Old World Charm, Inc. specializes in selling scented candles. The company has established a policy of reordering inventory every other month (which is 6 times per year). A recently employed MBA has considered New England's inventory problem from the EOQ model viewpoint. If the following constitute the relevant data, what is the extra total cost of the current policy compared with the total cost of the optimal policy? Enter your answer rounded to two decimal places. Do not enter $ or comma in the answer box. For example, if your answer is $12,300.456 then enter as 12300.46 in the answer box. Ordering cost = $10 per order Carrying cost = 20% of purchase price Purchase price = $15 per unit Total sales for year = 1,000 units Safety stock = 0
In: Finance
Who are Erik Ericson and Jean Piaget? Why are they important to us as we study psychology of the lifespan?
In: Psychology
What company policies or procedures would you recommend to prevent each of the following activities (refer to the lecture on internal controls).
a. A clerk in the human relations department creates a fictitious employee in the personnel computer file. When this employee's payroll check is received for distribution, the clerk takes and cashes it.
b. A clerk in the accounts receivable department steals $250 cash from a customer payment, then prepares a computer credit memo that reduces the customer's account balance by the same amount.
c. A hacker manages to break into a company's computer system by guessing the password of his friend -- Champ, the name of the friend's dog.
d. An accounts receivable clerk manages to embezzle more than $1 million from the company by diligently lapping the accounts every day for three consecutive years.
e. A computer virus on the company's local area network is traced to an individual who accidentally introduced it when he loaded a computer game onto his computer.
Make sure that you identify the issues with the internal controls and tell me how you would fix them.
In: Accounting
You are 20 years old and have completed your BBA and want to pursue further education but you don’t want to take money from your father. Your plan is to start working and earn enough money so that you can finance your degree on your own and get yourself enrolled in five years’ time. You estimate that the annual cost of doing an MBA 5 years from today will be PKR 400,000 and the program will be two years long. You will need the money at the beginning your program so that you are not worried about how to clear your dues during your studies. Luckily you go for a job interview and they hire you and you start working at a salary of PKR 25,000. So you decide that 50% you will deposit in a saving account at a 10% rate with monthly compounding for your further studies and the remaining amount you will use for your daily expenses.
its compete question
In: Finance
Q4. You are 20 years old and have completed your BBA and want to pursue further education but you don’t want to take money from your father. Your plan is to start working and earn enough money so that you can finance your degree on your own and get yourself enrolled in five years’ time. You estimate that the annual cost of doing an MBA 5 years from today will be PKR 400,000 and the program will be two years long. You will need the money at the beginning your program so that you are not worried about how to clear your dues during your studies. Luckily you go for a job interview and they hire you and you start working at a salary of PKR 25,000. So you decide that 50% you will deposit in a saving account at a 10% rate with monthly compounding for your further studies and the remaining amount you will use for your daily expenses.
In: Finance
On April 1, 2016, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the company’s first month. April 1 Nozomi invested $30,000 cash and computer equipment worth $20,000 in the company in exchange for common stock. 2 The company rented furnished office space by paying $1,800 cash for the first month’s (April) rent. 3 The company purchased $1,000 of office supplies for cash. 10 The company paid $2,400 cash for the premium on a 12-month insurance policy. Coverage begins on April 11. 14 The company paid $1,600 cash for two weeks’ salaries earned by employees. 24 The company collected $8,000 cash on commissions from airlines on tickets obtained for customers. 28 The company paid $1,600 cash for two weeks’ salaries earned by employees. 29 The company paid $350 cash for minor repairs to the company’s computer. 30 The company paid $750 cash for this month’s telephone bill. 30 The company paid $1,500 cash in dividends. Descriptions of items that require adjusting entries on April 30, 2016, follow. a.Two-thirds (or $133) of one month’s insurance coverage has expired. b.At the end of the month, $600 of office supplies are still available. c.This month’s depreciation on the computer equipment is $500. d.Employees earned $420 of unpaid and unrecorded salaries as of month-end. e.The company earned $1,750 of commissions that are not yet billed at month-end.\
Use the drop-downs to select the accounts properly included on the income statement. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection.
The unadjusted or adjusted balances will appear for each account, based on your selection. (Selecting Post-Closing will only display ending Retained Earnings)
Use the drop-downs to select the accounts properly included on the balance sheet. The unadjusted, adjusted, or post-closing balances will appear for each account, based on your selection.
