The combined cash budget helps managers determine whether or not the company requires financing (borrowing) in a given month
Q: Mr. A wants to borrow funds from B. The risk-free rate is 6% and current inflation is 2%. It is…
A: ANSWER:- a.) Risk free rate=0.07 or 7% b.) New nominal risk free rate =1.04% c.) Interest rate for…
Q: tax
A: The income tax act lays down rules for computing tax and what’s included and what’s excluded from…
Q: Required: 1. Prepare the Production Department’s planning budget for the month. 2. Prepare the…
A: 1. Flexible Budget: Flexible budget is a budget that adjusts or flexes with changes in volume or…
Q: es' income statement for the year endir
A: Answer : Interest paid = $200,000 * 7.5% = $15,000 Discount on bonds payable = $200,000 * (100%-97%)…
Q: Jose Sanchez is assisting to prepare financial statements for Kramerica Publishing, a company that…
A: Gross margin is revenue less the cost of goods sold. Under the direct-write-off method,…
Q: Bostonian Company provided the following information related to its defined benefit pension plan for…
A: Introduction Earnings, liabilities, returns, and deficits which have not yet been recognized were…
Q: 1. What is the actual (direct labor) wage rate per hour paid last month? 2. What is the direct labor…
A: Variance analysis involves the analysis of deviations of the actual costs with the standard cost or…
Q: On January 1, 2022, Crane Corp. purchased equipment for $64000. It was expected to last 5 years,…
A: A double-declining balance method is a form of an accelerated depreciation method in which the asset…
Q: in detail the budgetary process in Trinidad.
A: Costing- Any method of tying a cost to a business component is called costing. Costing is frequently…
Q: Jan 6 Jan 14 Jan 22 Feb 23 Jan 15 Jan 19 Jan 25 $19,582 $10,631 $7,526 $6,312
A: Balance in finished goods inventory account are those units that are completed but are unsold during…
Q: Parent Inc. purchased 60,000 of the outstanding (specified below) voting shares of Sub, for $625,000…
A: Parent Inc purchased 60,000 shares out of 78,000 shares. 60,000 shares = $625,000 purchase price per…
Q: What single a C rate of discount would be equivalent to a series of 15% %/18% %/12%%? 26.75% 42.69%…
A: Formula used here will be :- Equivalent discount of a and b = a + b - (ab/100)
Q: During the year to 31 December 2019, a customer started legal proceedings against TCI Food company,…
A: IAS 37 deals with provisions and contingent liabilities. IAS 37 has laid out some provision…
Q: ennifer James is a sole trader who operates as Jenny Construction Supplies, a construction supplies…
A: Net Sales The calculation method for net sales involves adding up the gross sales that are incurred…
Q: gnment 1 i Date January 1 February 10 March 13 March 15 August 21 September 5 September 10 Montoure…
A: Number of units available for sale is the combination of beginning inventory and number of units…
Q: Benson Company purchased land and paid the full purchase price in cash. Which of the following would…
A: Ans. Journal entry is a chronological recording of transactions. Journal entry is recorded from…
Q: Sheffield Accountant CPAS, LLC is a service firm and applies overhead based upon direct labor cost.…
A: If the actual overhead is more than the overhead applied, then the overhead is underapplied.…
Q: The Bedding Division of Homestore Corporation had sales of $9,000,000 and operating income of…
A: Given, Sales= $9,000,000 Operating Income =$1,620,000 Total Assets =$2,500,000 Current Liabilities…
Q: The following data were taken from the financial records of Glum Corporation for 20X1: Sales Bond…
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: ter the potential retirement income benefit. efined Contribution Pension Plan (DCPP) egistered…
A: Defined Pension Plan - An employer-promised defined/predetermined pension payment plan is referred…
Q: Weighted average cost method with perpetual inventory The beginning inventory at Midnight Supplies…
A: In the weighted average perpetual inventory system, purchases and sales are dealt with in…
Q: BGJ Corporation had no short-term investments prior to this year. It had the following transactions…
A: Journal entry is the process of recording transactions in the books of the company. The transactions…
Q: Edward Food Processing Company is a wholesale distributor of biscuits in Holborn. The Company has…
A: The question is asking about the determination of the volume of the sales the company must achieve…
Q: The following balance sheet information is provided for Santana Company for Year 2: Assets Cash…
A: Debt equity ratio Total debt / total equity The total debt includes Accounts payable Salary payable…
Q: On January 1, 2022, Nader Corp. purchased timberlands for $1,000,000 cash. Under the terms of the…
A: A legal obligation that is associated with the retirement of a tangible, long-lived asset is…
Q: (b) State what is meant by the term 'variance analysis'.
