Share
Explore BrainMass

Management Accounting

Cost and Equity Methods

Define the cost and equity methods or accounting for an investment. Under what circumstances would you use the cost or equity method of accounting for an investment? Why are the percentages of ownership only a guideline when accounting for an investment? please provide a full response, approximately 200 words

Cash flows and net income

The following account balances relate to the stockholders' equity accounts of Gore Corp. at year-end. 2008 2007 Common stock, 10,500 and 10,000 shares, respectively, for 2008 and 2007 $160,000 $140,000 Preferred stock, 5,000 shares 125,000 125,000 Retained earnings 300,000 260,000 A small

Activity Cost Rates

I am in need of assistance producing activity cost rates for the following and a bill of activities, activity-based costing per unit. Noor Company produces four versions of its model J17-21 bicycle seat. The four versions have different shapes, but their processing operations and production costs are identical. During July,

Walnut Corporation operates a small medical lab in Kansas...

Walnut Corporation operates a small medical lab in Kansas, one that conducts minor medical procedures (including blood tests and x-rays) for a number of doctors. The lab consumes various medical supplies and is staffed by two technicians, both of whom are paid a monthly salary. In addition, there is an on-site office manager who

Please with classify cost

1.Following is a list of various costs incurred in producing frozen pizzas. With respect to production and sale of frozen pizzas, classify each cost as variable, fixed, or mixed. 1. Property insurance premiums, $1500 per month plus $0.005 for each dollar or property over $3,000,000. 2. Packaging 3. Hourly wages of inspectors

Break-Even & Target Profit Analysis & Operating Leverage

Please help me with these exercises. Also please make sure that when creating a excel spreadsheet that the exercises are identify with the exercises number and title. Thank you. 6-14 Break-Even and Target Profit Analysis Super Sales Company is the exclusive distributor for a revolutionary bookbag. The product sells for $60 p

Fixed Cost

Andre has asked you to evaluate his business, Andre's Hair Styling. Andre has five barbers working for him. (Andre is not one of them.) Each barber is paid $9.90 per hour and works a 40-hour week and a 50-week year, regardless of the number of haircuts. Rent and other fixed expenses are $1,750 per month. Hair shampoo used on all

Standard Cost

Question 47 During September, 40,000 units were produced. The standard quantity of material allowed per unit was 5 pounds at a standard cost of $2.50 per pound. If there was a favorable usage variance of $25,000 for September, the actual quantity of materials used must have been 210,000 pounds. 190,000 pounds.

Spiedino Company Managerial Questions

1 Why aren't actual overhead cost traced to jobs just as direct materials and direct labor cost are traced to jobs? 2. Spiedino Company sells its products to both residential and commercial customers in eight sales territories. In which of the following ways could Spiedino be segmented? a. By product and then further segment

Net cost of the call premium.

Buchanan Corp. is refunding $12 million worth of 10% debt. The corporation's tax rate is 35%. The call premium is 9%. What is the net cost of the call premium? Please show ALL work of how the answer was composed. A) $390,000 B)$1,080,000 C)$600,000 D) $702,000

Managerial Accounting

1.When the allocated amount of indirect costs are less than the actual amount, indirect costs have been: a. underallocated b. underapplied c. overabsorbed d. Both underapplied and underallocated are correct. 2.For 20X5, Marcotte's Animal Supply Manufacturing uses machine-hours as the only overhead

Cash conversion cycle.

You were recently hired as CFO to improve the performance of Dennis Systems, which is highly profitable but has been experiencing cash shortages due to its high rate of growth. As one part of your analysis, you want to determine the firm's cash conversion cycle. Using the following information and a 365-day year, what is your

H&R Block, Borders, Indian Motorcycle

H & R Block is a service company that prepares tax returns; Borders is a retail company that sells books and CDs; Indian Motorcycle Corporation is a manufacturing company that makes motorcycles. Show that you understand how these companies differ by giving for each one an example of a direct and an indirect cost, a variable and

Walden Green's Cost per Bale and Revenue per Bale

Walden Green provides custom farming services to owners of five-acre wheat fields. In July, he earned $2,400 by cutting, turning, and baling 3,000 bales. In the same month, he incurred the following costs: gas, $150; tractor maintenance, $115; and labor, $600. His annual tractor depreciation is $1,500. What was Green's cost per

Variable costing

Avant Designs and manufactures polished-nickle fashion bracelets. It offers two bracelets: Aztec and Mayan. The following data summarized budgeted operations for the current year: AVANT DESIGNS Summary of Budgeted Operations Current Year Aztec Mayan Sales price/unit $12 $15 Variable cost/unit $4 $5 Un

Managerial Accounting: 26 Questions

1. Which of the following items would not be classified as part of factory overhead? Direct labor used Amortization of manufacturing patents Production supervisors' salaries Factory supplies used 2. For which of the following businesses would the process cost system be appropriate?

Managerial Costs: 5 multi choice questions direct, indirect, variable, fixed

1. Classifying a cost as either direct or indirect depends upon: a. whether the cost can be easily identified with the cost object b. whether an expenditure is avoidable or not in the future c. the behavior of the cost in response to volume changes d. whether the cost is expensed in the period in which it is

Managerial Planning and Goal Setting

Managerial Planning and Goal Setting You are a sales director who is responsible for the southeastern sales team for a large telecommunications company. Currently you are in the process of preparing the sales goals for the coming year for your sales managers and their direct reports. Discuss the criteria for effective

Cost allocation

One year ago, Academic Hospital and nearby Western Hospital merged. As part of the merger, Academic Hospital eliminated its small maternity service, and Western Hospital eliminated most of its internal laboratory. The two hospitals are both owned by one parent organization, yet they remain distinct profit centers, with an "e

Rockness Bottling Activity Based Cost case study

See attached file for clarity. The Grape Cola caper. Howard Rockness was worried. His company, Rockness Bottling, showed declining profits over the past years despite an increase in revenues. With profits declining and revenues increasing. Rockness knew there must be a problem with costs. Rockness sent an email to his exec

Single drivers versus multiple drivers

Eagan Electrical Instruments Company estimates manufacturing support as 950% of direct labor cost. Eagan's controller, Jim Chang, is concerned that the actual manufacturing support activity costs have differed substantially from the estimates in recent months. He suspects that the problem is related to the use of only one cost

Management Accountants vs. Users

"Managerial accountants should understand the uses of accounting data, and users of data should understand accounting. Only in this way can accountants provide the appropriate accounting data for the correct uses." Do you agree with this statement? Why or why not?

Finance

1. What is the difference between free trade credit and costly trade credits? 2. What are some actions a firm can take to shorten its cash conversion cycle?