Module 1_ Mastery Exercise_ 23FB-FIN300-2
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Module 1: Mastery Exercise
Due
No due date
Points
10
Questions
10
Time Limit
None
Allowed Attempts
Unlimited
Instructions
Attempt History
Attempt
Time
Score
LATEST
Attempt 1
5 minutes
10 out of 10
Correct answers are hidden.
Score for this attempt: 10
out of 10
Submitted Aug 20 at 10:45pm
This attempt took 5 minutes.
Complete this graded mastery exercise on topics that were covered in the Interactive Lecture.
Take the Quiz Again
1 / 1 pts
Question 1
Which of the following legal forms of organization is characterized by
limited liability?
sole proprietorship partnership professional partnership corporation
Correct! Limited liability companys (LLC) members and a corporations shareholders all enjoy limited liability.
1 / 1 pts
Question 2
Strengths of the _____ form of business ownership include the owner
receiving all profits, low organizational costs and ease of dissolution, and
having income included on the owner's personal tax return.
holding company partnership sole proprietorship Correct! The partnership and the sole proprietorship forms of business are both flow-through entities meaning that the business is not taxed, but the taxable income is passed through to the owners personal tax.
corporation 1 / 1 pts
Question 3
Which of the following legal forms of organization is most expensive to
organize?
Sole proprietorships Corporations Correct! To form a corporation, the organization must file articles of incorporation with the state and incur other legal costs.
Partnerships Limited partnership 1 / 1 pts
Question 4
_____ are periodic distribution of earnings to the _____.
dividends; stockholders Correct! Shareholders are rewarded with periodic dividends.
interest payments; stockholders interest payments; bondholders dividends; bondholders 1 / 1 pts
Question 5
About 75 percent of all business firms are
Corporations Sole proprietorships Correct! Although corporations make up the majority of large businesses, there are more sole proprietorships than any other form of business in the U.S.
Partnerships
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You were asked to answer the following question:
Consider a small photography studio with 8 workers and 5 printers. The total cost of labor and capital is $3,300. In order to reduce total operating costs, the
owner leases 5 additional printers and fires 5 workers. After these changes, the salary of each worker increases by $30, the cost of using each of the printers (both
new and old) remains constant, and the total cost of labor and capital decreases to $2,950. What is the cost of using one printer?
The following answer is correct:
First, calculate the new total quantities of workers and printers after the changes were made.
New quantity of workers= 8-5= 3 workers
New quantity of printers = 5 + 5 = 10 printers
Assume that C,…
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Margin of Safety
Yellow Sticker Company's variable expenses are 40% of sales. The company has monthly fixed expenses of $15,000 and sells each unit for $0.50. The monthly target operating income is $7,500.
a. What is the monthly margin of safety in dollars if Yellow Sticker Company achieves its operating income goal?
SO
x in dollars
b. What is the monthly margin of safety in units if Yellow Sticker Company achieves its operating income goal?
x units
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Table of Contents > Week 9: Operational and legal Considerations > Lecture Notes > 09 Operational and Legal Considerations
09 Operational and Legal Considerations -
>
Calculating Capacity
• How many machines do you need?
• You expect your sales to be
3,000,000 granola bars (20g each)
• How large is your plant?
per month
• How many workers do you need?
The machine:
• How much is the investment?
Capacity: 100 kgs per hour
• What are the operating costs?
Requires 2 people to operate it
Takes 8 ft x 40 ft space
• Cost per machine $15,000
Energy and maintenance: $5 per hour
• Cost of material and packaging:
$0.12 per bar
I Group Project.xlsx
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2020-12-09
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Cullumber Co. has the following transactions related to notes receivable during the last 2 months of the year. The company does not make entries to
accrue interest except at December 31.
r.com: 24/7 On-
Tutoring
Nov. 1 Loaned $53,400 cash to C. Bohr on a 12-month, 9% note.
ary Resources
Dec. 11 Sold goods to K. R. Pine, Inc., receiving a $5,400, 90-day, 8% note.
