Each question must show either a qualitative or quantitative explanation. Over explain at the risk of under explaining.

1.List and briefly describe at least five differences between managerial accounting and financial accounting.

1. What is a job-order costing system? What type of company would be most likely to use a job-order costing system?

3.List and briefly explain at least three reasons that a company may have significant variances from static budget performance. Then, list and briefly explain at least three reasons for flex budget performance variances.

1. Tyus Company allocates overhead based on machine hours. Estimated overhead costs for the year total $390,000 and the company estimates that it will use 50,000 machine hours during the year. Tyus works 48,000 machine hours during the year and incurs $380,000 of overhead?

1. What is the overhead application rate for the year?

1. What is the amount of applied overhead for the year?

1. What is the amount of under or overapplied overhead for the year? Label over or under.

1. Why do you think you got the result you got in c above when overhead was less than expected?

1. At the end of the period, Boyd Company had the following balances in selected accounts:

Raw Materials Inventory $ 90,000

Finished Goods 180,000

Work in Process Inventory 70,000

Cost of Goods Sold 1,000,000

Manufacturing Overhead 100,000 (Dr.)

1. Prepare the journal entry to close the Manufacturing Overhead account if

the balance in the account is considered material.

1. Prepare the entry assuming the manufacturing overhead balance is not

considered material.

6.Identify the strengths and weaknesses of the high-low method of separating mixed costs?

7.Harrell Company sells a single product at a price of $57 per unit. Variable costs per unit are $35 and total fixed costs are $719,400. Star is considering the purchase of a new piece of equipment that would increase the fixed costs to $1,023,700, but decrease the variable costs per unit to $28.

a.If Star Company expects to sell 40,000 units next year, should they

purchase this new equipment?

b. What would Star