Sweeten Company had no jobs in progress at the beginning of March and no beginning inventories. The company has two manufacturing departments—Molding and Fabrication. It started, completed, and sold only two jobs during March—Job P and Job Q. The following additional information is available for the company as a whole and for Jobs P and Q (all data and questions relate to the month of March):
| Molding | Fabrication | Total | |||||||
| Estimated total machine-hours used | 2,500 | 1,500 | 4,000 | ||||||
| Estimated total fixed manufacturing overhead | $ | 11,250 | $ | 15,750 | $ | 27,000 | |||
| Estimated variable manufacturing overhead per machine-hour | $ | 1.90 | $ | 2.70 | |||||
| Job P | Job Q | |||||
| Direct materials | $ | 18,000 | $ | 10,500 | ||
| Direct labor cost | $ | 25,000 | $ | 9,500 | ||
| Actual machine-hours used: | ||||||
| Molding | 2,200 | 1,300 | ||||
| Fabrication | 1,100 | 1,400 | ||||
| Total | 3,300 | 2,700 | ||||
Sweeten Company had no underapplied or overapplied manufacturing overhead costs during the month.
Required:
For questions 1-9, assume that Sweeten Company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments and Job P included 20 units and Job Q included 30 units. For questions 10-15, assume that the company uses a plantwide predetermined overhead rate with machine-hours as the allocation base.
14. Assume that Sweeten Company used cost-plus pricing (and a markup percentage of 80% of total manufacturing cost) to establish selling prices for all of its jobs. What selling price would the company have established for Jobs P and Q? What are the selling prices for both jobs when stated on a per unit basis? (Do not round intermediate calculations. Round your final answers to nearest whole dollar.)
15. What was Sweeten Company’s cost of goods sold for March? (Do not round intermediate calculations.)
In: Accounting
Sammy, Inc. manufactures motor scooters. For each of the following examples of quality cost, indicate which of the following quality cost categories each example represents: prevention costs, appraisal costs, internal failure costs, or external failure costs.
1. Preventive maintenance on machinery
2. Direct materials, direct labor, and manufacturing overhead incurred to rework a defective scooter that is detected in-house through inspection.
3. Lost profits form lost sales if the company's reputation is hurt because customers previously purchased a poor- quality scooter.
4. Cost of inspecting raw materials, such as chassis and wheels.
5. Working with suppliers to achieve on- time delivery of defect-free raw materials.
6. Cost of warranty repairs on a scooter that malfunctions at a customer's location.
7. Cost of testing durability of vinyl.
8. Cost to reinspect reworked scooters.
In: Accounting
Consider an (almost) perfectly competitive market: the only difference is that different firms have different cost curves (no two firms have the same cost curve). Suppose firm A is in the market in the long-run equilibrium and making zero profit. Suppose there the demand curve shifts to the right. In the new long-run equilibrium,
A. Firm A makes strictly positive profits.
B. Firm A exits the market.
C. Firm A makes zero profits.
D. Firm A has higher costs than every other firm in the market.
In: Accounting
E-business infrastructures have quality specifications and cost-effectiveness/efficiency specifications. Often, certain quality specifications and certain cost-effectiveness/efficiency specifications are mutually exclusive. Select two e-business quality specifications and explain how they may conflict with two e-business cost-effectiveness/efficiency specifications.
In: Operations Management
See Income Statement:
| Sales | $825,000 |
| Less:variable cost[(825,000*55)/100] | $453,750 |
| Less: fixed cost | $187,150 |
| Less: depriciation | $91,000 |
| Earnings before tax(EBT) | $93,100 |
| Less:Taxes@35%[(93,100*35)/100] | $32,585 |
| Projected net income | $60515 |
If the project costs $2,000,000, lasts for 6 years and the cost of capital is 15%, compute the NPV and IRR for the project.
In: Finance
1. Given the function M(t) = 2t3 - 3t2 - 36t, find the critical
values and determine, using both the second derivative test and a
sign chart, the nature of these values.
2. A projectile is launched with a velocity of 22 m/s at 50° to the
ground. Determine its horizontal and vertical velocities.
3. Two trains start from the same point at the same time, one going
east at a rate of 40 km/h and the other going south at 60 km/h, as
shown in the diagram at right. Find the rate at which they are
separating after 1 h of travel.
