College Accounting: Chapters 1-30 13th Edition

Chapter Opener: Thinking Critically Fast Facts Managerial Implications: Thinking Critically Discussion Questions 1. 2. 3. 4. 5. 6. 7. 8.Auditing, tax, and management advisory services. 8.Auditing, tax, and management advisory services. 8. Auditing, tax, and management advisory services. 9. 10.Establish accounting policies, direct the accounting system, prepare and interpret financial statements, 10.Establish accounting policies, direct

Student Name: Class: Regular Hours Hours Regular Time Overtime Gross Employee No. Hourly Rate Worked Earnings Earnings Earnings 12.84$ 48 513.60$ 154.08$ 667.68$ 667.68$ 41.40 9.68 36.00 151.00 18.00 100.00 311.60$ Correct! Post Description Ref Debit Credit 2013 Dec. 31 311.60 311.60 Correct! Analyze: How much overtime pay did Kathy earn this year? 28,000.00$ 667.68 28,667.68$ 26,707.20 1,960.48$ Correct! Cumulative earnings prior

In 1990, Gary Erickson lived in a garage with his dog. In 2000, Clif Bar was nearly sold to Quaker Oats for $120 millionErickson backed out of the deal when he experienced panic attacks about the sale. The company has tripled in size since. Clif Bar currently has 230

PROBLEM 10.1B 1. HOURS WORKED 48 Gross Pay $660.40 Less: Social Security Tax 40.94 Medicare Tax 9.58Income Tax Withholding 36.00Health Insurance 165.00Charitable Contribution 19.00Credit Union Savings 75.00Net Pay $314.88 Medicare Tax 9.58Income Tax Withholding 36.00Health Insurance 165.00Charitable Contribution 19.00Credit Union Savings 75.00Net Pay $314.88 Medicare Tax 9.58 Income Tax Withholding 36.00 Health Insurance 165.00 Charitable Contribution 19.00 Credit Union Savings 75.00 Net Pay $314.88 2. POST. REF. 1 2013

Student Name: Class: Earnings for period: $3,500.00 TAX BASE RATE AMOUNT 3,500.00$ 6.20% 217.00$ 3,500.00 1.45% 50.75 3,500.00 0.80% 28.00 3,500.00 5.40% 189.00 Total 484.75$ Correct! Post Description Ref Debit Credit 2013 July 14 484.75 217.00 50.75 28.00 189.00 Correct! McGraw-Hill Instructor Social Security Employer's Payroll Taxes Period Ending July 14, 2013 TOTAL GARDEN CARE Record employer's payroll taxes State Unemployment Tax Payable

New Castle Hotels and Resorts has been in business over 25 years. New Castles management services group has engineered the financial turnaround of over 60 hotels. New Castle Hotels & Resorts 32-hotel portfolio of both owned and managed hotels, includes upscale, upper upscale, and select-service properties that are branded as well as

PROBLEM 11.1B (continued) PAGE POST. REF. 1 2013 1 2 April 8 Payroll Taxes Expense 42600 2 3 Social Security Tax Payable 24800 34 Medicare Tax Payable 5 8 00 45 Federal Unemployment Tax Payable 3 2 00 56 State Unemployment Tax Payable 8 8 00 67 Record taxes on payroll 78 8Analyze: The total

Student Name: Class: Account Name Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit 25,010.00 25,010.00 1,340.00 1,340.00 860.00 a 280.00 580.00 9,000.00 b 1,500.00 7,500.00 1,620.00 c 135.00 1,485.00 360.00 d 90.00 270.00 12,050.00 12,050.00 e 125.00 125.00 6,400.00 6,400.00 f 80.00 80.00 16,700.00 16,700.00 4,500.00 4,500.00 g 52.00 52.00 4,800.00

Urban Outfitters achieved compounded annual sales growth of approximately 19% from 2005 to 2010, with sales of approximately $1.9 billion in fiscal 2010. The first Urban Outfitters store opened 1970 near the University of Pennsylvania campus in Philadelphia. The company circulates nearly 40 million catalogs per year. The company

PROBLEM 12.6A (continued) 28 3 8 6 00 28 3 8 6 00 1 50000 50 000 2 32000 32 000 310000 10 000 412 0 0 0 00 12 0 0 0 00 525 0 0 0 00 25 0 0 0 00 6612500 61 2 500 7500000 500 000 8250000 25

PROBLEM 12.5B (continued) 1 307 1 2 7 93 311 5 4 7 93 249 9 3 7 93 254 4 0 0 00 57 1 9 0 00 57 1 4 7 93 1 2 100000 100000 23 205000 205000 34 9000 9000 45 128000 128000 56 311 5 4 7

Student Name: Class: 1,665,884 17,200 1,648,684 234,000 757,000 12,800 769,800 7,440 10,160 17,600 752,200 986,200 224,000 762,200 886,484 189,600 6,100 4,800 200,500 259,200 20,500 59,330 8,800 347,830 69,600 3,000 5,200 8,290 5,520 54,000 4,600 4,800 8,000 3,000 166,010 714,340 172,144 1,480 7,200 5,720 166,424 Correct! Telephone Expense Utilities Expense Total General and

Whole Foods operates 284 stores with an average store size of 37,000 square feet. The stores feature over 30,000 natural and organic items. To underscore the companys focus on health, it recently created a new Core Company Value Promoting the health of our stakeholders through healthy eating education. Whole

PROBLEM 13.3A (continued) Vincent Arroyo, Capital, January 1, 2013 32,700.00 Net Income for the Year 16,747.75 Less Withdrawals for the Year 14,110.00 Increase in Capital 2,637.75 Vincent Arroyo, Capital, December 31, 2013 35,337.75 Net Income for the Year 16,747.75 Less Withdrawals for the Year 14,110.00 Increase in Capital 2,637.75 Vincent Arroyo,

PROBLEM 13.4B (continued) PAGE POST. REF. 1 1 2 2013 (Adjustment g) 2 3 Dec. 31 Depreciation ExpenseStore Fixtures 205000 3 4 Accumulated DepreciationStore Fixtures 205000 4 5 To record depreciation for 2013 (schedule on file) 56 67 (Adjustment h) 78 31 Interest Expense 9 0 00 89 Interest Payable 9 0 00 910 To record accrued

MINI-PRACTICE SET 2 (continued) PAGE POST. REF. 1 2013 1 2 Oct. 5 Sales Returns and Allowances 402 6 0 0 00 23 Sales Tax Payable 231 3 0 00 34 Accounts ReceivableDimitri Sayegh 111 6 3 0 00 45 Issued Credit Memo 18 for damaged 56 merchandise originally sold on Sales 67 Slip

