Questions
Solomon Company, which expects to start operations on January 1, 2018, will sell digital cameras in...

Solomon Company, which expects to start operations on January 1, 2018, will sell digital cameras in shopping malls. Solomon has budgeted sales as indicated in the following table. The company expects a 10 percent increase in sales per month for February and March. The ratio of cash sales to sales on account will remain stable from January through March.

Required

  1. Complete the sales budget by filling in the missing amounts.

Sales January February March
Cash sales $47,000
Sales on account 109,000
Total budgeted sales $156,000
  1. Determine the amount of sales revenue Solomon will report on its first quarter pro forma income statement.

Sales Revenue: _____

In: Accounting

On January 1, 2017, Wildhorse Company purchased 12% bonds having a maturity value of $310,000, for...

On January 1, 2017, Wildhorse Company purchased 12% bonds having a maturity value of $310,000, for $333,502.59. The bonds provide the bondholders with a 10% yield. They are dated January 1, 2017, and mature January 1, 2022, with interest receivable January 1 of each year. Wildhorse Company uses the effective-interest method to allocate unamortized discount or premium. The bonds are classified in the held-to-maturity category.

Prepare the journal entry at the date of the bond purchase.

Prepare a bond amortization schedule.

Prepare the journal entry to record the interest revenue and the amortization at December 31, 2017.

Prepare the journal entry to record the interest revenue and the amortization at December 31, 2018.

In: Accounting

An income statement for the first year of operations for Patti Company appears below: Sales $...

An income statement for the first year of operations for Patti Company appears below:

Sales $ 390,000
Dividend revenue 39,000
Interest revenue 24,050
Cost of goods sold (208,000 )
Salary expense (26,000 )
Depreciation expense (70,200 )
Income tax expense (109,200 )
Net income $ 39,650

Additional information:

  1. Accounts payable, end of year, $13,000.
  2. Salaries payable, end of year, $8,450.

  3. Inventories, end of year, $26,000.

  4. Accounts receivable, end of year, $32,500.

Required:

Use the direct approach to calculate the cash provided (used) by operating activities for Patti Company. (Net cash outflows and amounts to be deducted should be indicated by a minus sign.)

In: Finance

Think about some of your friends and what you have discovered by visiting their homes. Do...

  • Think about some of your friends and what you have discovered by visiting their homes. Do they buy different things than you do? If so, why? How might a company distinguish you from them in terms of its targeting?
  • Is it always harder to find new customers than it is to retain old ones or does it depend on the business you're in?
  • Does one-to-one marketing have to be expensive? How can small organizations interact with their customers in a cost-effective way?
  • Are large companies better off using multi segment strategies and small companies better off using niche strategies? Why or why not?
  • How have companies such as JCPenney and Sears tried to change their position (reposition their stores)?
  • Do you think hotel companies have segmented the market too much and confused customers?

In: Accounting

Which of the following represent entities for this scenario.


Garden Glory is a company that provides yard maintenance services to its customers. Garden Glory offers many types of services such as grass cutting, shrubby maintenance, flowering planting, trimming, etc. Many of its customers have multiple properties [houses, office buildings, apartment complexes] that require gardening and lawn maintenance services. Garden Glory wants to maintain data on customers, properties, services offered and also track services provided. For services provided, they want to know what property, who that property belongs to and what services the property receives.

Which of the following represent entities for this scenario. THERE MAY BE MORE THAN ONE ANSWER.

Answers to choose from:

Property

Who the property belongs to

Type of property such as apartment complex

Customer

Customer Last Name

Street Address

Service Tracking

Type of service such as grass cutting

In: Computer Science

Consider the following enterprise scenario and answer the following questions. ABC is a wholesale company that...

Consider the following enterprise scenario and answer the following questions. ABC is a wholesale company that sells electrical equipment and provides a website from which customers can inquiry about products and identify what they want to buy. When costumers order electrical equipment, they place their order on the ABC website. ABC does not own or hold any equipment as inventory. Rather, the ABC orders the equipment from the appropriate supplier and ranges for the equipment to be shipped directly from the supplier to the customers. The customers pay ABC and receive receipts. The ABC also pays the suppliers and keeps the excess as revenues.

  1. Create a value chain REA model that represents the flow of ABC's resources between the sales/collection process with other business processes.
  2. Create a business process level REA model for ABC's sales/collection process. Be sure to include all relevant entities, relationships, and attributes.

NO HANDWRITING, PLEASE.

In: Computer Science

The information that follows is for Becky’s Baskets for the year ended December 31, 2017 and...

