• Q : What is the effect on the taxpayer taxable income....
    Accounting Basics :

    An owner takes $35,000 out of her business as a salary for 2012. Compare the income and FICA or self-employment tax burdens of an individual who owns a business that has operating income of $60,000

  • Q : How much advertising expense to department....
    Accounting Basics :

    A retail store has three departments, A, B, and C, each of which has four full-time employees. The store does general advertising that benefits all departments. Advertising expense totaled $90,000 f

  • Q : Equivalent units of production and weighted average method....
    Accounting Basics :

    Of those started, 80,000 were finished and the remaining 40,000 were left 20% complete. Calculate the equivalent units of production for the year using the weighted average method.

  • Q : Necessary journal entries to record transactions-events....
    Accounting Basics :

    BC Company uses a job order cost accounting system. During the month of April, the following events occurred:  Make the necessary journal entries to record the above transactions and events.

  • Q : What is the company break-even point....
    Accounting Basics :

    A company manufactures a product and sells it for $120 per unit. The total fixed costs of manufacturing and selling the product are expected to be $155,250, and the variable costs are expected to be

  • Q : Prepare the general journal entries to record transactions....
    Accounting Basics :

    Mahoney Company had the following transactions involving plant assets during 2007 and 2008. Unless otherwise indicated, all transactions were for cash. Prepare the general journal entries to record

  • Q : Find out the net present value....
    Accounting Basics :

    Determine the net present value. (Negative amount should be indicated by a minus sign. Round discount factor(s) to 3 decimal places, other intermediate calculations and final answer to the nearest w

  • Q : Compute the share on the net income....
    Accounting Basics :

    Paco and kate invested $99000 and 126000, respectively , in partnership they began one year ago, Assuming the partnership earend 120000 during the current year. Compute the share on the net income e

  • Q : Calculate the retained earnings balance....
    Accounting Basics :

    Calculate the Retained Earnings balance as of Dec 31, 2010. ?????

  • Q : Calculate the investing cash flows....
    Accounting Basics :

    Calculate the investing cash flows - assuming there were no other non-current assets sold during the period or revalued. Show all working.

  • Q : Straight-line and reducing-balance....
    Accounting Basics :

    Employing both the straight-line (SL) and reducing-balance (RB, at 1.5 times the straight-line rate) methods of depreciation, what would be the deprecation charge in the first year and the accumulat

  • Q : Convertible three shares of common stock....
    Accounting Basics :

    During 2012, there were 40,000 shares of cumulative, convertible preferred stock outstanding. The preferred is $10 par, pays $3.50 a year dividend, and each share is convertible into three shares of

  • Q : Determining the recognized gain on the sale....
    Accounting Basics :

    The buyer paid him $500,000 in cash, agreed to take the title subject to the $200,000 mortgage, and agreed to pay him $100,000 with interest at 6 percent one year from the date of sale. How much is

  • Q : Amount of the employees withholding taxes....
    Accounting Basics :

    The Royale Corporation payroll for the first week in January was $15,000. The amount of income tax withheld was 20 percent and the FICA, state unemployment, and federal unemployment tax rates were 8

  • Q : Prepare the required entries of petty cash fund....
    Accounting Basics :

    The DEF Corporation started a petty cash fund on June 1, 2012 in the amount of $1,000. On June 30 the petty cash fund was replenished for $400 of supplies, $135 of postage, and $80 of miscellaneous

  • Q : Types and methods of property and service....
    Accounting Basics :

    Recommend the most advantageous types and methods of property and service transfers to your client in exchange for stock to minimize any tax liability and risk of audit.

  • Q : Barneys retained earnings....
    Accounting Basics :

    The cumulative patent amortization prior to 2013 would have been $10 million higher had the new life been used. Barney's tax rate is 30%. Barney's retained earnings as of December 31, 2013, would be

  • Q : Determining what cost of goods sold....
    Accounting Basics :

    Cost of goods sold for 2013, applying the average cost method, is $161,200. The company is interested in determining what cost of goods sold would have been if the FIFO or LIFO methods were used.

  • Q : Amount dove report as income tax liability....
    Accounting Basics :

    When filing its 2012 tax return, Dove did not elect to forego the carryback of its loss for 2012. Assume a 30% tax rate for all years. What amount should Dove report as its income tax liability at D

  • Q : Report as total income tax expense....
    Accounting Basics :

    At December 31, 2013, Empire determined that it was more likely than not that 10% of the deferred tax asset would not be realized. In its 2013 income statement, what amount should Empire report as t

  • Q : Which products should davidian process....
    Accounting Basics :

    Each product may be sold at its split-off point or processed further. Additional processing costs of specific products are entirely variable. Joint processing costs for a single batch of joint produc

  • Q : Hat is the effect on income-component from outside suppllier....
    Accounting Basics :

    What is the effect on income if Yankton Industries purchases the component from the outside supplier?

  • Q : Problem on merchandise to a customer....
    Accounting Basics :

    Selling $65 of merchandise to a customer for $100 in a state where the sales tax rate is 4%:

  • Q : Explanation for the decrease in the firms profitability....
    Accounting Basics :

    Assuming Radio Shack's store count and fixed costs were the same in the 2nd quarter of 2011 and 2012, which of the following statements is the best explanation for the decrease in the firm's profita

  • Q : Impact on the company overall profit....
    Accounting Basics :

    Required: If the special order were accepted, what would be the impact on the company's overall profit (prove it)?

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