MINI-PRACTICE SET 2 (continued) ACCOUNT Rent Ex p ense ACCOUNT NO. 2013Oct. 1 CP10 420000 4 20 00031 Closing J18 420000 0 2013Oct. 1 CP10 420000 4 20 00031 Closing J18 420000 0 2013 Oct. 1 CP10 420000 4 20 000 31 Closing J18 420000 0 ACCOUNT Salaries Expense ACCOUNT NO. 2013Oct. 29 J16 1080000 10 80 00031 Closing J18

Student Name: Class: 695,300$ 44,800$ 441,225 486,025 48,500 437,525 257,775 80,500 31,000 11,388 9,000 22,900 5,900 4,400 7,600 18,500 3,500 1,300 28,500 Total Operating Expenses 224,488 Net Income for Year 33,287$ Correct! Problem 14.03A McGraw-Hill Instructor Cost of Goods Sold Sales (Note 1) CORTEZ VIDEO CENTER Income Statement Year Ended December 31, 2013 Payroll Taxes Expense Depreciation Expense (Note

Americans drink an average of 2.6 cups of coffee per day. Green Mountain Coffee Roasters (GMCR) maintains two business units: the Specialty Coffee Business Unit (Green Mountain Coffee and Tullys Coffee brands) and the Keurig Business Unit which produces single-serve coffee makers. The Company employs over 1,400 employees. The

Student Name: Class: Estimated Rate of Estimated Amount Loss Uncollectible 2,040,000$ 0.50% 10,200.00$ 548,600 1.20% 6,583.20 16,783.20$ Correct! Post Description Ref Debit Credit 2010 Dec. 31 16,783.20 16,783.20 2014 Jan. 20 830.00 830.00 Nov. 26 830.00 830.00 Accounts Receivable 392,000.00 Less Allowance for Doubtful Accounts 16,456.40 Less Allowance for Doubtful Accounts 16,456.40 Less Allowance for Doubtful Accounts 16,456.40 375,543.60 Correct! Date

Federal Express Corporation was founded 1971 in Little Rock, Ark. The most popular perk for employees is called jump seating. This allows employees to hitch an unlimited number of free rides anywhere FedEx flies. In 1973 on the first night of continuous operation, 389 Federal Express employees and 14

Student Name: Class: Principal X Rate X Time = Interest Note 1 20,000$ 8.00% 180 800.00$ <--Correct! 360 Note 2 6,000$ 12.00% 3180.00$ <--Correct! 12 Note 3 25,000$ 9.00% 120 750.00$ <--Correct! 360 Interest Calculations SANTAS COMPANY McGraw-Hill Instructor Problem 16.01A Date Amount Rate Term Feb. 15 20,000$ 8.00% 180 days Oct. 3 6,000$ 12.00% 3 months Oct. 18 25,000$ 9.00% 120 days Notes Issued During 2013 SANTAS COMPANY Given

Bank of America reported net income of $14.9 billion in 2007 and $6.3 billion in 2009. Bank of America is the No. 1 overall Small Business Administration (SBA) lender in the United States and the No. 1 SBA lender to minority-owned small businesses. Bank of America serves 1 of

Student Name: Class: Number Unit Total Description of Units Cost Cost Beginning Inventory, January 1 90 $103.00 9,270.00$ Purchases: January 6 60 102.00 6,120.00 January 15 45 102.00 4,590.00 January 22 35 96.00 3,360.00 Total Merchandise Available for Sale 230 23,340.00$ Correct! a. Average Cost Method Cost of Ending Inventory 88 $101.48 8,930.24$ Correct! b.

The Best Buy family of brands and partnerships collectively generates more than $45 billion in annual revenue and includes brands such as Best Buy; Audiovisions; The Carphone Warehouse; Future Shop; Geek Squad, Jiangsu Five Star; Magnolia Audio Video; Napster; Pacic Sales; and The Phone House. Best Buy employs more

Student Name: Class: 4,200,000$ 4,200,000$ Correct! 2,400,000$ 16,000$ 10,000 6,000 6,400 1,850 1,150 50,400 32,000 2,497,800$ Correct! 125,000$ 125,700 250,700$ Correct! McGraw-Hill Instructor Cost of land improvements 3. Land Improvements Cost of land Permit to raze facility Inspection fees Attorney fees Less salvage Construction and paving of parking lot Paving of sidewalks and curbs Leveling of site

The Coca-Cola Company is the worlds largest non-alcoholic beverage company. The Coca-Cola Company sells over 3,300 beverages including Hi-C, Fruitopia, Dasani water, Sprite, Minute Maid, and Powerade. Coca-Cola-Zero, introduced in 2005, was one of the most successful new product launches in the companys history. In 2009, the Company generated $8.2

PROBLEM 18.9A (continued) PAGE POST. REF. 37 31 Impairment of IntangiblesGoodwill 3000000 37 38 Goodwill 3000000 3839 To record Goodwill account balance to 3940 estimated value on December 31 4041 ($200,000 20,000 150,000) = $30,000 4142 42Analyze: Net book value of intangible assets on December 31, 2013 = $1,162,000 ($176,000 + $608,000 + $228,000

Student Name: Class: Adjusting Entries Post Date Description Ref Debit Credit 2013 Jan. 1 40,000 116,000 365,000 75,000 7,000 60,000 529,000 - Correct! 1 423,200 423,200 - Correct! 463,200$ 116,000$ 7,000 109,000 365,000 75,000 1,012,200$ Correct! 55.6% Correct! CONTEMPORARY COMPUTING Balance Sheet January 1, 2013 Instructor in Contemporary Computing To record investment of Reginald Pittman Reginald Pittman, Capital Cash Contemporary Computing To record investment

HVP has assisted in the development of over 80 ambulatory care centers representing over $400 million in value. HVP has worked with over 200 hospitals nationwide. HVP is an employee-owned company. The founders of HVP personally fund the company. All senior-level employees of HVP enjoy a degree of

PROBLEM 19.2B PAGE POST. REF. 1 2013 1 2 Jan. 1 Cash 900000 23 Accounts Receivable 9 00000 34 Merchandise Inventory 86 00000 45 Furniture and Equipment 23 80000 56 Allowance for Doubtful Accounts 220000 67 Accounts Payable 800000 78 Homer Litton, Capital 11760000 89 To record investment of assets by Litton 910 1011

