Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Calculating the break even point in units.
Armstrong Helmet Company manufactures a unique model of bicycle helmet. The company began operations December 1, 2006. Its accountant quit the second week of operations, and the company is searching for a replacement. The company has decided to test the knowledge and ability of all candidates interviewing for the position. Each candidate will be provided with the information below and then asked to prepare a series of reports, schedules, budgets, and recommendations based on that information. The information provided to each candidate is:
Cost items and account balances
Administrative salaries
$15,500
Advertising for helmets
11,000
Cash, December 1
0
Depreciation on factory building
1,500
Depreciation on office equipment
800
Insurance on factory building
Miscellaneous expense - factory
1,000
Office supplies expense
300
Professional fees
500
Property taxes on factory building
400
Raw materials used
70,000
Rent on production equipment
6,000
Research and development
10,000
Sales commissions
40,000
Utility costs - factory
900
Wages - factory
Work in progress, December 1
Work in progress, December 31
Raw materials inventory, December 31
Raw materials purchases
Finished goods inventory, December 1
Production and sales data
Number of helmets produced
Expected sales in units for December ($40 unit sales price)
8,000
Expected sales in units for January
Desired ending inventory
20% of next month\\\'s sales
Direct materials per finished unit
1 kilogram
Direct materials cost
$7 per kilogram
Direct labor hours per unit
0.35
Direct labor hourly rate
$20
Cash flow data Cash collections from customers: 75% in month of sale & 25% the following month. Cash payments to suppliers: 75% in month of purchase & 25% the following month. Income tax rate: 45%. Cost of proposed production equipment: $720,000. Manufacturing overhead and selling & admin costs are paid as incurred. Desired ending cash balance: $30,000.
Using the data presented above, do the following: Calculate the break-even point in units and in sales dollars.
question roper corporation produces three identifiable product lines products a b and c from a basic processing
adcock corp. had 500000 net loss in 2012. on 1st january 2012 there were 200000 shares of common stock outstanding. on
Evaluate product cost and purpose an income statement under absorption and variable costing.
All operating costs are variable as a percentage of total sales.
Evaluate Pacific's internal control system and indicate which principles of internal control appear to have been ignored.
Prepare the journal entries necessary at December 31, 2008, assuming that the books have been closed and Present a schedule showing the corrected net income after reviewing the above transactions
Hooker is going to use push-down accounting. Immediately after the acquisition, what amounts in Equipment account appear on Hooker’s separate balance sheet and on the consolidated balance sheet?
Prepare financial statements for the canadian subsidiary in its functional currency.
Calculating Annuity Payments and Annuity Present Value of the project - Find the annual cash flow be and evaluate the present value of the savings?
Sielert Corporation borrowed $600,000 from National Bank on May 31, 2011. The three-year, 7% note required annual payments of $228,630 beginning May 31, 2012. Interest expense for the year ended December 31, 2011 was?
Prepare the necessary journal entry to update the allowance for doubtful accounts assuming that the balance prior to preparing the aging was a credit of $100,000.
What factors may cause variation from client to client and industry to industry with respect to auditing tests?
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd