REV Co. is reviewing the accounting and disclosure requirements for its significant guarantees, commitments, and contingencies, including litigation, as of December 31, year 3. The financial statements are expected to be available to be issued on February 10, year 4. Use the information in the exhibits above to determine the amount, if any, to recognize and whether disclosure is required in REV's financial statements as of and for the year ended December 31, year 3.

Answer:

REV Co. has made disclosure in notes to the financial statement section. The disclosures include the details about related party transaction which was carried out by the brother of Chief Operating Officer. It is ensured that the transaction was completed on arm's length.

Explanation:

Disclosures are mandatory for any company which is listed. The companies provide details of specific transactions in Notes to the Financial statements. These additional information provides details of transaction to the shareholders and removes any ambiguity in the transaction. The purpose of disclosures is to ensure the shareholders that the company has not incurred any fraudulent activity in certain transactions and all transactions are fair and complies with International Accounting Standards.

Sobota Corporation has provided the following partial listing of costs incurred during August: Marketing salaries $ 51,600 Property taxes, factory $ 15,700 Administrative travel $ 104,400 Sales commissions $ 54,700 Indirect labor $ 42,300 Direct materials $ 168,800 Advertising $ 138,000 Depreciation of production equipment $ 41,200 Direct labor $ 90,900 Required: a. What is the total amount of product cost listed above

People of lower socioeconomic status are more likely to smoke tobacco, but the data collected does not indicate why. However, with a naturalist/constructivist approach, the exposures that people are subjected to (or choose) are better understood in the context of their personal circumstances and the significance that people attribute to things in their environment." Which type of study you will undertake to answer this research question?A. QualitativeB. Quantitative

Career choice, getting/keeping a job, career changes, career advancement skills are examples of

A. employability skills

B. diversity

C. professional image

D. transferable skills

Organization Weighs Use of Open Source Software. You began operating a small general electric contracting company two years ago. Originally, it was just you and your cousin, but it has grown to five licensed electricians, plus one office manager who takes calls from customers, schedules the work, and orders parts and supplies. Your company handles a wide range of work, including installing new circuit breaker panels, rewiring existing electrical systems for renovations and additions, and installing residential light fixtures, security lighting systems, swimming pool lighting, and ceiling fans. Business has really taken off, and your current manual systems and procedures can no longer keep pace. The office manager has been exploring several options and has identified three different software packages designed for small contractors. Each one of the packages includes software designed for managing parts and supplies inventory, scheduling jobs, and invoicing customers. One of the packages also provides the capability to perform accounts receivable and accounts payable functions. Two of the software packages are from large, well-known companies, and both have an initial licensing cost of roughly $550 plus $100 per year for software support. The other software package is open-source software, with no initial cost and no support cost. The office manager is unsure how to proceed, but has your agreement to spend up to $1000 on new software.
Which one of the following should be your next step?
a. Define the basic business functions that you need the software to be able perform.
b. Determine the date by which you need the new software installed and operational.
c. Talk to your cousin Vinnie who is an accountant in a large manufacturing firm.
d. Set an exact limit on how much you are willing to spend on office software.

IF U GET RIGHT U GET BRAINLY

The following selected information was extracted from the 20x1 accounting records of Lone Oak Products:
Raw material purchases ................................ $ 175,000
Direct labor ......................................................... 254,000
Indirect labor ...................................................... 109,000
Selling and administrative salaries .................. 133,000
Building depreciation ........................................... 80,000
Other selling and administrative expenses ..... 195,000
Other factory costs ............................................. 344,000
Sales revenue ($130 per unit) ........................ 1,495,000
Seventy-five percent of the company’s building was devoted to production activities; the remaining 25 percent was used for selling and administrative functions.
Inventory data:
January1 December31
Raw material 15800 18200
Work in process 35700 62100
Finished goods 111100 97900
The January 1 and December31 finished-goods inventory consisted of 1,350 units and 1,190 units, respectively.
Required:
1. Calculate Lone Oak’s manufacturing overhead for the year.
2. Calculate Lone Oak’s cost of goods manufactured.
3. Compute the company’s cost of goods sold.
4. Determine net income for 20x1, assuming a 30% income tax rate.
5. Determine the number of completed units manufactured during theyear.

