As a newly hired accountant at a Fortune 500 company, you were responsible for making many of the routine adjusting entries related to the preparation of the year-end financial statements. The controller was pleased with your diligence and assured you that he would increase your responsibilities in the financial reporting department. However, 3 months later, as you prepare the adjusting entries for the next fiscal quarter, you realize that you overlooked several adjustments that you should have recorded at year-end. While the overlooked adjustments would most likely not be considered material to last year's financial statements, you are certain that your boss would lose confidence in your abilities. Realizing that you can easily fix the mistake by incorporating the overlooked adjustments into the first quarter adjusting entries for this year, what course of action should you take?

1. Clearly state the ethical dilemma in the case.

2. Who are the stakeholders affected in the case? And how are they affected/impacted?

3. What are the accounting alternatives? Describe the impact of each alternative and your response MUST include vocabulary, concepts, terms, examples from Accounting.

4. If you were in this situation, what would you do and why?

The East Division of Kensic Company manufactures a vital component that is used in one of Kensic’s major product lines. The East Division has been experiencing some difficulty in coordinating activities between its various departments, which has resulted in some shortages of the component at critical times. To overcome the shortages, the manager of East Division has decided to initiate a monthly budgeting system that is integrated between departments. The first budget is to be for the second quarter of the current year (April, May and June). To assist in developing the budget figures, the divisional controller has accumulated the following information.Sales: Sales through the first three months of the current year were 30,000 units. Actual sales in units for January, February, and March, and planned sales in units over the next five months, are given below: January (actual) 6,000 February (actual) 10,000 March (actual) 14,000 April (planned) 20,000 May (planned) 34,000 June (planned) 51,000 July (planned) 45,000 August (planned) 30,000 In total, the East Division expects to produce and sell 250,000 units during the current year. Direct Material: Two different materials are used in production of the component. Data regarding these materials are given below: Units of Direct Cost Direct Materials per per Inventory at Material Finished Component lb/ft March 31: No. 208 4 pounds $5.00 46,000 poundsNo. 311 9 feet 2.00 69,000 feetMaterial No. 208 is sometimes in short supply. Therefore, the East Division requires that enough of the material be on hand at the end of each month to provide for 50% of the following month’s production needs. Material No. 311 is easier to get, so only one-third of the following month’s production needs must be on hand at the end of each month. Direct Labor: The East Division has three department through which the components must past before they are completed. Information relating to direct labor in these departments is given below: Direct Labor-Hours Cost per Per Finished Direct Department Component Labor-HourShaping .25 $18.00 Assembly .70 16.00 Finishing .10 20.00 Direct labor is adjusted to the workload each month. Manufacturing Overhead: East Division manufactured 32,000 components during the first three months of the current year. The actual variable overhead costs incurred during this three-month period are shown below. Each Division’s controller believes that the variable overhead costs incurred during the last nine months of the year will be at the same rate per component as experienced during the first three months. Utilities $ 57,000 Indirect Labor 31,000 Supplies 16,000 Other 8,000 Total variable overhead $112,000. The East Division has planned fixed manufacturing overhead costs for the entire year as follows: Supervision $ 872,000 Property Taxes 143,000 Depreciation 2,910,000 Insurance 631,000 Other 72,000 Total fixed manufacturing Overhead $4,628,000 Finished Goods Inventory: The desired monthly ending inventory of completed components is 20% of the next month’s estimated sales. The East Division has 4,000 units in the finished goods inventory on March 31. Selling and Administrative Expenses: Selling and Administrative Expenses are budgeted at $400,000 per month plus 1% of total credit sales for the month. REQUIRED: 1. Prepare a production budget for the East Division for the second quarter ending June 30. Show computations by month and in total for the quarter.(5 pts.) _____ 2. Prepare a direct materials purchases budget in units and dollars for each type of material for the second quarter ending June 30. Again show computations by month and in total for the quarter.(5 pts.) _____ 3. Prepare a schedule of cash payments for direct materials for the second quarter. Assume that all direct materials are purchased on account and the East Division pays for ½ of the amount purchased in the month of purchase and the other ½ in the month following the purchase. The balance in the Accounts Payable account at 3/31 was $351,200. (5 pts.)____

