Questions
You have just been hired as a new management trainee by Earrings Unlimited, a distributor of...

You have just been hired as a new management trainee by Earrings Unlimited, a distributor of earrings to various retail outlets located in shopping malls across the country. In the past, the company has done very little in the way of budgeting and at certain times of the year has experienced a shortage of cash.

     Since you are well trained in budgeting, you have decided to prepare comprehensive budgets for the upcoming second quarter in order to show management the benefits that can be gained from an integrated budgeting program. To this end, you have worked with accounting and other areas to gather the information assembled below.

     The company sells many styles of earrings, but all are sold for the same price—$11 per pair. Actual sales of earrings for the last three months and budgeted sales for the next six months follow (in pairs of earrings):

  January (actual) 20,200   June (budget) 50,200
  February (actual) 26,200   July (budget) 30,200
  March (actual) 40,200   August (budget) 28,200
  April (budget) 65,200   September (budget) 25,200
  May (budget) 100,200

The concentration of sales before and during May is due to Mother’s Day. Sufficient inventory should be on hand at the end of each month to supply 40% of the earrings sold in the following month.

     Suppliers are paid $4.1 for a pair of earrings. One-half of a month’s purchases is paid for in the month of purchase; the other half is paid for in the following month. All sales are on credit, with no discount, and payable within 15 days. The company has found, however, that only 20% of a month’s sales are collected in the month of sale. An additional 70% is collected in the following month, and the remaining 10% is collected in the second month following sale. Bad debts have been negligible.

    Monthly operating expenses for the company are given below:
  Variable:
     Sales commissions 4% of sales
  Fixed:
     Advertising $ 210,000
     Rent $ 19,000
     Salaries $ 108,000
     Utilities $ 7,500
     Insurance $ 3,100
     Depreciation $ 15,000  
Insurance is paid on an annual basis, in November of each year.

     The company plans to purchase $16,500 in new equipment during May and $41,000 in new equipment during June; both purchases will be for cash. The company declares dividends of $15,750 each quarter, payable in the first month of the following quarter.

     A listing of the company’s ledger accounts as of March 31 is given below:
Assets
  Cash $ 75,000
  Accounts receivable ($28,820 February sales;    $353,760 March sales) 382,580
  Inventory 106,928
  Prepaid insurance 21,500
  Property and equipment (net) 960,000
  Total assets $ 1,546,008
Liabilities and Stockholders’ Equity
  Accounts payable $ 101,000
  Dividends payable 15,750
  Common stock 820,000
  Retained earnings 609,258
  Total liabilities and stockholders’ equity $ 1,546,008

     The company maintains a minimum cash balance of $51,000. All borrowing is done at the beginning of a month; any repayments are made at the end of a month.

     The company has an agreement with a bank that allows the company to borrow in increments of $1,000 at the beginning of each month. The interest rate on these loans is 1% per month and for simplicity we will assume that interest is not compounded. At the end of the quarter, the company would pay the bank all of the accumulated interest on the loan and as much of the loan as possible (in increments of $1,000), while still retaining at least $51,000 in cash.

b.

A schedule of expected cash collections from sales, by month and in total.

               

Earrings Unlimited

Schedule of Expected Cash Collections

April

May

June

Quarter

February sales

$0

March sales

0

April sales

0

May sales

0

June sales

0

Total cash collections

$0

$0

$0

$0

c.

A merchandise purchases budget in units and in dollars. Show the budget by month and in total. (Round "Unit cost" answers to 2 decimal places.)

               

Earrings Unlimited

Merchandise Purchases Budget

April

May

June

Quater

Budgeted unit sales

0

Total needs

0

0

0

0

Required purchases

0

0

0

0

Unit cost

Required dollar purchases

$0

$0

$0

$0

d.

A schedule of expected cash disbursements for merchandise purchases, by month and in total.

               

In: Accounting

A. Imagine that your lab group (which may or may not be taking physics in an...

A. Imagine that your lab group (which may or may not be taking physics in an alternate reality) creates a string with screws at positions 1m, 2m, 3m, 4m, and 5m. You drop this string from a height of 5m, just as the lab instructions tell you to do, and you notice that the time intervals between screws hitting the cookie sheet get larger with each screw. The first two impacts are close together, then a little farther apart, then farther, and farther. Assume that all your measurements and observations are more or less accurate and that you performed your drop correctly. What would you conclude from your data about the behavior of objects in free fall?

