On October 1, 2018, Jay Pryor established an interior decorating business, Pioneer Designs. During the month, Jay completed the following transactions related to the business:

Enter the following transactions on Page 2 of the two-column journal:

Required:

1. Journalize and insert the posting references for each transaction in a two-column journal beginning on Page 1, referring to the following chart of accounts in selecting the accounts to be debited and credited. For a compound transaction, if an amount box does not require an entry, leave it blank.

2. Post (in chronological order) the journal to a ledger of four-column accounts, inserting appropriate posting references in the general journal as each item is posted. Extend the balances to the appropriate balance columns after each transaction is posted. If an amount box does not require an entry, leave it blank.

3. Prepare an unadjusted trial balance for Intrex Designs as of October 31, 2018. List all accounts in the order of Assets, Liabilities, Stockholders’ equity, Revenues, and Expenses.For those boxes in which no entry is required, leave the box blank. The first two account titles are filled in as an example.

4. Determine the excess of revenues over expenses for October.
$

5. Why the amount determined in above might not be the net income for October?

Because the dividends are declared but not paid

Because the cash balance is incorrect.

Because the closing inventory balance is missing

Because necessary adjustment to expenses, like depreciation has not been made.

Use the following to answer the next three questions.

On 3/1/XX, you opened a short position in wheat futures contracts. Each contract has 5000 bushels of wheat attached, and each bushel traded at $4.30 at the time you opened your position. Your initial and maintenance margins per contract are $3325 and $2150, respectively.

If you shorted 6 futures contracts, how much did you have to place in your margin account on 3/1? Round intermediate steps to four decimals and your final answer to two decimals. Do not use currency symbols or words when entering your response.

Find your ending margin balance on 3/2 if wheat futures closed at $4.34/bushel that day.  Assume deficits are eliminated to keep the position open. Round intermediate steps to four decimals and your final answer to two decimals. Do not use currency symbols or words when entering your response.

Find your return on invested capital if you close your position on 3/3 when the futures price is $4.31/bushel.

1. You are in charge of scheduling shipment from the 4 regional warehouses to 4 customers. The unit shipment costs are as given below:

Each of the warehouses have a capacity of 2,500 units, and the demand levels at the four customers are as follows: 1,200 units at Customer 1; 800 units at Customer 2; 5,250 units at Customer 3; and 1,850 at Customer 4. Surely, your main objective is to figure out the shipment plan in order to minimize total transportation costs.

Formulate this problem as a linear program. By following the 4 steps, write out the linear model.

Raintree Cosmetic Company sells its products to customers on a credit basis. An adjusting entry for bad debt expense is recorded only at December 31, the company’s fiscal year-end. The 2020 balance sheet disclosed the following:

During 2021, credit sales were $1,840,000, cash collections from customers $1,920,000, and $57,000 in accounts receivable were written off. In addition, $4,800 was collected from a customer whose account was written off in 2020. An aging of accounts receivable at December 31, 2021, reveals the following:

Required:
1. Prepare summary journal entries to account for the 2021 write-offs and the collection of the receivable previously written off.
2. Prepare the year-end adjusting entry for bad debts according to each of the following situations:

1. Bad debt expense is estimated to be 4% of credit sales for the year.
2. Bad debt expense is estimated by adjusting the allowance for uncollectible accounts to the balance that reduces the carrying value of accounts receivable to the amount of cash expected to be collected. The allowance for uncollectible accounts is estimated to be 10% of the year-end balance in accounts receivable.
3. Bad debt expense is estimated by adjusting the allowance for uncollectible accounts to the balance that reduces the carrying value of accounts receivable to the amount of cash expected to be collected. The allowance for uncollectible accounts is determined by an aging of accounts receivable.

3. For situations (a)−(c) in requirement 2 above, what would be the net amount of accounts receivable reported in the 2021 balance sheet?

BBB Company specializes in computer manufacturing. BBB takes many orders from multiple customers per year. For 2019, BBB estimates total manufacturing overhead costs throughout the plant to amount to $900,000. The company anticipates that total direct labor hours worked for all jobs throughout the year will amount to 40,000 hours and also predicts that total machine hours will amount to 60,000 hours. The company uses direct labor hours as its allocation base. Make sure to show all work!!!!

1. Compute the pre-determined overhead rate:

2) Use your answer from Question #1 to solve this question. During the year, BBB has worked on two jobs, which are listed as follows:

                                                            Job 101                                               Job 102

Actual DM Cost                                   $33,000                                                           $47,500

Actual DL Cost                                    $16,700                                                           $22,550

Actual Direct Labor Hours                   1,200                                                   1,900

Actual Machine Hours                            660                                                      426

Units Produced                                         40                                                        50

1. Apply overhead to Jobs 101 and 102.

2. Compute total manufacturing costs for Jobs 101 and 102.

c) Compute unit cost for Jobs 101 and 102.

Elegant Dogs and Dazzling Dogs are competing canine grooming salons. Each company currently serves 4,500 customers per year. Both companies charge $35 to groom a dog. Elegant Dogs pays its dog groomers fixed salaries. Salary expense totals $45,000 per year. Dazzling Dogs pays its groomers $10 per dog groomed. Elegant Dogs lures 2,000 customers from Dazzling Dogs. Which of the following is true?

Multiple Choice Profits at both companies will decrease:

Dazzling Dogs will suffer a net loss.

Elegant Dogs' profits will increase by more than Dazzling Dogs' profits will decrease.

Dazzling Dogs' profits will decrease by more than Elegant Dogs' profits will increase.

Acme Materials Company manufactures and sells synthetic coatings that can withstand high temperatures. Its primary customers are aviation manufacturers and maintenance companies. The following table contains financial information pertaining to cost of quality (COQ) in 2019 and 2020 (in thousands of dollars):

Required:

1. Classify the cost items in the table into cost-of-quality (COQ) categories.

2. Calculate the ratio of each COQ category to revenues in each of the 2 years.

3. Calculate the percentage change in each COQ category and total COQ and comment on the results:

a. Percentage change in total COQ as a percentage of sales, from 2019 to 2020;

b. Total COQ in 2020 expressed as a percentage of 2019 sales dollars;

c. Percentage change in total prevention costs, 2019 to 2020;

d. Percentage change in total appraisal costs, 2019 to 2020;

e. Percentage change in total internal failure costs, 2019 to 2020;

f. Percentage change in total external failure costs, 2019 to 2020.

Acme Materials Company manufactures and sells synthetic coatings that can withstand high temperatures. Its primary customers are aviation manufacturers and maintenance companies. The following table contains financial information pertaining to cost of quality (COQ) in 2019 and 2020 (in thousands of dollars):

Required:

1. Classify the cost items in the table into cost-of-quality (COQ) categories.

2. Calculate the ratio of each COQ category to revenues in each of the 2 years.

Classify the cost items in the table into cost-of-quality (COQ) categories. Calculate the ratio of each COQ category to revenues in each of the 2 years. (Enter amounts in thousands, not in whole dollar. Round your "Percentage" answers to 2 decimal places.)

JKL Company uses the perpetual inventory method and sells to its customers under 2/10/ net 30 terms.

What entry would JKL Company make if it sold 100 widgets to Customer Company for $10,000 that it had in inventory at a cost of $6,000 on October 1.

What entry would JKL make on October 4 if Customer Company returned 10 widgets for credit because they were damaged in shipment?

What entry would JKL make if Customer Company paid for the remaining 90 widgets on October 9?

What is the net sales amount on this transaction?

What entry would JKL make if it discovered after the performance of a physical inventory on October 31 that the count sheets indicated that the perpetual record was overstated by $200?