Five data entry operators work at the data processing department of the Georgia Bank. Each day for 30 days, the number of defective records in a sample of 250 records typed by these operators has...

Coburn (beginning capital, $60,000) and Webb (beginning capital $90,000) are partners. During 2014, the partnership earned net income of $80,000, and Coburn made drawings of $18,000 while Webb made...

Lou Hoskins and Shirley Crothers are organizing Red Lodge Metals Unlimited Inc. to undertake a high-risk gold-mining venture in Canada. Lou and Shirley tentatively plan to request authorization for...

The following jobs are waiting to be processed at Rick Solanos machine center. Solanos machine center has a rela-tively long backlog and sets a fresh schedule every 2 weeks, which does not disturb...

PostNews. com offers its subscribers several services, such as an annotated TV guide and local-area information on weather, restaurants, and movie theaters. Its main revenue sources are fees for...

Bell Company, a manufacturer of audio systems, started its production in October 2012. For the preceding 3 years, Bell had been a retailer of audio systems. After a thorough survey of audio system...

The Pacific Manufacturing Company operates a job-order costing system and applies overhead cost to jobs on the basis of direct labor cost. In computing an overhead rate for the year, the companys...

For a recent 2-year period, the balance sheet of Santana Dotson Company showed the following stockholders equity data at December 31 in millions. Instructions (a) Answer the following questions. (1)...

At the beginning of the year, Plummer's Sports Center bought three used fitness machines from Advantage, Inc. The machines immediately were overhauled, installed, and started operating. The machines...

1. What managerial roles is Clarence Otis emphasizing in the case just presented? 2. What challenges would restaurant managers face in implementing Otiss approach to keeping the restaurants...

Ohno Company specializes in manufacturing a unique model of bicycle helmet. The model is well accepted by consumers, and the company has enough orders to keep the factory production at 10,000 helmets...

Book and liquidation value The balance sheet for Gallinas Industries is as follows. Additional information with respect to the firm is available: (1) Preferred stock can be liquidated at book value....

Vree Distributing Company plc completed the following merchandising transactions in the month of April. At the beginning of April, the ledger of Vree showed Cash of 8,000 and Share Capital-Ordinary...

Bailey Corporation?s financial statements (dollars and shares are in millions) are provided here. a. What was net working capital for 2007 and 2008? b. What was Bailey?s 2008 free cash flow? c....

Don Lieberman and Associates, a CPA firm, uses job order costing to capture the costs of its audit jobs. There were no audit jobs in process at the beginning of November. Listed below are data...

Grace Herron has just approached a venture capitalist for financing for her new business venture, the development of a local ski hill. On July 1, 2013, Grace was loaned $150,000 at an annual interest...

Multiple-choice questions: a. Which of the following statements is incorrect? 1. Ratios are fractions expressed in percent or times per year. 2. A ratio can be computed from any pair of numbers. 3. A...

1. Subway brings to China various intellectual property in the form of trademarks, patents, and an entire business system. What are the specific threats to Subways intellectual property in China?...

1. Would you describe Starbucks production/operations technology in its retail stores as unit, mass, or process? Explain your choice. How does its production/operations technology approach affect the...

Gitano Products operates a job-order costing system and applies overhead cost to jobs on the basis of direct materials used in production (not on the basis of raw materials purchased). All materials...

An inexperienced accountant prepared this condensed income statement for McDowell Company, a retail firm that has been in business for a number of years. As an experienced, knowledgeable accountant,...

The Bottled Water Company has been bottling and selling water since 1940. Ginnie Adams, the current owner of The Bottled Water Company, would like to know how a new product would affect the company's...

Assume that Denis Savard Inc. has the following accounts at the end of the current year. 1. Common Stock. 2. Discount on Bonds Payable. 3. Treasury Stock (at cost). 4. Notes Payable, short-term. 5....

At Bargain Electronics, it costs $30 per unit ($20 variable and $10 fixed) to make an MP3 player that normally sells for $45. A foreign wholesaler offers to buy 3,000 units at $25 each. Bargain...

Complete the requirements for each of the following independent cases: Case A. Dr Pepper Snapple Group, Inc., is a leading integrated brand owner, bottler, and distributor of nonalcoholic beverages...

