Final Exam - Wiley plus - 1. Cody Industries owns 35% of Macarthy Company. For the current year, Macarthy reports net income of $250,000 and declares and pays a $60,000 cash dividend.

Final Exam - Wiley plus

1. Cody Industries owns 35% of Macarthy Company. For the current year, Macarthy reports net income of $250,000 and declares and pays a $60,000 cash dividend. Which of the following correctly presents the journal entries to record Cody's equity in Macarthy's net income and the receipt of dividends from Macarthy?

 

Dec. 31 Stock Investments                                                      87,500

Revenue from Stock Investments                                            87,500

Dec. 31            Cash                                                                            60,000

Stock Investments                                                                    60,000

 

Dec. 31 Stock Investments                                                      66,500

Revenue from Stock Investments                                            66,500

 

Dec 31Revenue from Stock Investments.                                87,500

Stock Investments                                                                    87,500

Dec 31Stock Investments.                                                       21,000

Cash                                                                                        21,000

 

Dec 31Stock Investments.                                                       87,500

Revenue from Stock Investments                                            87,500

Dec. 31 Cash                                                                           21,000

Stock Investments                                                                    21,000

 

 

2 If stock is issued for a noncash asset, the asset should be recorded on the books of the corporation at
cost.     Zero.    a nominal amount.       fair value.

 

 

3 Saira, Inc. has the following income statement (in millions):

SAIRA, INC.

Income Statement

For the Year Ended December 31, 2014

Net Sales                                              $300

Cost of Goods Sold                             180

Gross Profit                                         120

Operating Expenses                             45

Net Income                                          $75

 

Using vertical analysis, what percentage is assigned to Cost of Goods Sold?

1.      100%               2. None of these answer choices are correct.   3. 40%             4.60%

 

 

4  If a company anticipates that other sales will be affected by the acceptance of a special order, then
1. lost sales should be considered in the incremental analysis.                        2. the order should not be accepted. 3. lost sales should not be considered in the incremental analysis.                 4.the order will only be accepted if the plant is below capacity.

 

 

5  The master budget of Handy Company shows that the planned activity level for next year is expected to be 100,000 machine hours. At this level of activity, the following manufacturing overhead costs are expected:

 

Indirect labor                                       $480,000

Machine supplies                                 120,000

Indirect materials                                 140,000

Depreciation on factory building                     80,000

Total manufacturing overhead             $820,000

A flexible budget for a level of activity of 120,000 machine hours would show total manufacturing overhead costs of  $820,000. $984,000. $968,000. $940,000.

 

 

6 A department adds raw materials to a process at the beginning of the process and incurs conversion costs uniformly throughout the process. For the month of January, there were no units in the beginning work in process inventory; 90,000 units were started into production in January; and there were 20,000 units that were 40% complete in the ending work in process inventory at the end of January. What were the equivalent units of production for materials for the month of January?

1. 70,000 equivalent units. 2. 98,000 equivalent units. 3. 90,000 equivalent units. 4. 82,000 equivalent units

 

 

7 On January 1, 2014, Meeks Corporation issued $5,000,000, 10-year, 4% bonds at 102. Interest is payable semiannually on January 1 and July 1. The journal entry to record this transaction on January 1, 2014 is

 

Premium on Bonds Payable..........................	100,000
Cash......................................................	5,000,000
Bonds Payable.....................................		5,100,000

 

Cash......................................................	5,100,000
Bonds Payable.....................................		5,100,000

 

Cash......................................................	5,000,000
Bonds Payable.....................................		5,000,000
Cash......................................................	5,100,000
Bonds Payable.....................................		5,000,000
Premium on Bonds Payable.....................		100,000

 

 

8 The following information is taken from the production budget for the first quarter:

Beginning inventory in units                            1,800

Sales budgeted for the quarter                         678,000

Capacity in units of production facility                       708,000

How many finished goods units should be produced during the quarter if the company desires 4,800 units available to start the next quarter?