Student Name: Class: Cash 33,300$ Accounts payable 23,000$ Supplies 5,380 Accounts receivable 12,200 Equipment 77,000 Francisco Valdez, Capital 104,880 Total Assets 127,880$ Total Liabilities and Owner's Eq. 127,880$ Correct! Correct! Owner's Equity February 28, 2013 Problem 02.03A McGraw-Hill/Irwin Instructor Balance Sheet VALDEZ EQUIPMENT REPAIR SERVICE Assets Liabilities Cash 33,300$ Supplies 5,380 Accounts receivable 12,200 Equipment 77,000 Accounts payable 23,000 Net Worth

Chapter Opener: Thinking Critically Fast Facts Managerial Implications: Thinking Critically Discussion Questions 1. 2. 3.Inflow of money/assets resulting from sales or use of property 3.Inflow of money/assets resulting from sales or use of property 3. Inflow of money/assets resulting from sales or use of property 4. 5. 6.Subtract total expenses from revenue 6.Subtract total expenses from revenue 6. Subtract total expenses from revenue 7. 8.Balance sheet shows

Student Name: Class: Total Per Per Year Dividends Total Share Total Share 2013 4,000$ 4,000$ 2.00$ -$ -$ 2014 6,000 6,000 3.00 - - 2015 110,000 24,000 12.00 86,000 2.15 Correct! Correct! Correct! Correct! 2013 4,000$ 4,000$ 2.00$ -$ -$ 2014 6,000 6,000 3.00 - - 2015 110,000 62,000 31.00 48,000 1.20 38,000$ 19.00$ 24,000

ConAgra has 24,000 employees worldwide. ConAgra sells nearly 13 million packages of food products every day. From 2006 to 2010, ConAgra saved over $1 billion through supply chain initiatives focused on better management of inventory and materials, smarter transportation, and increased manufacturing efficiency. In 2010, ConAgra piloted a line

PROBLEM 20.1B Year Case A All dividends to Preferred 2013 All dividends to Preferred 2014 5% to Pref.balance to Common 2015 Case B All dividends to Preferred 2013$ 0 $64,000 $64,000 $2.00 $ 0 All dividends to Preferred 2013$ 0 $64,000 $64,000 $2.00 $ 0 All dividends to Preferred 2013 $ 0 $64,000 $64,000 $2.00 $ 0 ($32,000

Student Name: Class: Debit Credit Debit Credit Debit Credit Debit Credit 46,570 46,570 149,800 149,800 2,000 2,000 100,000 a 105,000 a 100,000 105,000 100,000 100,000 300,000 300,000 37,500 b 12,500 50,000 250,000 250,000 25,000 c 25,000 50,000 105,220 105,220 19,200 19,200 21,600 21,600 d 8,000 8,000 f65 65 160,000 160,000 16,000 16,000 240,000

The first McDonalds hamburger stand was located in San Bernardino, CA. Ray Kroc convinced the McDonald brothers to expand their business and open several new restaurants so Kroc could sell more of the multi-mixer milkshake machines he was selling. Kroc decided to take matters into his own hands and

PROBLEM 21.4A (continued) ACCOUNT 10% Preferred Stock, $10 Par ACCOUNT NO. 2013Jan. 1 Balance 80 0 0 0 00 2013Jan. 1 Balance 80 0 0 0 00 2013 Jan. 1 Balance 80 0 0 0 00 ACCOUNT Paid-in Capital in Excess of Par ValuePreferred ACCOUNT NO. 2013 Jan. 1 Balance 800000 Jan. 1 Balance 800000 Jan. 1 Balance 800000 ACCOUNT Common

PROBLEM 21.3B PAGE POST. REF. 1 2013 1 2 June 15 Retained Earnings 381 625000 23 Dividends PayablePreferred 125000 34 Dividends PayableCommon 5 0 0 0 00 45 Declared 5% dividend on preferred and 56 $1.00 per share on common, payable July 15 67 to holders of record July 1 78 89 July 15

Heinz products enjoy #1 or #2 market share in more than 50 countries.Heinz sells 650 million bottles of its iconic Ketchup every year.Heinz employs approximately 32,500 people around the globe.Heinz was founded in Sharpsburg (a suburb of Pittsburgh), Pennsylvania, in 1869 by entrepreneur Heinz products enjoy #1

PROBLEM 22.5B POST. REF. 1 2016 1 2 Oct. 1 10% Bonds Payable, 2023 400 0 0 0 00 2 3 Gain on Early Retirement of Bonds 381600 34 Discount on Bonds Payable 218400 45 Cash 394 0 0 0 00 56 Record early retirement of bonds retired at 98.5 67 7Analyze: The credit

MINI-PRACTICE SET 3 (continued) ACCOUNT 5% Preferred Stock ($100 par, 10,000 shares authorized) ACCOUNT NO. 2013 Jan. 1 Balance 100000005 10000000 20000000 Jan. 1 Balance 100000005 10000000 20000000 Jan. 1 Balance 10000000 5 10000000 20000000 ACCOUNT Paid-in Capital in Excess of ParPreferred Stock ACCOUNT NO. 2013 Jan. 1 Balance 10000005 100000 1100000 Jan. 1 Balance 10000005 100000 1100000 Jan. 1 Balance

Student Name: Class: 2013 2012 2013 2012 Amount Percent 905,000 765,000 101.7% 101.2% 140,000 18.3% 15,000 9,000 1.7% 1.2% 6,000 66.7% 890,000 756,000 100.0% 100.0% 134,000 17.7% 84,000 80,000 9.4% 10.6% 4,000 5.0% 306,000 262,000 34.4% 34.7% 44,000 16.8% 390,000 342,000 43.8% 45.2% 48,000 14.0% 86,000 84,000 9.7% 11.1% 2,000 2.4% 304,000 258,000 34.2% 34.1% 46,000 17.8% 586,000 498,000 65.8% 65.9%

Teva Pharmaceutical is among the top 15 pharmaceutical companies in the world and the leader in generic pharmaceuticals. Teva currently operates in over 60 countries with some 40,000 employees worldwide. Teva Research Development focuses on therapies for the central nervous system (with emphasis on multiple sclerosis), autoimmune diseases, and

PROBLEM 23.1B 1. 2013 2012 PERCENT* Revenue Sales 573500 425500 100.6% 100.6% 1 4 8 0 0 0 34.8% Less Sales Returns and Allowances 3500 2500 0.6% 0.6% 1 0 0 0 40.0%Net Sales 570000 423000 100.0% 100.0% 1 4 7 0 0 0 34.8%Cost of Goods SoldMerchandise Inventory, January 1 36000 34000 6.3% 8.0%

