BAC402 Exam I - Problem 5 Interim Reporting 10 Points Background > You are the accountant for a public company that is required to prepare quarterly (interim) financial statements. Required > For each situation below, calculate the appropriate second quarter (2Q) recognition. Annual Using the information below, recognize the appropriate amount of sales that should be recognized for 20. The 1Q sales should be assumed to be reported correctly. 1Q 20 30 40 Sales Actual Sales 5,000 7,200 Budget 4,500 5,000 5,000 4,000 Annual Forecast 5,000 7,200 5,500 4,500 12,200 18,500 22,200 2Q= 2 Using the information below, recognize the appropriate amount of maintenance expense that should be recognized for 20. The 10 maintenance expense should be assumed to be reported correctly. 10 20 3Q 4Q Maintenance Expense Actual Expense 1,000 250 Budget 750 1,200 2,000 500 Annual Forecast 1,000 250 3,000 350 Annual 1,250 4,450 4,600 2Q= BAC402 Exam I - Problem 5 Interim Reporting 10 Points Background > You are the accountant for a public company that is required to prepare quarterly (interim) financial statements. Required > For each situation below, calculate the appropriate second quarter (2Q) recognition. Annual Using the information below, recognize the appropriate amount of sales that should be recognized for 20. The 1Q sales should be assumed to be reported correctly. 1Q 20 30 40 Sales Actual Sales 5,000 7,200 Budget 4,500 5,000 5,000 4,000 Annual Forecast 5,000 7,200 5,500 4,500 12,200 18,500 22,200 2Q= 2 Using the information below, recognize the appropriate amount of maintenance expense that should be recognized for 20. The 10 maintenance expense should be assumed to be reported correctly. 10 20 3Q 4Q Maintenance Expense Actual Expense 1,000 250 Budget 750 1,200 2,000 500 Annual Forecast 1,000 250 3,000 350 Annual 1,250 4,450 4,600 2Q=