What are the service lines within Big 4, and what do each one of them do?

A manufacturing company has two Divisions: Amateur and Pro. Estimated activity for the next year is:

                                                Amateur              Pro               Company Total

                                                Division           Division           (Amateur + Pro)

Direct Labour hours:               9,000 hrs        1,000 hrs         10,000 hrs

Maching Hours:                      2,700 hrs           600 hrs            3,300 hrs

Units Produced:                          800 units        100 units            900 units

Production Batches:                        1 batch         49 batches         50 batches          

Costs: Labour:            $144,000

Set-ups:           $    7,500

Machining:      $ 33,000

Total costs:      $184,500

Other information:                                         

• The Amateur division makes products on a continual basis throughout the year.
• The Pro division makes products in batches based on demand.
• Both divisions use the same machines and the same employees.
• There are no materials.
• A set-up is required for each production batch.
• Machining costs are allocated based on Machine hours.

Required

1. What is the cost of a unit for each of the Amateur and Pro Divisions, assuming that total costs are captured in a single cost pool allocated on the basis of Direct Labour Costs (ie, no ABC)?

2. What is the cost of a unit for each of the Amateur and Pro Divisions, assuming that the company uses Activity Based Costing?

Using the information given below, prepare an income statement, Statement of Retained Earnings and balance sheet for Hanson Storage from the adjusted trial balance. No additional investments in the company were made during the year.

Really need help with the income statement, retained earnings, and the balance sheet! thank you

On January 1, 2017, Fulton Inc. enters into a contract with Gibson to deliver goods. Gibson pays $100,000 at the time the contract is signed, at which time the goods are transferred and Fulton’s performance obligation is complete. In addition, Gibson agrees to pay Fulton $100,000 on December 31, 2017, and December 31, 2018. If Fulton entered into a financing arrangement with Gibson it would charge an interest rate of 9%.

Required:

1. Determine the transaction price for the contract with Gibson.

Transaction price $ _______

2. Prepare the journal entries to record Fulton’s sales revenue on January 1 and interest revenue on December 31.

"Fraud Mitigation Techniques" Please respond to the following: From the e-Activity, determine the theft red flags that would create the most opportunity for abuse and make recommendations for the types of controls that could detect various types of frauds. Be as specific as possible by providing illustrative examples to support your position. Suggest why collusion between employees and management in the commission of a fraud is difficult to both prevent and detect. Discuss preventative measures or risk mitigation strategies to address this issue.

The following is the ending balances of accounts at December 31, 2018 for the Vosburgh Electronics Corporation.

Additional information:

1. The common stock represents 1.2 million shares of no par stock authorized, 580,000 shares issued and outstanding.
2. The loans to employees are due on June 30, 2019.
3. The note receivable is due in installments of $58,000, payable on each September 30. Interest is payable annually.
4. Short-term investments consist of marketable equity securities that the company plans to sell in 2019 and $58,000 in treasury bills purchased on December 15 of the current year that mature on February 15, 2019. Long-term investments consist of marketable equity securities that the company does not plan to sell in the next year.
5. Deferred revenue represents customer payments for extended service contracts. Seventy percent of these contracts expire in 2019, the remainder in 2020.
6. Notes payable consists of two notes, one for $108,000 due on January 15, 2020, and another for $208,000 due on June 30, 2021.

Required:
Prepare a classified balance sheet for Vosburgh at December 31, 2018.

Larry and Hank are employees of one of the leading accounting firms, CPAs. The two have recently obtained their licenses as certified public accountants, CPA, however they are considering starting their own accounting practice.
Using Brown's risk taxonomy, identify and describe at least five risks that Larry and Hank must take into account if they plan to open their own business. For each risk you identify, suggest one or more internal controls that may lessen it.

Question 1 Beaker Company Statements of Financial Position Beginning Balance Ending Balance Assets: Cash $ 256,000 $ 231,240 Accounts receivable 144,000 192,000 Inventory 310,000 240,000 Plant and equipment (net) 492,000 445,000 Investment in Cedar Company 301,000 286,000 Land (undeveloped) 280,000 280,000 Total assets $ 1,783,000 $ 1,674,240 Liabilities and owners' equity: Accounts payable $ 214,000 $ 238,000 Long-term debt 810,000 810,000 Owners' equity 759,000 626,240 Total liabilities and owners' equity $ 1,783,000 $ 1,674,240 Beaker Company Income Statement Sales $ 2,060,000 Less operating expenses 1,854,000 Net operating income 206,000 Less interest and taxes: Interest expense $ 96,900 Tax expense 63,860 160,760 Net income $ 45,240 The company paid dividends of $178,000 last year. The "Investment in Cedar Company" on the statement of financial position represents an investment in the stock of another company. Additionally; The Board of Directors of Beaker Company has set a minimum required return of 15%. Please calculate the following: Average Operating Assets (rounded to the nearest whole dollar, with commas) $ Operating Income (rounded to the nearest whole dollar, with commas) $ Sales (rounded to the nearest whole dollar with commas) $ Margin (rounded to the 2 decimal places) % Turnover (rounded to 2 decimal places) Return On Investment (rounded to 2 decimal places) % Residual Income (rounded to the nearest whole dollar, with commas) $

In its Department R, Recyclers, Inc., processes donated scrap cloth into towels for sale in local thrift shops. It sells the products at cost. The direct materials costs are zero, but the operation requires the use of direct labor and overhead. The company uses a process costing system and tracks the processing volume and costs incurred in each period. At the start of the current period, 450 towels were in process and were 60 percent complete. The costs incurred were $160.

