Budgeting serves various purposes including planning, control, motivation and communication. You have been requested by the Finance Director to explain the importance of budgeting.
Q: At the beginning of the year, the Lisa’s Brewery purchased a 25 percent ownership interest in Down…
A: Answer A. income statement effect of Lisa’s’s investment in Down Under Brewery as of year-end.…
Q: SOCK SHOP Inc. began operating on September 1, 2022. SOCK SHOP follows IFRS and prepares adjusting…
A: Allowing Customers to Purchase free pairs of Products is common in the Business world as it is a…
Q: WikWok hires a consultant for a new project, and issues common stock with a par value of $100 in…
A: Journal entries refers to the entries which are made at the end of the period or year and it records…
Q: The following information pertains to land contributed by Bea Dott for a 20% interest in a new…
A: 1. The correct answer is: (B) $ 6,000 Adjusted basis of land contributed $42,000Less: Share of…
Q: 1. What does self assessment mean?
A: Self assessment refers to the act or the procedure of analysing as well as determining the actions…
Q: 1. Your uncle Bob owned 5,000 shares of Apple Corp that he purchased for $75,000 in 1999. He…
A: My uncle purchased 5000 shares of Apple corp that he purchased for $75000 in 1999. I have inherited…
Q: 2. Assume that Mr. TD, a resident citizen employee, has the following compensation income for year…
A: The questions asked to compute the income tax payable by Mr. TD, and, Mr, DD. According to the…
Q: Cost of Quality and Value-Added/Non-Value-Added Reports for a Service Company Three Rivers Inc.…
A: Cost of quality is a methodology to identify when and where the organization's resources have been…
Q: Question no. 11: solved: The following are the maintenance costs of Al-Aqsa Trading Company during…
A: Variable Cost :— It is the cost that changes with change in cost driver. Variable cost per unit is…
Q: Ms. Elpram manages a bond portfolio valued at $105 million. The bonds in this portfolio have a face…
A: This problem involves calculating the net profit from a hedged position in the bond market, which…
Q: Your client sells a taxable item and ships it to a customer that is out of state. There is no sales…
A: Sales tax is a tax applied to goods and services that are purchased, usually at the point of sale.…
Q: Technoid Incorporated sells computer systems. Technoid leases computers to Lone Star Company on…
A: Lease Agreement When two parties agreed to initiate a lease where one party provides an asset for…
Q: SABIC is preparing its master budget for the coming year 2023. Relevant data pertaining to its…
A: An income statement is a financial report that indicates the revenue and expenses of a business. It…
Q: i) Which is a better account? Savings or time deposit? Support your answer. (ii) Why is there a…
A: There are many times of account available in banking system to satisfy the customers need of the…
Q: payroll wwww
A: Tax is essentially a compulsory contribution to the state revenue. It gets remitted to the…
Q: Tobin's Frozen Pizza Inc. has determined from its production budget the following estimated…
A: Direct material budget: It is the budget prepared by a company to estimate the requirement of…
Q: Fitzpatrick Company had $500 of accrued salary expenses that will be paid during the following…
A: Journal entries Journal entries are defined as the entries recorded in the accounting books in…
Q: Asset Turnover Ratio Current Ratio Days in Inventory Ratio Debt to Assets Ratio Financial Pressure…
A: Accounting refers to recording, analysing as well as interpreting the financial statements of the…
Q: The Polaris Company uses a job-order costing system. The following transactions occurred in October:…
A: JOURNAL LEDGER A ledger is a book or collection of accounts in which account transactions are…
Q: The cost of acquisition of the asset is 90 000 leva. The residual value is 30 000 leva. The useful…
A: Double declining balance It is method of an accounting that involves depreciating certain assets at…
Q: On December 31, 2022, the following information were taken from the trial balances of ABC Company…
A: "Since you have posted a question with multiple subparts, we will solve the first three subparts for…
Q: Frodo Corp. bought Aardvark Co. in 2021 and appropriately recorded goodwill related to the purchase.…
A: Goodwill is the amount in business combination, which is paid more than the fair value of…
Q: costs
A: Product costs are actually costs required to manufacture a product or run a service. These costs are…
Q: below and answer the questions that follow. Oil Marketing Company (OOMCO) has been awarded a project…
A: Business - A person who produces items or provides services with the intention of selling them for a…
Q: 5 The following is a list of assets and claims of a manufacturing business at a particular point in…
A: The balance shet will be prepared as follows: Balance sheet: Particulars Amount Assets:…
Q: Compute net cash provided by investing activities to be reported in the statement of cash flows of…
A: Cash from the source of the investing activities is the net of the cash flows which has been used by…
Q: What user type is appropriate for nonprofit companies that need to provide reporting access to their…
A: Non-profit companies are the companies which primary purpose is not a profit generation rather these…
Q: A transaction has been recorded in the T-accounts of Gibbs Company as follows: Unearned Revenue…
A: From the posting to the accounts it is clear that cash is debited and accrued revenue is credited…
Q: ATZ Corporation produces a popular brand of vacuum cleaners that is backed by a five-year warranty.…
A: Cost of Quality Cost of quality is the concept that includes all the costs relating to manufacturing…
Q: You are the recently appointed accountant at E-SCOOTER Ltd a new company, which will be incorporated…
A: The cash budget is the company's budget for the inflow and outflow of cash during a specific period…
Q: Splash plc: Cash Flow Statement for the year ending 31 December 2013 Cash flows from operating…
A: Cash flow statement shows the cash receipts and cash payments by classifying the every transaction…
Q: In the course of your audit of Cash of Hello Corporation as of and for the period ended December 31,…
A: This problem involves the determination of cash and cash equivalents. In accounting, cash and cash…
Q: Procter Company owns 80% of the outstanding stock of Silex Company. On January 1, 2019, Silex…
A: Journal entry is an account where the company records the financial transactions of the company on…
Q: Leak Enterprises LLC recorded the following transactions for the just completed month. The company…
