What are the alternatives available for accounting for inventory and advertising?

Please answer to the point and accurate and please do not copy someone else.. Please don't go for length, 200-300 words will be fine but please very accurate and very careful. I will be very much thankful. I am preperation for exam and it is tough for me.

1. Explain why companies do not consolidate all subsidiaries

Analysis a recent ethics scandal, your report should discuss the conditions that gave rise to unethical business strategies and behavior and provide an overview of the costs resulting from the company's business ethics failure.

Please provide answers.

5. The declaration and payment of cash dividends

a.reduces the amount of resources a company has to invest in productive assets.

b.sometimes does not reduce a company's cash balance.

c.sometimes does not reduce a company's retained earnings balance.

d.reduces a company's net income.

6. The declaration of a common cash dividend

a.decreases the number of shares of outstanding stock.

b.decreases a company's retained earnings balance.

c.decreases the amount of cash.

d.decreases the par value of outstanding stock.

7. When do cash dividends become liabilities?

a.On the payment date.

b.On the date of record.

c.On the declaration date.

d.Cash dividends are never liabilities because a company is not legally required to pay cash dividends.

8. Which of the following statements about retained earnings is true?

a.It is the amount of corporate earnings that have been reinvested in the business.

b.It is the amount of creditors' claims on assets.

c.It is increased when treasury stock is bought.

d.It is the amount of cash that has been retained from a company's earnings.

9. Which of the following is NOT an important date associated with dividends?

a.Declaration date

b.Dividend payment date

c.Date of record

d.Date of information

10. During the year, Trenton Company purchased 3,000 shares of its $10 par common stock at $50 per share and later sold it for $40 per share. How much did total equity change because of these treasury stock transactions?

a.$150,000 decrease

b.$120,000 increase

c.$20,000 decrease

d.$30,000 decrease

11. Moony Corporation had 20,000 shares of $4 par-value common stock outstanding on January 1, 2018. On January 10, 2018, the firm purchased 2,000 of its outstanding shares for $18 per share. On July 22, 2018, it reissued 1,000 shares at $22 per share. Given this information, the entry to record the reissuing of the remaining 1,000 shares on August 17, 2018, at $12 per share would probably include a

a.credit to treasury stock of $4,000.

b.debit to paid-in capital, treasury stock of $6,000.

c.debit to loss on sale of stock of $6,000.

d.debit to retained earnings of $2,000.

12. Moony Corporation had 20,000 shares of $4 par-value common stock outstanding on January 1, 2018. On January 10, 2018, the firm purchased 2,000 of its outstanding shares for $18 per share. On July 22, 2018, it reissued 1,000 shares at $22 per share. Given this information, the entry to record the reissuance of the stock on July 22 would include a credit to

a.paid-in capital, treasury stock of $4,000.

b.common stock of $4,000.

c.paid-in capital, $18,000.

d.treasury stock of $4,000.

13. Moony Corporation had 20,000 shares of $4 par-value common stock outstanding on January 1, 2018. On January 10, 2018, the firm purchased 2,000 of its outstanding shares for $18 per share. On July 22, 2018, it reissued 1,000 shares at $22 per share. Given this information, the entry to record the purchase of this stock on January 10 would include a debit to

a.treasury Stock of $8,000.

b.treasury Stock of $36,000.

c.common Stock of $8,000.

d.common Stock of $36,000.

14. At the beginning of the year, Brandt Company issued 5,000 shares of $1 par common stock in exchange for land with a book value of $130,000 and a fair value of $100,000. The market value of the stock at the date of the transaction was $20 per share. The entry to record this transaction would include a

a.credit to common stock for $100,000.

b.debit to common stock for $5,000.

c.credit to paid-in capital in excess of par, common stock of $95,000.

d.debit to land of $130,000.

15. At the beginning of the year, Salina Company issued 10,000 shares of no par common stock for $100 each. The journal entry to record this transaction would include a

a.credit to common stock of $1,000,000.

b.credit to cash of $1,000,000.

c.debit to common stock of $1,000,000.

d.debit to cash of $20,000.

16. On January 1, 2018, Georgi Company was authorized to issue 10,000 shares of $2 par common stock and 5,000 shares of $5 par preferred stock. Given this information, if Georgi Company issued 2,000 shares of preferred stock for $20 per share on January 31, 2018, the entry to record the issuance of the stock would include a

a.credit to preferred stock of $40,000.

b.credit to paid-in capital in excess of par, preferred stock of $10,000.

c.debit to cash of $30,000.

d.debit to cash of $40,000.

Problem 12-18 Allocation to accomplish smoothing LO 12-1, 12-2, 12-3

Walton Corporation estimated its overhead costs would be $22,200 per month except for January when it pays the $155,700 annual insurance premium on the manufacturing facility. Accordingly, the January overhead costs were expected to be $177,900 ($155,700 + $22,200). The company expected to use 7,900 direct labor hours per month except during July, August, and September when the company expected 9,800 hours of direct labor each month to build inventories for high demand that normally occurs during the Christmas season. The company’s actual direct labor hours were the same as the estimated hours. The company made 3,950 units of product in each month except July, August, and September, in which it produced 4,900 units each month. Direct labor costs were $23.40 per unit, and direct materials costs were $10.50 per unit.

Required

1. Calculate a predetermined overhead rate based on direct labor hours.

2. Determine the total allocated overhead cost for January, March, and August.

3. Determine the cost per unit of product for January, March, and August.

4. Determine the selling price for the product, assuming that the company desires to earn a gross margin of $21.70 per unit.

