The 2020 inventory data for Garden Corporation’s patio furniture Bermuda set is presented below. Assume that Garden uses periodic inventory tracking.

When Garden examines the actual units in ending inventory, they see that 15 of the units are from 2020 beginning inventory, 20 units are from the 1/20/20 purchase, and 60 units are from the 6/15/20 purchase.  

1. In a period of falling prices, which of the following statements is true?
   1. FIFO produces a lower amount of net income than LIFO
   2. LIFO produces a lower cost for ending inventory than FIFO
   3. Average cost produces a higher net income than FIFO or LIFO
   4. LIFO produces a higher cost of goods sold than FIFO

2. Heavenly Rest, Inc. uses a periodic inventory system. When a warehouse supervisor counts the inventory on December 31, 2019, he accidentally counts one pile of blankets twice, resulting in 2019 ending inventory being overstated by $100,000. The warehouse supervisor counts the December 31, 2020 inventory correctly. Which of the following statements is true related to Heavenly Rest's 2019 and 2020 financial statements?
   1. 2019 Cost of Goods Sold will be understated by $100,000.
   2. 2020 Beginning Inventory will be understated by $100,000.
   3. 2020 Cost of Goods Sold will be overstated by $100,000.
   4. All of the above are true.
   5. Both a and c are true.

3. On October 28, Unilever sells and ships $100,000 worth of merchandise to Target. The goods are shipped FOB shipping point and arrive at Target stores on November 4. Which of the following statements is TRUE?
   1. The goods are in transit on October 31 so neither company includes the $100,000 as part of its October 31 Inventory balance.
   2. Unilever includes the $100,000 as part of its October 31 Inventory balance.
   3. Target includes the $100,000 as part of its October 31 Inventory balance.
   4. Both companies include the $50,000 as part of their October 31 Inventory balances.

The Coca-Cola Company owns 40 percent of the voting stock of Coca-Cola FEMSA, acquired at book value. Assume that Coca-Cola FEMSA reports income of $6 million for 2013. Coca-Cola FEMSA regularly sells canned beverages to Coca-Cola at a markup of 42 percent on cost. During 2013 Coca-Cola FEMSA's sales to Coca-Cola totaled $30 million. Coca-Cola's January 1, 2013, inventories include $1,620,000 purchased from Coca-Cola FEMSA. Coca-Cola's December 31, 2013, inventories include $1,458,000 purchased from Coca-Cola FEMSA. Prepare the 2013 journal entry on Coca-Cola's books to recognize its income from Coca-Cola FEMSA under the equity method.

Beavis Construction Company was the low bidder on a construction project to build an earthen dam for $1,820,000. The project was begun in 2020 and completed in 2021. Cost and other data are presented below:

Assume that Beavis recognizes revenue on this contract over time according to percentage of completion.

Required:
Compute the amount of gross profit recognized during 2020 and 2021.

Beavis Construction Company was the low bidder on a construction project to build an earthen dam for $1,730,000. The project was begun in 2020 and completed in 2021. Cost and other data are presented below:

Assume that Beavis recognizes revenue on this contract over time according to percentage of completion.

Required:
Compute the amount of gross profit recognized during 2020 and 2021.

Mourinho Company is indebted to Guardiola Bank under a $550,000, 12%, three-year note dated December 31, 2018. Because of Morinho's financial difficulties developing in 2020, Mourinho owed accrued interest of $65,000 on the note at December 31, 2020. Under a troubled debt restructuring, on December 31, 2020, Guardiola agreed to settle the note and accrued interest for a building having a fair value of $410,000. The building has a cost of $820,000 and accumulated depreciation of $308,000. How much gain/loss on the disposition of land and on restructuring of debt should Mourinho record, respectively?

During 2020, Sandhill Company started a construction job with a contract price of $1,590,000. The job was completed in 2022. The following information is available.

Part 1

Compute the amount of gross profit to be recognized each year, assuming the percentage-of-completion method is used.

, believes that the mean number of hours per day all male students at the University use cell/mobile phones exceeds the mean number of hours per day all female students at the University use cell/mobile phones. To test President Loh’s belief, you analyze data from 29 male students enrolled in BMGT 230/230B this semester and 13 female students enrolled in BMGT 230/230B this semester.

a. Assuming equal population variances, if the level of significance equals 0.05 and the one-tail p-VALUE equals 0.0242, determine the following, in order: the one-tail critical value, the two-tails p-VALUE, and the two-tails critical value (again, order matters)

b. Assuming equal population variances and the level of significance equals 0.05, if the calculated value for the associated test statistic equals 1.8333 (where males are group 1), can you conclude the mean number of hours per day all male students at the University use cell/mobile phones exceeds the mean number of hours per day all female students at the University use cell/mobile phones?

In which way(s) does urbanization increase genetic drift (select all that apply)?

Environmental changes leading to an increase in genome-wide mutation rates

New populations establishing themselves in the urban environment leading to a founder effect

High number of roads in urban environment, cutting habitats in smaller fragments

Novel selective pressures in the environment such as pollutants leading to bottlenecks

There are many times that debt can be advantageous for a company. Provide an example of a company that took on too much debt and what eventually happened. Attach an article and introduce us to why they took on the debt and what happened.

Herald company, a jacket selling company, prepares its master budget for the year 2020 on a quarterly basis. The budget officer has gathered the following data:

1. Estimated Sales for each quarter is $230,000. All sales are on credit and all sales are collected in the following quarter.

2. Cost of goods sold for each quarter is $100,000.

3. Variable selling and administrative expenses for each jacket are 10% sales commission.

4. Fixed selling and administrative (S&A) expenses for the year are:

5. The company expects to borrow $80,000 on April, 1, 2020. No principal will be repaid during the year; Interest rate at an annual rate of 10% is due quarterly.

6. The company will declare $3,000 dividend in December 2020, which will be paid in January 2021.

The company's expected total cash receipt from sales is $690,000 and expected cash disbursements from manufacturing costs is $90,000 during the year 2020. If the year's beginning balance of cash is $25,000, what is the ending balance of cash in the year 2020?

Lebaum Corporation uses the weighted-average method in its process costing system. Data concerning the second processing department for the most recent month are listed below:

What is the cost of units completed and transferred out? (Choose the closest answer).

Alrex company is using an activity-based costing (ABC) system. The company produces and sells two products: Basic and Pro. The company consists of two departments: Production (where all manufacturing activities are taken) and Marketing (which engages in selling and admin activity only). The ABC system includes in unit product costs all costs easily associated with units. In addition, in the ABC system, there are four major indirect activities: Machine Setups, Special Processing, Factory Supervision, and Customer Relation.

The prices, direct material cost (DM), shipping cost and direct labor-hours (DLHs) are given below for one unit of the product, as well as the total units produced and sold.

The company collected the data for ABC as follows:

The company has two major customers (A and B), who buy their products in the amounts in the table below.

How much is the ABC customer margin of customer B? (Choose the closest amount.)