64. Alani’s Hawaiian segment had revenues of $2,029 million, operating income of $973 million, and average assets of $1,283 million. The Hawaiian segment return on assets is:  63.23%  47.95%   75.84%  131.86%   158.14%

73. A company has $101,000 in outstanding accounts receivable and it uses the allowance method to account for uncollectible accounts. Experience suggests that 3% of outstanding receivables are uncollectible. The current balance (before adjustments) in the allowance for doubtful accounts is a(n) $910 debit. The journal entry to record the adjustment to the allowance account includes a debit to Bad Debts Expense for:  $3,940   $910 None of these is correct. $3,030 $2,120

74. A company has $100,000 in outstanding accounts receivable and it uses the allowance method to account for uncollectible accounts. Experience suggests that 5% of outstanding receivables are uncollectible. The current balance (before adjustments) in the allowance for doubtful accounts is a(n) $900 credit. The journal entry to record the adjustment to the allowance account includes a debit to Bad Debts Expense for:  $5,900   $5,045   $4,100 $4,955 $5,000

80. Big Box Store has operated with a 30% average gross profit ratio for a number of years. It had $113,000 in sales during the second quarter of this year. If it began the quarter with $19,300 of inventory at cost and purchased $73,300 of inventory during the quarter, its estimated ending inventory by the gross profit method is:  $19,300.   $13,500.   $33,900.   $23,730.   $30,900. ?

A consumer researcher wanted to know if customers really are influenced to buy more from sales clerks who smile. To test this, clerks at eight stores in a large Canadian clothing chain were given special instructions at the start of a week and then sales over the week were recorded. Four of the stores were randomly selected to have the clerks receive instructions to be especially courteous and to smile a lot. Clerks at four other stores were simply instructed to be especially courteous. Sales (in thousands of dollars) for the four stores in the smile condition were 36, 40, 36, and 44; sales for the four stores in the control condition were 40, 31, 27, and 30. Do these results suggest that customers might buy more if they encounter smiling sales clerks? (Use the .05 level.)

Below are questions you should be asking yourself in preparing for the test in class (not to be answered here):

Using the five steps of hypothesis testing, think about "why is this a test for independent means?", "what are the steps involved" and "what is my goal in this exercise? That is, which distribution am I trying to construct so I can get the comparison distribution?"

Question to be answered here:

What is the pooled estimate population variance of the two populations from which your samples come from?

Questions to answer regarding the question above :

1) In the question above, what is the variance of the distribution of means corresponding to the condition in which the clerks smile? (It may help you to draw the steps using the curves to figure out which variance goes with which distribution). Note that the variance is the same for both distribution of means due to the fact that N is the same for both.

2) In the question above, what is S_Difference?

3) In the question above, what is t_Cutoff? (Answer to the three decimal places on this one)

Wildhorse Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, Wildhorses’ ledger showed Cash of $8,100 and Common Stock of $8,100.

Journalize the transactions using a perpetual inventory system. Also, Post the transactions to T-accounts. Be sure to enter the beginning cash and common stock balances. Also, Prepare an income statement through gross profit for the month of May 2022. Lastly, Calculate the profit margin and the gross profit rate. (Assume operating expenses were $1,554.

Ivanhoe Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May, Ivanhoes’ ledger showed Cash of $8,500 and Common Stock of $8,500.

Journalize the transactions using a perpetual inventory system.

Post the transactions to T-accounts. Be sure to enter the beginning cash and common stock balances.

Prepare an income statement through gross profit for the month of May 2022.

Calculate the profit margin and the gross profit rate. (Assume operating expenses were $1,380.)

Splish Brothers Inc. completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Splish Brothers Inc. showed Cash of $5,500 and Common Stock of $5,500.

Splish Brothers Inc. ’s chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable, No. 120 Inventory, No. 126 Supplies, No. 201 Accounts Payable, No. 311 Common Stock, No. 401 Sales Revenue, No. 412 Sales Returns and Allowances, No. 414 Sales Discounts, and No. 505 Cost of Goods Sold.

A) Journalize the transactions using a perpetual inventory system. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter "0" for the amounts. Record journal entries in the order presented in the problem.)

B) Enter the beginning cash and common stock balances and post the transactions. (Post entries in the order of journal entries presented in the previous question.)

C) Prepare an income statement through gross profit for the month of May 2019.

Problem 5-2A

Sheffield Corp. completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Sheffield Corp. showed Cash of $5,000 and Common Stock of $5,000.

Sheffield Corp. ’s chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable, No. 120 Inventory, No. 126 Supplies, No. 201 Accounts Payable, No. 311 Common Stock, No. 401 Sales Revenue, No. 412 Sales Returns and Allowances, No. 414 Sales Discounts, and No. 505 Cost of Goods Sold.

a. Journalize the transactions using a perpetual inventory system. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter "0" for the amounts. Record journal entries in the order presented in the problem.)

b. Enter the beginning cash and common stock balances and post the transactions. (Post entries in the order of journal entries presented in the previous question.)

c. Prepare an income statement through gross profit for the month of May 2019.

Walsh Company manufactures and sells one product. The following information pertains to each of the company’s first two years of operations:

During its first year of operations, Walsh produced 50,000 units and sold 40,000 units. During its second year of operations, it produced 40,000 units and sold 50,000 units. The selling price of the company’s product is $56 per unit.

Required:

1. Assume the company uses variable costing:

a. Compute the unit product cost for Year 1 and Year 2.

b. Prepare an income statement for Year 1 and Year 2.

2. Assume the company uses absorption costing:

a. Compute the unit product cost for Year 1 and Year 2.

b. Prepare an income statement for Year 1 and Year 2.

3. Reconcile the difference between variable costing and absorption costing net operating income in Year 1.

2. Nine experts rated two brands of Colombian coffee in a taste-testing experiment. A rating on a 7-point scale (1=extremely unpleasing, 7 = extremely pleasing) is given for each of four characteristics: taste, aroma, richness, and acidity. The following data contain the ratings accumulated over all four characteristics:

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1. a) At the 0.05 level of significance, is there evidence of a difference in the mean ratings between the two brands?

2. b) What assumption is necessary about the population distribution in order to perform this test?

3. c) Construct and interpret a 95% confidence interval estimate of the difference in the mean ratings between the two brands.

Based on the status quo population parameter value (Opportunity Amount USD 91637.26) and information (or lack thereof) regarding the population standard deviation, you will conduct a one tailed hypothesis test based on a level of significance of alpha=0.05. You will choose between a lower and upper tailed test based on your calculated sample mean: -If your sample mean is lower than the status quo population mean, you will be testing that it has decreased from the norm. -If your sample mean is higher than the status quo population mean, you will be testing that it has increased from the norm. Be sure to state the Null and Alternative Hypotheses, the Test Statistic, the Critical Value, and the Test Conclusion. Explain in words how the conclusion of the test could impact the business.