In alphabetical order below are current asset items for Dieker Companys balance sheet at December 31, 2010. Prepare the current assets section (including a complete heading). Accounts receivable...

LaSalle Company established a petty cash fund on May 1, cashing a check for $100. The company reimbursed the fund on June 1 and July 1 with the following results. June 1: Cash in fund $1.75....

Virginia Tech operates its own power generating plant. The electricity generated by this plant supplies power to the university and to local businesses and residences in the Blacksburg area. The...

The following selected information was extracted from the 20x1 accounting records of Lone Oak Products: Raw material purchases ................................ $ 175,000 Direct labor...

Southwest Tours Co. is travel agency. The nine transactions recorded by Southwest Tours during May 2012, its first month of operations, are indicated in the following T accounts: Indicate for each...

Terminator, Inc. manufactures a motorcycle part in lots of 250 units. The raw materials cost for the part is $150, and the value added in manufacturing unit from its components is $300, for a total...

Sherwin Williams will receive $18,500 a year for the next 25 years as a result of a picture he has painted. If a discount rate of 12 percent is applied, should he be willing to sell out his future...

Oscar Geer, a mid-level product manager for Theresa's Shoes, thinks his company should switch from LIFO to FIFO. He says, "My bonus is based on net income. If we switch it will increase net income...

Blundell Biotech is a U.S.-based biotechnology company with operations and earnings in a number of foreign countries. The company's profits by subsidiary, in local currency (in millions), are shown...

Tara Harris opened Tara's Maids Cleaning Service, Ltd. on July 1, 2017. During July, the company completed the following transactions. July 1 Shareholders invested 15,000 cash in the business in...

According to a summary of the payroll of Bailik Co., $880,000 was subject to the 6.0% social security tax and the 1.5% Medicare tax. Also, $40,000 was subject to state and federal unemployment taxes....

(a) What is the par or stated value of Coca-Colas and PepsiCos common or capital stock? (b) What percentage of authorized shares was issued by Coca-Cola at December 31, 2007, and by PepsiCo at...

Thornton Computer Timeshare Company entered into the following transactions during May 2012. 1. Purchased computer terminals for $20,000 from Digital Equipment on account. 2. Paid $4,000 cash for May...

The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company. Rent expense and salaries expense are equally divided between selling activities and the general and...

The Central Valley Company has prepared department overhead budgets for budgeted-volume levels before allocations as follows: Management has decided that the most appropriate inventory costs are...

Carl Conch and Mary Duval are married and file a joint return. They live at 1234 Mallory Sq. Apt. 64, Key West, FL 33040. Carl works for the Key Lime Pie Company and Mary is a homemaker after losing...

Notes Receivable with Unrealistic Interest Rate On December 31, 2009, Hurly Co. performed environmental consulting services for Cascade Co. Cascade was short of cash, and Hurly Co. agreed to accept a...

For the past several years, Kareem Ismail has operated a part-time consulting business from his home. As of October 1, 2010, Kareem decided to move to rented quarters and to operate the business,...

The Cakebread Candy Company presents the following data for October: During the month, the firm purchased 49,000 pounds of materials for $127,500. Wages earned were $214,000. Compute the labor and...

What is the one greatest strength of a pluralistic society? What is the one greatest weakness? Do these characteristics work for or against business?

The May transactions of Hanschu Corporation were as follows. May 4 Paid $700 due for supplies previously purchased on account. 7 Performed advisory services on account for $6,800. 8 Purchased...

Phil Collins Realty Corporation purchased a tract of unimproved land for $55,000. This land was improved and subdivided into building lots at an additional cost of $34,460. These building lots were...

At August 31, Pratt Company has a cash balance per books of $9,500 and the following additional data from the bank statement: charge for printing Pratt Company checks $35, interest earned on checking...

Sol Pine borrows $5,000 for one year at 13 percent interest. What is the effective rate of interest if the loan is discounted?

Reliable Electric is considering a proposal to manufacture a new type of industrial electric motor which would replace most of its existing product line. A research breakthrough has given Reliable a...

