Which of the following is not a characteristic of useful managerial accounting reports? a.GAAP—adhering b.accurate c.prepared as needed d.historical and estimated data
Q: On January 1, Wei company begins the accounting period with a $46,000 credit balance in Allowance…
A: Allowance for Doubtful Account :— It is a contra assets account which reduces the account receivable…
Q: List TEN matters an auditor must consider in the development of an audit plan.
A: Introduction: A detailed plan that must be accompanied when conducting an audit is referred to as…
Q: 1. What is the corrected cost of goods sold for 2020? 2. Did the understatement of ending inventory…
A: Inventory understatement means that the amount of inventory being reported less than the correct…
Q: per processing hour b. Use the overhead rate in (a) to determine the amount of total and per-case…
A: Solution:- a)Determination of the single plantwide factory overhead rate as follows under:- Formula…
Q: 7 cept special order. BE7-3 (LO 2) Waterloo Co. sells product P-14 at a price of $48 a unit. The…
A: Special order decision refers to all those decisions or situation of the management in which they…
Q: Problem 6-4A (Algo) Preparing a bank reconciliation and recording entries LO P3 Skip to question…
A: Ideally cash balance as per books and bank balance as per bank statement must reconcile with each…
Q: What is the difference between accrued liabilities an unearned Revenue accounts?
A: Accrued Liabilities :— An expenses of a Business or an Organization incurred during a specific…
Q: Jaden Sales Company engaged in the following transactions for the month o September using the…
A: Periodic inventory system is one of the inventory system under which all transactions related to…
Q: CONCORD INC. Statement of Cash Flows Adjustments to reconcile net income to > < $ LA LA
A: Statement of Cash Flows :— It is a financial statement which shows change in cash & cash…
Q: Discuss how professional skepticism relates to conducting a proper audit and meeting ethical…
A: Introduction: An audit is defined as a "independent examination of financial information of any…
Q: arr Corporation has provided the following information for its most recent month of operation: sales…
A: Sales - Gross profit = Cost of goods sold Sales - Gross profit = Opening stock + Purchases - Closing…
Q: On the multiple-step income statement, which of the following would be the least likely to be found…
A: Other losses and incomes head in the multistep income statement shows all the expenses and revenues…
Q: A computer-based information system is expected to have general IT controls in place. Discuss the…
A: General IT controls are policies and procedures that relate to many applications and support the…
Q: Define fraud and explain the two types of misstatements thatare relevant to auditors’ consideration…
A: Solution Introduction This question pertains to standard on auditing which deals with auditors…
Q: Purchase-Related Transactions The Stationery Company purchased merchandise on account from a…
A: Introduction: An invoice is a type of business document that details and records transactions…
Q: On January 1, Vienna Corporation purchased 40% of the outstanding common stock of the Marietta…
A: Investment means the amount of money invested by an entity in a company, its securities such as…
Q: Find the following values, using the equations, and then work the problems using a financial…
A: Present Value: The idea of present value asserts that a sum of money in the here and now is worth…
Q: Use the following information to compute each department’s contribution to overhead. Which…
A: Overhead cost refers to the cost or amount incurred by the company in production of its goods and…
Q: Entity A issues $100 million 7% cumulative preference shares. Dividends are payable quarterly…
A: Put option refers to the kind of option which increases in value when the stock fails. And it allows…
Q: On 1 January 2010. A company purchased equipment for BD 230,000. The new machines have a useful life…
A: These 2 are the most common methods of depreciation: Straight line depreciation (SLD). This method…
Q: Which of the following are limited liability entities? A. General partnership B. General liability…
A: LLC is limited liability company which is combinations is typically hybrid type of corporation which…
Q: This the same answer I got but it was wrong??
A: Capital gain refers to the gain or profit amount which one earns on asset sale such as real estate,…
Q: Ground Crew is an airline catering company stationed at O R Tambo International Airport. The company…
A:
Q: January 1-D. Hall, owner, invested $142,750 cash he company in exchange for common stock.