Atlanta Office Equipment manufactures and sells metal shelving. It began operations on January 1, 2014. Costs incurred for 2014 are as follows (V stands for variable; F stands for fixed): Direct...

a. Given the following information, calculate the expected value for Firm Cs EPS. Data for Firms A and B are as follows: E(EPS A ) = $5.10, and A = $3.61; E(EPS B ) = $4.20, and B = $2.96. b. You...

1. What are the top three key decisions faced by Joe? 2. What are the key deliverables that an outside researcher should produce to help Joe with the key decisions? 3. How relevant are the coffee...

Henry Coupe, the manager of a metropolitan branch office of the state department of motor vehicles, attempted to analyze the drivers license-renewal operations. He had to perform several steps. After...

Presented below is the governmental funds balance sheet for the Warrenton Library District, a special-purpose entity engaged in a single governmental activity. Prepare a combined Governmental Funds...

Cardinals Corporation purchased a computer on December 31, 2013, for $105,000, paying $30,000 down and agreeing to pay the balance in five equal installments of $15,000 payable each December 31...

Does Monsanto maintain an ethical culture that can effectively respond to various stakeholders ? The original Monsanto was very different from the current company. It was started by John F. Queeny in...

The following transactions were completed by Navarez Inc., whose fiscal year is the calendar year: 2014 July 1. Issued $88,000,000 of 10-year, 10% callable bonds dated July 1, 2014, at a market...

Discuss the major factors in today's society that have made the need for independent audits much greater than it was 50 years ago.

David James is a cost accountant and business analyst for Doorknob Design Company (DDC), which manufactures expensive brass doorknobs. DDC uses two direct cost categories: direct materials and direct...

Compute FIFO, LIFO, and Average Cost some of the information found on a detail inventory card for Slatkin Inc. for the first month of operations is as follows. (a) From these data compute the ending...

Wertz Construction Company decided at the beginning of 2010 to change from the completed contract method to the percentage-of-completion method for financial reporting purposes. The company will...

Pearl E. White Orthodontist specializes in correcting misaligned teeth. During 2015, Pearl provides services on account of $590,000. Of this amount, $80,000 remains receivable at the end of the year....

Bavarian Chocolate Company processes chocolate into candy bars. The process begins by placing direct materials (raw chocolate, milk, and sugar) into the Blending Department. All materials are placed...

Assume that the traffic to the web site of Smiley's People, Inc., which sells customized T-shirts, follows a normal distribution, with a mean of 4.5 million visitors per day and a standard deviation...

Lower-of-Cost-or-Market Remmers Company manufactures desks. Most of the company's desks are standard models and are sold on the basis of catalog prices. At December 31, 2010, the following finished...

Jay Cutler owns and manages a computer repair service, which had the following trial balance on December 31, 2011 (the end of its fiscal year). Summarized transactions for January 2012 were as...

Perdon Corporation manufactures safes'large mobile safes, and large walkin stationary bank safes. As part of its annual budgeting process, Perdon is analyzing the profitability of its two products....

Nabor Industries is considering going public but is unsure of a fair offering price for the company. Before hiring an investment banker to assist in making the public offering, managers at Nabor have...

Job costing, contracting, ethics. Kingston Company manufactures modular homes. The company has two main products that it sells commercially: a 1,000 square foot, one-bedroom model and a 1,500 square...

Grandview Park was started on April 1 by R. S. Francis and associates. The following selected events and transactions occurred during April. Apr. 1 Stockholders invested $50,000 cash in the business...

The trial balance of Dominic Company shown below does not balance. Your review of the ledger reveals that each account has a normal balance. You also discover the following errors. 1. The totals of...

At September 30, the end of Beijing Companys third quarter the following stockholders equity accounts are reported. Common stock, $ 12 par value . . . . . . . . . . . . . . . . . . . . . . . . $...

Pryce Company owns equipment that cost $65,000 when purchased on January 1, 2011. It has been depreciated using the straight-line method based on estimated salvage value of $5,000 and an estimated...

Condensed financial data of Fairchild Company for 2010 and 2009 are presented below. Additional information: During the year, $70 of common stock was issued in exchange for plant assets. No plant...

Mehta Company traded a used welding machine (cost $9,000, accumulated depreciation $3,000) for office equipment with an estimated fair value of $5,000. Mehta also paid $3,000 cash in the transaction....

Multiple Choice Questions The following questions deal with internal controls in the sales and collection cycle. Choose the best response. a. The accounting system will not post a sales transaction...

Wassons Classic Cars restores classic automobiles to showroom status. Budgeted data for the current year are: The company anticipated that the restorers would work a total of 12,000 hours this year....

The completed financial statement columns of the worksheet for Bray Company are shown as follows. Instructions (a) Prepare an income statement, an owners equity statement, and a classified balance...

1. Calculate the 12 ratios for James Confectioners for this year. 2. How do the ratios you calculated for this year compare to those Ivey calculated for the company last year? What factors most...

Ellas Bakery plans to purchase a new oven for its store. The oven has an estimated useful life of 4 years. The estimated pretax cash flows for the oven are as shown in the table that follows, with no...

Predetermined Overhead Rate; Disposition of Underapplied or Overapplied Overhead Bieler & Cie of Altdorf Switzerland, makes furniture using the latest automated technology. The cornpamiy uses a...

The following transactions were completed by The Irvine Company during the current fiscal year ended December 31: Feb. 8. Received 40% of the $18,000 balance owed by DeCoy Co., a bankrupt business,...

Froya Fabrikker A/S of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in North Sea oil fields. (The Norwegian currency is the krone, which is denoted by Nkr.)...

OBrien Industries Inc. is a book publisher. The comparative unclassified balance sheets for December 31, 2015 and 2014 are provided below. Selected missing balances are shown by letters. The...

Hawthorn Corporations adjusted trial balance contained the following accounts at December 31, 2012: Retained Earnings $120,000; Common Stock $750,000; Bonds Payable $100,000; Paid-in Capital in...

The Green Cab Company has a taxi waiting at each of four cabstands in Evanston, Illinois. Four customers have called and requested service. The distances, in miles, from the waiting taxis to the...

Andrew Thomas, a sandwich vendor at Hard Rock Cafes annual Rockfest, created a table of conditional values for the various alternatives (stocking decision) and states of nature (size of crowd): The...

On January 4 of this year, Diaz Boutique incurs a $105,000 cost to modernize its store. Improvements include new floors, ceilings, wiring, and wall coverings. These improvements are estimated to...

Dexter Products, Inc., manufactures and sells a number of items, including an overnight case. The company has been experiencing losses on the overnight case for some time, as shown on the following...

Presented below are the financial statements of Kurtzel Company. Additional data: 1. Depreciation expense was $17,500. 2. Dividends declared and paid were $20,000. 3. During the year equipment was...

The comparative balance sheet of Hinson Enterprises, Inc. at December 31, 2013 and 2012, is as follows: Additional data obtained from the income statement and from an examination of the accounts in...

Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor...

John Branch is the managing partner of a business that has just finished building a 60-room motel. Branch anticipates that he will rent these rooms for 16,000 nights next year (or 16,000...

The Walton Toy Company manufactures a line of dolls and a doll dress sewing kit. Demand for the dolls is increasing, and management requests assistance from you in determining an economical sales and...

The three-station work cell at Pullman Mfg., Inc. is illustrated in figure S7.8. It has two machines at station 1 in parallel (i.e., the product needs to go through only one of the two machines...

On April 1, 2015, Shoemaker Corporation realizes that one of its main suppliers is having difficulty meeting delivery schedules, which is hurting Shoemakers business. The supplier explains that it...

Variable and Absorption Costing Unit Product Costs and Income Statements; Explanation of Difference in Net Operating Income High Country, Inc., produces and sells many recreational products. The...

Reid Chocolates (see problem 9.6) is considering a third layout, as shown below. Evaluate its effectiveness in trip-distance feet. In problem 9.6, you have just been hired as the director of...

Regina Company manufacturers a professional- grade vacuum cleaner and began operations in 2014. For 2014, Regina budgeted to produce and sell 20,000 units. The company had no price, spending, or...

Refer to the data for Minden Company in Problem 817. The company is considering making the following changes to the assumptions underlying its master budget: In Problem 817 Minden Company is a...

On January 2, 2013, Benson Hospital purchased a $100,000 special radiology scanner from Picard Inc. The scanner had a useful life of 4 years and was estimated to have no disposal value at the end of...

The Farley Manufacturing Company prides itself on the quality of its products. The company is engaged in competition for a very important project. A key element is a part that ultimately goes into...

Is Samsungs product development process customer centered? Team based? Systematic? In the world of consumer electronics, copycat brands are a dime a dozen. These are the brands consumers turn to if...

The Great North Woods Clothing Company sells specialty outdoor clothing through its catalogue. A quality problem that generates customer complaints occurs when a warehouse employee fills an order...

Multiple Choice Questions 1. Plant assets are: A) Current assets. B) Used in operations. C) Natural resources. D) Long-term investments. E) Intangible. 2. The relevant factor(s) in computing...

Triumph Trophies makes trophies and plaques and operates at capacity. Triumph does large custom orders, such as the participant trophies for the Minnetonka Little League. The controller has asked you...

Dempsey Inc. is a retailer operating in British Columbia. Dempsey uses the perpetual inventory method. All sales returns from customers result in the goods being returned to inventory; the inventory...

Below are three scenarios. For each, indicate how the researcher should proceed with the following, giving reasons: a.The purpose of the study b.The type of investigation c.The extent of researcher...

Dousmann Corp.'s sales slumped badly in 2014. For the first time in its history, it operated at a loss. The company's income statement showed the following results from selling 500,000 units of...

In the past, Peter Kelles tire dealership in Baton Rouge sold an average of 1,000 radials each year. In the past 2 years, 200 and 250, respectively, were sold in fall, 350 and 300 in winter, 150 and...

On August 2, 2013, Jun Co. receives a $ 6,000, 90-day, 12% note from customer Ryan Albany as payment on his $ 6,000 account. (1) Compute the maturity date for this note. (2) Prepare Juns journal...

On January 1, 2017, Haley Company had a balance of $360,000 of goodwill on its balance sheet that resulted from the purchase of a small business in a prior year. The goodwill had an indefinite life....

Espresso Express operates a number of espresso coffee stands in busy suburban malls. The fixed .weekly expense of a coffee stand is $1,200 and the variable cost per cup of coffee served is $0.22....

The following are parts of a typical audit for a company with a fiscal year-end of July 31. 1. Confirm accounts payable. 2. Do tests of controls and substantive tests of transactions for the...

The trial balance of the Kellen Davis Company shown below does not balance. Your review of the ledger reveals that each account has a normal balance. You also discover the following errors. 1. The...

In its annual report, WRS Athletic Supply, Inc., includes the following five-year financial summary. Requirement 1. Analyze the companys financial summary for the fiscal years 20112015 to decide...

1. Prepare a list showing all tasks and their durations. 2. Analyze the fact situation carefully to determine which tasks are concurrent and which ones are dependant on other tasks. 3. Using PERT/CPM...

Oak Creek Furniture Factory (OCFF), a custom furniture manufacturer, uses job order costing to track the cost of each customer order. On March 1, OCFF had two jobs in process with the following...

On May 1, Arnie Watson sent a memo to his boss, the director of project management, stating that the MX project would require thirteen weeks for completion according to the figure shown at the top of...

Is JetBlue likely to continue being successful in building customer relationships? Why or why not? In 2007, JetBlue was a thriving young airline with a strong reputation for outstanding service. In...

The following information is available for Wenger Corporation for 2008. 1. Excess of tax depreciation over book depreciation, $40,000. This $40,000 difference will reverse equally over the years...

The Pharma Biotech Corporation spent several years working on developing a DHA product that can be used to provide a fatty-acid supplement to a variety of food products. DHA stands for...

Ling, an audit manager, is planning the audit of Modern Technologies, Inc., (MT, Inc.) a manufacturer of electronic components. This is the first year that Lings audit firm has performed the audit...

The following transactions occur for Badger Biking Company during the month of June: a. Provide services to customers on account for $50,000. b. Receive cash of $42,000 from customers in (a) above....