Student Name: Class: 80,000$ 18,000$ (50,000) (2,600) (17,000) (51,600) 28,400 (50,000) (50,000) 50,000 10,000 60,000 38,400 39,500 77,900$ Correct! Net cash provided by operating activities Total adjustments Decrease in accounts payable Increase in merchandise inventory Cash Flows from Operating Activities Increase in accounts receivable Depreciation Adjustments: Net Income for year Cash Flows from financing Activities Net cash used

In 2009, Apple had approximately 34,300 full-time equivalent employees and an additional 2,500 full-time equivalent temporary employees and contractors. Annual sales in fiscal year 2009 were $36.5 billion. The company, incorporated January 3, 1977, as "Apple Computer, Inc." In 2007, the company dropped "Computer" from its corporate name

SOLUTIONS TO BUSINESS CONNECTIONS Managerial Focus: 1. Identifies actual cash received and used to forecast additional cash outflow required if borrowing money. 2. Disagree. Current profits will not be enough to sustain the business in the long term. 2. Disagree. Current profits will not be enough to sustain the business in

Student Name: Class: Department Department A B Total 536,250 288,750 825,000 4,200 2,800 7,000 532,050 285,950 818,000 45,000 15,000 60,000 200,000 115,000 315,000 500 500 1,000 200,500 115,500 316,000 1,500 500 2,000 199,000 115,000 314,000 244,000 130,000 374,000 41,000 11,000 52,000 203,000 119,000 322,000 329,050 166,950 496,000 100,000 50,000 150,000 15,000 5,000 20,000 660

The company is divided into three business segments: Girls, Boys, and Infant/Preschool divisions. The companys first products were picture frames. A side business of dollhouse furniture made from picture frame scraps led the company into the toy business. In 1955, Mattel, Inc. became the first year-round sponsor of a

Student Name: Class: 39,000 22,000 192,500 214,500 20,000 194,500 195,000 36,000 23,000 24,000 5,000 6,000 5,000 4,500 9,000 8,000 120,500 510,000 549,000 36,000 513,000 Correct! 1,000,000 5,500 994,500 35,000 513,000 548,000 30,000 518,000 476,500 120,000 12,000 8,000 DOOLEY MANUFACTURING COMPANY DOOLEY MANUFACTURING COMPANY Year Ended December 31, 2013 Statement of Cost of Goods Manufactured Income Statement Year Ended December 31, 2013

Ford Motor Co. has said it plans to close 14 manufacturing plants in North America and cut between 25,000 to 30,000 jobs by 2012. Ford is the leading U.S.-based producer of hybrid-electric vehicles, with record sales that were up 72 percent in 2009. With about 198,000 employees and about

PROBLEM 26.1B Work in Process, January 1 30 0 0 0 00 Raw Materials Raw Materials, January 1 29 0 0 0 00Materials Purchases 395 0 0 0 00Freight In 10 0 0 0 00Less Purchases Returns and Allowance 400000Delivered Cost of Raw Materials 401 0 0 0 00Total Materials Available 430 0

Student Name: Class: Post Date Ref Debit Credit 2013 April 31 82,000 82,000 31 75,000 5,000 80,000 31 50,000 2,000 3,100 754 7,800 40,222 31 28,000 28,000 Salaries and Wages Payable Medicare Tax Payable Employee Income Tax Payable Accounts PayableWork in Process Inventory (Direct Labor)Manufacturing Overhead (Indirect Labor) Social Security Tax Payable Cost of direct

Spring Air operates on tight deadlines; sometimes having to manufacture 300 beds overnight to meet an order. Founded in 1926, The Spring Air Company is one of the worlds largest mattress manufacturing companies with more than 1,000 employees in 13 locations. Spring Air consumer brands include: Back Supporter, Natures

Student Name: Class: 2,900 100 3,000 <--Correct! 2,900 90 2,990 <--Correct! 2,600 240 2,840 <--Correct! 2,600 240 2,840 <--Correct! 2,200 360 2,560 <--Correct!2,200 360 2,560 <--Correct!Equivalent production for labor and overhead in completion department Work in processLabor and Overhead: Units transferred to finished goodsEquivalent production for materials in completion department Work in process 360 2,560 <--Correct!2,200 360

The company was founded to transport kerosene from eastern refineries to Utah by railroad tank and sell it in bulk, making it affordable for the pioneers. Today, the Conoco brand is owned by ConocoPhillips and Conoco Quality PROclean Gasolines are sold at more than 3,100 retail fuel sites in

PROBLEM 28.2B PAGE POST. REF. 1 2013 1 2 May 31 Work in Process InventoryFabricating Depart. 51 9 2 0 00 2 3 Work in ProcessAssembly Depart. 798000 3 4 Raw Materials Inventory 59 9 0 0 00 45 56 31 Work in Process InventoryFabricating Depart. 34 8 8 0 00 67 Work in ProcessAssembly Department

Student Name: Class: 2,250 2,500 2,750 90% 100% 110% 2,250.00 2,500.00 2,750.00 562.50 625.00 687.50 337.50 375.00 412.50 900.00 1,000.00 1,100.00 562.50 625.00 687.50 4,612.50 5,125.00 5,637.50 1,800.00 1,800.00 1,800.00 100.00 100.00 100.00 100.00 100.00 100.00 200.00 200.00 200.00 1,200.00 1,200.00 1,200.00 500.00 500.00 500.00 200.00 200.00 200.00 4,100.00 4,100.00 4,100.00 8,712.50 9,225.00

Revenue for Harley-Davidson was $4.2 billion in 2009. In 2009, the Company shipped 223,023 Harley-Davidson motorcycles worldwide, compared to 303,479 in 2008. Harley-Davidson consistently makes Fortune magazines annual 100 Best Companies to Work For list. Every year, about one-half of all new Harley-Davidson motorcycles are sold to existing Harley

Student Name: Class: 60,000 60,000 Correct! Correct! 16,000 16,000 Correct! Correct! 950 950 Correct! Correct! 16,000 16,000 Correct! Correct! 10,000 10,000 Correct! Correct! 3,000 3,000 Correct! Correct!950 950 Correct! Correct!4,000 4,000 Correct! Correct!CashCashOffice EquipmentAccounts PayableGreta Davis, DrawingAccounts Payable 3,000 3,000 Correct! Correct!950 950 Correct! Correct!4,000 4,000 Correct! Correct!CashCashOffice EquipmentAccounts PayableGreta Davis, DrawingAccounts Payable 3,000 3,000 Correct! Correct! 950 950 Correct!

