Bahamas feed supply Inc, a pet wholesaler supplier was organized on March 1 2020 projected sales for each of the first three months of operations are as follows
March 450,000
April 520, 000
May 560, 000
The company expects to sell 10% of its merchandise for cash. of sales on account, 50%are expected to be collected in the month of the sale 40% in the month following the sale, and the reminder in the in the second month following the sale.
(1a)Prepare a schedule indicating cash collections for sales for March April and May.
(1b) smell so good candle company projected sales of 95,000 candles for 2020. the estimated January 1st, 2020 inventory is 2400 units and the desired December 31st 2020 inventory is 3000 units what is the budgeted production in units for 2020.
1c Smell so good candle company budgeted production of 95,000 candles in 2020 wax is required to produce a candle assume 8 oz 1/2 of a pound of wax is required for each candle the estimated January 1st 2020 wax inventory is 1400 pounds the desired December 31st 2020 was inventory is 1100 pounds. if candle wax cost 3.60 per pound determined a direct material purchases budget for 2020
In: Accounting
The Big Old Company is a global retailer with its headquarters in Chicago and subsidiaries in 50 different countries. Recently, top management officials at the Big Old Company reached the decision that the firm would benefit from the implementation of a performance management system. To implement the new system, a new strategic HR team has been assembled. Because each of the team members has some prior experience working in a performance management culture, the team knew better than to begin the performance management process before executing a well-designed communication plan.
However, none of the team members have experience in designing or implementing a new performance management system from scratch. Moreover, the team members are also simultaneously involved in other team projects. Not surprisingly, they are quite short on time and thus feel the need to design and carry out the communication plan as soon as possible. As a result, the team has come up with the following communication plan that has been sent to the CEO of the company for final approval before its execution.
“Our communication of the new performance management system will take the format of a lecture/presentation that will be part of the upcoming in-house general management training session for the company’s executives. During the presentation, we will first define the concept of a performance management system. We will then delve deeper into the details of the system by explaining the steps and number of meetings involved. Finally, we will conclude our presentation with a Q & A session.”
1.) After reading the above description of the communication plan, the CEO explained that he did not think that the communication plan would be very effective in promoting user acceptance and satisfaction. Subsequently, the CEO offered two recommendations to improve the communication plan. First, he suggested that the strategic HR team expand and redesign the presentation. Second, he emphasized that there was no evidence of how the HR team would execute the communication plan before and after the planned presentation. Given these two statements, how can the HR team improve the communication plan?
In: Other
Congratulations! You have just graduated from your University. Your first day on your new job involves a lot of paperwork including your decision to participate in the company 401K plan. First, should you participate? Second, describe the benefits of diversification if any including adding international stocks to your investment portfolio? You must include a full explanation to support your answer.
In: Finance
Desrosiers Ltd. had the following long-term receivable account balances at December 31, 2019:
Notes receivable $1,800,000
Notes receivable—Employees 400,000
Transactions during 2020 and other information relating to Desrosiers' long-term receivables were as follows:
1. The $1.8-million note receivable is dated May 1, 2019, bears interest at 9%, and represents the balance of the consideration received from the sale of Desrosiers's electronics division to New York Company. Principal payments of $600,000 plus appropriate interest are due on May 1, 2020, 2021, and 2022. The first principal and interest payment was made on May 1, 2020. Collection of the note instalments is reasonably assured.
2. The $400,000 note receivable is dated December 31, 2019, bears interest at 8%, and is due on December 31, 2022. The note is due from Marcia Cumby, president of Desrosiers Ltd., and is secured by 10,000 Desrosiers common shares. Interest is payable annually on December 31, and the interest payment was made on December 31, 2020. The quoted market price of Desrosiers's common shares was $45 per share on December 31, 2020.
