Information for Question: The ExpressEspresso Company roasts and sells high quality certified sustainable coffee beans. The final one pound bags of roasted whole coffee beans has two direct materials – coffee beans and packaging. ExpressEspresso is preparing budgets for the 4th quarter ending December 31, 2019. For each requirement below prepare budgets by month for October, November, and December, and a total budget for the quarter.

The previous year’s sales for the corresponding period were:

October 50,000 bags

November 55,000 bags

December 90,000 bags

January 75,000 bags

February 60,000 bags

The company expects the above volume of coffee sales to increase by 8% for the period October 2019 – February 2020. The budgeted selling price for 2019 is $19.50 per bag. The company expects 35% of its sales to be cash (COD) sales. The remaining 65% of sales will be made on credit.

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Question: The company desires to have finished goods inventory on hand at the end of each month equal to 10 percent of the following month's budgeted unit sales. On September 30, 2019, ExpressEspresso expects to have 5,350 bags of roasted coffee on hand.

Prepare a Production budget

our accounts receivable clerk, Mitra Adams, to whom you pay a salary of $2,715 per month, has just purchased a new Acura. You decide to test the accuracy of the accounts receivable balance of $148,420 as shown in the ledger.

The following information is available for your first year in business.

Compute an estimate of the ending balance of accounts receivable from customers that should appear in the ledger and any apparent shortages. Assume that all sales are made on account.

Rosie Learns, Inc. manufactures robots and uses an activity-based costing system. Rosie Learns’ activities and related data are listed below:

*The number of units receiving the finish activity, not the number of units transferred to Finished Goods Inventory.

Rosie Learns produces two models of robots, the Rosie V and the Rosie X. The Rosie X has fewer parts and requires no finishing work.

Requirements:

1. Compute the manufacturing product costs per unit of each model of robot.
2. Suppose that pre-manufacturing activities, such as product design were assigned to Roxie V at $8 each and to Rosie X at $5 each. Similar analyses were done on post-manufacturing actives such as distribution, marketing, and customer service. The post-manufacturing costs were $18 for Rosie V and $14 for Rosie X. What is the full product costs per unit?
3. Which product costs are reported in the external financial statements? Which costs are used for management decision making? What is the difference?
4. What price should Rosie Learns set for Rosie X to earn a target net profit of $20 per robot?

Describe one type of cognitive bias (one or two sentences). Provide at least one specific example of how this type of bias could lead to suboptimal accounting decision making.

Discuss why databases are important in accounting information systems. Describe primary and foreign keys, normalization and database cardinalities. Why are each important to the database design? Your initial posting should be 250-500 words and must be submitted by Thursday, 11:59 pm MST, of this week.

Refer to FASB 162 (the hierarchy of accounting information). Why is this hierarchy important, and how can it be applied to conducting research?

Required information [The following information applies to the questions displayed below.] The following financial statements and additional information are reported. IKIBAN INC. Comparative Balance Sheets June 30, 2017 and 2016 2017 2016 Assets Cash $ 92,500 $ 69,000 Accounts receivable, net 102,500 76,000 Inventory 88,800 124,000 Prepaid expenses 6,900 10,400 Total current assets 290,700 279,400 Equipment 149,000 140,000 Accum. depreciation—Equipment (39,500 ) (21,500 ) Total assets $ 400,200 $ 397,900 Liabilities and Equity Accounts payable $ 50,000 $ 67,500 Wages payable 8,500 20,000 Income taxes payable 5,900 8,800 Total current liabilities 64,400 96,300 Notes payable (long term) 55,000 85,000 Total liabilities 119,400 181,300 Equity Common stock, $5 par value 270,000 185,000 Retained earnings 10,800 31,600 Total liabilities and equity $ 400,200 $ 397,900 IKIBAN INC. Income Statement For Year Ended June 30, 2017 Sales $ 803,000 Cost of goods sold 436,000 Gross profit 367,000 Operating expenses Depreciation expense $ 83,600 Other expenses 92,000 Total operating expenses 175,600 191,400 Other gains (losses) Gain on sale of equipment 4,500 Income before taxes 195,900 Income taxes expense 46,390 Net income $ 149,510 Additional Information A $30,000 note payable is retired at its $30,000 carrying (book) value in exchange for cash. The only changes affecting retained earnings are net income and cash dividends paid. New equipment is acquired for $82,600 cash. Received cash for the sale of equipment that had cost $73,600, yielding a $4,500 gain. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement. All purchases and sales of inventory are on credit. rev: 12_05_2017_QC_CS-111198 (2) Compute the company's cash flow on total assets ratio for its fiscal year 2017.

Wanting to finalize a sale before year-end, on December 29, WR Outfitters sold to Bob a warehouse and the land for $178,000. The appraised fair market value of the warehouse was $105,750, and the appraised value of the land was $199,750

a.) What is Bob’s basis in the warehouse and in the land?

b.) What would be Bob’s basis in the warehouse and in the land if the appraised value of the warehouse is $90,750, and the appraised value of the land is $214,750?

c.) Which appraisal would Bob likely prefer?

• Appraised value in part (a)

• Appraised value in part (b)

Pro-Weave manufactures stadium blankets by passing the products through a weaving department and a sewing department. The following information is available regarding its June inventories:

The following additional information describes the company’s manufacturing activities for June:

1. Compute the (a) cost of products transferred from weaving to sewing, (b) cost of products transferred from sewing to finished goods, and (c) cost of goods sold.
2. Prepare journal entries dated June 30 to record (a) goods transferred from weaving to sewing, (b) goods transferred from sewing to finished goods, and (c) sale of finished goods.

Stuart Airlines is a small airline that occasionally carries overload shipments for the overnight delivery company Never-Fail, Inc. Never-Fail is a multimillion-dollar company started by Wes Never immediately after he failed to finish his first accounting course. The company’s motto is “We Never-Fail to Deliver Your Package on Time.” When Never-Fail has more freight than it can deliver, it pays Stuart to carry the excess. Stuart contracts with independent pilots to fly its planes on a per-trip basis. Stuart recently purchased an airplane that cost the company $6,375,000. The plane has an estimated useful life of 25,500,000 miles and a zero salvage value. During the first week in January, Stuart flew two trips. The first trip was a round trip flight from Chicago to San Francisco, for which Stuart paid $260 for the pilot and $210 for fuel. The second flight was a round trip from Chicago to New York. For this trip, it paid $210 for the pilot and $105 for fuel. The round trip between Chicago and San Francisco is approximately 4,600 miles and the round trip between Chicago and New York is 1,400 miles.

Required

1. Select if the costs mentioned below are direct or indirect.

2. Determine the total cost of each trip.

Total cost: Chicago to San Francisco

Chicago to NY

Intermediate Accounting II

1. United Health Group leased a life support machine on January 1, 2018, for a three-year period ending December 31, 2020. The lease agreement specified annual payments of $144,000 beginning with the first payment at the beginning of the lease, and each December 31 through 2019. The company had the option to purchase the machine on December 30, 2020, for $180,000 when its fair value was expected to be $240,000, a sufficient difference that exercise seems reasonably certain. The machine's estimated useful life was six years with no salvage value. United Health was aware that the lessor's implicit rate of return was 12%.

Required:

Round your answers to the nearest whole dollar amounts.

1.          Calculate the amount United Health should record as a right-of-use asset and lease liability for this finance lease.
2.          Prepare the appropriate journal entries for United Health from the beginning of the lease through the second payment (12/31/18).

Make or Buy

Smith Corporation currently manufactures a subassembly for its main product. The costs per unit are as follows:

Direct materials                            $ 1

Direct labor                                     10

Variable overhead                             5

Fixed overhead                                 8

Total                                              $24

Funkhouser Company has contacted Smith with an offer to sell it 5,000 of the subassemblies for $20 each. If Funkhouser makes the subassemblies, $5 of the fixed overhead per unit will be allocated to other products.

Required:

a.   Should Smith make or buy the subassemblies? Explain your answer. What would be the impact on Net Income? (Make table)

b.   What if Smith could rent the space currently used to manufacture the subassemblies for $15,000. What should they do now? What is the impact on Net Income? (Make table)

c.   What other factors should Smith consider in making this decision?

Grant Company leased machinery to Tim Company on July 1, 2015, for a ten-year period expiring June 30, 2025. Equal annual payments under the lease are $150,000 and are due on July 1 of each year. The first payment was made on July 1, 2013. The rate of interest used by Grant and Tim is 9%. The cash selling price of the machinery is $1,050,000 and the cost of the machinery on Grant's accounting records was $930,000. Prepare all of Grant's 2015 journal entries to this lease assuming that it is defined as a sales-type lease.

The ledger of Cheyenne Corp. on March 31 of the current year includes the selected accounts, shown below, before quarterly adjusting entries have been prepared.

An analysis of the accounts shows the following.

Prepare the adjusting entries at March 31, assuming that adjusting entries are made quarterly. Additional accounts are Depreciation Expense, Insurance Expense, Interest Payable, and Supplies Expense. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

in context to internationalization of business explain the concept of franchising and strategic alliances