31? a. Interest Receivable.. 120 Interest Revenue b. Debt Investments 120 120 Interest Revenue c. Interest Receivable..... 120 123 Interest Revenue d. Debt Investments 123 123 Interest Revenue 123 2) Jenney Company had these transactions pertaining to stock investments: Feb. 1 Purchased 2,000 shares of Moure Company (10% ) for $75,000 cash. June 1 Received cash dividends of $2 per share on Moure stock. Oct. 1 Sold 1,200 shares of Moure stock for $62,400 The entry to record the purchase of the Moure stock would include a a. debit to Stock Investments for $45,900. b. credit to Cash for $55,900. c. debit to Stock Investments for $75,000. d. debit to Investment Expense for $5,100 On January 1, 2020, Loko Corporation purchased 25% of the common stock outstanding of Temne Corporation for $270,000. During 2020, Temne Corporation reported net income of $80,000 and paid cash dividends of $40,000. The balance of the Stock Investments- Loko account on the books of Temne Corporation at December 31, 2020 is a. $270,000. b. $280,000. c. $350,000. d. $310,000 3) Nasu Corporation purchased 1,000 shares of Messi common stock ($50 par) at $180 per chare as a short-term investment. The shares were subsequently sold at $188 per share. 4) stments for $45,900. b. credit to Cash for $55,900. C. debit to Stock Investments for $75,000. d. debit to Investment Expense for $5,100 3) On January 1, 2020, Loko Corporation purchased 25% of the common stock outstanding of Temne Corporation for $270,000. During 2020, Temne Corporation reported net income of $80,000 and paid cash dividends of $40,000. The balance of the Stock Investments- Loko account on the books of Temne Corporation at December 31, 2020 is a. $270,000. b. $280,000. c. $350,000. d. $310,000 4) Nasu Corporation purchased 1,000 shares of Messi common stock ($50 par) at $180 per share as a short-term investment. The shares were subsequently sold at $188 per share. The cost of the securities purchased and gain or loss on the sale were Gain or Loss $2,000 gain $8,000 gain $8,000 gain $2,000 loss Cost $150,000 $180,000 $188,000 $180,000 a. b. . d. -) Sokoto Corporation sells 1500 shares of common stock being held as a short-term investment. The shares were acquired six months ago at a cost of $155 a share. Sokoto sold the shares for $140 a share. The entry to record the sale is Cash. a. 210,000 22,500 Loss on Sale of Stock Investments Stock Investments. 232,500 b. Cash 227,500 Gain on Sale of Stock Investments Stock Investments.. 7,500 220,000 C. Cash.... 210,000 Stock Investments. Stock Investments. Loss on Sale of Stock Investments. Cash.. 210,000 d. 220,000 7,500 227,000 6) If 25% of the common stock of an investee company is purchased as a long-term investment, the appropriate method of accounting for the investment is a. the cost method. b. the equity method. c. the preparation of consolidated financial statements. d. determined by agreement with whomever owns the remaining 90% of the stock. 7) On January 1, 2020, Jamestina Corp. paid $1,800,000 for 100,000 shares of Belinda Company's common stock, which represents 25% of Belinda's outstanding common stock. Belinda reported net income of $1,200,000 and paid cash dividends of $600,000 during 2020. Jamestina Corp should report the investment in Belinda Company on its December 31, 2020, balance sheet at: a. $1,800,000 b. $1,758,000 C. $1,818,000 d. $1,950,000 Bonda Corporation's trading portfolio at the end of the year is as follows: 8) Fair Value $112,000 Cost Security Common Stock CSS $110,000 10 000 4E 000 Common stock, which represents 25 % of Belinda's outstanding common stock. Belinda reported net income of $1,200,000 and paid cash dividends of $600,000 during 2020. Jamestina Corp should report the investment in Belinda Company on its December 31, 2020, balance sheet at: a. $1,800,000 b. $1,758,000 c. $1,818,000 d. $1,950,000 8) Bonda Corporation's trading portfolio at the end of the year is as follows: Security Common Stock CSS Common Stock AAD Fair Value $112,000 15,000 $127,000 Cost $110,000 19,000 $129.000 At the end of the year, Bonda Corporation should a. set up a Fair Value Adjustment account for Stock AAD. b. set up a Fair Value Adjustment account for the portfolio. c. recognize an Unrealized Loss-Income for $2,000. d. report a loss on the income statement for $4,000 under "Other expenses and losses." At the end of its first year, the trading securities portfolio consisted of the following common stocks. 