Fall Accounting Dissertation Assistance

Fall Accounting Dissertation Assistance
avatar
Published: 2 weeks ago

Fall Accounting Dissertation Assistance

categories:   Online course help
37. Jesper, Inc., has a number of divisions including a Furniture Division and a Motel Division. The...
Jesper, Inc., has a number of divisions including a Furniture Division and a Motel Division. The Motel Division owns and operates a line of budget motels located along major highways. Each year, the Motel Division purchases furniture for the motel rooms. Currently, it purchases a basic dresser from an outside supplier for
$42. Carrie Burnside, manager of the Furniture Division, has approached George








Sanchez, manager of the Motel Division, about selling dressers to the Motel Divi- sion. Carrie has researched the dresser costs and determined the following costs:

Direct materials $ 8
Direct labor 4
Variable overhead 3
Fixed overhead 12
Total manufacturing cost $27
Currently, the Furniture Division has capacity to produce 75,000 dressers but is only producing 60,000. The Motel Division needs 10,000 dressers per year.

Required
1. What is the maximum transfer price? The minimum transfer price? Should the transfer occur?
2. Suppose that Carrie and George agree on a transfer price of $30. What is the benefit to each division? What is the benefit to the company as a whole?
3. Suppose that the Furniture Division were operating at capacity. What would be the maximum transfer price? The minimum transfer price? Should the transfer take place in this case? Why or why not?
38. What internal control procedures would you recommend in each of the following situations?
1. A concession company has one employee who sells towels, coolers, and sunglasses at the beach. Each day, the employee is given enough towels, coolers, and sunglasses to last through the day and enough cash to make change. The money is kept in a box at the stand.
The company could ut
2. An antique store has one employee who is given cash and sent to garage sales each weekend. The employee pays cash for any merchandise acquired that the antique store resells
39. Mogilny Company paid $135,000 for a machine. The Accumulated Depreciation—Equipment account
Mogilny Company paid $135,000 for a machine. The Accumulated Depreciation—Equipment account has a bal- ance of $46,500 at the present time. The company could sell the machine today for $150,000. The company president believes that the company has a “right to this gain.” What does the president mean by this statement? Do you agree?
40. Explain how CVP analysis can be used for managerial planning.
1. Explain how CVP analysis can be used for managerial planning.
2. Describe the difference between the units-sold approach to CVP analysis and the sales-revenue approach.
3. Define the term break-even point.
4. Explain why contribution margin per unit becomes profit per unit above the break-even point.
5. A restaurant owner who had yet to earn a monthly profit said, “The busier we are, the more we lose.” What do you think is happening in terms of contribution margin?
41. NVP Perit Industries has $100,000 to invest. The company is trying to decide between two alternative uses of the funds.
Perit Industries has $100,000 to invest. The company is trying to decide between two alternative uses of the funds. The alternatives are:

Project A Project B
Cost of equipment required $100,000 $0
Working capital investment required $0 $100,000
Annual cash inflows $21,000 $15,750
Salvage value of equipment in six years $8,000 $0
Life of the project 6 years 6 years
________________________________________
The working capital needed for project B will be released at the end of six years for investment elsewhere. Perit Industries' discount rate is 14%. (Ignore income taxes.)

Solve this problem using your financial calculator or Excel, NOT the tables in the chapter.



1. Calculate the NVP for project B?
42. 4. The Haney Company has a standard costing system. Variable manufacturing overhead is applied on...
4. The Haney Company has a standard costing system. Variable manufacturing overhead is applied on the basis of direct labor-hours. The following data are available for January:

· Actual variable manufacturing overhead: $25,500
· Actual direct labor-hours worked: 5,800
· Variable overhead spending(rate) variance: $600 Favorable
· Variable overhead efficiency variance: $2,475 Unfavorable

