1. Below is an incomplete flexible budget for Industrus Enterprises - fill in the respective blanks. Assume the different levels of output are in the relevant range. [10] Various Levels of Output Budget Formula Per Unit 3.000 4.000 5.000 $25 Units Sales Variable costs: Manufacturing Administrative $32,000 $2.625 Fixed costs: Manufacturing Administrative $25,000 $12,500 Operating income 2) Overseek Group of Companies has following information at its disposal: [10] Liability arising from defective products Maintenance of test equipment Disposal of defective products Quality engineering of products Quality training of employees Quality improvement projects Setups for testing Supplies used in testing Downtime caused by defects Net cost of scrap Rework labor Warranty repairs Product recalls $1,000,000 $44,000 $80,000 $20,000 $2,000 $55,000 $3,000 $5,500 $70,000 $30,000 $4,500 $100,000 $200,000 Required: Prepare the quality cost report for Overseek Group of Companies. 3) Agency Stack has shared its reports of the following accounts and balances as of December 31, 2020: [20] Cash Land Machine Accounts Receivable Merchandise Inventory Paid-in Capital Long-term Note Payable Short-term Note Payable Cost of Goods Sold Accounts Payable Sales Revenue Operating Expenses Retained Earnings 24,400 82,400 129,200 18,800 63,600 200,000 79,200 14,400 80,000 $22,800 122,000 40,000 ? Required: Prepare a balance sheet at December 31, 2020. Also, prepare an income statement for the year ended December 31, 2020, 4) The comparative balance sheets and income statement for Dwell Smith Company are presented below: [20] Dwell Smith Company Comparative Balance Sheet For the Year Ended December 31, 2020 December 31, 2019 Cash $16,300 Accounts receivable 27,900 Inventory 53,900 Prepaid rent 1,800 Land 22.000 Fixed assets 118.000 Accumulated depreciation (39,000) Patent 11.000 Total assets $211.900 Accounts payable 21,100 Wages payable 5,700 Interest payable 400 Taxes payable 7.900 Bonds payable, due 2020 36,000 Common stock 32.000 Retained eamings 108 800 Total liabilities and Stockholders' equity $21.00 DwellSmith Company Income Statement For the Year Ended December 31, 2020 December 31, 2020 $19,900 36,300 48.200 2,000 32.000 130,000 (46,000) 12.000 $234.400 27,700 6,200 1,600 6,800 44,000 35,000 113.100 $23. 1.400 $586,000 Sales Cost of goods sold Depreciation expense Amortization expense Wage expense Rent expense Loss on sale of fixed assets Interest expense Income tax expense Total expenses Net income 311,000 14,000 3,000 88,000 24,000 2.600 4,900 56.000 503.500 $82.500 Required: Prepare a statement of cash flows using the indirect method for the year ended December 31, 2020. No land was sold in 2020. Land was purchased using bonds payable for $8.000 and cash for $2.000. A fixed asset was sold in 2020 for $4,100. Purchases of fixed assets and patents were for cash. 1. Below is an incomplete flexible budget for Industrus Enterprises - fill in the respective blanks. Assume the different levels of output are in the relevant range. [10] Various Levels of Output Budget Formula Per Unit 3.000 4.000 5,000 $25 Units Sales Variable costs: Manufacturing Administrative $32,000 $2.625 Fixed costs: Manufacturing Administrative $25,000 $12,500 Operating income 2) Overseek Group of Companies has following information at its disposal: [10] Liability arising from defective products Maintenance of test equipment Disposal of defective products Quality engineering of products Quality training of employees Quality improvement projects Setups for testing Supplies used in testing Downtime caused by defects Net cost of scrap Rework labor Warranty repairs Product recalls $1,000,000 $14,000 $80,000 $20,000 $2,000 $55,000 $3,000 $5,500 $70,000 $30,000 $4,500 $100,000 $200,000 Required: Prepare the quality cost report for Overseek Group of Companies