9) Fair Value $ 150,000 158,000 176,400 $484,400 Cost $146,500 165,000 180,000 $491,500 Pow Corporation Bun Inc. Ghost Corporation The unrealized loss to be recognized under the fair value method is 10) Vanessa Corp. has common stock of $15,500,000, retained earnings of $12,000,000, unrealized gains on trading securities of $1,100,000 and unrealized losses on available- for-sale securities of $1,200,000. What is the total amount of its stockholders' equity? a. $26,300,000 b. $26,100,000 C. $25,300,000 d. $27,400,000 11) Rare Company had purchases of $580,000. The comparative balance sheet analysis revealed a $115,000 decrease in inventory and a $225,000 increase in accounts payable. What were Rare's cash payments to suppliers? a. $355,000 b. $4700,000 C. $240,000 d. $580,000 12) Kissy Company had an increase in inventory of $515,000. The cost of goods sold was $295,000. There was a $16,000 decrease in accounts payable from the prior period. What were Kissy's cash payments to suppliers? a. $826,000 b. $810,000 C. $844,000 d. $801,000 Jerry Corporation shows income tax expense of $272,000. There has been a $60,000 decrease in federal income taxes payable and a $71,000 increase in state income taxes payable during the year. What was Jerry's cash payment for income taxes? a. $282,000 b. $261,000 C. $276,000 d. $195,000 13) CSI Fashion Market had the following transactions during 2020: 1. Issued $250,000 of par value common stock for cash. 2. Repaid a 5 year note payable in the amount of $235,000. 3. Acquired Equipment by issuing common stock of par value $50,000. 4. Declared and paid a cash dividend of $27,000. 5. Sold a long-term investment (cost $13,000) for cash of $6,000. 6. Acquired an investment in Wagner stock for cash of $10,000. What is the net cash provided by financing activities? a. $21,000 b. $12,000 C. $22,000 d. $0 14) 15) Pace Tech Market had the following transactions during 2020: u. $8,000 16) Parkhill Company purchased treasury stock witha cost of $216,000 during 2020. During the year, the company paid dividends of $220,000 and issued bonds payable for proceeds of $650,000. Cash flows from financing activities for 2020 total a. $214,000 net cash inflow. b. $256,000 net cash inflow. c. $260,000 net cash outflow. d. $244,000 net cash inflow y bice sW bono Sersicgps o.cot ACC 121 19) Tyler Company reported net income of $260,000 for the year. During the year, accounts receivable increased by $18,000, accounts payable decreased by $14,000 and depreciation expense of $15,000 was recorded. Net cash provided by operating activities for the year is a. $243,000. b. $213,000. c. $215,000 d. $255,000. 20) The net income reported on the income statement for the current year was $545,000. Depreciation was $140,000. Account receivable and inventories decreased by $112,000 and $315,000, respectively. Prepaid expenses and accounts payable increased, respectively, by $11,000 and $81,000. How much cash was provided by operating activities? a. $1,182,000 b. $1,204,000 c. $1,316,000 d. $1,311,000 21) Tina's Corp. provided the following partial balance sheet: TINA'S CORPS. 21) Tina's Corp. provided the following partial balance sheet TINA'S CORPS Balance Sheet (partial) Stockholders' Equity: Common Stock $6,000,000 Retained Earnings 2,000,000 Total Paid-in capital and retained earnings 8,000,000 Add: Unrealized gain on available-for-sale securities Total Stockholders' Equity: 1, 800,000 $17.800,000 What effect will the unrealized gain on available-for-sale securities have on comprehensive income? No effect on comprehensive income. b. a. Increase of $1,800,000 in comprehensive income. Increase of $3,800,000 in comprehensive income. d. C. Decrease of $800,000 in comprehensive income. Jemaima Inc. has an investment in available-for-sale securities of $170,000. This investment experienced an unrealized loss of $56,000 during the current year. Assuming a 35% tax rate, the effect of this loss on comprehensive income will be 22) a. no effect. b. $70,000 increase. C. $24,500 decrease. d. $36,400 decrease. 