If two tables do not already have relationships, how can they be related in the Design view?
O Establish primary keys for both of the tables.
O Right-click the table title and then click link tables.
O Drag and drop a field from one table to another.
O Make sure that only one table has a primary key.
< Previous Activity

Select all the correct answers.
Which three statements are true as they relate to supply and demand?
As supply rises, prices generally decrease.
As demand decreases, costs generally increase.
As supply decreases, prices increase.
The average rate of change describes how much a quantity changes as price increases.
As demand rises, the price of the product decreases.
Reset

Department G had 3,600 units 25% completed at the beginning of the period, 11,000 units were completed during the period; 3,000 units were 20% completed at the end of the period, and the following manufacturing costs debited to the departmental work in process account during the period:
Work in process, beginning of period $40,000
Costs added during period:
Direct materials (10,400 units at $8) 83,200
Direct labor 63,000 Factory overhead 25,000
All direct materials are placed in process at the beginning of production and the first-in, first-out method of inventory costing is used. The total cost of the departmental work in process inventory at the end of the period (round unit cost calculations to four decimal places is:______.
All direct materials are placed in process at the beginning of production and the first-in, first-out method of inventory costing is used. What is the total cost of the units started and completed during the period (round unit cost calculations to four decimal places)?
a. $211,200.
b. $20,934.
c. $190,275.
d. $120,060.
Department G had 3,600 units 25% completed at the beginning of the period, 11,000 units were completed during the period; 3,000 units were 20% completed at the end of the period, and the following manufacturing costs debited to the departmental work in process account during the period:
Work in process, beginning of period $40,000
Costs added during period:
Direct materials (10,400 units at $8) 83,200
Direct labor 63,000
Factory overhead 25,000
All direct materials are placed in process at the beginning of production and the first-in, first-out method of inventory costing is used. What is the total cost of 3,600 units of beginning inventory which were completed during the period (round unit cost calculations to four decimal places)?
a. $19,275.
b. $40,000.
c. $62,206.
d. $16,163.

Which of the following statements is not correct?

multiple choice
When a periodic system is in use, the Purchases account must be credited for its account balance to close this account to the Income Summary account.
When a periodic inventory system is in use, the Merchandise Inventory account is both debited and credited in the closing entry process.
When a periodic system is in use, the Purchases Returns and Allowances, the Purchases Discounts, and the Transportation-In accounts must be debited to close their account balances to the Income Summary account.
When a periodic system is in use, each Purchases, Purchases Return and Allowance, Purchases Discount, and Transportation-In transaction is recorded in a separate temporary account.

Who prepares, creates, and is solely accountable for the official Financial Statements of a publicly traded company

The Freebird Turbocharger is being recalled. All customers who submitted warranty cards can have their installed turbochargers serviced free by authorized mechanics. If you do not have a warranty with Freebird, bring your original receipt to your local Freebird dealership and they will complete the repairs at cost.
1. What is the primary purpose of this message?
a. To give a price quote
b. To sell a turbocharger
c. To inform a customer about a recall
d. To refuse a refund
2. What is the secondary purpose of this message?
a. To retain the customer’s goodwill
b. To provide a refund
c. To sell more turbochargers

Ralph has experienced financial difficulties as a result of his struggling business. He has been behind on his mortgage payments for the last six months. The mortgage holder, who is a friend of Ralph's, has offered to accept $80,000 in full payment of the $100,000 owed on the mortgage and payable over the next 10 years. The interest rate of the mortgage is 7%, and the market rate is now 8%.

Required:
What tax issues are raised by the creditor's offer?

Tuna Corporation reported pretax book income of $1,008,000. During the current year, the net reserve for warranties increased by $29,000. In addition, book depreciation exceeded tax depreciation by $108,000. Finally, Tuna subtracted a dividends received deduction of $19,000 in computing its current-year taxable income. Book equivalent of taxable income is:

Which of the following would indicate an improvement in a company's financial position, holding other things constant? a. The inventory and total assets turnover ratios both decline. b. The debt ratio increases. c. The current and quick ratios both increase. d. The profit margin declines. e. The EBITDA coverage ratio declines.

A company issued 8%, 15-year bonds with a par value of $580,000 that pay interest semiannually. The market rate on the date of issuance was 8%. The journal entry to record each semiannual interest payment is:_________
A. Debit Bond Interest Expense $23,200; credit Cash $23,200.
B. Debit Bond Interest Expense $46,400; credit Cash $46,400.
C. Debit Bond Interest Payable $38,667; credit Cash $38,667.
D. Debit Bond Interest Expense $530,000; credit Cash $530,000.
E. No entry is needed, since no interest is paid until the bond is due.

Consider the following budgeted data for the client case of Carla's accounting firm. The client wants a fixed-price quotation.

Direct professional labour $20,700
Direct support labour 10,200
Fringe benefits for direct labour 13,500
Photocopying 1,800
Telephone calls 2,000
Computer lines 5,700

Overhead is allocated at the rate of 100% of direct labour cost.

