Homework Lesson 2 due 1/28, please do it fast. And another document due next Thursday.

ACC202 Homework Lesson 2 Use the following Balance Sheet and Income Statement to create the Cash Flow Statement using the Indirect Method Ammons, Inc Ammons, Inc Comparative Balance Sheet Income Statement December 31, 2015 For the Year Ended December 31, 2015 2014 2015 Assets Cash Accounts Receivable, Net Inventory Prepaid Expenses Furniture Accumulated Depreciation, Furniture Total Assets $ 48,000.00 $ 189,600.00 102,000 82,000 191,600 171,600 8,400 10,800 238,000 218,000 (18,000) (34,000) $ 570,000.00 $ 638,000.00 Sales Cost of Goods Sold Gross Profit Operating Expenses: Depreciation Expense Other Expenses Income Before Taxes Income Tax Expense Net Income $ $ 75,200 178,200 $ 976,000 628,000 348,000 253,400 94,600 34,600 60,000 Liabilities and Equity Accounts Payable Wages Payable Income Taxes Payable Long Term Notes Payable Common Stock, $5 Par Value Retained Earnings Total Liabilites and Equity $ $ 42,000 $ 10,000 5,200 138,000 358,000 16,800 570,000 $ 30,000 18,000 2,800 58,000 458,000 71,200 638,000 OTHER INFORMATION: Furniture costing $110,000 is sold at its book value in 2015. Acquisitions of furniture total $90,000 cash, on which no depreciation is necessary because it is acquired at year-end. Lesson 3 Homework Name____________________________________________ Use the following information from the current year financial statements of a company to calculate the ratios below: (a) Current ratio. (b) Accounts receivable turnover. (Assume the prior year's accounts receivable balance was $100,000.) (c) Days' sales uncollected. (d) Inventory turnover. (Assume the prior year's inventory was $50,200.) (e) Times interest earned ratio. (f) Return on common stockholders' equity. (Assume the prior year's common stock balance was $480,000 and the retained earnings balance was $128,000.) (g) Earnings per share (assuming the corporation has a simple capital structure, with only common stock outstanding). (h) Price earnings ratio. (Assume the company's stock is selling for $26 per share.) (i) Divided yield ratio. (Assume that the company paid $1.25 per share in cash dividends.) ACC 202 Lesson 4 Homework Name _________________________________________ 1. A company uses a job order cost accounting system and applies overhead on the basis of direct labor cost. At the end of a recent period, the company's Goods in Process Inventory account appeared as follows: Write in the blanks for the following: (1) The total cost of the direct materials, direct labor, and factory overhead applied in the December 31 goods in process inventory is $_______________________. (2) The company's overhead application rate is __________________% (3) Job No. 6 had $26,550 of direct labor cost. Therefore, the job must have had $________ of direct materials cost. (4) Job No. 8 had $73,998 of direct materials cost. Therefore, the job must have had $________ of factory overhead cost Managerial Accounting - Lesson 5 Homework Name __________________________ A company uses a process cost accounting system. The following information is available regarding direct labor for the current year: (a) Calculate the equivalent units of production for direct labor for the year using Weighted Average. (b) Calculate the average cost per equivalent unit for direct labor (round to the nearest cent). Managerial Accounting - Lesson 6 Homework Name __________________________ 1. Inside Out, Company designs custom showroom spaces in interior design marts across the country. The following data pertain to a recent reporting period. Required (a.) Use ABC to compute overhead rates for each activity. (b.) Assign costs to a 3,000 square foot job that requires 70 contact hours, 20 design hours, and 14 days to complete. Managerial Accounting Lesson 7 Homework Name _________________________ 1. Gabel Industries has collected the following data in order to analyze the behavior of their costs: (a) Using the high-low method, calculate the variable cost per unit and the estimated fixed costs. (b) Using the resulting relationship, predict the costs if they produce 18,500 units in a future period. Managerial Accounting Lesson 8 Homework. Name _____________________ 1. Triton Industries reports the following information regarding its production cost. (a.) Compute production cost per unit under variable costing. (b.) Compute production cost per unit under absorption costing. 