16 Received a $9,600, 180-day, 8% note to settle an open account from A. Murdock.
31 Accrued interest revenue on all notes receivable.
Journalize the transactions for Cullumber Co. (Omit cost of goods sold entries.) (Credit account titles are automatically indented when amount is entered.…
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Which of the following is in accordance with generally accepted accounting principles?
Accrual-basis accounting
Cash-basis accounting
Both accrual-basis and cash-basis accounting
Neither accrual-basis nor cash-basis accounting
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Chegg Home Expert Q&A
Chapter Summary Assignment #3 (Ch 5 & 6) D2L quiz questions will be asked in
class based on your completion of this preparation guide. Example in class question: What is
the debit account in Question 2? You will not have time to complete this guide in class! You
are required to handwrite your answers to this assignment.
My answers
Part 1: Prepare Bluth Co.'s journal entries for each of the following transactions. Assume that
a perpetual inventory method is used.
Recording Purchases of Merchandise
1. Bluth Co. purchases $75,000 of inventory on account, terms 2/10 net
30 from Sitwell Enterprise.
2. Bluth Co. returns $5,000 of inventory to Sitwell Enterprise from the
initial purchase.
3
3. Bluth Co. pays the balance owed to Sitwell Enterprise, taking the
discount.
Recording Sales of Merchandise (new scenario)
4. Bluth Co. sells merchandise on account for $29,000 (terms 3/10 net
30) to Franklin Inc. The merchandise had cost Bluth Co. $15,500.
Show Transcribed…
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Barrick Gold Corporation is a mining company that produces gold and copper with 16 operating sites in 13 countries. It is
headquartered in Toronto, Ontario, Canada. On March 1, 2024, Barrick Gold receives $150,000 from Citizen Bank and promises to
deliver 95 units of certified 1-ounce gold bars on a future date. The contract states that ownership passes to the bank when Barrick
Gold delivers the products to Brink's, a third-party carrier. In addition, Barrick Gold has agreed to provide a replacement shipment at no
additional cost if the product is lost in transit. The stand-alone price of a gold…
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Cost of Materials Issuances
Bravo Wire Enterprises is a manufacturer of electrical conductors. The following incomplete subsidiary ledger is for wire cable during July:
a. Complete the materials issuances and balances for the wire cable subsidiary ledger. Assume a first-in, first-out cost flow.
Received
Receiving
Report
Number
Received
Quantity
Received
Unit Price
Issued
Materials
Requisition
Number
Issued
Quantity
Issued
Balance
Amount
Date
Balance
Quantity
Balance
Amount
Balance
Unit Price
309
200
$7.00
July 1
July 5
125
$750
$ 6.00
125 V
750 V
6.00
7401
240
July 10
422
400
$8.00
July 201
7639
325
July 26
b. Determine the balance of wire cable at the end of July,
1,280
c. Determine the total amount of materials transferred to Work in Process for July.
4.070
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Changes in Current Operating Assets and Liabilities-Indirect Method
Covington Corporation's comparative balance sheet for current assets and liabilities was as follows:
Dec. 31, 20Y2
Dec. 31, 20Y1
Accounts receivable
$15,300
Inventory
66,500
67,200
Accounts payable
20,100
0098
Dividends payable
000'
Adjust net income of $84,200 for changes in operating assets and liabilities to arrive at net cash flow from operating activities.
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Question 2
«Question 2 of 10
Goremann Corp (GC) has a total market value of $524 million. The market value of equity is $300 million and the company carries debt valued at $224 million. The before-tax cost of debt is 9
percent and the cost of equity is estimated at 14 percent. The statutory company tax rate is 35 percent. What is the weighted-average cost of capital for the company closest to?
O A. 9.34%.
O B. 10.52%.
3 points
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O C. 11.63%.
O D. 12.05%.
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Quick ratio
Adieu Company reported the following current assets and current liabilities for two recent years:
Dec. 31, 20Y4 Dec. 31, 20Y3
Cash
$830
$1,090
Temporary investments
1,200
1,500
Accounts receivable
820
910
Inventory
2,100
2,500
Accounts payable
1,900
2,500
a. Compute the quick ratio on December 31 for each year. Round to one decimal place.
20Υ4
20Υ3
Quick Ratio
b. Is the quick ratio improving or declining?