Chapter Opener: Thinking Critically Fast Facts Managerial Implications: Thinking Critically Discussion Questions 1. 2.Written records for all assets, liabilities, and owners equity of a business. 2.Written records for all assets, liabilities, and owners equity of a business. 2. Written records for all assets, liabilities, and owners equity of a business. 3. 4.To provide a

PROBLEM 3.2B 1. + 20,000 + 20,000 2.+ 1,800 - 1,8003.+ 1,200 + 1,2004.+ 10,000 - 10,0005.+ 3,000 + 3,0006.+ 2,500 + 2,5007.- 400 - 400Store Equipment Accounts PayableTruck CashAccounts Payable CashStore Equipment Accounts PayableShop Equipment CashShop Equipment Joseph Tejan, Capital 2.+ 1,800 - 1,8003.+ 1,200 + 1,2004.+ 10,000 - 10,0005.+ 3,000 + 3,0006.+

Student Name: Class: 417,000$ 11,250$ 133,400$ 75,000 208,400 219,650 11,361 208,289 208,711 12,000 50,000 62,000 146,711$ Correct!417,000$ OMEGA CORPORATIONIncome Statement (Direct Costing)For the Year Ended December 31, 2013Cost of Goods SoldSales Correct!417,000$ OMEGA CORPORATIONIncome Statement (Direct Costing)For the Year Ended December 31, 2013Cost of Goods SoldSales Correct! 417,000$ OMEGA CORPORATION Income Statement (Direct Costing) For the Year

Avon Representatives collectively earn an estimated $6 billion each year Avons brand has 90% awareness across the globe and the company sells four lipsticks every second of the day. The Avon Foundation for Women is the worlds largest corporate philanthropy for women, and has raised and awarded $725 million.

Student Name: Class: Post Description Ref Debit Credit Sept. 1 1,400 1,400 Correct! 5 2,500 2,500 Correct! 6 1,350 1,350 Correct! 10 600 600 Correct! 11 840 840 Correct! 12 3,200 3,200 Correct! 15 4,200 4,200 Correct! 18 2,000 2,000 Correct! 19 2,250 2,250 Correct! 20 2,760 2,760 Correct! 21 950 950 Correct! 21 450 450 Correct! 22 3,260 3,260 Correct! 23 4,850 4,850 Correct! 26 460 460 Correct! 28

1.Assets, liabilities, and owners equity first, followed by revenue accounts, then expenses. They are in 1.Assets, liabilities, and owners equity first, followed by revenue accounts, then expenses. They are in 1. Assets, liabilities, and owners equity first, followed by revenue

PROBLEM 4.1B (continued) PAGE 2 POST. REF. 1 2013 1 2 Sept. 10 Equipment Repair Expense 2 5 0 00 2 3 Cash 2 5 0 00 3 4 Paid for equipment repairs, Check 1002 4 5 5 6 12 Cash 490000 67 Accounts Receivable 490000 78 Received cash on account 89 910 14 Salaries Expense 950000 1011

CRITICAL THINKING PROBLEM 4.1 (continued) 1830000 450000 9000015000850006400001190000Repair ExpenseUtilities ExpenseTotal ExpensesNet IncomeRent Expense 9000015000850006400001190000Repair ExpenseUtilities ExpenseTotal ExpensesNet IncomeRent Expense 90000 15000 85000 640000 1190000 Repair Expense Utilities Expense Total Expenses Net Income Rent Expense 2460000 1190000 2000009900003450000Ken Oxford, Capital, April 30, 2013Increase in CapitalLess Withdrawals for April 2000009900003450000Ken Oxford, Capital, April 30, 2013Increase in CapitalLess Withdrawals for April 200000 990000 3450000 Ken Oxford, Capital, April 30, 2013 Increase in Capital Less Withdrawals for April 750000

Student Name: Class: Account Name Debit Credit Debit Credit Debit Credit Debit Credit Debit Credit 104,000 104,000 104,000 20,800 20,800 20,800 38,400 a 32,000 6,400 6,400 60,000 b 10,000 50,000 50,000 108,000 108,000 - 108,000 c2,200 2,200 2,200 24,800 24,800 24,800 252,000 252,000 252,000 14,400 14,400 14,400 103,200 103,200 103,200 a32,000 32,000 32,000

William Boeing founded Pacific Aero Products Company in 1916; the name was changed to Boeing in 1917. In 1917, the company employed 28 people. In 2007, Boeing employed more than 150,000 people in 48 U.S. states and 70 foreign countries. Boeing is the largest contractor working for NASA. Along

PROBLEM 5.2B Glenn Brantley, Attorney-at-Law Worksheet (Partial) 1 Cash 70 1 0 0 00 2 Accounts Receivable 17 0 0 0 00 3 Supplies 20 8 0 0 00 (a) 7 2 0 0 00 4 Prepaid Rent 88 4 0 0 00 (b) 6 8 0 0 00 5 Equipment 132 0 0 0 006 (c)

Student Name: Class: Page 3 Post Date Ref Debit Credit Adjusting Entries ### Dec. 31 517 2,400 121 2,400 Correct! 31 526 3,000 131 3,000 Correct! 31 523 2,400 142 2,400 Correct! Page 4 Post Date Ref Debit Credit Closing Entries ### Dec. 31 401 75,000 399 75,000 Correct! 31 399 24,000 Correct! 517 2,400 526 3,000 523 2,400 511 14,400 514 1,800 31 309 51,000 301

1.Worksheet. 1.Worksheet. 1. Worksheet. 2. 3.Transfer results of operations to the owners capital account; Reduce balances of revenue, expense, 3.Transfer results of operations to the owners capital account; Reduce balances of revenue, expense, 3. Transfer results of operations to the owners capital account; Reduce balances of revenue, expense, 4. 5.Journalize and post

PROBLEM 6.3A (continued) ACCOUNT Utilities Expense ACCOUNT NO. 2013 Dec. 31 Balance 67200031 Closing J4 672000 0Analyze: The balance in the Salaries Expense account is $0. Dec. 31 Balance 67200031 Closing J4 672000 0Analyze: The balance in the Salaries Expense account is $0. Dec. 31 Balance 672000 31 Closing J4 672000 0 Analyze: The balance in the

PROBLEM 6.4B (continued) 31 9 5 0 00 31 9 5 0 00 1 11 3 4 0 00 11 3 4 0 00 2 13 0 5 0 00 13 0 5 0 00 3 28 8 0 0 00 28 8 0 0 00 4312000 312000 512 6 0 0 00 12

PAGE POST. REF. 1 2014 1 2 Jan. 2 121 4 0 0 0 00 2 3 Cash 101 4 0 0 0 00 3 4 Bought supplies for cash, Check 1015 4 5 56 2 Prepaid Insurance 134 600000 67 Cash 101 6000 00 78 Purchased one year of insurance, Check 1016 89 910 7