B. Now imagine that you are living in a world where free-falling objects have an upwards jerk (i.e. a negative jerk if down is positive). In other words, they accelerate downwards, but the downwards acceleration gets smaller and smaller with each beat.

i. Design a pattern of bolt positions that might produce a steady rhythm in this imaginary world. Think hard. This is hard. BIG Hint: to do this, you will have to pick some arbitrary, large downwards acceleration to start out with, and some small constant upwards jerk (amount the acceleration shrinks by for each beat). But remember: jerk is a change in acceleration, not a change in velocity! Show ALL work relating to your pattern.

ii. Draw both a position and a displacement diagram for your pattern.

iii. Using math, words, & diagrams (as necessary), explain why your pattern should produce a steady rhythm in the imaginary world where free-fall acceleration is downward but jerk is upward: i.e. justify your solution.

In: Physics

1. The Toronto Diner, opened as a sole proprietorship by Felix Fudd, recorded the following transactions...

1. The Toronto Diner, opened as a sole proprietorship by Felix Fudd, recorded the following transactions during its initial mon of operations:

a. Rented facilities for $3,000 per month and paid the lessor $9,000 for the first three months

. b. Purchased equipment costing $30,000 on the first of the month. The diner put 20 percent down and borrowed the remainder from Second Bank. (Equipment will be depreciated over sixty months using the straight-line method. Assume a $3,000 salvage value.)

c. Sold 1,800 meals during the month at an average sales price of $15. Twenty percent of the meals were sold on account, while the remainder were cash sales. None of the charges were collected by the end of the month.

d. Cost of food sold percentage is 30%. Food purchases totaled $10,000 during the first month, of which 60 % were paid for during the month.

e. Paid labor costs of 30 % of sales during the month.

f. Paid all other expenses, which totaled $6,000 with cash. g. Felix opened the business on the first of the month by investing $50,000 h. Felix’s tax rate is 30%. Taxes will be paid subsequent to the first month. Determine the net income for the first month of business by filling in the correct amounts below using the information above. Revenue Net sales Expenses Cost of Goods Sold Wages expense Rent Expense Depreciation Expense Other expenses Income before income taxes Income tax expense Net Income 2. Determine the total sources and use of cash for the first month by filling in the correct amounts below using the information from question 7. Cash sources and uses: Paid rent for next 3 months Down payment for equipment Cash sales Food purchases Labor Other expenses Felix equity

In: Accounting

You have been called in as a consultant for Palo, Inc a manufacturer of shower radios....

You have been called in as a consultant for Palo, Inc a manufacturer of shower radios. Although Palo's management is very happy they reported $2,478 more in net operating income for the month than expected, they want to know why net operating income is higher especially since demand for the radios dropped. Information regarding the most recent month follows:

budget

actual

Units

11000

10500

Sales

$ 440000

$ 430500

Variable expenses

Variable cost of goods sold

$ 352000

339297

Variable selling expenses

$ 33000

34125

Total expenses

$ 385000

373422

Contribution margin

$ 55000

57078

Fixed expenses

Fixed Cost of goods sold

$30000

29400

Fixed Cost of goods sold

$12000

12200

Total Fixed cost

$42000

41600

Net Operating Incom

$13000

15478

Standard Information:

Particulars

Quantity

Price/Rate

Standard Cost

Direct Materials

2.0 Pounds

$5 per pound

$10

Direct Labor

1.5 Hours

$14 per hour

$21

Variable manafacturing overhead

0.50 Machine Hours

$2 per MH

$1

Total Standard Cost

$32.00

Actual Information:

Actual quantity of materials used and purchased is 23,100 pounds.

Actual amount spent on direct materials is $117,117

Average rate paid for direct labor for the month was $14.40 per hour

The only variance in variable manufacturing overhead was due to activity level.

Required:  

Prepare a memo, in good form, to Palo's management explaining why actual net income was higher than budget. Also make a recommendation as to what items they might want to investigate using a 5% variance from the flexible budget as your guide.    Keep these things in mind when preparing your memo:

1) You should provide specific evidence to support your explanation.

2) Explanations should lead with the item having the most significant impact.