23) West Tech. reports the following amounts for 2020: Net income Average stockholders' equity Preferred dividends Par value preferred stock $ 5,660,000 1,000,000 145,000 350,000 The 2020 rate of return on common stockholders' equity is: a. 5.8% b. 6.6%. C. 8.4%. d. 9.1%. 24) Pagal Corporation had beginning inventory $10,000,000, cost of goods sold $11,750,000, and ending inventory $8,500,000. What was Pagal's inventory turnover? a. 1.3 times b. 1.4 times. C. 1.5 times d. 2 times. 25) In 2020 Freetown Corporation reported net income $390,000, interest expense $162,000, and income tax expense $34,000. Freetown's times interest earned was: a. 4.2 times. b. 3.6 times. C. 3.2 times. d. 4.8 times 26) The following financial statement information is available for Dubai Corporation: 2020 2019 Inventory Current assets Total assets Current liabilities Total liabilities $44,000 80,000 432,000 25,000 102,000 $43,000 106,000 358,000 36,000 88,000 The current ratio for 2020 is a. .31:1. b. 3.2:1 C. 1.5:1. d. 4.24:1 u. 13.59o. 28) Targee Inc. has the following income statement (in millions): Targee, INC Income Statement For the Year Ended December 31, 2020 Net Sales $3,300 Cost of Goods Sold 2,280 Gross Profit 1,950 Operating Expenses 45 Net Income $1,905 Using vertical analysis, what percentage is assigned to Cost of Goods Sold? a. 70% b. 69% 100% d. C. None of these answer choices are correct. Western Beef Department Store had net credit sales of $18,000,000 and cost of goods sold of $150,000,000 for the year. The average inventory for the year amounted to $22,500,000. The average number of days in inventory during the year was a. 365 days. b. 60.8 days. C. 55.3 days. d. 30 days. 29) Ale Corporation had net income of $2,040,000 and paid dividends to common stockholders of $400,000 in 2020. The weighted average number of shares outstanding in 2020 was 600,000 shares. Ale Corporation's common stock is selling for $82 per share on the New York Stock Exchange. Ale Corporation's price-earnings ratio is a. 3.2 times b. 16.0 times. 30) C. 19 times. d. 12.7 times. 31) Linda Company's accounting records reflect the following inventories: d. $i,060,000. 32) Alpha Company's accounting records reflect the following inventories: Dec. 31, 2020 $310,000 300,000 190,000 Raw materials inventory Work in process inventory Finished goods inventory Dec. 31, 2019 $260,000 160,000 150,000 During 2020, $800,000 of raw materials were purchased, direct labor costs amounted to $670,000, and manufacturing overhead incurred was $640,000. Alpha Company's total manufacturing costs incurred in 2020 amounted to a. $2,060,000. b. $2,020,000. c. $1,920,000. d. $2,110,000. Sky Company's accounting records reflect the following inventories: Dec. 31, 2019 $260,000 160,000 1,350,000 33) Raw materials inventory Work in process inventory Finished goods inventory Dec. 31, 2020 $310,000 300,000 1,190,000 During 2020, $800,000 of raw materials were purchased, direct labor costs amounted to $670,000, and manufacturing overhead incurred was $640,000. If Sky Company's cost of goods manufactured for 2020 amounted to $2,080,000, its ccost of goods sold for the year is a. $2,240,000. b. $1,750,000. c. $1,850,000. d. $1,930,000. Wowo Company reported the following year-end information: beginning work in process inventory, $180,000; cost of goods manufactured, $866,000; beginning finished goods inventory, $252,000; ending work in process inventory, $220,000; and ending finished goods inventory, $264,000. Wowo Company's cost of goods sold for the year is a. $854,000. b. $878,000. c. $826,000. d. $602,000. 