Financial Accounting

12. A cost thait changes in proportion to changes in volume of activity is an A.

12. A cost thait changes in proportion to changes in volume of activity is an A. Diffferential cost B. Fixed cost C. Incremental cost D. Variable cost E. Product cost. 13. A cost …

12. A manufacturing process has 3 pieces of equipment – A, B, and C. The manufac

12. A manufacturing process has 3 pieces of equipment – A, B, and C. The manufacturing process begins at equipment A, continues through equipment B and then flows through equipmen…

12. Ace Co. prepared an aging of its accounts receivable at December 31, 2012 an

12. Ace Co. prepared an aging of its accounts receivable at December 31, 2012 and determined that the net realizable value of the receivables was $600,000. Additional information …

12. Albert, a new partner in on.com, is given responsblity of negotiating contra

12. Albert, a new partner in on.com, is given responsblity of negotiating contraces for the purchase of inventor e other partners expressly tell Albert that he is not to sign any …

12. An acid-test or quick ratio of 1.0 is considered less risky than a ratio of

12. An acid-test or quick ratio of 1.0 is considered less risky than a ratio of 0.50. TRUE FALSE 13. Amber’s Clothing Store reported the following at June 30, 2018: Cash $ 79,000 …

12. Archie Co. purchased a framing machine for $45,000 on January 1,2018. The ma

12. Archie Co. purchased a framing machine for $45,000 on January 1,2018. The machine is expected to have a four-year life, with a residual value of $5,000 at the end of four year…

12. As time passes, fixed assets other than land lose their capacity to provide

12. As time passes, fixed assets other than land lose their capacity to provide useful servi systematically allocated to expense through a process called es. To account for this d…

12. Asooz and Off Balance are two shoe stores located at opposite ends of Unfair

12. Asooz and Off Balance are two shoe stores located at opposite ends of Unfairlane Mall. Asooz often sends employees to stand near the entrance of and hand out fliers announcing…

12. Auerbach Inc. issued 6% bonds on October 1, 2016. The bonds have a maturity

12. Auerbach Inc. issued 6% bonds on October 1, 2016. The bonds have a maturity date of September 30, 2026 and a face value of $430 million. The bonds pay interest each March 31 a…

12. Bank reconciliations are normally prepared on a monthly basis to identify ad

12. Bank reconciliations are normally prepared on a monthly basis to identify adjustments needed in the depositor's records and to identify bank errors. Adjustments should be reco…

12. Bank reconciliations are normally prepared on a monthly basis to identify ad

12. Bank reconciliations are normally prepared on a monthly basis to identify adjustments needed in the depositor's records and to identify bank errors. Adjustments should be reco…

12. Belrause Corporation recently prepared a manufacturing cost budget for an ou

12. Belrause Corporation recently prepared a manufacturing cost budget for an output of 50,000 units, as follows: Actual units produced amounted to 60,000. Actual costs incurred w…

12. Black Frog Brewing is considering installing a new cooler (equipment) in ord

12. Black Frog Brewing is considering installing a new cooler (equipment) in order to increase the volume and variety of beverages they can offer. The new cooler will cost $22,000…

12. Bullen Inc. acquired 100% of the votrg common stock of Vicker Inc. on Januar

12. Bullen Inc. acquired 100% of the votrg common stock of Vicker Inc. on January 1, 2013. The book value and fair value of Vicker's accounts on that date (prior to creating the c…

12. Buxton Community is expecting its new dialysis unit to generate the followin

12. Buxton Community is expecting its new dialysis unit to generate the following cash flows: Givens Initial investment Net operating cash flows Years ($10,000,000) $1,500,000 $2,…

12. CPA firms perform numerous services that generally fall outside the scope of

12. CPA firms perform numerous services that generally fall outside the scope of assurance services. Give three examples of such services. Answer: 13. One objective of an operatio…

