Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,300 pounds of oysters in August. The company’s flexible budget for August appears below:

The actual results for August appear below:

Required:

Calculate the company’s revenue and spending variances for August. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

Catena's Marketing COmpany has the following adjusted trial balance at the end of the current year. Cash dividends of $580 were declared at the end of the year, and 640 additional shares of common stock ($0.10 par value per share were issuues at the end of the year for $2560 in cash (for a total at the end of the year of 850 shares). These effects are included below:

Catena's Marketing Company

Statement of Stockholders' Equity

For the current year

The unadjusted trial balance as of December 31, 2018, for the Bagley Consulting Company appears below. December 31 is the company’s fiscal year-end.

1. The buildings have an estimated useful life of 50 years with no salvage value. The company uses the straight-line depreciation method.
2. The office equipment is depreciated at 10 percent of original cost per year.
3. Prepaid insurance expired during the year, $1,550.
4. Accrued salaries and wages at year-end, $1,200.
5. Deferred rent revenue at year-end should be $750.

Required:
1. From the trial balance and information given, prepare adjusting entries.
2. Post the beginning balances and adjusting entries into the appropriate t-accounts.
3. Prepare an adjusted trial balance.
4. Prepare closing entries.
5. Prepare a post-closing trial balance.

You are currently a worker earning $60,000 per year but are considering becoming an entrepreneur. You will not switch unless you earn an accounting profit that is on average at least as great as your current salary. You look into opening a small grocery store. Suppose that the store has annual costs of $150,000 for labor, $60,000 for rent, and $40,000 for equipment. There is a one-half probability that revenues will be $210,000 and one-half probability will be $420,000.

A. In the low-revenue situation, what will your accounting profit or loss be?

B. In the high-revenue situation, what will your accounting profit or loss be?

C. On average, how much do you expect your revenue to be?

D. Your accounting profit?

E. Your economic profit?

F. Will you quit your job and try your hand at being an entrepreneur?

G. Suppose the government imposes a 25 percent tax on accounting profits. This tax is only levied if a firm is earning positive accounting profits. What will your after-tax accounting profit be in the low-revenue case?

H. In the high-revenue case?

I. What will your average after-tax accounting profit be?

J. What about your average after-tax economic profit?

K. Will you now want to quit your job and try your hand at being an entrepreneur?

L. Other things equal, does the imposition of the 25 percent profit tax increase or decrease the supply of entrepreneurship in the economy?

Using Excel Solver: We have 3,000 units of product to sell over a five-day period. From historical sales data, we have estimated the following demand curves: P = price/unit in $, Q = number of units sold. Day 1: P = 10?0.01 Q valid for prices between $3 and $8. Day 2: same as Day 1. Day 3: P = 15?0.01Q valid for prices between $6 and $10 Day 4: P = 20?0.01Q valid for prices between $6 and $12 Day 5: same as Day 1. 1) The revenue maximizing price for Day 1 is _________ (Hint: Please keep one decimal point.), and quantity sold is ________ (Hint: Please enter an integer.). 2) The revenue maximizing price for Day 2 is ___________ (Hint: Please keep one decimal point.), and quantity sold is ________ (Hint: Please enter an integer.). 3) The revenue maximizing price for Day 3 is __________ (Hint: Please keep one decimal point.), and quantity sold is _________ (Hint: Please enter an integer.). 4) The revenue maximizing price for Day 4 is __________ (Hint: Please keep one decimal point.), and quantity sold is _________ (Hint: Please enter an integer.). 5) The revenue maximizing price for Day 5 is ____________ (Hint: Please keep one decimal point.), and quantity sold is _________ (Hint: Please enter an integer.)

The unadjusted trial balance as of December 31, 2018, for the Bagley Consulting Company appears below. December 31 is the company’s fiscal year-end.

The buildings have an estimated useful life of 50 years with no salvage value. The company uses the straight-line depreciation method.

The office equipment is depreciated at 10 percent of original cost per year.

Prepaid insurance expired during the year, $1,600.

Accrued salaries and wages at year-end, $1,250.

Deferred rent revenue at year-end should be $800.

Required:
1. From the trial balance and information given, prepare adjusting entries.
2. Post the beginning balances and adjusting entries into the appropriate t-accounts.
3. Prepare an adjusted trial balance.
4. Prepare closing entries.
5. Prepare a post-closing trial balance.

Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,900 pounds of oysters in August. The company’s flexible budget for August appears below:

The actual results for August appear below:

Required:

Calculate the company’s revenue and spending variances for August. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

Jenna Elfman, the Manager of Flight Scheduling for the Flying Airlines, is currently considering some alternatives for its flights from Sydney to Hawaii.

Currently the flight is non-stop but it is considering having a stop in Fiji.

She considers that the route would attract additional passengers if the stop is made but that there would also be additional variable costs.

Currently the non-stop flight provides the following revenues and costs for the single flight:

Currently the non-stop flight provides the following revenues and costs for the single flight:

Passenger revenue $240,000

Cargo revenue 80,000

Flight crew cost (2,000)

Fuel (21,000)

Meals and Services (4,000)

Aircraft maintenance (1,000)

Elfman has made some calculations concerning the effects the new flight route would have on revenue and costs:

If the alternative flight route was to be taken,

the new route passenger revenue would be $251,000 and cargo revenue remaining unchanged.

The flight crew costs would increase to $3,400 per flight and the fuel cost would increase to $26,000 per flight.

The meals and services cost would be $4,900 per flight.

In addition it would cost $5,000 per flight to land in Fiji and the aircraft maintenance costs would remain unchanged.

(A) On purely financial grounds should the Flying Airlines use the alternative flight route with the stopover?
(B) Should other factors be considered?

Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,300 pounds of oysters in August. The company’s flexible budget for August appears below:

The actual results for August appear below:

Calculate the company’s revenue and spending variances for August. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

The trial balance columns of the worksheet for Cullumber Company at June 30, 2020, are as follows.

Other data:

Complete the worksheet.