During the month, costs of $15,600 were incurred, 3,900 towels were started, and 225 towels were still in process at the end of the month. At the end of the month, the towels were 20 percent complete.

Required:

a. Prepare a production cost report: the company uses FIFO process costing. (Round "Cost per equivalent unit" to 2 decimal places.)

b. Show the flow of costs through T-accounts. Assume that current period conversion costs are credited to various payables.

1. How is the work of an internal auditor different from that of an external auditor (financial statements)?

2. What are the similarities and differences between the ethical codes?

1 False When an asset is purchased at a time other than the beginning of an accounting period, depreciation is recorded for the whole year and then no depreciation in the year of disposal is taken

2-------- Useful life or service life might not be as long as the asset’s total productive life.

3-------- Units-of-production depreciation charges a varying amount to expense for each period of an asset’s useful life depending on its usage.

4-------- Accelerated depreciation method yields less depreciation expenses in the early years of an asset’s life and more depreciation in later years.

5-------- Capital expenditures are additional costs of plant assets that provide benefits extending beyond the current period, thus are added to the book value of the asset.

6------- Payroll deductions, commonly called withholdings, are amounts withheld from an employee’s gross pay by law but not voluntary.

7------ A total of 15.3% is submitted by employers to social security and Medicare for each employee as deduction from their pay check.

8-------- A warranty is a seller’s obligation to replace or correct a product (or service) that fails to perform as expected within a specified period, thus is recorded as a liability.

9------- FUTA requires employers to pay a federal unemployment tax on all salary or wages paid to each employee.

10------- Amounts received in advance from customers for future products or services are recorded as liabilities.

Discuss the purpose of a budget and cost variance analysis. Why is it important for companies to create a budget then determine if they met budgeted costs? For example, is it always a negative variance if a company exceeds budgets? Give me an example of why a cost falling below expectations (actual cost below budgeted cost) may still be a problem even if it appears to increase profit.

Bledsoe has developed plans to expand into the wholesale flower market and is in the process of negotiating a bank loan to finance the expansion. The bank is requesting 2017 financial statements prepared on the accrual basis of accounting from Bledsoe. During the course of a review engagement of Bledsoe, your firm, obtained the following information:

1.Amounts due from customers totaled $142,000 at 12/31/2017. During the year the company wrote off $7,400 of receivables that were deemed to be uncollectible. An analysis of the receivables revealed that an estimated 3% of the balance will probably not be collected in 2018. There were no uncollectable receivables estimated at 12/31/2016. 2.Unpaid invoices for flower purchases totaled $20,500 at December 31, 2017.

3. The inventory totaled $76,800 based on a physical count of the goods at December 31, 2017. The inventory was priced at cost, which approximates market value.

4. On May 1, 2017, Bledsoe paid $8,700 to renew its comprehensive insurance coverage for one year. The premium on the previous one-year policy, which expired on April 30, 2017, was $7,800. No adjustment was made in the prior year, Bledsoe had never heard of a prepaid.

5. On January 2, 2017, Bledsoe entered into a 25 year operating lease for the vacant lot adjacent to Bledsoe's North retail store for use as a parking lot. As agreed in the lease, Bledsoe paved and fenced in the lot at a cost of $50,000. The improvements were completed on July 2, 2017, and have an estimated useful life of 10 years. Depreciation on furniture and fixtures was $15,000 for 2017.

6. Bledsoe is being sued for $100,000. The coverage under the comprehensive insurance policy is limited to $50,000. Bledsoe's attorney believes that an unfavorable outcome is probable and that a reasonable settlement is $65,000.

7. All employees are paid weekly on Friday. The average payroll is $3,000 (6 day work week) per week. Employees were last paid on Friday, December 29th, 2017 for the week ended December 22nd.

8. Bledsoe's has made estimated tax payments of $15,000 per quarter for the first three quarters of 2017. Bledsoe's estimated tax rate is 35%.

9.Bledsoe's took out a 2 year note payable on April 1, 2017. The note bears interest at 4%. Principal and interest are due at maturity.

10.The company had two locations and due to poor performance, they decided to discontinue operations related to the south location. The revenue for this location (which is included in the above trial balance) amounted to $83,000 and the expenses, $91,000 (purchases $50,000, salaries $26,000 and rent $15,000). The company disposed of all assets of the south location for a loss of $10,000 ($31,000 original cost with accumulated depreciation of $17,000).

11. The investments account is comprised of two investments. One $100,000 bond was purchased at face value and Bledsoe’s intends to hold until it matures. The interest on these bonds are 3% and is paid annually on January 31. Bledsoe purchased these bonds on September 1st of the current year. The fair value of these bonds are $96,000. The other investment are shares of Google stock, which were purchased on 10/20/16 for $797/share. Assume the closing price of Google on 12/31/16, was $814/share.

Prepare the adjusting Journal entries

Question 1                      BANK RECONCILIATION

The information given below was extracted from the accounting records of Mika Stores.

Required

1.1 Complete the Cash Receipts Journal and Cash payments Journal of Mika Stores for March 2018 after taking the information provided into account. Use only the columns illustrated below. In the details column write down the name of the contra account e.g Rent income. (11)

Cash Receipts Journal

Cash Payments Journal

1.2 Post to the Bank account in the General ledger of Mika stores. Balance the account. (3)

Mika Stores

1.3 Prepare the Bank Reconciliation Statement as at 31 March 2018. Use the following format:

INFORMATION