Questions
Zugar Company is domiciled in a country whose currency is the dinar. Zugar begins 2017 with...

Zugar Company is domiciled in a country whose currency is the dinar. Zugar begins 2017 with three assets: cash of 23,600 dinars, accounts receivable of 81,100 dinars, and land that cost 211,000 dinars when acquired on April 1, 2016. On January 1, 2017, Zugar has a 161,000 dinar note payable, and no other liabilities. On May 1, 2017, Zugar renders services to a customer for 131,000 dinars, which was immediately paid in cash. On June 1, 2017, Zugar incurred a 111,000 dinar operating expense, which was immediately paid in cash. No other transactions occurred during the year. Currency exchange rates for 1 dinar follow:

April 1, 2016 $0.44 = 1 dinar
January 1, 2017 0.47 = 1
May 1, 2017 0.48 = 1
June 1, 2017 0.50 = 1
December 31, 2017 0.52 = 1
  1. Assume that Zugar is a foreign subsidiary of a U.S. multinational company that uses the U.S. dollar as its reporting currency. Assume also that the dinar is the subsidiary’s functional currency. What is the translation adjustment for this subsidiary for the year 2017?

  2. Assume that Zugar is a foreign subsidiary of a U.S. multinational company that uses the U.S. dollar as its reporting currency. Assume also that the U.S. dollar is the subsidiary’s functional currency. What is the remeasurement gain or loss for 2017?

  3. Assume that Zugar is a foreign subsidiary of a U.S. multinational company. On the December 31, 2017, balance sheet, what is the translated value of the Land account? On the December 31, 2017, balance sheet, what is the remeasured value of the Land account?

a. translation adjustment
b. remeasurement
c. Translated value of land
Remeasured value of land

In: Accounting

A friend of yours is working toward a master of business administration (MBA) degree. He e-mails...

A friend of yours is working toward a master of business administration (MBA) degree. He e-mails you the following note:

"Hey! How are things going? I need your help! We are studying income taxes in my Financial Accounting class and just finished talking about deferred taxes. I think the professor said something about adjusting the value of deferred taxes when it's an asset but not when it's a liability. When I looked at my homework problem, the balance sheet shows both a deferred tax asset and a deferred tax liability. Shouldn't it be one or the other? And why would one need the value adjusted for one, but not the other? Help!"

You want to help your friend, but you remember having some questions yourself:

  • Analyze why FASB requires companies to report both deferred tax assets and deferred tax liabilities instead of netting them.
  • Examine why the FASB requires valuation adjustments for deferred tax assets but does not for deferred tax liabilities.

In: Accounting

INSTRUCTIONS: The maximum number of pages is TEN (10), excluding references and the cover page. The...

INSTRUCTIONS:

  1. The maximum number of pages is TEN (10), excluding references and the cover page.
  2. The minimum number of references is FIVE (5) (including textbooks, journal articles, and other sources)

QUESTION

The Zambian economy has been facing significant macroeconomic challenges as reflected in low growth, high fiscal deficits; rising inflation and debt service obligations as well as low international reserves. The outbreak of Coronavirus (COVID-19) pandemic has compounded the situation, resulting in unprecedented global public health and economic crises. Although the full impact of the COVID-19 shock on public health and the economy cannot be determined at the moment, indications are that it will be unprecedented. The Bank of Zambia has introduced a number of measures to address the impact of the pandemic on the economy.

The Monetary Policy Committee (MPC), at its May 18 -20, 2020 meeting, decided to lower the policy rate by 225 basis points to 9.25%. The Bank has also introduced a K10 billion stimulus package to give the economy a boost.

Required: Critically analyse the performance of the downward revision of monetary policy in May 2020 and the Targeted Medium-term Refinancing Facility on the Zambian financial markets.

In: Accounting

1) Use the following information to prepare adjusting entries for Gilbert Holdings 2) Then make an...

1) Use the following information to prepare adjusting entries for Gilbert Holdings

2) Then make an adjusted trial balance, income statement & balance sheet for the information

a. On April 1, 2019, Gilbert Holdings signed a 4.30% bank loan due in 4 years. This is the only outstanding note payable.

b. Prepaid insurance represents a 4-month insurance policy purchased on December 1.

c. On Oct 1, 2019, Gilbert Holdings paid $11,880 for a 9-month lease for office space.

d. Unearned revenue represents a 12-month contract for consulting services. The payment was received on July 1, 2019.

e. Supplies on hand total $10,480.

f. Equipment is depreciated on a straight-line basis; residual value is estimated to be $15,000 with an estimated service life of 10 years. The assets were held the entire year.

g. On Nov 1, Gilbert Holdings issued Monroe Supplies an 3-month note receivable at a 8.2% annual interest rate.

h. The company uses the percentage-of-receivables basis for estimating uncollectible accounts. The aging schedule of accounts receivable must be completed to determine management's desired balance for 2019.

i. Accrued wages totaling $35,838 were unpaid and unrecorded at December 31, 2019.

j. Utility costs incurred but unrecorded for the month of December were estimated to be $2,561.

DR CR
Cash            67,188
Accounts Receivable          265,584
Allowance for Doubtful Accounts            11,194
Interest Receivable
Note Receivable          113,180
Merchandise Inventory          194,172
Prepaid Insurance              7,128
Prepaid Rent            11,880
Supplies            30,096
Equipment          277,464
Accumulated Depreciation - Equipment            29,304
Accounts Payable            27,746
Salaries & Wages Payable
Unearned Revenue            32,000
Interest Payable
Utilities Payable
Note Payable (final payment due 2023)          188,100
Common Stock          145,200
Retained Earnings          224,400
Dividends            64,680
Sales       2,773,980
Consulting Revenue
Sales Returns and Allowances            15,840
Sales Discounts            34,056
Cost of Goods Sold       1,888,788
Salaries & Wages Expense          430,056
Depreciation Expense - Equipment
Bad Debt Expense
Insurance Expense
Rent Expense
Supplies Expense
Utilities Expense            31,812
Interest Revenue
Interest Expense
      3,431,924       3,431,924
Age of Accounts Balance December 31, 2019 Estimated % Uncollectible Estimated Amount Uncollectible
Current                 159,350 2%          3,187.01
1–30 days past due                    66,396 4%          2,655.84
31–90 days past due                    31,870 20%          6,374.02
Over 90 days past due                      7,968 37%          2,947.98
Total Accounts Receivable $             265,584            15,165

In: Accounting

Problem 6-20 CVP Applications: Break-Even Analysis; Cost Structure; Target Sales [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-8]...

Problem 6-20 CVP Applications: Break-Even Analysis; Cost Structure; Target Sales [LO6-1, LO6-3, LO6-4, LO6-5, LO6-6, LO6-8]

Northwood Company manufactures basketballs. The company has a ball that sells for $25. At present, the ball is manufactured in a small plant that relies heavily on direct labor workers. Thus, variable expenses are high, totaling $15.00 per ball, of which 60% is direct labor cost.

Last year, the company sold 30,500 of these balls, with the following results:

Sales (30,500 balls) $ 775,000
Variable expenses 465,000
Contribution margin 310,000
Fixed expenses 212,000
Net operating income $ 98,000

Required:

1. Compute (a) last year's CM ratio and the break-even point in balls, and (b) the degree of operating leverage at last year’s sales level.

2. Due to an increase in labor rates, the company estimates that next year's variable expenses will increase by $3.00 per ball. If this change takes place and the selling price per ball remains constant at $25.00, what will be next year's CM ratio and the break-even point in balls?

3. Refer to the data in (2) above. If the expected change in variable expenses takes place, how many balls will have to be sold next year to earn the same net operating income, $98,000, as last year?

4. Refer again to the data in (2) above. The president feels that the company must raise the selling price of its basketballs. If Northwood Company wants to maintain the same CM ratio as last year (as computed in requirement 1a), what selling price per ball must it charge next year to cover the increased labor costs?

5. Refer to the original data. The company is discussing the construction of a new, automated manufacturing plant. The new plant would slash variable expenses per ball by 40.00%, but it would cause fixed expenses per year to double. If the new plant is built, what would be the company’s new CM ratio and new break-even point in balls?

6. Refer to the data in (5) above.

a. If the new plant is built, how many balls will have to be sold next year to earn the same net operating income, $98,000, as last year?

b. Assume the new plant is built and that next year the company manufactures and sells 30,500 balls (the same number as sold last year). Prepare a contribution format income statement and compute the degree of operating leverage.

In: Accounting

Graham Potato Company has projected sales of $14,400 in September, $17,000 in October, $24,400 in November,...

Graham Potato Company has projected sales of $14,400 in September, $17,000 in October, $24,400 in November, and $20,400 in December. Of the company's sales, 25 percent are paid for by cash and 75 percent are sold on credit. Experience shows that 40 percent of accounts receivable are paid in the month after the sale, while the remaining 60 percent are paid two months after. Determine collections for November and December.
  
