If a petty cash fund is established in the amount of $250, and contains $150 in cash and $95 in receipts for disbursements when it is replenished, the journal entry to record replenishment should include credits to which of the following accounts? A. Petty Cash, $100 B. Cash, $95; Cash Over and Short, $5 C. Cash, $100 D.
Daniel LLC incurred the following cost in the month of October: Material $55,000 Labor $46,000 Factory Overhead $23,000 There was no beginning inventory. Ending work in process was 10,000 units at 50 percent complete. 15,000 units were completed and transferred out. Prepare a cost of production
The following information is available from the annual reports of Lucky Company and Broke Company Lucky Broke Sales 26,510 34,512 Gross profit 6610 8887 Net Income
4B-1 Direct Method Seattle Western University has provided the following data to be used in its service department cost allocations. Service Departments Operating Departments Administration Facility Undergraduate Graduate Services Programs Programs Department c
Discuss the trend for each ratio and what it tells you about the organization's financial health. Ratios are attached. 2008 Ratio Calculations Wal-Mart 2008 Current ratio = (Current Assets)/(Current Liabilities) Current ratio = (47,585 (m))/(58,454 (m)) Current ratio = 0.814 Debt Ratio = (Total Debt)/(Total Asset
1. Why is it better to refer to the costs, rather than values, of assets such as plant or inventories? 2. Depreciation is cost allocation, not valuation? Is this correct? Why or why not? 3. What types of companies would you expect to have unearned revenues (or deferred revenues) on their balance sheets?
The chairman of the board of directors of the company for which you are the chief accountant has told you that he has little use for accounting figures based on cost. He believes that replacement values are of far more significance to the board of directors than out-of-date costs. Present several arguments to convince the ch
ONLY HIGHLIGHTED AREAS OF THE ATTACHMENT 13. The following information was extracted from the accounts of Colaw Corporation at December 31, 2007: CR(DR) Total reported income since incorporation $750,000 Total cash dividends paid (400,000) Cumulative effect of changes in accounting principle (60,000)
Use the information below for the year ended December 31, 20xx, to prepare the statement of cost of goods manufactured. Inventories Beginning Ending Materials inventory $41,000 $ 51,000 Work in process inventory 62,000 78,000 Direct materials purchased 258,000 Total direct labor costs 372,000 Total indirect labor costs
See attached file for clarity. Management accounting differs from financial accounting in many ways. Indicate with an "X" in the appropriate column whether each of the following characteristics relates to financial accounting, management accounting, or neither. Financial Accounting Management Accounting Neither Primary U
Byp3-5 In reviewing the accounts of Keri Ann Co. at the end of the year, you discover that adjusting entries have not been made. Instructions Write a memo to Keri Ann Nickels, the owner of Keri Ann Co., that explains the following: the nature and purpose of adjusting entries, why adjusting entries are needed, and the typ
1. RNO Company's market for the Model 55 has changed significantly, and RNO has had to drop the price per unit from $265 to $125. There are some units in the work in process inventory that have costs of $150 per unit associated with them. RNO could sell these units in their current state for $100 each. It will cost RNO $10 pe
1 A company has $27 per unit in variable costs and $1,000,000 per year in fixed costs. Demand is estimated to be 100,000 units annually. What is the price if a markup of 40% on total cost is used to determine the price? A) $51.80 B) $37 C) $27 D) $37.80 2 True or False: Firms that have high levels of fixed costs have lo
Problem 7-2 a Protecting Cash Osage Farm Supply had poor internal control over its cash transactions. Facts about the company's cash position at November 30 are described below. The accounting records showed a cash balance of $ 35,400, which included a deposit in transit of $ 1,245. The balance indicated in the bank statement
1. The budgeted amount of selling and administrative expense for a period can be found here a. sales budget. b. cash budget. c. pro forma income statement. d. pro forma balance sheet. 2. In multiple-product firms, the product that has the highest contribution margin per unit will a. generate more profit for
4-2. Account analysis: Lancer Audio produces a high-end DVD player that sells for $1250. Total for July operating expenses were as follows: Units produced and sold 140 Component cost 67000 Supplies
See attached file for clarity. Incomplete manufacturing costs, expenses, and selling data for two different cases are as follows. Instructions (a) Indicate the missing amount for each letter. (b) Prepare a condensed cost of goods manufactured schedule for Case 1. (c) Prepare an income statement and the current assets se
This solution is comprised of detailed explanations and definitions of several financial terms. Find the definitions of the most common and complex financial terms and definitions.
Define the following terms and identify their role in finance: a. Finance b. Efficient Market c. Primary Market d. Secondary Market e. Risk f. Security g. Stock h. Bond i. Capital j. Debt k. Agency Problem l. Risk - Return Trade Off m. Return on Inv
Barletta Corporation has one service department and three producing departments. The budget for the following year allocates the service department costs to the producing departments based on the number of employees in each department. Currently, the budget for the service department is $2,400,000 and the number of employees in
Charlottetown Powder Company produces powder in batches. Each powder can be sold in its current condition or processed further and specialized for high priced department stores. Data concerning the various products appear below. Joint processing costs are $200,000. Required: (a) Determine which products should be sold
Crazy Cool Colas prepares specialty-flavored sodas for large grocery chains and bakeries. The company employs a process-costing system. Most of the basic ingredients, labeled Material Group A, are added at the beginning of the mixing process. However, to give the sodas the special "sizzle" they are named for, the company adds a
Monrovia Corporation manufactures two models of its product named "Model One" and "Model Two." In the past, Monrovia had been using a traditional overhead allocation system based solely on machine hours. Total overhead costs were estimated as follows: ..............................................Estimated Activity.....
Factory overhead is applied at a rate of $50 per machine hour. The beginning and ending balances of work in process and finished goods are zero. All goods manufactured are sold. Other information includes the following: Cost of goods sold $ 6,000,000 Direct labor $ 2,000,000 Direct labor hours used 100,000 hours
BE22- 1 Valdez Company uses both standards and budgets. For the year, estimated production of Product X is 500,000 units. Total estimated cost for materials and labor are $ 1,000,000 and $ 1,600,000. Compute the estimates for (a) a standard cost and (b) a budgeted cost. BE22- 2 Hideo Company accumulates the following data co
Walton Manufacturing Company was started on January 1, 2008, when it acquired $85,000 cash by issuing common stock. Walton immediately purchased office furniture and manufacturing equipment costing $10,000 and $54,000, respectively. The office furniture had a five-year useful life and a zero salvage value. The manufacturing equi
EXERCISE 23.10 Preparing a Flexible Budget LO6 The flexible budget at the 70,000-unit and the 80,000-unit levels of activity is shown below. (see attached file for data) Complete the flexible budget at the 90,000-unit level of activity. Assume that the cost of goods sold and variable operating expenses vary direct
INTERPRETING FINANCIAL STATEMENTS BYP13-4 The Coca-Cola Company and PepsiCo, Inc. provide refreshments to every corner of the world. Selected data from the 2004 consolidated financial statements for The Coca-Cola Company and for PepsiCo, Inc., are presented here (in millions). Coca-Cola PepsiCo Total current
What is cost accounting and how do we best use it?
1- What are some of the advantages and disadvantages of standard costs? How do managers determine what the standard cost should be? Describe the effect of inaccurate standard costs on financial reporting 2- When should variances be investigated? Who should be responsible for correcting a negative variance? Why? What are
Solve the following problems. Show all your calculations. You may use the space provided. (If you prefer to use Excel or add supplemental pages within this document, please clearly identify the problem number.) 11. Messinger Manufacturing Company had the following account balances for the quarter ending March 31, unless ot