Units sold Revenue Less variable costs Less direct fixed costs Less allocated fixed costs Net income 2,700 $63,000 28,800 12,600 5,400 4,500 $45,000 $36,000 23,400 17,100 9,000 1,800 $16,200 $(4,500) 14,400 10,800 3,600 $7,200 9,000 $144,000 66,600 40,500 18,000 $18,900
Q: Giannini Incorporated, which produces and sells a single product, has provided the following…
A: Income statement is a financial statement that shows profitability, total revenue and total…
Q: At December 31, 2025, Pina Corporation reported the following plant assets. Land Buildings Less:…
A: Property, plant, and equipment refers to those assets that are long-term in nature and are used by…
Q: Mia works in both the jewelry department and the cosmetics department of a retail store. She assists…
A: Cost Allocation:Cost allocation is the process of identifying and assigning costs to activities.…
Q: Crosshill Company’s total overhead costs at various levels of activity are presented below:…
A: Mixed cost involves both a fixed cost component and a variable cost component. In cost accounting,…
Q: On March 17, Advanced Technologies developed a patent related to laser surgery techniques. They…
A: Intangible assets are assets that do not have a physical substance but hold value for the entity.…
Q: he following would indicate a cas
A: Cash payments entail the direct exchange of money or its equivalent, they are distinguished by their…
Q: The records of Seahawks Company reflected the following balances in the stockholders' equity…
A: Cumulative Preferred Stock is one of the type of preference shares in which it is mandatory for…
Q: Olivet Devices sells two models of fitness devices. The budgeted price per unit for the wireless…
A: Variance analysisVariance analysis is an analysis of a difference between planned and actual…
Q: Concord Corporation manufactures a single product. The standard cost per unit of product is shown…
A: Variance analysis is the process that determines the difference between actual performance and the…
Q: Pharoah Holding's accounting records show the following balances on December 31, 2025: 12% Preferred…
A: The objective of the question is to calculate the amount of dividends each class of stock should…
Q: On January 1, 2022, Whispering Winds and Lois Company purchased 12% bonds having a maturity value of…
A: The bonds are issued or purchased either at discount or at a premium. The bond amortization table is…
Q: How to solve the factory overhead rate of 2/3 of the labor cost?
A: Lets understand the basics.Factory overhead is a all indirect cost incurred for the production of…
Q: Req 1A Prepare journal entries that summarize sales of the extended warranties and recognition of…
A: A loss contingency is an expense incurred in anticipation of a future event, like the unfavorable…
Q: Entries for issuing no-par stock On May 15, Helena Carpet Inc., a carpet wholesaler, issued for cash…
A: STATEMENT OF SHAREHOLDERS EQUITYStatement of Shareholders Equity is also Known as Changes in…
Q: Nowell Inc. had the following stock issued and outstanding as of January 1, Year 2: 1. 150,000…
A: Dividend is defined as the distribution of profits made by a corporation to its preferred and common…
Q: Wetherbee Tech Services (WTS) is a chain of computer maintenance technicians for households and…
A: Answer:- Formulas:- Price variance = (Standard rate - Actual rate) x Actual hoursEfficiency variance…
Q: Cash Disbursement Timber Company is in the process of preparing its budget for next year. Cost of…
A: Timber CompanySchedule of Cash DisbursementsApril, May, JuneAprilMayJuneLumber…
Q: expenses. The manufacturer is considering eliminating its Electric Guitar department becaus…
A: Gross profit less direct production costs is the formula used to determine the departmental overhead…
Q: How can you record the mileage expense for a company at year-end in QuickBooks Online? 1. Import the…
A: To record mileage expenses for a company at year-end in QuickBooks Online, you generally wouldn't…
Q: (b) Prepare journal entries to record the May 4 purchase and the May 3 and 16 sales. (Credit account…
A: Journal entries consist of all the business transactions. They are recorded in chronological order.…
Q: Sheffield Company budgeted the following cost standards for the current year: Direct materials (2 kg…
A: Direct material variance is the difference between standard direct material cost for actual…
Q: Which of the following is not an example of sovereign risk? a.Changes in tax rates b.Changes in…
A: The concept of sovereign risk, also known as country risk, refers to the risk associated with…
Q: Total current liabilities would be: Revenue $50000 Utilities Expenses $7800 Cash $56000 Mortgage…