A: These are the accounting transactions that are having a monetary impact on the financial statement…
Q: Ace Company reported the following information for the current year: Sales $ 416,000 Cost of…
A: The cost of goods sold includes the total cost of goods that are sold during the period. Cost of…
Q: Solve the following problems. Show clean and complete details of your work for each number. Problem…
A: Hi There, as per the policy of Bartleby we are bound to give the answer of first question only,…
Q: Fair value is a more relevant measure to use in Financial Reporting than Historical Cost. Discuss
A: Introduction: Fair value accounting refers to the practice of valuing your company's liabilities and…
Q: Insurance expense incurred on a factory building would be treated as a a.period cost b.selling cost…
A: Introduction: The sum paid by a corporation to get an insurance contract, as well as any additional…
Q: PROBLEMS 1. Below is an annual income statement of Julian's Online Clothing Store. Julian is already…
A: Answer:- Economic profit meaning:- The difference between the money collected from the sale of a…
Q: Initial Cost of $55,000, annual O&M costs of $800 increasing by $100 annually, salvage value of…
A: In this question , we will be calculating the depreciation for each year and book value using the…
Q: A bond is sold at OA) par; less than. OB) C) D) if the YTM (yield to maturity) is par; higher than.…
A: The bonds are the financial instruments of the business that are used to raise the money from the…
Q: he trial balance of The White Ribbon failed to agree, and the difference was posted to a suspense…
A: Statement of net income shows the statement of income earned and loss incurred during the year. when…
Q: During its first year of operations, World Class Sport Shoes earned net credit sales of $400,000.…
A: Bad debts expense: Bad debts expense is recognized in the books of the company when a debtor is…
Q: The production department of Zan Corporation has submitted the following forecast of units to be…
A: Direct Material Budget: To satisfy the production budget's needs, the direct materials budget…
Q: Megan and Matthew are equal partners in the J & J Partnership (a calendar-year-end entity). On…
A:
Q: Wright Company's cash account shows a $27,700 debit balance and its bank statement shows $26,000 on…
A: A bank reconciliation statement is prepared to match the cash book balance with the bank balance at…
Q: Assume that Gerald did not default paying and all payments were made when due, On calendar year…
A: Accrued rent receivables are the amount that is earned by the lessor but the lessee has still not…
Q: Assume that management had determined that its organization’saudit committee is not effective. How…
A: Here discuss about the details of weakness of the Audit committee which are affected into the…
Q: Compute conversion costs given the following data: direct materials, $347,500; direct labor,…
A: Direct material cost is incurred to purchase the raw material that needs to converted into the…
Q: Direct costs Normal activity: Number of employees Square footage Support Departments Human Resources…
A: The costs of support departments can be allocated to producing departments on the basis of direct…
Q: On March 12, Fret Company sold merchandise in the amount of $9,400 to Babson Company, with credit…
A: A perpetual inventory system is used to track the flow of inventory in real time through a business,…
Q: A company reports the pilowing beginning 450 units. Ending inventory at January 31 totals 170 units.…
A: LIFO - Last in first out means that the units purchased latest will be sold first , therefore the…
Q: Discuss the above paragraph within the context of fair value hierarchy focusing on Levell, 2 and 3…
A: IFRS 13 defines fair value as the price that would be received to sell an asset or paid to transfer…
Q: In the cost-volume-profit graph,a. the break-even point is found where the total revenue curve…
A: A graphical representation of the relationship between production costs and total sales is shown by…
Q: Which of the following costs are conversion costs? a.direct materials cost and factory overhead…
A: Introduction: The costs of transferring raw materials into finished goods are known as conversion…
Q: Suppose a firm with a contribution margin ratio of 0.3 increased its advertising expensesby $10,000…
A: The contribution margin is calculated as difference between sales and variable costs. The net income…
Q: PROPERTY AND EQUIPMENT. Expenditures for major additions, improvements and flight equipment…
A: Depreciation is charged on the occasion of wear and tear in the value of assets. Straight line…
Q: Jan Shumard, president and general manager of Danbury Company, was concerned about thefuture of one…
A: Fixed costs are those costs which will not be changed with change in activity level upto a…
Q: A company reports the following beginning inventory and two purchases for the month of January. On…
A: No. of Units Cost per unit Jan 1 250 2.30 Jan 9 60 2.50 Jan 25 100 2.64
Q: Prepare a statement of cash flows for year 1
A: Working Notes: Cash from Customers : $117000 Cash paid for operating expenses : $71500 Cash Flow…
Which of the following is not a characteristic of useful managerial accounting reports?
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
- Management accounting: emphasizes special-purpose information relates to the company as a whole is limited to strictly cost figures is controlled by GAAPWhich of the following statements is incorrect? The practice of management accounting is fairly flexible. The information gathered from management accounting is not required by law. Management accounting focuses mainly on the internal user. Reports produced using management accounting must follow GAAP.All of the following are examples of managerial accounting activities except ________. A. preparing external financial statements in compliance with GAAP B. deciding whether or not to use automation C. making equipment repair or replacement decisions D. deciding whether or not to use automation
- Managerial accounting produces information: to meet the needs of external users that is often focused on the future to meet the needs of investors that follows the rules of GAAPAn effective managerial accounting system should track information about an organizations activities in which of the following areas? a. Development b. Marketing c. Production d. Design e. All of these.An important goal of a responsibility accounting framework is to help ensure which of the following? A. decision-making is made by the top executives. B. investments made by each segment are minimized. C. identification of operating segments that should be closed. D. segment and company financial goals are congruent.
