Smoky Mountain Corporation makes two types of hiking boots—the Xtreme and the Pathfinder. Data concerning these two product lines appear below:

The company has a traditional costing system in which manufacturing overhead is applied to units based on direct labor-hours. Data concerning manufacturing overhead and direct labor-hours for the upcoming year appear below:

Compute the product margins for the Xtreme and the Pathfinder products under the activity-based costing system.

3. Prepare a quantitative comparison of the traditional and activity-based cost assignments.

1 A and B form the AB partnership. According to the agreement, A contributed $70,000 in cash while B contributed $80,000. Make the journal entry to form the partnership under the following assumptions:

a) The agreement was silent about allocating capital balances.

b) The agreement specified that capital balances will be allocated equally and the bonus method will be used.

c) The agreement specified that capital balances will be allocated equally and the goodwill method will be used.

2 Using the information from question #la above, the partners in the AB partnership agreed that profits and losses will be shared as follows • Salary: A $65,000 B $35,000 • Interest: Partners get 10% interest on beginning capital balance • Bonus: Partner A gets a bonus of 15% of net income generated • Remaining profit or loss shared equally Assume that after the first year of operation, the AB partnership generated: i) Net income $150,000 ii) Net income $70,000 iii) Net loss ($75,000)

a) For each of the income/ loss amounts above, determine the partners share of the income or loss

b) Prepare the end of year closing entries

c) Determine the ending capital balances for each partner

Machinery purchased for $41,200 by Swifty Corp. on January 1, 2015, was originally estimated to have an 8-year useful life with a residual value of $6,000. Depreciation has been entered for five years on this basis. In 2020, it is determined that the total estimated useful life (including 2020) should have been 10 years, with a residual value of $7,000 at the end of that time. Assume straight-line depreciation and that Swifty Corp. uses IFRS for financial statement purposes.

Prepare the entry that is required to correct the prior years’ depreciation, if any

Prepare the entry to record depreciation for 2020.

Repeat part (b) assuming Swifty Corp. uses ASPE and the machinery is originally estimated to have a physical life of 8.5 years and a salvage value of $0. In 2020, it is determined that the total estimated physical life (including 2020) should have been 11 years, with a salvage value of $400 at the end of that time.

Repeat part (b) assuming Swifty Corp. uses the double-declining-balance method of depreciation.

1.

Find the total amount due on the invoice. Round answer to the nearest cent.

2.  

Marisa Tallifero bought a cordless phone priced at $49.99. It was subject to 8.75% sales tax. Round answer to the nearest cent.

a. What was the sales tax?
$

b. What was the total amount Marisa paid for the phone?
$

3.

Find the total amount due on the invoice. Round answer to the nearest cent.

4.

Find the total amount due on the invoice. Round answer to the nearest cent. Place commas in the answer as needed.

5.

Find the total amount due on the invoice. Round answer to the nearest cent. Place commas in the answer as needed

6.

Find the total amount due on the invoice. Round answer to the nearest cent. Place commas in the answer as needed.

7.

Find the total amount due on the invoice. Round answer to the nearest cent. Place commas in the answer as needed.

8.

Find the total amount due on the invoice. Round answer to the nearest cent.

9.

Penny Holcomb purchased pen and pencil gift sets to give to her employees for the holidays. The total bill was $103.92, which included the sales tax of 6.5%. Round answer to the nearest cent.

a. What was the total cost of the pens?
$

b. What was the amount of the sales tax?
$

This assignment is the same for both Florida & non Florida students. This problem requires the student to develop a simple budget. At the end of the course, the student will receive a STAR for completing this assignment. This assignment must be completed in either MS Excel or in with a MS Word table*

Budget Case Problem

Meadow Lake Elementary will receive 600 additional students next fiscal year. This increase in student enrollment will raise the school over the number needed for several additional staff. You are only concerned with the budget for the additional students.