The standard hours allowed for January production is (Worth 4 pts.):
(Appendix for question 5) Santiesteban Corporation's standard wage rate is $13.00 per direct labor-hour (DLH) and according to the standards, each unit of output requires 7.9 DLHs. In March, 8,600 units were produced, the actual wage rate was $12.30 per DLH, and the actual hours were 65,600 DLHs.
5. What is the journal entry to record the incurrence of direct labor costs in March? (Worth 4 pts.)
43. Jarden Company has credit sales of $3,600,000 for year 2017. On December 31, 2017, the company’...
Jarden Company has credit sales of $3,600,000 for year 2017. On December 31, 2017, the company’s Allowance for Doubtful Accounts has an unadjusted credit balance of $14,500. Jarden prepares a schedule of its December 31, 2017, accounts receivable by age. On the basis of past experience, it estimates the percent of receivables in each age category that will become uncollectible. This information is summarized here.
December 31, 2017
Accounts Receivable Age of
Accounts Receivable Expected Percent Uncollectible
$ 830,000 Not yet due 1.25 %
254,000 1 to 30 days past due 2.00
86,000 31 to 60 days past due 6.50
38,000 61 to 90 days past due 32.75
12,000 Over 90 days past due 68.00

2. Prepare the adjusting entry to record bad debts expense at December 31, 2017.
44. The ledger of American Company has the following work in process account. Work in Process—P...
The ledger of American Company has the following work in process account.
Work in Process—Painting
5/1 Balance 3,890 5/31 Transferred out ?
5/31 Materials 5,840
5/31 Labor 2,630
5/31 Overhead 1,780
5/31 Balance ?

Production records show that there were 530 units in the beginning inventory, 30% complete, 1,760 units started, and 1,540 units transferred out. The beginning work in process had materials cost of $2,440 and conversion costs of $1,450. The units in ending inventory were 40% complete. Materials are entered at the beginning of the painting process.




I NEED HELP WITH:
a) How many units are in process at May 31?
Units in process at May 31:
b) What is the unit materials cost for May?
(Round unit costs to 2 decimal places, e.g. 15.25.)
Unit materials cost $:
c) What is the unit conversion cost for May?
(Round unit costs to 2 decimal places, e.g. 15.25.)
Unit conversion cost $:
d) What is the total cost of units transferred out in May?
Total cost of units transferred out:
e) What is the cost of the May 31 inventory?
Cost of the May 31 inventory $:

45. Amitabh and Babul are partners sharing profits in the ratio of 3:2, with capitals of Rs. 50,000 and.
Amitabh and Babul are partners sharing profits in the ratio of 3:2, with capitals of Rs. 50,000 and Rs. 30,000 respectively. Interest on capital is agreed @ 6% p.a. Babul is to be allowed an annual salary of Rs. 2,500. During the year 2016-17, the profits prior to the calculation of interest on capital but after charging Babul’s salary amounted to Rs. 12,500. A provision of 5% of the profit is to be made in respect of commission to the Manager.
Prepare Profit and Loss Appropriation account showing the distribution of
profit and the partners’ capital accounts for the year ending March 31, 2017.
46. Use the following information for questions 12 and 13. Bloom and Carnes share profits and losses in.
Use the following information for questions 12 and 13.

Bloom and Carnes share profits and losses in a ratio of 2:3, respectively. Bloom and Carnes receive salary allowances of $10,000 and $20,000, also respectively, and both partners receive 10% interest based upon the balance in their capital accounts on January 1. Partners’ drawings are not used in determining the average capital balances. Total net income for 2006 is $60,000. If net income after deducting the interest and salary allocations is greater than $20,000, Carnes receives a bonus of 5% of the original amount of net income.
Bloom Carnes
January 1 capital balances $ 200,000 $ 300,000
Yearly drawings ($1,500 a month) 18,000 18,000

LO3
12. What are the total amounts for the allocation of interest, salary, and bonus, and, how much over-allocation is present?

a. $60,000 and $0.
b. $80,000 and $20,000.
c. $83,000 and $0.
d. $83,000 and $23,000.

LO3
13. If the partnership experiences a net loss of $20,000 for the year, what will be the final amount of profit or (loss) closed to each partner’s capital account?

a. ($30,000) to Bloom and $10,000 to Carnes.
b. ($10,000) to Bloom and ($10,000) to Carnes.
c. ($8,000) to Bloom and ($12,000) to Carnes.
d. $10,000 to Bloom and ($30,000) to Carnes.

