Please do not give solution in image format thanku
Q: Example 1 Prepare the journal entries to show the issue of common stock for each company below. A)…
A: The journal entries are prepared to record the transactions on regular basis. The issuance of shares…
Q: Wildhorse Company follows the practice of pricing its inventory at the lower-of-cost-or-market, on…
A: Ending inventory is the entire worth of items or products on hand at the end of a certain accounting…
Q: The following information applies to the questions displayed below.] The following information…
A: Net income is the amount of money earned by the entity after deducting the expenses from the…
Q: Cosmo contributed land with a fair market value of $362,500 and a tax basis of $102,000 to the Y…
A: Tax Basis in a Partnership Interest: When a partner contributes property to a partnership, the…
Q: A job was budgeted to require 3 hours of labor per unit at $8.00 was completed in 22,000 hours at a…
A: Variance is frequently used in a variety of industries, such as statistics, finance, quality…
Q: Required information [The following information applies to the questions displayed below.] Jorgansen…
A: Absorption costing is a method of gathering and assigning the costs of a manufacturing process to a…
Q: Oriole Corporation purchased a special tractor on December 31, 2025. The purchase agreement…
A: The question is based on the concept of financial accounting.The tractor should be recorded at a…
Q: In the second month of operations, the total of the debit entries to the cash account amounted to…
A: JOURNAL ENTRIESJournal Entry is the first stage of Accounting Process. Journal Entry is the Process…
Q: Required: Assuming no bonus depreciation or Section 179 deduction, calculate the allowable tax…
A: Introduction:-In March 2022, Jones Company purchased a Mercedes for use in its business at a cost of…
Q: Wehrs Corporation has received a request for a special order of 9,900 units of product K19 for…
A: Lets understand the basics.When special order situation arise, management calculates relevant cost…
Q: Determine the effect on each company's net income if sales decrease by 15% and if sales increase by…
A: Degree of operating leverage is calculated by dividing the contribution margin by net operating…
Q: Match the items of List-I with those of the list-II and indicate the correct code for the following:…
A: Lets understand the basics.Solvency ratio shows whether entity has sufficient cash flow in order to…
Q: On December 31, Blossom Ltd. had a cash balance of $18,390 in its general ledger. The bank statement…
A: Bank reconciliation statement is the one which is prepared by the entity to reconcile the…
Q: Crystal Fabrication allocates manufacturing overhead using a single predetermined rate based on a…
A: Activity-based costing is used to distribute the unallocated overhead on the basis of activity.The…
Q: E1-2 Accrual accounting LO1-2 Listed below are several transactions that took place during the…
A: Accrual basis of accounting states that the income and expenses should be recognized when they…
Q: Which of the following accounts is not reported in inventory? Select one: O a. Finished goods. O b.…
A: Inventory is the amount of stock which is used in manufacturing of product or to sells. There are…
Q: 49. In 2020, Jasmine and Thomas, a married couple, had taxable income of $150,000. If they were to…
A: Answer:- Tax liability meaning:- The total amount of taxes owed to taxing authorities, such as the…
Q: Maize Plastics manufactures and sells 70 bottles per day. Fixed costs are $28,000 and the variable…
A: Income statement is a financial statement that shows the profitability, total revenue and total…
Q: Diehl Corporation uses an activity-based costing system with three activity cost pools. The company…
A: The indirect costs are the costs that are not related directly to the production. The indirect costs…
Q: Peanut Company acquired 90 percent of Snoopy Company's outstanding common stock for $321,300 on…
A: When an entity acquires more than 50% of the voting stock of another entity, the first mentioned…
Q: Marigold Corp. reported the following information for 2022: October November December $420000…
A: Cash collection budget :— This budget is prepared to estimate the collection of sales from customers…
Q: Vulcan Flyovers offers scenic overflights of Mount Saint Helens. Data concerning the company's…
A: The revenue and spending variance is the difference between the actual and flexible budget data. The…
Q: Using the corridor approach, compute the amount of net gain or loss amortized and charged to pension…
A: A projected benefit obligation (PBO) is an actuarial estimate of the current amount that a business…
Q: Fantastic Catering completed the following selected transactions during May 2016: • May 1: Prepaid…
A: Cash basis and accrual basis are two basis of accounting. Under cash basis all cash expenses and…
Q: Cal Farms reported supplies expense of $2,400,000 this year. The supplies account decreased by…
A: Supplies expense is the amount of money incurred by the entity on the supplies. It is reported on…
Q: January 1, 2020, a rich citizen of the Town of Ristoni donates a painting valued at $370,000 to be…
A: The net financial status and operating performance of the government entity as a whole are presented…
Q: On December 31, 2022, Akron, Incorporated, purchased 5 percent of Zip Company's common shares on the…
A: The equity technique is used to account for company investments. This tactic is employed when the…
