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# Accounting

### Simpson Corporation After-tax cash flow from sale of asset

Please use the attachment to answer this question. Simpson Corporation has taxable income of \$300,000 and an income tax rate of 34%. Simpson is considering selling an asset whose original cost is \$20,000, with \$12,000 of it depreciated. How much total after-tax cash will be generated from the sale of the asset for \$18,000?

### Analyzing costs reductions at Dell, Inc.

See attached files. Analyzing costs reductions at Dell On May 31, 2007, Dell Inc. announced it was making several changes to the way it did business in order ". . . to restore competitiveness to the core business, re-ignite growth, and build solutions critical to customer needs." As one of the changes the company: Initiat

### Accounting Financial Ratios and Analysis

Problem One: Mason Company has a product that sells for \$20 per unit. The variable expenses are \$12 per unit, and fixed expenses total \$30,000 per year. Required: (a). What is the total contribution margin at the break-even point? (b). What is the contribution margin ratio for the product? (c). If total sales increase by \$

### Installment Method & Cost Recovery

On December 15, 2011, Rigsby Sales Co. sold a tract of land that cost \$3,600,000 for \$4,500,000. Rigsby appropriately uses the installment sale method of accounting for this transaction. Terms called for a down payment of \$500,000 with the balance in two equal annual installments payable on December 15, 2012, and December 15, 20

### Variance Analysis Illustrated

Variance Analysis. Discuss and illustrate analysis using data that you create. What type of meaningful conclusion can emerge from variance analysis? Explain.

### Is Jaycee's current operating environment one of excess capacity or no excess capacity? Briefly explain.

Jaycee Manufacturing, which produces electrical components, is contemplating submitting a bid for 30,000 units of item no. 54. The bid's cost will be follows: Raw materials \$ 75,000 Direct labor \$120,000 Manufacturing overhead \$150,000 Additional Set-up costs \$ 3,000 Special device \$ 5,000 Allocated administrative ov

### Slugger Corporation produces baseball bats for kids that It sells for \$35 each. At capacity, the company can produce 60,000 bats a year.

Slugger Corporation produces baseball bats for kids that It sells for \$35 each. At capacity, the company can produce 60,000 bats a year. The costs of producing and selling 60,000 bats are as follows: Cost Per Bat Total Costs Direct materials \$15 \$900,000 Direct manufacturing labor 4 240,000 Variable manufacturing overhead

### St. Mark's Hospital Occupancy Rates, Variable Costs, Fixed Costs

See attached file for clarity. St. Mark's Hospital contains 450 beds. The average occupancy rate is 78% per month. In other words, on average, 78% of the hospital's beds are occupied by patients. At this level of occupancy, the hospital's operating costs are \$21.10 per occupied bed per day, assuming a 30-day month. This \$21.1

### Importance of FASB standards for Financial Reporting.

Why is it important that the FASB sets standards for financial reporting? Why is it important that the financial reports are done in a way that are useful to the users?

### Pension: expected annual retirement income

Delbert Ray is planning to retire this year and draw upon the accumulated saving in his pension plan, which amount to \$205,800. Mr.Ray is vested with 80 percent of the accumulated funds and, based on his life expectancy, has been promised an annual annuity (income) rate of 3.5 percent. What is Delbert Ray's expected annual retir

Select and research an advertising agency. Assist in writing a page overview and evaluation of the agency. Your evaluation should be written in two sections. The first section should describe the agency's unique aspects, strengths, services, approach to marketing communications, specialties, client list, and so forth. The second

### Why is it important to constantly monitor fixed assets

Why is it important to constantly monitor all of your fixed assets? What role do these assets play in your organization's financial well-being?

### Special Decisions

How do managers go about making segment or product line elimination decisions?

