acc 291 entire course new Flashcards
UOP ACC 291 Final Exam Guide
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-final-exam-guide
For more classes visit
http://www.assignmentcloud.com
1) Hahn Company uses the percentage of sales method for recording bad debts expense. For the year, cash sales are $300,000 and credit sales are $1,200,000. Management estimates that 1% is the sales percentage to use. What adjusting entry will Hahn Company make to record the bad debts expense?
A.
Bad Debts Expense ……………. ……………. $15,000
Allowances for Doubtful Accounts ……………. ……………. $15,000
B.
Bad Debts Expense ……………. ……………. $12,000
Allowances for Doubtful Accounts ……………. ……………. $12,000
C.
Bad Debts Expense ……………. ……………. $12,000
Accounts Receivable ……………. ……………. …………….. $12,000
D.
Bad Debts Expense ……………. ……………. $15,000
Accounts Receivable ……………. ……………. …………….. $15,000
2) Using the percentage of receivables method for recording bad debts expense, estimated uncollectible accounts are $15,000. If the balance of the Allowance for Doubtful Accounts is $3,000 credit before adjustment, what is the amount of bad debts expense for that period? A. $15,000 B. $12,000 C. $18,000 D. $8,000
3) Intangible assets
A. should be reported under the heading Property, Plant, and Equipment
B. should be reported as a separate classification on the balance sheet
C. should be reported as Current Assets on the balance sheet
D. are not reported on the balance sheet because they lack physical substance
4) Intangible assets are the rights and privileges that result from ownership of long-lived assets that A. must be generated internally B. are depletable natural resources C. do not have physical substance D. have been exchanged at a gain
5) The book value of an asset is equal to the
A. asset’s market value less its historic cost
B. blue book value relied on by secondary markets
C. replacement cost of the asset
D. asset’s cost less accumulated depreciation
6) Gains on an exchange of plant assets that has commercial substance are
A. deducted from the cost of the new asset acquired
B. deferred
C. not possible
D. recognized immediately
7) Ordinary repairs are expenditures to maintain the operating efficiency of a plant asset and are referred to as
A. capital expenditures
B. expense expenditures
C. improvements
D. revenue expenditures
8) Costs incurred to increase the operating efficiency or useful life of a plant asset are referred to as
A. capital expenditures
B. expense expenditures
C. ordinary repairs
D. revenue expenditures
9) When an interest-bearing note matures, the balance in the Notes Payable account is
A. less than the total amount repaid by the borrower
B. the difference between the maturity value of the note and the face value of the note
C. equal to the total amount repaid by the owner
D. greater than the total amount repaid by the owner
10) The interest charged on a $200,000 note payable, at a rate of 6%, on a 2-month note would be A. $12,000 B. $6,000 C. $3,000 D. $2,000
11) If a corporation issued $3,000,000 in bonds which pay 10% annual interest, what is the annual net cash cost of this borrowing if the income tax rate is 30%? A. $3,000,000 B. $90,000 C. $300,000 D. $210,000
12) Hilton Company issued a four-year interest-bearing note payable for $300,000 on January 1, 2011. Each January the company is required to pay $75,000 on the note. How will this note be reported on the December 31, 2012 balance sheet?
A. Long-term debt, $300,000.
B. Long-term debt, $225,000.
C. Long-term debt, $150,000; Long-term debt due within one year, $75,000.
D. Long-term debt, $225,000; Long-term debt due within one year, $75,000.
13) A corporation issued $600,000, 10%, 5-year bonds on January 1, 2011 for 648,666, which reflects an effective-interest rate of 8%. Interest is paid semi-annually on January 1 and July 1. If the corporation uses the effective-interest method of amortization of bond premium, the amount of bond interest expense to be recognized on July 1, 2011, is A. $30,000 B. $24,000 C. $32,434 D. $25,946
14) When the effective-interest method of bond discount amortization is used
A. the applicable interest rate used to compute interest expense is the prevailing market interest rate on the date of each interest payment date
B. the carrying value of the bonds will decrease each period
C. interest expense will not be a constant dollar amount over the life of the bond
D. interest paid to bondholders will be a function of the effective-interest rate on the date the bonds were issued
15) If a corporation has only one class of stock, it is referred to as A. classless stock B. preferred stock C. solitary stock D. common stock 16) Capital stock to which the charter has assigned a value per share is called A. par value stock B. no-par value stock C. stated value stock D. assigned value stock
17) ABC, Inc. has 1,000 shares of 5%, $100 par value, cumulative preferred stock and 50,000 shares of $1 par value common stock outstanding at December 31, 2011. What is the annual dividend on the preferred stock? A. $50 per share B. $5,000 in total C. $500 in total D. $.50 per share
18) Manner, Inc. has 5,000 shares of 5%, $100 par value, noncumulative preferred stock and 20,000 shares of $1 par value common stock outstanding at December 31, 2011. There were no dividends declared in 2010. The board of directors declares and pays a $45,000 dividend in 2011. What is the amount of dividends received by the common stockholders in 2011?