The Riteway Ad Agency provides cars for its sales staff. In the past, the company has always purchased its cars from a dealer and then sold the cars after three years of use. The companys present...

The following events took place for Air Temp Manufacturing Company during January, the first month of its operations as a producer of digital thermometers: a. Purchased $68,000 of materials. b. Used...

Explain why managing productivity is important in operations management.

1. Why did NIBCO decide to purchase an ERP system? 2. Describe the pros and cons of a Big Bang approach, versus a less risky rollout strategy. If you had been the IS head at NIBCO, what approach...

Sylvestor Systems borrows $110,000 cash on May 15, 2015, by signing a 60-day, 12% note. 1. On what date does this note mature? 2. Suppose the face value of the note equals $110,000, the principal of...

Microtech Corporation is expanding rapidly and currently needs to retain all of its earnings; hence, it does not pay dividends. However, investors expect Microtech to begin paying dividends,...

Weber Company purchases $45,000 of raw materials on account, and it incurs $60,000 of factory labor costs. Journalize the two transactions on March 31 assuming the labor costs are not paid until...

Assume that Ocean King Products sells three varieties of canned seafood with the following prices and costs: The sales mix (in cases) is 40 percent Variety 1, 35 percent Variety 2, and 25 percent...

1. Based on the information provided in the case, do you think the political risk associated with Thailand is higher or lower for a manufacturer of leisure products such as Blades as opposed to, say,...

1. Given the ideas presented about Apples strategy, what HR actions would be most suitable for supporting that strategy? 2. What challenges would you expect to be most significant for Apples HR staff...

Diamondback Welding & Fabrication Corporation sells and services pipe welding equipment in Illinois. The following selected accounts appear in the ledger of Diamondback Welding & Fabrication...

You are engaged to audit the Ferrick Corporation for the year ended December 31, 2013. Only merchandise shipped by the Ferrick Corporation to customers up to and including December 30, 2013, has been...

1. In what way(s) has Ken Frazier demonstrated his effectiveness as a crisis leader? 2. Given our discussion on the distinction between a traditional and learning organization, what type of...

1. Olympians generally do not turn into global phenomena. One reason is that they are highlighted only every four years (e.g., not too many people follow competitive swimming or downhill skiing...

Accounting for Franchise, Patents, and Trade Name Information concerning Sandro Corporations intangible assets is as follows. 1. On January 1, 2010, Sandro signed an agreement to operate as a...

I am going to focus on the customers of my business and leave cost-allocation issues to my accountant. Do you agree with this comment by a division president? Why?

Cost of goods manufactured. Consider the following account balances (in thousands) for the Canseco Company: If you want to use Excel to solve this problem, go to the Excel lab at...

Santana Corporation manufactures snowmobiles in its Blue Mountain, Wisconsin, plant. The following costs are budgeted for the first quarters operations. Machine setup, indirect materials ........ $...

On March 31, 2018, Chow Brothers, Inc., bought 10% of KT Manufacturing's capital stock for $50 million. KT's net income for the year ended December 31, 2018, was $80 million. The fair value of the...

Capitalization of Interest McPherson Furniture Company started construction of a combination office and warehouse building for its own use at an estimated cost of $5,000,000 on January 1, 2010....

Alyeska Services Company, a division of a major oil company, provides various services to the operators of the North Slope oil field in Alaska. Data concerning the most recent year appear below:...

McDonalds did very well during the recession in the late 2000s. With the economy turning around for the better, should McDonalds change its strategy? Why or why not?

Merry Olde Games produces croquet sets. The company makes fixed monthly payments to the local utility based on the previous years electrical usage. Any difference between actual and expected usage is...

Kohl's Corporation's 7.25% bonds due in 2029 were reported as selling for 115.948. Were the bonds selling at a premium or at a discount? Why is Kohl's able to sell its bonds at this price?

The BackPack Company produces a line of backpacks. The manager, Jill Nicholas, is interested in using a level aggregate plan. Inventories and back orders will be used to handle demand fluctuations....

Kirk Van Houten, who has been married for 23years, would like to buy his wife an expensive diamond ring with a platinum setting on their 30-year wedding anniversary. Assume that the cost of the ring...

