• Q : What would be the impact on profits....
    Accounting Basics :

    Contreras has a variable cost of $280 per unit. The annual fixed cost of $2,000,000 would be unaffected by the special order.What would be the impact on profits if Contreras were to accept this spec

  • Q : Average basic shares outstanding for company....
    Accounting Basics :

    Assume the A and B Warrants are the only additional securities outstanding (besides the basic shares) for Company X in 201X.

  • Q : What would the price be if the company expected....
    Accounting Basics :

    A company has a total cost of $50.00 per unit at a volume of 100,000 units. The variable cost per unit is $20.00. What would the price be if the company expected a volume of 120,000 units and used

  • Q : What mark-up percentage is the company using....
    Accounting Basics :

    A manufacturing company produces and sells 20,000 units of a single product. Total production costs are $14/unit. If the total sales are $560,000 what mark-up percentage is the company using?

  • Q : What was the depletion for year 1 and year 2....
    Accounting Basics :

    Fitzgerald Oil and Gas incurred costs of $8.25 million for the acquisition and development of a natural gas deposit. The company expects to extract 3 million cubic feet of natural gas during a four

  • Q : What is the price if a markup....
    Accounting Basics :

    A company has $25 per unit in variable costs and $1,000,000 per year in fixed costs. Demand is estimated to be 100,000 units annually. What is the price if a markup of 40% on total cost is used to

  • Q : Calculate the amount of net cash from investing activities....
    Accounting Basics :

    Team Shirts Inc bought a computer system for $100,000 and received $10,000 for the sale of its used computers. It also received $10,000 from sale of its inventory. The amount of net cash from invest

  • Q : Using activity based pricing marks up the direct cost....
    Accounting Basics :

    A customer places 10 orders with a total direct cost of $3,000, orders 300 separate items, and makes 5 returns. What will the customer be charged?

  • Q : How would your answer to part a change....
    Accounting Basics :

    Value corporation is a calendar year taxpayer that uses the accrual method of accounting. On December 10 of the current year Value accrues a bonus payment of $100000 to Bret, its president and sole

  • Q : Interest rate included in the lease agreement....
    Accounting Basics :

    The Rogers Leasing Company signed an agreement to lease an asset that has a fair value of $800,000 on December 31,2010. The lease will be paid in seven equal annual payments of $138,730, beginning

  • Q : Advantage of re-working the computers....
    Accounting Basics :

    The Tobias Company has 12 obsolete computers that are carried in inventory at a cost of $13,200. If these computers are upgraded at a cost of $7,500, they could be sold for $19,500.

  • Q : Calculate return on common stockholders equity....
    Accounting Basics :

    The average stockholders' equity for Horn Co. last year was $3,200,000. Included in this figure was $320,000 of preferred stock. Preferred dividends were $28,000.

  • Q : What will be their allocated overhead....
    Accounting Basics :

    Tyler's Consulting Company has purchased a new $15,000 copier. This overhead cost will be shared by the purchasing, accounting, and information technology departments since those are the only depart

  • Q : How many units must briar tek sell to earn....
    Accounting Basics :

    A new employee suggests that Briar Tek sponsor a little league baseball team as a form of advertising. The cost to sponsor the team is $3,500. How many more units must be sold to cover this cost?

  • Q : Rodman corporations fiscal year ends on november....
    Accounting Basics :

    Rodman Corporation's fiscal year ends on November 30. The following accounts are found in its job order cost accounting system for the first month of the new fiscal year.

  • Q : What is the variable utility cost per unit....
    Accounting Basics :

    Conan Company's monthly activity level ranged from a low of 17,000 units in May to a high of 26,000 units in October. Average production was 20,000 units per month.

  • Q : The chief executive of red industries....
    Accounting Basics :

    Clyde had work for many years as the chief executive of Red Industries, and had also been a major shareholder. Clyde and the company had a falling out, and Clyde was terminated.

  • Q : Determine the realized gain or loss....
    Accounting Basics :

    Like-Kind Exchange: Boot. Determine the realized gain or loss, the recognized gain or loss, and the basis of the equipment received for the following like-kind exchanges.

  • Q : What are the fixed costs....
    Accounting Basics :

    A company is using the high-low method and has determined the following production for the months of January, February, March, and April of 6,000, 5,000, 5,550, and 2,000.

  • Q : What should the company produce....
    Accounting Basics :

    A company produces products A, B, and C. The company has excess capacity. Products A, B, and C have a contribution margin of 10, 15, and 20, respectively.

  • Q : Explain equal amounts....
    Accounting Basics :

    A company sells two products - X and Y. Product X is sold at a price of $50 and has a variable cost of $25. Product Y is sold at a price of $25 and has a variable cost of $20.

  • Q : Prepare journal entries in chronological order....
    Accounting Basics :

    Swindall Industries uses straight-line depreciation on all of its depreciable assets. The company records annual depreciation expense at the end of each calendar year.

  • Q : How much are total sunk costs....
    Accounting Basics :

    A company purchases machinery costing $50,000 in October of 2006. Five years later they discover that a better, more efficient machine they could purchase to replace the existing machine.

  • Q : How can you justify this apparent inconsistency....
    Accounting Basics :

    Internal services funds are classified as proprietary funds. yet, in the government-wide statements, their assets and liabilities that have not been eliminated in the consolidation process are repor

  • Q : What situation should the company lower....
    Accounting Basics :

    The company is currently producing and selling 144 windows annually and each window is sold for $140.00. The company is considering lowering the price to $125.00 for which management estimates this

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