A. $0
B. $25,000
C. $45,000
D. $20,000
19) When the selling price of treasury stock is greater than its cost, the company credits the difference to
A. Gain on Sale of Treasury Stock
B. Paid-in Capital from Treasury Stock
C. Paid-in Capital in Excess of Par Value
D. Treasury Stock
20) The purchase of treasury stock A. decreases common stock authorized B. decreases common stock issued C. decreases common stock outstanding D. has no effect on common stock outstanding
21) Marsh Company has other operating expenses of $240,000. There has been an increase in prepaid expenses of $16,000 during the year, and accrued liabilities are $24,000 lower than in the prior period. Using the direct method of reporting cash flows from operating activities, what were Marsh's cash payments for operating expenses? A. $228,000 B. $232,000 C. $200,000 D. $280,000
22) Where would the event purchased land for cash appear, if at all, on the indirect statement of cash flows? A. Operating activities section B. Investing activities section C. Financing activities section D. Does not represent a cash flow
23) In performing a vertical analysis, the base for cost of goods sold is A. total selling expenses B. net sales C. total revenues D. total expense
24) Blanco, Inc. has the following income statement (in millions):
BLANCO, INC.
Income Statement
For the Year Ended December 31, 2011
Net Sales ………………………… $200
Cost of Goods Sold ………………………… 120
Gross Profit ………………………… 80
Operating Expenses ………………………… 44
Net Income ………………………… $ 36
Using vertical analysis, what percentage is assigned to Net Income?
A. 100%
B. 82%
C. 18%
D. 25%
25) Dawson Company issued 500 shares of no-par common stock for $4,500. acc 291 final exam, Which of the following journal entries would be made if the stock has a stated value of $2 per share?
A.
Cash ………………………………………………….. $4,500
Common Stock 4,500
B.
Cash ……………………………… $4,500
Common Stock 1,000
Paid-In Capital in Excess of Par 3,500
C.
Cash …………………. $4,500
Common Stock 1,000
Paid-In Capital in Excess of Stated Value 3,500
D.
Common Stock ………………………………………………….. $4,500
Cash 4,500
26) Andrews, Inc. paid $45,000 to buy back 9,000 shares of its $1 par value common stock. This stock was sold later at a selling price of $6 per share. The entry to record the sale includes a
A. credit to Paid-In Capital from Treasury Stock for $9,000
B.credit to Retained Earnings for $9,000
C. debit to Pain-In Capital from Treasury Stock for $45,000
D. debit to Retained Earnings for $45,000
27) Which of the following is a fundamental factor in having an effective, ethical corporate culture?
A. Efficient oversight by the company’s Board of Directors
B. Workplace ethics
C. Code of conduct
D. Ethics management programs
28) Two individuals at a retail store work the same cash register. You evaluate this situation as
A. a violation of establishment of responsibility
B. a violation of segregation of duties
C. supporting the establishment of responsibility
D. supporting internal independent verification
29) The Sarbanes-Oxley Act imposed which new penalty for executives? A. Fines B. Suspension C. Criminal prosecution for executives D. Return of ill-gotten gains
30) The Sarbanes-Oxley Act requires that all publicly traded companies maintain a system of internal controls. Internal controls can be defined as a plan to A. safeguard assets B. monitor balance sheets C. control liabilities D. evaluate capital stock
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-final-exam-guide
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Final NEW
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-final-new
For more classes visit
http://www.assignmentcloud.com
Question 21
If a plant asset is retired and is fully depreciated
phantom depreciation must be taken as though the asset were still on the books.
a gain on disposal will be recorded.
a loss on disposal will be recorded.
no gain or loss on disposal will be recorded.
Multiple Choice Question 86
An aging of a company’s accounts receivable indicates that $4,500 are estimated to be uncollectible. If Allowance for Doubtful Accounts has a $1,200 credit balance, the adjustment to record bad debts for the period will require a
• debit to Bad Debt Expense for $4,500.
• debit to Bad Debt Expense for $3,300.
• credit to Allowance for Doubtful Accounts for $4,500.
• debit to Allowance for Doubtful Accounts for $3,300.
