This Tutorial was purchased 5 times & rated A+ by student like you.
Score 248/250 Multiple Choice 2 Short 2 Essay 7
Question 1 : (TCO E) Designing a new product is a(n)
2. Question : (TCO G) Given the following data, what would ROI be?
Net operating income $10,000
Contribution margin $20,000
Average operating assets $50,000
Stockholder's equity $25,000
1. Question : (TCO C) Longiotti Corporation produces and sells a single product. Data
concerning that product appear below.
Selling price per unit $375.00
Variable expense per unit $144.00
Fixed expense per month $1,686,300
Determine the monthly breakeven in units or dollar sales. Show your work!
2. Question : (TCO B) Maverick Corporation uses the weighted-average method in its
process costing system. Data concerning the first processing department for
the most recent month are listed below.
Work in process, beginning:
Units in beginning work in process inventory 400
Materials costs $6,900
Conversion costs $2,500
Percent complete for materials 80%
Percent complete for conversion 15%
Units started into production during the month 6,000
Units transferred to the next department during the month 5,600
Materials costs added during the month $112,500
Conversion costs added during the month $210,300
1. Question : (TCO D) Topple Company produces a single product. Operating data for the
company and its absorption costing income statement for the last year are
Units in beginning inventory 2,000
Units produced 9,000
Units sold 10,000
Less cost of goods sold:
Beginning inventory 12,000
Add cost of goods manufactured 54,000
Goods available for sale 66,000
Less ending inventory 6,000
Cost of goods sold 60,000
Gross margin 40,000
Less selling and admin. expenses 28,000
Net operating income $12,000
2. Question : (TCO I) (Ignore income taxes in this problem.) Bill Anders retires in 8 years.
He has $650,000 to invest and is considering a franchise for a fast-food
outlet. He would have to purchase equipment costing $500,000 to equip the
outlet and invest an additional $150,000 for inventories and other working
capital needs. Other outlets in the fast-food chain have an annual net cash
inflow of about $160,000. Mr. Anders would close the outlet in 8 years. He
estimates that the equipment could be sold at that time for about 10% of its
original cost. Mr. Anders' required rate of return is 16%.
Part A: What is the investment's net present value when the discount rate is
Part B: Refer to your calculations. Is this an acceptable investment? Why or
3. Question : (TCO A) The following data (in thousands of dollars) have been taken from the accounting records of the Maroon Corporation for the just-completed
Raw materials inventory, beginning 25
Raw materials inventory, ending 30
Purchases of raw materials 250
Direct labor 350
Manufacturing overhead 500
Administrative expenses 300
Selling expenses 250
Work in process inventory, beginning 150
Work in process inventory, ending 100
Finished goods inventory, beginning 80
Finished goods inventory, ending 110
Use the above data to prepare (in thousands of dollars) a schedule of Cost
of Goods Manufactured and a Schedule of Cost of Goods Sold for the year.
In addition, what is the impact on the financial statements if the ending
finished goods inventory is overstated or understated?
4. Question : (TCO F) Walker Corporation is preparing its cash budget for November. The
budgeted beginning cash balance is $43,000. Budgeted cash receipts total $117,000 and budgeted cash disbursements total $122,000. The desired
ending cash balance is $55,000. The company can borrow up to $100,000 at
any time from a local bank, with interest not due until the following month.
Prepare the company's cash budget for November in good form. Make sure
to indicate what borrowing, if any, would be needed to attain the desired
ending cash balance
5. Question : (TCO F) Bella Lugosi Holdings, Inc. (BLH), has collected the following
operating information for its current month's activity. Using this information,
prepare a flexible budget analysis to determine how well BLH performed in
terms of cost control.
Activity level (in units) 5,250 5,178
Indirect materials $24,182 $23,476
Utilities $22,356 $22,674
Administration $63,450 $65,500
Rent $65,317 $63,904
6. Question : (TCO H) Lindon Company uses 7,500 units of Part Y each year as a
component in the assembly of one of its products. The company is presently
producing Part Y internally at a total cost of $119,000 as follows.
Direct labor 28,000
Total costs $119,000
An outside supplier has offered to provide Part Y at a price of $12 per unit. If
Lindon stops producing the part internally, one third of the fixed
manufacturing overhead would be eliminated.
Required: Prepare a make-or-buy analysis showing the annual advantage or
disadvantage of accepting the outside supplier's offer. Please state clearly
whether the part should be made or bought and share your work.
7. Question : (TCO B) Sandler Corporation bases its predetermined overhead rate on the
estimated machine hours for the upcoming year. Data for the upcoming year
Estimated machine hours 75,000
Estimated variable manufacturing
overhead $4.50 per machine hour
Estimated total fixed manufacturing
The actual machine hours for the year turned out to be 77,000.
