1. Calculate the current ratio for a company with current assets of $80,000 and current liabilities of $40,000.

2. The bank statement shows an ending balance of $15,000 while the company's cash account in the Ledger indicates $14,500 identify and explain the reason for difference.

3. Given revenues of $100,000, expenses of $60,000 and taxes of $10,000 calculated the net income for the period.

4. Prepare the operating activities sections of cash flow statement using the indirect method based on the following information net income $50,000, depreciation $10,000, changes in working capital $5000.

5. Using the FIFO method calculate the cost of goods sold and ending inventory from the following data beginning elementary 100 units at $10 purchases, 200 units at $12, sales 150 units.

6. The company purchased office supplies on account for $500 record the double entry accounting transaction.

7. Given the following information calculate the net income: revenue $75,000, cost of goods sold $30,000, operating expenses $20,000, taxes $5000.

8. A company budgeted $10,000 for direct labour costs but incurred a $12,000 calculate labour cost very answer and identify whether it is favourable or unfavourable.

9. Prepare the operating activities section of a cash flow statement using the direct method: cash received from customers $60,000. cash paid for operating expenses $25,000. Cash paid for taxes $5000.

10. Calculate the return of equity (ROE) Using the formula: ROE= net income /average shareholders equity if the net income is $50,000 and average shareholders equity is $200,000 what is ROE?

11. A machine was purchased for $80,000 with an estimated useful life of 100,000 units and a salvage value of 5000 calculate the depreciation expenses for a year in which 20,000 units are produced. 12. Using the LIFO method calculate the cost of goods sold and ending inventory from the following data: Beginning inventory 200 units at $8, purchases 150 units at $10 ,sales 180 units

Answer rating: 100% (QA)

1 Current Ratio Current Assets Current Liabilities Current Ratio 80000 40000 Current Ratio 2 2 The reason for the difference between the bank statemen... View the full answer