Once an order is generated, indi creates a customized garment and ships it to the customer for free within 4 weeks. All orders come with a Perfect Fit Promise and Worry-Free Shopping Guarantee, which promises fit adjustments until 100% satisfaction or customers money back. The average price for

PROBLEM 7.1B (continued) ACCOUNT Accounts Receivable ACCOUNT NO. 2013 June 1 Balance 73 0 0 0 0030 S8 918000 8218000 June 1 Balance 73 0 0 0 0030 S8 918000 8218000 June 1 Balance 73 0 0 0 00 30 S8 918000 8218000 ACCOUNT Sales Tax Payable ACCOUNT NO. 2013 June 30 S8 6 8 0 00 6 8

Net revenues for 2009 declined 8%, from $3.4 billion in 2008 to $3.1 billion in 2009 Williams-Sonoma, Inc. owns and operates six separate, home-centered retail businesses: Williams-Sonoma, Pottery Barn, Pottery Barn Kids, PBTeen, Williams-Sonoma Home and West Elm. The company operates 590 retail stores.Answers will vary. Students should recognize

PROBLEM 8.4A (continued) Purchases $34,116 Freight In 596Delivered Cost of Purchases $34,712Less Purchases Returns and Allowances 1,480Net Delivered Cost of Purchases $33,232Chapter 8 261Copyright 2012 The McGraw-Hill Companies, Inc. All rights reserved. Freight In 596Delivered Cost of Purchases $34,712Less Purchases Returns and Allowances 1,480Net Delivered Cost of Purchases $33,232Chapter 8 261Copyright 2012 The

PROBLEM 8.4B (continued) ACCOUNT Accounts Payable ACCOUNT NO. 2013 Feb. 1 Balance 152000020 J12 20000 150000027 J12 24000 147600028 P4 1205000 2681000 Feb. 1 Balance 152000020 J12 20000 150000027 J12 24000 147600028 P4 1205000 2681000 Feb. 1 Balance 1520000 20 J12 20000 1500000 27 J12 24000 1476000 28 P4 1205000 2681000 ACCOUNT Purchases ACCOUNT NO. 2013 Feb. 28 P4 1178000 1178000 Feb.

Student Name: Class: 3,639 200 3,839 18 15 33 3,806 <--Correct! 3,972 160 6 166 3,806 <--Correct! Post Description Ref Debit Credit April 30 160 160 <--Correct! 30 6 6 <--Correct! McGraw-Hill/Irwin Instructor VACATION PARADISE Bank Reconciliation Statement April 30, 2013 VACATION PARADISE To record bank service charge for April Cash Deductions: Balance in books Miscellaneous Expense To record NSF check returned by bank Cash Accounts Receivable/Doris

H&R Block worked with the IRS to file the first electronic tax returns in 1986, 22,000 in all. In 2009, H&R Block filed over 22 million tax returns electronically. The companys 120,000 tax professionals have an average of five years experience and more than 300 hours of training. H&R

PROBLEM 9.3A (continued) PAGE GENERAL JOURNAL 17 DATE DEBIT CREDIT POST. REF.DESCRIPTION Chapter 9 315Copyright 2012 The McGraw-Hill Companies, Inc. All rights reserved. Chapter 9 315Copyright 2012 The McGraw-Hill Companies, Inc. All rights reserved. Chapter 9 315 Copyright 2012 The McGraw-Hill Companies, Inc. All rights reserved. 1 2013 1 2 April 15 Sales Returns and Allowances 8 0 0 00 2 33 4

PROBLEM 9.2B (continued) ACCOUNT Accounts Payable ACCOUNT NO. 2013 Sept. 1 Balance 98000030 CP12 456000 524000 Sept. 1 Balance 98000030 CP12 456000 524000 Sept. 1 Balance 980000 30 CP12 456000 524000 ACCOUNT Sales Tax Payable ACCOUNT NO. 2013 Sept. 1 Balance 1344001 CP12 134400 0 Sept. 1 Balance 1344001 CP12 134400 0 Sept. 1 Balance 134400 1 CP12 134400 0 ACCOUNT Fred Lynn,

CRITICAL THINKING PROBLEM 9.1 (continued) PAGE PURCHASED FROM INVOICE NUMBER INVOICE DATE TERMS POST. REF. 2013 Sept. 6 Reed Millings Company 827 9/3 2/10, n/30 445000 445000 14 Wells Products 9453 9/11 n/30 378400 370000 840021 Nelson Craft Products677 9/18 2/10, n/30 280000 28000027 Booker, Inc. 1368 9/23 n/45 432800 420000 1280030 Totals 1536200 1515000 21200(205) (501) (502) 14 Wells

Chapter 01 - Accounting: The Language of Business 1-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 01 - Accounting: The Language of Business 1-14 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 10 - Payroll Computations, Records, and Payment 10-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 10 - Payroll Computations, Records, and Payment 10-20 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 11 - Payroll Taxes, Deposits, and Reports 11-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 11 - Payroll Taxes, Deposits, and Reports 11-19 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 12 - Accruals, Deferrals, and the Worksheet 12-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 12 - Accruals, Deferrals, and the Worksheet 12-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 12 - Accruals, Deferrals, and the Worksheet 12-32 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 13 - Financial Statements and Closing Procedures 13-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 13 - Financial Statements and Closing Procedures 13-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 13 - Financial Statements and Closing Procedures 13-33 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 14 - Accounting Principles and Reporting Standards 14-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 14 - Accounting Principles and Reporting Standards 14-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 14 - Accounting Principles and Reporting Standards 14-33 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 15 - Accounts Receivable and Uncollectible Accounts 15-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 15 - Accounts Receivable and Uncollectible Accounts 15-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 15 - Accounts Receivable and Uncollectible Accounts 15-33 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 16 - Notes Payable and Notes Receivable 16-1 16-1 16-1 Chapter 16 Notes Payable and Notes Receivable True / False Questions True / False Questions True / False Questions 1. The interest on a $5,000 face value, 3-month note bearing interest at 9 percent a year would

Chapter 16 - Notes Payable and Notes Receivable 16-21 16-21 16-21 56. The Jiminez Company accepted an interest-bearing note to settle a past-due account originating from a sale of merchandise. When the note is collected, the interest earned should be credited to A. Interest Income. B. Sales. C. Allowance for

Chapter 17 - Merchandise Inventory 17-1 17-1 17-1 Chapter 17 Merchandise Inventory True / False Questions True / False Questions True / False Questions 1. In a period of rising prices, the LIFO method of inventory valuation results in a lower reported net income than the FIFO method.

