company that purchases items from manufacturers and sells them to retail establishments. On December 31, 2010 Company A had the following in ending inventory: Product Code Quantity Cost Each Current Replacement Cost Each YZ 1,970 $58 $63 CT 3,280 38 36 FA 1,640 51 57 GG 660 109 125 IR 1,3

When must a taxpayer pay AMT? What is AMT?

When is a taxpayer required to pay the AMT? What are the differences between the AMT and regular tax? What are the differences between tax preferences and adjustments concerning the AMT? What are some examples of each?

Book and tax depreciation

Book vs. Tax (MACRS) Depreciation Elwood Inc. purchased computer equipment on March 1, 2010, for $36,000. The computer equipment has a useful life of 10 years and a salvage value of $3,000. For tax purposes, the MACRS class life is 5 years. a) Assuming that the company uses the straight-line method for book and tax purpo

Identify the following costs as fixed or variable.

Identify the following costs as fixed or variable. Costs related top plane trips between San Diego, California, and Orlando, Florida, follow. Pilots are paid on a per trip basis. a. Pilots' salaries relative to the number of trips flown. b. Depreciation relative to the number of planes in service. Cost of refreshment re

Special Sales Orders for John Inc.

I need to understand this problem. Accept special sales orders? John Inc. is presently operating at 50% capacity and manufacturing 50,000 units of a patented electronic component. The cost structure of the component is as follows. Raw material $ 1.50 per unit Direct Labor 1.50 per unit Variable Overhead 2.00 per unit Fi

Various Approaches for Setting Transfer Prices

I need to describe and evaluate the various approaches for setting transfer prices. How can the use of different approaches between the selling and buying divisions be reconciled? It should be with a proper referencing as well. Thanks.

Comment on SEC has cracked down on what is referred to as "cookie jar reserves".

The Securities and Exchange Commission (SEC) has cracked down on what the SEC fondly refers to as "cookie jar reserves." In the eyes of the SEC, 'cookie jar reserves' are estimated liabilities that are too high and unrealistic. Then these unrealistic accruals can be dipped into during the bad times; put a cookie away in the good

Forensic Accounting: Scope of the audit for Torpus

Situation: Torpus is a small manufacturing company that produces and sells custom Plexiglas canopies for small airplanes and speed boats. In the most recent fiscal year, in the midst of one of the worst recession in more than 30 years, it reported a profit of about $40,000 on an asset base of $309,238. The company has been i

Relevant Cashflows for a Financial Analysis

Case: You purchase a truck for use in your business. It will replace an older truck you currently use for the same delivery purposes but will cost less to maintain (gas & service). What are the relevant cashflows for financial analysis? 1. Determine the cashflow for 1 year . Use the following facts: a. The New Truck Costs

Calculate the standard deviation of a three-asset portfolio

Calculate the standard deviation of a three-asset portfolio with the following data: Funds:............................S&P 500................Intermediate Treasury...................European Weights..............................50%.................................35%.....................................15% Mean.............

Tanner Bay's predetermined overhead rate; XYZ's total costs for Job #219

Tanner Bay Inc. has two departments, Assembly and Packaging. The company uses a job order costing system and computes a predetermined overhead rate in each department. The Assembly Department bases its rate on machine hours and the Packaging Department bases its rate on direct labor hours. At the beginning of the year, the compa

Accounting: Concepts & Applications

See file attached. PE 2-4 THE ACCOUNTING EQUATION PE 2-6 CURRENT ASSETS PE 3-16 JOURNAL ENTRIES PE 3-20 TRIAL BALANCE PROBLEM 17 -1 CALCULATING RATIOS

Ski Pro Corporation: Activity-Based Costing & Process Costing

Consider the following scenario: The Ski Pro Corporation, which produces and sells to wholesalers a highly successful line of water skis, has decided to diversify to stabilize sales throughout the year. The company is considering the production of cross-country skis. After considerable research, a cross-country ski line ha

Perry Corporation: Which expenses are Selling Expenses

Perry Corp. reports operating expenses in two categories: (1) selling and (2) general and administrative. The adjusted trial balance at December 31, 2010, included the following expense accounts: Accounting and legal fees $140,000 Advertising $120,000 Freight-out $75,000 Interest $60,000 Loss on sale of long-term invest

Journalize transactions for Trudy, Brainiac, Ingles, Herzogg and Hixon

Question 1 Trudy Company incurred the following costs. 1. Sales tax on factory machinery purchased $5,000 2. Painting of and lettering on truck immediately upon purchase 700 3. Installation and testing of factory machinery 2,000 4. Real estate broker's commission on land purchased 3,500 5. Insurance premium paid for first

Intangible assets: patent, franchise, advertising

I've been doing homework for hours and my brain has checked out...I need help working this problem, please. The intangible assets section of Redeker Company at December 31, 2008, is presented below. Patent ($70,000 cost less $7,000 amortization) $63,000 Franchise ($48,000 cost less $19,200 amortization) 28

Standards for Tax Service - Donations for Tax Reporting

A client, Mal Manley, fills out his client questionnaire for the previous year and on it provides information for the preparation of his individual income tax return. The IRS has never audited Mal's returns. Mal reports that he made over 100 relatively small cash contributions totaling $24,785 to charitable organizations. In the

Create an excel worksheet to calculate SSxx,SSyy, SSxy

(a) Make an Excel worksheet to calculate SSxx, SSyy, and SSxy. (b) Use the formulas to calculate the slope and intercept. (SEE Chart below) Part-Time Weekly Earnings by College Students Hours Worked (X) Weekly Pay (Y) 10 93 15 171 20

Robbins Real Estate, Lippizan Co, Bristol Co, Surepar Golf

See attached Excel for template. E2-4 Presented below is information related to Robbins Real Estate Agency, Inc. Oct. 1 Lynn Robbins begins business as a real estate agent with a cash investment of $20,000 in exchange for common stock. Oct. 2 Hires an administrative assistant. Oct. 3 Purchases office furniture for

Appeals Process Basics and Selected Items

1. Describe the steps in the appeal process for an individual tax payer. Define the following and give examples: a. gross income b. income excluded from tax c. imputed interest d. adjusted gross income e. standard deduction f. itemized deductions g. phaseouts h. kid

Dish Network & DirecTv Business: Need examples related to the field.

Dish Network & DirecTv based business which caters to commercial & residential properties. Need specific examples related to the field. Subtopic 1: problems associated with facility location Subtopic 2: problems associated with organizational control and employee relations Subtopic 3: product or service development