- What parts of the accounting cycle require analytical processes, rather than methodical processes? Explain.Which of the following does not describe a management control system? A. establishes a companys strategic goals B. implements a companys strategic goals C. monitors a companys strategic goals D. a system that only measures profitabilityWhat is the purpose of management accounting?
- For each of the following situations, two scenarios are described, labeled A and B. Choose which scenario is descriptive of a setting corresponding to activity-based responsibility accounting and which is descriptive of financial-based responsibility accounting. Provide a brief commentary on the differences between the two systems for each situation, addressing the possible advantages of the activity-based view over the financial-based view. Situation 1 A: The purchasing manager, receiving manager, and accounts payable manager are given joint responsibility for procurement. The charges given to the group of managers are to reduce costs of acquiring materials, decrease the time required to obtain materials from outside suppliers, and reduce the number of purchasing mistakes (e.g., wrong type of materials or the wrong quantities ordered). B: The plant manager commended the manager of the Grinding Department for increasing his departments machine utilization ratesand doing so without exceeding the departments budget. The plant manager then asked other department managers to make an effort to obtain similar efficiency improvements. Situation 2 A: Delivery mistakes had been reduced by 70 percent, saving over 40,000 per year. Furthermore, delivery time to customers had been cut by two days. According to company policy, the team responsible for the savings was given a bonus equal to 25 percent of the savings attributable to improving delivery quality. Company policy also provided a salary increase of 1 percent for every day saved in delivery time. B: Bill Johnson, manager of the Product Development Department, was pleased with his departments performance on the last quarters projects. They had managed to complete all projects under budget, virtually assuring Bill of a fat bonus, just in time to help with this years Christmas purchases. Situation 3 A: Harvey, dont worry about the fact that your department is producing at only 70 percent capacity. Increasing your output would simply pile up inventory in front of the next production department. That would be costly for the organization as a whole. Sometimes, one department must reduce its performance so that the performance of the entire organization can improve. B: Susan, I am concerned about the fact that your departments performance measures have really dropped over the past quarter. Labor usage variances are unfavorable, and I also see that your machine utilization rates are down. Now, I know you are not a bottleneck department, but I get a lot of flack when my managers efficiency ratings drop. Situation 4 A: Colby was muttering to himself. He had just received last quarters budgetary performance report. Once again, he had managed to spend more than budgeted for both materials and labor. The real question now was how to improve his performance for the next quarter. B: Great! Cycle time had been reduced and, at the same time, the number of defective products had been cut by 35 percent. Cutting the number of defects reduced production costs by more than planned. Trends were favorable for all three performance measures. Situation 5 A: Cambry was furious. An across-the-board budget cut! How can they expect me to provide the computer services required on less money? Management is convinced that costs are out of control, but I would like to know whereat least in my department! B: After a careful study of the Accounts Payable Department, it was discovered that 80 percent of an accounts payable clerks time was spent resolving discrepancies between the purchase order, receiving document, and the suppliers invoice. Other activities such as recording and preparing checks consumed only 20 percent of a clerks time. A redesign of the procurement process eliminated virtually all discrepancies and produced significant cost savings. Situation 6 A: Five years ago, the management of Breeann Products commissioned an outside engineering consulting firm to conduct a time-and-motion study so that labor efficiency standards could be developed and used in production. These labor efficiency standards are still in use today and are viewed by management as an important indicator of productive efficiency. B: Janet was quite satisfied with this quarters labor performance. When compared with the same quarter of last year, labor productivity had increased by 23 percent. Most of the increase was due to a new assembly approach suggested by production line workers. She was also pleased to see that materials productivity had increased. The increase in materials productivity was attributed to reducing scrap because of improved quality. Situation 7 A: The system converts materials into products, not people at work stations. Therefore, process efficiency is more important than labor efficiencybut we also must pay particular attention to those who use the products we produce, whether inside or outside the firm. B: I was quite happy to see a revenue increase of 15 percent over last year, especially when the budget called for a 10 percent increase. However, after reading the recent copy of our trade journal, I now wonder whether we are doing so well. I found out that the market expanded by 30 percent, and our leading competitor increased its sales by 40 percent.Which of the following groups would have access to managerial accounting information? A. bankers B. investors C. competitors of the business D. managersWhich of the following is considered a constraint on useful information by Statement of Financial Accounting Concepts No. 8? a. benefits costs b. conservatism c. timeliness d. verifiability