Begin by selecting "Post-closing" from the drop-down below. Then, for each account, use the drop-down to indicate whether the account is included on the post-closing trial balance. Based on your decisions, the post-closing trial balance will be created. Compare your results with the Trial Balance tab.
In: Accounting
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Worley Company buys surgical supplies from a variety of manufacturers and then resells and delivers these supplies to hundreds of hospitals. Worley sets its prices for all hospitals by marking up its cost of goods sold to those hospitals by 9%. For example, if a hospital buys supplies from Worley that had cost Worley $100 to buy from manufacturers, Worley would charge the hospital $109 to purchase these supplies. |
|
For years, Worley believed that the 9% markup covered its selling and administrative expenses and provided a reasonable profit. However, in the face of declining profits Worley decided to implement an activity-based costing system to help improve its understanding of customer profitability. The company broke its selling and administrative expenses into five activities as shown below: |
| Activity Cost Pool (Activity Measure) | Total Cost | Total Activity | |||
| Customer deliveries (Number of deliveries) | $ | 435,000 | 5,000 | deliveries | |
| Manual order processing (Number of manual orders) | 312,000 | 4,000 | orders | ||
| Electronic order processing (Number of electronic orders) | 338,000 | 13,000 | orders | ||
| Line item picking (Number of line items picked) | 967,500 | 430,000 | line items | ||
| Other organization-sustaining costs (None) | 650,000 | ||||
| Total selling and administrative expenses | $ | 2,702,500 | |||
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Worley gathered the data below for two of the many hospitals that it serves—University and Memorial (both hospitals purchased a total quantity of medical supplies that had cost Worley $36,000 to buy from its manufacturers): |
|
Activity |
||
| Activity Measure | University | Memorial |
| Number of deliveries | 11 | 29 |
| Number of manual orders | 0 | 46 |
| Number of electronic orders | 12 | 0 |
| Number of line items picked | 140 | 260 |
| Required: | |
| 1. |
Compute the total revenue that Worley would receive from University and Memorial. |
| 2. |
Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) |
| 3. |
Compute the total activity costs that would be assigned to University and Memorial. (Round your intermediate calculations and final answers to 2 decimal places.) |
| 4. |
Compute Worley’s customer margin for University and Memorial. (Hint: Do not overlook the $36,000 cost of goods sold that Worley incurred serving each hospital.) (Loss amount should be indicated with a minus sign. Round your intermediate calculations and final answers to 2 decimal places.) |
In: Accounting
|
Worley Company buys surgical supplies from a variety of manufacturers and then resells and delivers these supplies to hundreds of hospitals. Worley sets its prices for all hospitals by marking up its cost of goods sold to those hospitals by 8%. For example, if a hospital buys supplies from Worley that had cost Worley $100 to buy from manufacturers, Worley would charge the hospital $108 to purchase these supplies. |
|
For years, Worley believed that the 8% markup covered its selling and administrative expenses and provided a reasonable profit. However, in the face of declining profits Worley decided to implement an activity-based costing system to help improve its understanding of customer profitability. The company broke its selling and administrative expenses into five activities as shown below: |
| Activity Cost Pool (Activity Measure) | Total Cost | Total Activity | |||
| Customer deliveries (Number of deliveries) | $ | 574,000 | 7,000 | deliveries | |
| Manual order processing (Number of manual orders) | 490,000 | 7,000 | orders | ||
| Electronic order processing (Number of electronic orders) | 308,000 | 14,000 | orders | ||
| Line item picking (Number of line items picked) | 1,057,500 | 470,000 | line items | ||
| Other organization-sustaining costs (None) | 610,000 | ||||
| Total selling and administrative expenses | $ | 3,039,500 | |||
|
Worley gathered the data below for two of the many hospitals that it serves—University and Memorial (both hospitals purchased a total quantity of medical supplies that had cost Worley $37,000 to buy from its manufacturers): |
|
Activity |
||
| Activity Measure | University | Memorial |
| Number of deliveries | 12 | 27 |
| Number of manual orders | 0 | 42 |
| Number of electronic orders | 12 | 0 |
| Number of line items picked | 160 | 300 |
| Required: | |
| 1. |
Compute the total revenue that Worley would receive from University and Memorial. |
| 2. |
Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) |
| 3. |
Compute the total activity costs that would be assigned to University and Memorial. (Round your intermediate calculations and final answers to 2 decimal places.) |
| 4. |
