1. Given the risk, what would motivate an investor to purchase stock in Gogo? 2. Why would Gogo sell stock rather than taking on additional debt financing? Do you think that this was a good decision?...
Presented below are selected ledger accounts of Spock Corporation at December 31, 2008. Spock's effective tax rate on all items is 34%. A physical inventory indicates that the ending inventory is...
Flush Mate Co. wholesales bathroom fixtures. During the current fiscal year, Flush Mate Co. received the following notes: Instructions 1. Determine for each note (a) The due date (b) The amount of...
The Production Department of Hruska Corporation has submitted the following forecast of unit to be produced by quarter for the upcoming fiscal year: Each unit requires 0.2 direct labor-hours and...
Presented below is information related to the sole proprietorship of Sergio Santos attorney. Legal service revenue2012 $335,000 Total expenses2012 211,000 Assets, January 1, 2012 96,000 Liabilities,...
Do you think trust evolves out of an individuals personal characteristics or out of specific situations? Explain.
Cavo Corporation expects an EBIT of $19,750 every year forever. The company currently has no debt, and its cost of equity is 15 percent. a. What is the current value of the company? b. Suppose the...
Forrest and Dan make boxes of chocolates for which the demand is uncertain. Forrest says. Thats life. On the other hand, Dan believes that some demand patterns exist that could be useful for planning...
One of New England Airs top competitive pri-orities is on- time arrivals. Quality VP Clair Bond decided to person-ally monitor New England Airs performance. Each week for the past 30 weeks, Bond...
Ratchet Company uses budgets in controlling costs. The August 2017 budget report for the companys Assembling Department is as follows. The monthly budget amounts in the report were based on an...
FIFO and LIFO'Periodic and Perpetual The following is a record of Cannondale Company's transactions for Boston Teapots for the month of May 2010. (a) Assuming that perpetual inventories are not...
Maple Products, Ltd., manufactures a super-strong hockey stick. The standard cost of one hockey stick is: Last year, 8,000 hockey sticks were produced and sold. Selected cost data relating to last...
Nimbus, Inc., makes brooms and then sells them door-to-door. Here is the relationship between the number of workers and Nimbuss output in a given day: a. Fill in the column of marginal products. What...
Enviro-Tech has only two retail and two wholesale customers. Information relating to each customer for 2013 follows (in thousands): Enviro-Techs annual distribution-channel costs are $ 33 million for...
Abica Coffee Company roasts and packs coffee beans. The process begins by placing coffee beans into the Roasting Department. From the Roasting Department, coffee beans are then transferred to the...
1. Is there anything the team should have done when they received only three proposals by June 30? 2. Should the team consider the proposal from Asia General Contractors? Why? 3. After sharing their...
Rockness Recycling refurbishes rundown business students. The process uses a moving belt, which carries each student through the five steps of the process in sequence. The five steps are as follows:...
1. How would you describe the founding team of Fenton, Hoffer, and Le Tuan? Is it a balanced team? What does each member bring to the business? Can you see gaps in their skills and capabilities that...
Durban Metal Products, Ltd., of the Republic of South Africa makes specialty metal parts used in applications ranging from the cutting edges of bulldozer blades to replacement parts for Land Rovers....
Consider the following account balances (in thousands) for the Shaler Corporation: Required 1. Prepare a schedule for the cost of goods manufactured for 2014. 2. Revenues (in thousands) for 2014 were...
Arrow Hospitality prepares adjustments monthly and showed the following at September 30, 2014: Additional information available for the month ended September 30, 2014: a. Interest of $162 had accrued...
Dollar-Value LIFO Presented below is information related to Martin Company. Compute the ending inventory for Martin Company for 2007 through 2012 using the dollar-value LIFO method. Ending Inventory...
Presented below is information related to Blowfish radios for Hootie Company for the month of July. Instructions (a) Assuming that the periodic inventory method is used, compute the inventory cost at...
Entries for Held-to-Maturity Securities on January 1, 2010, Jennings Company purchased at par 10% bonds having a maturity value of $300,000. They are dated January 1, 2010, and mature January 1,...