1. 711,000       2.682,800        3. 675,000       4. 681,000

 

 

9 The standard number of hours that should have been worked for the output attained is 6,000 direct labor hours and the actual number of direct labor hours worked was 6,300. If the direct labor price variance was $3,150 favorable, and the standard rate of pay was $9 per direct labor hour, what was the actual rate of pay for direct labor?
1. $7.50 per direct labor hour 2. $8.50 per direct labor hour  3. $9.50 per direct labor hour 4. $9.00 per direct labor hour

 

 

10 Madaas Company manufactures customized desks. The following pertains to Job No. 987:

Direct materials used                                                   $11,450

Direct labor hours worked                                           360

Direct labor rate per hour                                             $15.00

Machine hours used                                                     300

Applied factory overhead rate per machine hour                     $22.00

What is the total manufacturing cost for Job No. 987?

1.$26,750        2. $21,650       3. $23,450       4. $24,950

 

 

11 The comparative balance sheets for Rothlisberger Company as of December 31 are presented below.

ROTHLISBERGER COMPANY Comparative Balance Sheets December 31
Assets		2014			2013
Cash		$70,990			$45,570
Accounts receivable		44,610			61,410
Inventory		151,090			142,270
Prepaid expenses		14,860			21,690
Land		105,920			130,630
Buildings		199,660			199,660
Accumulated depreciation—buildings		(60,170	)		(39,640	)
Equipment		227,110			155,170
Accumulated depreciation—equipment		(44,630	)		(35,880	)
Total		$709,440			$680,880
Liabilities and Stockholders’ Equity
Accounts payable		$47,390			$39,150
Bonds payable		259,760			300,700
Common stock, $1 par		200,530			159,590
Retained earnings		201,760			181,440
Total		$709,440			$680,880

 

Additional information:

1. Operating expenses include depreciation expense of $41,000 and charges from prepaid expenses of $6,830.

2. Land was sold for cash at book value.

3. Cash dividends of $16,870 were paid.

4. Net income for 2014 was $37,190.

5. Equipment was purchased for $94,190 cash. In addition, equipment costing $22,250 with a book value of $10,530 was sold for $6,700 cash.

6. Bonds were converted at face value by issuing 40,940 shares of $1 par value common stock.

 

Prepare a statement of cash flows for the year ended December 31, 2014, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

 