4. A professional basketball team plays in a stadium that holds
23,000 spectators. With ticket prices at $60, the average
attendance had been 18,000. When ticket prices were lowered to $55,
the average attendance rose to 20,000. Based on this pattern, how
should ticket prices be set to maximize ticket revenue?
5. Corey is asked to find the maximum value of a function. Not
having a complete understanding of the process, Corey decides to
find the derivative of the function, set it equal to zero, and
solve. The resulting value, Corey reasons, will yield the maximum
point. Explain fully why Corey's method is flawed.
6. A 5,000 m_ rectangular area of a field is to be enclosed by a
fence, with a moveable inner fence built across the narrow part of
the field, as shown.The perimeter fence costs $10/m and the inner
fence costs $4/m. Determine the dimensions of the field to minimize
the cost.
7. The following table displays the number of HIV diagnoses per
year in a particular country.
Year 1997 1998 1999 2000 2001 2002 2003 2004 2005
Diagnoses 2512 2343 2230 2113 2178 2495 2496 2538 2518
a. Using Curve Expert or another curve modelling program, determine
an equation that can be used to model this data.
b. Using this model, estimate the number of diagnoses in 1996 and
in 2006.
c. At what rate would the number of diagnoses be changing in
2006?
d. Halfway through 2006, the number of new HIV diagnoses was found
to be 1232. Assuming this rate stays fairly constant for the
remainder of the year, does this new information change the
modelling equation? If so, how would this change your answer to
part (c)? If you were an advocate for furthering HIV and AIDS
research and treatment programs, would you be encouraged or
discouraged by these results?
In: Math
Question 1 (of 11)Question 2 (of 11)Question 3 (of 11)Question 4 (of 11)Questions 5 - 6 (of 11)Questions 7 - 9 (of 11)Questions 10 - 11 (of 11) Save & ExitSubmit
Time remaining: 0:51:30
Problem 7-5A Determine depreciation under three methods (LO7-4)
[The following information applies to the questions
displayed below.]
University Car Wash built a deluxe car wash across the street
from campus. The new machines cost $270,000 including installation.
The company estimates that the equipment will have a residual value
of $24,000. University Car Wash also estimates it will use the
machine for six years or about 12,000 total hours. Actual use per
year was as follows:
| Year | Hours Used |
| 1 | 3,100 |
| 2 | 1,100 |
| 3 | 1,200 |
| 4 | 2,800 |
| 5 | 2,600 |
| 6 | 1,200 |
References
Section BreakProblem 7-5A Determine depreciation under three methods (LO7-4)
7.
value:
3.00 points
Required information
Problem 7-5A Part 1
Required:
1. Prepare a depreciation schedule for six
years using the straight-line method. (Do not round your
intermediate calculations.)
References
eBook & Resources
WorksheetDifficulty: 3 Hard
Problem 7-5A Part 1Learning Objective: 07-04 Calculate depreciation of property, plant, and equipment.
Check my work
8.
value:
4.00 points
Required information
Problem 7-5A Part 2
2. Prepare a depreciation schedule for six
years using the double-declining-balance method. (Do not
round your intermediate calculations.)
References
eBook & Resources
WorksheetDifficulty: 3 Hard
Problem 7-5A Part 2Learning Objective: 07-04 Calculate depreciation of property, plant, and equipment.
Check my work
9.
value:
3.00 points
Required information
Problem 7-5A Part 3
3. Prepare a depreciation schedule for six
years using the activity-based method. (Round your
"Depreciation Rate" to 2 decimal places and use this amount in all
subsequent calculations.)
References
eBook & Resources
WorksheetDifficulty: 3 Hard
Problem 7-5A Part 3Learning Objective: 07-04 Calculate depreciation of property, plant, and equipment.
Check my work
In: Accounting
Python 2. Please ensure you run the tests in idle
Write a function orderPizza that allows the user input to build a pizza. It then prints a thank you message, the cost of the pizza and then returns the Pizza that was built.
>>> orderPizza()
Welcome to Python Pizza!
