Required: a.What is your opinion of Doug’s method of selecting his “sample”? b. Evaluate Doug’s…

Required:
a.What is your opinion of Doug’s method of selecting his “sample”?
b. Evaluate Doug’s results. Does he have sufficient evidence to conclude the balance is fairly stated?

University of Phoenix ACC 455 Final Exam 20151The per-unit standards for direct labor are 2 direct..

University of Phoenix ACC 455 Final Exam 20151The per-unit standards for direct labor are 2 direct labor hours at $12 per hour. If in producing 2,400 units, the actual direct labor cost was $51,200 for 4,000 direct labor hours worked, the total direct labor variance is•$4,000 unfavorable•$6,400 unfavorable•$1,920 unfavorable•$6,400 favorable2Poodle Company manufactures two products, Mini A and Maxi B. Poodle’s overhead costs consist of setting up machines, $800,000; machining, $1,800,000; and inspecting, $600,000. Information on the two products is:Mini A Maxi BDirect labor hours 15,000 25,000Machine setups 600 400Machine hours 24,000 26,000Inspections 800 700Overhead applied to Mini A using traditional costing using direct labor hours is•$1,670,000•$1,536,000•$1,200,000•$1,920,0003Disney’s variable costs are 30% of sales. The company is contemplating an advertising campaign that will cost $22,000. If sales are expected to increase $40,000, by how much will the company’s net income increase?•$18,000•$12,000•$6,000•$28,0004The cost to produce Part A was $10 per unit in 2005. During 2006, it has increased to $11 per unit. In 2006, Supplier Company has offered to supply Part A for $9 per unit. For the make-or-buy decision,•net relevant costs are $1 per unit•differential costs are $2 per unit•incremental costs are $1 per unit•incremental revenues are $2 per unit5Luca Company overapplied manufacturing overhead during 2006. Which one of the following is part of the year end entry to dispose of the overapplied amount assuming the amount is material?•An increase to cost of goods sold•An increase to finished goods•A decrease to work in process inventory•A decrease to applied overhead6In most cases, prices are set by the•customers•selling company•largest competitor•competitive market7Max Company uses 10,000 units of Part A in producing its products. A supplier offers to make Part A for $7. Max Company has relevant costs of $8 a unit to manufacture Part A. If there is excess capacity, the opportunity cost of buying Part A from the supplier is•$0•$80,000•$70,000•$10,0008Prices are set by the competitive market when•a company can effectively differentiate its product from others•the product is specially made for a customer•there are no other producers capable of manufacturing a similar item•a product is not easily distinguished from competing products9Waco’s Widgets plans to sell 22,000 widgets during May, 19,000 units in June, and 20,000 during July. Waco keeps 10% of the next month’s sales as ending inventory. How many units should Waco produce during June?•19,000•18,900•19,100•21,00010An activity that has a direct cause-effect relationship with the resources consumed is a(n)•cost driver•product activity•cost pool•overhead rate11The per-unit standards for direct materials are 2 gallons at $4 per gallon. Last month, 11,200 gallons of direct materials that actually cost $42,400 were used to produce 6,000 units of product. The direct materials quantity variance for last month was•$2,400 favorable•$5,600 unfavorable•$3,200 unfavorable•$3,200 favorable12Which of the following represents the two basic types of cost accounting systems?•Job order and process cost systems•Process cost and batch systems•Job order and batch systems•Job order and job accumulation systems13Which of the following statements is FALSE?•The overhead volume variance is favorable if standard hours allowed for output is greater than the standard hours at normal capacity.•The overhead volume variance indicates whether plant facilities were used efficiently during the period.•The overhead volume variance relates solely to fixed costs.•The costs that cause the overhead volume variance are usually controllable costs.14At January 1, 2004, Barry, Inc. has beginning inventory of 4,000 widgets. Barry estimates it will sell 35,000 units during the first quarter of 2004 with a 10% increase in sales each quarter. Barry’s policy is to maintain an ending inventory equal to 25% of the next quarter’s sales. Each widget costs $1 and is sold for $1.50. How much is budgeted sales revenue for the third quarter of 2004?•$57,525•$63,525•$42,350•$63,00015Manufacturing overhead costs are applied to work in process on the basis of•standard hours allowed•ratio of actual variable to fixed costs•actual hours worked•actual overhead costs incurred16Which cost is charged to the product under variable costing?•Variable manufacturing overhead•Fixed manufacturing overhead•Fixed administrative expenses•Variable administrative expenses17Seran Company has contacted Truckel Inc. with an offer to sell it 5,000 of the wickets for $18 each. If Truckel makes the wickets, variable costs are $11 per unit. Fixed costs are $12 per unit; however, $5 per unit is avoidable. Should Truckel make or buy the wickets?•Make; savings = $20,000•Buy; savings = $25,000•Buy; savings = $10,000•Make; savings = $10,00018Which of the following statements is FALSE?•A standard cost is more accurate than a budgeted cost.•A standard is a unit amount.•In concept, standards and budgets are essentially the same.•The standard cost of a product is equivalent to the budgeted cost per unit of product.19Gottberg Mugs is planning to sell 2,000 mugs and produce 2,200 mugs during April. Each mug requires 2 pounds of resin and a half hour of direct labor. Resin costs $1 per pound and employees of the company are paid $12.50 per hour. Manufacturing overhead is applied at a rate of 120% of direct labor costs. Gottberg has 2,000 pounds of resin in beginning inventory and wants to have 2,400 pounds in ending inventory. How much is the total amount of budgeted direct labor for April?