Matthews Delivery Service, Inc., completed the following transactions during its first month of operations for January 2012:

a. Matthews Delivery Service, Inc., began operations by receiving $6,000 cash and a truck valued at $11,000. The business issued common stock to aquire these assets.
b. Paid $300 cash for supplies.
c. Prepaid insurance, $700.
d. Performed delivery services for a customer and received $800 cash.
e. Completed a large delivery job, billed the customer $1,500, and received apromise to collect the $1,500 within one week.
f. Paid employee salary, $700.
g. Received $12,000 cash for performing delivery services.
h. Collected $600 in advance for delivery service to be performed later.
i. Collected $1,500 cash from a customer on account.
j. Purchased fuel for the truck, paying $200 with a company credit card. (CreditAccounts payable)
k. Performed delivery services on account, $900.l.Paid office rent, $600. This rent is not paid in advance.
m. Paid $200 on account.
n. Paid cash dividends of $2,100.

Required:

a. Record each transaction in the journal.
b. Post the transactions that you recorded in Requirement 1 in the T-accounts.
c. Write the trial balance for the month ended January 31, 2012.

Answer:

a. Matthews Delivery Service, Inc., began operations by receiving $6,000 cash and a truck valued at $11,000. The business issued common stock to acquire these assets.

Dr Cash 6,000

Dr Vehicles 11,000

    Cr Common stock 17,000

b. Paid $300 cash for supplies.

Dr Supplies 300

    Cr Cash 300

c. Prepaid insurance, $700.

Dr Prepaid insurance 700

    Cr Cash 700

d. Performed delivery services for a customer and received $800 cash.

Dr Cash 800

    Cr Service revenue 800

e. Completed a large delivery job, billed the customer $1,500, and received a promise to collect the $1,500 within one week.

Dr Accounts receivable 1,500

    Cr Service revenue 1,500

f. Paid employee salary, $700.

Dr Wages expense 700

    Cr Cash 700

g. Received $12,000 cash for performing delivery services.

Dr Cash 12,000

    Cr Service revenue 12,000

h. Collected $600 in advance for delivery service to be performed later.

Dr Cash 600

    Cr Unearned revenue 600

i. Collected $1,500 cash from a customer on account.

Dr Cash 1,500

    Cr Accounts receivable 1,500

j. Purchased fuel for the truck, paying $200 with a company credit card. (CreditAccounts payable)

Dr Fuel expense 200

    Cr Accounts payable 200

k. Performed delivery services on account, $900.

Dr Accounts receivable 900

    Cr Service revenue 900

l.Paid office rent, $600. This rent is not paid in advance.

Dr Rent expense 600

    Cr Cash 600

m. Paid $200 on account.

Dr Accounts payable 200

    Cr Cash 200

n. Paid cash dividends of $2,100.

Dr Dividends 2,100

    Cr Cash 2,100

Cash

Debit              Credit

6,000

                        300

                        700

800

                         700

12,000

600

1,500

                          600

                          200

                          2,100  

16,300

Vehicles

Debit              Credit

11,000

Common stock

Debit              Credit

                      17,000

Supplies

Debit              Credit

300

Prepaid insurance

Debit              Credit

700

Service revenue

Debit              Credit

                      800

                      1,500

                      12,000

                      900      

                      15,200

Accounts receivable

Debit              Credit

1,500

                      1,500

900                            

900

Wages expense

Debit              Credit

700

Unearned revenue

Debit              Credit

                      600

Accounts payable

Debit              Credit

                      200

200                        

0                     0

Fuel expense

Debit              Credit

200

Rent expense

Debit              Credit

600

Dividends

Debit              Credit

2,100

Trial balance

                                           debit         credit

Cash                                 16,300

Vehicles                           11,000

Accounts receivable          900

Supplies                              300

Prepaid insurance              700

Unearned revenue                                600

Common stock                                    17,000

Service revenue                                 15,200

Wages expense                 700

Fuel expense                     200

Rent expense                    600

Dividends                        2,100                    

Totals                           $32,800        $32,800

Describing Work Activities for Construction Carpenters
Click this link to view O'NET's Work Activities section for Construction Carpenters. Note that common activities are
listed toward the top, and less common activities are listed toward the bottom
According to O'NET, what are
common work activities performed by Construction Carpenters? Check all that apply.
inspecting equipment, structures, or material
writing computer programs to perform calculations
using knowledge of historical events and their effects on cultures
performing general physical activities
getting information
speaking and writing in a foreign language

Orange Inc., an orange juice producer with a current debt-to-equity ratio of 2, is considering expanding its operations to produce toothpaste. Unsurprisingly, the toothpaste industry faces a different set of risks than the orange juice industry. However, the executives at Orange Inc. observe that Paste Inc., a toothpaste company, has a cost of equity of 12%, a cost of debt of 6%, and a debt-to-value ratio of 40%. Orange Inc. plans to finance its expansion into toothpaste production with 50% debt and 50% equity. The cost of debt for Orange Inc. is also 6%, and the corporate tax rate is 25%.