Required:
Prepare a schedule of the budgeted total costs for the client.

Question 2
What was the opening price of Dow Jones Industrial Average on Mar 28, 2019 in the format of XXXXX.XX?

Below are transactions for Wolverine Company during 2021.
1. On December 1, 2021, Wolverine receives $4,000 cash from a company that is renting office space from Wolverine. The payment, representing rent for December and January, is credited to Deferred Revenue.
2. Wolverine purchases a one-year property insurance policy on July 1, 2021, for $13,200. The payment is debited to Prepaid Insurance for the entire amount.
3. Employee salaries of $3,000 for the month of December will be paid in early January 2022.
4. On November 1, 2021, the company borrows $15,000 from a bank. The loan requires principal and interest at 10% to be paid on October 30, 2022.
5. Office supplies at the beginning of 2021 total $1,000. On August 15, Wolverine purchases an additional $3,400 of office supplies, debiting the Supplies account. By the end of the year, $500 of office supplies remains.
Required:
Record the necessary adjusting entries at December 31, 2021, for Wolverine Company. You do not need to record transactions made during the year. Assume that no financial statements were prepared during the year and no adjusting entries were recorded.

Presented below is information related to Novak Company at December 31, 2020, the end of its first year of operations.
Sales revenue $291,980
Cost of goods sold 128,220
Selling and administrative expenses 51,800
Gain on sale of plant assets 27,190
Unrealized gain on available-for-sale debt investments 10,240
Interest expense 5,700
Loss on discontinued operations 12,550
Dividends declared and paid 4,600
Compute the following:
A) Income from operations.
B) Net income.
C) Comprehensive income.
D) Retained earnings balance at December 31, 2017.

Alpha and Beta, two small economies, can produce cheese or butter with the same resource, raw milk. Assuming constant opportunity costs, Alpha can produce either 30 pounds of cheese or 15 pounds of butter per day. Beta can produce either 40 pounds of cheese or 10 pounds of butter per day.

The opportunity cost of producing one pound of butter for Alpha is

a. two-thirds of a pound of cheese.
b. half of a pound of cheese.
c. two pounds of cheese.
d. one pound of cheese.
e. one and a half pounds of cheese

Holly took a prospective client to dinner, and after agreeing to a business deal, they went to the theater. Holly paid $320 for the meal and separately paid $238 for the theater tickets, amounts that were reasonable under the circumstances. What amount of these expenditures can Holly deduct as a business expense

Identify the choice that best completes the statement.
Economic models:_______.
a. cannot be useful if they are based on false assumptions
b. were once thought to be useful, but that is no longer true.
c. must incorporate all aspects of the economy if they are to be useful.
d. can be useful, even if they are not particularly realistic.

Brendan buys a used car in April 2020 from his neighbor for $20,000. After one month, he loses his job and decides to sell the car to get some cash. He sells the car for $22,000 to a car dealer. The dealer fixes a few things here and there and sells the car for $27,000 in July 2020. Because of these transactions, the 2020 nominal GDP increases by ______ dollars.

Wildhorse Co., a ski tuning and repair shop, opened on November 1, 2016. The company carefully kept track of all its cash receipts and cash payments. The following information is available at the end of the ski season, April 30, 2017.
Cash Receipts Cash Payments
Issuance of common shares $19,900
Payment to purchase repair shop equipment $9,430
Payments to landlord 1,225
Newspaper advertising payment 365
Utility bill payments 885
Part-time helper's wage payments 2,950
Income tax payment 10,000
Cash receipts from ski and snowboard repair services 30,400
Subtotals 50,300 24,855
Cash balance 25,445
Totals $50,300 $50,300
The repair shop equipment was purchased on November 1 and has an estimated useful life of 5 years. Lease payments to the landlord are made at the beginning of each month. The payments to the landlord included a security deposit of $175. The part-time helper is owed $495 at April 30, 2017, for unpaid wages. At April 30, 2017, customers owe Wildhorse Co. $455 for services they have received but have not yet paid for.