A: CURRENT LIABILITIESCurrent liabilities are one of the important sections of the balance sheet..…
Q: Pizza Palace has five brick ovens that need attention and is considering two options. Both options…
A: The objective of the question is to determine which option, refurbishing the current ovens or…
Q: Alex and Bess have been in partnership for many years. The partners, who share profits and losses on…
A: It is an agreement between two or more parties to conduct the business and share the profits and…
Q: Sheridan Corporation's comparative balance sheets are presented below. SHERIDAN CORPORATION Balance…
A: "Since you have poste a question with multiple sub-parts, we will solve first three sub-parts for…
Q: The East Division of Abel Company reported the following information for 2025: Variable costs per…
A: Contribution margin per unit is the excess amount of sales price over variable price. It is the sum…
Q: Icebreaker Company (a U.S.-based company) purchases materials from a foreign supplier on December 1,…
A: The rate at which one country’s currency can be converted into another country’s currency referred…
Q: Sanchez Company was formed on January 1 of the current year and is preparing the annual financial…
A: NRV stands for net realizable value which is the net amount that is realized on the sale of assets.…
Q: Blossom Industries incurs unit costs of $7 ($4 variable and $3 fixed) in making an assembly part for…
A: MAKE OR BUY DECISIONThe make-or-buy decision is the choice between manufacturing a product within a…
Q: The IRS can impose a tax that is attributable to fraud.
A: There is a fraud when a taxpayer does not pay taxes as per the taxable income by way of hiding the…
Q: June 1 Received a $6,000, 12%, 1-year note from Sue Forest as full payment on her account.…
A: Journal Entry: It implies the recording of monetary or financial transactions by the business in…
Q: Navigator sells GPS trackers for $50 each. It expects sales of 5,000 units in quarter 1 and a 5%…
A: Sales budget :— This budget is prepared to estimate the amount of sales revenue generated from sale…
Q: Sales Net operating income Average operating assets Margin Turnover Return on investment (ROI) Alpha…
A: RATIO ANALYSISRatio analysis is a method of measuring the financial position of the organization…
Q: Lily Inc. is preparing its annual budgets for the year ending December 31, 2022. Accounting…
A: Statement of Budgeted Income helps with cash flow forecasting by calculating when revenue and…
Q: Income Statement For Year Ended December 31, 2023 Sales Cost of goods sold Gross profit Operating…
A: The cash flow statement is prepared to record the cash flow from various activities during the…
Q: Under the FLSA, employers are subject to a civil money penalty of up to $11,000 per worker for each…
A: The question is related to Fair Labor Standard Act 1938 (as ammended). The Act prohibit minor…
Q: Gerald Enterprise provides the following information about its single product, for eac month:…
A: "Since you have asked multiple question, we will solve only first question. You can repost the…
Q: Don operates a tax business, and this year one of his taxis was damaged in a traffic accident. The…
A: A casualty loss deduction is a tax deduction that allows individuals and businesses to deduct losses…
Q: In order to encourage employee ownership of the company's $1 par common shares, Washington…
A: Paid-in capital in excess of par refers to the amount of money received by a company for its stock…
Q: Monty Ltd. was incorporated on January 1, 2022. During the year the company entered into the…
A: The journal entries are prepared to record the transactions on regular basis. The shares can be…
Q: Identify the correct order of steps for an auditor when applying a top-down approach to select…
A: The top-down approach is used to detect risks in the internal controls and gain an overall…
Q: Adjusting Journal Entries Analyze the transaction and prepare the adjusting journal entry.…
A: Adjusting entry are journal entries that are passed at the end of accounting period to adjust the…
Q: A company's financial records at the end of the year included the following amounts: $ 71,600 29,600…
A: Net income is the amount of money earned by the entity after deducting the expenses from the…
Q: A company has the following account balances. Which statement is correct concerning these balances?…
A: Source of cash is the amount which increases the cash and reported as positive balance in statement…
Q: On January 1, 2024, Lawn Corporation had 87,000 common shares, recorded at $626,400, and retained…
A: The dividend is declared to the shareholders from the retained earnings of the business. The…
Q: What is the noncontrolling interest's share of consolidated net income?
