Accouting Assignments
1. PAPER and POWERPOINT
When writing your SEC paper, take one of three perspectives for your audience: (1) present or future stockholder, (2) creditor, or (3)present or future employee.
Focus your paper on recommending or not recommending your company for (1) investment, (2) obtaining credit or (3) becoming or remaining a company employee.Choose what financial information you present so that you can support your case for recommendation or not.
Choosing a focus will lead you to a much more organized paper. Make a strong case for your stance.
• Additional Instructions for SEC project paper
(1) The 2-3 page limit is important. This is business writing not an English class essay. (2) Tables and/or graphs will not count as part of the 2-3 page limit. (3) You may include financial statements as part of the paper in an Appendix and this also will not count toward the page limit. (4) Assume the reader is a business person, so please do not write definitions of terms or ratios. (4) The more analysis you include in your paper, the more interesting to your audience and(the higher your score).
SEC 10-K Power Point Presentation
You will also be required to prepare a brief power point file of no more than 6 slides. Post the power point presentation in the discussion area for comments by other students.
Include a reference list in APA format.
2. Southwest Airlines Co.; NYSE: LUV
SEC 10 LINK:
https://www.sec.gov/Archives/edgar/data/92380/000009238016000175/luv-12312015x10k.htm
Currently the company ranks 142 on the Fortune 500 list.
Page numbers for the following:
Income statement: 68
Balance sheet: 67
Statement of Stockholders Equity: 70
Statement of Cash Flows: 71
There is only one problem this week on manufacturing variance.
Apollo Sports manufacturers fabric tents. The poles are purchased from a vendor, so the only part manufactured is the actual fabric tent.
The company uses a standard cost system based on manufacturing 5,000 tents per month. Overhead is applied on a per-unit basis. In May,
4,840 tents were produced. Management has a policy that all variances greater than 3% from standard should be investigated. Standard and
actual costs are listed below:
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Standard
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Direct material
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18 yards at $3.20 per yard
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Direct labor
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6.5 hours at $16.00 per hour
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Overhead applied
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$12.00 per tent
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Actual
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Direct material
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86,550 yards at $3.25 per yard
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Direct labor
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32,100 hours at $15.80 per hour
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Actual overhead
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$56,750
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Instructions:
1. Compute the total, price, and quantity variances for both materials and labor. State if each variance is favorable or unfavorable.
2. Compute the total, volume, and budget overhead variances. State if favorable or unfavorable.
3. Prepare journal entries for the application of overhead, the actual overhead, and to record variances and close the overhead account. Note that on the actual overhead, you will not have individual expense account amount, so just list "various" for the expense accounts.
4. Always label all of your work.