Ma1. 1) On a Bank Reconciliation, if our check was written for $492.83 and was processed as such by the bank, but had been shown in our company's accounting records as a check for $498.23, we would code this as a C+ item.T rue or False 2) In the Bottom-Up method of calculating required revenue, we treat the amount of desired net income (once we have calculated how much it should be) as:a. a variable cost. b. a step cost. c. unnecessary for the calculation. d. a fixed item. e. none of the above. 3) A large F variance from budget in a revenue item should be investigated. True or False 4) If a Bank Reconciliation cannot be made to balance, then something unusual has occurred and must be investigated. True or False 5) In preparing a bank reconciliation, we will code an NSF check (using the fabulous Bessner system) as: a. a C+ item. b. a C- item. c. a B+ item. d. a B- item. e. none of the above. 6) If a company wants to end up with an AFTER-TAX profit of $25,000, and its tax rate is 38%, the BEFORE-TAX amount it must earn (rounded to the nearest whole dollar) is: a. $34,500. b. $40,323. c. $65,789. d. $40,500. e. none of the above. 7) Budgeted fixed costs may sometimes turn out to have variances, when compared to actual fixed costs. True or False
Ma1.
1) On a Bank Reconciliation, if our check was written for $492.83 and was processed as such by the bank, but had been shown in our company's accounting records as a check for $498.23, we would code this as a C+ item.T
rue or False
2) In the Bottom-Up method of calculating required revenue, we treat the amount of desired net income (once we have calculated how much it should be) as:a.
a variable cost.
b. a step cost.
c. unnecessary for the calculation.
d. a fixed item.
e. none of the above.
3) A large F variance from budget in a revenue item should be investigated.
True or False
4) If a Bank Reconciliation cannot be made to balance, then something unusual has occurred and must be investigated.
True or False
5) In preparing a bank reconciliation, we will code an NSF check (using the fabulous Bessner system) as:
a. a C+ item.
b. a C- item.
c. a B+ item.
d. a B- item.
e. none of the above.
6) If a company wants to end up with an AFTER-TAX profit of $25,000, and its tax rate is 38%, the BEFORE-TAX amount it must earn (rounded to the nearest whole dollar) is:
a. $34,500.
b. $40,323.
c. $65,789.
d. $40,500.
e. none of the above.
7) Budgeted fixed costs may sometimes turn out to have variances, when compared to actual fixed costs.
True or False
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