ROTHLISBERGER COMPANY Statement of Cash Flows For the Year Ended December 31, 2014
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
For Operating Expenses For Interest Purchase of Equipment Increase in Accounts Receivable Loss on Disposal of Equipment Decrease in Accounts Payable Conversion of Bonds by Issuance of Common Stock Sale of Land Payment of Cash Dividends To Suppliers Redemption of Bonds Decrease in Accounts Receivable Purchase of Land Decrease in Prepaid Expenses Increase in Prepaid Expenses Issuance of Common Stock Increase in Accounts Payable For Income Taxes Increase in Inventory Decrease in Inventory Net Income Depreciation Expense Sale of Equipment		$
Adjustments to reconcile net income to
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
Loss on Disposal of Equipment Increase in Accounts Payable Issuance of Common Stock Decrease in Accounts Receivable Decrease in Accounts Payable Increase in Inventory For Income Taxes Sale of Equipment Decrease in Prepaid Expenses Increase in Accounts Receivable Decrease in Inventory Redemption of Bonds For Operating Expenses Purchase of Land Increase in Prepaid Expenses Purchase of Equipment Net Income Payment of Cash Dividends Sale of Land Conversion of Bonds by Issuance of Common Stock To Suppliers For Interest Depreciation Expense	$
Sale of Equipment Sale of Land Conversion of Bonds by Issuance of Common Stock For Interest Decrease in Accounts Receivable For Income Taxes For Operating Expenses Increase in Prepaid Expenses Depreciation Expense Net Income Purchase of Equipment Payment of Cash Dividends Increase in Accounts Payable Loss on Disposal of Equipment To Suppliers Decrease in Inventory Purchase of Land Issuance of Common Stock Redemption of Bonds Increase in Accounts Receivable Decrease in Prepaid Expenses Decrease in Accounts Payable Increase in Inventory
Purchase of Equipment For Income Taxes Payment of Cash Dividends Depreciation Expense Decrease in Inventory Loss on Disposal of Equipment Conversion of Bonds by Issuance of Common Stock Increase in Prepaid Expenses Decrease in Accounts Receivable Increase in Accounts Payable For Interest Increase in Inventory Purchase of Land Decrease in Accounts Payable Redemption of Bonds To Suppliers Issuance of Common Stock Sale of Land Net Income Sale of Equipment Increase in Accounts Receivable Decrease in Prepaid Expenses For Operating Expenses
For Interest Increase in Inventory For Operating Expenses Purchase of Equipment Redemption of Bonds To Suppliers Net Income Decrease in Accounts Payable Sale of Land Payment of Cash Dividends Conversion of Bonds by Issuance of Common Stock Decrease in Prepaid Expenses Increase in Prepaid Expenses Depreciation Expense Decrease in Inventory Loss on Disposal of Equipment Sale of Equipment For Income Taxes Issuance of Common Stock Decrease in Accounts Receivable Purchase of Land Increase in Accounts Receivable Increase in Accounts Payable
For Interest For Operating Expenses Decrease in Accounts Payable Increase in Accounts Receivable For Income Taxes Purchase of Land Increase in Accounts Payable Issuance of Common Stock Sale of Equipment Decrease in Prepaid Expenses Redemption of Bonds Increase in Prepaid Expenses Net Income Increase in Inventory Depreciation Expense Conversion of Bonds by Issuance of Common Stock Payment of Cash Dividends Loss on Disposal of Equipment Decrease in Accounts Receivable Decrease in Inventory Sale of Land To Suppliers Purchase of Equipment
Net Income Purchase of Land Decrease in Accounts Receivable For Operating Expenses Depreciation Expense Loss on Disposal of Equipment Decrease in Prepaid Expenses Issuance of Common Stock Increase in Accounts Payable Increase in Prepaid Expenses Decrease in Inventory Payment of Cash Dividends Sale of Equipment Increase in Accounts Receivable Sale of Land For Income Taxes Increase in Inventory Decrease in Accounts Payable Purchase of Equipment Conversion of Bonds by Issuance of Common Stock To Suppliers For Interest Redemption of Bonds
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
Decrease in Accounts Receivable For Income Taxes Increase in Inventory Issuance of Common Stock Redemption of Bonds Decrease in Accounts Payable Increase in Accounts Receivable To Suppliers Payment of Cash Dividends Decrease in Prepaid Expenses Net Income Decrease in Inventory Depreciation Expense Loss on Disposal of Equipment Conversion of Bonds by Issuance of Common Stock Increase in Accounts Payable For Interest Sale of Land Increase in Prepaid Expenses Purchase of Equipment Sale of Equipment For Operating Expenses Purchase of Land
Depreciation Expense Increase in Inventory Increase in Accounts Receivable Decrease in Accounts Receivable Sale of Land Decrease in Prepaid Expenses Decrease in Inventory Increase in Prepaid Expenses Increase in Accounts Payable For Interest Sale of Equipment Redemption of Bonds Payment of Cash Dividends Conversion of Bonds by Issuance of Common Stock Decrease in Accounts Payable Purchase of Equipment To Suppliers For Operating Expenses For Income Taxes Loss on Disposal of Equipment Purchase of Land Issuance of Common Stock Net Income
Loss on Disposal of Equipment Increase in Prepaid Expenses Decrease in Accounts Payable Depreciation Expense Conversion of Bonds by Issuance of Common Stock To Suppliers Issuance of Common Stock Sale of Land For Operating Expenses For Interest For Income Taxes Purchase of Land Redemption of Bonds Sale of Equipment Increase in Accounts Receivable Purchase of Equipment Decrease in Inventory Decrease in Prepaid Expenses Decrease in Accounts Receivable Net Income Payment of Cash Dividends Increase in Accounts Payable Increase in Inventory
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
Loss on Disposal of Equipment Increase in Accounts Receivable For Operating Expenses Decrease in Prepaid Expenses For Income Taxes Sale of Equipment Sale of Land Increase in Prepaid Expenses Decrease in Accounts Payable Payment of Cash Dividends Increase in Inventory Decrease in Accounts Receivable For Interest Depreciation Expense Redemption of Bonds Increase in Accounts Payable To Suppliers Decrease in Inventory Conversion of Bonds by Issuance of Common Stock Purchase of Equipment Issuance of Common Stock Purchase of Land Net Income
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities		$
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash used by Financing Activities Net Cash used by Investing Activities Net Cash used by Operating Activities Net Decrease in Cash Net Increase in Cash Noncash Investing and Financing Activities
Increase in Accounts Receivable Decrease in Prepaid Expenses Increase in Accounts Payable Decrease in Inventory For Income Taxes Purchase of Land Sale of Land For Interest For Operating Expenses Increase in Prepaid Expenses Decrease in Accounts Receivable Depreciation Expense Decrease in Accounts Payable Increase in Inventory Sale of Equipment Issuance of Common Stock Redemption of Bonds Purchase of Equipment Loss on Disposal of Equipment Net Income Payment of Cash Dividends Conversion of Bonds by Issuance of Common Stock To Suppliers		$

