Master Business with Fun Quizzes & Brain Teasers!

Clothing Emporium was organized on January 1, 2021. The firm was authorized to issue 160,000 shares of $10 par value common stock. During 2021, Clothing Emporium had the following transactions relating to stockholders' equity: Issued 48,000 shares of common stock at $12 per share. Issued 32,000 shares of common stock at $13 per share. Reported a net income of $160,000. Paid dividends of $80,000. What is total paid-in capital at the end of 2021
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Jake, a pharmaceutical sales representative, often takes lunch to doctors' offices. Over lunch with the doctors and their staffs, he reviews his company's products. Jake does not try to close a sale during these lunches. What type of personal selling does this describe
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If your company increases its market penetration, what is happening?A The target market is growing.. More people in the target market are buying the company's product.C. The market saturation of the target market has decreased.D. Competitors who offer similar products are entering the market.
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You have $12,949.72 in a brokerage account, and you plan to deposit an additional $4,000 at the end of every future year until your account totals $220.000. You expectto earn 12% annually on the account. How many years will it take to reach your goal? Round your answer to the nearest whole numberpsyears
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The textile industry in a foreign country is controlled by four major companies. Last week, one of the companies decided to cut prices as a way to expand inventory. Since this industry is an oligopoly, what will be the likely response of the other three companies
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Stylist Services Co. offers its services to individuals desiring to improve their personal images. After the accounts have been adjusted at July 31, the end of the fiscal year, the following balances were taken from the ledger of Stylist Services Co.: Marlena Fenton, Capital $880,000 Marlena Fenton, Drawing 11,000 Fees Earned 520,400 Wages Expense 488,000 Rent Expense 65,000 Supplies Expense 11,200 Miscellaneous Expense 13,900 Required: Journalize the two entries required to close the accounts. Refer to the Chart of Accounts for exact wording of account titles.
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Coronado reported the following information for the current year: Sales (57000 units) $1140000, direct materials and direct labor $570000, other variable costs $57000, and fixed costs $360000. What is Coronados break-even point in units?
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Eberley Corporation's cost formula for its manufacturing overhead is $25,700 per month plus $10 per machine-hour. For the month of July, the company planned for activity of 5,900 machine-hours, but the actual level of activity was 5,920 machine-hours. The actual manufacturing overhead for the month was $86,800. The manufacturing overhead in the planning budget for July would be closest to:
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g Erie Company manufactures a small mp3 player called the Jogging Mate. The company uses standards to control its costs. The labor standards that have been set for one Jogging Mate mp3 player are as follows: Standard Hours Standard Rate per Hour Standard Cost 27 minutes $6.00 $2.70 During August, 9,260 hours of direct labor time were needed to make 19,200 units of the Jogging Mate. The direct labor cost totaled $54,634 for the month. Required: 1. According to the standards, what direct labor cost should have been incurred to make 19,200 units of the Jogging Mate
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When Ford was slow to recall vehicles to fix a possible carbon monoxide leak, it was most likely due to ________, because Ford was convinced that the modifications made by police departments were the cause of the problem, not the manufacturing of the vehicle.