3. On April 1, 2020, Desrosiers sold a patent to Pinot Company in exchange for a $200,000 non–interest bearing note due on April 1, 2022. There was no established exchange price for the patent, and the note had no ready market. The prevailing rate of interest for a note of this type at April 1, 2020, was 12%. The present value of $1 for two periods at 12% is 0.79719 (use this factor). The patent had a carrying amount of $40,000 at January 1, 2020, and the amortization for the year ended December 31, 2020 would have been $8,000. The collection of the note receivable from Pinot is reasonably assured.
4. On July 1, 2020, Desrosiers sold a parcel of land to Four Winds Inc. for $200,000 under an instalment sale contract. Four Winds made a $60,000 cash down payment on July 1, 2020, and signed a four year, 11% note for the $140,000 balance. The equal annual payments of principal and interest on the note will be $45,125, payable on July 1, 2021, through July 1, 2024. The land could have been sold at an established cash price of $200,000. Desrosiers had paid $150,000 for the land when it purchased it. Collection of the instalments on the note is reasonably assured.
5. On August 1, 2020, Desrosiers agreed to allow its customer, Saini Inc., to substitute a six-month note for accounts receivable of $200,000 it owed. The note bears interest at 6% and principal and interest are due on the note's maturity date.
Instructions
a. For each note:
1. Describe the relevant cash flows in terms of amount and timing.
2. Determine the amount of interest income that should be reported in 2020.
3. Determine the portion of the note and any interest that should be reported in current assets at December 31, 2020.
4. Determine the portion of the note that should be reported as a long-term investment at December 31, 2020.
b. Prepare the long-term receivables section of Desrosiers's SFP at December 31, 2020.
c. Prepare a schedule showing the current portion of the long-term receivables and accrued interest receivable that would appear in Desrosiers's SFP at December 31, 2020.
d. Determine the total interest income from the long-term receivables that would appear on Desrosiers's income statement for the year ended December 31, 2020.
In: Accounting
Types of Interview Questions
I. Getting Acquainted
1.
2.
II. Experience & Qualifications
1.
2.
III. About the Company
1.
2.
IV. About the Future
1.
2.
V. Challenging
1.
2.
VI. Situational
1.
2.
VII. Behavioral
1.
2.
VIII. Salary
1.
2.
IX. Asking your own question
1.
2.
In: Operations Management
Stanley Burrell founder of a company named Hammer Time Inc. Hammer Time Inc produces specialty functional novelty hammers in the image of Stanley Burrell himself, aka MC Hammer. The three best-selling/most popular products sold by Hammer Time Inc. are Hammer Head Hammers, Hammer Pants Hammers, and Please Hammer Don't Hurt ‘Em Mini Hammers.
Hammer Time Inc. uses the actual total factory overhead costs from the prior year (corresponding month) to estimate the total factory overhead costs. They do this by taking last year’s actual costs (same month) and increasing them by 8%.
Actual Total Factory Overhead costs October '18 = $3,000,000
For the month of October '19 for the production in the 2 Legit Warehouse
Estimated Machine Hours = 128,000
Hammer Head Hammers = 50,300 machine hours
Hammer Pants Hammers = 41,200 machine hours
Mini Hammers = 27,300 machine hours
Actual Total Factory Overhead costs October '19 = $3,130,560
A. What is the predetermined overhead rate?
B. If the predetermined factory overhead rate was applied to the three products in March what would be the under/over applied factory overhead once the actual factory overhead cost was known?
C. Using the data from how much factory overhead would be applied to Hammer Pants Hammers?
In: Accounting
You have just entered an MBA program and have decided to pay for your living expenses using a credit card that has no minimum monthly payment. You intend to charge $1, 000 per month on the card for the next 21 months. The card carries a monthly interest rate of 1%. How much money will you owe on the card 22 months from now, when you receive your first statement postgraduation?
In: Finance
On January 1, 2020, Jordan Inc. purchased 30% of the outstanding common stock of Melody Corporation at a cost of $600,000. Melody Corporation had 800,000 shares of common stock outstanding. At the date of purchase, the book value of Melody’s net assets was $1,500,000. Book value and fair value of net assets were the same for all balance sheet items except for machinery and inventory. The fair value exceeded the book value by $200,000 for machinery and $50,000 for the Inventory.