Compute Worley’s customer margin for University and Memorial. (Hint: Do not overlook the $37,000 cost of goods sold that Worley incurred serving each hospital.) (Loss amount should be indicated with a minus sign. Round your intermediate calculations and final answers to 2 decimal places.) |
In: Accounting
Worley Company buys surgical supplies from a variety of manufacturers and then resells and delivers these supplies to hundreds of hospitals. Worley sets its prices for all hospitals by marking up its cost of goods sold to those hospitals by 9%. For example, if a hospital buys supplies from Worley that had cost Worley $100 to buy from manufacturers, Worley would charge the hospital $109 to purchase these supplies. For years, Worley believed that the 9% markup covered its selling and administrative expenses and provided a reasonable profit. However, in the face of declining profits Worley decided to implement an activity-based costing system to help improve its understanding of customer profitability. The company broke its selling and administrative expenses into five activities as shown below: Activity Cost Pool (Activity Measure) Total Cost Total Activity Customer deliveries (Number of deliveries) $ 356,000 4,000 deliveries Manual order processing (Number of manual orders) 450,000 6,000 orders Electronic order processing (Number of electronic orders) 252,000 14,000 orders Line item picking (Number of line items picked) 799,000 470,000 line items Other organization-sustaining costs (None) 630,000 Total selling and administrative expenses $ 2,487,000 Worley gathered the data below for two of the many hospitals that it serves—University and Memorial (both hospitals purchased a total quantity of medical supplies that had cost Worley $38,000 to buy from its manufacturers): Activity Activity Measure University Memorial Number of deliveries 14 20 Number of manual orders 0 46 Number of electronic orders 18 0 Number of line items picked 180 200 Required: 1. Compute the total revenue that Worley would receive from University and Memorial. 2. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) 3. Compute the total activity costs that would be assigned to University and Memorial. (Round your intermediate calculations and final answers to 2 decimal places.) 4. Compute Worley’s customer margin for University and Memorial. (Hint: Do not overlook the $38,000 cost of goods sold that Worley incurred serving each hospital.) (Loss amount should be indicated with a minus sign. Round your intermediate calculations and final answers to 2 decimal places.)
In: Accounting
|
Worley Company buys surgical supplies from a variety of manufacturers and then resells and delivers these supplies to hundreds of hospitals. Worley sets its prices for all hospitals by marking up its cost of goods sold to those hospitals by 9%. For example, if a hospital buys supplies from Worley that had cost Worley $100 to buy from manufacturers, Worley would charge the hospital $109 to purchase these supplies. |
|
For years, Worley believed that the 9% markup covered its selling and administrative expenses and provided a reasonable profit. However, in the face of declining profits Worley decided to implement an activity-based costing system to help improve its understanding of customer profitability. The company broke its selling and administrative expenses into five activities as shown below: |
| Activity Cost Pool (Activity Measure) | Total Cost | Total Activity | |||
| Customer deliveries (Number of deliveries) | $ | 360,000 | 4,000 | deliveries | |
| Manual order processing (Number of manual orders) | 648,000 | 9,000 | orders | ||
| Electronic order processing (Number of electronic orders) | 338,000 | 13,000 | orders | ||
| Line item picking (Number of line items picked) | 594,000 | 440,000 | line items | ||
| Other organization-sustaining costs (None) | 650,000 | ||||
| Total selling and administrative expenses | $ | 2,590,000 | |||
|
Worley gathered the data below for two of the many hospitals that it serves—University and Memorial (both hospitals purchased a total quantity of medical supplies that had cost Worley $30,000 to buy from its manufacturers): |
|
Activity |
||
| Activity Measure | University | Memorial |
| Number of deliveries | 13 | 25 |
| Number of manual orders | 0 | 45 |
| Number of electronic orders | 18 | 0 |
| Number of line items picked | 130 | 290 |
| Required: | |
| 1. |
Compute the total revenue that Worley would receive from University and Memorial. |
| 2. |
Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.) |
| 3. |
Compute the total activity costs that would be assigned to University and Memorial. (Round your intermediate calculations and final answers to 2 decimal places.) |
| 4. |
Compute Worley’s customer margin for University and Memorial. (Hint: Do not overlook the $30,000 cost of goods sold that Worley incurred serving each hospital.) (Loss amount should be indicated with a minus sign. Round your intermediate calculations and final answers to 2 decimal places.) |
In: Accounting