I need this done using your own work.

Use the excel template I have attached.

Name:___________________________________________ ACC122 Mid-Term points Perform a Horizontal Analysis & Vertical Analysis of the Financial Statements below: 1 Anders Corporation Balance Sheet 2014 2013 Assets Cash $30,000 $25,000 Marketable securiti 20,000 25,000 Accounts receivable 40,000 25,000 Inventory 60,000 55,000 Prepaid expenses 16,000 10,000 Property, plant, an 234,000 200,000 Total assets ### ### Liabilities and Stockholders' Equity $60,000 $50,000 Current liabilities Long-term liabilities 100,000 90,000 Stockholders' equity 240,000 200,000 Total liabilities and ### ### Horizontal Analysis $ % 2014 Vertical Analysis % 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 Anders Corporation Income Statement Net sales ### ### Cost of goods sold 120,000 80,000 Gross margin ### $70,000 Selling an $16,000 $10,000 Interest e 8,000 5,000 Income ta 26,000 15,000 2.00 2.00 2.00 2.00 2.00 2.00 Net income $80,000 $40,000 2.00 Use the Financial Statements above to determine the following. Be sure to show your calculations. 2 What was the division's profit margin for 2014? 2.00 3 What was the division's accounts receivable turnover? 2.00 4 What was the division's inventory turnover? 2.00 5 What was the division's return on assets? 2.00 6 What was the division's asset turnover? 2.00 7 What was the division's current ratio? 2.00 8 The ability to pay bills when due and to meet unexpected needs for cash most closely describes a. cash flow adequacy. b. long-term solvency. c. liquidity. d. profitability. 2.00 9 One reason that a common-size statement is a useful tool in financial performance evaluation is that it enables the user to a. determine which companies in a single industry are of the same size. b. make better comparisons of two companies of different sizes in the same industry. c. judge the relative potential of two companies of similar size in different industries. d. determine which companies in a single industry are of the same value. 2.00 10 Management accounting reports a. are based on generally accepted accounting principles. b. must be prepared on a periodic basis. 2.00 c. d. 11 are generally publicly available. are primarily used by parties inside the organization. Which of the following is a difference between managerial and financial accounting? a. 2.00 Managerial accounting reports non-monetary information whereas financial accounting reports both monetary and non-monetary information. Managerial accounting is used by government authorities whereas financial accounting is used by stockholders. Managerial information is confidential whereas financial accounting information is publicly available. Managerial accounting prepares reports monthly whereas financial accounting prepares reports annually. b. c. d. 12 Depreciation expense could be a. a period cost. b. a product cost. c. a fixed cost. d. All of these 2.00 13 At production levels below the breakeven point, ________. 2.00 a. b. c. d. fixed costs are recovered. profit is negative. variable costs are zero. fixed costs are zero. 14 Use the information below from Joe's Toys to prepare the statement of cost of goods manufactured. InventorieBeginning Ending Materials $42,000 $45,000 inventory Work in process inventory 30,000 27,000 Direct materials purchase d 125,000 Total direct labor costs 190,000 Total indirect labor costs 60,000 Utilities Deprecia tion 10,000 30,000 Small tools Factory insuranc e 3,000 15,000 Factory supervisi on 65,000 Miscella neous overhead costs 5,000 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 15 Which best describes characteristics of a job order costing system? a. b. c. d. 16 17 Uses several Work in Process Inventory accounts Uses job cost cards to keep track of each job in process Assigns costs to specific processes Recognizes cost of materials when products are sold Which describes the typical relationship between variable costs and volume? a. b. c. d. 2.00 Total variable costs increase in an erratic, unpredictable fashion with changes in volume. Total variable costs stay constant with changes in volume. Unit variable costs increase with changes in volume up to a certain point and then remain constant. Total variable costs increase in direct proportion to increases in volume. Which type of costs decreases with an increase in number of units sold? a. b. c. d. 2.00 2.00 Total variable costs Total fixed costs Unit variable cost Unit fixed cost 18 Information on the costs for job 178 is listed below: units 500.00 direct labor $48,000 direct materials $55,000 overhead $60,000 a. What is the unit product cost? 3.00 b. What are the prime costs per unit? 3.00 c. What are the conversion costs per unit? 19 3.00 Clark Inc. produces designer watches. Each watch requires the following. Material $ 20.00 Direct Lab 3 Supervisor $30,000 Hourly wa $ 5.00 If the company produces 250 watches in a year, 20 a What is the fixed cost per watch? 3.00 b What is the variable cost per watch? 3.00 c What is the unit product cost? 3.00 The following are monthly totals taken from the log of laser printer used by the Hardcopy Inc. Cost was based on a flat fee plus declining cost per copy made after a minimum number of copies had been made each month. Month # of Total Cost Copies Made Septemb 23,000 er 10,250 October Novemb er 35,400 38,000 11,300 12,100 Decembe 48,600 r 18,500 Using the high low method determine: 21 (a) the variable cost per copy 3.00 (b) fixed costs for Sept. & Dec. 3.00 Campground Inc. is considering the production and sale of propane lamps. Expected annual fixed costs ar ### Sale Price per lamp $ 12.00 Variable cost per lamp $ 4.50 Calculate 3.00 (a) the breakeven point in units 3.00 (b) the breakeven point in dollars 3.00 (c) the number of lamps that must be sold to earn a profit of $120,000 3.00 (d) the operating income or loss at a sales volume of 16,000 lamps 150.00