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Zippy Company uses ABC to accounting for costs in it's manufacturing process. They have identified three manufacturing activities that incur manufacturing overhead costs: Materials handling, machine setups and general factory facility support. They have determined the costs of these activities and the allocation bases to be as shown below. Calculate the total overhead allocated to JOB 510, which has 405 parts, 10 setups, and 58 direct labor hours. (note: when calculating your overhead rates, round them to four decimal places before calculating the cost of the job, for example, 23.3125). Round all calculations including your final answer to four decimal places.
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On September 1, Howe Office Supply had an inventory of 30 pocket calculators at a cost of $18 each. The company uses a perpetual inventory system. During September, the following transactions occurred.
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On November 8, 2003, Power Corp. sold land to Wood Co., its wholly owned subsidiary. The land cost $61,500 and was sold to Wood for $89,000. From the perspective of the combination, when is the gain on the sale of the land realized?
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China Company issued $1,000,000 of6-year, 12% bonds, effective interest rate is13%. The bonds were purchased by USA Co. on theissue date at the issue price. Present entries to record the following transactions:
The Role of Accounting on Business and Our Society
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The Wei Corporation expects next year's net income to be $15 million. The firm's debt ratio is currently 40 %. Wei has 12 million of profitable investestment opportunites, and it wishes to maintain its existing debt ratio.
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