Exercise 11-29 (Algo) Cost Allocation: Direct Method (LO 11-2) University Printers has two service departments (Maintenance and Personnel) and two operating departments (Printing

Q: On January 1, 2020, Pearl Company purchased at par 8% bonds having a maturity value of $270,000. The...

A:   Working:-   Interest Receivable & Received     12-31-2020  = $270,000 x 8%  = $21,600 ...

Q: Use ABC to compute overhead cost assigned to an order. KCC Production Corporation uses an activity-...

A:

Q: The general ledger or subsidiary ledger should be indicated for each account

A: This question deals with the general ledger or subsidiary ledger should be indicated for each accoun...

Q: Partnerships: a.Are not taxable entities. b.Are taxed in the same manner as individuals. c.File tax ...

A: Solution: As per IRS, Partnership are not taxable entities, instead individual partners are taxed fo...

Q: Record any 5 imaginary transactions of a bank ( current account ) with a specific customer. Record j...

A: SOLUTION- JOURNAL ENTRY RECORDS A BUSINESS TRANSACTION IN THE ACCOUNTING RECORDS OF A BUSINESS.

Q: Applying a measurement basis to an asset or liability creates a measure for that asset or liability ...

A: The purpose of measurement basis is to represent faithfully the values of assets and liabilities so ...

Q: profit margin

A: Profit margin = Net income * 100/Revenue

Q: Identify the three essential elements that underpin GAAS (Global Accounting and Accounting Standards

A: It is telling about the three essential elements that underpin GAAS :

Q: The unearned rent account has a balance of P36,000. If P4,000 of the P36,000 is unearned at the end ...

A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in...

Q: What are the rules for SSARS engagements in terms of standards

A: It tells about the rules for SSARS engagements in terms of standards:

Q: What is the book value of equipment purchased 7 years ago for $18,791 if it is depreciated using the...

A: Introduction: Depreciation: Decreasing value of fixed assets over its useful life period called as D...

Q: What is the major goal of the brainstorming session on fraud?

A: This question tells about the major goal of the brainstorming session on fraud.

Q: The following is the adjusted trial balance for Stockton Company. Stockton Company Adjusted Trial B...

A: Total assets = Cash + accounts receivable + prepaid expense + Equipment - accumulated depreciation

Q: Southwest Components recently switched to activity-based costing from the department allocation meth...

A: T Account It is a visual representations of individual accounts showing business transactions of an ...

Q: WHAT IS THE ACTIVITY UNDER THE ABC SYSTEM FOR ACTIVITY 3 2. WHAT WOULD BE THE TOTAL OVERHEAD APPLIE...

A: Here in this question we are required to calculate activity rate for activity 3, amount transferred ...

Q: 4.1     The balances of the following account(s) in the general ledger of a partnership will contrib...

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question s...

Q: Data on Nathan Enterprises for the most recent year are shown below, along with the days sales outst...

A: Accounts receivable = (Sales x DSO) / 365 Accounts receivable = ($110,000 x 20.00) / 365 Accounts re...

Q: 5. Peter Senen uses activity based costing. The company produces two products: coats and hats. The a...

A:

Q: 64) Hill Manufacturing uses departmental cost driver rates to apply manufacturing overhead costs to ...

A: The overhead is applied to the production on the basis of predetermined overhead rate. 

Q: A summary of the time tickets for the current month follows:

A: Account titles and explanation Debit Credit Work in Process $21,710   Factory Overhead $10,130  ...

Q: Harley Davidson Motorcycles has pretax income of $2,000,000 in years 2017, 2018, and 2019.  NOT incl...

A: Here in this question, we are required to prepare journal entry for income tax expense, deferred inc...

Q: - The following information relates to the defined benefit pension plan of the McDonald Company for ...

A: Return on plan assets for the year = Fair value of plan assets at end - Fair value of plan assets at...

Q: Newton cellular manufactures and sells the top line cell phone for the year 2022. Newton has estimat...

A: Break-even in units  = Total fixed costs/contribution margin per unit where, contribution margin per...

Q: . WHAT IS THE TOTAL FACTORY OVERHEAD TO BE CHARGED TO EACH UNITS OF MAGNUM? 2. WHAT IS THE TOTAL FA...

A: First activity rate for each of the activity would be calculated as provided below: Calculate act...

Q: 5. Amazon purchases parts from 3 suppliers. The cost for each part is the following cl = 500, c2 = 8...

A:

Q: The Audit Expectation Gap A significant number of the concepts and processes we examined during the ...