A: MEANING OF VARIANCE ANALYSIS
Q: Burrell Company purchased a machine for $36,000 on January 2, 2019. The machine has an estimated…
A: Straight line depriciation method is a depriciation method in which same amount of depriciation on…
Q: ear bonds paying a yield of 12 percent. Mr. Erlander called Joanne, a financial analyst, for…
A: Corporate Bonds - Corporate bonds are obligations that corporation's issue to both public and…
Q: Caribbean Hotel Services (CHS) is a small company specialising in services to the hotel industry.…
A: Defined Benefit Plan Your culmination reward, or reward upon retirement, must be specified in a…
Q: Required: 1. Compute cost of goods available for sale and the number of units available for sale.…
A: LIFO is known as Last-in first-out in which method the inventory purchased last sold first. The main…
Q: he last-in, first-out inventory method is used to value most of International Paper’s U.S.…
A: Retained earnings shows that the company has accumulated its income over a period of time. It is…
Q: Abbott Company purchased $6,500 of merchandise inventory on account. Which of the following entries…
A: The correct answer is: (C) inventory Dr. $6,500 Accounts payable. Cr. $6,500 This is…
Q: The Bomb Pop Corporation sold ice cream equipment for $17,200. The equipment was originally…
A: Given, Cost = $38,000 Accumulated depreciation = $23,000 Sale value = $17,200 Book value = Cost -…
Q: orton Ltd manufactures a single product, which is sold for N$136 per unit. The standard variable…
A: Solution... variable cost per unit variable cost per unit Direct material 4 * $7.5 $…
Q: The statements of financial position for W Limited are as follows: 31 December Non-current assets…
A:
Q: Franklin Educational Services had budgeted its training service charge at $75 per hour. The company…
A: Variance arises when there is a difference between the actual results and the budgeted results. The…
Q: Forest Components makes aircraft parts. The following transactions occurred in July. Purchased…
A: Normal costing is used to derive the cost of a product. This approach applies actual direct costs to…
Q: ed At the end of its first year of operations, Prince Charming Corporation had a current liability…
A: Tax expense as per accounting is = Income tax payable - Deferred tax asset
Q: GL0701 (Algo) - Based on Problem 7-5A LO C2, C3, P4 The following selected transactions are from…
A: A journal entry is a form of accounting entry that is used to report a business transaction in a…
Q: Required: 1. Compute cost of goods available for sale and the number of units available for sale.…
A: Cost of goods available for sale is the total amount of units and costs of goods available for sale…
Q: Marigold Corp. acquires land for $100000 cash. Additional costs are as follows: Removal of shed…
A: Given Information: Acquiring price of land: $100000 Removal of shed: $430 Filling and grading: $3300…
Q: Discuss the financial statement disclosure requirements for all leases entered into by the lessee.
