• Q : Calculate cash payback period and internal rate of return....
    Accounting Basics :

    BSU Inc. wants to purchase a new machine for $35,500, excluding $1,400 of installation costs. The old machine was bought five years ago and had an expected economic life of 10 years without salvage

  • Q : Having high sccounts recievable balances....
    Accounting Basics :

    Having high sccounts recievable balances can definately be a risk for companies, especially in todays economy. Even customers who have always paid their bills in a timely manner may run into trouble

  • Q : What would be the total annual cash inflow....
    Accounting Basics :

    Wendell's Donut Shoppe is investigating the purchase of a new $15,752 donut-making machine. The new machine would permit the company to reduce the amount of part-time help needed.

  • Q : Calculate net operating income for the year must have been....
    Accounting Basics :

    Reed Company's sales last year totaled $167,000 and its return on investment (ROI) was 16.80%. If the company's turnover was 2.40, then its net operating income for the year must have been ?

  • Q : What is the flaw in this decision if it is assumed fixed....
    Accounting Basics :

    On the basis of the following data, the general manager of Glide Shoes Inc. decided to discontinue Children's Shoes because it reduced income from operations by $25,000.

  • Q : Prepare a schedule of expected cash collections from sales....
    Accounting Basics :

    From past experience, the company has learned that 20% of a month's sales are collected in the month of sale, another 70% are collected in the month following sale, and the remaining 10% are collect

  • Q : Provide a key or explanation....
    Accounting Basics :

    Struggling in my accounting class & professor will not respond to my e-mails or several of my classmates =/. Taking business courses for the first time & still having trouble with this quest

  • Q : Explain the depreciation types....
    Accounting Basics :

    In January Brodie Co. purchased a new machine costing $324,000 with a five year life and a salvage value of $30,000. Complete the following table for each of the depreciation types (Straight line a

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

    Department A had 4,251 units in work in process that were 74% completed as to labor and overhead at the beginning of the period.

  • Q : What is the month end balance in the liability account....
    Accounting Basics :

    Cutters sells razors at $75 each. The razors have a 90 day warranty that requires the company to replace any nonworking razor. The Companys cost per razor is $20.

  • Q : What is the total conversion cost....
    Accounting Basics :

    In the manufacture of 9,799 units of a product, direct materials cost incurred was $148,076, direct labor cost incurred was $89,102, and applied factory overhead was $56,966. What is the total conve

  • Q : Assuming curly cannot exercise significant....
    Accounting Basics :

    Bradster Co. acquired 20% of the outstanding common stock of Curly Co. on January 1, 2011, by paying $800,000 for the 40,000 shares. Curly declared and paid $.80 per share cash dividends on June 15,

  • Q : Half of the bags had been damaged in shipment....
    Accounting Basics :

    Half of the bags had been damaged in shipment and delivery was refused. If Pet Foods Plus pays the remaining amount of the invoice within the discount period, the amount paid should be?

  • Q : The final step in the recording process is to transfer....
    Accounting Basics :

    What is the proper adjusting entry at June 30, the end of the fiscal year, based on a prepaid insurance account balance before adjustment, $15,500, and unexpired amounts per analysis of policies of

  • Q : Amount of manufacturing overhead....
    Accounting Basics :

    Manufacturing overhead was estimated to be $489,600 for the year along with 20,400 direct labor hours. Actual manufacturing overhead was $470,220, actual labor hours were 21,800. The amount of manu

  • Q : Determine the annual depreciation expense....
    Accounting Basics :

    Depreciation by Two Methods; Sale of Fixed Asset:New lithographic equipment, acquired at a cost of $787,500 at the beginning of a fiscal year, has an estimated useful life of five years and an estim

  • Q : B&d account for its depreciation....
    Accounting Basics :

    In our 1a and 1b financial accounting courses, we learned how retailers, such as Wal-Mart, account for the cost of equipment that lasts more than one year. Recall that the equipment was recorded as

  • Q : Compute the markup percentage using total cost per unit....
    Accounting Basics :

    Gainer Corporation makes a mechanical stuffed alligator that sings the Mexican national anthem. The following information is available for Gainer Corporation's anticipated annual volume of 500,000 u

  • Q : The ending in-process inventory....
    Accounting Basics :

    Georgia Products Inc. completed and transferred 187,000 particle board units of production from the Pressing Department. There was no beginning inventory in process in the department.

  • Q : Calculate the home plumbing services segment....
    Accounting Basics :

    Kirkland Plumbing Company is a newly formed company specializing in plumbing services for home and business. The owner, Lenny Kirkland, had divided the company into two segments:

  • Q : Patino company issued....
    Accounting Basics :

    Patino Company issued $495,000, 9%, 20-year bonds on January 1, 2011, at 106. Interest is payable semiannually on July 1 and January 1. Patino uses straight-line amortization for bond premium or dis

  • Q : Compute the total cost of borrowing....
    Accounting Basics :

    Deng Company issued $566,000 of 5-year, 8% bonds at 97 on January 1, 2011. The bonds pay interest twice a year.Prepare the journal entry to record the issuance of the bonds.

  • Q : Thome company uses a flexible budget for manufacturing....
    Accounting Basics :

    Fixed overhead costs per month are: Supervision $4,498, Depreciation $1,423, and Property Taxes $692. The company believes it will normally operate in a range of 7,800-13,800 direct labor hours per

  • Q : Compute the number of equivalent units produced....
    Accounting Basics :

    A company uses the FIFO method for inventory costing. During a period, a production department had 32,000 units in beginning goods in process inventory which were 46% complete.

  • Q : Average operating assets for the year for the home division....
    Accounting Basics :

    Suppan Company manufactures a variety of tools and industrial equipment. The company operates through three divisions. Each division is an investment center.

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