What is the accountant's role in the AIS development (or upgrade or implementation) process?

Should accountants play an active role or leave the work to the computer experts?

In what aspect of the AIS development (or upgrade or implementation) project might an accountant provide a useful contribution?

Accounting Information System

Marvel Parts, Inc., manufactures auto accessories. One of the company’s products is a set of seat covers that can be adjusted to fit nearly any small car. The company has a standard cost system in use for all of its products. According to the standards that have been set for the seat covers, the factory should work 1,055 hours each month to produce 2,110 sets of covers. The standard costs associated with this level of production are:

During August, the factory worked only 1,000 direct labor-hours and produced 2,100 sets of covers. The following actual costs were recorded during the month:

At standard, each set of covers should require 3.0 yards of material. All of the materials purchased during the month were used in production.

Required:

1. Compute the materials price and quantity variances for August.

2. Compute the labor rate and efficiency variances for August.

3. Compute the variable overhead rate and efficiency variances for August.

Inventory Costing Methods-Perpetual Method

Kali Company uses the perpetual inventory system for its merchandise inventory. The June 1 inventory for one of the items in the merchandise inventory consisted of 60 units with a unit cost of $45. Transactions for this item during June were as follows:

Required
a. Compute the cost of goods sold and the ending inventory cost for the month of June using the weighted-average cost method. Do not round until your final answers. Round to the nearest dollar.

b. Compute the cost of goods sold and the ending inventory cost for the month of June using the first-in, first-out method.

c. Compute the cost of goods sold and the ending inventory cost for the month of June using the last-in, first-out method.

a) Weighted average

Ending Inventory:

Cost of goods sold:

b) First in, First out:

Ending Inventory:

Cost of goods sold:

c) Last in, First Out:

Ending Inventory:

Cost of goods sold:

Below information pertains to Eller Equipment Company for the year 2018. (Hint: Some of the items will not appear on either statement, and ending retained earnings must be calculated.) Salaries expense $109,000 Beginning retained earnings $ 48,100 Common stock 97,000 Warranties payable (short term) 5,200 Notes receivable (short term) 19,500 Gain on sale of equipment 13,000 Allowance for doubtful accounts 21,000 Operating expenses 52,000 Accumulated depreciation 53,000 Cash flow from investing activities 103,000 Notes payable (long term) 89,350 Prepaid rent 25,000 Salvage value of building 17,000 Land 82,000 Interest payable (short term) 8,000 Cash 35,300 Uncollectible accounts expense 32,000 Inventory 130,000 Supplies 5,200 Accounts payable 42,000 Equipment 160,650 Interest Expense 23,000 Interest revenue 4,900 Salaries payable 55,000 Sales revenue 914,000 Unearned revenue 34,000 Dividends 22,000 Cost of goods sold 582,000 Warranty expense 7,900 Accounts receivable 95,000 Interest receivable (short term) 2,300 Depreciation expense 1,700 Required Prepare a multistep income statement for Eller Equipment Company for 2018. Prepare a classified balance sheet for Eller Equipment Company for 2018.

Windsor, Inc. had the following transactions involving notes payable.

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

Fanning Electronics produces video games in three market categories: commercial, home, and miniature. Fanning has traditionally allocated overhead costs to the three products using the companywide allocation base of direct labor hours. The company recently implemented an ABC system when it installed computer-controlled assembly stations that rendered the traditional costing system ineffective. In implementing the ABC system, the company identified the following activity cost pools and cost drivers:

     
Additional data for each of the product lines follow:     

    
Required

1. Determine the total cost and cost per unit for each product line, assuming that overhead costs are allocated to each product line using direct labor hours as a companywide allocation base. Also determine the combined cost of all three product lines.

2. Determine the total cost and cost per unit for each product line, assuming that an ABC system is used to allocate overhead costs. Determine the combined cost of all three product lines.

(For all requirements, round intermediate calculations for allocation rates to 2 decimal places and all other calculations to the nearest whole dollar. Round "Cost per Unit" to 2 decimal places. Round your answers for "Total Cost" to the nearest whole dollar amount.)