3) Your memo should be prepared in good form. Remember to use the guidelines provided from the previous memo assignment.

4) You need to include a visual( a graph) to help communicate your explanation and/or recommendation.

Keep in mind that Palo's Management are not accountants but possess general business knowledge(explain in layman's terms).

this is all the data/info/details that are given; which is why I am seeking help lol.

In: Accounting

Question 20 At 12/31/20, the end of Sunland Company's first year of business, inventory was $7,100...

Question 20

At 12/31/20, the end of Sunland Company's first year of business, inventory was $7,100 and $4,850 at cost and at market, respectively.

Following is data relative to the 12/31/21 inventory of Jenner:
Item Original Cost
Per Unit
Replacement
Cost
A $0.80 $0.45
B 0.55 0.50
C 0.75 0.80
D 0.85 0.75
E 0.85 0.80

Selling price is $1.00/unit for all items. Disposal costs amount to 10% of selling price and a "normal" profit is 30% of selling price. There are 1,300 units of each item in the 12/31/21 inventory.
Prepare the entry at 12/31/20 necessary to implement the lower-of-cost-or-market procedure assuming Sunland uses a contra account for its balance sheet. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

Date

Account Titles and Explanation

Debit

Credit

12/31/20

    Cost of Goods Sold    Profit Due to Market Decline of Inventory    Loss Due to Decline of Inventory to Market    Recovery Due to Market Incline of Inventory    Allowance to Reduce Inventory to Market    

    Loss Due to Decline of Inventory to Market    Cost of Goods Sold    Profit Due to Market Decline of Inventory    Recovery Due to Market Incline of Inventory    Allowance to Reduce Inventory to Market    

Complete the last three columns in the 12/31/21 schedule below based upon the lower-of-cost-or-market rules.
Item Original Cost
Per Unit
Replacement
Cost
Net Realizable
Value
Net Realizable Value
Less Normal Profit
Appropriate Inventory
Value
A $0.80 $0.45 $ $ $
B 0.55 0.50
C 0.75 0.80
D 0.85 0.75
E 0.85 0.80
$ $
Prepare the entries necessary at 12/31/21 based on the data above. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

Date

Account Titles and Explanation

Debit

Credit

12/31/21

    Cost of Goods Sold    Allowance to Reduce Inventory to Market    Loss Due to Decline of Inventory to Market    Recovery Due to Market Incline of Inventory    Profit Due to Market Decline of Inventory    

    Cost of Goods Sold    Allowance to Reduce Inventory to Market    Loss Due to Decline of Inventory to Market    Profit Due to Market Decline of Inventory    Recovery Due to Market Incline of Inventory    

(To record cost of goods sold)

12/31/21

    Recovery Due to Market Incline of Inventory    Allowance to Reduce Inventory to Market    Cost of Goods Sold    Profit Due to Market Decline of Inventory    Loss Due to Decline of Inventory to Market    

    Recovery Due to Market Incline of Inventory    Loss Due to Decline of Inventory to Market    Cost of Goods Sold    Allowance to Reduce Inventory to Market    Profit Due to Market Decline of Inventory    

(To record profit/ loss)
How are inventory losses disclosed on the income statement?
Inventory losses can be disclosed separately below

gross profit in administration expensesgross profit in operating expensesgross profit in selling expenses

or they can be shown as part of

cost of goods soldcost of goods manufacturedcost of goods available for sale

.

In: Accounting

At 12/31/20, the end of Wildhorse Company's first year of business, inventory was $6,500 and $5,100...

At 12/31/20, the end of Wildhorse Company's first year of business, inventory was $6,500 and $5,100 at cost and at market, respectively.

Following is data relative to the 12/31/21 inventory of Jenner:
Item Original Cost
Per Unit
Replacement
Cost
A $0.85 $0.35
B 0.40 0.35
C 0.65 0.70
D 0.80 0.70
E 0.70 0.65

Selling price is $1.00/unit for all items. Disposal costs amount to 10% of selling price and a "normal" profit is 30% of selling price. There are 1,500 units of each item in the 12/31/21 inventory.
Prepare the entry at 12/31/20 necessary to implement the lower-of-cost-or-market procedure assuming Wildhorse uses a contra account for its balance sheet. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