•$27,500•$13,750•$12,500•$25,00020The difference between a budget and a standard is that•a budget expresses what costs were, while a standard expresses what costs should be•a budget expresses a total amount while a standard expresses a unit amount•standards are excluded from the cost accounting system, whereas budgets are generally incorporated into the cost accounting system•a budget expresses management’s plans, while a standard reflects what actually happened21Poodle Company manufactures two products, Mini A and Maxi B. Poodle’s overhead costs consist of setting up machines, $800,000; machining, $1,800,000; and inspecting, $600,000. Information on the two products is:Mini A Maxi BDirect labor hours 15,000 25,000Machine setups 600 400Machine hours 24,000 26,000Inspections 800 700Overhead applied to Maxi B using traditional costing using direct labor hours is•$1,280,000•$1,536,000•$1,670,000•$2,000,00022Which of the following factors would suggest a switch to activity-based costing?•Overhead costs constitute a significant portion of total costs.•Product lines similar in volume and manufacturing complexity.•Production managers use data provided by the existing system.•The manufacturing process has been stable.23A standard cost is•a predetermined cost•the historical cost of producing a product last year•a cost which is paid for a group of similar products•the average cost in an industry24What broad functions does the management of an organization perform?•Planning, directing, and controlling•Directing, manufacturing, and controlling•Planning, manufacturing, and controlling•Planning, directing, and selling25What sometimes makes implementation of activity-based costing difficult in service industries is•identifying activities, activity cost plus, and cost drivers•that a larger proportion of overhead costs are company-wide costs•attempting to reduce or eliminate nonvalue-added activities•the labeling of activities as value-added26Which one of the following is NEVER part of recording the issuance of raw materials in a job order cost system?•Debit Finished Goods Inventory•Debit Manufacturing Overhead•Debit Work in Process Inventory•Credit Raw Materials Inventory27What is the best way to handle manufacturing overhead costs in order to get the most timely job cost information?•The company should determine an allocation rate as soon as the actual costs are known, and then apply manufacturing overhead to jobs.•The company should add actual manufacturing overhead costs to jobs as soon as the overhead costs are incurred.•The company should account for only the direct production costs.•The company should apply overhead using an estimated rate throughout the year.28Which of the following would be accounted for using a job order cost system?•The pasteurization of milk•The production of textbooks•The production of town homes•The production of cans of spinach29Which cost is NOT charged to the product under variable costing?•Direct labor•Direct materials•Fixed manufacturing overhead•Variable manufacturing overhead30If the standard hours allowed are less than the standard hours at normal capacity,•variable overhead costs will be overapplied•the overhead volume variance will be unfavorable•the overhead controllable variance will be favorable•variable overhead costs will be underapplied31Managerial accounting•is governed by generally accepted accounting principles•pertains to the entity as a whole and is highly aggregated•places emphasis on special-purpose information•is concerned with costing products32Which one of the following is indirect labor considered?•Product cost•Period cost•Nonmanufacturing cost•Raw material cost33Which cost is NOT charged to the product under absorption costing?•Fixed administrative expenses•Variable manufacturing overhead•Direct materials•Direct labor34One of Astro Company’s activity cost pools is machine setups, with estimated overhead of $150,000. Astro produces sparklers (400 setups) and lighters (600 setups). How much of the machine setup cost pool should be assigned to sparklers?•$90,000•$150,000•$60,000•$75,00035H55 Company sells two products, beer and wine. Beer has a 10 percent profit margin and wine has a 12 percent profit margin. Beer has a 27 percent contribution margin and wine has a 25 percent contribution margin. If other factors are equal, which product should H55 push to customers?•Selling either results in the same additional income for the company•Beer•Wine•It should sell an equal quantity of both.36A company developed the following per-unit standards for its product: 2 pounds of direct materials at $6 per pound. Last month, 2,000 pounds of direct materials were purchased for $11,400. The direct materials price variance for last month was•$600 favorable•$600 unfavorable•$300 favorable•$11,400 favorable37At the end of the year, manufacturing overhead has been overapplied. What occurred to create this situation?•The actual manufacturing overhead costs were less than the manufacturing overhead assigned to jobs.•Estimated manufacturing overhead was less than actual manufacturing overhead costs.•The company incurred more manufacturing overhead costs than the manufacturing overhead assigned to jobs.•The company incurred more total job costs than the amount budgeted for the job.38Which of the following is NOT typical of traditional costing systems?•Use of direct labor hours or direct labor cost to assign overhead•Assumption of correlation between direct labor and incurrence of overhead cost•Use of a single predetermined overhead rate•Use of multiple cost drivers to allocate overhead39In traditional costing systems, overhead is generally applied based on•machine hours•direct labor•direct material dollars•units of production40All of the following statements are correct EXCEPT that•activity-based costing has been widely adopted in service industries•a larger proportion of overhead costs are company-wide costs in service industries•the general approach to identifying activities and activity cost pools is the same in a service company as in a manufacturing company•the objective of installing ABC in service firms is different than it is in a manufacturing firm41A company must price its product to cover its costs and earn a reasonable profit in•all cases•its early years•the long run•the short run42Hess, Inc. sells a single product with a contribution margin of $12 per unit and fixed costs of $74,400 and sales for the current year of $100,000. How much is Hess’s break-even point?•6,200 units•2,133 units•$25,600•4,600 units