A: -Redfield company net income is $438,000-Snedeker company net income is $105,000-since Redfield…
Q: Why do we not deduct 2020 depreciation expense to work out translation adkustment?
A: The translation adjustment primarily focuses on the impact of exchange rate changes on the balance…
Q: Kildare Company manufactures 100-pound bags of mulch that have the following unit standard costs for…
A: Lets understand the basics.Direct labor efficiency variance is a variance between the hours that…
Q: Which of the following costs will not affect cost of goods sold? Multiple Choice Inventory…
A: Direct expenses typically refer to costs that can be specifically and easily attributed to a…
Step by step
Solved in 3 steps with 3 images
- II. AJA Company has two service departments (A and B) and two producing departments (X and Y). Data provided are as follows: Service Departments Operating Departments Y A В Direct Costs P150 P300 P5,000 P6,000 Services performed by Dept. A Services performed by Dept. B 40% 40% 20% 20% 70% 10% 1) If the company is using the direct method to allocate service department costs, the service department cost allocated to Department Y is: 2) Using the information in number 1, what is the total cost for Department X? 3) If the company is using the step-down to allocate service department costs and Department A costs are allocated first, the service department cost allocated to Department Y is? 4) Using the information in number 3, the total cost for Department X is? 5) If the reciprocal method is used, the service department cos allocated to department Y is?II. AJA Company has two service departments (A and B) and two producing departments (X and Y). Data provided are as follows: Service Departments B P300 Operating Departments A Y Direct Costs P150 P5,000 P6,000 Services performed by Dept. A Services performed by Dept. B 40% 40% 20% 20% 70% 10% 1) If the company is using the direct method to allocate service department costs, the service department cost allocated to Department Y is: 2) Using the information in number 1, what is the total cost for Department X? 3) If the company is using the step-down to allocate service department costs and Department A costs are allocated first, the service department cost allocated to Department Y is? 4) Using the information in number 3, the total cost for Department X is? 5) If the reciprocal method is used, the service department cos allocated to department Y is?The following data relate to Department no. 3 of Tsing Corporation: Segment contribution margin 540,000 Profit margin controllable by segment manager 310000 Segment profit margin 150000 On the basis of this information, Department no. 3's variable operating expenses are: Select one: a. $80,000. b. $160,000. c. $230,000. d. $390,000. e. not determinable.
- Market Inc. has two divisions, Telbot and Heather Following is the Income statement for the past month 27 Total Talbot Beather $217, 500 $217,500 $435,000 195,750 65,250 261,000 21,750 152, 250 174,000 78, 300 78,300 156, 600 Sales Variable Costs Contribution Margin Fired Costs (allocated) Profit Margin $(56,550) $ 73,950 $ 17,400 What would Marker's proft margih be if the Talbot division was dropped and all fixed costs are unavoidable? Mutiole Choice $56.550 loss $4.350 loss $73.950 profitCopr. Goedl Uplift, Inc. has two divisional units-Bha and Cha. Total fixed expenses fro the organization are $96,000. Data for the units is presented below: Sales Variable expenses Traceable fixed expenses $45,000 Bha $30,000 $100,000 $70,000 $24,000 Cha $90,000 $45,000 Compute the segment breakeven in sales dollars for Bha. $82,000 $70,000 $41,000 $80,000 SUBMITUse the following information to answer questions 2 through 6: M2). The following information is available. A company has two service departments (S1 and 52) and two manufacturing divisions (M1 and Percent Allocable to $2 20% Costs Incurred Department $1 $200,000 500,000 d. 62.5% $2 50% 2. Using the direct method, what proportion of S1's costs will be allocated to M2! a 20% b. 37.5% C. $295,400 d. $302,500 3. Using the direct method, how much of the service department costs will be allocated to M1? a. $195,250 b. $205,750 c. $308,750 d. $326,450 4. Using the step method, how much of the service department costs will be allocated to M1? a. $243,000 b. $265.700 a. S1-$290,000+ 0.5 × $2 b. S1-$290,000+ 0.2 × S2 c. S1-$290,000+ 0.3 × $2 715473_1&course_id=_31557 M1 M2 expressed? Using the reciprocal method, how should the total service department costs of S1 be E d. S1 - $500,000+ 0.5 × $2 Matching.docx 6. Using the reciprocal method, how much of the service department costs will be…