Also assume Graham’s cash payments for November and December are $20,500 and $13,000, respectively. The beginning cash balance in November is $5,000, which is the desired minimum balance.

a. Prepare a cash receipts schedule for November and December.

Graham Potato Company
Cash Receipts Schedule
September October November December
Sales
Credit sales
Cash sales
One month after sale
Two months after sale
Total cash receipts $0 $0

b. Prepare a cash budget with borrowing needed or repayments for November and December. (Negative amounts should be indicated by a minus sign. Assume the November beginning loan balance is $0.)

Graham Potato Company
Cash Budget
November December
Total cash receipts
Total cash payments
Net cash flow $0 $0
Beginning cash balance
Cumulative cash balance $0 $0
Monthly borrowing (repayment)
Ending cash balance $0 $0
Cumulative loan balance

In: Accounting

Please Answer All of Them Please ! 1. Presented below is the stockholders' equity section of...

Please Answer All of Them Please !

1. Presented below is the stockholders' equity section of Coronado Industries at December 31, 2020:

Common stock, par value $20; authorized 75,000 shares;
issued and outstanding 46000 shares

$ 920000

Paid-in capital in excess of par value

353000

Retained earnings

508000

$1781000


During 2021, the following transactions occurred relating to stockholders' equity:

2900 shares were reacquired at $28 per share.
3400 shares were reacquired at $35 per share.
1700 shares of treasury stock were sold at $31 per share.

For the year ended December 31, 2021, Coronado reported net income of $449000. Assuming Coronado accounts for treasury stock under the cost method, what should it report as total stockholders' equity on its December 31, 2021, balance sheet?

a

$2075100.

b

$1633500.

c

$2078800.

d

$2082500.

2. Sheridan Company, has 4150000 shares of common stock outstanding on December 31, 2020. An additional 809000 shares of common stock were issued on April 1, 2021, and 410000 more on July 1, 2021. On October 1, 2021, Sheridan issued 19100, $1,000 face value, 8% convertible bonds. Each bond is convertible into 20 shares of common stock. No bonds were converted into common stock in 2021. What is the number of shares to be used in computing basic earnings per share and diluted earnings per share, respectively?

a

5357250 and 6157250

b

4961750 and 4961750

c

4961750 and 5057250

d

4961750 and 5357250

In: Accounting

Using the financial statements for the Snider Corporation, calculate the 13 basic ratios found in the...

Using the financial statements for the Snider Corporation, calculate the 13 basic ratios found in the chapter.   
   

SNIDER CORPORATION
Balance Sheet
December 31, 20X1
Assets
Current assets:
Cash $ 53,000
Marketable securities 26,400
Accounts receivable (net) 235,000
Inventory 257,000
Total current assets $ 571,400
Investments 65,100
Plant and equipment. $699,000
Less: Accumulated depreciation 222,000
Net plant and equipment 477,000
Total assets $ 1,113,500
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable $ 94,200
Notes payable 70,600
Accrued taxes 14,000
Total current liabilities $ 178,800
Long-term liabilities:
Bonds payable 158,800
Total liabilities $ 337,600
Stockholders' equity
Preferred stock, $50 par value $ 100,000
Common stock, $1 par value 80,000
Capital paid in excess of par 190,000
Retained earnings 405,900
Total stockholders' equity $ 775,900
Total liabilities and stockholders' equity $ 1,113,500

    

SNIDER CORPORATION
Income Statement
For the Year Ending December 31, 20X1
Sales (on credit) $ 2,016,000
Cost of goods sold 1,319,000
Gross profit $ 697,000
Selling and administrative expenses 552,000 *
Operating profit (EBIT) $ 145,000
Interest expense 30,300
Earnings before taxes (EBT) $ 114,700
Taxes 89,800
Earnings after taxes (EAT) $ 24,900

*Includes $37,300 in lease payments.

Using the above financial statements for the Snider Corporation, calculate the following ratios.

a. Profitability ratios. (Do not round intermediate calculations. Input your answers as a percent rounded to 2 decimal places.)
  

Profitability Ratios
Profit margin %
Return on assets (investment) %
Return on equity %


b. Assets utilization ratios. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
   

Assets Utilization Ratios
Receivable turnover times
Average collection period days
Inventory turnover times
Fixed asset turnover times
Total asset turnover times


c. Liquidity ratios. (Do not round intermediate calculations. Round your answers to 2 decimal places.)
  


