Magic Realm, Incorporated, has developed a new fantasy board game. The companysold 18,400 games last year at a selling price of $67 per game. Fixed expensesassociated with the game total $276,000 per year, and variable expenses are $47 pergame. Production of the game is entrusted to a printing contractor. Variable expensesconsist mostly of payments to this contractor.Required:1-a. Prepare a contribution format income statement for the game last year.1-b. Compute the degree of operating leverage.2. Management is confident that the company can sell 22,816 games next year (anincrease of 4,416 games, or 24%, over last year). Given this assumption:a. What is the expected percentage increase in net operating income for next year?b. What is the expected amount of net operating income for next year? (Do notprepare an income statement; use the degree of operating leverage to compute youranswer.)Complete this question by entering your answers in the tabs below.Req 1AReq 1BReq 2Prepare a contribution format income statement for the game last year.Magic Realm, IncorporatedContribution Income Statement$TotalPer Unit0 $00

The income statement commonly referred to as the profit and loss account, is a crucial financial…

Answered: Required: 1-a. Prepare a contribution…

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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Harrison Forklift's pension expense Includes a service cost of $23 million. Harrison began the year with a pension liability of $43 million (underfunded pension plan). 1. Interest cost, $11; expected return on assets, $17; amortization of net loss, $5. 2. Interest cost, $19; expected return on assets, $14; amortization of net gain, $5. 3. Interest cost, $19; expected return on assets, $14; amortization of net loss, $5; amortization of prior service cost, $6 million. Required: Prepare the appropriate general Journal entries to record Harrison's pension expense in each of the above Independent situations regarding the other (non-service cost) components of pension expense ($ in millions): (If no entry is required for a transaction/event, select "No journal entry required" In the first account field. Enter your answers in millions (l.e., 10,000,000 should be entered as 10).) View transaction list Journal entry worksheet < 2 3 1 Prepare the appropriate journal entry to record pension…
(Amortization of Accumulated OCI (G/L), Corridor Approach, Pension Expense Computation) The actuary for the pension plan of Gustafson Inc. calculated the following net gains and losses. Check the below image for net gains and losses , pension obligation and plan assets . Gustafson Inc. has a stable labor force of 400 employees who are expected to receive benefits under the plan. The total serviceyears for all participating employees is 5,600. The beginning balance of accumulated OCI (G/L) is zero on January 1, 2017. The market-related value and the fair value of plan assets are the same for the 4-year period. Use the average remaining service life per employee as the basis for amortization. Instructions(Round to the nearest dollar.)Prepare a schedule which reflects the minimum amount of accumulated OCI (G/L) amortized as a component of net periodic pension expense for each of the years 2017, 2018, 2019, and 2020. Apply the “corridor” approach in determining the amount to be amortized…
The accumulated benefit obligation measures __the shortest possible period for funding to maximize the tax deduction. __the pension obligation on the basis of the plan formula applied to years of service to date and based on future salary levels. __the level cost that will be sufficient, together with interest to provide the total benefits at retirement. __the pension obligation on the basis of the plan formula applied to years of service to date and based on existing salary levels.
The following refers to the pension spreadsheet (columns have missing amounts) for the current year for Ng Enterprises. ($ in millions) Debit(Credit) PBO Plan Assets Prior Service Cost Net (Gain)/Loss Pension Expense Cash Net Pension (Liability)/Asset Beginning balance 450 60 55 50 Service cost (85) Interest cost (25) Expected return on assets 55 Gain/loss on assets 3 Amortization of: Prior service cost Net gain/loss (1) Loss on PBO (65) Contributions to fund 40 Retiree benefits paid Ending balance (530) 54 122 What were the retiree benefits paid?
The following represents the aging of contributions receivable for McKenzie Health Foundation for the historical years ended June 30, 2020, 2019, 2018, 2017, 2016, and 2015. Contributions receivable vary significantly by year; however, contribution revenue has been fairly stable over the five-year period. Fiscal Year-End 6/30/2020 6/30/2019 6/30/2018 6/30/2017 6/30/2016 6/30/2015 Total contributions receivable $1,003,900 $1,225,650 $913,550 $1,907,700 $625,800 $483,750 Allowance for uncollectible contributions 31,689 40,100 29,327 68,870 21,903 19,530 Total contribution revenue 20,066,850 20,960,895 19,094,525 21,011,340 20,879,860 20,571,300 Aging of contributions receivable 0–30 days $546,000 $394,800 $457,800 $1,547,700 $625,800 $456,750 31–60 days 23,400 383,400 261,000 360,000 0 27,000 61–90 days 389,500 447,450 194,750 0 0 0 >90 days 45,000 0 0 0 0 0 $1,003,900 $1,225,650 $913,550 $1,907,700 $625,800 $483,750 a) Prepare a report…
Helping tags: Accounting, Intermediate Accounting . . . WILL UPVOTE, just pls help me answer it and show complete solutions. Thank you!
Haresh
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Manno Corporation has the following information available concerning its postretirement benefit plan for 2017. Service cost $40,000 Interest cost 47,400 Actual and expected return on plan assets 26,900 Compute Manno’s 2017 postretirement expense.
Projected revenue for year 20X1 is as follows: $823,155 in January, $685,546 in February, $454,050 in March, and $811,904 in April. Historical net revenues categorized by payer: Payer Revenue Percent Medicare 8,931,228 Medicaid 11,906,868 Blue Cross 10,159,306 Private 5,082,192 Total ? Collection patterns by payer: Payer Within 1 Month Within 2 Months Within 3 Months Within 4 Months Total Medicare 18% 26% 28% ? 100% Medicaid 6% 20% 49% ? 100% Blue Cross 11% 43% 26% ? 100% Private 59% 28% 6% ? 100% How much revenue do we expect to collect in total in March? (Do not round intermediate calculations. Round your final answer to 2 decimal places. Omit the "$" sign and commas in your response. For example, $12.3456 should be entered as 12.35.)
Harrison Forklift's pension expense includes a service cost of $12 million. Harrison began the year with a pension liability of $32 million (underfunded pension plan). 1. Interest cost, $8; expected return on assets, $6; amortization of net loss, $2. 2. Interest cost, $8; expected return on assets, $6; amortization of net gain, $2. 3. Interest cost, $8; expected return on assets, $6; amortization of net loss, $2; amortization of prior service cost, $3 million. Required: Prepare the appropriate general journal entries to record Harrison's pension expense in each of the above independent situations regarding the other (non-service cost) components of pension expense ($ in millions): (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions. (i.e., 10,000,000 should be entered as 10).) Journal entry worksheet 1. Prepare the appropriate journal entry to record pension expense in situation 1 above. 2.…
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Required: 1-a. Prepare a contribution format income statement for the game last year.