Witter Consulting completed the following transactions during June.a. D. Witter, the owner, invested 1 answer below »

Witter Consulting completed the following transactions during June.a. D. Witter, the owner, invested $82,000 cash along with office equipment valued at $23,000 in the new company in exchange for common stock.b. The company purchased land valued at $50,000 and a building valued at $165,000. The purchase is paid with $30,000 cash and a long-term note payable for $185,000.c. The company purchased $2,200 of office supplies on credit.d. D. Witter invested his personal automobile in the business in exchange for more common stock. The automobile has a value of $16,800 and is to be used exclusively in the business.e. The company purchased $5,100 of additional office equipment on credit.f. The company paid $1,500 cash salary to an assistant.g. The company provided services to a client and collected $8,000 cash.h. The company paid $630 cash for this month’s utilities.i. The company paid $2,200 cash to settle the payable created in transaction c.j. The company purchased $20,400 of new office equipment by paying $20,400 cash.k. The company completed $6,500 of services for a client, who must pay within 30 days.l. The company paid $2,000 cash salary to an assistant.m. The company received $4,000 cash in partial payment on the receivable created in transaction k.n. The company paid $2,700 cash for dividends.Required1. Prepare general journal entries to record these transactions (use account titles listed in part 2).2. Open the following ledger accounts—their account numbers are in parentheses (use the balance column format): Cash (101); Accounts Receivable (106); Office Supplies (108); Office Equipment (163); Automobiles (164); Building (170); Land (172); Accounts Payable (201); Notes Payable (250); Common Stock (307); Dividends (319); Fees Earned (402); Salaries Expense (601); and Utilities Expense (602). Post the journal entries from part 1 to the ledger accounts and enter the balance after each posting—in the date column enter instead the reference to which transaction from (a) through (n).3. Prepare a trial balance as of the end of June.View Solution:
Witter Consulting completed the following transactions during Ju