  

Liquidity Ratios
Current ratio times
Quick ratio times

d. Debt utilization ratios. (Do not round intermediate calculations. Input your debt to total assets answer as a percent rounded to 2 decimal places. Round your other answers to 2 decimal places.)
  

Debt Utilization Ratios
Debt to total assets %
Times interest earned times
Fixed charge coverage times

In: Accounting

Problem 10A-10 Comprehensive Standard Cost Variances [LO10-1, LO10-2, LO10-3, LO10-4] "Wonderful! Not only did our salespeople...

Problem 10A-10 Comprehensive Standard Cost Variances [LO10-1, LO10-2, LO10-3, LO10-4] "Wonderful! Not only did our salespeople do a good job in meeting the sales budget this year, but our production people did a good job in controlling costs as well,” said Kim Clark, president of Martell Company. “Our $20,825 overall manufacturing cost variance is only .5% of the $4,165,000 standard cost of products made during the year. That's well within the 3% parameter set by management for acceptable variances. It looks like everyone will be in line for a bonus this year." The company produces and sells a single product. The standard cost card for the product follows: Inputs (1) Standard Quantity or Hours (2) Standard Price or Rate Standard Cost (1) × (2) Direct materials 3.50 feet $ 4.30 per foot $ 15.05 Direct labor 2.2 hours $ 9 per hour 19.80 Variable overhead 2.2 hours $ 2.20 per hour 4.84 Fixed overhead 2.2 hours $ 4.50 per hour 9.90 Total standard cost per unit $ 49.59 The following additional information is available for the year just completed: The company manufactured 20,000 units of product during the year. A total of 69,000 feet of material was purchased during the year at a cost of $4.50 per foot. All of this material was used to manufacture the 20,000 units produced. There were no beginning or ending inventories for the year. The company worked 45,500 direct labor-hours during the year at a direct labor cost of $8.85 per hour. Overhead is applied to products on the basis of standard direct labor-hours. Data relating to manufacturing overhead costs follow: Denominator activity level (direct labor-hours) 40,000 Budgeted fixed overhead costs $ 180,000 Actual variable overhead costs incurred $ 113,750 Actual fixed overhead costs incurred $ 177,100 Required: 1. Compute the materials price and quantity variances for the year. 2. Compute the labor rate and efficiency variances for the year. 3. For manufacturing overhead compute: a. The variable overhead rate and efficiency variances for the year. b. The fixed overhead budget and volume variances for the year. (For all requirements, indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

In: Accounting

Renew Energy Ltd. (REL) manufactures and sells directly to customers a special long-lasting rechargeable battery for...

Renew Energy Ltd. (REL) manufactures and sells directly to customers a special long-lasting rechargeable battery for use in digital electronic equipment. Each battery sold comes with a guarantee that the company will replace free of charge any battery that is found to be defective within six months from the end of the month in which the battery was sold. On June 30, 2020, the Warranty Liability account had a balance of $45,000, but by December 31, 2020, this amount had been reduced to $5,000 by charges for batteries returned.

REL has been in business for many years and has consistently experienced an 7% return rate. However, effective October 1, 2020, because of a change in the manufacturing process, the rate increased to a total of 9%. Each battery is stamped with a date at the time of sale so that REL has developed information on the likely pattern of returns during the six-month period, starting with the month following the sale. (Assume no batteries are returned in the month of sale.)

Month
Following
Sale
% of Total Returns
Expected
in the Month
1st 20%
2nd 30%
3rd 20%
4th 10%
5th 10%
6th 10%
100%


For example, for January sales, 20% of the returns are expected in February, 30% in March, and so on. Sales of these batteries for the second half of 2020 were:

Month Sales Amount
July $1,700,000
August 1,700,000
September 2,200,000
October 1,300,000
November 1,000,000
December 800,000


REL’s warranty also covers the payment of the freight cost on defective batteries returned and on new batteries sent as replacements. This freight cost is 10% of the sales price of the batteries returned. The manufacturing cost of a battery is roughly 60% of its sales price, and the salvage value of the returned batteries averages 14% of the sales price. Assume that REL follows IFRS and that it uses the expense approach to account for warranties.

Calculate the warranty expense that will be reported for the July 1 to December 31, 2020 period.

Warranty Expense $Enter your answer in accordance to the question statement

eTextbook and Media

  

  

Calculate the amount of the accrual that you would expect in the Warranty Liability account as at December 31, 2020, based on the above likely pattern of returns.