A: Expectation Gap Expectation gap which is described as it is the contradiction in between the stakeho...

Q: ______________________is a possible safeguard implemented by the client that might mitigate an audit...

A: The Answer  :

Q: If the variable cost per unit goes down, Contribution margin Break-even point a. increases increases...

A:

Q: How do we get the accounting records ready to prepare financial statements?

A: Explanation - There are three statements of the organization which show different accounting financi...

Q: On January 1, 2017, Hipolito company issued 3-year bonds payable with a face value of P5,000,000 at ...

A: The answer is stated below:       Note: Answering the first question as there are multiple questions...

Q: A compeny's net sales were S676,600, its cost of goods sold was $236,810 and its net income was $33,...

A: Gross margin in the business is sales revenue which is over and above it's, cost of goods sold.  Gro...

Q: Brafry Ltd has 200,000 ordinary shares, 40,000 nonvoting preference shares paying dividends of $5.00...

A: Basic Details Brafry Ltd has 200,000 Ordinary Shares 40,000 Nonvoting Preference Shares - Paying Div...

Q: The following information is available for Oriole Corporation’s pension plan for the year 2020: Pla...

A: Pension Expenses: It is the expense charged to p& l  related to liabilities for pension payable ...

Q: Product T is produced for $5.90 per pound. Product T can be sold without additional processing for $...

A: Cost per pound in alternative 2 = Production cost + further processing cost                    = 5.9...

Q: If the margin of safety is 0, then a. the company is precisely breaking even. b. the company is oper...

A: Correct option a. The company is precisely breaking even.   Explanation:

Q: Problem 4: (Share-based compensation: Share options)   On January 1, 2020, COLOR Company granted 2...

A:

Q: In each of the given separate cases, compute the Cost of Sales in good form: P 15,000 CASE 1: Purcha...

A: Case 1: Net purchases = Purchases  - Purchase discount - Purchase return & allowances = P100,000...

Q: With whom should the auditor communicate whenever he or she determines that fraud may be present, ev...

A: Auditor is the person examining the financial statements and reports of an entity to check if the st...

Q: Problem 2: Joint Cost Allocation Jean Company produces four products, which have a manufacturing cos...

A: Answer -  Part 1 -  Average Unit Cost method -  Formula = Total joint cost * (Output of product / To...

Q: 8. Poehling Medical Center has a single operating room that is used by local physicians to perform s...

A: Predetermined rate = Estimated annual overhead / Estimated number of hours Overhead charged = Predet...

Q: All of the rules and processes used to safeguard assets, assure accurate accounting, promote efficie...

A: Here is the answer:

Q: Problem 4: (Share-based compensation: Share options)   On January 1, 2020, COLOR Company granted ...

A: Employee share option scheme means where the employee were given the right to buy the share free of ...

Q: base for inventory in a vertical analysis

A: The inventory represents the current asset for the company. It is presented in the balance sheet of ...

Q: On January 1, 2021, Pet Friendly Stores adopted the retail inventory method. Inventory transactions ...

A: Cost of Goods Sold  It is the  direct cost  incurred in the production of any goods or services and ...

Q: 19..Beavis Construction Company was the low bidder on a construction project to build an earthen dam...

A: The journal entries are prepared to keep the record of day to day transactions of the business. 

Q: CANW 32 Statement of Financial erformance 32-29 1,050,300 2,051,500 17,150 12,550 8,250 200,000 445,...

A: Statement of profit and loss is one of the financial statement of business, which shows all type of ...

Q: When an employee is in a position to penetrate and hide fraud, incompatible roles exist. False or T...

A: SOLUTION- IF AN EMPLOYEE IS IN A POSITION TO PENETRATE AND CONCEAL ERRORS OF FRAUD , IT CAN BE SAID ...

Q: Problem #1: On June 30, 2020, PSA Trading Co. has the following information: revenue from sales is P...

A: As posted multiple independent questions we are answering only first question kindly repost the unan...

Q: Product R is normally sold for $52 per unit. A special price of $42 is offered for the export market...

A: Analysis in relation to special order is undertaken to calculate the amount of incremental income th...

Overheads

In cost accounting, overhead refers to those expenses which occur during the operating of a business. Overhead includes the fixed, variable, or semi-variable which is not directly involved with a company product or service. It is very important to analyze overhead expense as it helps the company in determining how much a company must charge for its products and services so that they can generate profit.  Overhead expenses depend upon the nature of the business operations.