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Fund Accounting and Recognizing Revenue

What are the basic principles of fund accounting? When do governmental entities recognize revenue? Why is timing important in recognizing revenue? 352 words

Computation of Basic and Diluted EPS

P 16-7 attached Charles Austin of the controller's office of Thompson Corporation was given the assignment of determining the basic and diluted earnings per share values for the year ending December 31, 2011. Austin has compiled the information listed below. The company is authorized to issue 8,000,000 shares of $10 par value

The Carolina Company prepares lumber for companies

The Carolina Company prepares lumber for companies who manufacture furniture. The main product is finished lumber with a byproduct of wood shavings. The byproduct is sold to plywood manufacturers. For July, the manufacturing process incurred $332,000 in total costs. Eighty thousand board feet of lumber were produced and sold alo

Computing cash flows from operating activities- indirect method

Computing cash flows from operating activities- indirect method: Street cellular accountants have assembled the following data for the year ended june 30, 2012: Cash receipt from sale of land 29,000 Net income 64,000 Depreciation expense 19,000 Purchase of equip

Accounting for R & D Costs

1. Accounting for R & D Costs Martinez Company incurred the following costs during 2010 in connection with its research and development activities. Cost of equipment acquired that will have alternative uses in future R & D projects over the next 5 years (uses straight-line depreciation). $330,000 Mater

The rule of 72 -grad level

The "rule of 72" states that the number of periods "n" that it will take to double an investment whose rate of return is "r" percent is approximately 72/r. That is, nr is approximately equal to 72. Verify this approximation for r = 4,6,8 and 10.

Evaluating payment alternatives

Suppose you can earn a 6-month return of 2.5% on invested cash. Which is a better deal:$1000 at the end of 1 year or $495 at the end of 6 months and another $495 at the end of 12 months?

Accounting Problems

1. Classic Irons, Inc. purchased Manufactoring equipment with an expected useful life of five years or 5,000 hours of usuage. The equipment was purchased on January 1, 2008 for $460,000. It is expected to have a salvage value of $60,000 at the end of five years. During 2008, the equipment was used for 1,200 hours. Assume the usa

Total overhead variance

The predetermined overhead rate for Weed-B-Gone is $10, comprised of a variable overhead rate of $6 and a fixed rate of $4. The amount of budgeted overhead costs at normal capacity of $300,000 was divided by normal capacity of 30,000 direct labor hours, to arrive at the predetermined overhead rate of $10. Actual overhead for Jun

Overhead rate

The following information was taken from the annual manufacturing overhead cost budget of Coen Company. Variable manufacturing overhead costs $69,300 Fixed manufacturing overhead costs $41,580 Normal production level in labor hours 23,100 Normal production level in units 5,775 Standard labor hours per unit 4 Durin


The primary objective in job order costing is to determine the cost of materials, labor, and factory overhead used to produce a specific order or contract. Cost estimates are made when the order is taken, and the job order procedures are designed to reveal costs as the order goes through production, thereby giving an opportunity

Conducting Intercompany Transactions

Please help with the following accounting problem. Provide at least 300 words in the solution. Include references. Find information in company footnotes about the intercompany transactions.

Biven Corporation Balance Sheets

1. Biven Corporation's balance sheet and income statement appear below: BALANCE SHEETS 2006 2005 ASSETS Cash & equivalents $35,000 $30,000 Accounts receivable 54,000 49,000 Inventory 67,000 58,000 Plant & equipment 580,000 530,000 Accumulated depreciation (316,000) (313,000) Total As

Accounting Problem

3. The management of Wengel Corporation is considering dropping product B90D. Data from the company's accounting system show revenue and cost for product B90D below: Sales $720,000 Variable expenses $374,000 Fixed manufacturing expenses

Accounting Problem

2. The most recent monthly income statement for Benner Stores is given below: Store A Store B Total Sales $400,000 $600,000 $1,000,000 Variable expenses 160,000 420,000 580,000 Contribution margin 240,000 180,000 420,000 Traceable fixed expenses 100,000 200,000 300,000 Store segment margin

Accounting Problem

1. Saalfrank Corporation is considering two alternatives that are code-named M and N. Costs associated with the alternatives are listed below: Supplies costs 43000 43000 Assembly costs 43000 56000 Power costs 26000 26000 Inspection costs 19000 26000 Required: a

Accounting Problem

Ulrich Company has a Castings Division which does casting work of various types. The company's Machine Products Division has asked the Castings Division to provide it with 20,000 special castings each year on a continuing basis. The special casting would require $12 per unit in variable production costs. In order to have time

What are the statutory requirements of Section 351?

What are the statutory requirements of Section 351? What is the definition of control under Section 351? Why does Congress require shareholders to control a corporation to receive a preferential tax treatment? When might a taxpayer not want to meet the requirements of Section 351?

The evolution of joint ventures into business corporation

The nineteenth century witnessed the evolution of joint ventures into business corporation. Discuss how the emergence and growth of the corporate form of business affected perceptions regarding the role of the accounting profession in financial reporting in England and the United States.

Reliable Provision Company: Overstated or understated Income

The net income of Reliable Provision Company decreased sharply during 2007. Clay Rollins, owner of the store, anticipates the need for a bank loan in 2008. Late in 2007, he instructed the accountant to record a $70,000 sale of recreational gear to the Smith family, even though the goods will not be shipped from the manufacturer

Accounting multiple choice

31) _____ budgeting is when budgets are formulated with the active participation of all affected employees A. Financial B. Team C. Participative D. Shared 32) A sales forecast is _____. A. a prediction of sales under a given set of conditions B. the result of decisions to create cond

Debt tax shield

A company issues a one-year bond with a face value of $25 million. The bond has a coupon rate of 8%. What are the minimum (accounting) earnings that the company has to have in order to fully capture the debt tax shield.

Help answer, show work, and provide explanation

The Canadian Instruments Company uses the decentralized form of organizational structure and considers each of its divisions as an investment center. The Toronto Division is currently selling 15,000 air filters annually, although it has sufficient productive capacity to produce 21,000 units per year. Variable manufacturing cos

Income Taxes and Stock Transactions

1. McDowell Corp has an income tax rate of 35%, taxable income of $662,000, and income before income tax of $597,000. Which of the following would be included in the entry to record income tax expense? a. Prepaid income tax is credited for $231,700 b. Income tax payable is credited for $208,950 c. Income tax expense is de

explain who is in the sample and in the population on survey

National polls are often conducted by asking the opinions of a few thousand adults nationwide and using them to infer the opinions of all adults in the nation. Using what you know, explain who is in the sample and who is in the population for such polls. EXAMPLE: Hello! I saw a poll on TV the other day. It was a simple po

Gross Margins for Stowers Corporation Manufacturers

Stowers Corporation manufactures products J, K, and L in a joint process. Here is cost data for a recent month, up to the split-off point in the joint process: Direct materials used $ 200,000 Direct labor 100,000 Manufacturing overhead Variable 200,000 Fixed 400,000 Total manufacturing costs prior to split-off $ 900,0