• debit to Allowance for Doubtful Accounts for $3,300. Multiple Choice Question 182 The financial statements of the Melton Manufacturing Company reports net sales of $300,000 and accounts receivable of $50,000 and $30,000 at the beginning of the year and end of year, respectively. What is the average collection period for accounts receivable in days? • 60.8 • 96.1 • 36.5 • 48.7 Find the final exam answers here ACC 291 Final Exam Answers Multiple Choice Question 119 Stine Company purchased machinery with a list price of $64,000. They were given a 10% discount by the manufacturer.
(five points) Question 2: Determine the total costs of direct materials for August purchases. (five points) Problem 2 - Russell Company has the following projected account balances for June 30, 20X2: Accounts payable | $40,000 | Sales | $800,000 | Accounts receivable | 100,000 | Capital stock | 400,000 | Depreciation, factory | 24,000 | Retained earnings | ? | Inventories (5/31 & 6/30) | 180,000 | Cash | 56,000 | Direct materials used | 200,000 | Equipment, net | 240,000 | Office salaries | 80,000 | Buildings, net | 400,000 | Insurance, factory | 4,000 | Utilities, factory | 16,000 | Plant wages | 140,000 | Selling expenses | 60,000 | Bonds payable | 160,000 | Maintenance, factory | 28,000 | Question 1: Calculate the budgeted net income for June 20X2. (five points) Question 2: Calculate the budgeted total assets as of June 30, 20X2. (five points) Problem 3 - Tylon's Hardware uses a flexible budget to develop planning information for its warehouse operations.
C. If Springfield raises its average passenger fare to $190, it is estimated that the average load factor will decrease to 60 percent. What will be the monthly break-even point in number of passenger cars? Contribution margin cost would be 190-70=120 per passenger. 90 seats with 60% load factor would be 54 seats. 3,150,000 fixed cost/120 margin cost per passenger=26,250 passengers 26,250/54 seats=486 passenger cars.
b. Revising the estimated life of equipment from 10 years to 8 years. c. Not writing off obsolete inventory. d. Reducing research and development expenditures. 2. Prophet Corporation has an extraordinary loss of $200,000, an unusual gain of $140,000, and a tax rate of 40%.
(b) Now, suppose that at the end of the ﬁrst year, the project can be dismantled and sold for $1.4 million. At what level of sales would it make sense to abandon the project? (c) Suppose that sales turn out to be either 5000 units or 9000 units per year, each with probability 50%. The true scenario is discovered at the end of the ﬁrst year. Taking the option to abandon into account, what is the project’s NPV?
Another alternative being considered is paying the store manager a 50 cent commission on each shoe sold in excess of the break-even point. Being that 2,500 shoes were sold in excess of the 12, 500 shoes needed to break-even, the operating income has increased and is now approximately $40,000. Lastly, eliminating sales commissions entirely in the shops and increasing fixed salaries by $31,500 annually will make the break-even point for units sold 11, 000 and dollar sales
1. A company would like to purchase a small technology firm for $5,000,000. The net cash flows from the small technology firm would be $2,000,000 per year in Years 1 & 2, then $1,000,000 per year in Years 3 through 5. After 5 years the patent of the small technology firm is estimated to be obsolete and the small-technology would not generate any net cash flows after Year 5. Should the company purchase the small technology firm?
ACCT 3001 Job Order Costing The December 31, 2009, balance sheet of Danko Corp. is presented below: Danko Corp. Balance sheet December 31, 2009 Cash $12,000 Accounts Payable $5,000 Building & Equip. 20,000 Common Stock 10,000 Accum. Deprec. (4,000) Retained Earnings 13,000 $28,000 $28,000 During 2010, the following events occurred: 1. Danko purchased, on account, raw materials for $1,600, and used $1,300 in production.
1. Your savings of $200,000 is earning 8% interest. A. If retirement is scheduled in 15 years and inflation is expected to average 5% annually during that period, will you have accumulated the $300,000 in purchasing power that you deem necessary? If not, by how much will you be short?
Revenue will decreased by $2,000 (7000*6 – 8000*5) e. Beatrice has calculated the fixed costs for the Deli are $14,000 per month and each meal costs $2.50. Will profits go up or down as a result of the price cut? By How much? The contribution margin at $6 = 6-2.5*7000 = 24500 And the CM at $5 = 5-2.5*8000 = 20000 The profit will go down by 24500-20000 = $4500 2. Warren suggests that there wasn’t enough time in the experiment.