Reference no: EM131219192
Jordan and Taylor became friends after meeting on a reality cooking show. They have recently decided to start an Internet business to sell their delicious chocolate brownies. Their knowledge of business, unlike their totally awesome culinary skills, is questionable. Knowing that you are accounting students, they will be asking you advice now and then.
You received a text that Jordan and Taylor were on their way. When they arrived, you could smell the aroma of fresh baked brownies. You are glad that you purchased a gallon of milk earlier in the day. Jordan hands you a list of ingredients for their special recipe. Meanwhile, Taylor is concerned that more than just their labor and ingredients should be taken into consideration to properly gauge a selling price.
An Internet gourmet foods company, “Yumminess”, will be including “Chocolate Attack Brownies” (CAB) in their online catalog. CAB will be sold in square tins and captioned with personal greetings. Jordan negotiated a selling price to Yumminess at $10 per tin. What is the predetermined overhead rate per tin?
The product cost is $8 per tin, which includes $6 of direct material and $1.50 of direct labor. Annual manufacturing overhead is estimated at $100,000 for the expected sales of 200,000 tins. Operating expenses are projected to be a fixed annual amount of $80,000.
Operating expenses are projected to be fixed annual amount
: Jordan and Taylor became friends after meeting on a reality cooking show. They have recently decided to start an Internet business to sell their delicious chocolate brownies. Operating expenses are projected to be a fixed annual amount of $80,000. If..
|
Operating expenses are projected to be fixed annual amount
: Jordan and Taylor became friends after meeting on a reality cooking show. They have recently decided to start an Internet business to sell their delicious chocolate brownies. Their knowledge of business, unlike their totally awesome culinary skills, ..
|
Calculate the value of her taxable estate
: Morgan, a widow recently passed away. The value of her assets at the time of death was $8,600,000. The cost of her funeral was $18,000, while estate administrative costs totaled $52,000. As stipulated in her will, she left $1,000,000 to charities. De..
|
Evaluate accounting and business software packages
: Small businesses use various Accounting software packages whereas large organizations have customized software as part of their Enterprise systems. Who are some of the providers of small business accounting software? What is the software package? How..
|
Yumminess will be including chocolate attack brownies
: Jordan and Taylor became friends after meeting on a reality cooking show. They have recently decided to start an Internet business to sell their delicious chocolate brownies.“Yumminess”, will be including “Chocolate Attack Brownies” (CAB) in their on..
|
What is capital account balance at the end of the tax year
: Assume the same facts as in Problem 47, and assume that Suz-Anna prepares the capital account rollforward on the partners’ Schedules K–1 on a tax basis. What is Suzy’s capital account balance at the beginning of the tax year? What is Suzy’s capital a..
|
Adjustments to reconcile net income
: Hendrickson Corporation reported net income of $49,070 in 2014. Depreciation expense was $18,960. The following working capital accounts changed. Hendrickson Corporation Statement of Cash Flows (Partial) For the Year 2014 $ Adjustments to reconcile n..
|
Net cash flow from operating activities using direct method
: Compute net cash flow from operating activities using the direct method. Prepare a statement of cash flows using the indirect method.
|
Prepare statement of cash flows using the indirect method
: Condensed financial data of Pat Metheny Company for 2014 and 2013 are presented below. PAT METHENY COMPANY COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2014 AND 2013 2014 2013 Cash $1,810 $1,100 Receivables 1,758 1,306 Inventory 1,583 1,901 Plant ass..
|