- Robinson Products Company has two service departments (S1 and S2) and two production departments (P1 and P2). The distribution of each service department's efforts (in percentages) to the other departments is: From To S1 S2 P1 P2 S1 - 20% 30% ?% S2 20% - ? 40 The direct operating costs of the departments (including both variable and fixed costs) are: S1 $ 265,000 S2 83,000 P1 70,000 P2 220,000 Required: 1. Determine the total cost of P1 and P2 using the direct method. 2. Determine the total cost of P1 and P2 using the step method. 3. Determine the total cost of P1 and P2 using the reciprocal method.Shirley Incorporated has three divisions, King, West and Gold. All common fixed costs are unavoidable. Following is the segmented income statement for the previous year: Sales revenue Variable costs Contribution margin Direct fixed costs Segment margin Common fixed costs (allocated) Net operating income (loss) King $ 1,040,000 312,000 $ 728,000 104,000 $ 624,000 391,000 $ 233,000 Required: a. What would Shirley's net income (loss) be if the West Division were dropped? b. What would Shirley's net income (loss) be if the Gold Division were dropped? Complete this question by entering your answers in the tabs below. Required A Required B What would Shirley's net income (loss) be if the West Division were dropped? Gold $426,000 251,340 $ 174,660 48.000 $ 126,660 159,375 $ (32,715) Total $ 2,048,000 889,260 $ 1,158,740 192,000 $ 966,740 763,000 $ 203,740Crayzon Corportion has two service departments, S1 and S2; and two productiondepartments, P1 and P2. The data for April were as follows:Services provided to:Activity Costs S1 S2 P1 P2S1 $100,000 20% 40% 50%S2 $80,000 10% 55% 25%Fixed CostsP1 $400,000P2 $500,000Required:a. Set up algebraic equations in linear form for each activity.Page 4 of 6b. Determine total costs for each department by solving the equations from part(a) above using the reciprocal method.
- Selected sales and operating data for three divisions of different structural engineering firms are given as follows: Division A Division B Division C Sales 12440000$ 35550000$ 25550000$ Average operating assets 3110000$ 7110000$ 5110000$ Net operating income 547360$ 639900$ 740950$ Minimum required rate of return 10.00% 10.50% 14.50$ Required: 1.Compute the return on investment (ROI) for each division using the formula stated in terms of margin and turnover. 2.Compute the residual income for each division. 3. Assume that each division is presented with an investment opportunity that would yield a 11% rate of return. a.If performance is being measured by ROI, which division or divisions will probably accept the opportunity? Reject? b.If performance is being measured by residual income, which division or divisions will probably accept the opportunity? Reject?ABCDE Inc. has three divisions: AB, CD, and E. All fixed costs are unavoidable. Following is the income statement for the previous year: AB CD E Total Sales $ 515,000 $ 274,500 $ 226,000 $ 1,015,500 Variable Costs 182,000 124,500 100,500 407,000 Contribution Margin 333,000 150,000 125,500 608,500 Fixed Costs (allocated) 272,000 165,250 112,750 550,000 Profit Margin $ 61,000 $ (15,250 ) $ 12,750 $ 58,500 a. What would company’s profit margin be if the CD division were dropped?produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Direct materials Direct labor Manufacturing overhead First $ 240,000 128,000 300,000 $ 668,000 Required 1 Required 2 80,000 $8.35 Complete this question by entering your answers in the tabs below. Quarter Total manufacturing costs (a) Number of units to be produced (b) Estimated unit product cost (a) = (b) Management finds the variation in quarterly unit product costs to be confusing. It has been suggested that the problem lies with manufacturing overhead because it is the largest element of total manufacturing cost. Accordingly, you have been asked to find a more appropriate way of assigning manufacturing overhead cost to units of product Second $ 120,000 64,000 220,000 Required 3 Required 4 Third $ 60,000 32,000 180,000 $ 272,000 $ 404,000 40,000 $10.10 20,000 $13.60 Required: 1. Assuming the estimated variable manufacturing overhead cost per unit is $2.00, what must be the…