12. Can you fill in the 5% column of this table, using the PV of Annuity formula

12. Can you fill in the 5% column of this table, using the PV of Annuity formula? PV = PMT [(1 - (1 / (1 + i)^n )) / i] Present Value of Annuity of $1.00 Period 5% Calculation by …

12. Carmon Corporation uses the weighted-average method in its process costing s

12. Carmon Corporation uses the weighted-average method in its process costing system. This month, the beginning inventory in the first processing department consisted of 700 unit…

12. Caspar Co. had the following balances in 2017: Beginning Raw Materials Inven

12. Caspar Co. had the following balances in 2017: Beginning Raw Materials Inventory Ending Raw Materials Inventory Purchases of Raw Materials Beginning Work in Process Inventory …

12. Closet Links Clothing Company provided the following month of June. costs fo

12. Closet Links Clothing Company provided the following month of June. costs for the Direct labor cost irect materials cost 138,000 uipment depreciation straight-line) actory ins…

12. Contingent assets may be disclosed in the notes if probable and reasonably e

12. Contingent assets may be disclosed in the notes if probable and reasonably estimable. a. True b. False Indicate the answer choice that best completes the statement or answers …

12. Contribution margin would be the most important variable in evaluating the p

12. Contribution margin would be the most important variable in evaluating the performance of: A. A cost center. B. A production center. C. An investment center. D. A profit cente…

12. Core Company has 40,000 pounds of krypton in inventory on August Ist. The co

12. Core Company has 40,000 pounds of krypton in inventory on August Ist. The company plans to produce 6,000 widgets in August. Each widget requires 30 pounds of krypton. If Core …

12. Costs which are always relevant in decision making are those costs which are

12. Costs which are always relevant in decision making are those costs which are: a) variable. b) avoidable. e) sunk. d) fixed. 13. The Wyeth Company produces three products, A. B…

12. Cougar Corp . requires an estimate of the cost of goods lost by fire on May

12. Cougar Corp . requires an estimate of the cost of goods lost by fire on May 15 th . Merchandise on hand on January 1 was $ 41 ,000. Purchases since January 1 were $ 11 2,000. …

12. Dodge lnc.makes a $200,000, 60-day, 9% cash loan to Vervoodt Co. The amount

12. Dodge lnc.makes a $200,000, 60-day, 9% cash loan to Vervoodt Co. The amount of interest that Dodge will collect on the loan is (use a 365 day yearl: A. $3,600. B. $300.00. C. …

12. Elfalan Corporation produces a single product. The cost of producing and sel

12. Elfalan Corporation produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 51,000 units per month…

12. Find the value of A from the given cash flow diagram A. $400 B. $411 C. $480

12. Find the value of A from the given cash flow diagram A. $400 B. $411 C. $480 D. $500 Asy PROBLEMS Problem (20 pts) The Deadeye Distillery is opening a new production facility …

12. For 2012, Hoyle Gompany reports beginning of the year total assets of $900,0

12. For 2012, Hoyle Gompany reports beginning of the year total assets of $900,000, end of the year total assets of $1,100,000, net sales of $750,000, and net income of $100,000. …

12. George\'s grandmother promises to give him $1,000 at the end of cach the nex

12. George's grandmother promises to give him $1,000 at the end of cach the next five years, How much is ual t the money worth today, assuming George could invest the money (Round…

12. Hartley Company produces two products, Flower and Planter. Flower is a high-

12. Hartley Company produces two products, Flower and Planter. Flower is a high-volume item totaling 20000 units annually. Planter is a low-volume iterm totaling only 6000 units p…

12. Heels, a shoe manufacturer, is evaluating the costs and benefits of new equi

12. Heels, a shoe manufacturer, is evaluating the costs and benefits of new equipment that would custom fit each pair of athletic shoes. The customer would have his or her foot sc…

12. Horizontal Analysis LO2 The following asset information is available for BSI

12. Horizontal Analysis LO2 The following asset information is available for BSI Inc.: 2012   2011   Cash $ 35,000 $ 60,000 Accounts receivable 60,000 55,000 Inventory   125,000  …