The estimated useful life of machinery is 15 years and all inventory acquired was sold during 2020. Both companies have a January through December fiscal year. Melody Corporation reported net income of $250,000 and paid cash dividend of $80,000 during 2020. Market value of Melody Corporation was $2.50 per share at December 31, 2020.
1- Prepare the entry to record the original investment in Mountain.
2-Compute the amount of goodwill (if any) on the acquisition.
3-Prepare the necessary entries (other than acquisition) for 2020.
4-Assume that on January 10, 2020 Jordan Inc. sold 50% of its investment in Melody Corporation for $290,000. Prepare the journal entry to record the sale of investment.
5-Assume that subsequent to selling 50% of the investment, Melody Corporation reported income of $300,000 and paid dividend of $100,000 for 2021. Market value of Melody Corporation’s common stock was $3 per share at December 31, 2021. Prepare the journal entries (if any) for Jordan Inc. for its investment in Melody Corporation for 2021.
In: Accounting
The following selected transactions relate to investment
activities of Ornamental Insulation Corporation during 2021. The
company buys equity securities as noncurrent investments. None of
Ornamental’s investments are large enough to exert significant
influence on the investee. Ornamental’s fiscal year ends on
December 31. No investments were held by Ornamental on December 31,
2020.
| Mar. | 31 | Acquired Distribution Transformers Corporation common stock for $410,000. | ||
| Sep. | 1 | Acquired $915,000 of American Instruments' common stock. | ||
| Sep. | 30 | Received a $10,250 dividend on the Distribution Transformers common stock. | ||
| Oct. | 2 | Sold the Distribution Transformers common stock for $436,000. | ||
| Nov. | 1 | Purchased $1,410,000 of M&D Corporation common stock. | ||
| Dec. | 31 | Recorded any necessary adjusting entry(s) relating to the investments. The market prices of the investments are: |
| American Instruments common stock | $ | 864,000 | |
| M&D Corporation common stock | $ | 1,471,000 | |
Required:
1. Prepare the appropriate journal entry for each
transaction or event during 2021, as well as any adjusting entries
necessary at year-end.
2. Indicate any amounts that Ornamental Insulation
would report in its 2021 income statement, 2021 statement of
comprehensive income, and 12/31/2021 balance sheet as a result of
these investments. Include totals for net income, comprehensive
income, and retained earnings as a result of these investments.
In: Accounting
The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021. The company buys equity securities as noncurrent investments. None of Ornamental’s investments are large enough to exert significant influence on the investee. Ornamental’s fiscal year ends on December 31. No investments were held by Ornamental on December 31, 2020.
| Mar. | 31 | Acquired Distribution Transformers Corporation common stock for $450,000. | ||
| Sep. | 1 | Acquired $975,000 of American Instruments' common stock. | ||
| Sep. | 30 | Received a $18,000 dividend on the Distribution Transformers common stock. | ||
| Oct. | 2 | Sold the Distribution Transformers common stock for $480,000. | ||
| Nov. | 1 | Purchased $1,450,000 of M&D Corporation common stock. | ||
| Dec. | 31 | Recorded any necessary adjusting entry(s) relating to the investments. The market prices of the investments are: |
| American Instruments common stock | $ | 920,000 | |
| M&D Corporation common stock | $ | 1,515,000 | |
Required:
1. Prepare the appropriate journal entry for each
transaction or event during 2021, as well as any adjusting entries
necessary at year-end.
2. Indicate any amounts that Ornamental Insulation
would report in its 2021 income statement, 2021 statement of
comprehensive income, and 12/31/2021 balance sheet as a result of
these investments. Include totals for net income, comprehensive
income, and retained earnings as a result of these investments.
In: Accounting