Your school will be allocated an additional:

Description    Salary Costs

Assistant Principal $ 53,000

Guidance Counselor $ 48,000

4 six-hour Teacher Aides $  9,600 each

Regular Classroom Teachers $ 48,000 each

One ESE Classroom Teacher $ 48,000 each

One Speech/Language Teacher  $ 48,000 each

One ESOL Teacher $ 48,000 each

One Custodian     $ 20,000

Secretary Clerk    $ 14,000

Data Processor,   $ 16,000

The regular education student-teacher formula is 20:1

The school will also receive:

A.  $ 4 per student for administrative supplies

B.  $16 per student for classroom supplies for regular teacher

C.  $ 5 per student for custodial supplies

D.  $ 300 per classroom teacher (ALL teachers except speech/language) for textbooks

E.  $ 200 per ESE teacher for ESE supplies

F.  $ 200 per ESOL Teacher for ESOL supplies

G.  A computer package for making class presentations for each regular, ESE, and ESOL teacher (not Speech) (package includes laptop computer with LCD projector) - cost per package is $3,500 per teacher.

H.  Substitute budget for $ 5,000

Outline and total the school's additional budget resources based on the increased enrollment. Use State of Florida Function and Objectcodes (Redbook codes), and group the budgeted items by common function.

Use the following headers: (an Excel spreadsheet is available to assist with this assignment)

  FUNCTION  OBJECT     DESCRIPTION     EMP. CT.  SALARY  NON-SALARY

Using the following employee benefit costs, determine the TOTAL employee costs for the enrollment increase (Salary + Benefits)

  Variable Benefits  Fixed Benefits

  Retirement   10.40%     Health $ 7,500

  FICA     7.65%   Life $   125

  Work Comp    1.50%

  Total   19.55%      $ 7,625

1. What are the Function & Object codes for each of the personnel items?  – (4 points, ½ point for each incorrect Function or Object code).

2. What are the Employee Counts for each Function group? (2 points, ½ point for each incorrect employee count)

3. What are the total non-Salary Costs, by Function and Object, for the non-salary items for these additional 600 students? (3 points, ½ points for each incorrect Function, Object, or total cost)

4. What are the total variable and fixed employee benefit costs? (1 point, ½ point each)

The Comet Company's budget contains these standards for materials and direct labor for a unit: Material 5 lbs. @ $1 per lb. = $5

Labor 2 hrs. @ $5 per hr. = $10

Although 2,500 units were budgeted, 3,000 were actually produced. Materials weighing 16,000 lbs. were purchased for $18,400. Materials weighing 15,500 lbs. were issued to production. Direct Labor costs were $33,075 for 6,750 hrs.

A.) What's the materials price variance?

B.) What's the materials quantity variance?

C.) What's the total material variance?

D.) What's the labor rate variance?

E.) What's the labor efficiency variance?

F.) What was the total labor variance?

Thanks! :)

Sal Amato operates a residential landscaping business in an affluent suburb of St. Louis. In an effort to provide quality service, he has concentrated solely on the design and installation of upscale landscaping plans (e.g., trees, shrubs, fountains, and lighting). With his clients continually requesting additional services, Sal recently expanded into lawn maintenance, including fertilization.

The following data relate to his first year’s experience with 55 fertilization clients:

• Each client required nine applications throughout the year and was billed $40.00 per application.

• Two applications involved Type I fertilizer, which contains a special ingredient for weed control. The remaining seven applications involved Type II fertilizer.

• Sal purchased 6,800 pounds of Type I fertilizer at $0.55 per pound and 11,800 pounds of Type II fertilizer at $0.45 per pound. Actual usage amounted to 5,550 pounds of Type I and 8,700 pounds of Type II.

• A new, part-time employee was hired to spread the fertilizer. Sal had to pay premium wages of $13.30 per hour because of a very tight labor market; the employee logged a total of 201 hours at client residences.

• Based on previous knowledge of the operation, articles in trade journals, and conversations with other landscapers, Sal established the following standards:

• Fertilizer purchase price per pound: Type I, $0.68; Type II, $0.46
• Fertilizer usage: 58 pounds per application
• Typical hourly wage rate of landscape personnel: $9.70
• Labor time per application: 40 minutes

• The operation did not go as smoothly as planned, with customer complaints actually much higher than expected.

Required:

1. 1. Compute Sal’s direct-material variances for each type of fertilizer : Type I and Type II

2. 1. Direct material price variance

3. 2. Direct material quantity variance

4. 3. Direct material purchase price variance

5. 4. Direct labor rate variance

6. 5. Direct labor efficency variance

7. 2. Compute the direct-labor variances.

