Questions
URGENT Ateeq Generators is a manufacturer of power generating equipment for commercial and industrial use. It...

URGENT

Ateeq Generators is a manufacturer of power generating equipment for commercial and industrial use. It commenced business on December 1. Below is a list of transactions conducted during its first month of operations:       

Transaction

$

1

Materials were purchased on credit terms.

400,000

2

Direct material was issued for Job A (for the manufacture of mobile generators).     

89,000

3

Direct material was issued for Job B (for the manufacture of diesel generators).

141,000

4

Direct material was issued for Job C (for the manufacture of portable generators).

28,000

5

Incurred direct labour cost on each of the jobs mentioned above as follows: job A, $9,000; job B, $11,000; job C, $5,000.          

6

Manufacturing overhead was applied to the jobs. The overhead rate used is 300% of direct labour dollars.

7

Job A and Job C were completed and moved to the finished goods warehouse.      

8

Job A was sold on credit terms for $200,000.

9

Actual manufacturing overhead incurred and paid for he month amounted to $78,000.

10

Manufacturing overhead was closed to Cost of Goods Sold.

                                                                                                                                    

a. Prepare the journal entries for the following transactions ONLY: [3 marks]

Transactions 2, 6, 7

b. Compute the Cost of Goods Manufactured (COGM) for the month ended December 31. [1 mark]

c. Compute the Cost of Goods Sold (COGS) for the month ended December 31. [1 mark]                        

d. Compute the inventory balances reported in the company’s Statement of Financial Position at December 31. [NO NEED TO ADJUST FOR UNDER- or OVER- APPLIED OVERHEADS] [3 marks]

In: Accounting

Segado, Inc. mass-produces goods in three processes. In the second process, direct materials are added at...

Segado, Inc. mass-produces goods in three processes. In the second process, direct materials are added at the beginning, conversion costs are incurred evenly throughout the process, and the normal spoilage rate is 5%. This period, the 90,000 units transferred into the second process had costs of $450,000 attached to them from the first process. The 20,000 units in beginning work-in-process inventory (30% complete) were worth $280,000 ($100,000 in transferred-in costs, $120,000 in conversion costs, and $60,000 in direct materials costs). During the period, the second process cost $303,000 for direct materials and $402,720 for conversion. At the end of the period, 85,000 units had been transferred on to the third process, and 22,000 units from process 2 were only 40% complete.

Enter all dollar values without dollar signs

Round your answers to the nearest dollar except costs per equivalent unit.

Physical units:
Normal spoilage
Abnormal spoilage
Equivalent units:
For goods completed and transferred out (same for all costs)
For goods normally spoiled (same for all costs)
For goods abnormally spoiled (same for all costs)
For ending work-in-process inventory, transferred-in costs
For ending work-in-process inventory, direct materials costs
For ending work-in-process inventory, conversion costs
Cost per equivalent unit:
For transferred-in costs
For direct materials
For conversion costs
The value of:
Good units completed and transferred out
Abnormal spoilage
Ending work-in-process inventory

In: Accounting

Two events are observed by inertial observer Stampy to occur a spatial distance of 15 c·s...

Two events are observed by inertial observer Stampy to occur a spatial distance of 15 c·s apart with the spatial coordinate of the second larger than the spatial coordinate of the first. Stampy also determines that the second event occurred 17 s after the first. According to inertial observer Philip moving along Stampy’s +x axis at unknown velocity v, the second event occurs 10 s after the first. (1 c·s = 1 light-second = unit of distance.)

a) Given Philip measures the spatial coordinate of the second event to be larger than the first, determine v.

b) How far apart spatially (in c·s) do the two events occur according to Philip?

c) Does there exist an inertial reference frame v < c in which the second event can occur before the first? Briefly explain in one sentence at most.
d) Inertial observer Kenny observes the proper time between the two events. How fast along Stampy’s +x axis does Kenny move?

(Note: Each part of this question can be done independently of any other. In part a, depending on how you solve it, you might obtain two answers as solutions of a quadratic, but one of them is extraneous, because it violates the premise in part a. If you are careful, you can avoid the quadratic at the outset, but it requires you to solve part b first.)

In: Physics

Nesman Company, which has only one product, has provided the following data concerning its most recent...

Nesman Company, which has only one product, has provided the following data concerning its most recent month of operations:

  Selling price $ 122
  Units in beginning inventory 310
  Units produced 6,600
  Units sold 6,670
  Units in ending inventory 240
  Variable cost per unit:
  Direct materials $ 48
  Direct labor $ 26
  Variable manufacturing overhead $ 3
  Variable selling and administrative $ 13
  Fixed costs:
  Fixed manufacturing overhead $ 151,800
  Fixed selling and administrative $ 46,690

The company produces the same number of units every month, although the sales in units vary from month to month. The company's variable costs per unit and total fixed costs have been constant from month to month.

Required:
a.