Date

Account Titles and Explanation

Debit

Credit

12/31/20

    Loss Due to Decline of Inventory to Market    Recovery Due to Market Incline of Inventory    Profit Due to Market Decline of Inventory    Allowance to Reduce Inventory to Market    Cost of Goods Sold    

    Profit Due to Market Decline of Inventory    Cost of Goods Sold    Allowance to Reduce Inventory to Market    Recovery Due to Market Incline of Inventory    Loss Due to Decline of Inventory to Market    

Complete the last three columns in the 12/31/21 schedule below based upon the lower-of-cost-or-market rules.
Item Original Cost
Per Unit
Replacement
Cost
Net Realizable
Value
Net Realizable Value
Less Normal Profit
Appropriate Inventory
Value
A $0.85 $0.35 $ $ $
B 0.40 0.35
C 0.65 0.70
D 0.80 0.70
E 0.70 0.65
$ $
Prepare the entries necessary at 12/31/21 based on the data above. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

Date

Account Titles and Explanation

Debit

Credit

12/31/21

    Recovery Due to Market Incline of Inventory    Allowance to Reduce Inventory to Market    Cost of Goods Sold    Loss Due to Decline of Inventory to Market    Profit Due to Market Decline of Inventory    

    Loss Due to Decline of Inventory to Market    Profit Due to Market Decline of Inventory    Recovery Due to Market Incline of Inventory    Allowance to Reduce Inventory to Market    Cost of Goods Sold    

(To record cost of goods sold)

12/31/21

    Profit Due to Market Decline of Inventory    Cost of Goods Sold    Recovery Due to Market Incline of Inventory    Allowance to Reduce Inventory to Market    Loss Due to Decline of Inventory to Market    

    Loss Due to Decline of Inventory to Market    Profit Due to Market Decline of Inventory    Recovery Due to Market Incline of Inventory    Allowance to Reduce Inventory to Market    Cost of Goods Sold    

(To record profit/ loss)
How are inventory losses disclosed on the income statement?
Inventory losses can be disclosed separately below

gross profit in administration expensesgross profit in selling expensesgross profit in operating expenses

or they can be shown as part of

cost of goods soldcost of goods available for salecost of goods manufactured

.
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In: Accounting

1 of 20 Which of the following is the most accurate statement concerning charge? a Charge...

1 of 20

Which of the following is the most accurate statement concerning charge?

a Charge is one of the seven fundamental dimensions found in nature.
b Charge is a derived dimension (current • time), with SI units of Coulombs.
c Charge is a derived dimension (current • time), with SI units of amperes.
d Charge is a fundamental quantity found in all elementary particles such as protons, electrons, and neutrons.
e The electrical force between two charges is directly proportional to the distance between the two charges.

Question

2 of 20

Which of the following is the most accurate statement concerning electrical force?

a Electrical force is a derived dimension, with SI units of Newton/meter.
b In most cases, the electrical force between two particles is roughly equivalent to the gravitational force between the particles, but opposite in direction.
c Electrical force is one of the seven fundamental dimensions, with SI units of Newton.
d Electrical force obeys the inverse square law.
e Like the gravitational force, the electrical force is always attractive, never repulsive.

Question

3 of 20

Which of the following is the most accurate statement concerning the first law of thermodynamics?

a The first law of thermodynamics describes the relationship between systems in thermal equilibrium.
b The first law of thermodynamics describes the relationship between heat, work, and internal energy in a thermodynamic system.
c The first law of thermodynamics describes the conservation of energy in an open thermodynamic system.
d The first law of thermodynamics describes the conservation of energy in a closed thermodynamic system.
e More than one of given statements are accurate.

Question

4 of 20

What is the most accurate statement concerning the second law of thermodynamics?

a The Carnot cycle involves an isothermal expansion followed by an isobaric compression. The efficiency of this partial cycle is normally about 96%.
b The second law of thermodynamics requires heat to flow spontaneously from a cooler object to a warmer object. This is the basis for a refrigerator.
c A closed thermodynamic system absorbs heat at a high temperature and then converts the heat absorbed into useful work at a lower temperature.
d An isothermal process requires the temperature and pressure in a closed thermodynamic system to remain constant.
e No cyclic thermodynamic process can convert heat completely into mechanical work.

