From the following information, decide how many segments would be reported to satisfy the appropriate tests of segmented reporting:

REVENUE TEST-

OPERATING PROFIT/LOSS-

SEGMENT ASSETS-

REPORTABLE SEGMENTS-

Does the above selected assets meet eh 75% test?

White Mountain Packaging is considering a project that would last for 2 years. The project would involve an initial investment of 195,000 dollars for new equipment that would be sold for an expected price of 168,000 dollars at the end of the project in 2 years. The equipment would be depreciated to 27,000 dollars over 7 years using straight-line depreciation. In years 1 and 2, relevant annual revenue for the project is expected to be 170,000 dollars per year and relevant annual costs for the project are expected to be 47,000 dollars per year. The tax rate is 50 percent and the cost of capital for the project is 6.34 percent. What is the net present value of the project?

Company is in the process of preparing its budget for next year. Cost of goods sold has been estimated at 60 percent of sales. Merchandise purchases are to be made during the month preceding the month of the sales. Button pays 60 percent in the month of purchase and 40 percent in the month following. Wages are estimated at 20 percent of sales and are paid during the month of sale. Other operating costs amounting to 10 percent of sales are to be paid in the month following the sale.

Month Sales Revenue

December $170,000

January 250,000

February 120,000

March 200,000

April 160,000

Prepare a schedule of cash disbursements for January, February, and March

Millstone Company produces only one product. Normal capacity is 20,000 units per year, and the unit sales price is $5. Relevant costs are: Unit Variable Cost Total Fixed Cost Materials $1.00 Direct labor 1.20 Factory Overhead 0.50 $15000 Marketing expenses 0.30 5000 Administrative expenses 6000

Required: Compute the following: (1) The break-even point in units of product

(2) The break-even point in dollars of sales

(3) The number of units of product that must be produced and sold to achieve a profit of $10,000

(4) The sales revenue required to achieve a profit of $10,000

The following information is available for Chenard Corporation for the year ended December 31, 2017.

Beginning cash balance $35,000

Accounts payable decrease 3,200

Depreciation expense 76,000

Accounts receivable increase 8,200

Inventory increase 13,000

Net income 269,100

Cash received for sale of land at book value 35,000

Sales revenue 747,000

Cash dividends paid 12,000

Income tax payable increase 4,700

Cash used to purchase building 144,000

Cash used to purchase treasury stock 32,000

Cash received from issuing bonds 206,000

Prepare a statement of cash flows using the indirect method.

Which one of the following bases of income and expense recognition is acceptable for Financial reporting under current GAAP?

A. Cash basis

B. Modified cash basis

C. Accrual basis

D. All of these

Under the cash basis, expenses are recognized when

A. They are paid by the entity

B. The costs expire or as assets are used

C. The revenue are recognized that the expenses helped to produce

D. Cash is received from revenues that the expenses helped to produce

Which of the following transactions will not be recognized in cash basis accounting?

A. Unsold inventory at the end of the period

B. Collection of account sales

C. Payment of utilities

D. Purchase of equity shares in Dogs Corporation

The company sells an industrial line of products that are all subject to a 3-year warranty. Prior experience has resulted in an average warranty cost of 3% of revenue for its products. The company had an accrued warranty liability of $500,000 at December 2018. During January of 2019, product sales were $6 million, and the actual warranty costs incurred were $145,000.

a. Prepare journal entries to record product sales (assume all credit sales), the warranty accrual, and actual warranty costs incurred in January of 2019.

b. Show a T-account with for the transactions in the Estimated Warranty Liability account for January, with the correct ending balance for this liability.

Assuming that Marin Inc. uses the conventional retail inventory method, compute the cost of its ending inventory at December 31, 2021. (Round ratios for computational purposes to 0 decimal places, e.g 78% and final answer to 0 decimal places, e.g. 28,987.)