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Journalizing Installment Notes
On the first day of the fiscal year, a company issues $52,000, 11%, five-year installment notes that have annual payments of $14,070. The first note
payment consists of $5,720 of interest and $8,350 of principal repayment.
a. Journalize the entry to record the issuance of the installment notes. If an amount box does not require an entry, leave it blank.
b. Journalize the first annual note payment. If an amount box does not require an entry, leave it blank.
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Instructions
In this session, we have a 6-part comprehensive problem. Download the Session 6 Comprehensive Problem Templates below to complete the 6 required parts of the problem. You will need your Bergevin and MacQueen book for reference.
Rancho Cucamonga Inc. began business on January 1, 2020. The firm earned $100 from sales in its first year of business. Rancho Cucamonga collected $90 of revenue earned in cash during 2020 and reported a $10 account receivable on its 2020 balance sheet. The firm paid $70 cash for operating expenses in 2020 and reported a $5 account payable for unpaid operating expenses on its 2020 balance sheet. Income tax laws only recognize cash collected from sales and cash paid for expenses as taxable items in the year collected or paid.
Rancho Cucamonga also reported a $10 fine, paid in cash, to the federal government for unfair business practices. Generally accepted accounting principles allow firms…
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Florist Grump, Inc., had beginning retained earnings of $137,000. During the year, Florist Grump had net income of $63,000 and declared
and paid dividends of $18,000. What will be shown for ending retained earnings on Florist Grump's year-end balance sheet?
QUESTION 9
For the year ended December 31, Year 2
For the year ended December 31, Year 1
Revenues
$ 7,500
$ 500
Expenses
1,500
Net Income
December 31, Year 2
December 31, Year 1
Assets
$ 16,500
$ 1,000
500
Liabilities
Stock
300
300
Retained Earnings
1.$
200
Assume Year1 is the company's first year of business and there were $100 dividends in Year 1 and $100 dividends in Year 2. After
determining the missing amounts ($
Earnings 1.$
in the above…
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ATG-110-20A01: Financial Accounting (Session II Summer 2021)
7474 unread replies.7575 replies.
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the rubric to ensure you receive full points for this
discussion.
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TIF 12-2
Issuing Stock
1.
ETHICS Lou Hoskins and Shirley Crothers are
organizing Red Lodge Metals Unlimited Inc. to
undertake a high-risk gold mining venture in Canada.
Lou and Shirley tentatively plan to request
authorization for 400,000,000 shares of common
stock to be sold to the general public. Lou and Shirley
have decided to establish par of $0.03 per share in
order to appeal to a wide variety of potential
investors. Lou and Shirley believe…
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- Subject: acountingarrow_forwardEdit View History Bookmarks People Tab Window Help N Academic Tools :: Northern Virgi X 63% Mon 12:07 PM weCS Virginia Community College Syst X N CHAPTER 08 HW NOVA learn.vccs.edu/courses/240149/assignments/4704240?module_item_id=17254910 https://checkout.wileyplus.com/ X des View Policies rse Evaluations Current Attempt in Progress A Policies Cullumber Co. has the following transactions related to notes receivable during the last 2 months of the year. The company does not make entries to accrue interest except at December 31. r.com: 24/7 On- Tutoring Nov. 1 Loaned $53,400 cash to C. Bohr on a 12-month, 9% note. ary Resources Dec. 11 Sold goods to K. R. Pine, Inc., receiving a $5,400, 90-day, 8% note. 16 Received a $9,600, 180-day, 8% note to settle an open account from A. Murdock. 31 Accrued interest revenue on all notes receivable. Journalize the transactions for Cullumber Co. (Omit cost of goods sold entries.) (Credit account titles are automatically indented when amount is entered.…arrow_forwardView History Bookmarks Window Help A education.wiley.com 1 ך WP NWP Assessment Player UI Application DAXMED WALI FURINL Question 26 of 42 View Policies Current Attempt in Progress Which of the following is in accordance with generally accepted accounting principles? Accrual-basis accounting Cash-basis accounting Both accrual-basis and cash-basis accounting Neither accrual-basis nor cash-basis accounting Save for Later OO O Oarrow_forward
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