What size pizza would you like (S,M,L): M
Type topping to add (or Enter to quit): mushroom
Type topping to add (or Enter to quit): onion
Type topping to add (or Enter to quit): garlic
Type topping to add (or Enter to quit):
Thanks for ordering!
Your pizza costs $14.299999999999999
Pizza('M',{'mushroom', 'onion', 'garlic'})
>>> orderPizza()
Welcome to Python Pizza!
What size pizza would you like (S,M,L): L
Type topping to add (or Enter to quit): calamari
Type topping to add (or Enter to quit): garlic
Type topping to add (or Enter to quit):
Thanks for ordering!
Your pizza costs $16.65
Pizza('L',{'garlic', 'calamari'})
>>> p=orderPizza()
Welcome to Python Pizza!
What size pizza would you like (S,M,L): S
Type topping to add (or Enter to quit):
Thanks for ordering!
Your pizza costs $6.25
>>> p
Pizza('S',set())
>>>
please run this tests in idle to ensure it is correct
##### orderPizza #####
>>> orderPizza()==Pizza('M',{'garlic', 'onion', 'mushroom'})
Welcome to Python Pizza!
What size pizza would you like (S,M,L): Type topping to add (or Enter to quit): Type topping to add (or Enter to quit): Type topping to add (or Enter to quit): Type topping to add (or Enter to quit): Thanks for ordering!
Your pizza costs $14.299999999999999
True
>>> orderPizza()==Pizza('L',{'calamari', 'garlic'})
Welcome to Python Pizza!
What size pizza would you like (S,M,L): Type topping to add (or Enter to quit): Type topping to add (or Enter to quit): Type topping to add (or Enter to quit): Thanks for ordering!
Your pizza costs $16.65
True
>>> orderPizza()==Pizza('S',set())
Welcome to Python Pizza!
What size pizza would you like (S,M,L): Type topping to add (or Enter to quit): Thanks for ordering!
Your pizza costs $6.25
True
##### stdin back #####
put stdin back to original, again, shouldnt cause error
>>> sys.stdin = si # return stdin
In: Computer Science
|
Cougar Plastics Company has been operating for three years. At December 31, 2014, the accounting records reflected the following: |
| Cash | $ | 22,000 | Accounts payable | $ | 20,000 | |
| Investments (short-term) | 2,600 | Accrued liabilities payable | 2,800 | |||
| Accounts receivable | 3,700 | Notes payable (short-term) | 6,800 | |||
| Inventory | 28,000 | Notes payable (long-term) | 42,000 | |||
| Notes receivable (long-term) | 2,700 | Common stock | 10,500 | |||
| Equipment | 47,000 | Additional paid-in capital | 94,500 | |||
| Factory building | 95,000 | Retained earnings | 28,500 | |||
| Intangibles | 4,100 | |||||
|
During the year 2015, the company had the following summarized activities: |
| a. | Purchased short-term investments for $8,800 cash. |
| b. | Lent $5,300 to a supplier who signed a two-year note. |
| c. |
Purchased equipment that cost $20,000; paid $5,200 cash and signed a one-year note for the balance. |
| d. |
Hired a new president at the end of the year. The contract was for $79,000 per year plus options to purchase company stock at a set price based on company performance. |
| e. | Issued an additional 2,200 shares of $0.50 par value common stock for $18,000 cash. |
| f. | Borrowed $17,000 cash from a local bank, payable in three months. |
| g. |
Purchased a patent (an intangible asset) for $2,200 cash. |
| h. |
Built an addition to the factory for $28,000; paid $7,700 in cash and signed a three-year note for the balance. |
| i. |
Returned defective equipment to the manufacturer, receiving a cash refund of $1,500. |
rev: 09_05_2014_QC_53105, 09_06_2014_QC_53105, 10_06_2014_QC_55409
9.
value:
1.00 points
Required information
| Required: |
|
1. & 2. |
Post the T-accounts for each of the accounts on the balance sheet and enter the balances at the end of 2014 as beginning balances for 2015. (Two items have been given in the cash T-account as examples). |
References
eBook & Resources
Check my work
10.
value:
1.00 points
Required information
| 4. | Prepare a trial balance at December 31, 2015. |
References
eBook & Resources
Check my work
11.
value:
1.00 points
Required information
|
5. |
Prepare a classified balance sheet at December 31, 2015. |
rev: 09_05_2014_QC_53105, 09_06_2014_QC_53105
References
eBook & Resources
Check my work
12.
value:
1.00 points
Required information
|
6. |
Compute the current ratio for 2015. (Round your answer to 2 decimal places.) |
References
eBook & Resources
In: Accounting
Ferry Services Incorporated (FSI) is a public company that has
three divisions. The first division provides coastal ferry services
on the West and East coasts of Canada. The second division designs
and builds ferries for their own use as well as for external
customers. The third division operates and manages ferry terminal
buildings.