### Variable Cost Element, Fixed Cost Element & Total Overhead

Sawaya Co., Ltd., of Japan is a manufacturing company whose total factory overhead costs fluctuate considerably from year to year according to increases and decreases in the number of direct labor-hours worked in the factory. Total factory overhead costs (in Japanese yen, denoted ¥) at high and low levels of activity for recent

### Managerial Accounting - Cost Accounting

Espresso Express operates a number of espresso coffee stands in busy suburban malls. The fixed weekly expense of a coffee stand is \$800 and the variable cost per cup of coffee served is \$.67. Fill in the following table with your estimates of total costs and cost per cup of coffee at the indicated levels of activity for a cof

### Exchange lacking commercial substance

Equipment that cost \$66,000 and has accumulated depreciation of \$30,000 is exchanged for equipment with a fair value of \$48,000 and \$12,000 cash is received. The exchange lacked commercial substance. The gain to be recognized from the exchange is a. \$4,800 gain. b. \$6,000 gain. c. \$18,000 gain. d. \$24,000 gain. The new

### Capitalization vs. Expense for expenditures on an apartment building

Capitalization vs. Expense. Rentals R Us incurs the following expenditures on an apartment building it owns: Item Amount Replace the roof \$25,000 Repaint the exterior 7,000 Install new locks

### I:6-33 For or From AGI Deductions for Roberta who is employed by an accounting firm

I:6-33 For or From AGI Deductions. Roberta is an accountant employed by a local firm. During the year, Roberta incurs the following unreimbursed expenses: Item Amount Travel to client locations \$750 Subscriptions to professional journals

### payables, collections, manufacturing costs

1. Wateredge Corporation has budgeted a total of \$361,800 in costs and expenses for the upcoming quarter. Of this amount, \$45,000 represents depreciation expense and \$7,300 represents the expiration of prepayments. Wateredge's current payables balance is \$265,000 at the beginning of the quarter. Budgeted payments on current paya

### Accounting: reporting earnings per share

During the fiscal year ended September 30, 2011, Worrell, Inc., had a 2-for-1 stock split and a 5% stock dividend. In its annual report for 2011, the company reported earnings per share for the year ended September 30, 2010, on a restated basis, of \$0.60. Calculate the originally reported earnings per share for the year ende

### Tax treatment: gambling debt

Joe owes willy \$5,000 from an old gambling debt. Discuss the tax treatment for the \$5,000 to both Joe and Willy.

### taxable sources of income

The instructions accompanying the Federal income tax return (Form 1040) provide examples of items that must be included in gross income, but do not list all possible types of income subject to tax. Would these instructions be improved if they included a complete listing of taxable sources of income? Indicate the source of your o

### Alternative Income Statements and Decision Making

Question 1: What are some examples of how alternative income statements are used in decision making? What are the two types of approaches in using alternative income statements? What is cost behavior and how does it impact a financial analysis? What processes does your company or a previous employer use to analyze cost behavior

### Net income and earnings per share calculation

During the year ended December 31, 2011, Gluco, Inc., split its stock on a 3-for-1 basis. In its annual report for 2010, the firm reported net income of \$3,703,920 for 2010, with an average 268,400 shares of common stock outstanding for that year. There was no preferred stock. Required: (a) What amount of net income for 20

### Calculate Cash Sources or Cash Uses

** Please see the attached file for the complete problem details ** For each of the items, calculate the cash sources or cash uses that should be recognized on the statement of cash flows for the year ended December 31, 2010.

### Calculating Basic Earnings per Share: Ringemup Inc. Example

Ringemup, Inc., had net income of \$473,400 for its fiscal year ended October 31, 2010. During the year the company had outstanding 38,000 shares of \$4.50, \$50 par value preferred stock, and 105,000 shares of common stock. Required: Calculate the basic earnings per share of common stock for fiscal 2010. (Round your answer t

### Calculate gross profit

A. Calculate the gross profit ratio for each of the past three years. b. Assume that Intel's net revenues for the first four months of 2009 totaled \$12.6 billion. Using the 2008 gross profit ratio from above, calculate an estimated cost of goods sold and gross profit for the four months. See attachment for data and detail

### Use Solver in Excel to Help Maximize Profit

See attached file. Please put in Solver Excel - show steps for Solver.