34) Siri Company reported the following year-end information: Beginning work in process inventory Beginning raw materials inventory Ending work in process inventory Ending raw materials inventory Raw materials purchased Direct labor Manufacturing overhead Siri Company's cost of goods manufactured for the year is a. $4,400,000. b. $4,810,000. C. $4,220,000. d. $4,760,000 35) $2,080,000 1,300,000 900,000 480,000 1,560,000 700,000 550,000 Wilson Inc.'s accounting records reflect the following inventories: Dec. 31 2020 $164,000 116,000 92,000 36) Raw materials inventory Work in process inventory Finished goods inventory Dec 31, 2019 $180,000 104,000 100,000 During 2020, Wilson purchased $2,050,000 of raw materials, incurred direct labor costs of $250,000, and incurred manufacturing overhead totaling $160,000. How much raw materials were transferred to production during 2020 for Wilson? a. $2,066,000 b. $2,466,000 C. $2,450,000 d. $2,434,000 John Brown Inc. 's accounting records reflect the following inventories: Dec. 31, 2019 $ 80,000 104,000 100,000 37) Dec. 31, 2020 $ 64,000 116,000 92,000 Raw materials inventory Work in process inventory Finished goods inventory During 2020, John Brown purchased $1,450,000 of raw materials, incurred direct labor costs of $250,000, and incurred manufacturing overhead totaling $160,000. How much is total manufacturing costs incurred during 2020 for John Brown? a. $1,864,000 b. $1,876,000 c. $1,860,000 d. $1,872,000 Bigtime Company reported the following year-end information: $35,000 18,000 38,000 15,000 560,000 210,000 120,000 38) Beginning work in process inventory Beginning raw materials inventory Ending work in process inventory Ending raw materials inventory Raw materials purchased Direct labor Manufacturing overhead How much is Bigtime's total cost of work in process for the year? a. $925,000 b. $893,000 C. $890,000 d. $928,000 XYZ provided the following information, compute the direct materials used. Raw materials inventory, January 1 Raw materials inventory, December 31 Work in process, January 1 Work in process, December 31 Finished goods, January 1 Finished goods, December 31 Raw materials purchases Direct labor 39) $ 20,000 40,000 18,000 12,000 40,000 32,000 1,700,000 760,000 150,000 50,000 400,000 420,000 Factory utilities Indirect labor Factory depreciation Operating expenses a. $1,760,000. b. $1,720,000 c. $1,700,000. d. $1,680,000. eb versions of Excel, OneNote & Outlook beardh Dege Au home.cunyfirst.cuny.edu User ID: Firstname.Laste ( is the last 2 digits Technology HelpDesk I 2A-306DI PZ Inc. has $200,000 of ending finished goods inventory as of December 31, 2019. If beginning finished goods inventory was $114,000 and cost of goods sold was $80,000, how much would PZ report for cost of goods manufactured? a. $170,000 b. $166,000 c. $160,000 d. $140,000 40) 41) consisted of the following investments: 1. 6,500 shares of Moon common stock purchased for $56 per share. 2. 1,500 shares of Sun common stock purchased for $43 per share. At January 1, 2020, the available-for-sale securities portfolio held by Stir Corporation At December 31, 2020, the market values per share were Moon $46 and Sun $48. Prepare the adjusting entry to report the portfolio at fair value at December 31, 2020 On January 1 Jaraih Corporation purchased a 25% equity in Peaceman Corporation for $210,000. At December 31 Peaceman declared and paid a $60,000 cash dividend and reported net income of $200,000. 42) Instructions (a) Journalize the transactions 45) 31, 2020 Ezekiel Corporation gathered the following information for the fiscal year ended December Sales $1,300,000 Discontinued operations loss Selling and administrative expenses Cost of goods sold Loss on sale of equipment 000'OTT 000 006 000 0 Nola Corporation is subject to a 30% income tax rate. Instructions Prepare a partial income statement, beginning with income before income taxes. Presented below are incomplete 2019 manufacturing cost data for Imani Corporation. 47) Total Manufactur Manufacturi Direct Materi als Used $61,000 Direct Lab ng Overhe ad $54,000 ing Costs or $72,00 0 $252,000 $90,000 $53,00 0 $310,000 $96,000 $53,000 48) Gabriel Manufacturing Company has the following data: Direct labor Direct materials used $145,000 151,000 208,000 26,000 Total manufacturing overhead Beginning work in process Instructions Compute (a) total manufacturing costs and (b) total cost of work in process 31? a. Interest Receivable.. 