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Financial Accounting & Bookkeeping

Cost vs Financial Accounting

1. How does cost accounting differ from financial accounting? Does this require the maintenance of two sets of information, or do they use the same information? When is cost accounting valuable to an organization?

Cost Accounting

The Fabulous Furniture Company manufactures three types of office furniture: Desks, Book Shelves, and Filing Cabinets. Segment data on sales and expenses for the past six months follow: Desks Book Shelves Filing Cabinets Sales $675,000

Cost Accounting

Shasta Company's flexible budget (in condensed form) for an expected activity level of 75,000 units of production based on 187,500 standard machine hours is provided below. Variable overhead $843,750 Fixed Overhead $1,406,250 Total Overhead $2,250,000 During 1997 the company's actual operating result

Cost Accounting

The standards for one case of Dimwits are: Direct materials 7.5 lbs @ $1.30 / lb Direct labor 5 hours @ $11 / hr Variable overhead (based on machine hours) 5 hours @ $6.50 /hr During the week ending September 28, the

Cost Accounting Multiple Choice Questions

31. Temme Inc., a retail establishment, expects to sell $450,000 of a particular item in October. Its gross profit percentage is 70 percent. The ending inventory in September of this item cost $18,000 and the company wants an ending inventory of $22,000. How much needs to be purchased? A) $131,000 B) $139,000 C) $446,000

Financial accounting and reporting

Please answer the following questions about financial accounting 1. Differentiate broadly between financial accounting and managerial accounting. 2. Differentiate between financial statements and financial reporting. 3. What are the major objectives of financial reporting? 4. What is the likely limitation of 'gen

Cost Accounting-NO CALCULATIONS

The growing, harvesting, sorting, and grading of oranges prior to manufacturing juice is part of the joint product cost. Based on the information in the scenario, determine the share of joint cost allocated to pulp-free juice and high-pulp juice. How is the joint cost allocated to each product? You may use the formulas: Jo

Address the three main areas the CEO has asked you to address

You have been invited to bid on an engagement to assist a new merchandising organization in developing its cost accounting systems. The CEO has moved up through the sales ranks and has little formal training in accounting or financial management. She plans to hire a CFO, but before doing so she has asked you, as part of your bid

Financial Accounting Cases

Assets, Liabilities, Gains and Losses A company is required to report a liability in its balance sheet when it expects to lose a law suit and the amount of the expected loss can be reasonably estimated. Conversely, a company is prohibited from reporting a receivable in its balance sheet when it expects to win a lawsuit even

Financial Accounting - Agency Theory

Agency Theory According to agency theory, the existence of debt imposes agency costs. Required: a. What are agency costs? b. Explain why an increase in debt would increase agency costs and what the resulting effect would be for debtholders. c. What strategy might debtholders utilize to counter potential adverse agency e

Exposure Drafts and Emerging Issues

Case 2-13 FASB Exposure Drafts and Emerging Issues Visit the FASB's home page on the World Wide Web. http://fasb.org/ Required: a. Review recently posted FASB Documents and Information to determine if any important new initiatives are being considered by the FASB. b. What exposure drafts are currently outstanding? c

Financial Accounting Multiple Choice Questions

1. The requirement that only transaction data capable of being expressed in terms of money be included in the accounting records relates to the a. cost principle. b. monetary unit assumption. c. economic entity assumption. d. both a and b above. 2. A financial statement that reports accounting data at a specific

Financial Accounting Multiple Choice Questions

The income statement and balance sheet columns of Grant Company's work sheet reflects the following totals: Income Statement Balance Sheet Dr. Cr. Dr. Cr. Totals $58,000 $50,000 $34,000 $42,000 1. The net income (or loss) for the period is a. $50,000

Accounting Problems

1. Blankinship, Inc., sells a single product. The company's most recent income statement is given below. Sales $200,000 Less variable expenses (120,000) Contribution margin 80,000 Less fixed expenses (50,000) Net income $ 30,000 Required: a. Contribution margin ratio is b. Breakeven point in total s

Cost Accounting and Variance

Problem 1. Production Budget (L03) Crystal Telecom has budgeted the sales of its innovative mobile phone over the next four months as follows: Sales in Units July ........................... 30,000 August ........................ 45,000 September .................... 60,000 October .................