AdCreate negotiated a rate of 12.5% for a commission system payment with Worry Free Financial for a campaign in 2016. AdCreate arranged for the airing of three ads, during Newshour on CNN, in the first week of the launch campaign. AdCreate's income for these three ads in the first week was $49,375. Based on this information, which of the following is true?
I. The client (Worry Free Financial) paid AdCreate $425,625 for the three ads.
II. AdCreate paid CNN $425,625 for the three ads.
III. AdCreate paid CNN $345,625 for the three ads.
a. Ill only
b. I and ll
c. II only
d. I only

Worley Company buys surgical supplies from a variety of manufacturers and then resells and delivers these supplies to hundreds of hospitals. Worley sets its prices for all hospitals by marking up its cost of goods sold to those hospitals by 6%. For example, if a hospital buys supplies from Worley that had cost Worley $100 to buy from manufacturers, Worley would charge the hospital $106 to purchase these supplies.
For years, Worley believed that the 6% markup covered its selling and administrative expenses and provided a reasonable profit. However, in the face of declinin profits Worley decided to implement an activity-based costing system to help improve its understanding of customer profitability. The company broke its selling and administrative expenses into five activities as shown below:
Activity Cost Pool (Activity Measure) Total Cost Total Activity
Customer deliveries (Number of deliveries) $ 352,000 4,000 deliveries
Manual order processing (Number of manual orders) 539,000 7,000 orders
Electronic order processing (Number of electronic orders) 308,000 14,000 orders
Line item picking (Number of line items picked) 858,000 440,000 line items
Other organization-sustaining costs (None) 670,000
Total selling and administrative expenses $ 2,727,000
Worley gathered the data below for two of the many hospitals that it serves—University and Memorial (both hospitals purchased a total quantity of medical supplies that had cost Worley $36,000 to buy from its manufacturers):
Activity
Activity Measure University Memorial
Number of deliveries 14 21
Number of manual orders 0 43
Number of electronic orders 14 0
Number of line items picked 160 260
Required:
1. Compute the total revenue that Worley would receive from University and Memorial.
Total Revenue
University
Memorial
2. Compute the activity rate for each activity cost pool. (Round your answers to 2 decimal places.)
Activity Cost Pool
Activity Rate
Customer deliveries
Per delivery
Manual order processing
Per manual orde
Electronic order processing
Per electronic order
Line item picking
Per line item picked

A. Finance, or financial management, requires the knowledge and precise use of the language of the field.
Match the terms relating to the basic terminology and concepts of the time value of money on the left with the descriptions of the terms on the right. Read each description carefully and type the letter of the description in the Answer column next to the correct term. These are not necessarily complete definitions, but there is only one possible answer for each term.
Term Answer
Description
Discounting A. A schedule or table that reports the amount of principal and the amount of interest that make up each payment made to repay a loan by the end of its regular term.
Time value of money B. A loan in which the payments include interest as well as loan principal.
Amortized loan C. A value that represents the interest paid by borrowers or earned by lenders, expressed as a percentage of the amount borrowed or invested over a 12-month period.
Ordinary annuity D. A process that involves calculating the current value of a future cash flow or series of cash flows based on a certain interest rate.
Annual percentage rate E. The name given to the amount to which a cash flow, or a series of cash flows, will grow over a given period of time when compounded at a given rate of interest.
Annuity due F. A 6% return that you could have earned if you had made a particular investment.
Perpetuity G. A concept that maintains that the owner of a cash flow will value it differently, depending on when it occurs.
Future value H. A series of equal cash flows that occur at the beginning of each of the equally spaced intervals (such as daily, monthly, quarterly, and so on).
Amortization schedule I. A cash flow stream that is generated by a share of preferred stock that is expected to pay dividends every quarter indefinitely.
Opportunity cost of funds J. A series of equal cash flows that occur at the end of each of the equally spaced intervals (such as daily, monthly, quarterly, and so on).
B. Time value of money calculations can be solved using a mathematical equation, a financial calculator, or a spreadsheet. Which of the following equations can be used to solve for the present value of a perpetuity?
PMT/r
FV/(1 + r)nn
PMT x ({1 – [1/(1 + r)nn]}/r)
PV x (1 + r)n

Consider a four-step serial process with processing times given in the list below. There is one machine at each step of the process and this is a machine-paced process.

Step 1: 26 minutes per unit
Step 2: 16 minutes per unit
Step 3: 23 minutes per unit
Step 4: 26 minutes per unit

Assuming that the process starts out empty, how long will it take (in hours) to complete a batch of 91 units?

The following information is available pertaining to Iris Division that uses a plantwide overhead rate based on machine hours:
Mixing Dept. Finishing Dept. Total
Overhead $60,000 $150,000 $210,000
Direct labor-hours 7,500 2,500 10,000
Machine-hours 2,500 7,500 10,000
Production information pertaining to Job 101:
Mixing Dept. Finishing Dept. Total
Prime costs $10,000 $0 $10,000
Direct labor-hours 250 0 250
Machine-hours 10 10 20
Units produced 500 0 500
What are the total overhead costs assigned to Job 101? $240, $420, $360, or $180