What value does JetBlue create for its customers? In 2007, JetBlue was a thriving young airline with a strong reputation for outstanding service. In fact, the low-fare airline referred to itself as a...
Here are four industries and four forecasts for the macroeconomy. Match the industry to the scenario in which it is likely to be the best performer. Industry Economic Forecast a. Housing construction...
Thunderwood Industries has a past history of uncollectible accounts, as shown below. Estimate the allowance for doubtful accounts, based on the aging of receivables schedule you completed in Exercise...
Lawn Pride, Inc., provides lawn-mowing services to both commercial and residential customers. The company performs adjusting entries on a monthly basis, whereas closing entries are prepared annually...
The Loebuck Grocery must decide how many cases of milk to stock each week to meet demand. The probability distribution of demand during a week is shown in the following table: Demand (cases) ...........
Support-department cost allocation: direct and step-down methods. Phoenix Partners provides management consulting services to government and corporate clients. Phoenix has two support...
Hudson Company operates two factories. The company applies factory overhead to jobs on the basis of machine hours in Factory 1 and on the basis of direct labor hours in Factory 2. Estimated factory...
In Kagan Company, materials are entered at the beginning of each process. Work in process inventories, with the percentage of work done on conversion costs, and production data for its Sterilizing...
Your class has volunteered to work for Referendum 13 on the November ballot, which calls for free tuition and books for all college courses except operations management. Support for the referendum...
Preparing an inventory purchases budget Naftel Company sells lamps and other lighting fixtures. The purchasing department manager prepared the following inventory purchases budget. Naftel's policy is...
Barington Mills manufactures denim cloth from two primary raw materials, cotton and dye. Work-in-processincludes lapped cotton, spun yarn, and undyed cloth, while finished goods includes three grades...
Carnes Electronics sells consumer electronics that carry a 90-day manufacturers warranty. At the time of purchase, customers are offered the opportunity to also buy a two-year extended warranty for...
The comparative balance sheet of Merrick Equipment Co. for December 31, 2014 and 2013 is as follows: Additional data obtained from an examination of the accounts in the ledger for 2014 are as...
Gamma Co. capital balances are: Barr $30,000, Croy $25,000 and Eubank $22,000. The partners share income equally. Tovar is admitted to the firm by purchasing one-half of Eubanks interest for $13,000....
a. Assume that Caro-Life wants to maximize the average sales potential of its ten offices. Where should it locate offices and what is the population and geographic area associated with each office?...
Dillard Co. has sales revenue of $100,000, cost of goods sold of $70,000, and operating expenses of $18,000. What is its gross profit?
Assume that the PwC contract auditors did, in fact, exert managerial authority over Boeing employees? What internal control problems or issues would that have posed for Boeing?
On January 22, Zentric Corporation issued for cash 180,000 shares of no-par common stock at $4. On February 14, Zentric Corporation issued at par value 44,000 shares of preferred 2% stock, $55 par...
The Baldwin Company wants to decrease its plant utilization for Buzz by 15%. How many units would need to be produced next year to meet this production goal? Ignore impact of accounts payable on...
Will Samsung likely achieve its goals in markets where it does not dominate, such as smart phones? Why or why not? In the world of consumer electronics, copycat brands are a dime a dozen. These are...
Transactions for the Sheldon Cooper Company, which provides welding services, for the month of June are presented below. Identify the accounts to be debited and credited for each transaction. June 1...
M. Gonzales has the following transactions during August of the current year. Indicate (a) The effect on the accounting equation (b) The debit-credit analysis illustrated on pages 6165 of the...
On January 1, 2014, Palka, Inc., acquired 70 percent of the outstanding shares of Sellinger Company for $1,141,000 in cash. The price paid was proportionate to Sellingers total fair value, although...
Two items are omitted from each of the following summaries of balance sheet and income statement data for two proprietorships for the year 2010, Craig Cantrel and Mills Enterprises....
Consider Table 6-2, Network Diagram Data for a Small Project. All duration estimates or estimated times are in days; and the network proceeds from Node 1 to Node 9. a. Draw an ADA network diagram...
