1) A company paid $770,000 plus $5,000 in closing costs for property that included
land appraised at $384,000; land improvements appraised at $128,000; and a building
appraised at $288,000. The plan is to use the building as a manufacturing plant.
Determine the amounts that should be recorded as:
2) ___________________ is the process of setting goals and making plans to achieve
them.
3) Intangible assets are long-term resources used to produce or sell products and
services; they generally lack ______________ and their benefits are highly
___________.
4) Identify and explain the types of employer payroll taxes.
5) What does FOB stand for?
6) An _____________________ cost requires the future outlay of cash and is relevant
for decision making.
7) Tecom accepts the NOVA credit card for credit card sales. Tecom sends credit card
receipts to NOVA on a weekly basis. NOVA charges Tecom a 2% fee. Tecom usually
receives payment from NOVA within a week. Prepare journal entries to record the
following transactions of Tecom involving the NOVA credit card.
8) A company manufactures and sells spotlights. Each spotlight sells for $145. The
variable cost per unit is $98, and the company’s total fixed costs are $235,000. Predicted
sales are 15,000 units. What is the contribution margin per unit?
9) Explain the cost flows and operating activities of a merchandising company.
10) The person to whom a note is payable is known as the ____________.