Required:
Solve for the discount rate that Orange Inc. should use when evaluating whether to go forward with the expansion.

You were hired as a consultant to Kangaroo Corporation, whose target capital structure
is 30% debt, 5% preferred, and 65% common equity. The before-tax cost of debt is
9.55%, the yield on preferred is 8.75%, and the cost of retained earnings is 14.00%.
The tax rate is 35%.

1. What is the company's WACC?

Kator Co. is a manufacturer of industrial components. One of its products that is used as a subcomponent in auto manufacturing is KB-96. This product has the following financial structure per unit: Selling price $150 Direct materials $ 20 Direct labor 15 Variable manufacturing overhead 12 Fixed manufacturing overhead 30 Shipping and handling 3 Fixed selling and administrative 10 Total costs $ 90 Question During the next year, KB-96 sales are expected to be 10,000 units. All of the costs will remain the same except that fixed manufacturing overhead will increase by 20% and direct materials will increase by 10%. The selling price per unit for next year will be $160. Based on this data, the contribution margin from KB-96 for next year will be A. $1,080,000 B. $750,000 C. $1,110,000 D. $620,000

​Thirty-five samples of size 7 each were taken from a​ fertilizer-bag-filling machine at Panos Kouvelis Lifelong Lawn Ltd. The results​ were: Overall mean​ = 54.75 ​lb.; Average range R ​= 1.64 lb.

For the given sample​ size, the control limits for ​3-sigma x chart ​are: _________

Which of the following statements about investment interest expense is true? Multiple Choice The interest is allowed as an unlimited above-the-line deduction. The interest is allowed as an unlimited itemized deduction. Nondeductible interest carries forward into future years. The interest is deductible to the extent of the individual's AGI.

A U.S. government agency located in Kuwait bought 29 standby power generators (including installation) from a trading company in Kuwait. The contract was effectively written in USD for $1,588,000 (worth 447,180.80 KWD) since the exchange rate of .2816 was fixed in the contract. The performance period was 90 days; however, the buyer expected complications such as material availability and security access passes from the host nation to delay contract performance. See attached excerpt from the contract. Assume payment terms were Net 30. Assume the Kuwaiti Dinar is a floating currency. The buyer was aware that the KWD had strengthened against the USD since 2003. Although Financial Management personnel informed the buyer that a hedging strategy would not be used, the buyer could see the 90-day currency exchange forward contracts indicating the exchange rate moving to USD/KWD = .265. From the buyer’s perspective, which currency should the contract have been written in had the exchange rate not been fixed in the contract? ______ What would be the financial advantage (expressed in USD) of doing so? _______

The linear production possibility frontier in the US indicates that the US can produce 10 tons of wheat in day or 2 cars. Japan can produce 8 tons of wheat or 1 car in a day. The opportunity cost of producing a car in the Japan is

Nair Corp. enters into a contract with a customer to build an apartment building for $1,000,000. The customer hopes to rent apartments at the beginning of the school year and provides a performance bonus of $150,000 to be paid if the building is ready for rental beginning August 1, 2021. The bonus is reduced by $50,000 each week that completion is delayed. Nair commonly includes these completion bonuses in its contracts and, based on prior experience, estimates the following completion outcomes:

Completed by Probability
August 1, 2015 70%
August 8, 2015 20
August 15, 2015 5
After August 15, 2015 5

Required:
Determine the transaction price for this contract.

What effect do consumer expectations have on the demand for a good?
A. They increase demand for products that have complementary
goods.
B. They reduce demand for products with a consistent equilibrium
price.
C. They increase demand for products in markets with a small
number of consumers.
D. They reduce demand for products expected to become cheaper in
the future.

A company has following happened in last year

a. Purchased buildings costing $414 and equipment costing $218 for cash.
b. Borrowed $129 from a bank, signing a short-term note.
c. Provided $51,771 in service to customers during the year, with $27,058 on account and the rest received in cash.
d. Paid $136,274 cash on accounts payable.
e. Purchased $30,983 of inventory on account.
f. Paid payroll, $4,540 during the year.
g. Received $21,343 on account paid by customers.
h. Purchased and used fuel of $1,850 in delivery vehicles during the year (paid for in cash).
i. Declared $598 in dividends at the end of the year to be paid the following year.
j. Incurred $116 in utility usage during the year; paid $97 in cash and owed the rest on account.

Required:
General journal entries.

What is the master plan of a construction project called?