Prepare a contribution format income statement for the month using variable costing. (Input all amounts as positive values except losses which should be indicated by a minus sign. Omit the "$" sign in your response.)

Variable Costing Income Statement
    (Click to select)  Manufacturing overhead  Variable cost of goods sold  Sales  Variable selling and administrative expenses  Contribution margin  Net operating income (loss)  Selling and administrative expenses $   
  Variable expenses:
         (Click to select)  Sales  Contribution margin  Variable cost of goods sold  Net operating income  Manufacturing overhead  Direct labor  Variable selling and administrative expenses $    
         (Click to select)  Manufacturing overhead  Sales  Variable cost of goods sold  Contribution margin  Direct labor  Variable selling and administrative expenses  Net operating income      
    (Click to select)  Variable selling and administrative expenses  Manufacturing overhead  Variable cost of goods sold  Sales  Net operating income (loss)  Contribution margin  Selling and administrative expenses   
  Fixed expenses:
         (Click to select)  Variable cost of goods sold  Fixed selling and administrative expenses  Contribution margin  Fixed manufacturing overhead  Sales  Net operating income  Variable selling and administrative expenses   
         (Click to select)  Variable selling and administrative expenses  Fixed manufacturing overhead  Net operating income  Fixed selling and administrative expenses  Sales  Variable cost of goods sold  Contribution margin      
    (Click to select)  Contribution margin  Sales  Manufacturing overhead  Selling and administrative expenses  Net operating income (loss)  Variable cost of goods sold  Variable selling and administrative expenses $   
b.

Prepare an income statement for the month using absorption costing. (Input all amounts as positive values except losses which should be indicated by a minus sign. Leave no cells blank - be certain to enter "0" wherever required. Omit the "$" sign in your response.)

Absorption Costing Income Statement
    (Click to select)  Cost of goods sold  Selling and administrative expenses  Net operating income (loss)  Sales  Gross margin $   
    (Click to select)  Selling and administrative expenses  Net operating income (loss)  Cost of goods sold  Gross margin  Sales   
    (Click to select)  Net operating income (loss)  Sales  Gross margin  Selling and administrative expenses  Cost of goods sold   
    (Click to select)  Gross margin  Net operating income (loss)  Cost of goods sold  Selling and administrative expenses  Sales   
    (Click to select)  Gross margin  Sales  Net operating income (loss)  Cost of goods sold  Selling and administrative expenses    $   

In: Accounting

The James Children’s Hospital (JCH), based in Washington DC, has been operating has an operating budget...

The James Children’s Hospital (JCH), based in Washington DC, has been operating has an operating budget of $15 million and has been operating at a budget surplus for the past two years. JCH has a $20 million endowment (JCHA) whose sole purpose is to provide capital equipment for the hospital. The endowment’s long-term expected total return is 8.6%, which includes a 3.3% income component. JCHE has no minimum payout requirement and expects no future contributions. Traditionally, the JCHE board of directors has determined the annual payout based on current needs. Payouts have been rising steadily – to $1.375 million two years ago and to $1.4 million last year.

Michelle Parker, CFO of JCHE, has asked the board’s guidance in determining a new long-term spending policy for JCHE. Remove the word knew. She has received $1.6 million in requests to buy equipment and is concerned about the inflation rate for medical equipment prices, which is 4%, versus 2.5% for the U.S. Consumer Price Index.

1 - Discuss the implications of the current pressure on JCHE to increase spending.

2 - Discuss how JCHE’s time horizon affects its risk tolerance.

3 - Determine a long-term spelling policy for JCHE, including a spending rate as a percentage of assets, and justify the policy.

In: Finance

Requirement 2: Revise the data in your worksheet to reflect the results for the subsequent period...

Requirement 2:

Revise the data in your worksheet to reflect the results for the subsequent period as shown below:

A

B

C

D

E

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

Chapter 9: Applying Excel
Data
Revenue $16.50 q
Cost of ingredients $6.25 q
Wages and salaries $10,400
Utilities $800 + $0.20 q
Rent $2,200
Miscellaneous $600 + $0.80 q
Actual results:
Revenue $29,730
Cost of ingredients $11,460
Wages and salaries $10,250
Utilities $1,155
Rent $2,200
Miscellaneous $2,085
Planning budget activity 1,700 meals served
Actual activity 1,800 meals served

a. What is the activity variance for revenue? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance)).

b. What is the spending variance for the cost of ingredients? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance)).

c. What is spending variance for wages and salaries? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance)).

d. What is spending variance for total expenses? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance)).

In: Finance

The lower birthrate in China A. will solve its population problem leading to a rapid growth...

The lower birthrate in China

A. will solve its population problem leading to a rapid growth in real GDP per capita as GDP will increase more than its population.

B. will result in a labor force containing more educated and healthier young​ workers, resulting in a rapid growth of its real GDP per capita.

C. will help China to maintain its high rates of productivity​ growth, due to the transition from a centrally planned economy to a market economy so​ China's growth rate in real GDP per capita is likely to decrease.