Q: Sabas Company has issued and outstanding 37,000 shares of $100 par, 7% preferred stock and 95,000…
A: Lets understand the basics.Shares are divided into two types which are,(1) Common stock holders(2)…
Q: On June 15, Richwood Township decided to withdraw $3,080,000 for a capital projects payment. At the…
A: Interest Distribution typically refers to the allocation or division of interest payments, often in…
Q: Enrollment Tuition per credit hour Credit hours Line Item Description Revenue Variable costs:…
A: When all variable costs are deducted from revenue to get a contribution margin, the income statement…
Q: The petty cash fund at Brookshire Company has a designated balance of $250. The fund currently holds…
A: Petty cash funds are the funds which are created for small day to day expenses. The main cashier…
Q: Jeong Company incurs both fixed and variable production costs. Assuming that production is within…
A: Variable costs are those type of costs which changes along with change in sales activity level.…
Q: The following information describes a company's usage of direct labor in a recent period. Actual…
A: Direct labor variance is the difference between standard direct labor cost for actual production…
Q: In 2024, the Westgate Construction Company entered into a contract to construct a road for Santa…
A: The construction contract is a long-term contract that generally takes more than a year to finish…
Q: mares of stock for land appraised at $52,000. The stock was actively traded on a national stock…
A: When stock was issued for land , the fair value of stock is considered as the value of the land…
Q: Indigo Tackle Co. Ltd. reports the following inventory transactions for its fishing rods for the…
A: Under the average cost method of inventory valuation, all the costs are summed up and units are…
Q: Blossom Company lost most of its inventory in a fire in December just before the year-end physical…
A: Inventory management effectively balances the requirement to make items available to consumers while…
Q: Required information Problem 6-10 (Algo) Long-term contract; revenue recognition over time [LO6-8,…
A: Using percentage of completion method, the gross profit is recognized on the basis of percentage…
Q: January 29: Recorded the month's sales of $1,650,000 (excludes PST and GST), 90 percent on credit…
A: PST payable is calculated as below:Now the GST payable is calculated as below:
Q: In 2023, Amanda and Jaxon Stuart have a daught
A: The earned income tax credit (EITC) — sometimes shortened to "earned income credit" — is a tax break…
Q: On January 1, 2024, Robertson Construction leased several items of equipment under a two-year…
A: An agreement of contract that is prepared to transfer the right to use the resources for a…
Q: Crane Inc's only temporary difference
A: A deferred tax liability is created when a tax obligation is accumulated in one financial year but…
Q: At December 31, 2025, Whispering Inc. had a deferred tax asset of $31,600. At December 31, 2026, the…
A: When there is taxable temporary difference arise between accounting profit and tax profit then…
Q: ales revenue ales returns Markups Markup ancellations Markdowns Markdown ancellations $100,000 2,000…
A: Conventional Retail Method: Instead of using things at a physical location, the traditional retail…
Q: Required information [The following information applies to the questions displayed below.] The…
A: Residual income is the difference between income and target return on investment. Target return on…
Q: Rosie's Company has three products, P1, P2, and P3. The maximum Rosie's can sell is 67,000 units of…
A: When there are multiple products but only one key factor:-Step 1:- Rank the product on the basis of…
Q: Property, Plant, and Equipment Accumulated Depreciation $370,000 28,000 7,900 $94,000 Prepaid…
A: The journal entries are prepared to record the transactions on regular basis. The adjustment entries…
Q: Stone Investments provides financial services related to Investment selections, retirement planning,…
A: Income statement is the financial statement which is prepared by the entity for the purpose of…
Q: Calculating the Predetermined Overhead Rate, Applying Overhead to Production At the beginning of the…
A: PREDETERMINED OVERHEAD RATEPredetermined rate means the indirect cost rate.Predetermined overhead…
Q: Bon Nebo Co. sold 12,000 annual subscriptions of Bjorn for $44 during December 2015. These new…
A: Current liabilities are financial obligations and debts that a company is expected to settle within…
Please do not give solution in image format thanku
Step by step
Solved in 4 steps
- Using the information in the previous exercises about Marleys Manufacturing, determine the operating income for department B, assuming department A sold department B 1,000 units during the month and department A reduces the selling price to the market price.At the end of the first year of operations, 21,500 units remained in the finished goods inventory. The unit manufacturing costs during the year were as follows: Determine the cost of the finished goods inventory reported on the balance sheet under (a) the absorption costing concept and (b) the variable costing concept.Last year, Orsen Company produced 25,000 juicers and sold 26,500 juicers for 60 each. The actual variable unit cost is as follows: Fixed overhead was 320,000. Fixed selling expenses consisted of advertising copayments totaling 110,000. Fixed administrative expenses were 236,000. There were no beginning and ending work-in-process inventories. Beginning finished goods inventory was 148,000 for 4,000 juicers. The value of ending inventory reported on the financial statements was Refer to the information in 2.24. The gross margin percentage for last year was a. 12.57% b. 55.67% c. 28.95% d. 38.33%