12. How would Milidantri Corp. record the October 2ed sale? A. Accounts Receivab

12. How would Milidantri Corp. record the October 2ed sale? A. Accounts Receivable 105,000 Inventory Gross Profit 60,000 36,000 B. Accounts Receivable 105,000 Sales Revenue 105,00…

12. If a pension plan amendment results in a $1,500,000 increase in the projecte

12. If a pension plan amendment results in a $1,500,000 increase in the projected benefit obligation, the pension expense will: a) be decreased by $1,500,000 over the remaining se…

12. If job P included 20 units, what is it’s unit product cost? 14. Assume that

12. If job P included 20 units, what is it’s unit product cost? 14. Assume that Sweeten Company used cost-plus pricing (and a markup percentage of 80% of total manufacturing cost)…

12. If x causes y, then a. x and y are inversely related b. y is a dependent var

12. If x causes y, then a. x and y are inversely related b. y is a dependent variable c. other variables don't matter d. y must, in turn, cause x e. x and y are always in a direct…

12. Ignatius Corporation had 16 million shares of common stock outstanding durin

12. Ignatius Corporation had 16 million shares of common stock outstanding during the current calendar year. It issued 21,000, $1,000, convertible bonds on January 1. Each bond is…

12. In activity-based costing, the total activity in an activity cost pool can b

12. In activity-based costing, the total activity in an activity cost pool can be computed by: A) dividing the activity cost pool's activity rate by the direct labor-hours require…

12. Indicate below whether the installment sale method of accounting can apply t

12. Indicate below whether the installment sale method of accounting can apply to each of these transactions (answer “yes” = installment method possible or “no” = installment meth…

12. Individuals without children are eligible for the earned income credit if th

12. Individuals without children are eligible for the earned income credit if they meet all the following conditions except A) file married filing separately. B) at tax year end a…

12. Ivory Corporation (E & P of S1 million) has 2,000 shares of common stock out

12. Ivory Corporation (E & P of S1 million) has 2,000 shares of common stock outstanding owned by unrelated parties as follows: Veronica, 1,000 shares, and Tommie, 1,000 share…

12. Ivory Corporation (E & P of S1 million) has 2,000 shares of common stock out

12. Ivory Corporation (E & P of S1 million) has 2,000 shares of common stock outstanding owned by unrelated parties as follows: Veronica, 1,000 shares, and Tommie, 1,000 share…

12. Journal entries to record cash dividends are made on the: a. Declaration dat

12. Journal entries to record cash dividends are made on the: a. Declaration date, record date, and payment date. b. Record date and payment date. e. Delaration date and payment d…

12. Lauer Corporation uses the periodic inventory system and has provided the fo

12. Lauer Corporation uses the periodic inventory system and has provided the following information about one of its laptop computers: Date Transaction Number of Units Cost per Un…

12. Mary wants to use $35,000 to buy an expensive piano. Through research, Mary

12. Mary wants to use $35,000 to buy an expensive piano. Through research, Mary ha learned 7.o that this particular piano brand tends to appreciate in value at an average of 3.2% …

12. Masters Corporation charter authorizes 7,800,000 shares of common stock and

12. Masters Corporation charter authorizes 7,800,000 shares of common stock and 760,000 shares of preferred stock and the company had the following transactions in 2015, ts first …

12. Montoya Enterprises prpduces a sword that sells for $200. Although the compa

12. Montoya Enterprises prpduces a sword that sells for $200. Although the company's production capacity is 3,000 swords per year, only 2,500 swords are currently being produced a…

12. Nguyen plans to sell 40,000 units of product no. 75 in June, and each of the

12. Nguyen plans to sell 40,000 units of product no. 75 in June, and each of these units requires five square feet of raw material. Pertinent data follow. 11,000 square feet. 23,0…

12. North Company has two products: X and Y. The company uses activity-based cos

12. North Company has two products: X and Y. The company uses activity-based costing and has prepared the following analysis showing the estimated total cost and expected activity…