A: Under-or-overapplied manufacturing overhead=Manufacturing overhead applied-Manufacturing overhead…
Q: Why do we need International Financing Reporting Standards (IFRS) for accounting and what are its…
A: IFRS is an international accounting language that enables businesses to communicate financial…
Q: Pass the journal entries of the following transaction. January 1: Started business with cash of…
A: Each journal entry contains the date, the sum to be credited and debited, a short outline of the…
Q: divides its customers into two groups: new customers and upgrade customers (those who previously…
A: Cost is the expenses which have been incurred for production, marketing and selling a product, from…
Q: At the beginning of last year (2021), Richter installed a semi-auto machine for its production. The…
A: When a company decides to evaluate to an alternative then it may use incremental analysis. The…
Q: On October 1, Year 1, Jason Company paid $2,700 to lease office space for one year beginning…
A: Given, Lease = $2,700 The rent expense of the year 1 is of 3 months that is from October to…
Q: 1. Assume that Mr. OD, a resident citizen employee, has the following compensation income for year…
A: The question asked to compute the income tax payable by Mr. OD for the year 2022. Income tax…
Q: Instructions Equipment was acquired at the beginning of the year at a cost of $550,000. The…
A: Journal Entry :— It is an act of recording transaction in books of account when transaction…
Q: Given the following information, compute operating income - Cost of Goods Sold $2,000 Extraordinary…
A: Lets understand the basics. Opearing income is as name suggest income which is generated from the…
Q: 8. What is the payback period of a project that has an initial investment of $100,000 and generates…
A: Answer (8)The payback period of a project is the amount of time it takes for the net present value…
Q: The management of William Broom Co. has calculated the following variances: Direct materials cost…
A: Direct Material Variance: The difference between the actual cost of the actual number of units…
Q: Which of the following statements regarding the statement of cash flows is false?
A: A cash flow statement is an important tool used to manage finances by tracking the cash flow for an…
Q: Barclays Company is preparing the company's statement of cash flows for the fiscal year just ended.…
A: DIVIDEND PAYABLE Dividends payable are dividends that a company's board of directors has…
Q: Why are transactions testing important? Please provide enough context
A: Transaction testing is a process to ensure complete integrity of business transactions. It is…
Q: Greflow Communications Ltd manufactures component parts for cellular telephones. The business was…
A: "Since you have posted a question with multiple subparts, we will solve the first three subparts for…
Q: (c) Assume that Kingbird Diamonds uses the average-cost cost flow assumption. Calculate cost of…
A: INVENTORY VALUATION Inventory Valuation is a Method of Calculation of Value of Inventory at the…
Q: Static Budget versus Flexible Budget The production supervisor of the Machining Department for…
A: Variable Cost :— It is the cost that changes with change in cost driver. Variable cost per cost…
Budgeting serves various purposes including planning, control, motivation and communication. You have been requested by the Finance Director to explain the importance of budgeting.
Step by step
Solved in 2 steps
- Which budget is the starting point in preparing financial budgets? the budgeted income statement the budgeted balance sheet the capital expense budget the cash receipts budgetExplain how a budgeted income statement for a service business may be used for both planning and control purposes.Why is a clear understanding of managements goals and objectives necessary for effective budgets?
- Which of the following is true in a bottom-up budgeting approach? Every expense needs to be justified. Supervisors tell departments their budget amount and the departments are free to work within those amounts. Departments budget their needs however they see fit. Departments determine their needs and relate them to the overall goals.Which of the following includes only financial budgets? capital asset budget, budgeted income statement, sales budget production budget, capital asset budget, budgeted balance sheet cash budget, budgeted balance sheet, capital asset budget budgeted income statement, direct material purchases budget, cash budgetExplain why it would be beneficial to prepare a cash forecast, or a cash budget, for an organization. Share the best practices you would implement when budgeting for an organization.
- Need him with the decriotionaIncluding the budget's objective, how the budget assists an organization in managing its financial activities, and what types of data need to be included in that specific budgetDescribe the importance of Budgeting in the BusinessEach of the following statements includes a pair of words within parenthesis. Indicate which of the words should be chosen to make the statement true. The first statement is done as an example. A ( loan application / budget ) is a detailed financial plan that quantifies future expectations and actions relative to acquiring and using resources. Budgets ( should / should not ) be used to provide managers with "preapproval" for execution of spending plans. The (master budget / sales budget ) is a comprehensive document specifying sales targets, production activities, and financing actions. "Responsibility accounting" is a concept under which managers are held accountable for transactions and events ( beyond / under ) their direct influence and control. Some entities will follow a top-down( mandated / participative ) approach to budgeting. A deliberate effort to create "breathing room" within a budget is known as ("padding the budget" / "aerating" ). With ( incremental budgeting /…
- Analyze the nature and purpose of budgeting, the stages involved in the preparation of budgets, identifying separately the roles of managers and the budget committee.Which of the following best describes the role of top management in the budgeting process? Should be involved only in the approval Should not necessarily have detailed knowledge of the daily operations and should limit their involvement Should be enthusiastic and committed to the budget process Separates the budgeting process and the business planning process please answer immediately :)Budgeting can be an important management tool if implemented properly. Identify several positive results when budgets are used properly. Since budgets affect people, identify several negative aspects if budgets are not implemented properly. Additionally, please discuss in detail how the budgeting process is essential to managers.