Discuss whether Mr. Brocamp”s violation of corporate ethics policy affects or reflects the control…

The CEO of Mega Motor Company, Leland Brocamp, resigned on November 1, 2002. His resignation had been negotiated with the Board of Directors of Mega Motor after it was revealed that Mr. Brocamp violated the company"s corporate ethics policy by having an affair with a subordinate employee. The policy forbids intimate relationships with anyone who “works through his or her management chain.” This resignation essentially forced him into early retirement.

During the next year, the College of Business at Bozeman State University hired Mr. Brocamp as a part-time instructor to teach business strategy courses. The dean of the college suggested that the relationship was a personal matter and that Mr. Brocamp"s wealth of experience is beneficial to students. Some who supported the hiring pointed out that other faculty members are not questioned about their personal lives. Others suggested that since management ethics is so important, someone who violated a company ethics policy should not be teaching students about the proper management of organizations.

Required: Discuss whether Mr. Brocamp"s violation of corporate ethics policy affects or reflects the control environment of the company. Since the violation is personal in nature, should Mr. Brocamp have been forced to resign? Should Bozeman State have hired him to teach business strategy courses?

Prague and Associates provides consulting and tax preparation services to its clients. It charges a

Prague and Associates provides consulting and tax preparation services to its clients. It charges a $200 fee per hour for each service. Consulting Total Тax | $260,000 540,000 800,000 Revenue Overhead Costs: 300,000 500,000 Profit before DL cost Compute the income statement using direct labor hours as the allocation base for overhead. The firm is considering ABC for cost allocation: Activity Level Total Таx Preparation Overhead Cost Cost Driver Base Consulting Secretarial Support #of clients 72 48 transactions w/clients Supplies 200 300 Computer Costs computer hrs 1000 600 Consulting Total Таx |$260,000 800,000 Revenue 540,000 Allocation Overhead Costs: Rate Secretarial Support 160,000 Supplies Computer Costs 80,000 60,000 Profit before DL cost 500,000 Determine the total activity level for each cost driver. Determine the allocation rate for each cost driver Compute the income statement using the three cost drivers

Using the information provided about Noyers Ltd and appropriate research regarding the industry…

Using the information provided about Noyers Ltd and appropriate research regarding the
industry and other economic factors:
a. Assess the key business risks of Noyers Ltd from the information available to you (at
least six (6) need to be identified);
b. Explain the implications of each risk identified on the financial statements;
c. Identify the related financial statement accounts at risk.
d. Identify the related management assertion (refer to ASA 315) most at risk for each
financial statement account identified as being at risk.
e. Justify your identification of the management assertion at risk.
Use the spreadsheet template tab Task 1 in order to complete this task.
Task 2
Materiality assessment requires an auditor to make judgements about the size of
misstatements that would be considered ‘material’ to the users of the financial statements.
The auditor will design procedures in order to identify and correct errors or irregularities that
would have a material effect on the financial report and affect the decision making of the
users of the financial report. Materiality is used in determining audit procedures, sample
selections, and evaluating differences from client records to audit results. It is the maximum
amount of misstatement, individually or in aggregate, that can be accepted in the financial
report.
In selecting the base figure to be used to calculate materiality, an auditor should consider the
key drivers of the business. They should ask, ‘What are the end users (i.e. shareholders, banks
etc.) of the accounts going to be looking at?’ For example, will shareholders be interested in
profit figures that can be used to pay dividends and increase share price?
S & A Partners’ audit methodology dictates that one planning materiality (PM) amount is to
be used for the financial report as a whole (that is, rather than separate PMs for the income
statement and the balance sheet). The basis selected is the one determined to be the key
driver of the business.