 

 

12 Lager Dental Clinic is a medium-sized dental service specializing in family dental care. The clinic is currently preparing the master budget for the first 2 quarters of 2014. All that remains in this process is the cash budget. The following information has been collected from other portions of the master budget and elsewhere.

 

Beginning cash balance		$ 29,956
Required minimum cash balance		24,954
Payment of income taxes (2nd quarter)		3,903
Professional salaries:
1st quarter		140,168
2nd quarter		139,980
Interest from investments (2nd quarter)		4,910
Overhead costs:
1st quarter		75,147
2nd quarter		100,359
Selling and administrative costs, including
$3,166 depreciation:
1st quarter		50,316
2nd quarter		70,323
Purchase of equipment (2nd quarter)		49,532
Sale of equipment (1st quarter)		15,472
Collections from clients:
1st quarter		229,504
2nd quarter		379,910
Interest payments (2nd quarter)		297

 

 

Prepare a cash budget for each of the first two quarters of 2014.

LAGER DENTAL CLINIC Cash Budget For the Two Quarters Ending June 30, 2014
			1st Quarter		2nd Quarter
Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts			$		$
Add Less :	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Receipts Total Cash Available Total Disbursements
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Receipts Total Cash Available Total Disbursements
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
Less Add :	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
Less Add :	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
Less Add :	Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts
Beginning Cash Balance Borrowings Collections from Clients Disbursements Ending Cash Balance Equipment Purchase Excess (Deficiency) of Cash Available Over Cash Disbursements Financing Investment Interest Overhead Costs Payment of Income Taxes Professional Salaries Receipts Repayments Sale of Equipment Selling and Administrative Costs Total Cash Available Total Disbursements Total Receipts			$		$

 

 

13 Cepeda Corporation has the following cost records for June 2014.

Indirect factory labor		$4,080		Factory utilities		$360
Direct materials used		17,970		Depreciation, factory equipment		1,080
Work in process, 6/1/14		2,820		Direct labor		43,990
Work in process, 6/30/14		3,870		Maintenance, factory equipment		1,870
Finished goods, 6/1/14		6,130		Indirect materials		2,020
Finished goods, 6/30/14		7,860		Factory manager’s salary		4,170

Don't show me this message again for the assignment

 

Prepare a cost of goods manufactured schedule for June 2014.

CEPEDA CORPORATION Cost of Goods Manufactured Schedule For the Month Ended June 30, 2014
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30						$
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30				$
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30		$
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Add Less : Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30
Cost of Goods Available For Sale Cost of Goods Manufactured Cost of Goods Sold Depreciation, Factory Equipment Direct Labor Direct Materials Used Factory Manager’s Salary Factory Utilities Finished Goods Inventory, June 1 Finished Goods Inventory, June 30 Gross Profit Indirect Labor Indirect Materials Maintenance, Factory Equipment Manufacturing Overhead Net Sales Total Cost of Work in Process Total Manufacturing Costs Total Manufacturing Overhead Work in Process, June 1 Work in Process, June 30						$

 

Don't show me this message again for the assignment

 

14. Rachel Rey recently opened her own basketweaving studio. She sells finished baskets in addition to the raw materials needed by customers to weave baskets of their own. Rachel has put together a variety of raw material kits, each including materials at various stages of completion. Unfortunately, owing to space limitations, Rachel is unable to carry all varieties of kits originally assembled and must choose between two basic packages.

