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A local science museum normally sells tickets to its museumfor $10 each. The daily maximum capacity of the museum is 1000 visitors. At the maximum capacity, fixed costs are $3.00 pervisitor and variable costs are $4.00 per visitor. A local schoolgroup has approached the museum wishing to purchase 50 special passes at a cost of $4.00 each. Assuming the museum has available capacity, should the museum accept the special order? Explain the factors you considered to arrive at your answer.
A financial advisor tells you that you can make your child a millionaire if you just start saving early. You decide to put an equal amount each year into an investment account that earns 8% interest per year, starting on the day your child is born..
What is the total revenue variance?
A company expected its annual overhead costs to be $ 600000 and direct labor costs to be $ 1000000. Actual overhead was $ 580000 and actual labor costs totaled $ 1100000. how much is the company's predetermined overhead rate to the nearest rent?
In determining the primary responsibility of the external auditor for a company's financial statements, the auditor owes primary allegiance to:
Estimate the effects of falsifying records, diverting cash to ghost employees, and duplicating expenses on a small, midsize, and large business.
The bookkeeper for Wooster Company asks you to prepare the following accrued adjusting entries at December 31. Interest on notes payable of $400 is accrued.
Examine the concept of financial risk by answering the following questions: (a) How does the risk of a portfolio change as the number of assets in the portfolio increases?
The following questions concern independence and the Code of Professional Conduct or GAAS. Choose the best response.
Patel and Sons, Inc., uses a standard cost system to apply overhead costs to units produced. Practical capacity for the plant is defined as 50,000 machine-hours per year, which represents 25,000 units of output.
The accounts payable account has a beginning balance of $12,000 and we purchased $50,000 of inventory on credit during the month. The ending balance was $10,000. How much did we pay our creditors during the month.
Assuming that interest is computed annually, at what carrying value should the total liability for these bonds be reported two years later on December 31, 2012, if the effective-interest method of amortization is used?
Discuss the reasons a consulting firm might use a normal costing system rather than an actual costing system. What might be some reasons for the firm to change from a one-pool to a multiple-pool allocation concept?
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