• Q : Determine the number of equivalent units of production....
    Accounting Basics :

    Determine the number of equivalent units of production with respect to direct materials and conversion costs. Enter all amounts as positive numbers. If an amount is zero or a blank, enter in 0. &n

  • Q : What is the net income....
    Accounting Basics :

    Here and Gone, Inc., has sales of $18 million, total assets of $13 million, and total debt of $3.8 million. If the profit margin is 8 percent, what is the net income? What is ROA? What is ROE?

  • Q : Prepare the entries to re-establish the encumbrance....
    Accounting Basics :

    Prepare entries in general journal form to record the following transactions in General Fund general ledger accounts for fiscal year 2012. Use modified accrual accounting.

  • Q : How must dermot account for the change to the equity method....
    Accounting Basics :

    On January 1, 2009, Dermot Company purchased 15% of the voting common stock of Horne Corp. On January 1, 2011, Dermot purchased 28% of Horne's voting common stock. If Dermot achieves significant inf

  • Q : Calculate kettle return on investment and residual income....
    Accounting Basics :

    Kettle Company has sales of $450,000, operating income of $250,000 average invested assets of $800,000, and a hurdle rate of 10 percent. Calculate Kettle's return on investment and its residual inco

  • Q : What was the noncontrolling interest''s share....
    Accounting Basics :

    Race decided to use the equity method to account for this investment. What was the noncontrolling interest's share of consolidated net income?

  • Q : How much gain should fred recognize on the exchange....
    Accounting Basics :

    Fred and Wilma exchanged equipment in a qualifying like-kind exchange. Fred gives up equipment with an adjusted basis of $14,000 (FMV = $15,000) in exchange for Wilma's equipment with a fair market

  • Q : Prepare journal entries to record the following events....
    Accounting Basics :

    On January 1 Kreitzer Company issued $300,000, 7%, 10-year bonds at face value. Interest is payable annually on January 1.

  • Q : How must this gain be treated....
    Accounting Basics :

    During the year, Henry, a sole proprietor, sold for $65,000 a machine that was used in his business. The machine had been purchased in 2003 for $50,000, and when it was sold it had an adjusted basis

  • Q : Central warehouse for supplying field service offices....
    Accounting Basics :

    Southeastern Bell stocks a certain switch connector at its central warehouse for supplying field service offices. The yearly demand for these connectors is 15,000 units. Southeastern estimates its a

  • Q : Determining the adjusting journal entry....
    Accounting Basics :

    Samantha's Design Studio showed office supplies available of $700. A count of the supplies left on hand as of June 30 was $400. The adjusting journal entry is:

  • Q : Sarahs realized and recognized gain or loss....
    Accounting Basics :

    Sarah owns 100 shares of Drake,Inc. (adjusted basis of $50,000). On October 11, 2010, she sells the 100 shares for their fair market value of $45,000. On November 5, 2110, she purchases 125 shares

  • Q : Commit to a rental agreement....
    Accounting Basics :

    Assume that Dentech does not wish to commit to a rental agreement but could use its idle capacity to manufacture another product that would contribute $156,000 per month. If Dentech's management ele

  • Q : Decision about the obsolete parts....
    Accounting Basics :

    Armstrong Corporation manufactures bicycle parts. The company currently has a $19,500 inventory of parts that have become obsolete due to changes in design specifications. The parts could be sold f

  • Q : Sell to attain the target profit....
    Accounting Basics :

    How many units would the company have to sell to attain the target profit of $150,000?

  • Q : What is the company margin of safety in dollars....
    Accounting Basics :

    The following is last month's contribution format income statement: What is the company's margin of safety in dollars?

  • Q : What purchases of raw materials for month 2 would be....
    Accounting Basics :

    One pound of material is required for each finished unit. The inventory of materials at the end of each month should equal 20% of the following month's production needs. At the beginning of Month 1,

  • Q : Prepare the general journal entries....
    Accounting Basics :

    Prepare the general journal entries to record these transactions

  • Q : Pertains to the realization principle....
    Accounting Basics :

    Describe how revenue is recognized as it pertains to the realization principle.

  • Q : What amount of these investigation costs....
    Accounting Basics :

    in exploring its business potential. Her parents have agreed to loan her the money required to start the business. What amount of these investigation costs can Juliet deduct if:

  • Q : Journalize the april transactions....
    Accounting Basics :

    Journalize the April transactions. (If there is no transaction, enter No entry as the description and 0 for the amount.) List amounts from largest to smallest eg 10, 5, 3, 2. If amounts are the same

  • Q : Company purchases packaging materials....
    Accounting Basics :

    A company purchases packaging materials, as well as a new packing and storage warehouse where these materials will be used. Should the materials and warehouse be classified as current or fixed asset

  • Q : Prepare journal entries....
    Accounting Basics :

    Prepare journal entries to record each of the January transactions. (For multiple debit/credit entries, list amounts from largest to smallest eg 10, 5, 3, 2.)

  • Q : Liabilities section of balance sheet of primary significance....
    Accounting Basics :

    Why is the liabilities section of the balance sheet of primary significance to bankers? As a lender of money, the banker is interested in the priority his/her claim has on the company"s assets relat

  • Q : Net cash provided by operating activities for the year....
    Accounting Basics :

    Bilton Company reported net income of $30,000 for the year. During the year, accounts receivable increased by $7,000, accounts payable decreased by $3,000 and depreciation expense of $5,000 was reco

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