• Q : Constant growth rate and common stock price....
    Accounting Basics :

    If market conditions remain unchanged, what new constant growth rate will cause the common stock price of Philly to remain unchanged?

  • Q : Portfolio required rate of return with the change....
    Accounting Basics :

    The risk free rate is 6% and the portfolio's required rate of return is 12.5%. The manager would like to sell all of the holdings of stock 1 and use the proceeds to buy more shares of stock 4. What

  • Q : Overhead on the basis of direct labor cost....
    Accounting Basics :

    Determine the overhead to be assigned to Mr. Robbins based on the data given above. First, assign overhead on a basis of direct labor hours; and second, assign overhead on the basis of direct labor

  • Q : Why would an auditor use non-statistical sampling....
    Accounting Basics :

    Problem: Why would an auditor use non-statistical sampling as opposed to statistical sampling?

  • Q : What is the beta of the portfolio....
    Accounting Basics :

    What is the beta of the portfolio consisting of 30% of stock A and 70% of stock B?

  • Q : Costs assigned to cost of goods sold and ending inventory....
    Accounting Basics :

    Smith uses a perpetual inventory system. Determine the costs assigned to cost of goods sold and ending inventory using (a) FIFO and (b) LIFO. Compute the gross margin for each method.

  • Q : Evaluate separate inventory error....
    Accounting Basics :

    Problem: Evaluate each (separate) inventory error and determine whether it overstates or understates each item.

  • Q : Reasons the price of the bond might have fallen....
    Accounting Basics :

    1. What is the holding period return on a bond with a par value of $1,000 and a coupon rate of 6 percent of its price at the beginning of the year was $1,050 and its price at the end was $940? Assum

  • Q : Predicting the price of the stock....
    Accounting Basics :

    A client wants to know your best guess about the probable price of stock in 3 years. Historical data are listed below. Use Excel to graph the data and come up with the equation of a line to fit the

  • Q : What is the dollar return earned....
    Accounting Basics :

    a. What is the dollar return earned by Michelle during the year? b. What is the rate of return (percentage) earned by Michelle?

  • Q : What is the inventory turn rate....
    Accounting Basics :

    What is the Inventory turn rate ? How does the Turn rate above compare to an Industry avg turn of 8 x's ?

  • Q : Revenue and expense accounts....
    Accounting Basics :

    After the revenue and expense accounts have been closed, the balance in Income Summary will be

  • Q : Interest compounded yearly....
    Accounting Basics :

    You deposit $700 in an account that pays 2.75% annual interest. How long does it take the balance to reach $1,500 when the interest is compounded yearly? Show your work.

  • Q : Compute the present value of the stream of income....
    Accounting Basics :

    If I compute the present value of this stream of income at a discount rate of 8%. If I calculate the present value for whole stream income. ex: the total value of receiving all three payments ( how

  • Q : Initial dilution in earnings per share....
    Accounting Basics :

    The Tims Corporation expects earnings of $8,000,000 in the current year on 6,000,000 shares of common stock. The company is considering the effects on expected earnings of issuing an additional 2,00

  • Q : Compute the unit manufacturing costs....
    Accounting Basics :

    Assuming use of activity-based costing, compute the unit manufacturing costs of Regular and Deluxe if the expected manufacturing volume is attained.

  • Q : Prepare necessary adjusting entries-closing entries....
    Accounting Basics :

    (a) Prepare the necessary adjusting entries. (b) Prepare the necessary closing entries.

  • Q : Reconcile the bank statemnt with the account register....
    Accounting Basics :

    The register balance before reconciliation is $406.70. Reconcile the bank statemnt with the account register.

  • Q : Maximum realistic price for west division....
    Accounting Basics :

    Assuming dual transfer pricing is used, set the maximum realistic price for West Division and the minimum realistic price for East division.

  • Q : Calculate the total variable cost-make or buy decision....
    Accounting Basics :

    Calculate the total variable cost of one box of Zippo pens if the company manufactures all of its own pens from start to finish. (Round your answer to 2 decimal places. Omit the "$" sign in your res

  • Q : What is the maximum revenue per year....
    Accounting Basics :

    What is the maximum revenue per year, how many medical patients/year are there, and how many surgical patients/year are there? How many medical beds and how many surgical beds of the 90-bed addition

  • Q : Manufacturing overhead to production....
    Accounting Basics :

    Is type A cabinets overstated or understated by the use of machine hours to allocate manufacturing overhead to production?

  • Q : Merger gains and costs....
    Accounting Basics :

    Velcro Saddles is contemplating the acquisition of Pogo Ski Sticks, Inc. The values of the two companies as separate entities are $20 million and $10 million, respectively.

  • Q : What should be the ending balance in accounts receivable....
    Accounting Basics :

    The balance in accounts payable relates only to merchandise purchases. All merchandise items were marked to sell at 40% above cost. What should be the ending balance in accounts receivable, assuming

  • Q : What return can you expect in a year....
    Accounting Basics :

    1. The annual interest rate for that account (what you can currently expect). What return can you expect in a year? 2. The fees if any, or various minimums (must mention the actual dollar amount)

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