The basic introductory kit includes undyed, uncut reeds (with dye included) for weaving one basket. This basic package costs Rachel $11.90 and sells for $26.85. The second kit, called Stage 2, includes cut reeds that have already been dyed. With this kit, the customer need only soak the reeds and weave the basket. Rachel is able to produce the second kit by using the basic materials included in the first kit and adding one hour of her own time, which she values at $18.80 per hour. Because she is more efficient at cutting and dying reeds than her average customer, Rachel is able to make two kits of the dyed reeds, in one hour, from one kit of undyed reeds. The Stage 2 kit sells for $34.10.


Determine whether Rachel’s basketweaving shop should carry the basic introductory kit with undyed and uncut reeds, or the Stage 2 kit with reeds already dyed and cut. Prepare an incremental analysis to support your answer. (Round answers to 2 decimal places, e.g. 2.45.)

		Sell (Basic Kit)		Process Further (Stage 2 Kit)		Net Income Increase (Decrease)
Sales per unit		$		$		$
Costs per unit
Direct materials		$		$		$
Direct labor
Total		$		$		$
Net income per unit		$		$		$

Should Rachel’s basketweaving shop carry the Stage 2 kit with reeds already dyed and cut?

Rachel should not carry should carry the Stage 2 Kits.

15 Naylor Company had $152,600 of net income in 2013 when the selling price per unit was $170, the variable costs per unit were $70, and the fixed costs were $1,237,400. Management expects per unit data and total fixed costs to remain the same in 2014. The president of Naylor Company is under pressure from stockholders to increase net income by $58,430 in 2014.

Don't show me this message again for the assignment

Compute the number of units sold in 2013. (Round answers to 0 decimal places, e.g. 5,275.)

The Number of Units Sold  units

Don't show me this message again for the assignment

Compute the number of units that would have to be sold in 2014 to reach the stockholders’ desired profit level. (Round answer to 0 decimal places, e.g. 5,275.)

Units needed in 2014  units

Don't show me this message again for the assignment

Assume that Naylor Company sells the same number of units in 2014 as it did in 2013. What would the selling price have to be in order to reach the stockholders’ desired profit level? (Round answers to 0 decimal places, e.g. 5,275.)

The selling price in 2014 $

 

16 Kobe Company has a factory machine with a book value of $80,400 and a remaining useful life of 6 years. It can be sold for $30,800. A new machine is available at a cost of $215,400. This machine will have a 6-year useful life with no salvage value. The new machine will lower annual variable manufacturing costs from $612,800 to $399,800.

Prepare an analysis showing whether the old machine should be retained or replaced.

	Retain Equipment	Replace Equipment	Net 6-Year Income Increase (Decrease)
Variable manufacturing costs	$	$	$
New machine cost
Sell old machine
Total	$	$	$

The old factory machine should be replaced retained .

 

17 Quay Co. had the following transactions during the current period.

Mar. 2 Issued 5,700 shares of $7 par value common stock to attorneys in payment of a bill for $44,700 for services performed in helping the company to incorporate.
June 12 Issued 59,100 shares of $7 par value common stock for cash of $479,500.
July  11 Issued 2,700 shares of $110 par value preferred stock for cash at $130 per share.
Nov. 28 Purchased 2,200 shares of treasury stock for $77,000.


Journalize the transactions. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date	Account Titles and Explanation	Debit	Credit
Mar. 2 June 12 July 11 Nov. 28
Mar. 2 June 12 July 11 Nov. 28
Mar. 2 June 12 July 11 Nov. 28
Mar. 2 June 12 July 11 Nov. 28

 

18 On January 1, 2014, Frontier Corporation had $1,382,000 of common stock outstanding that was issued at par. It also had retained earnings of $744,500. The company issued 40,300 shares of common stock at par on July 1 and earned net income of $407,700 for the year.

Journalize the declaration of a 16% stock dividend on December 10, 2014, for the following independent assumptions. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

(a) Par value is $10, and market value is $19.

(b) Par value is $5, and market value is $21.

No.	Account Titles and Explanation	Debit	Credit
(a)
(b)

 

File name: FINAL EXAM Wiley plus.doc .doc File type: doc PRICE: $30

If the Data is different in your question, please send your questions to homeworksolutionsnow@gmail.com. The questions will be answered at the same price.