Chapter 17 - Merchandise Inventory 17-19 17-19 17-19 54. The retail method is a means of estimating A. selling price. B. beginning inventory cost. C. retail price of inventory. D. ending inventory cost. A. selling price. B. beginning inventory cost. C. retail price of inventory. D. ending inventory cost. A.

Chapter 18 - Property, Plant, and Equipment 18-1 18-1 18-1 Chapter 18 Property, Plant, and Equipment True / False Questions True / False Questions True / False Questions 1. Land purchased for a future building site or as an investment would not be shown in the Property, Plant,

Chapter 18 - Property, Plant, and Equipment 18-21 18-21 18-21 58. Financial accounting rules (GAAP) and federal income tax rules differ for handling depreciation on the trade-in of an asset. Which of the following is correct? A. Option A. B. Option B. C. Option C. D. Option D.

Chapter 18 - Property, Plant, and Equipment 18-35 77. DJG Corporation purchased land in order to build new corporate headquarters for a purchase price of $758,000. The lawyers charged $2,500 to handle the legal aspects of the purchase. Closing costs paid by DJG amounted to $15,160. There was an old

Chapter 19 - Accounting for Partnerships 19-1 19-1 19-1 Chapter 19 Accounting for Partnerships True / False Questions True / False Questions True / False Questions 1. A partnership has a limited life. It ends with the death or withdrawal of a partner. TRUE TRUE TRUE AACSB:

Chapter 19 - Accounting for Partnerships 19-21 19-21 19-21 55. Kara Johnson and Tyler Jones are partners, and each has a capital balance of $100,000. To gain admission to the partnership, Raiden Nash pays $60,000 directly to Johnson for one-half of her equity. After the admission of Nash, the total

Chapter 19 - Accounting for Partnerships 19-37 19-37 19-37 69. Lenik and Olsen are partners who share profits and losses in the ratio of 60 and 40 percent, respectively. The partnership agreement provides that each will be paid a yearly salary of $19,000. The salaries were paid to the partners

Chapter 02 - Analyzing Business Transactions 2-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. 2-1 2012

Chapter 02 - Analyzing Business Transactions 2-19 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. 2-19 2012

Chapter 20 - Corporations: Formation and Capital Stock Transactions 20-1 20-1 20-1 Chapter 20 Corporations: Formation and Capital Stock Transactions True / False Questions True / False Questions True / False Questions 1. The stockholders of a corporation are agents of the corporation empowered to act for the

Chapter 20 - Corporations: Formation and Capital Stock Transactions 20-21 20-21 20-21 Short Answer Questions Short Answer Questions Short Answer Questions 60. Santorini Corporation has outstanding 300,000 shares of $70 par-value preferred stock, issued at an average price of $84 a share. The preferred stock is convertible

Chapter 20 - Corporations: Formation and Capital Stock Transactions 20-34 20-34 20-34 75. McDougall Corporation issued 40,000 shares of its $2 par-value common stock for cash at $20 a share. Record the issuance of the stock on page 1 of a general journal. Omit the description.

Chapter 21 - Corporate Earnings and Capital Transactions 21-1 21-1 21-1 Chapter 21 Corporate Earnings and Capital Transactions True / False Questions True / False Questions True / False Questions 1. A corporation may report net income for federal income tax purposes at an amount different from the

Chapter 21 - Corporate Earnings and Capital Transactions 21-21 21-21 21-21 59. After all revenue and expense accounts, other than Income Tax Expense, have been extended to the Income Statement section of the worksheet of Carlton Corporation, the net income is determined to be $75,000. Using the following corporate income

Chapter 21 - Corporate Earnings and Capital Transactions 21-36 AACSB: Analytic AICPA BB: Critical Thinking Bloom's: Apply Learning Objective: 21-01 Estimate the federal corporate income tax and prepare related journal entries. Learning Objective: 21-03 Record corporate adjusting and closing entries. Learning Objective: 21-05 Record the declaration and

Chapter 22 - Long-Term Bonds 22-1 22-1 22-1 Chapter 22 Long-Term Bonds True / False Questions True / False Questions True / False Questions 1. The Bonds Payable account would be credited for $104,000 to record the issuance of $100,000 par value, 10 percent bonds at a

Chapter 22 - Long-Term Bonds 22-21 22-21 22-21 62. Retained earnings are often appropriated while the bonds are outstanding. Which of the following is a reason for the appropriation? A. Corporation management wants to protect the bondholders. B. The bond contract or the board of directors requires it. C. Tax law

Chapter 23 - Financial Statement Analysis 23-1 23-1 23-1 Chapter 23 Financial Statement Analysis True / False Questions True / False Questions True / False Questions 1. In horizontal analysis, the base year is the most recent year. FALSE FALSE FALSE AACSB: Analytic AICPA FN: Reporting

Chapter 23 - Financial Statement Analysis 23-21 23-21 23-21 64. Using the comparative income statement given below, prepare a horizontal analysis of all items. Carry all calculations to two decimal places and then round to one decimal place. 1. $42,500; 13.2%; 2. $13,250; 6.1%; 3. $29,250; 27.4%;

Chapter 23 - Financial Statement Analysis 23-41 23-41 23-41 81. The following financial information was taken from a firm's accounting records on December 31, 2013. Use this information to determine the items below. (1) Rate of return on net sales. (2) Rate of return on total assets.

Chapter 24 - The Statement of Cash Flows 24-1 24-1 24-1 Chapter 24 The Statement of Cash Flows True / False Questions True / False Questions True / False Questions 1. Usually, there is a difference between the net income reported on the income statement and the net

Chapter 24 - The Statement of Cash Flows 24-21 24-21 24-21 61. Cannon Manufacturing Co. sold equipment that cost $18,000 for $6,000. A loss on sale of $1,000 was recorded. How is the Cash Flows from Investing Activities affected? A. A cash inflow of $5,000 is recorded. B. A cash

Chapter 24 - The Statement of Cash Flows 24-35 24-35 24-35 78. Why are depreciation expense and amortization expense added to Net Income under the indirect method? They are both adjusting entries and do not affect cash. The Statement of Cash Flows is for cash transactions and since they do

Chapter 25 - Departmentalized Profit and Cost Centers 25-1 25-1 25-1 Chapter 25 Departmentalized Profit and Cost Centers True / False Questions True / False Questions True / False Questions 1. For accounting purposes, both revenue and cost data are accumulated for a profit center. TRUE TRUE TRUE

Chapter 25 - Departmentalized Profit and Cost Centers 25-21 25-21 25-21 63. Semidirect and indirect expenses are treated the same for accounting purposes. At the end of the accounting period they are A. recorded by the department they relate to. B. allocated. C. charged to headquarters (corporate) general expenses. D.