During the current year, George, a salaried taxpayer, paid the following taxes which were not incurred in connection with a trade or business: Federal income tax (withheld by employer) $1,500 State income tax (withheld by employer) $1,100 FICA tax (withheld by employer) $700 Real property taxes $300 Federal auto gasoline taxes $200 Federal excise tax on telephone bills $50 What amount can George claim for the current year as an itemized deduction for the taxes paid, assuming he deducts state and local income taxes

Suppose an oil company is thinking of buying some land for $950,000. There is a 60% chance of economic growth and a 40% chance of recession. The probability of discovering oil is 46% when there is economic growth and 34% when there is a recession. If there is economic growth and the oil company discovers oil, the value of the land will triple. If they do not discover oil, the value of the land will decrease by 10%. If there is a recession and the company discovers oil, the value of the land will increase by 50%. If they do not discover oil, the land will decrease in value by 75%. What is the expected value of the investment

Gilberto's Performance Pizza is a small restaurant in Chicago that sells gluten-free pizzas. Gilberto's very tiny kitchen has barely enough room for the two ovens in which his workers bake the pizzas. Gilberto signed a lease obligating him to pay the rent for the two ovens for the next year. Because of this, and because Gilberto's kitchen cannot fit more than two ovens, Gilberto cannot change the number of ovens he uses in his production of pizzas in the short run.

However, Gilberto's decision regarding how many workers to use can vary from week to week because his workers tend to be students. Each Monday, Gilberto lets them know how many workers he needs for each day of the week. In the short run, these workers are ________ inputs, and the ovens ________ inputs.

Kenneth Arrow argues that Group of answer choices settled economic life requires purely selfish behavior. with ethical codes, there's no need for taxes, laws, or regulations as a way of controlling corporate behavior. ethical codes can contribute to economic efficiency. to be viable, ethical codes need not be widely accepted or part of corporate culture.

Big Red Company, a manufacturer of computer hardware components, uses direct labor cost to allocate its production overhead. In its hard-drive division, it allocates $12.50 per direct labor hour as the standard rate. The overhead includes supervision and machine setup cost. SCSI and SATA drives take the same time to produce, but the setup time for SATA is three times as long as the setup time for SCSI. Which statement is true about overhead allocation for the two drives?
А SATA carries more than its full share of factory overhead.
B Overhead allocation is fair for both drives.
C. SATA carries less than its full share of factory overhead.
D Overhead allocation cannot be directly related to products.

What does 'Big Data' mean? And how it can be used to support businesses?

BANK STATEMENT Checks Deposits Other Balance Balance, May 1 $ 17,000 May 2 $ 7,000 24,000 May 5 #301 $ 10,000 14,000 May 7 #302 5,200 8,800 May 8 9,000 17,800 May 14 #303 460 17,340 May 17 Interest $ 100 17,440 May 22 NSF check 240 17,200 May 27 #304 4,200 13,000 May 31 Service charge 60 12,940 Balance, May 31 12,940 Cash (A) May 1 Balance 17,000 May 1 7,000 10,000 #301 May 2 May 7 9,000 5,200 #302 May 4 May 29 5,200 460 #303 May 11 4,200 #304 May 23 900 #305 May 29 May 31 Balance 17,440 PA5-2 Part 3 After the reconciliation journal entries are posted, what balance will be reflected in the Cash account in the ledger? Next

Activity-based Costing—Comprehensive Problem [lo 2] The Riverdale Printing Company prints limited edition art books with production runs of 15,000 to 100,000. It has recently adopted an activity-based costing system to assign manufacturing overhead to products. The following data relate to one product, Art of Design, and the ABC cost pools:
Art of Design:
Annual production 40,000 units
Direct materials $37
Direct labor per unit $8
Manufacturing overhead
cost pools Cost Pool Cost Driver $ 840,000
Materials ordering $840,00 Number of purchase orders
Materials inspection 525,000 Number of receiving reports
Equipment setup 2,500,000 Number of setups
Quality control 1,000,000 Number of inspections
Other 25,000,000 Direct labor cost
Total manufacturing overhead
Annual activity information related to cost drivers:
Cost Pool All Books Art of Design
Materials ordering 120,000 orders 1,200
Materials inspection 2,100receiving reports 315
Equipment setup 125 setups 1
Quality control 5,000 inspections 500
Other $12,500,000 direct labour $320,000
a. Calculate the overhead rate per unit of activity for each of the five cost pools.
b. Calculate the total overhead assigned to the production of the Art of Design. Round to two decimal places.
c. Calculate the overhead cost per unit for the Art of Design.
d. Calculate the total unit cost for the Art of Design.
e. Suppose that Riverdale Printing allocates overhead by a traditional production volume-based method using direct labor dollars as the allocation base and one cost pool. Determine the over- head rate per direct labor dollar and the per unit overhead assigned to the Art of Design. Discuss the difference in cost allocations between the traditional method and the activity-based costing approach.

What are the choices made by households and firms that determine what, how, and for whom goods and services are produced? Where in the circular flow model, do these choices appear?

Axe company sponsors a 401(k) profit sharing plan with no employer match, but the company did make noncontributory employer contributions because the plan was top-heavy. Jack quit today after six years working for Axe and has come to you to determine how much of his retirement balance he can take with him. The plan uses the least generous graduated vesting schedule available. What is Jack's vested account balance if he has been a participant for 57 months? EMPLOYER EMPLOYEE CONTRIBUTIONS $9,000 $12,000 EARNINGS $4,000 $5,000 a. $17,000. b. $27,400. c. $24,800. d. $30,000.

For an accountant, which of the following tasks is the most likely to be done
on spreadsheet software?
A. Performing mathematical formulas
B. Generating account numbers
C. Printing source documents
D. Purchasing bookkeeping systems
SUBMIT

In preparing a responsibility income statement that shows contribution margin and responsibility margin, two concepts are involved in allocating costs to the various centers. These concepts are: Group of answer choices Whether the costs are variable or fixed and whether they are material in dollar amount. Whether the costs are traceable to the responsibility center and whether the responsibility center is organized as a profit center or an investment center. Whether the costs are variable or fixed and whether they are directly traceable to the responsibility center. Whether the costs are traceable to the responsibility center and whether they are material in dollar amount. None is correct.

Over the last 20 years several family breweries have sprung up, offering new beer products with unique characteristics. This has led to the availability of types of beers such as spontaneously fermented beers and speciality top fermented beers such as ales, white beers and Trappist beers. Trappist beers are top fermented beers and get their names from the places where they are produced namely in abbeys called Trappist monasteries. The beers are produced by monks of the Trappist order and marketed as authentic Trappist products. Tourists make an effort to visit these breweries to buy Trappist beers and to experience the unique culture of speciality beer. The Trappist beer companies need to consider what the future might offer, how this will affect the business and what resources and actions are necessary to prepare for it. This refers to the following management skill​

In organizing groups to work on homework together every student is asked to fill out a form listing all other students who they would be willing to work with. If there are 251 students in the class and each student lists exactly 168 other students who they might be willing to work with. For any two students in the class, if student A puts student B on their list, then students B will also have student A on their list.

Required:
Using the Pidgeon Hole show that there must be some group of four students who are work with one another.

Which type of firm would you rather work for? One who lays people off, or one that cuts everyone’s hours? Why? Think about the tradeoffs involved. Please use marginal analysis (ref. chapter 1) in your reasoning, and back up any claims you make with some documentation.
If a law was passed that required all firms to cut hours instead of lay people off, so that everybody was guaranteed a job and only hours worked fluctuated (instead of experiencing joblessness), what do you think the economic consequences would be? Specifically:;

A__________can help you decide if you should buy or lease a new car.
a.
Diagram
c.
Flowchart
b.
Table
d.
Timeline


Please select the best answer from the choices provided

A
B
C
D

Hakara Company has been using direct labor costs as the basis for assigning overhead to its many products. Under this allocation system, product A has been assigned overhead of $21.86 per unit, while product B has been assigned $13.35 per unit. Management feels that an ABC system will provide a more accurate allocation of the overhead costs and has collected the following cost pool and cost driver information:

Cost Pools Activity Costs Cost Drivers Activity Driver Consumption
Machine setup $360,000 Setup hours 4,000
Materials handling 85,000 Pounds of materials 17,000
Electric power 50,000 Kilowatt-hours 25,000

The following cost information pertains to the production of A and B, just two of Hakara's many products:

A B
Number of units produced 4,000 10,000
Direct materials cost $39,000 $38,000
Direct labor cost $22,000 $27,000
Number of setup hours 100 200
Pounds of materials used 2,000 2,000
Kilowatt-hours 2,000 4,000

Required:
Use activity-based costing to determine a unit cost for each product.

You run a small software development company that does all of its business exclusively through the Internet. You are considering outsourcing some of your more mundane development tasks to India. You have determined that the information infrastructure and human infrastructure in the country are definitely adequate for your needs, but the physical infrastructure is not. Is India still a viable country for outsourcing your mundane software development tasks?
a. No, India must have strong information and physical infrastructure, but human infrastructure is less important for it to be a viable option in this case.
b. No, India must have strong information and human infrastructure, but physical infrastructure is less important for it to be a viable option in this case.
c. No, India must have strong information, human, and physical infrastructure for it to be a viable option in this case.
d. No, India must have strong human and physical infrastructure, but information infrastructure is less important for it to be a viable option in this case.