120 Interest Revenue b. Debt Investments 120 120 Interest Revenue c. Interest Receivable..... 120 123 Interest Revenue d. Debt Investments 123 123 Interest Revenue 123 2) Jenney Company had these transactions pertaining to stock investments: Feb. 1 Purchased 2,000 shares of Moure Company (10% ) for $75,000 cash. June 1 Received cash dividends of $2 per share on Moure stock. Oct. 1 Sold 1,200 shares of Moure stock for $62,400 The entry to record the purchase of the Moure stock would include a a. debit to Stock Investments for $45,900. b. credit to Cash for $55,900. c. debit to Stock Investments for $75,000. d. debit to Investment Expense for $5,100 On January 1, 2020, Loko Corporation purchased 25% of the common stock outstanding of Temne Corporation for $270,000. During 2020, Temne Corporation reported net income of $80,000 and paid cash dividends of $40,000. The balance of the Stock Investments- Loko account on the books of Temne Corporation at December 31, 2020 is a. $270,000. b. $280,000. c. $350,000. d. $310,000 3) Nasu Corporation purchased 1,000 shares of Messi common stock ($50 par) at $180 per chare as a short-term investment. The shares were subsequently sold at $188 per share. 4) stments for $45,900. b. credit to Cash for $55,900. C. debit to Stock Investments for $75,000. d. debit to Investment Expense for $5,100 3) On January 1, 2020, Loko Corporation purchased 25% of the common stock outstanding of Temne Corporation for $270,000. During 2020, Temne Corporation reported net income of $80,000 and paid cash dividends of $40,000. The balance of the Stock Investments- Loko account on the books of Temne Corporation at December 31, 2020 is a. $270,000. b. $280,000. c. $350,000. d. $310,000 4) Nasu Corporation purchased 1,000 shares of Messi common stock ($50 par) at $180 per share as a short-term investment. The shares were subsequently sold at $188 per share. The cost of the securities purchased and gain or loss on the sale were Gain or Loss $2,000 gain $8,000 gain $8,000 gain $2,000 loss Cost $150,000 $180,000 $188,000 $180,000 a. b. . d. -) Sokoto Corporation sells 1500 shares of common stock being held as a short-term investment. The shares were acquired six months ago at a cost of $155 a share. Sokoto sold the shares for $140 a share. The entry to record the sale is Cash. a. 210,000 22,500 Loss on Sale of Stock Investments Stock Investments. 232,500 b. Cash 227,500 Gain on Sale of Stock Investments Stock Investments.. 7,500 220,000 C. Cash.... 210,000 Stock Investments. Stock Investments. Loss on Sale of Stock Investments. Cash.. 210,000 d. 220,000 7,500 227,000 6) If 25% of the common stock of an investee company is purchased as a long-term investment, the appropriate method of accounting for the investment is a. the cost method. b. the equity method. c. the preparation of consolidated financial statements. d. determined by agreement with whomever owns the remaining 90% of the stock. 7) On January 1, 2020, Jamestina Corp. paid $1,800,000 for 100,000 shares of Belinda Company's common stock, which represents 25% of Belinda's outstanding common stock. Belinda reported net income of $1,200,000 and paid cash dividends of $600,000 during 2020. Jamestina Corp should report the investment in Belinda Company on its December 31, 2020, balance sheet at: a. $1,800,000 b. $1,758,000 C. $1,818,000 d. $1,950,000 Bonda Corporation's trading portfolio at the end of the year is as follows: 8) Fair Value $112,000 Cost Security Common Stock CSS $110,000 10 000 4E 000 Common stock, which represents 25 % of Belinda's outstanding common stock. Belinda reported net income of $1,200,000 and paid cash dividends of $600,000 during 2020. Jamestina Corp should report the investment in Belinda Company on its December 31, 2020, balance sheet at: a. $1,800,000 b. $1,758,000 c. $1,818,000 d. $1,950,000 8) Bonda Corporation's trading portfolio at the end of the year is as follows: Security Common Stock CSS Common Stock AAD Fair Value $112,000 15,000 $127,000 Cost $110,000 19,000 $129.000 At the end of the year, Bonda Corporation should a. set up a Fair Value Adjustment account for Stock AAD. b. set up a Fair Value Adjustment account for the portfolio. c. recognize an Unrealized Loss-Income for $2,000. d. report a loss on the income statement for $4,000 under "Other expenses and losses." At the end of its first year, the trading securities portfolio consisted of the following common stocks. 