Do you know, without looking at the syllabus, what is Strategic Management Accounting?
Please do surface research on the web, just enough so you can start making up a map in your head about what we will be looking into during the term. Then start a discussion answering the following questions.
1. Did you know what SMA is about before this class?
2. If Yes, Please share your experience
3. If No, based on the name alone what did you imagine it would be
4. After Your research, (even if you already knew what it was) did your view change? As a thought what are the implications of this subject and why is it relevant to your Specialization.
5. Does the topic interest you beyond the scope of your MBA? If so, expand on your answer.
In: Accounting
Old World Charm, Inc. specializes in selling scented candles. The company has established a policy of reordering inventory every other month (which is 6 times per year). A recently employed MBA has considered New England's inventory problem from the EOQ model viewpoint. If the following constitute the relevant data, what is the extra total cost of the current policy compared with the total cost of the optimal policy? Enter your answer rounded to two decimal places. Do not enter $ or comma in the answer box. For example, if your answer is $12,300.456 then enter as 12300.46 in the answer box. Ordering cost = $10 per order Carrying cost = 20% of purchase price Purchase price = $15 per unit Total sales for year = 1,000 units Safety stock = 0
In: Finance
The residents of nnn spend all of their income on cauliflower, broccoli, and carrots. In 2020, they spend a total of $250 for 100 heads of cauliflower, $100 for 50 bunches of broccoli, and $250 for 500 carrots. In 2021, they spend a total of $210 for 60 heads of cauliflower, $180 for 90 bunches of broccoli, and $270 for 450 carrots.
Complete the following table by calculating the price of one unit of each vegetable in each year.
|
Year |
Cauliflower |
Broccoli |
Carrots |
|---|---|---|---|
| 2020 | |||
| 2021 |
Using 2020 as the base year, the CPI for 2020 is , and the CPI for 2021 is .
The inflation rate in 2021 is % using the CPI.
In: Economics
On January 1, 2020, ECT Co. adopted the dollar-value LIFO method for its one inventory pool. The pool's value on this date was $600 million. The 2020 and 2021 ending inventory valued at year-end costs were $702 million and $840 million, respectively. The appropriate cost indexes are 1.08 for 2020 and 1.20 for 2021.
Required:
Calculate the inventory balance that ECT Co. would report on its year-end balance sheets for 2020 and 2021, using the dollar-value LIFO method and submit using the DVL template.
In: Accounting
On January 1, 2020, Penguin Corporation, the parent corporation of a consolidated group of corporations filing a calendar year consolidated tax return, acquires all of the stock of Steeler corporation for $3 million. In 2020, Steeler Corporation earns $500,000 of taxable income, it earns $20,000 of tax-exempt interest income, it pays Penguin corporation a dividend of $400,000. Steeler pays Penguin an amount equal to its stand-alone income tax liability for 2020, computed at the statutory tax rate of 21%. Compute Penguin’s year-end 2020 tax basis in Steeler stock.
In: Accounting
A hurricane destroys Kirk’s boat in 2017. The boat is worth $40,000, and Kirk paid $30,000 for the boat two years ago. The boat is a personal use asset. Kirk’s AGI for 2020 is 40,000. Answer the following unrelated situations:
a. What is the casualty deduction that Kirk can take in 2017?
b. Assume that the boat was destroyed in 2020. What is the casualty deduction Kirk can take in 2020?
c. Assume that the insurance company pays Kirk $35,000 in 2017 to cover the loss of the boat. What is the casualty deduction Kirk can take in 2020?
In: Accounting
Read the following news items and explain where a short-run decision and a long-run decision are involved?
a. January 31, 2020: Tim Horton will open 60 more stores in Asian countries
b. March 30, 2020: All stores of Tim Horton will shut down on Tuesday stores so that baristas can receive a refresher course.
c. June 2, 2020: Tim Horton replaces baristas with vending machines.
d. June 30, 2020: Tim Horton is closing 200 stores in British Columbia by the end of July
In: Economics
Mitchell Corporation pays $10 million to acquire a 30 percent interest in Turner Corporation’s stock on January 1, 2020, and reports the investment using the equity method. Any basis difference is attributed to goodwill. During 2020, Turner reports net income of $1,000,000, which includes $50,000 in realized and unrealized gains on trading securities. Turner also reports $80,000 in unrealized losses on AFS securities in other comprehensive income, and pays dividends of $250,000 in 2020. Required Prepare Mitchell’s journal entries to record the above events for 2020
In: Accounting
In 2020, Hydrogen Corp. began selling a new line of products that carry a two-year warranty against defects. Based upon past experience with other products, the estimated warranty costs related to dollar sales are as follows:
First year of warranty 2%
Second year of warranty 5%
Sales and actual warranty expenditures for 2020 and 2021 are presented below:
2020 2021
Sales $ 450,000 $ 600,000
Actual warranty expenditures 15,000 30,000
Hydrogen uses the expense approach to account for warranties.
Provide the journal entries for 2020 relating to the above transactions.
In: Accounting
Dre Inc. began operations on 01/01/2020 and bought some
equipment for $30,000. Dre uses a four-year straight-line
depreciation for accounting purposes. For tax, the deduction is 40%
of cost in 2020, 30% in 2021, and 30% in 2022. Pretax accounting
income for 2020 was $160,000, including interest revenue of $25,000
from municipal bonds. The tax rate is 30% for all years.
Required:
Prepare a journal entry to record income taxes for the year 2020.
(If no entry is required for a transaction/event, select
"No journal entry required" in the first account
field.)
In: Accounting