The East Division of Kensic Company manufactures a vital component that is used in one of Kensic’s major product lines. The East Division has been experiencing some difficulty in coordinating activities between its various departments, which has resulted in some shortages of the component at critical times. To overcome the shortages, the manager of East Division has decided to initiate a monthly budgeting system that is integrated between departments.

The first budget is to be for the second quarter of the current year (April, May and June). To assist in developing the budget figures, the divisional controller has accumulated the following information.Sales: Sales through the first three months of the current year were 30,000 units. Actual sales in units for January, February, and March, and planned sales in units over the next five months, are given below:

January (actual) 6,000 February (actual) 10,000 March (actual) 14,000 April (planned) 20,000 May (planned) 34,000 June (planned) 51,000 July (planned) 45,000 August (planned) 30,000 In total, the East Division expects to produce and sell 250,000 units during the current year.

Direct Material: Two different materials are used in production of the component. Data regarding these materials are given below:

Units of Direct Cost Direct Materials per per Inventory at Material Finished Component lb/ft March 31: No. 208 4 pounds $5.00 46,000 poundsNo. 311 9 feet 2.00 69,000 feetMaterial No. 208 is sometimes in short supply. Therefore, the East Division requires that enough of the material be on hand at the end of each month to provide for 50% of the following month’s production needs. Material No. 311 is easier to get, so only one-third of the following month’s production needs must be on hand at the end of each month.

Direct Labor: The East Division has three department through which the components must past before they are completed. Information relating to direct labor in these departments is given below:

Direct Labor-Hours Cost per Per Finished Direct Department Component Labor-HourShaping .25 $18.00 Assembly .70 16.00 Finishing .10 20.00 Direct labor is adjusted to the workload each month.

Manufacturing Overhead: East Division manufactured 32,000 components during the first three months of the current year. The actual variable overhead costs incurred during this three-month period are shown below. Each Division’s controller believes that the variable overhead costs incurred during the last nine months of the year will be at the same rate per component as experienced during the first three months.

Utilities $ 57,000 Indirect Labor 31,000 Supplies 16,000 Other 8,000 Total variable overhead $112,000.

The East Division has planned fixed manufacturing overhead costs for the entire year as follows:

Supervision $ 872,000 Property Taxes 143,000 Depreciation 2,910,000 Insurance 631,000 Other 72,000 Total fixed manufacturing Overhead $4,628,000

Finished Goods Inventory: The desired monthly ending inventory of completed components is 20% of the next month’s estimated sales. The East Division has 4,000 units in the finished goods inventory on March 31.

Selling and Administrative Expenses: Selling and Administrative Expenses are budgeted at $400,000 per month plus 1% of total credit sales for the month.

REQUIRED:

1. Prepare a production budget for the East Division for the second quarter ending June 30. Show computations by month and in total for the quarter.(5 pts.) _____

2. Prepare a direct materials purchases budget in units and dollars for each type of material for the second quarter ending June 30. Again show computations by month and in total for the quarter.(5 pts.) _____

3. Prepare a schedule of cash payments for direct materials for the second quarter. Assume that all direct materials are purchased on account and the East Division pays for ½ of the amount purchased in the month of purchase and the other ½ in the month following the purchase. The balance in the Accounts Payable account at 3/31 was $351,200. (5 pts.)____

Kirtland Corporation uses a periodic inventory system. At the end of the annual accounting period, December 31, the accounting records for the most popular item in inventory showed the following:

Required:

a. Compute the amount of goods available for sale.

b. & c. Compute the amount of ending inventory and cost of goods sold at December 31, under Average cost, First-in, first-out, Last-in, first-out and Specific identification inventory costing methods. For Specific identification, assume that the first sale was selected two-fifths from the beginning inventory and three-fifths from the purchase of January 30. Assume that the second sale was selected from the remainder of the beginning inventory, with the balance from the purchase of May 1. (Do not round intermediate calculations. Round "Average Cost and Specific Identification" answers to 2 decimal places.)

