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    Cash Transaction Account Analysis for Certain Tax Filers

    Please read and give your thoughts on this. For an individual who files a Schedule C or F with their Form 1040, it is possible to prepare a cash transaction account analysis to determine the understatement of income. A cash transaction account analysis is an analysis of all of the cash received by the individual and all of th

    IRS Net Worth Method to Estimate Income

    The net worth method is an indirect balance sheet approach to estimating an individual's true income. To use the net worth method it is necessary to calculate the individual's net worth at the beginning and ending of the period in question. Starting with taxable income the methodology requires the addition of nondeductible livin

    Economics - Macrotown and Microtown Case Study

    The countries of Macrotown and Microtown have the production possibilities tables for sheep and hogs shown in the tables below. Without trade Macro would produce at Alternative D and Micro would also produce Alternative D. Note that the costs of producing sheep and hogs are constant in both countries. Macrotown Production

    Answer case questions: 5-36, 5-37, 6-49, 6-53

    See attached file. Assistance answering the questions and show all work in MS Excel or Word. 5-36 Special-Order Decision 5-37 Unit Costs and Total Costs 6-49 Hotel Pricing and Use of Capacity 6-53 Use of Available Facilities 5-36 Special-Order Decision Belltown Athletic Supply (BAS) makes game jerseys for athlet

    Renteria Company: Compute manufacturing overhead rate, under and over applied

    See attached file. E20-5 Renteria Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $305,000 for the year, and machine usage is estimated at 125,000 hours. For the year, $322,000 of overhead costs are incurred and 130,000 hours are used. Compu

    Depreciation deductions in income tax returns

    1A. Mickey Gillespie is the controller of Print Technologies, a publicly owned company that the company is experiencing financial difficulties and is aggressively looking for ways to cut costs. Suzanne Bedell, the CEO, instructs Gillespie to lengthen from 5 to 10 years the useful life used in computing depreciation on cert

    13-49 Complete blanks for variance amounts; use F or U for each

    Consider the following data regarding factory overhead: Variable Fixed Budget for actual hours of input $45,000 $70,000 Applied 41,000 64,800 Budget for standard hours allowed for actual output achieved ? ? Actual incurred 48,500 68,500 Using the above data, fill in the following blanks with the variance amounts. Use

    13-48 Overhead Variances for Rivera Company

    Consider the following data for the Rivera Company: Factory Overhead Fixed Variable Actual incurred $14,200 $13,300 Budget for standard hours allowed for output achieved 12,500 11,000 Applied 11,600 11,000 Budget for actual hours of input 12,500 11,400 From the above information, fill in the blanks below. Be sure to

    13-45 Variable and Absorption Costing for Chan Manufacturing Company

    Chan Manufacturing Company data for 20X7 follow: Sales: 12,000 units at $17 each Actual production 15,000 units Expected volume of production 18,000 units Manufacturing costs incurred Variable $120,000 Fixed 63,000 Nonmanufacturing costs incurred Variable $ 24,000 Fixed 18,000 1. Determine operating income for 20X7

    13-B3 Youngstown Manufacturing Comparison of Variable and Absorption Costing

    Consider the following information pertaining to a year's operations of Youngstown Manufacturing: Units sold 1,400 Units produced 1,600 Direct labor $4,200 Direct materials used 3,500 Fixed manufacturing overhead 2,200 Variable manufacturing overhead 300 Selling and administrative expenses (all fixed) 700 Beginning inv

    For the year ended December 31, 2010, Transformers Inc. reported the following: Net income $ 60,000 Preferred dividends declared, $10,000 Common dividend declared, $2,000 Unrealized holding loss, net of tax; $1,000 Retained earnings $80,000 Common stock, $40,000 Accumulated Other Comprehensive Income, Beginning Balance 5,000 What would Transformers report as its ending balance of Accumulated Other Comprehensive Income?

    5. (TCO C) For the year ended December 31, 2010, Transformers Inc. reported the following: Net income $ 60,000 Preferred dividends declared, $10,000 Common dividend declared, $2,000 Unrealized holding loss, net of tax; $1,000 Retained earnings $80,000 Common stock, $40,000 Accumulated Other Comprehensive Income, Beginn

    Unearned rent at 1/1/10 was $7,300 and at 12/31/10 was $8,000. The records indicate cash receipts from rental sources during 2010 amounted to $40,000, all of which was credited to the Unearned Rent Account. You are to prepare the missing adjusting entry. Please indicate DR (debit ) or CR (credit) to the left of the account title, and place a comma between the account title and the amount of the adjustment.