American Auto is evaluating their marketing plan for the sedans, SUVs, and trucks they produce. A TV ad featuring this SUV has been developed. The company estimates that each showing of this...

You and a classmate are assigned a project on which you will receive one combined grade. You each want to receive a good grade, but you also want to avoid hard work. In particular, here is the...

Comparative statement data for Farris Company and Ratzlaff Company, two competitors, appear below. All balance sheet data are as of December 31, 2015, and December 31, 2014. Instructions (a) Prepare...

1. MiniCase 20 details three ethics scandals at UBS in recent years. What does that tell you about UBS? 2. Given the UBS ethics failings, who is to blame? The CEO? The board of directors? 3. What...

Madison Seniors Care Center is a nonprofit organization that provides a variety of health services to the elderly. The center is organized into a number of departments, one of which is the...

Cost data for Tiwana Manufacturing Company for the month ended May 31, 2014, are as follows: a. Prepare a cost of goods manufactured statement for May 2014. b. Determine the cost of goods sold for...

The Farmers American Bank of Leesburg is planning to install a new computerized accounts system. Bank management has determined the activities required to complete the project, the precedence...

"Part 1: The Performance Lawn Equipment database contains data needed to develop a pro forma income statement. Dealers selling PLE products all receive 18% of sales revenue for their part of doing...

Mr. H. Salt purchased a 1/8 interest in a producing oil well for $45,000. Recoverable oil reserves for the well were estimated at that time at 15,000 barrels 1/8 of which represented Mr. Salt's share...

1. What factors should Perkins and Balkin consider when setting the wage for the purchasing agent position? What resources are available for them to consult when establishing this wage? 2. Suggest...

Kelly, age 35, is a single parent and has a one-year-old son. She earns $45,000 annually as a marketing analyst. Her employer provides group life insurance in the amount of twice the employees...

Kijijo Auctions runs an online auction company. Its end- of- year financial statements indicate the following results. Calculate the companys net profit margin expressed as a percent (to one decimal...

Gayles Glassworks makes glass flanges for scientific use. Materials cost $1 per flange, and the glass blowers are paid a wage rate of $28 per hour. A glass blower blows 10 flanges per hour. Fixed...

Ware Co. produces and sells motorcycle parts. On the first day of its fiscal year, Ware Co. issued $35,000,000 of five-year, 12% bonds at a market (effective) interest rate of 10%, with interest...

Italian Stallion has the following transactions during the year related to stockholders equity. February 1 Issues 6,000 shares of no-par common stock for $16 per share. May 15 Issues 700 shares of...

The comparative condensed balance sheets of Conard Corporation are presented below. Instructions(a) Prepare a horizontal analysis of the balance sheet data for Conard Corporation using 2010 as a...

Using the audit risk model, state the effect on control risk, inherent risk, acceptable audit risk, and planned evidence for each of the following independent events. In each of the events a to j,...

The following cost data for the year just ended pertain to Sentiments, Inc., a greeting card manufacturer: Direct material ..................................................................$2,100,000...

Each of the following items must be considered in preparing a statement of cash flows (indirect method) for Turbulent Indigo Inc. for the year ended December 31, 2014. a) Plant assets that had cost...

The following information is available for Sedona, Inc., as of May 31, 2014: a. Cash on the books as of May 31 amounted to $42,754.16. Cash on the bank statement for the same date was $52,351.46. b....

1. A company has an inventory of 1,250 assorted parts for a line of missiles that has been discontinued. The inventory cost is $ 76,000. The parts can be either (a) remachined at total additional...

On May 1, 2017, Richardson Inc. entered into a contract to deliver one of its specialty mowers to Kickapoo Landscaping Co. The contract requires Kickapoo to pay the contract price of $900 in advance...

Ratio Computation and Analysis; Liquidity) as loan analyst for Madison Bank, you have been presented the following information. Each of these companies has requested a loan of $50,000 for 6 months...

Revenue Recognition on Marina Sales with Discounts Taylor Marina has 300 available slips that rent for $800 per season. Payments must be made in full at the start of the boating season, April 1,...

In Wayne 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...

Altugs Coffee Shop decides to install an automatic coffee vending machine outside one of its stores to reduce the number of people standing in line inside. Mehmet Altug charges $ 3.50 per cup....

1. Is there a difference between aggressive accounting and earnings management? Would the motivation for using the techniques described in this case influence whether they should be labeled as...

Fred Nappa is planning to take a wine-tasting tour through Italy this summer. The tour will cost 2,750 euros () and includes transportation, hotels, and a guide. Fred estimates that round-trip...

Suppose the government borrows $20 billion more next year than this year. a. Use a supply-and-demand diagram to analyze this policy. Does the interest rate rise or fall? b. What happens to...

Diez Company produces sporting equipment, including leather footballs. Identify each of the following costs as direct or indirect. The cost object is a football produced by Diez. 1. Electricity used...

The Optima Mutual Fund has an expected return of 20%, and a volatility of 20%. Optima claims that no other portfolio offers a higher Sharpe ratio. Suppose this claim is true, and the risk-free...

At January 1, 2010, Beidler Company reported retained earnings of $2,000,000. In 2010, Beidler discovered that 2009 depreciation expense was understated by $400,000. In 2010, net income was $900,000...

Bargain Rental Car offers rental cars in an off-airport location near a major tourist destination in California. Management would like to better understand the behavior of the companys costs. One of...

Presented on the following pages are partial financial statements for the City of Shenandoah, including: Fiscal year 2012: A. Total Governmental Funds: Balance Sheet Statement of Revenues,...

Kinnion Medical Clinic has budgeted the following cash flows. Kinnion Medical had a cash balance of $8,000 on January 1. The company desires to maintain a cash cushion of $5,000. Funds are assumed to...

The Great North Woods Clothing Company is a mail-order company that processes thousands of mail and telephone orders each week. They have a customer service number to handle customer order problems,...

Multiple Choice Questions The following items apply to determining sample sizes using random sampling from large populations for attributes sampling. Select the most appropriate response for each...

Melissa Adduci has prepared the following list of statements about depreciation. 1. Depreciation is a process of asset valuation, not cost allocation. 2. Depreciation provides for the proper matching...

According to a news story about the bus system in the Lehigh Valley in Pennsylvania, Ridership fell 14 percent in 2012 after a 33 percent increase in bus fares. Based on this information, is the...

A firm purchased some equipment at a very favorable price of $30,000. The equipment resulted in an annual net saving of $1000 per year during the 8 years it was used. At the end of 8 years, the...

Parry Company has accounts receivable of $95,400 at March 31, 2012. An analysis of the accounts shows these amounts. Credit terms are 2/10, n/30. At March 31, 2012, there is a $2,100 credit balance...

What should Mr. Rutland do? Include the following issues: Budget: acquiring adequate resources Philanthropic organizations Governmental agencies Donations Memberships Visitors Budget:...

Bailey Cleaners has the following balance sheet items. Accounts payable ........Accounts receivable Cash ...........Notes payable Equipment ..........Salaries and wages payable Supplies...

Carmel Rugs is holding a 2-week carpet sale at Jeans Club, a local warehouse store. Carmel Rugs plans to sell carpets for $ 1,000 each. The company will purchase the carpets from a local distributor...

Refer to the information in Exercise 17-26. Suppose that Trendy uses the FIFO method instead of the weighted-average method in all of its departments. The only changes to Exercise 17-26 under the...

Green City Builders' balance sheet data at May 31, 2016, and June 30, 2016, follow: For each of the following situations with regard to common stock and dividends of a corporation, compute the amount...

Java Source, Inc. (JSI), is a processor and distributor of a variety of blends of coffee. The company buys coffee beans from around the world and roasts, blends, and packages them for resale. JSI...

Smithson Cutting is opening a new line of scissors for supermarket distribution. It estimates its fixed cost to be $500.00 and its variable cost to be $0.50 per unit. Selling price is expected to...

On January 1, 2014, Corgan Company acquired 80 percent of the outstanding voting stock of Smashing, Inc., for a total of $980,000 in cash and other consideration. At the acquisition date, Smashing...