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Beth Caldwell is in the payroll accounting department of Acerill Films. An independent contractor of the company requests that Social Security and Medicare taxes be withheld from future compensation. What advice should Beth offer
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I was the Internet or originally constructed
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Mr. Thano, age 47, withdrew $22,000 from his employer-sponsored qualified retirement plan to pay for his daughter's wedding. Compute the tax cost of the withdrawal if Mr. Thano has a 24% marginal tax rate on ordinary income. Tax Cost is_____
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The units of an item available for sale during the year were as follows: Jan. 1 Inventory 30 units at $112 Mar. 10 Purchase 70 units at $122 Aug. 30 Purchase 30 units at $128 Dec. 12 Purchase 70 units at $132 There are 60 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the ending inventory cost and the cost of goods sold by three methods. Round interim calculations to one decimal and final answers to the nearest whole dollar. Cost of Ending Inventory and Cost of Goods Sold Inventory Method Ending Inventory Cost of Goods Sold First-in, first-out (FIFO) $ 10,520 $ 14,460 Last-in, first-out (LIFO) 4,640 20,340 Weighted average cost 7,494 17,486
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During the taking of its physical inventory on December 31, 2014, Barry's Bike Shop incorrectly counted its inventory as $205,171.00 instead of the correct amount of $174,118.00. What would be the effect on the balance sheet and income statement
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Based upon Booked Orders and Sales Predictions, we expect to need the following finished goods over the planning period: 120 Product A We currently have the following Finished Goods Products in Inventory: 60 Product A We have scheduled the following to be produced in the factory within the planning period: 50 Product A How many products should we include on future Planned Production Orders
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The cost components of a heater include $35 for the compressor, $11 for the sheet molded compound frame, and $74 per unit for assembly. The factory machines and tools cost is $55,000. The company expects to produce 1,300 heaters in the coming year. What cost function best represents these costs
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Last year Art charged $5,880,000 Depreciation on the Income Statement of Andrews. If early this year Art purchased a new depreciable asset, the effect on Andrews's financial statements would be (all other items remaining equal):
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5. Sarasota Bicycles has been manufacturing its own wheels for its bikes. The company is currently operating at 100% capacity, and variable manufacturing overhead is charged to production at the rate of 30% of direct labor cost. The direct materials and direct labor cost per unit to make the wheels are $3.00 and $3.60 respectively. Normal production is 200,000 wheels per year. A supplier offers to make the wheels at a price of $8 each. If the bicycle company accepts this offer, all variable manufacturing costs will be eliminated, but the $84,000 of fixed manufacturing overhead currently being charged to the wheels will have to be absorbed by other products. Required: a. Prepare an incremental analysis for the decision to make or buy the wheels. b. Should Sarasota Bicycles buy the wheels from the outside supplier
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The Viper retires a $49.4 million bond issue when the carrying value of the bonds is $53.1 million, but the market value of the bonds is $46.5 million. The entry to record the retirement will include: Multiple Choice A debit of $6.6 million to a loss account. No gain or loss on retirement. A credit to cash for $53.1 million. A credit of $6.6 million to a gain account.
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Jerome is shopping for work supplies; he purchases 5 binders, 7 pens, and 3 reams of paper. The binders cost $4.50 each; the pens cost $1.10 each; and the reams of paper cost $4.25 each. The sales tax for his purchase is 7.75%. What is the total cost of Jeromes purchase?
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Salter Manufacturing Company produces inventory in a highly automated assembly plant in Fall River, Massachusetts. The automated system is in its first year of operation and management is still unsure of the best way to estimate the overhead costs of operations for budgetary purposes. For the first six months of operations, the following data were collected: Machine-hours Kilowatt-hours Total Overhead Costs January 4,560 5,424,000 $405,600 February 4,380 5,208,000 404,160 March 4,680 5,400,000 407,040 April 3,960 5,148,000 404,160 May 3,900 5,040,000 391,200 June 3,720 4,944,000 384,000 Required: a. Use the high-low method to determine the estimating cost function with machine-hours as the cost driver. b. Use the high-low method to determine the estimating cost function with kilowatt-hours as the cost driver. c. For July, the company ran the machines for 4,000 hours and used 4,550,000 kilowatt-hours of power. The overhead costs totaled $365,000. Which cost driver was the best predictor for July
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The most recent financial statements for Shinoda Manufacturing Co. are shown below: Income Statement Balance Sheet Sales $ 63,900 Current assets $ 26,500 Debt $ 42,700 Costs 44,830 Fixed assets 79,400 Equity 63,200 Taxable income $ 19,070 Total $ 105,900 Total $ 105,900 Tax (40%) 7,628 Net Income $ 11,442 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 40 percent dividend payout ratio. No external financing is possible. What is the internal growth rate
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In early January 2019, Blue Corporation applied for a trade name, incurring legal costs of $15,400. In January 2020, Blue incurred $8,100 of legal fees in a successful defense of its trade name. Compute 2019 amortization, 12/31/19 book value, 2020 amortization, and 12/31/20 book value if the company amortizes the trade name over 10 years.
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