In 2011, FSI anticipates a taxable loss of $20 million due to a
major hurricane that sunk one of their ferry ships and caused
extensive damage to one of their terminal buildings. For the past
three years they have had taxable income of 2008 - $5 million; 2009
- $10 million; and 2010 - $8 million.
FSI has a number of long-term bank loans with Canadian Big Bank. In
2011, they obtained additional financing to recover from the costs
associated with the hurricane. The bank requires annual audited
financial statements. The new loan has a financial covenant
requiring that FSI maintain a certain current ratio, as well as
dividend distribution is restricted until the loan is paid
off.
You have recently been hired to develop new accounting policies for
FSI’s Dec 31 year-end. You have been asked by the Board to discuss
alternatives and provide recommendations on the appropriate
accounting policies for events that have occurred during 2011.
Where possible you have been asked to quantify the impact of the
accounting policies. The incremental borrowing rate for FSI is 8%.
The tax rates for the last few years were: 2008 (40%), 2009 (38%),
and 2010 (38%). The tax rate for 2011 is 40%.
1) A major hurricane hit the Eastern Coast in the fall of 2011.
This hurricane was tracking to miss the Eastern Seaboard but had a
sudden change in direction. FSI was caught off guard and one of
their ferries as well as a ferry terminal was in the direct path of
the hurricane. Unfortunately, FSI found out that their insurance
did not cover hurricane damage. To cover the costs associated with
the damages FSI obtained a new five year bank loan of $25 million
with quarterly interest payments. Their cost of borrowing was 8% a
year. To obtain the loan FSI had to pay $1 million of transaction
costs.
2) The ferry was one of their older ferries with a carrying amount
of $2 million dollars. The costs to recover the ferry are
approximately $3 million and it is anticipated they will receive
$0.5 million worth of salvaged material. The ferry will need to be
replaced and construction was initiated in December 2011. The
estimated construction costs are $20 million since the ferry will
be state of the art with a new weather warning software system.
Construction is expected to be completed in the spring of 2013.
Until that time a ferry was brought out of retirement. The ferry
had been retired due to extensive renovations required to meet
environmental legislation. These renovations cost FSI $2 million in
2011.
Page 2
3) The damage to the terminal was $7 million. FSI leases all of
their terminals from Leasing Incorporated (LI). This lease has a
remaining lease term of 2 years. Due to the terms of the lease
agreement FSI is required to pay a large penalty of $5 million
dollars for repairs to the terminal. This cost far exceeds the
remaining benefits of the lease agreement.
4) A lawsuit was launched in December 2011 against FSI due to the
tragedy of the sinking of the ferry. FSI decided that they want to
settle quickly out of court to avoid negative publicity. They have
offered $5 million to the families. Their lawyers have not
responded to this offer.
5) Passengers can purchase their ferry tickets on-line through
Tickets.com. To encourage use of the ferry FSI provides passengers
free parking if they purchase an annual pass. Otherwise passengers
pay a daily rate to park their vehicle.
6) Some of the ferries contain asbestos. Changes in government
legislation in 2011 require FSI to remove the asbestos in 2016. The
anticipated cost of removal is $5 million.
7) FSI leases their ferry terminals from Leasing Incorporated. In
2011, FSI obtained the rights to operate a ferry on a new route.
They entered into a lease agreement for a newly constructed
terminal and the land. The lease term is for 60 years with a 20
year bargain renewal term.
8) In 2011, FSI issued $10,000,000 of 8% convertible bonds at the
option of FSI into common shares. These bonds mature in five years
and are convertible at that time by FSI into common shares at a
rate of 50 shares for each $1,000 bond.
In: Accounting