130.During April, the production department of a process operations system completed and transferred to finished goods 18,000 units that were in process at the beginning of April and 90,000 units that were started and completed in April. April’s beginning inventory units were 100% complete with respect to materials and 40% complete with respect to labor. At the end of April, 30,000 additional units were […]

  6) A company’s actual performance should be compared against budgeted amounts for the same accounting period so that ________. A) adjustments for future conditions can be included B) to avoid any feedback from the budgets due to past miscues C) inefficiencies of the past year can be included D) a rolling budget can be implemented 7) Which of the following is a reason why […]

    115. If the direct write-off method is used to account for uncollectible accounts, which of the following statements is false? a. An allowance account is not used. b. No adjustment is made at the end of the year to estimate future uncollectible accounts. c. Accounts receivable will be reported at its net realizable value. d. Bad debt expense is recorded at the time […]

  MULTIPLE CHOICE   67.All of the following are components of the objective of financial reporting identified by the FASB, except   a. to provide cash flow information. b. to furnish profit projections. c. to furnish information on asset stewardship. d. to provide asset, liability, and stockholders’ equity information.       68.All of the following must certify that a company’s financial statements are accurate, […]

    21.Select the incorrect statement regarding the human factor in the budgeting process.    A. Budgets force employees to follow the organization’s plan.   B. The evaluation feature of budget systems is frightening for many people.   C. There is a tendency for people to be uncomfortable with budgets.   D. Proper handling of human relations is essential to the establishment of an effective budget system.     22.The […]

    71. In IFRS,  preferred stock subject to redemption at the option of the preferred shareholders appears  A. between liabilities and shareholders’ equity. B. as a liability. C. as a shareholders’ equity. D. as a revenue. E. as an expense.   72. In IFRS,  preferred stock subject to mandatory redemption is disclosed   A. between liabilities and shareholders’ equity. B. as a liability. C. as a shareholders’ equity. D. as a revenue. E. as an expense. […]

  15) What are the costs per equivalent unit for direct materials and conversion respectively? A) $2.00; $1.54 B) $1.45; $1.54 C) $2.11; $1.62 D) $2.11; $1.18 E) $2.00; $1.18   Use the information below to answer the following question(s).   Cartwright Custom Carpentry manufactures chairs in its Processing Department, and uses the FIFO cost flow assumption. Direct Materials are included at the inception of […]

  126.In preparing a company’s statement of cash flows for the year just ended, the following information is available:  Loss on the sale of equipment$14,000 Purchase of equipment$225,000 Proceeds from the sale of equipment$106,000 Repayment of outstanding bonds$87,000 Purchase of treasury stock$25,000 Issuance of common stock$96,000 Purchase of land$115,000 Increase in accounts receivable during the year$33,000 Decrease in accounts payable during the year$75,000 Payment of […]

  80. Fargo ManufacturingCondensed data from the financial statements of Fargo Manufacturing for 2012 and 2011 are presented below. The figures are expressed in thousands.  Statement A 2012 2011 Total current assets $219,560 $180,080 Property, plant & equipment     (net of accumulated depreciation) 18,320 12,724 Investments 3,370 1,061 Other assets 12,220 10,606   Total assets $253,470 $204,471 Total current liabilities 92,990 86,600 Long-term debt 15,160 […]

  157. Project A requires an original investment of $65,000. The project will yield cash flows of $15,000 per year for seven years. Project B has a calculated net present value of $5,500 over a five year life. Project A could be sold at the end of five years for a price of $30,000. (a) Using the proper table below determine the net present value of […]