Provision in the Warranty Liability account $Enter your answer in accordance to the question statement

eTextbook and Media

  

  

Would your answer to any of the above situations change if REL followed ASPE?

Choose the answer from the menu in accordance to the question statement                                                                      YesNo

In: Accounting

For December 31, 20X1, the balance sheet of Baxter Corporation was as follows:    Current Assets...

For December 31, 20X1, the balance sheet of Baxter Corporation was as follows:
  

Current Assets

Liabilities

Cash

$

30,000

Accounts payable

$

32,000

Accounts receivable

35,000

Notes payable

40,000

Inventory

45,000

Bonds payable

70,000

Prepaid expenses

14,000

Fixed Assets

Stockholders’ Equity
Gross plant and equipment

$

270,000

Preferred stock

$

40,000

Less: Accumulated depreciation 54,000 Common stock

75,000

Paid in Capital

45,000

Net plant and equipment

$

216,000

Retained earnings

38,000

Total assets

$

340,000

Total liabilities and stockholders’ equity

$

340,000


Sales for 20X2 were $320,000, and the cost of goods sold was 50 percent of sales. Selling and administrative expense was $32,000. Depreciation expense was 8 percent of plant and equipment (gross) at the beginning of the year. Interest expense for the notes payable was 10 percent, while the interest rate on the bonds payable was 12 percent. This interest expense is based on December 31, 20X1 balances. The tax rate averaged 40 percent.

$4,000 in preferred stock dividends were paid, and $7,000 in dividends were paid to common stockholders. There were 10,000 shares of common stock outstanding.

During 20X2, the cash balance and prepaid expenses balances were unchanged. Accounts receivable and inventory increased by 10 percent. A new machine was purchased on December 31, 20X2, at a cost of $55,000.

Accounts payable increased by 25 percent. Notes payable increased by $8,000 and bonds payable decreased by $20,000, both at the end of the year. The preferred stock, common stock, and capital paid in excess of par accounts did not change.
  
a. Prepare an income statement for 20X2. (Round EPS answer to 2 decimal places.)
  


  
b. Prepare a statement of retained earnings for 20X2.
  


  
c. Prepare a balance sheet as of December 31, 20X2. (Amounts to be deducted should be indicated with parentheses or a minus sign.)
  

In: Accounting

Consider a 5-year project with an initial fixed asset investment of $324,000, straight-line depreciation to zero...

Consider a 5-year project with an initial fixed asset investment of $324,000, straight-line depreciation to zero over the project's life, a zero salvage value, a selling price of $34, variable costs of $17, fixed costs of $189,700, a sales quantity of 94,000 units, and a tax rate of 21 percent. What is the sensitivity of OCF to changes in the sales price?

  • $59,470 per $1 of sales

  • $61,600 per $1 of sales

  • $78,700 per $1 of sales

  • $74,260 per $1 of sales

  • $68,850 per $1 of sales

In: Accounting

Required: Prepare a complete statement of cash flows using a spreadsheet; report its operating activities using...

Required:
Prepare a complete statement of cash flows using a spreadsheet; report its operating activities using the indirect method. (Enter all amounts as positive values.)

Please use the indirect method

Required information

Use the following information for the Problems below.

[The following information applies to the questions displayed below.]

Forten Company, a merchandiser, recently completed its calendar-year 2017 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. The company’s income statement and balance sheets follow.

FORTEN COMPANY
Comparative Balance Sheets
December 31, 2017 and 2016
2017 2016
Assets
Cash $ 51,400 $ 74,500
Accounts receivable 67,310 51,625
Inventory 277,156 252,800
Prepaid expenses 1,300 2,025
Total current assets 397,166 380,950
Equipment 156,500 109,000
Accum. depreciation—Equipment (37,125 ) (46,500 )
Total assets $ 516,541 $ 443,450
Liabilities and Equity
Accounts payable $ 54,141 $ 116,175
Short-term notes payable 10,300 6,200
Total current liabilities 64,441 122,375
Long-term notes payable 64,500 49,750
Total liabilities 128,941 172,125
Equity
Common stock, $5 par value 164,750 151,250
Paid-in capital in excess of par, common stock 38,500 0
Retained earnings 184,350 120,075
Total liabilities and equity $ 516,541 $ 443,450

  