Multiple Choice Question 182 The financial statements of the Melton Manufacturing Company reports net sales of $300,000 and accounts receivable of $50,000 and $30,000 at the beginning of the year and end of year, respectively. What is the average collection period for accounts receivable in days? • 60.8 • 96.1 • 36.5 • 48.7
Multiple Choice Question 119 Stine Company purchased machinery with a list price of $64,000. They were given a 10% discount by the manufacturer. They paid $400 for shipping and sales tax of $3,000. Stine estimates that the machinery will have a useful life of 10 years and a residual value of $20,000. If Stine uses straight-line depreciation, annual depreciation will be • $3,760. • $4,072. • $6,100. • $4,100.
Multiple Choice Question 198 Given the following account balances at year end, compute the total intangible assets on the balance sheet of Janssen Enterprises. Cash $1,500,000 Accounts Receivable 4,000,000 Trademarks 1,000,000 Goodwill 2,500,000 Research & Development Costs 2,000,000 • $7,500,000. • $5,500,000. • $3,500,000. • $9,500,000.
Multiple Choice Question 207 On January 1, a machine with a useful life of five years and a residual value of $40,000 was purchased for $120,000. What is the depreciation expense for year 2 under the double-declining-balance method of depreciation? • $38,400. • $48,000. • $23,040. • $28,800.
IFRS Multiple Choice Question 01
As a recent graduate of State University you’re aware that IFRS requires component depreciation for plant assets. A friend has asked you to succinctly explain what component depreciation means. Which of the following correctly describes component depreciation?
• The method that requires that significant parts of a plant asset with different useful lives be depreciated separately.
• The method used to ensure that the depreciation rate remains constant from year to year.
• The method used to prorate annual depreciation on a time basis.
• The method of depreciation recommended for an asset that is expected to be significantly more productive in the first half of its useful life.
Multiple Choice Question 146 Bonds with a face value of $300,000 and a quoted price of 97¼ have a selling price of • $292,500. • $291,075. • $291,750. • $291,006.
Multiple Choice Question 188 Sparks Company received proceeds of $423,000 on 10-year, 8% bonds issued on January 1, 2013. The bonds had a face value of $400,000, pay interest annually on December 31st, and have a call price of 102. Sparks uses the straight-line method of amortization. What is the carrying value of the bonds on January 1, 2015? • $400,000 • $420,700 • $418,400 • $381,600
Multiple Choice Question 90 S. Lawyer performed legal services for E. Corp. Due to a cash shortage, an agreement was reached whereby E. Corp. would pay S. Lawyer a legal fee of approximately $15,000 by issuing 8,000 shares of its common stock (par $1). The stock trades on a daily basis and the market price of the stock on the day the debt was settled is $1.80 per share. Given this information, the best journal entry for E. Corp. to record for this transaction is • Legal Expense 14,400 Common Stock 8,000 Paid-in Capital in Excess of Par - Common 6,400 • Legal Expense 15,000 Common Stock 15,000 • Legal Expense 15,000 Common Stock 8,000 Paid-in Capital in Excess of Par - Common 7,000 • Legal Expense 14,400 Common Stock 14,400
Multiple Choice Question 110
Logan Corporation issues 50,000 shares of $50 par value preferred stock for cash at $60 per share. The entry to record the transaction will consist of a debit to Cash for $3,000,000 and a credit or credits to
• Preferred Stock for $2,500,000 and Paid-in Capital in Excess of Par Value—Preferred Stock for $500,000.
• Preferred Stock for $2,500,000 and Retained Earnings for $500,000.
• Paid-in Capital from Preferred Stock for $3,000,000.
• Preferred Stock for $3,000,000.
IFRS Multiple Choice Question 01
Jahnke Corporation issued 8,000 shares of €2 par value ordinary shares for €11 per share. The journal entry to record the sale will include
• a credit to Share Capital–Ordinary for €88,000.
• a debit to Retained Earnings for €72,000.
• a debit to Cash for €16,000.
• a credit to Share Premium–Ordinary for €72,000.
Multiple Choice Question 80
Zoum Corporation had the following transactions during 2014:
1. Issued $125,000 of par value common stock for cash.
2. Recorded and paid wages expense of $60,000.
3. Acquired land by issuing common stock of par value $50,000.
4. Declared and paid a cash dividend of $10,000.
5. Sold a long-term investment (cost $3,000) for cash of $3,000.
6. Recorded cash sales of $400,000.
7. Bought inventory for cash of $160,000.
8. Acquired an investment in Zynga stock for cash of $21,000.
9. Converted bonds payable to common stock in the amount of $500,000.
10. Repaid a 6 year note payable in the amount of $220,000.
What is the net cash provided by financing activities?
