• Q : Explain the damage awards and fines....
    Accounting Basics :

    Contingent liabilities Several months ago, Reiltz Industries, Inc. experienced a hazardous materials spill at one of its plants. As a result, the Enviromental Protection agency fined the company $57

  • Q : Discuss an accrual basis corporation....
    Accounting Basics :

    During the year they distribute 50,000 on June 30 and $75,000 on December 31 to the sole.Lance Company paid federal income taxes of $496,500. The company's Accumulated E&P on.

  • Q : Estimate the total manufacturig overhead costs....
    Accounting Basics :

    The fixed element of monthly overhead costs. B. Use the cost relationship determined in part 'a' to estimate the total manufacturig overhead costs for July 2010, given that 7,250 machine-hours are

  • Q : The berclairs basic and diluted earnings per share....
    Accounting Basics :

    On December 31, 2012, Berclair Inc. had 500 million shares of common stock and 20 million shares of 8%, $100 par value cumulative preferred stock issued and outstanding.

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

    Inventory Errors McLelland Inc. reported net income of $150,000 for 2011 and $165,000 for 2012. Early in 2012, McLelland discovers that the December 31, 2011, ending inventory was overstated by $15,

  • Q : What was the approximate amount stolen during the past year....
    Accounting Basics :

    Snake Creek Company has one trusted employee who, as the owner said, handles all of the book-keeping and paperwork for the company.

  • Q : What kind of literature base would you use to underlie....
    Accounting Basics :

    What kind of literature base would you use to underlie your statistical information? Cite three examples of relevant scholarly literature. Be very specific about all of these answers.

  • Q : Provide the journal entry....
    Accounting Basics :

    What two conditions must be met in order for a product warranty liability to be reported in the financial statements?

  • Q : Straight line depreciation for tax purposes....
    Accounting Basics :

    A $78,000 invtestment in machinery is proposed. It is anticipated that this investment will cause a reduction in net annual operating disbursements fo $16,300 a year for 12 years.

  • Q : Estimate the cost function using the high-low method....
    Accounting Basics :

    Another contractor (Contractor B) has put in a bid for the work. He proposes a flat fee of $5000 per month plus $1.00 per machine hour. Is this a better offer?

  • Q : What is meant by an advance collection....
    Accounting Basics :

    What is meant by an advance collection? What is meant by a deferral or deferred income? Is there an association between the two?

  • Q : The james company uses a periodic inventory system....
    Accounting Basics :

    The company purchased merchandise on account for $50,500 on October 12, 2013. Terms of the purchase were 2/10, n/30. James uses the net method to record purchases.

  • Q : What dollar volume of sales per month is required....
    Accounting Basics :

    Diana Company, a sole proprietorship, sells only one product. The regular price is $160. Variable costs are 55% of this selling price, and fixed costs are $8,400 a month.

  • Q : What is kirks deduction for the month....
    Accounting Basics :

    Kirk is employed by an accounting firm and uses his automobile in connection with his work. During the month of October 2012, he works at the office for 3 days and participates in the audit of a key

  • Q : What is the roi of the project....
    Accounting Basics :

    Wryski Corporation had net operating income of $150,000 and average operating assets of $500,000. The company requires a return on investment of 19%.

  • Q : Determine the amount of depreciation expense....
    Accounting Basics :

    Perdue Company purchased equipment on April 1, 2012, for $270,000. The equipment was expected to have a useful life of three years, or 18,000 operating hours, and a residual value of $9,000.

  • Q : What is the expected electricity cost....
    Accounting Basics :

    Based upon the above information, calculate the variable cost of electricity per machine hour, using the high-low method.Compute the total fixed cost of electricity.

  • Q : The overall effect on the company....
    Accounting Basics :

    Colen Corporation produces and sells a single product. In January, the company sold 1,700 units. Its total sales were $153,000, its total variable expenses were $79,900, and its total fixed expenses

  • Q : Explain the manufacturing cycle efficiency....
    Accounting Basics :

    Exeter Corporation has recently begun a continuous improvement campaign. As a consequence, there have been many changes in operating procedures.

  • Q : Determine the cost of the land to be reported....
    Accounting Basics :

    Intermountain Delivery Company acquired an adjacent lot to construct a new warehouse, paying $100,000 and giving a short-term note for $700,000.

  • Q : The purchase of a new imprinting machine....
    Accounting Basics :

    Gruden Company produces golf discs which it normally sells to retailers for $7.09 each. The cost of manufacturing 18,600 golf discs is:

  • Q : Customers and credit customers....
    Accounting Basics :

    Office World Inc. has "cash and carry" customers and credit customers. Office World estimates that 25% of monthly sales are to cash customers, while the remaining sales are to credit customers.

  • Q : What would be the effect on net income from operations....
    Accounting Basics :

    Data from the income statement of Dray Company for the current fiscal year ended on December 31st and are presented here. Dray purchased all merchandise FOB destination.

  • Q : Determine the projects equivalent annual cost....
    Accounting Basics :

    A five-year project has an initial fixed asset investment of $295,000, an initial NWC investment of $27,000, and an annual OCF of -$26,000 (negative 26K).

  • Q : Describe the planning and cost control purposes....
    Accounting Basics :

    A standard costing system a. is not typically used by management for cost planning and cost control purposes b. is a system in which all costs affecting the three inventory accounts and the cost of

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