- Income Statements under Absorption and Variable Costing In the coming year, Kalling Company expects to sell 28,700 units at 32 each. Kallings controller provided the following information for the coming year: Required: 1. Calculate the cost of one unit of product under absorption costing. 2. Calculate the cost of one unit of product under variable costing. 3. Calculate operating income under absorption costing for next year. 4. Calculate operating income under variable costing for next year.Cost Classification Loring Company incurred the following costs last year: Required: 1. Classify each of the costs using the following table format. Be sure to total the amounts in each column. Example: Direct materials, 216,000. 2. What was the total product cost for last year? 3. What was the total period cost for last year? 4. If 30,000 units were produced last year, what was the unit product cost?The following data were adapted from a recent income statement of Caterpillar Inc. (CAT) for the year ended December 31: Assume that 8,500 million of cost of goods sold and 4,000 million of selling, administrative, and other expenses were fixed costs. Inventories at the beginning and end of the year were as follows: Also, assume that 30% of the beginning and ending inventories were fixed costs. a. Prepare an income statement according to the variable costing concept for Caterpillar Inc. Round numbers to nearest million. b. Explain the difference between the amount of operating income reported under the absorption costing and variable costing concepts. Round numbers to nearest million.
- Last year, Orsen Company produced 25,000 juicers and sold 26,500 juicers for 60 each. The actual variable unit cost is as follows: Fixed overhead was 320,000. Fixed selling expenses consisted of advertising copayments totaling 110,000. Fixed administrative expenses were 236,000. There were no beginning and ending work-in-process inventories. Beginning finished goods inventory was 148,000 for 4,000 juicers. The value of ending inventory reported on the financial statements was a. 55,500 b. 92,500 c. 66,500 d. 39,900Jellison Company had the following operating data for its first two years of operations: Jellison produced 90,000 units in the first year and sold 80,000. In the second year, it produced 80,000 units and sold 90,000 units. The selling price per unit each year was 12. Jellison uses an actual costing system for product costing. Required: 1. Prepare income statements for both years using absorption costing. Has firm performance, as measured by income, improved or declined from Year 1 to Year 2? 2. Prepare income statements for both years using variable costing. Has firm performance, as measured by income, improved or declined from Year 1 to Year 2? 3. Which method do you think most accurately measures firm performance? Why?Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Required: 1. Calculate the total cost of direct materials used in production. 2. Calculate the cost of goods manufactured. Calculate the unit manufacturing cost. 3. Of the unit manufacturing cost calculated in Requirement 2, 2.70 is direct materials and 5.30 is overhead. What is the prime cost per unit? Conversion cost per unit?
- Pattison Products, Inc., began operations in October and manufactured 40,000 units during the month with the following unit costs: Fixed overhead per unit = 280,000/40,000 units produced = 7. Total fixed factory overhead is 280,000 per month. During October, 38,400 units were sold at a price of 24, and fixed marketing and administrative expenses were 130,500. Required: 1. Calculate the cost of each unit using absorption costing. 2. How many units remain in ending inventory? What is the cost of ending inventory using absorption costing? 3. Prepare an absorption-costing income statement for Pattison Products, Inc., for the month of October. 4. What if November production was 40,000 units, costs were stable, and sales were 41,000 units? What is the cost of ending inventory? What is operating income for November?Click the Chart sheet tab. On the screen is a column chart showing ending inventory costs. During a deflationary period, which bar (A, B, or C) represents FIFO costing, which represents LIFO costing, and which represents weighted average? Explain your reasoning. On January 4 following year-end, Rio Enterprises received a shipment of 60 units of product costing 580 each. These units had been ordered by Del in December and had been shipped to him on December 27. They were shipped FOB shipping point. Revise the FIFOLIFO3 worksheet to include this shipment. Preview the printout to make sure that the worksheet will print neatly on one page, and then print the worksheet. Save the completed file as FIFOLIFOT. Using the FIFOLIFO3 file, prepare a 3-D bar (stacked) chart showing the cost of goods sold and ending inventory under each of the four inventory cost flow assumptions. No Chart Data Table is needed. Use the values in the Calculations Section of the worksheet for your chart. Enter your name somewhere on the chart. Save the file again as FIFOLIFO3. Print the chart.Orinder Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 275,800, direct labor cost was 153,000, and overhead cost was 267,300. There were 25,000 units produced. Unit manufacturing cost (rounded to the nearest cent) is a. 28.40 b. 27.98 c. 34.95 d. 27.55