2. Castaway Company reports the following first year production cost information. (a.) Determine the net income using variable costing. (b.) Determine the net income using absorption costing. Managerial Accounting Lesson 9 Homework Name ________________________ Tappet Corporation is preparing its master budget for the quarter ending March 31. It sells a single product for $25 a unit. Budget sales are 40% cash and 60% on credit. All credit sales are collected in the month following the sales. Budgeted sales for the next four months follow: At December 31, the balance in accounts receivable is $10,000, which represents the uncollected portion of December sales. The company desires merchandise inventory equal to 30% of the next month's sales in units. The December 31 balance of merchandise inventory is 340 units, and inventory cost is $10 per unit. Forty percent of the purchases are paid in the month of purchase and 60% are paid in the following month. At December 31, the balance of Accounts Payable is $8,000, which represents the unpaid portion of December's purchases. Operating expenses are paid in the month incurred and consist of: Sales commissions (10% of sales) Freight (2% of sales) Office salaries ($2,400 per month) Rent ($4,800 per month) Depreciation expense is $4,000 per month. The income tax rate is 40%, and income taxes will be paid on April 1. A minimum cash balance of $10,000 is required, and the cash balance at December 31 is $10,200. Loans are obtained at the end of a month in which a cash shortage occurs. Interest is 1% per month, based on the beginning of the month loan balance, and must be paid each month. If an excess of cash exists, loan repayments are made at the end of the month. At December 31, the loan balance is $0. Prepare a master budget (round all dollar amounts to the nearest whole dollar) for each of the months of January, February, and March that includes the: Sales budget Table of cash receipts Merchandise purchases budget Table of cash disbursements for merchandise purchases Table of cash disbursements for selling and administrative expenses Cash budget, including information on the loan balance Budgeted income statement Managerial Accounting - Lesson 10 Homework Name ____________________________ 1. Thomas Co. provides the following fixed budget data for the year: Required: Prepare a flexible budget performance report for the year using the contribution margin format. Managerial Accounting - Lesson 11 Homework Name _________________________ 1. A retail store has three departments, A, B, and C, each of which has four full-time employees. The store does general advertising that benefits all departments. Advertising expense totaled $90,000 for the current year, and departmental sales were: How much advertising expense should be allocated to each department? 2. A company produces two joint products (called 101 and 202) in a single operation that uses one raw material called Casko. Four hundred gallons of Casko were purchased at a cost of $800 and were used to produce 150 gallons of Product 101, selling for $5 per gallon, and 75 gallons of Product 202, selling for $15 per gallon. How much of the $800 cost should be allocated to each product, assuming that the company allocates cost based on sales revenue? Managerial Accounting - Lesson 12 Homework Name __________________________ 121. A company produces two boat models, Montauk and Orient. Both products are being considered for major investment projects next year. Relevant data follow: Required: (a) Calculate the net present value and the profitability index of the Montauk (assuming a discount rate of 12%). (b) Calculate the net present value and the profitability index of the Orient. (c) Which boat should the company acquire and why? Genesis Company Balance Sheet December 31, 2012 and 2011 2012 ASSETS Current Assets Cash Accounts Receivable Inventory Total Current Assets $ 327,332.00 92,432.00 210,000.00 629,764.00 Fixed Assets Furniture & Fixtures Accumulated Depreciation Total Fixed Assets 2011 $ 440,000.00 (318,000.00) 122,000.00 28,320.00 88,444.00 144,888.00 261,652.00 375,000.00 (244,000.00) 131,000.00 Total Assets $ 751,764.00 $ 392,652.00 LIABILITIES & EQUITY Current Liabilities Accounts Payable Income Taxes Payable Total Liabilities $ $ 15,500.00 3,200.00 18,700.00 Equity Common Stock, $10 Par Paid In Capital in excess of Par Retained Earnings Total Equity Total Liabilities and Equity 16,888.00 4,400.00 21,288.00 270,000.00 115,000.00 345,476.00 730,476.00 $ 751,764.00 250,000.00 115,000.00 8,952.00 373,952.00 $ 392,652.00 Genesis Company Income Statement For the Year Ended December 31, 2012 Sales Cost of Goods Sold Gross Profit Operating Expenses Depreciation Expense Other Expenses Total Expenses $ 1,320,444.00 650,200.00 670,244.00 74,000.00 244,320.00 318,320.00 Income Before Taxes Income Tax Expense Net Income 351,924.00 15,400.00 $ 336,524.00 Genesis Company Statement of Cash Flows For the Year Ended December 31, 2012 Cash Flows From Operating Activities Net Income Adjustments to reconcile net income to net cash privided by operating activities: Depreciation Add Back Change in Accounts Receivable Change in Inventory Change in Accounts Payable Change in Taxes Payable $ - - Net Cash Provided by Operating Activities Cash Flows From Investing Acitivities Equipment Purchases $ - Net Cash Flows From Investing Activities Cash Flows From Financing Activities Cash Received From Stock Issue - - - Net Cash Flows From Financing Activities - Net Increase In Cash - Cash Balance at Prior Year End - Cash Balance at Current year End $