• Q : What is the contribution margin....
    Accounting Basics :

    The Downtown Hobby Shop expects net daily sales of $1200, with the costs of goods sold at $750 and total expenses of $ 250. Variable expenses, including cost of goods sold.

  • Q : Earnings per share from net income....
    Accounting Basics :

    The company had 40,000 shares of common stock outstanding throughout the fiscal year. Compute each of the following: (Show your computations to earn credit in each.)

  • Q : What is the materials quantity variance for the month....
    Accounting Basics :

    The following materials standards have been established for a particular product: The following data pertain to operations concerning the product for the last month: What is the materials quantity

  • Q : Variable cost per passenger would remain....
    Accounting Basics :

    Springfield Express has an opportunity to obtain a new route that would be traveled 20 times per month. The company believes it can sell seats at $ 175 on the route, but the load factor would be onl

  • Q : Calculate the actual purchase price per pound....
    Accounting Basics :

    Last month 75,000 pounds of direct material were purchased and 71,000 pounds were used. If the actual purchase price per pound was $0.50 more than the standard purchase price per pound, then the ma

  • Q : What is the amount of cash dividends....
    Accounting Basics :

    The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume that 45,000 shares were originally issued and 5,000 were subsequently reacquired.

  • Q : Explain the material variances for material b....
    Accounting Basics :

    The standard cost card for a product shows that the product should use 4 kilograms of material B per finished unit and that the standard price of material B is $4.50 per kilogram.

  • Q : Sneed corporation issues....
    Accounting Basics :

    The Sneed Corporation issues 10,000 shares of $50 par value preferred stock for cash at $70 per share. The entry to record the transaction will consist of a debit to Cash for $700,000 and a credit

  • Q : Journal entry to record the stock issuance....
    Accounting Basics :

    A corporation issues 1,500 shares of common stock for $ 32,000. The stock has a stated value of $10 per share. The journal entry to record the stock issuance would include a credit to Common Stock?

  • Q : Charter of a corporation provides....
    Accounting Basics :

    The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume that 45,000 shares were originally issued and 5,000 were subsequently reacquired. What is the number

  • Q : Which of the intermediate products should be processed....
    Accounting Basics :

    Sohr Corporation processes sugar beets that it purchases from farmers. Sugar beets are processed in batches. A batch of sugar beets costs $50 to buy from farmers and $15 to crush in the company's pl

  • Q : Contingent asset for the potential settlement....
    Accounting Basics :

    Upon completion of the RI/FS in June 2007, Construct was advised by the contractors performing the RI/FS that the soil at the location was contaminated but the contamination had not affected water s

  • Q : What are the advantages and disadvantages of the us gaap....
    Accounting Basics :

    Leasing transactions represent a very significant portion of the capital investments of many companies. The accounting classification of these leases can have a dramatic impact on the financial posi

  • Q : What is the market value per share of this companys stock....
    Accounting Basics :

    A company has net income of $3,000,000. It has 600,000 weighted-average common shares outstanding and a price-earnings ratio of 17. What is the market value per share of this company's stock.

  • Q : Which method provides a better reflection....
    Accounting Basics :

    In 2010, Company A is formed with $630,000 in capital from the sale of 21,000 shares at $30 a share. Company A, which has no other operations, immediately acquires 60% of the voting stock of Company

  • Q : How to evaluate the three proposals for expansion....
    Accounting Basics :

    Santana Rey created Business Solutions on October 1, 2011. The company has been successful, and Santana plans to expand her business. She believes that an additional $86,000 is needed and is investi

  • Q : How reflecting all balances accurately as of that date....
    Accounting Basics :

    Herzogg Company, organized in 2012, has the following transactions related to intangible assets. 1/2/12 Purchased patent (7-year life) $560,000 4/1/12 Goodwill purchased (indefinite life)

  • Q : Enough idle capacity to produce....
    Accounting Basics :

    A Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 41,000 units per month.

  • Q : Why value adjustment to its portfolio of trading securities....
    Accounting Basics :

    While reviewing the March 31, 2012, balance sheet of Business Solutions, Santana Rey notes that the business has built a large cash balance of $68,057.

  • Q : What is the highest price....
    Accounting Basics :

    What is the highest price that the company could pay the outside supplier for each wheel and still be economically indifferent between making or buying the wheels?

  • Q : Laura corporation is considering the purchase....
    Accounting Basics :

    Laura Corporation is considering the purchase of new equipment with a cost of $41,000. The expected cash inflow from the use of this equipment is $10,000 per year of the next five years.

  • Q : Calculate minimum transfer price that should be charged....
    Accounting Basics :

    Chipper Division of Acme Corp. sells 80,000 units of part Z-25 to the outside market. Part Z-25 sells for $40, has a variable cost of $22, and a fixed cost per unit of $10.

  • Q : Calculate the internal rate of return....
    Accounting Basics :

    Laura Corporation is considering the purchase of new equipment with a cost of $41,000. The expected cash inflow from the use of this equipment is $10,000 per year of the next five years.

  • Q : Discuss the amount that should be recorded by crow....
    Accounting Basics :

    Crow Co. purchased some of the machinery of Hare, Inc., a bankrupt competitor, at a liquidation sale for a total cost of $33,600. Crow's cost of moving and installing the machinery totaled $3,200.

  • Q : Sell the company similar wheels....
    Accounting Basics :

    An outside supplier has offered to sell the company similar wheels for $0.80 per wheel. If the wheels are purchased from the outside supplier, $34,000.

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