LO3
14. The XYZ partnership provides a 10% bonus to Partner Y that is based upon partnership income, after deduction of the bonus. If the partnership's income is $121,000, how much is Partner Y's bonus allocation?

a. $11,000.
b. $11,450.
c. $11,650.
d. $12,100.

LO3
15. Drawings

a. are advances to a partnership.
b. are loans to a partnership.
c. are a function of interest on partnership average capital.
d. *are the same nature as withdrawals.

LO4
16. If the partnership agreement provides a formula for the computation of a bonus to the partners, the bonus would be computed

a. next to last, because the final allocation is the distribution of the profit residual.
b. before income tax allocations are made.
c. after the salary and interest allocations are made.
d. in any manner agreed to by the partners.

Use the following information for questions 17, 18 and 19.

Davis has decided to retire from the partnership of Davis, Eiser, and Foreman. The partnership will pay Davis $200,000. Goodwill is to be recorded in the transaction as implied by the excess payment to Davis. A summary balance sheet for the Davis, Eiser, and Foreman partnership appears below. Davis, Eiser, and Foreman share profits and losses in a ratio of 1:1:3, respectively.

Assets
Cash $ 75,000
Inventory 82,000
Marketable securities 38,000
Land 150,000
Building-net 255,000
Total assets $ 600,000

Equities
Davis, capital 160,000
Eiser, capital 140,000
Foreman, capital 300,000
Total equities $ 600,000
LO5
17. What goodwill will be recorded?

a. $40,000.
b. $120,000.
c. $160,000.
d. $200,000.

LO5
18. What partnership capital will Eiser have after Davis retires?

a. $100,000.
b. $140,000.
c. $180,000.
d. $220,000.

LO5
19. What partnership capital will Foreman have after Davis retires?

a. $240,000.
b. $300,000.
c. $360,000.
d. $420,000.