Goehler, Inc. acquires all of the voting stock of Kenneth, Inc. on January 4, 2017, at an amount in excess of Kenneth's fair value. On that date, Kenneth has equipment with a book value of $90,000 and a fair value of $120,000 (10-year remaining life). Goehler has equipment with a book value of $800,000 and a fair value of $1,200,000 (10-year remaining life). On December 31, 2018, Goehler has equipment with a book value of $975,000 but a fair value of $1,350,000 and Kenneth has equipment with a book value of $105,000 but a fair value of $125,000.

18) If Goehler applies the equity method in accounting for Kenneth, what is the consolidated balance for the Equipment account as of December 31, 2018?

A) $1,104,000.

B) $1,080,000.

C) $1,468,000.

D) $1,475,000.

E) $1,100,000.

19) If Goehler applies the partial equity method in accounting for Kenneth, what is the consolidated balance for the Equipment account as of December 31, 2018?

A) $1,475,000.

B) $1,080,000.

C) $1,468,000.

D) $1,100,000.

E) $1,104,000.

20) If Goehler applies the initial value method in accounting for Kenneth, what is the consolidated balance for the Equipment account as of December 31, 2018?

A) $1,080,000.

B) $1,104,000.

C) $1,475,000.

D) $1,100,000.

E) $1,468,000.

Please show works, Thanks!

.Our company had the following balances and transactions during the current year related to merchandise inventory.

Beginning merchandise inventory on January 11 20 units at $70 per unitPurchase on February 14 100 units at $85 per unitSale on August 21 120 units

What would be the company's ending merchandise inventory in dollars on December 31 if the company used perpetual, last in, first out (LIFO) method?

$9,900

$8,500

$8,400

$7,000

2.Our company had the following balances and transactions during the current year related to merchandise inventory.

Beginning merchandise inventory on January 11 20 units at $70 per unitPurchase on February 14 100 units at $85 per unitSale on August 21 120 units

What would be the company's cost of goods sold in dollars on December 31 if the company used perpetual, last in, first out (LIFO) method?

$9,900

$8,500

$8,400

$7,000

3.Our company had the following balances and transactions during the current year related to merchandise inventory.

Beginning merchandise inventory on January 1

120 units at $70 per unit

Purchase on February 14

100 units at $85 per unit

Sale on August 21

150 units

What would be the company's ending merchandise inventory in dollars on December 31 if the company used perpetual, first in, first out (FIFO) method?

$4,900

$5,950

$10,950

$12,000

4.Our company had the following balances and transactions during the current year related to merchandise inventory.

Beginning merchandise inventory on January 1

100 units at $75 per unit

Purchase on February 14

100 units at $80 per unit

Sale on August 21

150 units

What would be the company's cost of goods sold in dollars on December 31 if the company used perpetual, first in, first out (FIFO) method?

$4,000

$3,750

$11,500

$11,750

5.Our company had the following balances and transactions during the current year related to merchandise inventory.

Beginning merchandise inventory on January 1

120 units at $70 per unit

Purchase on February 14

100 units at $85 per unit

Sale on August 21

150 units

What would be the company's ending merchandise inventory in dollars on December 31 if the company used perpetual, weighted average (WA) costing method?

$4,900

$12,000

$11,523

$5,377

6.Our company had the following balances and transactions during the current year related to merchandise inventory.

Beginning merchandise inventory on January 1

100 units at $75 per unit

Purchase on February 14

100 units at $80 per unit

Sale on August 21

150 units

What would be the company's cost of goods sold in dollars on December 31 if the company used perpetual, weighted average (WA) costing method?

$4,000

$3,750

$11,625

$11,750

1. Within a given distribution channel, the following information is available concerning trade margins and costs. A wholesaler has a unit selling price of $230 and a unit cost of $140. The retailer requires a 42% markup on selling price. The manufacturer has unit variable costs of $34. Calculate the wholesaler percent markup on cost. Report your answer as a percentage and round to the nearest percent.

2. Within a given distribution channel, the following information is available concerning trade margins and costs. A wholesaler has a unit selling price of $241 and a unit cost of $115. The retailer requires a 27% markup on selling price. The manufacturer has unit variable costs of $59. Calculate the manufacturer's dollar margin per unit. Round your answer to the nearest dollar.

3. Within a given distribution channel, the following information is available concerning trade margins and costs. A wholesaler has a unit selling price of $820 and a unit cost of $477. The retailer requires a 52% markup on selling price. The manufacturer has unit variable costs of $278. Calculate the manufacturer's percent markup on cost. Report your answer as a percentage and round to the nearest percent.

PLEASE EXPLAIN ALL STEPS

Vaughn Enterprises is a boutique guitar manufacturer. The company produces both acoustic and electric guitars for rising and established professional musicians. Vanessa Aaron, the company’s sales manager, prepared the following sales forecast for 2018. The forecasted sales prices include a 5% increase in the acoustic guitar price and a 10% increase in the electric guitar price, to cover anticipated increases in raw materials prices.

1.) The income statement and the statement of cash flows often paint the same picture of the company. True or False

2.) Investing and financing activities for the statement of cash flows may be prepared using the direct method Horizontal analysis compares a financial statement line item in the current year with the same line item in the prior year. True or False

3.) The statement of cash flows is an optional statement. True or False

The production manager of Rordan Corporation has submitted the following quarterly production forecast for the upcoming fiscal year:

Each unit requires 0.25 direct labor-hours, and direct laborers are paid $20.00 per hour.

Required:

1. Prepare the company’s direct labor budget for the upcoming fiscal year. Assume that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

2. Prepare the company’s direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is not adjusted each quarter. Instead, assume that the company’s direct labor workforce consists of permanent employees who are guaranteed to be paid for at least 2,500 hours of work each quarter. If the number of required direct labor-hours is less than this number, the workers are paid for 2,500 hours anyway. Any hours worked in excess of 2,500 hours in a quarter are paid at the rate of 1.5 times the normal hourly rate for direct labor.

Plug Products owns 80 percent of the stock of Spark Filter Company, which it acquired at underlying book value on August 30, 20X6. At that date, the fair value of the noncontrolling interest was equal to 20 percent of the book value of Spark Filter. Summarized trial balance data for the two companies as of December 31, 20X8, are as follows:

On January 1, 20X8, Plug's inventory contained filters purchased for $76,000 from Spark Filter, which had produced the filters for $56,000. In 20X8, Spark Filter spent $116,000 to produce additional filters, which it sold to Plug for $157,429. By December 31, 20X8, Plug had sold all filters that had been on hand January 1, 20X8, but continued to hold in inventory $47,229 of the 20X8 purchase from

Plug Products owns 80 percent of the stock of Spark Filter Company, which it acquired at underlying book value on August 30, 20X6. At that date, the fair value of the noncontrolling interest was equal to 20 percent of the book value of Spark Filter. Summarized trial balance data for the two companies as of December 31, 20X8, are as follows:

On January 1, 20X8, Plug's inventory contained filters purchased for $76,000 from Spark Filter, which had produced the filters for $56,000. In 20X8, Spark Filter spent $116,000 to produce additional filters, which it sold to Plug for $157,429. By December 31, 20X8, Plug had sold all filters that had been on hand January 1, 20X8, but continued to hold in inventory $47,229 of the 20X8 purchase from Spark Filter.

Required:
a. Prepare all consolidation entries needed to complete a consolidation worksheet for 20X8. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
  

b. Compute consolidated net income and income assigned to the controlling interest in the 20X8 consolidated income statement.

c. Compute the balance assigned to the noncontrolling interest in the consolidated balance sheet as of December 31, 20X8.

Robert Shah, a sales representative for Quality Office Supplies Corporation will receive a substantial bonus if he meets his annual sales goal. The company’s recognition point for sales is the day of the shipment. On December 31^st, Shah realizes he needs sales of $2000.00 to reach his sales goal and receive the bonus. He call a purchaser for a local insurance company, and asks him to buy $2000.00 worth of paper today. The purchaser says, “but Robert, that’s more than a year’s supply for us.” Shah says, “Buy it today. If you decide it’s too much, you can return however much you want for full credit next month”. The purchaser says “okay, ship it.” The paper shipped on December 31^st and was recorded as a sale. On January 15^th, the purchaser returns $1750.00 worth of paper for a full credit (approved by Shah) against the bill. Should the shipment at December 31^st be recorded as a sale? Discuss the ethics of Shah’s actions.