79.Adjusting entries made at the end of an accounting period accomplish all of the following except:    A.Updating liability and asset accounts to their proper balances. B.Assigning revenues to the periods in which they are earned. C.Assigning expenses to the periods in which they are incurred. D.Assuring that financial statements reflect the revenues earned and the expenses incurred. E.Assuring that external transaction amounts remain unchanged. […]

  168.Nesbit Co. has two operating (production) departments supported by a number of service departments. The following information was collected for a recent period:  Direct CostsIndirect Cost Machining DepartmentAssembly Department Salaries$122,400$85,700$36,700 Insurance   20,20011,0005,500 Utilities   23,90013,9002,000 Depreciation   20,70011,50013,800 Maintenance     7,0004,70029,400 Office expenses            -0-              -0-              71,100 Cost of goods sold 327,600121,200 Indirect costs are allocated as follows: salaries on the basis of sales, office expenses on the basis of the number of employees, […]

    61) Refer to the Acme annual report above. Calculate the accounts receivable turnover ratio for 2012. A) 11.0 times B) 6.0 times C) 8.8 times D) The answer cannot be determined from the information given. 62) Refer to the Acme annual report above. Which of the following statements is TRUE about the accounts receivable turnover ratios for 2011 and 2012? A) The ratio […]

    131. According to the just-in-time philosophy, A. finished goods should always be available in case a customer wants something.B. employees should be expert at one function rather than be cross-trained for multiple functions.C. movement of the product and material is reduced.D. the product moves from process to process until completion.   132. Just-in-time operations attempt to significantly reduce A. inspection time and processing time.B. moving time and processing time.C. inspection time and moving time.D. only […]

  11. On September 1, 2012, Daylight Donuts signed a $100,000, 9%, six-month note payable with the amount borrowed plus accrued interest due six months later on March 1, 2013. Daylight Donuts should report interest payable at December 31, 2012, in the amount of:  A. $0. B. $1,500. C. $3,000. D. $4,500. 12. On September 1, 2012, Daylight Donuts signed a $100,000, 9%, six-month note payable with the amount borrowed plus […]

  61. A company declares a 40% stock dividend when there were 4 million common shares outstanding with a $1 par value. The current market price is $20 per common share. Which of the following will be the effect of the stock dividend?  A. Retained earnings will decrease by $1.6 million and contributed capital will increase by $1.6 million. B. Contributed capital will decrease by $1.6 million and […]

    101. Which of the following should be added to net income in calculating net cash flow from operating activities using the indirect method? A. depreciation expenseB. an increase in inventoryC. a gain on the sale of equipmentD. dividends declared and paid   102. The net income reported on the income statement for the current year was $250,000.  Depreciation recorded on fixed assets and amortization of patents for the year were […]

  61) Richard’s Electronics manufactures TVs and DVDRs. During April, the following activities occurred:                              TVs  DVDRs Budgeted units sold17,64066,360 Budgeted contribution margin per unit$45$78 Actual units sold20,00080,000 Actual contribution margin per unit$50$79   Required: Compute the following variances in terms of the contribution margin. a.Determine the total sales-mix variance. b.Determine the total sales-quantity variance. c.Determine the total sales-volume variance. 62) The Omega Corporation manufactures two types […]

    53.Responsibility margin is equal to:    A. Revenue, less contribution margin and traceable fixed costs.   B. Revenue, less variable costs.   C. Revenue, less variable costs and traceable fixed costs.   D. Revenue, less variable fixed costs, traceable fixed costs, and common costs.         54.Traceable fixed costs that the manager of a department cannot change are called:    A. Controllable.   B. Committed.   C. Conditional.   D. Common. […]

  151. The cost of goods sold for Heedy manufacturing in 2011 was $233,000.  The January 1, 2011, finished goods inventory balance was $31,600, and the December 31, 2011, finished goods inventory balance was $24,200.  Cost of goods manufactured during the period was: A. $233,000 $225,600C. $288,800D. $240,400 152. The aspects of the management process are listed below. Match each phase to the appropriate description._____ Planning_____ Directing_____ Controlling_____ Improving_____ Decision makinga) Used […]