Ristoni Company is in the process of emerging from a Chapter 11 bankruptcy. It will apply fresh… 1 answer below »

Ristoni Company is in the process of emerging from a Chapter 11 bankruptcy. It will apply fresh start accounting as of December 31, 2015. The company currently has 30,000 shares of common stock outstanding with a $240,000 par value. As part of the reorganization, the owners will contribute 18,000 shares of this stock back to the company. A retained earnings deficit balance of $330,000 exists at the time of this reorganization. The company has the following asset accounts:

The company’s liabilities will be settled as follows. Assume that all notes will

• Note payable of $100,000 (due 2019) was fully secured and has not been renegotiated.

• Note payable of $200,000 (due 2018) will be settled with a note for $50,000 and 10,000 shares of the stock contributed by the owners.

• Note payable of $185,000 (due 2016) will be settled with a note for $71,000 and 7,000 shares of the stock contributed by the owners.

• Note payable of $200,000 (due 2017) will be settled with a note for $110,000.

The company has a reorganization value of $780,000. Prepare all journal entries for Ristoni so that the company can emerge from the bankruptcy proceeding.

Exam: 413815RR – Problems in Late Childhood or Adolescence 1. All of the following would be consider

Exam: 413815RR – Problems in Late Childhood or Adolescence
1. All of the following would be considered part of the
depressants category, except
A. barbiturates.
B. cannabis.
C. alcohol.
D. opioids.
2. When considering the risks and benefits of using specific
drugs, youth often rediscover drugs that had
been used in the past and had previously been abandoned due
to adverse side effects. This tendency to
renew interest in previously discarded drugs has been
referred to as
A. relapse phenomenon.
B. generational forgetting.
C. gap analysis.
D. rebound phenomenon.
3. Comparing youth in the community sample with and without
substance use disorders (SUD),
A. in the community sample, youth with SUD were significantly
more likely to also be diagnosed with ADHD.
B. there was no difference in the comorbidity rate between
these two samples for depressive disorders.
C. in the community sample, youth with SUD were also
significantly more likely to have eating disorders.
D. there was little difference between these two samples, in
the prevalence for also having any other disorder.
4. In the 2005 Youth Risk Behavior Survey, among males,
which ethnic group had the largest discrepancy
between their perceptions of being overweight (body
dissatisfaction) and their actually being overweight
(BMI)?
A. Hispanic males
B. Native Indian males
C. Black males
D. White males
5. Which of the following is false regarding the prevention
and treatment of substance use and abuse
disorders in youth?
A. The Life skills training program targets third graders in
a program of early intervention.
B. Youth in twelve-step model programs have better outcomes
than untreated youth.
C. The Life skills training program has been demonstrated to
be successful in the prevention of drug use/abuse in more than 29
inner city schools.
D. The DARE program has been researched extensively and has
been found to be ineffective in the prevention of drug use and
abuse.
6. According to the DSM, a diagnosis of bulimia nervosa
requires binge and compensatory behaviors should
occur at least
A. once a month for 6 months.
B. twice a week for 3 months.
C. once a week for 3 months.
D. twice a week for 6 months.
7. Morton, an English physician, first reported the
significance of weight loss due to food refusal in an
adolescent
A. female in 1600.
B. male in 1800.
C. female in 1800.
D. male in 1600.
8. Which of the following is not one of the substances that
often appear early in the course of substance
use in those who go on to develop dependence on other
substances?
A. Alcohol
B. Cannabis
C. Heroin
D. Caffeine
9. In their study of middle school girls and body
dissatisfaction, Keery and colleagues found all the
following results concerning teasing, except
A. one-third were teased by at least one sibling.
B. one-quarter of the girls were subjected to teasing about
their weight by their parents.