Compute the company's predetermined overhead rate.
ACCT 505 Course Project 2 Hampton Company Capital Budgeting Decision Hampton Company: The production department has been investigating possible ways to trim total production costs. One possibility currently being examined is to make the cans instead of pur..
Question : (TCO D) Return on investment (ROI) is equal to the margin multiplied by 2. Question : (TCO D) For which of the following decisions are opportunity costs relevant? The decision to make or buy a needed part The desision to keep or drop a product line (A) Y..
COURSE PROJECT 1 INSTRUCTIONS You have just been contracted as a budget consultant by LBJ Company, a distributor of bracelets to various retail outlets across the country. The company has done very little in the way of budgeting and at certain times of the year has experienced a shortage of c..
1. Question : (TCO A) Wages paid to an assembly line worker in a factory are a 2. Question : (TCO A) A cost incurred in the past that is not relevant to any current decision is classified as a(n) 3. Question : (TCO A) Depreciation of office buildings and office equ..
Springfield Express is a luxury passenger carrier in Texas. All seats are first class, and the following data are available: Number of seats per passenger train car 90 Average load factor (percentage of seats filled) 70% Average full passenger fare $160 Average variabl..
1. Question : (TCO F) For which situation(s) below would an organization be more likely to use a job-order costing system of accumulating product costs rather than a process costing system? 2. Question : (TCO F) Process costing would be appropriate for each of the following ex..
Top Switch Inc. designs and manufactures switches used in telecommunications. Serious flooding throughout the state of Tennessee affected Top Switch’s facilities. Inventory was completely ruined, and the company’s computer system, including all accounting records, was destroyed. Before the u..
Week 1DQ 1 Cost Terms, Classifications, and Behavior Week 1DQ 2 Research and Application Week 2DQ 1 Job Order and Process Costing Systems Week 2DQ 2 Research and Application Week 3DQ 1 Variable Costing and CVP Concepts Week 3DQ 2 Research and Application Week 4DQ 1 Budgeti..
ACCT 505 Final Exam ..
ACCT 505 Week 1-7 All Discussion Questions ACCT 505 Week 1 Case Study ACCT 505 Week 2 Quiz Job Order and Process Costing Systems ACCT 505 Week 2 Quiz Set 2 ACCT 505 Week 3 Case Study II ACCT 505 Week 4 Midterm Exam ACCT 505 Week 5 Course Project 1 LBJ Company (New) ACC..
Multiple Choice 10 9 Essay 4 Question 1. Question : (TCO A) The variable portion of advertising co..
Score 144/150 Multiple Choice 10Essay 4 1. (TCO A) Direct material cost is a part of (Points : 6) Conversion Cost NO.... Prime Cost NO. Conversion C..
(TCO E) Preparing purchase orders is a(n) (Points : 5) batch-level activity. product-level activity. unit-level activity. organization sustaining activity. 2. (TCO G) Given the following data, what would ROI be? Sales $70,000 Net oper..
Set 2 1. (TCO C) Madlem, Inc., produces and sells a single product whose selling price is $120.00 per unit and whose variable expense is $46.20 per unit. The company's fixed expense is $405,900 per month. Required: Determine the monthly breakeven in either unit or to..
Score 248/250 Multiple Choice 2 Short 2 Essay 7 Question 1 : (TCO E) Designing a new product is a(n) 2. Question : (TCO G) Given the following data, what would ROI be? Sales $70,000 Net operating income $10,000 Contribution margi..
Score 248/250 Multiple Choice 2 Short 2 Essay 7 Question 1 : (TCO E) Designing a new product is a(n) 2. Question : (TCO G) Given the following data, what would ROI be? Sales $70,000 Net operating income $10,000 Contributi..
Multiple Choice 3 Short 5 Question 1. Question : (TCO D) R..
Essay 4 Multiple Choice 6 Question 1. Question : (TCO B) Assume there is no beginning work in process inventory and the ending work in process inventory is 100% complete with respect ..
CASE 4–20 Ethics and the Manager, Understanding the Impact of Percentage Completion on Profit—Weighted-Average Method [Course Objective B] Gary Stevens and Mary James are production managers in the Consumer Electronics Division of General Electronics Company, which has several dozen plants sc..
ACCT505 – Managerial Accounting Team Case Study 3 – Week 6 Balanced Scorecard Case (Course Objective G) Many companies are using the Balanced Scorecard System to assist in their performance management. According to Garrison, Noreen, and Brewer (2015) a balanced scorecard “co..
CASE 3–29 Ethics and the Manager [Course Objective B] Terri Ronsin had recently been transferred to the Home Security Systems Division of National Home Products. Shortly after taking over her new position as divisional controller, she was asked to develop the division’s predetermined overhead rat..