Furniture Classics makes outdoor furniture from aged wood. The company’s primary product lines are chairs and tables.

Below is data for the recent quarter:

To encourage sales of tables, management is considering rewarding the salesperson who sells the most tables in each quarter with an all-expense paid vacation for two in Hawaii. This incentive is expected to increase the sales of tables by 288 each quarter. The cost of the Hawaii vacation is estimated to be $6,000.

1. Based on the current data, should either product be discontinued?
2. How many additional tables need to be sold each quarter to justify the incentive?
3. Based on these additional units and the incentive trip, what is the expected increase to profit before taxes for each quarter?

Which of the following is the definition of the

PCE IndexPCE Index ?

A.

Upper A weighted average of of prices of a market basket of goods and services purchased by typical urban consumersA weighted average of of prices of a market basket of goods and services purchased by typical urban consumers.

B.

Upper A broad price index measuring the changes in prices of all new goods and services producedA broad price index measuring the changes in prices of all new goods and services produced.

C.

Upper A statistical measure of average prices using annually updated weights based on surveys of consumer spendingA statistical measure of average prices using annually updated weights based on surveys of consumer spending.

D.

Upper A statistical measure of a weighted average of prices of goods and services that firms produce and sellA statistical measure of a weighted average of prices of goods and services that firms produce and sell.

1. If the Price Elasticity of Demand (PED) = 1 then…

1. Price should be decreased to maximize revenue.
2. Price should be increased to maximize revenue.
3. Revenue is at its maximum.
4. Profit is at its maximum.

2. If the demand for good X shifts to the right as the price of good Y rises, then goods X and Y are:

1. Inferior goods.
2. Complementary goods.
3. Normal goods.
4. Substitute goods.

3. Which of the following is not a determinant of Price Elasticity of Demand (PED)?
   1. The availability of close substitutes.
   2. Time horizon: the passage of time.
   3. The proportion of income spent on the good.
   4. The preferences of sellers.

4. The concepts of Utility and Marginal Utility are only applicable for:

1. Markets for two goods.
2. All the consumers of one good or service
3. An individual consumer or household.
4. None of the above.

5. An explicit cost is …

1. A variable cost that increases with quantity.
2. A fixed cost that does not increase with quantity.
3. A cost that involves spending money.
4. The same as an opportunity cost.

Write a program that uses a structure to store the following data on a company division in c++

• Division Name (such as East, West, North, or South)
• First-Quarter Sales
• Second-Quarter Sales
• Third-Quarter Sales
• Fourth-Quarter Sales
• Total Annual Sales
• Average Quarterly Sales

The program should use four variables of this structure. Each variable should represent one of the following corporate divisions: East, West, North, and South. The user should be asked for the four quarters’ sales figures for each division. Each division’s total and average sales should be calculated and stored in the appropriate member of each structure variable. These figures should then be displayed on the screen.

Input Validation: Do not accept negative numbers for any sales figures.

13) List the five major categories of risk exposures for households and briefly describe each one in a sentence or two. (5 points) (sickness, disability & death/unemployment risk/consumer durable asset risk/liability risk/ financial asset risk) Please describe these risks. Thank you!

Wendy takes out a loan for 60,000 with 35 quarterly payments. For the first 15 payments, Wendy will pay only the interest due at the end of each quarter. For the remaining payments, Wendy will pay K at the end of each quarter. Suppose that the annual effective interest rate on the loan is 5.5%. Calculate (a) The total of all Wendy’s payments for this loan. (b) The total interest paid by Wendy on the loan.