LO6
20. In a limited partnership, a general partner

a. is excluded from management.
b. is not entitled to a bonus at the end of the year.
c. has limited liability for partnership debit.
d. has unlimited liability for partnership debit.
47. 82.The following information is available from the current period financial statements: Net...
82.The following information is available from the current period financial statements:
Net income$175,000
Depreciation expense28,000
Increase in accounts receivable16,000
Decrease in accounts payable21,000
The net cash flow from operating activities using the indirect method is
a. $166,000
b. $184,000
c. $110,000
d. $240,000
83.On the statement of cash flows, the cash flows from investing activities section would include
a.receipts from the issuance of capital stock
b.payments for dividends
c.payments for retirement of bonds payable
d.receipts from the sale of investments
84.A building with a book value of $54,000 is sold for $63,000 cash. Using the indirect method, this transaction shouldbe shown on the statement of cash flows as follows:
a.an increase of $54,000 from investing activities
b.an increase of $63,000 from investing activities and a deduction from net income of $9,000
c.an increase of $9,000 from investing activities
d.an increase of $54,000 from investing activities and an addition to net income of $9,000
85.Cash paid for equipment would be reported on the statement of cash flows in
a.the cash flows from operating activities section
b.the cash flows from financing activities section
c.the cash flows from investing activities section
d.a separate schedule
86.If a gain of $11,000 is realized in selling (for cash) office equipment having a book value of $55,000, the totalamount reported in the cash flows from investing activities section of the statement of cash flows is
a. $44,000
b. $11,000
c. $55,000
d. $66,000
87.Which of the following types of transactions would be reported as a cash flow from investing activity on thestatement of cash flows?
a.issuance of bonds payable
b.issuance of capital stock
c.purchase of treasury stock
d.purchase of noncurrent assets
88.Land costing $140,000 was sold for $173,000 cash. The gain on the sale was reported on the income statement asother income. On the statement of cash flows, what amount should be reported as an investing activity from thesale of land?
a. $173,000
b. $140,000
c. $313,000
d. $33,000
89.Equipment with an original cost of $75,000 and accumulated depreciation of $20,000 was sold at a loss of$7,000. As a result of this transaction, cash would
a.increase by $48,000
b.decrease by $7,000
c.increase by $55,000
d.decrease by $27,000
90.On the statement of cash flows, the cash flows from financing activities section would include
a.receipts from the sale of investments
b.payments for the acquisition of investments
c.receipts from a note receivable
d.receipts from the issuance of capital stock
91.Cash dividends paid on capital stock would be reported in the statement of cash flows in
a.the cash flows from financing activities section
b.the cash flows from investing activities section
c.a separate schedule
d.the cash flows from operating activities section
48. 1. "As a practical matter, planning and control mean exactly the same thing." Do you agree? Explain.
1. "As a practical matter, planning and control mean exactly the same thing." Do you agree? Explain.
2. What is a static planning budget?
3. What is a self-imposed budget? What are the major advantages of self-imposed budgets? What caution must be exercised in their use
49. The Dapper-Dons Partnership was formed ten years ago as a general partnership to...
The Dapper-Dons Partnership was formed ten years ago as a general partnership to custom tailor men’s clothing. Dapper-Dons is located at 123 Flamingo Drive in City, ST, 54321. Bob Dapper manages the business and has 40% capital and profits interest. His address is 709 Brumby Way, City, ST, 54321. The partnership values its inventory using the cost method and did not change the method used during the current year. The partnership uses the accrual method of accounting. Because of its simplicity, the partnership is not subject to the partnership audit procedures.
Document Preview:
? ? OMB No. 1545-0099 U.S. Return of Partnership Income Form 1065 For calendar year 2012, or tax year beginning , 2012, ending , 20 . Department of the Treasury ? 2012 Information about Form 1065 and its separate instructions is at www.irs.gov/form1065. Internal Revenue Service A Principal business activity D Employer identification number Name of partnership E Date business started B Principal product or service Number, street, and room or suite no. If a P.O. box, see the instructions. Print or type. City or town, state, and ZIP code C Business code number F Total assets (see the instructions) $ G Check applicable boxes: (1) Initial return (2) Final return (3) Name change (4) Address change (5) Amended return (6) Technical termination - also check (1) or (2) ? Other (specify) H Check accounting method: (1) Cash (2) Accrual (3) ? I Number of Schedules K-1. Attach one for each person who was a partner at any time during the tax year J Check if Schedules C and M-3 are attached . . . . . . . . . . . . . . . . . . . . . . . . . . . . Caution. Include only trade or business income and expenses on lines 1a through 22 below. See the instructions for more information. 1a Gross receipts or sales . . . . . . . . . . . . . 1a b Returns and allowances . . . . . . . . . . . . 1b c Balance. Subtract line 1b from line 1a . . . . . . . . . . . . . . . . . . 1c 2 Cost of goods sold (attach Form 1125-A) . . . . . . . . . . . . . . . . 2 3 Gross profit. Subtract line 2 from line 1c . . . . . . . . . . . . . . . . . 3 4 Ordinary income (loss) from other partnerships, estates, and trusts (attach statement) . . 4 5 Net farm profit (loss) (attach Schedule F (Form 1040)) . . . . . . . . . . . . 5 6 Net gain (loss) from Form 4797, Part II, line 17 (attach For
50. Financial Data of Bob's Bacon House Inc. as of January 1, 20XX Accounts Payable Account Receivabl...
Financial Data of Bob's Bacon House Inc. as of January 1, 20XX Accounts Payable Account Receivable Accumulated Depreciation's Additional Paid-In Capital Allowance for Doubtful Accounts Building and Equipment Cash Common Stock Copyrights Customer Deposits (expected to be paid in 20XX) Goodwill Income Taxes Payable Inventories $25/unit Long-term Investments in Warren Co Deposits With Vendors Land 200,500 165,700 350,000 40,000 2,650 1,120,000 45,300 544,850 112,000 375 225,000 42,340 315,250 95,630 47,200 125,000