1. If you were advising Squires management team on their impending decision, what would you tell them? 2. Is there an alternative to reduce the impacts of high diesel prices other than to develop...
Bolero Company holds 80 percent of the common stock of Rivera, Inc., and 40 percent of this subsidiarys convertible bonds. The following consolidated financial statements are for 2014 and 2015:...
On May 31, 2017, Reber Company had a cash balance per books of $6,781.50. The bank statement from New York State Bank on that date showed a balance of $6,404.60. A comparison of the statement with...
Strategy, balanced scorecard. Stanmore Corporation makes a special-purpose machine, D4H, used in the textile industry. Stanmore has designed the D4H machine for 2011 to be distinct from its...
Ichiro Manufacturing Co. uses the process cost system. The following information for the month of December was obtained from the company's books and from the production reports submitted by the...
Sharam Industries has a 120-day operating cycle. If its average age of inventory is 50 days, how long is its average collection period? If its average payment period is 30 days, what is its cash...
Ya Wen Corporations accumulated depreciationequipment account increased by $8,750, while $3,250 of patent amortization was recognized between balance sheet dates. There were no purchases or sales of...
The partners in Crawford Company decide to liquidate the firm when the balance sheet shows the following. The partners share income and loss 5:3:2. During the process of liquidation, the following...
Kim Hotels is interested in developing a new hotel in Seoul. The company estimates that the hotel would require an initial investment of $20 million. Kim expects that the hotel will produce positive...
Haglund Department Store is located in the downtown area of a small city. While the store had been profitable for many years, it is facing increasing competition from large national chains that have...
Is the counterfeiting of Louis Vuitton always a negative? Are there any circumstances where it can be seen as having some positive aspects?
Degelman Company uses a job order cost system and applies overhead to production on the basis of direct labor costs. On January 1, 2014, Job No. 50 was the only job in process. The costs incurred...
Trenton worked on four jobs during its first year of operation: nos. 401, 402, 403, and 404. A review of job no. 403's cost record revealed direct material charges of $40,000 and total manufacturing...
Paper Company acquired 80 percent of Scissor Company's outstanding common stock for $296,000 on January 1, 20X8, when the book value of Scissor's net assets was equal to $370,000. Problem 3-37...
What are the risks and benefits of expanding the Disney brand in new ways?
Will the Kindle revolutionize the book industry? Why or why not?
How do environmental factors affect response rates in personal interviews? How can we overcome these environmental problems?
Alden Co.s monthly sales and cost data for its operating activities of the past year follow. Management wants to use these data to predict future fixed and variable costs. Required 1. Prepare a...
The trial balance of Marius Santiago Co. shown below does not balance. Each of the listed accounts has a normal balance per the general ledger. An examination of the ledger and journal reveals the...
Delmott sells a snowboard, Xpert that is popular with snowboard enthusiasts. Below is information relating to Delmotts purchases of Xpert snowboards during September. During the same month, 102 Xpert...
Burns Boats wants to assemble 50 boats per 8-hour day, using a production line. Total task time for each boat is 45 minutes. a. What is the takt time? What is the theoretical mini mum number of...
Tanek Corp.s sales slumped badly in 2017. For the first time in its history, it operated at a loss. The companys income statement showed the following results from selling 500,000 units of product:...
Huang Trucking Company was organized on January 1, 2014. At the end of the first quarter (three months) of operations, the owner prepared a summary of its activities as shown in the first row of the...
Gerald Glynn manages the Michaels Distribution Center. After careful examination of his database information, he has determined the daily requirements for part-time loading dock personnel. The...
Elkins Company sold $2,500,000, 8%, 10-year bonds on July 1, 2010.The bonds were dated July 1, 2010, and pay interest July 1 and January 1. Elkins Company uses the straight-line method to amortize...
In a recent financial fraud case, city employees in Brooklyn, New York, accessed electronic databases to defraud the city of $20 million. Several employees in collusion with the former deputy tax...