ADVANCED COST ACCOUNTING MULTIPLE CHOICE QUESTIONS

ADVANCED COST ACCOUNTING MULTIPLE CHOICE QUESTIONS 1. Absorption costing measures contribution to profit as: A) Sales less unit- level costs spent of goods sold. B) Sales less absorption cost of goods sold. C) Sales less absorption cost of goods sold. D) Sales less all costs including operating expenses. 2. In a job-

Accounting and Financial Analysis Multiple Choice Questions

Eliminate the wrong answer (or write the answer A, B, C, or D next to the question). 9. Which of the following is not a stock exchange? A. NYSE B. NSADAQ C. AMEX D. NASD 12. General Motors, ExxonMobil, Coca Cola, and IBM, are a few of the big companies listed on what stock exchange? A. NYSE B. NSAD

Should North Manufacturing Order Pumps

North Manufacturing has a demand for 1,000 pumps each year. The cost of a pump is $50. It cost North Manufacturing $40 to place a order, and the carrying cost is 25% of the unit cost. If pumps are ordered in quantities of 200, North Manufacturing can get a 3% discount on the cost of pumps. Should North Manufacturing orders 200

ACCOUNTING What the Numbers Mean

Standard absorption cost per unit.. A cost analyst for Stamper Manufacturing Co. has assembled the following data about the Model 24 stamp pad: The piece of sheet metal from which six pad cases can be made costs $0.18. This amount is based on the number of sheets in a 4,000 pound bundle of sheet metal, which is the usual pur

Cost accounting

In this problem I need help calculating the dollar value of DimLok's current annual fixed costs, determinating the number of units that DimLok must sell in order to achieve both profit objectives considering all constraints. Also assuming that Don Barnes decides to sell 40,000 units at $200 per unit and 24,000 units at $180 per

Cost Accounting

How can I make a difference between a favorable and unfavorable variance?

Cost Accounting outsoursing

KC manufactures part KE456 used in several of its models. Monthly production costs for 1,000 units are as follows: Direct materials $ 40,000 Direct labor 10,000 Variable overhead costs 30,000 Fixed overhead costs 20,000 Total costs $100,000 It is estimated that 10% of the fixed overhead costs assigned to

Cost Accounting

Profits SBU's: Compairson of Variable and Full Costing Harvard Company manufactures hair brushes that sell at wholesale for $2 per unit. The company had no beginning inventory in 2004. These data summarize the 2004 and 2005 operations. (see chart in the attached file) Required: Prepare the following, using a spreadsh

2 Cost Accounting Questions

Kristen Langdon, the sales manager at a large bicycle manufacturer, has secured an order from a major department store that is due to ship on November 1. She is eager to please the department store in the hop of getting more future business. She asks Bryan Collins, the company's purchasing agent, to procure all necessary parts

Basic Financial Accounting Concepts and Analysis

Scenario: Andragon Manufacturing, a small private company, has recently hired you as their accounting department supervisor. You have been told that your role will also include some of the day-to-day accounting. John Edwards, the company's CEO and principal shareholder, has told you during your hiring interview that his str

Financial accounting

Scenario: Andragon Manufacturing, a small private company, has recently hired you as their accounting department supervisor. You have been told that your role will also include some of the day-to-day accounting. John Edwards, the company's CEO and principal shareholder, has told you during your hiring interview that his s

Cost Accounting

Barker Enterprises has met all production requirements for the current month and has an opportunity to produce additional units of product with its excess capacity. Unit selling prices and costs for three models of one of its product lines are as follows: No Standard

Cost Accounting

Uecker Enterprise expects sales of 20,000 units of DPI1000 in September. DPI1000 is its most popular high performance desktop model. The sales manager is confident that, between October and December, the total sales will have a 50% growth rate each month from the month before. Each unit requires 40 sets of Alpha-5 chip. The firm

Cost estimation equation

(See attached file for full problem description) --- Complete problem 11.45 in Hilton. As you complete the problem, refer to the following suggestions: You will be developing a cost estimating formula using three different approaches. a.      Using account analysis, it is suggested that costs be divide