A: The obligations for transparency under a lease are quite stringent, and this applies to both the…
Q: Compute NOPAT Selected income statement information for 2018 is presented below for Home Depot Inc.…
A: Since you have posted a question with multiple sub-parts, we will do the first three sub-parts for…
Q: Prepare a statement showing the total overhead cost:- (i) for each production department and (ii)…
A: One of the effective and prevailing costing methods is ABC. It is a method of costing that is used…
Q: Garrison Company uses the retail method of inventory costing. It started the year with an inventory…
A: The company may use either the retail method or the cost method to value the inventory, Generally,…
Q: The standard costs and actual costs for factory overhead for the manufacture of 2,500 units of…
A: Fixed overhead production volume variance : Difference between the Budgeted fixed vactory overhead…
Q: The ordinance of TCI requires businesses to install smoking rooms to its factories by 30 December…
A: Provisions & Contingent Liability The sum that a business would logically pay to discharge a…
Q: Last month, Talley Corporation purchased and used the same quantity of material in producing its…
A: Variances are the difference between the standard set by the company and the company actually…
Q: Trial Balance as at 30 September 2021 Dr Cr $ $ Equity 2,300,000 Sales…
A: Introduction: As per accrual method of accounting, all income and expenses for the period are…
Q: Almond Treats manufactures various types of cereals that feature almonds. Acme Cereal Company has…
A: The computation of the cost of making is as follows; The formula snip is as follows; Hence the…
answer quick with explanation
Step by step
Solved in 2 steps
- QUESTION 1 Which of the following statements is false about cash budgets? O Cash receipts are calculated by adding up all the cash inflows in a given month O When calculating the cash budget the firm must consider many aspects such as, cash receipts, cash expenses, minimum desired cash balance, and previous loans. O Cash receipts include sales, investment income and interest expenses. All of the above are true QUESTION 2 Based on the data below calculate the company's combined cost? Annual requirements = 7500 units Ordering cost = BD 12 Holding cost BD 0.5 O125 300 45000 150 0000Which of the following is an example of a situation in which a company could use budget information to make operational changes: Select one: a. Total revenues exceed projected costs. b. Profits are expected to rise. c. Accounts receivables are in order. d. Estimated sales exceed actual sales.Which of the following budgets will show the expected cash receipts and expected cash disbursements of the firm? * budgeted balance sheet cost of goods sold budget budgeted income statement O cash budget Working capital is the total current assets and current liabilities * True False It is the cost of ordering raw materials. Your answer
- If a manager builds slack into a budget, how would that manager handle estimates of revenues and expenses? Revenues A. Underestimate B. Underestimate C. Overestimate Expenses Underestimate Overestimate С. Underestimate D. Overestimate Overestimate Е. Estimate Estimate correctly correctly8. Which of the following expenses would not appear in cash budget? Depreciation expense Marketing expense Interest expense а. b. с. d. Wages expense Information technology has made it easier for Amazon.com's managers to perform all of the following tasks except 9. а. preparing performance reports that identify variances between actual and budgeted revenues and costs. combining individual units' budgets into the companywide budget. sensitivity analyses. removing budgetary slack from the budget. b. с. d. 10. A company prepares a five-year budget. This budget would be considered a(n) strategic budget operational budget master budget flexible budget а. b. с. d.Which of the following is true with respect to the sales budget? Group of answer choices It provides sales data to prepare the budgeted income statement. It captures the variable and fixed expenses of the business. It has no relation with the production budget. It provides sales data to prepare income statements for stockholders and creditors.
- Which of the following about Cash Budgets is true? 1. Cash budgets are the financial statement that explains how the firm's cash changed over the previous year II. Cash budgets are usually created in daily, weekly, or monthly intervals III. Cash budget allow managers to evaluate changes in corporate policiesa. Based on the static budget report:1. What was the primary cause(s) of the loss in net income?2. Did management do a good, average, or poor job of controlling expense?3. Were management’s decisions to stay competitive sound?b. Prepare a flexible budget report for the year.c. Based on the flexible budget report, answer the three questions in part (a) above.d. What course of action do you recommend for the management of Alps PasturesA company's expected receipts from sales and planned disbursements to pay bills is commonly called a: Select one: a. Cash budget. b. Pro-forma budget. c. Master budget. d. Financial budget.
- Budgeted cash receipts in the month - budgeted cash payments in the month - budgeted cash at the start of the month = budgeted cash at the end of the month. True FalseWhen preparing a budget, A.GST is a necessary cost of doing business B.GST is only necessary for income items as this is remitted to the ATO C.GST needs to be factor as generally the amount owing to the ATO is greater than what the ATO owes D.GST is levied on all items of a businessWhich of the following will not appear in a cash budget? a. Wages b.Machinery bought on hire purchase c. Depreciation of machinery d.Sales revenue