also access the production plant. Sales Direct materials Direct Labor G&A nough raw materials to produce during this month, and as the Our CEO has decided to continue with production, even though we will not be able to sell and deliver until month 3. EBIT Please explain in detail which of the cost lines are product cost and which are period cost. Show a forecast of the Income statement for month 2 considering the same level of production as month 1. Manufacturing Overhead Depreciation Utilities Maintenance Gross Margin % GM Month 1 20.000 10.000 3.000 2.000 5.000 25% 700 4.300 400 900 700

also access the production plant. Sales Direct materials Direct Labor G&A nough raw materials to produce during this month, and as the Our CEO has decided to continue with production, even though we will not be able to sell and deliver until month 3. EBIT Please explain in detail which of the cost lines are product cost and which are period cost. Show a forecast of the Income statement for month 2 considering the same level of production as month 1. Manufacturing Overhead Depreciation Utilities Maintenance Gross Margin % GM Month 1 20.000 10.000 3.000 2.000 5.000 25% 700 4.300 400 900 700

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Please see below. The information is given. The picture includes what I need help with answering. Wolford Department Store is located in midtown Metropolis. During the past several years, net income has been declining because suburban shopping centers have been attracting business away from city areas. At the end of the company’s fiscal year on November 30, 2017, these accounts appeared in its adjusted trial balance. Accounts Payable $ 30,016 Accounts Receivable 19,264 Accumulated Depreciation—Equipment 76,160 Cash 8,960 Common Stock 39,200 Cost of Goods Sold 688,016 Freight-Out 6,944 Equipment 175,840 Depreciation Expense 15,120 Dividends 13,440 Gain on Disposal of Plant Assets 2,240 Income Tax Expense 11,200 Insurance Expense 10,080 Interest Expense 5,600 Inventory 29,344 Notes Payable 48,720 Prepaid Insurance 6,720 Advertising Expense 37,520 Rent Expense 38,080 Retained Earnings 15,904 Salaries and…
3. Selam Eatery operates a catering service specializing in business luncheons for large corporations. Selam requires customers to place their orders 2 weeks in advance of the scheduled events. Selam bills its customers on the tenth day of the month following the date of service and requires that payment be made within 30 days of the billing date. Conceptually, when should Selam recognize revenue related to its catering service?
Complete the following problems on an excel spreadsheet. Number your problems on a different tab. PA3 requires two special journals and a subsidiary ledger. PA3. The following transactions occurred for Donaldson Inc. during the month of July. Record the transactions for Donaldson Inc. in the proper special journal and subsidiary ledger. Jul. 1 Sold 50 items to Palm Springs Inc. and offered terms of 2/10, n/30, $4,000 on July 1, and issued invoice #12 on account number #312 Jul. 5 Sold 20 thing-a-jigs to Miami Inc. for $2,150 cash on July 5, and issued invoice #13 Jul. 8 Sold 30 what-is to Smith Mfg. for $5,000 and offered terms of 2/10, n/30; issued invoice #14 on account number #178 Jul. 9 Received payment from Palm Springs Inc. Jul. 22 Received payment from Smith Mfg. after expiration of the discount period
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DD Ltd operates a business to do with warehousing and distribution of books and CD’s for K Ltd, an on-line business. For this purpose, DD rented warehouses in each major town in the country and the actual delivery of orders was outsourced to a courier service. The market was becoming increasingly competitive and the year ending 31 December 2019 had not been as successful as the previous years. The founder and CEO was very frustrated with the complex integrated computer system that dealt with all the logistics. The system is down most of the time; as a result money is lost through lost business and poor service delivery. The CEO is of the view that there is real fear that K Ltd may penalize the company or indeed engage another company in the place of DD. A lot of money is spent on computer consultants who practically live at DD’s offices and what is worse they do not appear to make any difference.Since the logistical system was linked to the general ledger, all the problems had been…
Please dont copy past other answers from other websites. They are wrong. This is an activity in my workbook and is not for marks. The second picture is the layout of the answer. I need help with how to write the answer in the layout that's in my textbook. Question: Journalise ALL the above transactions for the year ended 28 February 2021 inthe General Journal including the year-end adjustment entries for depreciation.Round off to the nearest RandNarrations are not required
Bodow is an entertainment complex located in Trinidad & Tobago. It offers various activitiessuch as music, rides, slides, and souvenir shopping, and customers pay a fixed fee to enter.The complex has been in operation for the past seven years and remains open throughout theyear. However, weather-related issues often lead to a significant decrease in customerattendance, usually by 50%, on approximately 30 days each year.Bodow has experienced substantial success, with customer numbers increasing byapproximately 15% annually. Sales at Bodow are categorized as cash sales and credit cardsales. All ticket sales are recorded on a computer, including the amount of each sale and thenumber of tickets issued. This information is electronically transferred to the accounts office.Cash collected from each ticket office is counted by two accounts clerks and two securityguards before being banked daily. The total cash from each ticket office is reconciled with thesales information transferred from…
Tami Tyler opened Tami's Creations, Incorporated, a small manufacturing company, at the beginning of the year. Getting the company through its first quarter of operations placed a considerable strain on Ms. Tyler's personal finances. The following income statement for the first quarter was prepared by a friend who has just completed a course in managerial accounting at State University. Tami's Creations, Incorporated Income Statement For the Quarter Ended March 31 $ 1,128,000 Sales (28,200 units) Variable expenses: Variable cost of goods sold Variable selling and administrative Contribution margin Fixed expenses: $ 431,460 172,020 603,480 524,520 Fixed manufacturing overhead Fixed selling and administrative 249,600 536,520 $ (12,000) 286,920 Net operating loss Ms. Tyler is discouraged over the loss shown for the quarter, particularly because she had planned to use the statement as support for a bank loan. Another friend, a CPA, insists that the company should be using absorption…
The consultancy firm ABG was commissioned to prepare an economic study for the company HΨZ in December 20X0. During the last week of December, three (3) employees were engaged in the implementation of the study, but the study was not completed. Their hours of employment and expenses are given below:Employee Hours expensesAugustus 36 360Kingdom of Vasileiou 29 185George 22 0All expenses relate to travel on behalf of HPSZ. The annual salaries of Avgeriou, Vassiliou & Georgiou amount to €. 23.500, €. 38.200 and €. 47.300 respectively.As regards production overheads, these are estimated at 60% of the direct labour costs. Calculate the cost of ABG's inventory on 31/12/20X0 assuming that the hourly cost of each employee is based on his annual salary and an annual employment of 2,000 hours, representing the average annual employment of…
16. An inexperienced clerk prepared an income statement for the month of June. Carlos Villa was disappointed with the result of operation. You discovered that a bill for advertising leaflets ordered from Rajah Printing in the amount of P5,000 was not included. Salaries for the last week of June was still unpaid and unreported. You are to prepare a correct income statement. Should the owner be glad with the revised report you gave? VILLA'S MACHINE WORKS June 30, 2018 5:00 P.M. Revenues: Machine work income Investment by Carlos Villa, owner Loan from bank (including P1,000 interest expense) Expenses: Payment to long term creditors Cash withdrawn by Villa Expenses required for services provided to customers (1/4 for utilities, the balance shared equally by rent and salaries) Purchase of land Net Loss Required: Prepare a correct income statement. P 40,000 20,000 60,000 P 32,000 5,000 P120,000 30,000 64,000 131.000 P 11.000
Assume that you graduated from college with a major in finance and took a job with a large bank. After 3 years, you are laid off when the company downsizes. Describe the steps you’d take to “repackage” yourself for another field.