C. among the negative outcomes for girls in family teasing
situations were lower self-esteem and restrictive and bulimic eating
behaviors.
D. girls were especially sensitive to teasing by their
mothers.
10. Adverse side effects of illicit OxyContin use include
all of the following symptoms, except
A. impaired mental functioning.
B. improved health.
C. increased anxiety.
D. respiratory depression.
11. Which of the following is not one of the three most
commonly used drugs by youth in the United
States?
A. Tobacco
B. Alcohol
C. Steroids
D. Marijuana
12. While many studies have documented peer influences on
youth drug activities, Bahr and colleagues
(2005), included a number of family variables across five
different categories. One of the strongest
protective factors was
A. membership in a gang.
B. parental prescription drug usage.
C. high parent monitoring of youth activities.
D. living in an affluent, private, gated community.
13. Esther is persistently regurgitating and rechewing her
food. This behavior began when she was about
nine months of age. Which of the following parent-child
patterns is likely to be associated with this
disorder?
A. The parent-child relationship is strained.
B. The parent-child relationship may evidence an
overabundance of stimulation/neglect.
C. Easygoing conditions are associated with the parent-child
relationship.
D. The parent-child relationship is thriving.
14. Which of the following is not one of the risk factors
that can increase body dissatisfaction in females?
A. Internalization of ideal body image
B. Negative affect
C. Late maturation
D. Encouraging maternal comments
15. Children spend an average of _______ hours a day sitting
in front of a television or computer.
A. 6
B. 2
C. 4
D. 7
16. The difference between bulimia nervosa purging type and
non-purging type is that non-purging type
A. is at greater risk for emotional problems.
B. includes laxatives and diuretics.
C. includes activities such as excess exercise or fasting.
D. has earlier onset than purging type.
17. The lifetime prevalence of anorexia nervosa is _______
percent.
A. one
B. eight
C. five
D. three
18. In 1959, Stunkard claimed the existence of two disorders
related to overeating. Stunkard named these
End of exam
disorders
A. day eating disorder and night eating disorder.
B. bulimarexia and anorexia.
C. night eating syndrome and binge eating syndrome.
D. self-starvation rebound and over-indulgence eating.
19. All of the following have been voiced as criticisms
against the gateway theory, except
A. it doesn’t account for the distinction between heavy and
experimental users.
B. it doesn’t address issues of availability or supply and
demand.
C. it doesn’t address genetic factors.
D. it doesn’t adequately address inhalant use as often the
first drug experienced.
20. Blum and colleagues surveyed more than 10,000
adolescents (grades 7 through 12). The researchers
found all of the following, except
A. one in five students in seventh and eighth grade had
already experienced sexual relations.
B. tendencies to engage in risky behaviors increased if
youth experienced school failure.
C. nine percent of youth used a weapon in the past year.
D. 25% had smoked cigarettes in the past month.

(Learning Objective 1: Record note-payable transactions) Assume that Fallon Sales Company… 1 answer below »

(Learning Objective 1: Record note-payable transactions) Assume that Fallon Sales Company completed the following note-payable transactions:

 

The accountant for Klein Photography has posted adjusting entries (a)-(e) to the following selected

The accountant for Klein Photography has posted adjusting entries (a)-(e) to the following selected accounts at December 31, 2012.

Accounts receivable Supplies

46,000 5,000 (b) 2,400

(a) 2,000

Accumulated depr.-furniture Accumulated depr.-building

8,000 30,000

(c) 800 (d) 6,200

Salary Payable Klein, capital

(e) 700 47,000

Klein, drawing Service revenue

57,000 108,000

(a) 2,000

Salary expense Supplies expense

25,400 (b) 2,400

(e) 700

Depreciation expense-furniture Depreciation expense-furniture

(c) 800 (d) 6,200

Requirements:

1. Journalize Klein Photography s closing entries at December 31, 2012

2. Determine Klein Photography s ending Klein, capital balance at December 31, 2012.