9) Fair Value $ 150,000 158,000 176,400 $484,400 Cost $146,500 165,000 180,000 $491,500 Pow Corporation Bun Inc. Ghost Corporation The unrealized loss to be recognized under the fair value method is 10) Vanessa Corp. has common stock of $15,500,000, retained earnings of $12,000,000, unrealized gains on trading securities of $1,100,000 and unrealized losses on available- for-sale securities of $1,200,000. What is the total amount of its stockholders' equity? a. $26,300,000 b. $26,100,000 C. $25,300,000 d. $27,400,000 11) Rare Company had purchases of $580,000. The comparative balance sheet analysis revealed a $115,000 decrease in inventory and a $225,000 increase in accounts payable. What were Rare's cash payments to suppliers? a. $355,000 b. $4700,000 C. $240,000 d. $580,000 12) Kissy Company had an increase in inventory of $515,000. The cost of goods sold was $295,000. There was a $16,000 decrease in accounts payable from the prior period. What were Kissy's cash payments to suppliers? a. $826,000 b. $810,000 C. $844,000 d. $801,000 Jerry Corporation shows income tax expense of $272,000. There has been a $60,000 decrease in federal income taxes payable and a $71,000 increase in state income taxes payable during the year. What was Jerry's cash payment for income taxes? a. $282,000 b. $261,000 C. $276,000 d. $195,000 13) CSI Fashion Market had the following transactions during 2020: 1. Issued $250,000 of par value common stock for cash. 2. Repaid a 5 year note payable in the amount of $235,000. 3. Acquired Equipment by issuing common stock of par value $50,000. 4. Declared and paid a cash dividend of $27,000. 5. Sold a long-term investment (cost $13,000) for cash of $6,000. 6. Acquired an investment in Wagner stock for cash of $10,000. What is the net cash provided by financing activities? a. $21,000 b. $12,000 C. $22,000 d. $0 14) 15) Pace Tech Market had the following transactions during 2020: u. $8,000 16) Parkhill Company purchased treasury stock witha cost of $216,000 during 2020. During the year, the company paid dividends of $220,000 and issued bonds payable for proceeds of $650,000. Cash flows from financing activities for 2020 total a. $214,000 net cash inflow. b. $256,000 net cash inflow. c. $260,000 net cash outflow. d. $244,000 net cash inflow y bice sW bono Sersicgps o.cot ACC 121 19) Tyler Company reported net income of $260,000 for the year. During the year, accounts receivable increased by $18,000, accounts payable decreased by $14,000 and depreciation expense of $15,000 was recorded. Net cash provided by operating activities for the year is a. $243,000. b. $213,000. c. $215,000 d. $255,000. 20) The net income reported on the income statement for the current year was $545,000. Depreciation was $140,000. Account receivable and inventories decreased by $112,000 and $315,000, respectively. Prepaid expenses and accounts payable increased, respectively, by $11,000 and $81,000. How much cash was provided by operating activities? a. $1,182,000 b. $1,204,000 c. $1,316,000 d. $1,311,000 21) Tina's Corp. provided the following partial balance sheet: TINA'S CORPS. 21) Tina's Corp. provided the following partial balance sheet TINA'S CORPS Balance Sheet (partial) Stockholders' Equity: Common Stock $6,000,000 Retained Earnings 2,000,000 Total Paid-in capital and retained earnings 8,000,000 Add: Unrealized gain on available-for-sale securities Total Stockholders' Equity: 1, 800,000 $17.800,000 What effect will the unrealized gain on available-for-sale securities have on comprehensive income? No effect on comprehensive income. b. a. Increase of $1,800,000 in comprehensive income. Increase of $3,800,000 in comprehensive income. d. C. Decrease of $800,000 in comprehensive income. Jemaima Inc. has an investment in available-for-sale securities of $170,000. This investment experienced an unrealized loss of $56,000 during the current year. Assuming a 35% tax rate, the effect of this loss on comprehensive income will be 22) a. no effect. b. $70,000 increase. C. $24,500 decrease. d. $36,400 decrease. 23) West Tech. reports the following amounts for 2020: Net income Average stockholders' equity Preferred dividends Par value preferred stock $ 5,660,000 1,000,000 145,000 350,000 The 2020 rate of return on common stockholders' equity is: a. 5.8% b. 6.6%. C. 8.4%. d. 9.1%. 24) Pagal Corporation had beginning inventory $10,000,000, cost of goods sold $11,750,000, and ending inventory $8,500,000. What was Pagal's inventory turnover? a. 1.3 times b. 1.4 times. C. 1.5 times d. 2 times. 25) In 2020 Freetown Corporation reported net income $390,000, interest expense $162,000, and income tax expense $34,000. Freetown's times interest earned was: a. 4.2 times. b. 3.6 times. C. 3.2 times. d. 4.8 times 26) The following financial statement information is available for Dubai Corporation: 2020 2019 Inventory Current assets Total assets Current liabilities Total liabilities $44,000 80,000 432,000 25,000 102,000 $43,000 106,000 358,000 36,000 88,000 The current ratio for 2020 is a. .31:1. b. 3.2:1 C. 1.5:1. d. 4.24:1 u. 13.59o. 28) Targee Inc. has the following income statement (in millions): Targee, INC Income Statement For the Year Ended December 31, 2020 Net Sales $3,300 Cost of Goods Sold 2,280 Gross Profit 1,950 Operating Expenses 45 Net Income $1,905 Using vertical analysis, what percentage is assigned to Cost of Goods Sold? a. 70% b. 69% 100% d. C. None of these answer choices are correct. Western Beef Department Store had net credit sales of $18,000,000 and cost of goods sold of $150,000,000 for the year. The average inventory for the year amounted to $22,500,000. The average number of days in inventory during the year was a. 365 days. b. 60.8 days. C. 55.3 days. d. 30 days. 29) Ale Corporation had net income of $2,040,000 and paid dividends to common stockholders of $400,000 in 2020. The weighted average number of shares outstanding in 2020 was 600,000 shares. Ale Corporation's common stock is selling for $82 per share on the New York Stock Exchange. Ale Corporation's price-earnings ratio is a. 3.2 times b. 16.0 times. 30) C. 19 times. d. 12.7 times. 31) Linda Company's accounting records reflect the following inventories: d. $i,060,000. 32) Alpha Company's accounting records reflect the following inventories: Dec. 31, 2020 $310,000 300,000 190,000 Raw materials inventory Work in process inventory Finished goods inventory Dec. 31, 2019 $260,000 160,000 150,000 During 2020, $800,000 of raw materials were purchased, direct labor costs amounted to $670,000, and manufacturing overhead incurred was $640,000. Alpha Company's total manufacturing costs incurred in 2020 amounted to a. $2,060,000. b. $2,020,000. c. $1,920,000. d. $2,110,000. Sky Company's accounting records reflect the following inventories: Dec. 31, 2019 $260,000 160,000 1,350,000 33) Raw materials inventory Work in process inventory Finished goods inventory Dec. 31, 2020 $310,000 300,000 1,190,000 During 2020, $800,000 of raw materials were purchased, direct labor costs amounted to $670,000, and manufacturing overhead incurred was $640,000. If Sky Company's cost of goods manufactured for 2020 amounted to $2,080,000, its ccost of goods sold for the year is a. $2,240,000. b. $1,750,000. c. $1,850,000. d. $1,930,000. Wowo Company reported the following year-end information: beginning work in process inventory, $180,000; cost of goods manufactured, $866,000; beginning finished goods inventory, $252,000; ending work in process inventory, $220,000; and ending finished goods inventory, $264,000. Wowo Company's cost of goods sold for the year is a. $854,000. b. $878,000. c. $826,000. d. $602,000. 34) Siri Company reported the following year-end information: Beginning work in process inventory Beginning raw materials inventory Ending work in process inventory Ending raw materials inventory Raw materials purchased Direct labor Manufacturing overhead Siri Company's cost of goods manufactured for the year is a. $4,400,000. b. $4,810,000. C. $4,220,000. d. $4,760,000 35) $2,080,000 1,300,000 900,000 480,000 1,560,000 700,000 550,000 Wilson Inc.'s accounting records reflect the following inventories: Dec. 31 2020 $164,000 116,000 92,000 36) Raw materials inventory Work in process inventory Finished goods inventory Dec 31, 2019 $180,000 104,000 100,000 During 2020, Wilson purchased $2,050,000 of raw materials, incurred direct labor costs of $250,000, and incurred manufacturing overhead totaling $160,000. How much raw materials were transferred to production during 2020 for Wilson? a. $2,066,000 b. $2,466,000 C. $2,450,000 d. $2,434,000 John Brown Inc. 's accounting records reflect the following inventories: Dec. 31, 2019 $ 80,000 104,000 100,000 37) Dec. 31, 2020 $ 64,000 116,000 92,000 Raw materials inventory Work in process inventory Finished goods inventory During 2020, John Brown purchased $1,450,000 of raw materials, incurred direct labor costs of $250,000, and incurred manufacturing overhead totaling $160,000. How much is total manufacturing costs incurred during 2020 for John Brown? a. $1,864,000 b. $1,876,000 c. $1,860,000 d. $1,872,000 Bigtime Company reported the following year-end information: $35,000 18,000 38,000 15,000 560,000 210,000 120,000 38) Beginning work in process inventory Beginning raw materials inventory Ending work in process inventory Ending raw materials inventory Raw materials purchased Direct labor Manufacturing overhead How much is Bigtime's total cost of work in process for the year? a. $925,000 b. $893,000 C. $890,000 d. $928,000 XYZ provided the following information, compute the direct materials used. Raw materials inventory, January 1 Raw materials inventory, December 31 Work in process, January 1 Work in process, December 31 Finished goods, January 1 Finished goods, December 31 Raw materials purchases Direct labor 39) $ 20,000 40,000 18,000 12,000 40,000 32,000 1,700,000 760,000 150,000 50,000 400,000 420,000 Factory utilities Indirect labor Factory depreciation Operating expenses a. $1,760,000. b. $1,720,000 c. $1,700,000. d. $1,680,000. eb versions of Excel, OneNote & Outlook beardh Dege Au home.cunyfirst.cuny.edu User ID: Firstname.Laste ( is the last 2 digits Technology HelpDesk I 2A-306DI PZ Inc. has $200,000 of ending finished goods inventory as of December 31, 2019. If beginning finished goods inventory was $114,000 and cost of goods sold was $80,000, how much would PZ report for cost of goods manufactured? a. $170,000 b. $166,000 c. $160,000 d. $140,000 40) 41) consisted of the following investments: 1. 6,500 shares of Moon common stock purchased for $56 per share. 2. 1,500 shares of Sun common stock purchased for $43 per share. At January 1, 2020, the available-for-sale securities portfolio held by Stir Corporation At December 31, 2020, the market values per share were Moon $46 and Sun $48. Prepare the adjusting entry to report the portfolio at fair value at December 31, 2020 On January 1 Jaraih Corporation purchased a 25% equity in Peaceman Corporation for $210,000. At December 31 Peaceman declared and paid a $60,000 cash dividend and reported net income of $200,000. 42) Instructions (a) Journalize the transactions 45) 31, 2020 Ezekiel Corporation gathered the following information for the fiscal year ended December Sales $1,300,000 Discontinued operations loss Selling and administrative expenses Cost of goods sold Loss on sale of equipment 000'OTT 000 006 000 0 Nola Corporation is subject to a 30% income tax rate. Instructions Prepare a partial income statement, beginning with income before income taxes. Presented below are incomplete 2019 manufacturing cost data for Imani Corporation. 47) Total Manufactur Manufacturi Direct Materi als Used $61,000 Direct Lab ng Overhe ad $54,000 ing Costs or $72,00 0 $252,000 $90,000 $53,00 0 $310,000 $96,000 $53,000 48) Gabriel Manufacturing Company has the following data: Direct labor Direct materials used $145,000 151,000 208,000 26,000 Total manufacturing overhead Beginning work in process Instructions Compute (a) total manufacturing costs and (b) total cost of work in process