Chapter 25 - Departmentalized Profit and Cost Centers 25-37 Chapter 25 - Departmentalized Profit and Cost Centers 25-38 AACSB: Analytic AICPA BB: Critical Thinking Bloom's: Apply Learning Objective: 25-05 Prepare a departmental income statement showing the contribution margin and operating income for each department. Level: Medium Topic:

Chapter 26 - Accounting for Manufacturing Activities 26-1 26-1 26-1 Chapter 26 Accounting for Manufacturing Activities True / False Questions True / False Questions True / False Questions 1. Raw Materials Used is not an element of manufacturing overhead. TRUE TRUE TRUE AACSB: Analytic AICPA FN:

Chapter 26 - Accounting for Manufacturing Activities 26-21 26-21 26-21 62. The following information appears on the income statement of the Richer Company at the end of the year. Gross Profit on Sales was: A. $140,000. B. $160,000. C. $200,000. D. $220,000. Cost of Goods Sold =

Chapter 26 - Accounting for Manufacturing Activities 26-41 77. Define the term manufacturing overhead and give three examples of manufacturing overhead for a bakery. Manufacturing overhead includes all manufacturing costs that are not classified as direct materials or direct labor. Examples for a bakery would be depreciation expense on the

Chapter 27 - Job Order Cost Accounting 27-1 27-1 27-1 Chapter 27 Job Order Cost Accounting True / False Questions True / False Questions True / False Questions 1. There is no need to take a physical count of inventory periodically when the perpetual inventory system is used.

Chapter 27 - Job Order Cost Accounting 27-21 27-21 27-21 58. Wilson Enterprises applies overhead based on direct labor cost. The company estimates that their overhead for the year will be $240,000, and direct labor cost to be $300,000. Actual direct labor cost for Martinez Manufacturing was $280,000 and actual

Chapter 27 - Job Order Cost Accounting 27-33 27-33 27-33 75. Morion Hat Manufacturing made the following charge purchases on February 4 of the current year. Felt $5,687; Ribbon $1,234; Straw $6,723; Dye (for the straw) $39; Thread $47; Various plastic fruits, flowers, etc. $179; and Glue $28. Assume that

Chapter 28 - Process Cost Accounting 28-1 28-1 28-1 Chapter 28 Process Cost Accounting True / False Questions True / False Questions True / False Questions 1. In a process cost accounting system, the average unit cost of a product is determined by dividing the total manufacturing

Chapter 28 - Process Cost Accounting 28-21 28-21 28-21 53. During the month, 2,700 units of a product were completed and 800 units were 60% complete with respect to labor and still in process. The total equivalent units of production for labor for the month is A. 2,700 units. B.

Chapter 28 - Process Cost Accounting 28-37 28-37 28-37 AACSB: Analytic AICPA BB: Critical Thinking Bloom's: Apply Learning Objective: 28-05 Compute equivalent production and prepare a cost of production report with a beginning work in process inventory. Level: Medium Topic: Work in Process Inventory AACSB: Analytic AICPA BB:

Chapter 29 - Controlling Manufacturing Costs: Standard Costs 29-1 29-1 29-1 Chapter 29 Controlling Manufacturing Costs: Standard Costs True / False Questions True / False Questions True / False Questions 1. If the standard cost for an item exceeds the actual cost, the variance is favorable. TRUE

Chapter 29 - Controlling Manufacturing Costs: Standard Costs 29-21 29-21 29-21 63. One element that is NOT part of the standard cost is A. shipping. B. labor. C. materials. D. machine maintenance. A. shipping. B. labor. C. materials. D. machine maintenance. A. shipping. B. labor. C. materials. D. machine maintenance.

Chapter 29 - Controlling Manufacturing Costs: Standard Costs 29-37 29-37 29-37 80. Complete the flexible budget of manufacturing costs for Lansome Industries for September 2013. Overhead is based on direct labor hours. Chapter 29 - Controlling Manufacturing Costs: Standard Costs 29-38 AACSB: Analytic AICPA BB: Critical Thinking

Chapter 03 - Analyzing Business Transactions Using T Accounts 3-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 03 - Analyzing Business Transactions Using T Accounts 3-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 03 - Analyzing Business Transactions Using T Accounts 3-37 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole

Chapter 30 - Cost-Revenue Analysis for Decision Making 30-1 30-1 30-1 Chapter 30 Cost-Revenue Analysis for Decision Making True / False Questions True / False Questions True / False Questions 1. Opportunity costs are earnings or potential benefits foregone because a certain course of action is taken.

Chapter 30 - Cost-Revenue Analysis for Decision Making 30-21 30-21 30-21 61. Using direct costing, the value of ending inventory of finished goods is: A. $100,000 B. $120,000 C. $140,000 D. $220,000 A. $100,000 B. $120,000 C. $140,000 D. $220,000 A. $100,000 B. $120,000 C. $140,000 D. $220,000

Chapter 30 - Cost-Revenue Analysis for Decision Making 30-34 30-34 30-34 79. The following information relates to a one-time special order from a flood relief organization for 200 of its book bags at $8.50. Current manufacturing costs are as follows. Fixed manufacturing overhead is based on capacity

Chapter 04 - The General Journal and the General Ledger 4-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole

Chapter 04 - The General Journal and the General Ledger 4-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole

Chapter 04 - The General Journal and the General Ledger 4-36 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in

Chapter 05 - Adjustments and the Worksheet 5-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. 5-1

Chapter 05 - Adjustments and the Worksheet 5-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. 5-21

Chapter 05 - Adjustments and the Worksheet 5-40 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

Chapter 06 - Closing Entries and the Postclosing Trial Balance 6-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 06 - Closing Entries and the Postclosing Trial Balance 6-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 06 - Closing Entries and the Postclosing Trial Balance 6-41 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 07 - Accounting for Sales and Accounts Receivable 7-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 07 - Accounting for Sales and Accounts Receivable 7-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 07 - Accounting for Sales and Accounts Receivable 7-33 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 08 - Accounting for Purchases and Accounts Payable 8-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 08 - Accounting for Purchases and Accounts Payable 8-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 08 - Accounting for Purchases and Accounts Payable 8-33 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or

Chapter 09 - Cash Receipts, Cash Payments, and Banking Procedures 9-1 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole

Chapter 09 - Cash Receipts, Cash Payments, and Banking Procedures 9-21 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole

Chapter 09 - Cash Receipts, Cash Payments, and Banking Procedures 9-37 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole