Discuss the relationships among the initial assessed control risk, test of controls, and substantive tests of transactions for cash disbursements, and the tests of details of cash balances. Provide one example in which the conclusions reached about internal controls in cash disbursements will affect the tests of cash balances.

Serial Problem Business Solutions LO P1, P2, P3, P4, P5

Activity-Based Costing: Factory Overhead Costs

The total factory overhead for Bardot Marine Company is budgeted for the year at $1,314,700, divided into four activities: fabrication, $492,000; assembly, $220,000; setup, $325,950; and inspection, $276,750. Bardot Marine manufactures two types of boats: speedboats and bass boats. The activity-base usage quantities for each product by each activity are as follows:

Each product is budgeted for 3,500 units of production for the year.

a. Determine the activity rates for each activity.

b. Determine the activity-based factory overhead per unit for each product. Round to the nearest whole dollar.

How does Activity Based Costing differ from the traditional overhead allocation system ?

1. You are considering the acquisition of a small office building. The purchase price is $775,000. Seventy-five percent of the purchase price can be borrowed with a 30-year, 7.50% mortgage. Up-front financing costs will total 3.00% of the loan amount. The expected cash flows assuming a 5-year holding period are as follows:

The cash flow from the sale of the property is expected to be $1,000,000.

1. What is the net present value of this investment, assuming a 12.00% required rate of return on levered cash flows?
2. What is the levered internal rate of return?
3. What would you need to consider if the numbers in the chart above represented before tax cash flow?

x is a publicly held corporation with a subsidiary, S, of which X always has owned 100 percent of the outstanding stock. what is the total tax liability for X and S under each of the following sets of facts? in this problem, use all corporate tax rate brackets.

a) X has taxable income of $2.2 million and S has no income.

b) X has taxable income of $2 million and S has taxable income of $200,000

c) same as b) above, but S distributed $100,000 to X as a dividend.

d) same as c) above, but X has not always owned all of the stock of S, and the dividend is distributed out of earnings and profits of a taxable year of S during which S and X were not members of the same affiliated group.

e) same as c) above, but X ownes only 10 percent of the vote and value of S's stock at all times during the year.

f) same as c) above, but X and S file a consolidated return.

Department G had 2,280 units 25% completed at the beginning of the period, 12,500 units were completed during the period, 1,900 units were 20% completed at the end of the period, and the following manufacturing costs debited to the departmental work in process account during the period: Work in process, beginning of period $31,400 Costs added during period: Direct materials (12,120 units at $9) 109,080 Direct labor 75,000 Factory overhead 25,000 All direct materials are placed in process at the beginning of production and the first-in, first-out method of inventory costing is used. What is the total cost of 2,280 units of beginning inventory which were completed during the period (round unit cost calculations to four decimal places and round your final answer to the nearest dollar)? a. $42,513 b. $45,291 c. $31,400 d. $47,191

This is all the instruction you need for this assignment. For LP04.2 paper, you will be demonstrating competence in your MBA in accounting field of study.

You must complete the assignment for your emphasis area in order to earn points for this assignment. Your paper must be at least 3 pages and include an introduction, the body of the paper, a conclusion and a reference page. In the body of your paper, you should

Discuss the effectiveness of delivering strategy in your field of accounting study and what was that strategy

Explore the results of each accounting decision round that strategy

How’s your accounting study go by a framework to implement new and innovative systems or practices?

In Seattle Plant, Inc.’s most recent balance sheet, accounts receivable was reported at $560,495. Using the PCAOB identification system, state the five separate assertions management is making about accounts receivable. Be clear and concise. Do not use the words exist, existence, occur, occurrence, completeness, rights, obligations, valuation, allocation, presentation, or disclosure in your answer.

I completed the Rights & Obligations assertion for you.

MANAGEMENT ASSERTION (ACCOUNTS RECEIVABLE)

Existence/Occurrence

Completeness

Valuation

Rights & Obligations

Seattle Plants is entitled to all amounts included in accounts receivable.

Presentation/Disclosure

On November 1, 2016, Patty Cosgrove established an interior decorating business, Classic Designs. During the month, Patty completed the following transactions related to the business:

Enter the following transactions on Page 2 of the two-column journal:

Debate the unethical behaviors found in the accounting profession and your suggestions for prevention of these damaging behaviors.

With various high-profile examples of unethical behavior in the financial and accounting profession that negatively affected employees, investors, and the entire U.S. economy, explain your position on teaching ethics to accounting students and professionals. Is it "buyer beware," or do you advocate for more checks and balances over financial practices?

What is one example that you read about that caused massive financial stress on the markets or to the affected employees and investors? Offer suggestions on how you think this scenario could have been prevented. Be sure to cite your sources.

Waterloo, Ltd. manufactures a component used in aircraft navigation systems. Demand has been strong and the executive staff at Waterloo is planning for next year. Yesterday, you were called into a budgeting meeting where production plans are being reviewed. You learn that the inventory policy at Waterloo is to hold one and one-half months’ worth of sales (to avoid issues with transportation disruptions). The sales budget for next year is 660,000 units, spread evenly over the year. Because of an unexpected increase in demand, inventory at the end of this year is expected to be only 30,000 units. The capacity of the plant is 700,000 units annually.

Required:

a. What production level next year will be required to meet the targets? (Do not round intermediate calculations.)

Codelfa contracted with the State Rail Authority to excavate tunnels to do the concrete work on the construction of Sydney’s Eastern Suburbs Railway. Various stages of the work were to be completed by certain dates, and the whole contract was to be completed within 130 weeks. Due to building noise, local residents applied for and were granted Injunctions to restrain work during the night, and as a result, Codelfa could not complete the contract on time.

Required: 1. Can a Term be implied into a contract to require the State Rail Authority to give an extension of time?

2. Discuss the legal condition of the Performance of the contract.

Hardnosed Equipment purchased a patent on October 1, 2006, for $150,000 plus $10,000 in legal fees. At the time, Hardnosed Equipment planned to use the patent for 10 years and then sell it for $40,000.

At the end of 2008, Hardnosed Equipment estimated that the undiscounted net cash flows from the patent would be $110,000 and the discounted cash flow, $95,000. The fair value of the patent on December 31, 2008 was $96,000.

Required:

1. Compute the 2006 and 2007 amortization for the patent using the straight-line method.

2. Determine if the patent is impaired on December 31, 2008 and, if impaired, the size of the loss. Explain the test for impairment.

3. How would your answer to Required 2 differ if the patent had not been amortized by Hardnosed Equipment.

1. Nash's Trading Post, LLC reported a net loss of $11100 for the year ended December 31, 2022. During the year, accounts receivable decreased $5550, inventory increased $8880, accounts payable increased by $11100, and depreciation expense of $6660 was recorded. During 2022, operating activities

a. provided net cash of $7770.

b. used net cash of $7770.

c. provided net cash of $3330.

d. used net cash of $3330.

2. If $912000 of bonds are issued during the year but $1900000 of old bonds are retired during the year, the statement of cash flows will show a(n)

a. increase in cash of $912000 and a decrease in cash of $1900000.

b. net increase in cash of $988000.

c. net loss on retirement of bonds of $988000.

d. net decrease in cash of $912000.

3. All of the following statements about free cash flow are false except

a. free cash flow is most commonly calculated by subtracting capital expenditures from cash provided by operations and then adding cash dividends.

b. free cash flow is not reported on the statement of cash flows.

c. significant free cash flow indicates less potential to pay additional dividends.

d. significant free cash flow indicates less potential to finance new investments.