Question 12

A comparative balance sheet for Rocker Company appears below:

*Prepare a statement of cash flows for the year ended December 31, 2020, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Benson Construction Company expects to build three new homes during a specific accounting period. The estimated direct materials and labor costs are as follows:

Assume Benson needs to allocate two major overhead costs ($36,000 of employee fringe benefits and $13,050 of indirect materials costs) among the three jobs.

Required

Choose an appropriate cost driver for each of the overhead costs and determine the total cost of each house. (Round "Allocation rate" to 2 decimal places.)

What are the risks vs. possible returns in a leasing cash flow?

Smith Company can produce two types of carpet cleaners, Brighter and Cleaner. Data on these two products are as follows:

Sales volume in units Brighter: 400 Cleaner:600 Unit sales price Brighter:$1,000 Cleaner$1,000 Unit variable cost Brighter:200 Cleaner:700 The number of machine hours to produce one unit of Brighter is 1, while the number of machine hours for each unit of Cleaner is 2. Total fixed costs for the manufacture of both products are $307,500.

Required: 1. Determine the breakeven point in total units for Smith Company, assuming that the sales mix (on the basis of relative sales volume in units) remains constant. Use the weighted-average contribution margin approach.

2. At this breakeven level, how many units of each product must be sold? Due to rounding, the total breakeven units for Requirement 2 may differ slightly than in Requirement 1.

3. Using the Indirect approach, what is the overall breakeven point in sales dollars? Use the breakeven units computed in Requirement 1.

The Gourmand Cooking School runs short cooking courses at its small campus. Management has identified two cost drivers it uses in its budgeting and performance reports—the number of courses and the total number of students. For example, the school might run two courses in a month and have a total of 62 students enrolled in those two courses. Data concerning the company’s cost formulas appear below:

For example, administrative expenses should be $3,700 per month plus $40 per course plus $5 per student. The company’s sales should average $880 per student.

The company planned to run four courses with a total of 62 students; however, it actually ran four courses with a total of only 52 students. The actual operating results for September appear below:

Required:

1. Prepare the company’s planning budget for September.

2. Prepare the company’s flexible budget for September.

3. Calculate the revenue and spending variances for September.

Required information

Use the following information for the Exercises below.

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

The Fields Company has two manufacturing departments, forming and painting. The company uses the weighted-average method of process costing. At the beginning of the month, the forming department has 30,000 units in inventory, 60% complete as to materials and 40% complete as to conversion costs. The beginning inventory cost of $75,100 consisted of $53,800 of direct materials costs and $21,300 of conversion costs.

During the month, the forming department started 450,000 units. At the end of the month, the forming department had 35,000 units in ending inventory, 80% complete as to materials and 40% complete as to conversion. Units completed in the forming department are transferred to the painting department.

Cost information for the forming department is as follows:

Exercise 16-6 Weighted average: Cost per EUP and costs assigned to output LO C2

1.
Calculate the equivalent units of production for the forming department.

2.
Calculate the costs per equivalent unit of production for the forming department.

3.
Using the weighted-average method, assign costs to the forming department’s output—specifically, its units transferred to painting and its ending work in process inventory.

Vander Company acquired the net assets of Howe Company for $190,000. Vander issued 5000 shares of its $1 par common stock to complete the transaction. Vander's stock was selling for $38 a share on the date of acquisition. On the date of acquisition Howe reported the following:

Prepare the journal entry that Vander Company recorded on the date of the acquisition of Howe’s net assets

The US Constitution is the foundation of our legal and political system. Discuss what you found interesting or surprising in our Constitution.

Fit & Slim (F&S) is a health club that offers members various gym services.

Required: 1. Assume F&S offers a deal whereby enrolling in a new membership for $1,300 provides a year of unlimited access to facilities and also entitles the member to receive a voucher redeemable for 20% off yoga classes for one year. The yoga classes are offered to gym members as well as to the general public. A new membership normally sells for $1,470, and a one-year enrollment in yoga classes sells for an additional $750. F&S estimates that approximately 40% of the vouchers will be redeemed. F&S offers a 10% discount on all one-year enrollments in classes as part of its normal promotion strategy. 1. a. & b. Indicate below whether each item is a separate performance obligation. For each separate performance obligation you have indicated, allocate a portion of the contract price. c. Prepare the journal entry to recognize revenue for the sale of a new membership.

2. Assume F&S offers a “Fit 60” coupon book with 60 prepaid visits over the next year. F&S has learned that Fit 60 purchasers make an average of 50 visits before the coupon book expires. A customer purchases a Fit 60 book by paying $750 in advance, and for any additional visits over 60 during the year after the book is purchased, the customer can pay a $20 visitation fee per visit. F&S typically charges $20 to nonmembers who use the facilities for a single day.

a. & b. Indicate below whether each item is a separate performance obligation. For each separate performance obligation you have indicated, allocate a portion of the contract price. c. Prepare the journal entry to recognize revenue for the sale of a new Fit 60 book.

Please show your work

On January 1, 20X7 Quick Company acquired 100 percent of Sluggish Company's stock when Sluggish reported book values as follows: assets of $1,200,000; liabilities of $450,000; common stock of $350,000; and retained earnings of $400,000. At the date of acquisition, the book values and the fair values of Sluggish's assets and liabilities were equal. For 20X7, Sluggish reported net income of $500,000, and paid dividends of $25,000.

Give the eliminating entry needed on December 31, 20X7, to prepare consolidated financial statements