FORTEN COMPANY
Income Statement
For Year Ended December 31, 2017
Sales $ 587,500
Cost of goods sold 286,000
Gross profit 301,500
Operating expenses
Depreciation expense $ 21,750
Other expenses 133,400 155,150
Other gains (losses)
Loss on sale of equipment (6,125 )
Income before taxes 140,225
Income taxes expense 25,650
Net income $ 114,575

Problem 12-4AA Indirect: Cash flows spreadsheet LO P1, P2, P3, P4

Additional Information on Year 2017 Transactions

  1. Net income was $114,575.
  2. Accounts receivable increased.
  3. Inventory increased.
  4. Prepaid expenses decreased.
  5. Accounts payable decreased.
  6. Depreciation expense was $21,750.
  7. Sold equipment costing $49,875, with accumulated depreciation of $31,125, for $12,625 cash. This yielded a loss of $6,125.
  8. Purchased equipment costing $97,375 by paying $32,000 cash and (i.) by signing a long-term note payable for the balance.
  9. Borrowed $4,100 cash by signing a short-term note payable.
  10. Paid $50,625 cash to reduce the long-term notes payable.
  11. Issued 2,600 shares of common stock for $20 cash per share.
  12. Declared and paid cash dividends of $50,300.
FORTEN COMPANY
Spreadsheet for Statement of Cash Flows
For Year Ended December 31, 2017
Analysis of Changes
December 31, 2016 Debit Credit December 31, 2017
Balance sheet—debit
Cash $74,500 $51,400
Accounts receivable 51,625
Inventory 252,800
Prepaid expenses 2,025
Equipment 109,000
$489,950 $51,400
Balance sheet—credit
Accumulated depreciation—Equipment $46,500
Accounts payable 116,175
Short-term notes payable 6,200
Long-term notes payable 49,750
Common stock, $5 par value 151,250
Paid-in capital in excess of par value, common stock 0
Retained earnings 120,075
$489,950 $0
Statement of cash flows
Operating activities
Investing activities
Financing activities
Non cash investing and financing activities
Purchase of equipment financed by long-term note payable
$0 $0

In: Accounting

Required information Comprehensive Problem 8-85 (LO 8-1, LO 8-2, LO 8-3, LO 8-4, LO 8-5) [The...

Required information Comprehensive Problem 8-85 (LO 8-1, LO 8-2, LO 8-3, LO 8-4, LO 8-5) [The following information applies to the questions displayed below.] John and Sandy Ferguson got married eight years ago and have a seven-year-old daughter, Samantha. In 2018, John worked as a computer technician at a local university earning a salary of $152,000, and Sandy worked part-time as a receptionist for a law firm earning a salary of $29,000. John also does some Web design work on the side and reported revenues of $4,000 and associated expenses of $750. The Fergusons received $800 in qualified dividends and a $200 refund of their state income taxes. The Fergusons always itemize their deductions and their itemized deductions were well over the standard deduction amount last year. The Fergusons had qualifying insurance for purposes of the Affordable Care Act (ACA). Use Exhibit 8-9, Tax Rate Schedule, Dividends and Capital Gains Tax Rates for reference. The Fergusons reported making the following payments during the year: State income taxes of $4,400. Federal tax withholding of $21,000. Alimony payments to John’s former wife of $10,000 (divorced in 2014). Child support payments for John’s child with his former wife of $4,100. $12,200 of real property taxes. Sandy was reimbursed $600 for employee business expenses she incurred. She was required to provide documentation for her expenses to her employer. $3,600 to Kid Care day care center for Samantha’s care while John and Sandy worked. $14,000 interest on their home mortgage ($400,000 acquisition debt). $3,000 interest on a $40,000 home-equity loan. They used the loan to pay for a family vacation and new car. $15,000 cash charitable contributions to qualified charities. Donation of used furniture to Goodwill. The furniture had a fair market value of $400 and cost $2,000. What is the Fergusons' 2018 federal income taxes payable or refund, including any self-employment tax and AMT, if applicable? (Round your intermediate computations to the nearest whole dollar amount.)

In: Accounting

Bellingham Company produces a product that requires 2 standard direct labor hours per unit at a...

Bellingham Company produces a product that requires 2 standard direct labor hours per unit at a standard hourly rate of $21.00 per hour. If 2,700 units used 5,600 hours at an hourly rate of $19.95 per hour, what is the direct labor (a) rate variance, (b) time variance, and (c) cost variance? Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.

a. Direct labor rate variance $

b. Direct labor time variance $

c. Direct labor cost variance $

In: Accounting