D. will shrink its labor​ force, which will include mostly less educated and less healthy older​ workers, resulting in a slower growth in its real GDP per capita.

China has experienced

A. slow growth in the short run but their experiment will demonstrate that the country can maintain high rates of economic growth in the long run while its citizens are denied political freedoms.

B. a high​ long-term growth by spending 50 percent of GDP on​ investment, but the government may have boosted this growth at the expense of the health of the economy in the short run.

C. high rates of growth in the short run by spending heavily on physical​ capital, infrastructure, and property but their lack of democracy can slow growth in the long run.

D. moderate growth in the short run by spending heavily on physical​ capital, infrastructure, and property but their growth potential in the long run is much higher.

In: Economics

Someone sells 2000 tickets for $1 each. Prizes are awarded of one $100, four $50, and...

Someone sells 2000 tickets for $1 each. Prizes are awarded of one $100, four $50, and eight $25.
Find the expected value if you purchase 1 ticket. Your expected value should end up negative since there are way more chances to not win than to win one of the prizes.
Expected value is calculated by multiplying every possible outcome by its probability and then adding those products. Let's break this down.
a) In this case there are 2000 outcomes. How many expect to be out their dollar and not win anything?
b) What is the probability of not winning anything?
c) How many will win $25?
d) What is the probability of winning $25?
e) If you win $25 after spending $1 for the ticket, what is your true gain?
f) How many will win $50?
g) What is the probability of winning $50?
h) If you win $50 after spending $1 for the ticket, what is your true gain?
i) How many will win $100?
j) What is the probability of winning $100?
k) If you win $100 after spending $1 for the ticket, what is your true gain?
l) Finally add up all the probabilities times the gain or loss associated with them. What is the expected value if you purchase one ticket?
m) What can you expect to happen if you purchase 5 tickets?

In: Statistics and Probability

2. Variance Analysis Nail_It company is a manufacturer of a custom engraved hammers. For the year...

2. Variance Analysis

Nail_It company is a manufacturer of a custom engraved hammers. For the year 2021, the weekly budget was as follows.

  • Sales revenue $64,000: 2,000 hammers × price $32
  • Variable costs:
    • Direct materials $10,000: 2,000 hammers × 1 lbs per hammer × price $5/lb
    • Direct labour $50,000: 2,000 hammers × 5 hour per hammer × rate $5/hour
    • no variable overhead
  • Fixed costs: $3,000
  • Profit: $1,000

The actual performance of the week was as follows.

  • Sales revenue $70,400: 2,200 hammers × price $32
  • Variable costs:
    • Direct materials $13,200: 2,200 hammers × 1 lbs per hammer × price $6/lb
    • Direct labour $46,200: 2,200 hammers × 3 hour per hammer × rate $7/hour
    • no variable overhead
  • Fixed costs: $8,000
  • Profit: $8,000

Required:

1) Compute the following variances

a) Spending and Volume Variances of Materials

b) Spending and Volume Variances of Labour

c) Spending and Volume Variances of Fixed Overhead

d) Materials Quantity Variance

e) Materials Price Variance

f) Labour Efficiency Variance

g) Labour Rate Variance

2) Nail_It company hired an experienced engineer and asked her to re-organize the production process. How could hiring an experienced engineer and their new production process explain the variances? Please comment on individual components of variances, their relations to other variances, and overall impact on profitability.

In: Accounting

. Variance Analysis Sourpatch company is a manufacturer of a custom engraved hammers. For the year...

. Variance Analysis

Sourpatch company is a manufacturer of a custom engraved hammers. For the year 2021, the weekly budget was as follows.

  • Sales revenue $64,000: 2,000 hammers × price $32
  • Variable costs:
    • Direct materials $10,000: 2,000 hammers ×1 lbs per hammer×price $5/lb
    • Direct labour $50,000: 2,000 hammers× 5 hour per hammer× rate $5/hour
    • no variable overhead
  • Fixed costs: $3,000
  • Profit: $1,000

The actual performance of the week was as follows.

  • Sales revenue $70,400: 2,200 hammers × price $32
  • Variable costs:
    • Direct materials $13,200: 2,200 hammers ×1 lbs per hammer×price $6/lb
    • Direct labour $46,200: 2,200 hammers× 3 hour per hammer× rate $7/hour
    • no variable overhead
  • Fixed costs: $8,000
  • Profit: $8,000

Required:

1) Compute the following variances

a) Spending and Volume Variances of Materials

b) Spending and Volume Variances of Labour

c) Spending and Volume Variances of Fixed Overhead

c) Materials Quantity Variance

d) Materials Price Variance

e) Labour Efficiency Variance

f) Labour Rate Variance

2) SourPatch company hired an experienced engineer and asked her to re-organize the production process. How could hiring an experienced engineer and their new production process explain the variances? Please comment on individual components of variances, their relations to other variances, and overall impact on profitability.

In: Accounting