The information that follows is for Becky’s Baskets for the year ended December 31, 2017 and covers questions 20-27.

Sales                                                                            2,000 baskets at $50 per basket = $100,000                  

Costs: (2,000 baskets produced and sold)

            Variable Costs                                                                                                Total Cost

                        Direct materials                                                                                  16,000

                        Direct labor                                                                                        14,000

Manufacturing overhead                                                                  16,000

                        Selling and Administrative Costs                                                       10,000

            Fixed Costs

                        Manufacturing overhead                                                                    30,000

                        Selling and Administrative Costs                                                       14,000

Assume 2,000 baskets are produced and sold this year unless the question specifies otherwise.   The relevant range is from zero to 5,000 units.

20. If 2,000 baskets are produced, what is the product cost per basket?

  1. $45
  2. $38
  3. $53
  4. $12

21. What is the variable cost per basket (including period costs) at 4,000 baskets?

  1. $45
  2. $27
  3. $28
  4. $12

22. What is the fixed product cost per basket at 3,000 baskets?

  1. $45
  2. $30
  3. $22
  4. $10

23. If 3,000 baskets are produced, what is the product cost per basket?

  1. $43
  2. $38
  3. $52
  4. $33

24. What is the incremental cost (increase in cost) by increasing production from 2,000 baskets to 2,001 baskets?

  1. $23
  2. $28
  3. $15
  4. $56,000

25. If the company sells produces and sells 3,000 baskets how much operating income will they make?

  1. $150,000
  2. $104,000
  3. $50,000
  4. $22,000
  5. None of the above

26. If the company produces and sells 2,000 baskets how much will their cost of goods sold be?

  1. $150,000
  2. $104,000
  3. $50,000
  4. $22,000
  5. None of the above

27. What is the contribution margin per unit at 2,000 units of production and sales?

  1. $20
  2. $22
  3. $30
  4. $32
  5. $42

In: Accounting

Refer to Revenue Data Excel File. The 4 QTR Centered Moving Average for the 2nd quarter...

Refer to Revenue Data Excel File. The 4 QTR Centered Moving Average for the 2nd quarter of 2017 is: Select one: a. 222.125 b. 333.875 c. 269.250 d. 243.625

Year QTR Revenue (in $1000)
2015 1 205
2 400
3 200
4 229
2016 1 236
2 219
3 211
4 200
2017 1 280
2 275
3 261
4 322
2018 1 500
2 230
3 310
4 400
2019 1 325
2 241
3 379
4 316

In: Statistics and Probability

Carla Vista Company expects to have a cash balance of $64,400 on January 1, 2022. These...

Carla Vista Company expects to have a cash balance of $64,400 on January 1, 2022. These are the relevant monthly budget data for the first two months of 2022.

1. Collections from customers: January $99,400, February $204,400.
2. Payments to suppliers: January $56,000, February $105,000.
3. Wages: January $42,000, February $56,000. Wages are paid in the month they are incurred.
4. Administrative expenses: January $29,400, February $33,600. These costs include depreciation of $1,400 per month. All other costs are paid as incurred.
5. Selling expenses: January $21,000, February $28,000. These costs are exclusive of depreciation. They are paid as incurred.
6. Sales of short-term investments in January are expected to realize $16,800 in cash. Carla Vista Company has a line of credit at a local bank that enables it to borrow up to $35,000. The company wants to maintain a minimum monthly cash balance of $28,000.


Prepare a cash budget for January and February. (List items that increase cash balance first.)

In: Accounting

Classify each of the following according to the type of evidence: A) Analytical procedures C) Examination...

Classify each of the following according to the type of evidence:

A) Analytical procedures C) Examination of documents E) Observation G) Recalculation H) Reperformance I) Scanning

B) Confirmation D) Inquiry F) Inspection of assets (i.e Physical examination )

Procedures:

1. Review vendor balances (accounts payable subsidiary ledger) looking for balances with debit amounts.

2. Discuss with company personnel how warranty expense was determined.

3. Examine a check from a customer before it is deposited in the company's bank account.

4. An auditor extends (i.e multiplies) inventory quantities by unit prices to check the mathematical accuracy.

5. Trace shipping documents to related sales invoices to determine that sales have been billed.

6. Send letters to the customers asking them how much they owe the company.

7. The auditor performs an internal control procedure (i.e a walkthrough) to gain an understanding of the client's internal control system.

8. Compare company expense numbers with similar data from previous years.

  

In: Accounting