ACCT505 Part B Capital Budgeting problem Clark Paints Data: Cost of new equipment $200‚000 Expected life of equipment in years 5 yrs Disposal value in 5 years $40‚000 Life production - number of cans 5‚500‚000 Annual production or purchase needs $1‚100‚000 Initial training costs Number of workers needed 3 Annual hours to be worked per employee 2000 hrs Earnings
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Case Study I Solution The following cost items are needed before a schedule of cost of goods manufactured can be prepared: Materials used in production: Prime Costs $545‚000.00 Less Direct Labor Cost $220‚000.00 Direct Materials Cost $325‚000.00 Manufacturing Overhead Cost: Direct Labor Cost/ Percentage of Conversion Cost: rounded to nearest dollar ( this is total
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P6-3. Identifying components of earnings Requirement 1: a) Permanent earnings is the reported earnings component that is value-relevant. Permanent earnings are those earnings that are expected to continue into the future. This component roughly corresponds to income from continuing operations as reported in the income statement. b) Transitory earnings is the earnings component that is value-relevant‚ but not expected to persist into the future. This component roughly corresponds
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Exam 2 Ch 6 p 26. If you invest $50‚000 to earn 8% interest‚ which of the following compounding approaches would return the lowest amount after one year? (you aren’t earning interest on interest) a. Daily. b. Monthly. c. Quarterly. d. Annually. p41. An amount is deposited for eight years at 8%. If compounding occurs quarterly‚ then the table value is found at (adjust rate and number of periods!) a. 8% for eight periods. b. 2% for eight periods. c. 8%
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ACCT1501 Practice Exam Questions 2014S1 QUESTION 1 (8 Marks) Financial Reporting Principles‚ Accounting Standards and Auditing‚ & Sustainability Reporting Provide short answers to the following: 1. What are generally accepted accounting principles? (2 Marks) 2. If you have a good idea and expect to make a lot of money from the idea is that a sufficient reason to recognise an asset? Explain why or why not. (2 Marks) 1 ACCT1501 Practice Exam Questions 2014S1 3. How can financial
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Final Review Sheet 1. A 2-for-1 stock split will: A. Increase the total par value of the stock and increase the number of shares outstanding. B. Decrease the total par value of the stock and increase the number of shares outstanding. C. Not change the total par value of the stock and increase the number of shares outstanding. D. Increase total stockholders’ equity. 2. 73. Which statement is true about a stock split? A. Total shareholders’ equity increases. B. Total shareholders’ equity decreases
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E16-1 Solution. 1. Cash ($10‚000‚000x0.99) 9‚900‚000 Discount on bond payable 100‚000 Bond payable 10‚000‚000 Unamortized bond issue cost 70‚000 Cash 70‚000 2. Cash (10‚000‚000x0.98) 9‚800‚000 Discount on bond payable 600‚000 Bond payable 10‚000‚000 Paid in capital -stock warrants 400‚000 3. Debt conversion expense 75‚000 Bond payable 10‚000‚000 Discount on bond payable
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Wael H. Brome 201403364 Assignment Chapter 8 Exercise 8.7 a) Weighted average cost $79.60 (20 units @ $3.98). (Weighted average cost = $438/110 units = $3.98) b) FIFO‚ $99.00 (19 units @ $5.00 + 1 unit @ $4.00). c) Only the FIFO method results in the same ending inventory valuation in both periodic and perpetual costing environments. Under the weighted average cost method‚ periodic and perpetual systems usually result in different valuations due to the timing of inventory purchases and sales. Under
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Homework Assignment #1 3-31 Tom and Linda are married taxpayers who file a joint return. They have itemized deductions of $11‚950 and four exemptions. Assuming an adjusted gross income of $40‚000.00 what is their taxable income for 2012? Adjusted Gross Income = $40‚000.00 Less: Itemized Deductions of $12‚250.00 Less: Personal Exemptions of $ 4($3‚700.00) =$14‚800.00 Taxable Income = $12‚950.00 3-32 Compute Marie’s taxable income for 2012‚ assuming she is single and claims two dependent
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There have been some well know people who are‚ or were‚ blind that were taught enough‚ through recordings and Braille‚ to succeed in their talents such as writing‚ singing‚ musical composure‚ etc. Two of those very well known people would be Helen Keller and Anne Sullivan. They were part of the story‚ “The Miracle Worker”‚ which was the struggle of Anne teaching Helen how to function the right way and have a normal life through her disabilities. Helen was not just blind‚ she was also deaf. Anne Sullivan
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