Question

5 of 20

What is the most accurate statement concerning the relationship between entropy and the second law of thermodynamics?

a Entropy provides a quantitative measure of the disorder of a system.
b Entropy is equal to the ratio of the heat added to a system and the absolute temperature of the system.
c Like energy, entropy is required to be conserved in both reversible and irreversible thermodynamic processes.
d More than one of these statements (a, b or c) are accurate.
e None of the statements (a, b or c) is accurate.

Question

6 of 20

If you run a Carnot heat engine in reverse, which of the following statements must be true?

a Heat enters the gas at the cold reservoir and goes out of the gas at the hot reservoir.
b The amount of heat transferred at the hot reservoir is equal to the amount of heat transferred at the cold reservoir.
c The engine is able to perform a net amount of useful work, such as pumping water from a well, during each cycle.
d The engine can transfer heat from a cold object to a hot object.
e More than one of the above statements are true.

Question

7 of 20

What is the most accurate statement concerning Gauss's law?

a Gauss's law provides a quantitative relationship between the electric field established and the quantity of charge present when two point charges form a dipole.
b Gauss's law provides a quantitative relationship between the scalar nature of electric force and the vector nature of electric flux.
c Gauss's law provides a quantitative relationship between electric charge and the electric field associated with the electric charges enclosed on the surface of a three-dimensional object like a sphere.
d Gauss's law uses superposition to estimate the scalar difference between lines of electric flux entering or leaving a closed two-dimensional surface.
e More than one of the statements (a, b, c or d) are accurate.

Question

8 of 20

If the electric field is "E" at a distance "d" from a point charge, its magnitude will be 2E at a distance______

a d/4.
b d/2.
c d/?2.
d d ? 2.
e 2d.

Question

9 of 20

Two protons close to each other are released from rest and are completely free to move. After being released, which statement(s) is/are accurate?

a Their speeds gradually decrease to zero as they move apart.
b Their speeds gradually increase as they move apart.
c Their accelerations gradually increase as they move apart.
d Their accelerations gradually decrease to zero as they move apart.
e More than one of the statements (a, b, c or d) are accurate.

In: Physics

Which of the following statements about the Information Age is true? As the world civilizations were...

Which of the following statements about the Information Age is true?

As the world civilizations were sequentially moving through the Stone, Agricultural, Industrial and Informational ages, the average life expectancy has been slowly but steadily increasing.

Improvements in the quality of goods and services in the informational age are not easily captured by the common measures of nations' economic output, such as GDP.

Modern economists predict that somewhere around the year 2100 most countries in the word will attain the status of a developed country, with population growth rates in such countries stabilizing around 6%.

During the Information Age, the Malthusian Hypothesis still dominates thinking on population trends.

The examples of sharp declines in life expectancy and negative population growth rates can now be found only in the history of civilizations, not in the Information Age any more.

In: Economics

Consider three markets—rum, sugarcane, and whiskey. Suppose that all three markets are initially at equilibrium. A...

Consider three markets—rum, sugarcane, and whiskey. Suppose that all three markets are initially at equilibrium. A drought destroys much of the world sugar cane crop. Sugarcane is a main ingredient in rum, but sugarcane is not an ingredient in whiskey.

a. Use graphs to analyze the effect of the drought on the markets for each of the three goods. In other words, what will happen to prices and quantities in the markets for sugarcane, the market for rum, and the market for whiskey?

b. What happens to revenues for sugarcane growers, rum producers and whiskey producers? How do supply and demand elasticities affect your answer to this question?

c. Based on your analysis, compare the impacts of this drought on consumers, sugar cane producers, rum producers, and whiskey producers. Who is impacted the most by the drought? (Consider prices, quantities, and any possible offsetting responses by the affected parties.)

In: Economics

Answer the following for APPLE INC Income Statement Did its revenue (or sales) increase or decrease...

Answer the following for APPLE INC

Income Statement

Did its revenue (or sales) increase or decrease over the last year?

Describe the company's revenue recognition policy.  

Did its cost of goods sold increase or decrease over the last year?

Did its net income increase or decrease over the last year? By how much?

Balance Sheet

Did its total assets increase or decrease over the last year?

Cash Flow Statement

Did the company have a cash inflow or outflow from operating activities? What two major item(s) reported in operating activities caused the major inflow and the major outflow?

Was there total inflow or outflow of cash, what did this most relate to (Investing, Financing or Operating)?

In: Accounting