XYZ Company recorded the following information related to their inventory
accounts for 2018:

                 January 1, 2018        December 31, 2018
Direct materials     10,000                   17,000
Work in process      11,000                      ?
Finished goods       16,000                    9,000

Additional information is as follows:

Direct materials purchased .......... $19,000
Direct labor ........................  15,000
Actual manufacturing overhead .......  16,000
Applied manufacturing overhead ......  14,000
Net income ..........................  20,000
S&A expenses ........................  30,000
Sales revenue .......................  90,000

Calculate the work in process inventory balance on December 31.

On January 1, 2020, the Maxell Company purchased P400,00 of 6% term bonds. The bonds are dated January 1, 2020, and the interest is payable semiannually on June 30 and December 31. At the time the bonds were purchased the market interest rate was 8%. The bonds mature on December 31, 2030. Maxell Company uses the effective interest method of amortization.

Instruction: Determine the following:

1. issue price of the bonds on January 1, 2020
2. total amount of interest revenue for 2020
3. book value of the investment in bonds on December 31, 2020

Accounting Systems and Information Assurance - ACCT20072 Page 8 of 8 Question 6 – Transaction cycle 5 marks Alpha Ltd has a reconciliation problem. The amount of cash receipted and banked by the cashier does not seem to agree with the amount allocated against open invoices in the accounts receivable customer records. Alpha Ltd seems to have good controls — it separates the receipting and recording of cash, and it regularly conducts a reconciliation. Required: What documentation should you examine within the revenue cycle in order to investigate this problem?

Until recently, hamburgers at the city’s sports arena cost $2.20 each. The food concessionaire sold an average of 9000 hamburgers on game night. When the price was raised to $2.90, the hamburger sales dropped off to an average 5500 sold per night.

a. Assuming a linear demand curve, find the price of a hamburger that will maximize nightly hamburger revenue.

b. If the concessionaire had fixed costs of $1000 per night, and a variable cost of $0.70 per hambuger, find the price of a hamburger that will maximize the nightly profit.

Below is the income statement for Red Storm Cleaners for the year ended December 31, 2020. During 2020, dividends paid by Red Storm Cleaners were $1,100.  Write down the closing entries for Red Storm Cleaners.

19. Claude, a 50 percent shareholder in the Loget Corporation, dies. The remaining stock in the corporation is owned by Claude’s son, the sole beneficiary of Claude’s estate. More than one-half of the value of his adjusted gross estate consists of stock in the Longet Corporation. The attribution rules would cause Claude’s estate to have taxable dividend income in the event stock was redeemed to raise cash for payment of estate tax. Explain how code Sec 303 mitigates this situation.

Attach Internal Revenue Code Section

1. An individual taxpayer can deduct actual itemized deductions or the standard deduction, whichever is higher.

True

False

2. Generally, gifts and inheritances are taxable income to the recipient.

True

False

A taxpayer has no recourse and must accept an IRS tax assessment.

True

False

3. The return of capital principle prevents the cost of an investment made with after-tax dollars from being taxed.

True

False

4.The Internal Revenue Code is the highest tax law authority in the U.S.

True

False

In January 2010, Construction Corp. contracted to construct a building for $ 6,000,000. Construction started in early 2010 and was completed in 2011. The following additional information is available:

                                                                                                   2010                       2011

       Costs incurred............................................................. $ 2,430,000            $ 2,700,000

       Estimated costs to complete............................................. 2,600,000                         —

       Collections during the year.............................................. 2,400,000               3,600,000

         Billings for the year …………………………………………..     2,800,000                3,200,000

Used the percentage-of-completion method.

Instructions

Under the contract-based approach,

a)     How much revenue should be reported for 2010 and 2011?

b)    Prepare all journal entries for 2010 and 2011 for this contract.

Hello I have these questions, I would like not so long answers but something that gives me a good idea about the topic.

1. What is a perfectly competitive market?
2. Why are many agricultural products in a perfectly competitive market?
3. What is a price taker?
4. What are barriers to entry in a market?
5. What is a standardized product? Give an example
6. What is a company’s market share?
7. What is free entry and exit?
8. How do you calculate a company’s total revenues?
9. What is marginal revenue?
10. What is total profit?

3. The management of Alberta Eleven Company has received the following forecast for the next year.

Capacity is a sales volume of $800,000.

a) Compute the contribution margin and the contribution rate.

b) Compute the break-even point

(i) in dollars

(ii) as a percent of capacity.

c) Determine the break-even volume in dollars if fixed costs are increased by $40,000, while variable costs are held to 40% of sales.