8. 3-a. Compute the actual cost of the client applications. (Note: Exclude any fertilizer in inventory, as remaining fertilizer can be used next year.)

9. 3-b. Calculate the profit or loss of Sal’s new lawn fertilization service.

10. 4. On the basis of the variances that you computed in parts (1) and (2) was the new service a success from an overall cost-control perspective?

11. 5. Should the fertilizer service be continued next year?

1. During January, AA sold 20 units at $30 per unit.

Under FIFO, how much is the Gross Profit?

$365

$380

$390

$395

2. During January, AA sold 20 units at $30 per unit
Under the Weighted Average Method, how much is the Gross Profit?.

$365

$380

$395

$400

3. During January, AA sold 20 units at $30 per unit.

Under FIFO, how much is the Cost of Goods Sold?

$205

$235

$260

$290

4. During January, AA sold 20 units at $30 per unit.

Under FIFO, how much is the value of ending inventory?

$205

$235

$260

$290

5. During January, AA sold 20 units at $30 per unit.

How much is the value of ending inventory under the Weighted Average Method?

$195

$220

$275

$300

6. During January, AA sold 20 units at $30 per unit.

Under LIFO, how much is the Cost of Goods Sold?

$205

$235

$260

$290

Static Budget versus Flexible Budget

The production supervisor of the Machining Department for Niland Company agreed to the following monthly static budget for the upcoming year:

The actual amount spent and the actual units produced in the first three months in the Machining Department were as follows:

The Machining Department supervisor has been very pleased with this performance because actual expenditures for January–March have been significantly less than the monthly static budget of 389,000. However, the plant manager believes that the budget should not remain fixed for every month but should “flex” or adjust to the volume of work that is produced in the Machining Department. Additional budget information for the Machining Department is as follows:

a. Prepare a flexible budget for the actual units produced for January, February, and March in the Machining Department. Assume depreciation is a fixed cost. If required, use per unit amounts carried out to two decimal places.

Feedback

For each level of production, show wages, utilities, and depreciation.

Learning Objective 2, Learning Objective 4.

b. Compare the flexible budget with the actual expenditures for the first three months.

What does this comparison suggest?

pick from the multiple choice

Under the full goodwill method, a control premium is recognised when:

Fredericks Limited acquired the identifiable assets and liabilities of Nicole Limited for $134 000. The items acquired, stated at fair value, are: plant $72 000; inventories $40 000; accounts receivable $18 000; patents $10 000; accounts payable $16 000. The difference on acquisition is:

Xana Limited paid $110 000 for 60% of the shares in Yama Limited. At the date of acquisition Yama Limited had share capital of $100 000 and retained earnings of $36 000 and all of Yama Limited’s assets and liabilities were recorded at fair value, except for land that was recorded at an amount less than the fair value by $20 000. The company tax rate was 30%. The fair value of identifiable net assets acquired by Xana Limited amounted to:

Afternoon I would like to use Apple as my example Go to Yahoo Finance and select a company. Then, share with the class either the company’s gross profit or total operating expenses, as well as the company’s net income. Can you please make sure your answer is clear where I can read it my eyes are really bad thank you

Plasto Corporation manufactures a variety of plastic products, including a series of molded chairs. The three models of molded chairs, which are all variations of the same design, are Standard (can be stacked), Deluxe (with arms), and Executive (with arms and padding). The company uses batch manufacturing and has an operation-costing system. The production process includes an extrusion operation and subsequent operations to form, trim, and finish the chairs. Plastic sheets are produced by the extrusion operation, some of which are sold directly to other manufacturers. During the forming operation, the remaining plastic sheets are molded into chair seats and the legs are added; the Standard model is sold after this operation. During the trim operation, the arms are added to the Deluxe and Executive models and the chair edges are smoothed. Only the Executive model enters the finish operation where the padding is added. All of the units produced receive the same steps within each operation. The May production run had a total manufacturing cost of $988,290. The units of production and direct-material costs incurred were as follows:

Manufacturing costs applied during the month of May were as follows:

Required:

1. For each product produced by Plasto Corporation during the month of May, determine the (a) unit cost and (b) total cost. Be sure to account for all costs incurred during the month. (Round "Unit costs" to 2 decimal places.)