    Unearned rent at 1/1/10 was $7,300 and at 12/31/10 was $8,000. The records indicate cash receipts from rental sources during 2010 amounted to $40,000, all of which was credited to the Unearned Rent Account. You are to prepare the missing adjusting entry. Please indicate DR (debit ) or CR (credit) to the left of the account title

    Accounting: Provide the Missing Adjusting Entry

    Allowance for doubtful accounts on 1/1/10 was $50,000. The balance in the allowance account on 12/31/10 after making the annual adjusting entry was $65,000, and during 2010 bad debts written off amounted to $40,000. You are to provide the missing adjusting entry. Please indicate DR (debit) or CR (credit) to the left of t

    Cost Accounting in Excel

    Please help complete the attached exercise Mitsu Corporation produces two types of flat screen televisions. The standard televisions are designed for durability. The company recently began producing the higher quality, high grade model to appeal to dedicated watchers. Since the introduction of the high grade product, profi

    Percentage Change in the Demand for Foreign Travel

    If there has been a 10 percent increase in consumer income between two periods, what was the percentage change in the demand for foreign travel? For tobacco products? For flour? Use the income elasticity values in the table below. Commodity Income Elasticity Wine (

    Real Estate and Taxes...

    Real estate is the cornerstone of many investment portfolios. If the government took away the tax benefits, do you think people would still invest in real estate? Why or why not?

    Leeds Architectural Consultants: Predetermined Overhead Rate

    Leeds Architectural Consultants began operations on January 2. The following activity was recorded in the company's Work in Process account for the first month of operations: Work in Process Costs of subcontracted work 230,000 To completed projects 390,000 Direct staff costs 75,000 Studio overhead 120,000 Leeds Arc

    Duke Plumbing and Wallpaper Company is a corporation that has been in business since 1990. During the current year, it has the following property transactions: a. A warehouse purchased in 2000 for $200,000 is sold for $180,000. Depreciation taken on the building to date of sale totals $62,000. b. Wallpaper that cost $60,000 becomes obsolete when a new type of wallpaper is developed. Duke is unable to sell the wallpaper and ends up throwing it in the trash. c. Two of Duke's service trucks collide in the parking lot, destroying both trucks. The older truck cost $18,000 and had an adjusted basis of $5,000. Its fair market value of $9,000 is reimbursed by Duke's insurance company. The newer truck was purchased 3 months earlier for $22,000. It has a fair market value of $18,000, which is reimbursed by Duke's insurance company. d. Plumbing equipment purchased in January for $6,000 is sold in November for $4,000. The equipment was advertised as being the easiest of its kind to use in installing new plumbing fixtures. However, it is so complicated to operate that none of Duke's employees can figure out how to use it, and Duke decides it is easier to do the work the old-fashioned way. e. Duke's computer system becomes obsolete and is sold for $1,500. Duke paid $15,000 for the system 4 years earlier and has taken $11,500 in depreciation on the system as of the date of sale. f. Because the 2 service trucks that were destroyed (in part c) have to be replaced, Duke decides to sell its other service truck and buy 3 new trucks. The third service truck cost $19,000 two years earlier and has an adjusted basis of $14,000. Duke receives $15,000 from the sale of the truck. g. An antique plumbing plunger for which Duke had paid $4,000 and which was fully depreciated is sold for $7,000. h. Duke decides not to replace the warehouse it sold in part a. The office building it erected in 2001 at a cost of $140,000 to service the warehouse is no longer of any use and is sold for $162,000. The office building has an adjusted basis of $122,000. For each of these transactions, determine the gain or loss that must be recognized on the transaction and the character of the gain or loss. Determine the effect of all the transactions on Duke's taxable income for the year.

    Duke Plumbing and Wallpaper Company is a corporation that has been in business since 1990. During the current year, it has the following property transactions: a. A warehouse purchased in 2000 for $200,000 is sold for $180,000. Depreciation taken on the building to date of sale totals $62,000. b. Wallpaper that

    Crown sold property to Leary but no exchange price

    On January 1, 2010, Crown Company sold property to Leary Company. There was no established exchange price for the property, and Leary gave Crown a $2,000,000 zero-interest-bearing note payable in five equal annual installments of $400,000, with the first payment due December 31, 2010. The prevailing rate of interest for a note o

    Calculating the Business Impact of Accepting a Special Order

    A customer has offered to buy a special order of 100 units of D for $60 each. This sale will not impact any other part of your business and you have excess capacity to produce this special order and will produce these extra units if you accept the order. How would this impact the business - would you be better off and by how muc

    Explanation of PERT-CPM, Decision Analysis, and EOQ

    1. PERT & CPM Widgetco is about to introduce a new product. One unit of this product is produced by assembling subassembly 1 and subassembly 2. Before production begins on either subassembly, raw materials must be purchased and workers must be trained. Before the subassemblies can be assembled into the final product, the f

    IRS decision and after-tax cost

    Ms. T. Potts, the treasurer of Ideal China, has a problem. The company has just ordered a new kiln for $ 400,000. Of this sum, $ 50,000 is described by the supplier as an installation cost. Ms. Potts does not know whether the Internal Revenue Service ( IRS) will permit the company to treat this cost as a tax- deductible current

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