Gallagher Company has gathered the information needed to complete its Form 941 for the quarter ended September 30, 2013. Using the information presented below, complete Part 1 of Form 941, reproduced...
On September 1, Nixa Office Supply had an inventory of 30 calculators at a cost of $18 each. The company uses a perpetual inventory system. During September, the following transactions occurred....
The financial statements for Highland Publications Corporation included the following selected information: Common stock $1,600,000 Retained earnings $900,000 Net income $1,000,000 Shares issued...
A contractor is preparing a bid to install swimming pools at a new housing addition. The estimated time to build the first pool is 35 hours. The contractor estimates an 85 percent learning rate,...
1. Consider Coca-Colas advertising throughout its history. Identify as many commonalities as possible for its various ads and campaigns. (For a list of Coca-Cola slogans over the years, check out...
What is the minimum cost of crashing the following project that James Walters manages at Ball State University by 4days? Normal Crash Time Time Normal Crash Immediate Activity (days) (days) Cost Cost...
Wanda Lux must select a supplier for a plastic bottle and proprietary dispenser for its new hair shampoo. Three suppliers have placed bids; at Wandas request all bids are for a shipping quantity of...
The trial balances shown below are before and after adjustment for Bere Company at the end of its fiscal year. Instructions Prepare the adjusting entries that weremade. BERE COMPANY Trial Balance...
Dan Watson started a small merchandising business in 2016. The business experienced the following events during its first year of operation. Assume that Watson uses the perpetual inventory system. 1....
Activity-based costing, merchandising Pharmacare, Inc., a distributor of special pharmaceutical products, operates at capacity and has three main market segments: a. General supermarket chains b....
Whitmore Company issued $500,000 of 5-year, 8% bonds at 97 on January 1, 2014. The bonds pay interest twice a year. Instructions (a) (1) Prepare the journal entry to record the issuance of the bonds....
The cash account for Stone Systems at July 31, 2014, indicated a balance of $17,750. The bank statement indicated a balance of $33,650 on July 31, 2014. Comparing the bank statement and the...
1. Define YouTube in terms of competitive advantage. 2. Of all Google's competitors, which ones should it attack? Which ones should it avoid? 3. Which basic competitive strategy does Google follow?...
Correct Intangible Asset Account Reichenbach Co., organized in 2009, has set up a single account for all intangible assets . The following summary discloses the debit entries that have been recorded...
Evaluate American Express in terms of its competitors. How well is it positioned? How has it changed over time? In what segments of its business does American Express face the most competition?
Describe in detail all the facets of JetBlues product. What is being exchanged in a JetBlue transaction? In 2007, JetBlue was a thriving young airline with a strong reputation for outstanding...
FansForYou is a small, privately owned company that manufactures fans. Large variations in demand due to seasonality have contributed to high costs for the company. FansForYou currently uses a level...
1. What additional information about the CEOs pay package should Don identify to potentially share with the employees? 2. How can Don explain the pay disparity to the employees to ease their concerns...
Assume that on February 1, Procter & Gamble (P&G) paid $720,000 in advance for 2 years insurance coverage. Prepare P&Gs February 1 journal entry and the annual adjusting entry on June 30.
Discuss the companys decision to grow beyond its core affluent consumer base. What did this do for the company and the brand?
Borghia Pharmaceuticals has $1 million allocated for capital expenditures. Which of the following projects should the company accept to stay within the $1 million budget? How much does the budget...
Polk Company builds custom fishing lures for sporting goods stores. In its first year of operations, 2012, the company incurred the following costs. Variable Cost per Unit Direct materials...
Nicholas is the facilities manager for Green Market Groceries. The store is remodeling and wants to determine which brand of freezer to use for its frozen goods section. The freezers vary by size,...
Selected ledger account balances for Success Systems follow. Required 1. Assume that Success Systems does not acquire additional office equipment or computer equipment in 2014. Compute amounts for...
Lena Fohn is a licensed accountant. During the first month of operations of her business, Lena Fohn, AG, the following events and transactions occurred. May 1 Shareholders invested 20,000 cash in...