• Q : Calculate the firms operating income....
    Accounting Basics :

    Refer to the original data when total revenues were $105,000. Calculate the firm's operating income (or loss) if unit selling price and variable expenses do not change and total revenues

  • Q : High profit margin and high asset turnover....
    Accounting Basics :

    Using the DuPont Model, should we assume that every company should have a high profit margin and a high asset turnover in order to be successful?

  • Q : Internal revenue code....
    Accounting Basics :

    Can Richie deduct this loss on his Schedule E given the material participation rules of Sec. 469 of the Internal Revenue Code?

  • Q : Cost hierarchy categories....
    Accounting Basics :

    Would your company be more likely to benefit from using a manufacturing cost hierarchy or a customer cost hierarchy for determining cost drivers? Explain your answer and identify one cost for each o

  • Q : Manufacturing cost hierarchy or a customer cost hierarchy....
    Accounting Basics :

    Describe a variable, fixed, mixed and step cost in an organization. Would this organization be more likely to benefit from using a manufacturing cost hierarchy or a customer cost hierarchy for dete

  • Q : Joint cost allocation-elsie dairy products....
    Accounting Basics :

    1. Allocate the $31,680 joint cost to the spreadable butter and the buttermilk using the following (show work): a) Physical-measure method (using cups) of joint cost allocation

  • Q : Investment as a purchase of stock....
    Accounting Basics :

    What tax advantage does this arrangement have over structuring the entire investment as a purchase of stock? Discuss (AICPA adaptive).

  • Q : Interpretation of the variances....
    Accounting Basics :

    There has been some concern about the interpretation of the variances that have been calculated in month 1. 1. The purchasing manager is adamant, despite criticism from the production director, that

  • Q : Direct-labor rate and efficiency variances....
    Accounting Basics :

    Calculate the direct-material price and quantity (efficiency) variances, and the direct-labor rate and efficiency variances. Explain why each variance is favorable or unfavorable.

  • Q : Prepare a master budget....
    Accounting Basics :

    Problem 1. Prepare a master budget. Problem 2. The manager now wants to evaluate the company's performance by comparing actual costs and revenues using the master budget but the students have advis

  • Q : What makes a contribution income statement unique....
    Accounting Basics :

    What makes a contribution income statement unique? Using the company (National Linen) discuss how a contribution income statement could be used to improve planning in that particular company.

  • Q : Governmental fund financial statements....
    Accounting Basics :

    Again looking at the governmental fund financial statements, are any major debt service funds included? If so, list them. What are the sources of funding for these debt service payments?

  • Q : Amortize finite-lived intangible assets....
    Accounting Basics :

    Problem 1. What time frame does Eli Lilly use to amortize its finite-lived intangible assets? Problem 2. When does Eli Lilly test its intangibles for impairment?

  • Q : Amount of income from the partnership....
    Accounting Basics :

    What is the amount of income from the partnership that Diamond Co. must report for its tax year ending June 30, 2010?

  • Q : Contribution margin income statement approach....
    Accounting Basics :

    Problem 1. Prepare income statements for both firms, for both years using the contribution margin income statement approach. Problem 2. Calculate the contribution margin ratio for each company for eac

  • Q : Participant employer retirement plan....
    Accounting Basics :

    Karen is single and is an active participant in her employer retirement plan. She contributed $5,500, the maximum amount allowable, to an individual retirement account (IRA). For each of the followi

  • Q : Accounting services to health care organizations....
    Accounting Basics :

    Your boss at your accounting firm wants to start offering accounting services to health care organizations and would like your team to brief your entire department on the fundamentals as outlined in

  • Q : Compare the risk associated with various liabilities....
    Accounting Basics :

    Are all liabilities the same as it pertains to risk? What means are there to compare the risk associated with various liabilities? Why would a firm use debt to support their financial needs rather t

  • Q : Static budget report and flexible budget....
    Accounting Basics :

    In Paige Company, direct labor is $20 per hour. The company expects to operate at 10,000 direct labor hours each month. In January 2014, direct labor totaling $204,000 is incurred is working 10,400

  • Q : Governing authorities over financial reporting....
    Accounting Basics :

    - Outline the governing authorities over financial reporting (SEC, FASB, GASB, Etc...) - Outline the financial reporting requirements of the SEC

  • Q : Hsbc drug cartel money laundering guide....
    Accounting Basics :

    Q1. What has happened to the key players since the events in this case? Use appropriate references supporting problem definition and subsequent experience of key players.

  • Q : Transfer pricing policies....
    Accounting Basics :

    Question: Evaluate the implications of the following transfer pricing policies: Transfer price = cost plus a mark-up for the selling division. Transfer price = standard cost plus a mark-up for the sel

  • Q : Consolidated balance sheet....
    Accounting Basics :

    Assuming an income tax rate of 30%, what amount of Deferred Income Tax Liability arising this year must be recognized in the consolidated balance sheet?

  • Q : Inventory valuation methods....
    Accounting Basics :

    Are there any other inventory valuation methods acceptable under GAAP besides LIFO, FIFO, average cost and specific identification? If so, when is it appropriate to use the other method(s)?

  • Q : Sales-value-at-split-off method....
    Accounting Basics :

    Alomar Company manufactures four products from a joint production process: barlon, selene, plicene, and corsol. The joint costs for one batch are as follows:

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