• $395,000.
• $<605,000>.
• $<105,000>.
• $115,000.
Multiple Choice Question 176 Colie Company had an increase in inventory of $120,000. The cost of goods sold was $490,000. There was a $30,000 decrease in accounts payable from the prior period. Using the direct method of reporting cash flows from operating activities, what were Colie's cash payments to suppliers? • $580,000. • $370,000. • $310,000. • $640,000.
IFRS Multiple Choice Question 04
Each of the following items may be classified as operating or financing activities under IFRS except
• dividends paid.
• dividends received.
• interest paid. (Incorrect)
• all of these answer choices may be classified as such.
Multiple Choice Question 165 The current assets of Orangatte Company are $227,500. The current liabilities are $130,000. The current ratio expressed as a proportion is • 1.75:1. • 175%. • $210,000 ÷ $120,000. • .57:1.
Multiple Choice Question 41
All of the following requirements about internal controls were enacted under the Sarbanes Oxley Act of 2002 except:
• independent outside auditors must eliminate redundant internal control.
• companies must continually assess the functionality of internal controls.
• independent outside auditors must attest to the level of internal control.
• companies must develop sound internal controls over financial reporting.
Multiple Choice Question 85
Which of the following is not an internal control activity for cash?
• The number of persons who have access to cash should be limited.
• The functions of record keeping and maintaining custody of cash should be combined.
• Surprise audits of cash on hand should be made occasionally.
• All cash receipts should be recorded promptly.
Multiple Choice Question 92 Before a check authorization is issued, the following documents must be in agreement, except for the • purchase order. • invoice. • remittance advice. • receiving report.
Multiple Choice Question 115 Mitchell Corporation bought equipment on January 1, 2014 .The equipment cost $180,000 and had an expected salvage value of $30,000. The life of the equipment was estimated to be 6 years. The book value of the equipment at the beginning of the third year would be • $50,000. • $180,000. • $150,000. • $130,000.
Multiple Choice Question 142 Brevard Corporation purchased a taxicab on January 1, 2013 for $25,500 to use for its shuttle business. The cab is expected to have a five-year useful life and no salvage value. During 2014, it retouched the cab's paint at a cost of $1,200, replaced the transmission for $3,000 (which extended its life by an additional 2 years), and tuned-up the motor for $150. If Brevard Corporation uses straight-line depreciation, what annual depreciation will Brevard report for 2014? • $4,100. • $5,100. • $4,125. • $3,900.
Multiple Choice Question 164 On July 1, 2014, Fleming Company sells machinery for $120,000. The machinery originally cost $300,000, had an estimated 5-year life and an expected salvage value of $50,000. The Accumulated Depreciation account had a balance of $175,000 on January 1, 2014, using the straight-line method. The gain or loss on disposal is • $20,000 gain. • $5,000 loss. • $10,000 loss. • $5,000 gain.
Multiple Choice Question 180 On July 1, 2014, Linden Company purchased the copyright to Norman Computer Tutorials for $140,000. It is estimated that the copyright will have a useful life of 5 years. The amount of Amortization Expense recognized for the year 2014 would be • $14,000. • $25,900. • $28,000. • $13,125.
Multiple Choice Question 120
The following totals for the month of April were taken from the payroll records of Metz Company.
Salaries $30,000
FICA taxes withheld 2,295
Income taxes withheld 6,600
Medical insurance deductions 1,200
Federal unemployment taxes 240
State unemployment taxes 1,500
The entry to record accrual of employer’s payroll taxes would include a
• credit to FICA Taxes Payable for $1,740.
• credit to Payroll Tax Expense for $1,740.
• debit to Payroll Tax Expense for $4,035.
• credit to Payroll Tax Expense for $4,035.
Multiple Choice Question 242 Thayer Company purchased a building on January 2 by signing a long-term $2,520,000 mortgage with monthly payments of $23,100. The mortgage carries an interest rate of 10 percent. The amount owed on the mortgage after the first payment will be • $2,499,000. • $2,496,900. • $2,520,000. • $2,517,900.
Multiple Choice Question 96
The following data is available for BOX Corporation at December 31, 2014:
Common stock, par $10 (authorized 30,000 shares) $250,000
Treasury stock (at cost $15 per share) $1,200
Based on the data, how many shares of common stock are outstanding?
• 30,000.
• 24,920.
• 25,000.
• 29,920. (Incorrect)
Multiple Choice Question 144
Indicate the respective effects of the declaration of a cash dividend on the following balance sheet sections:
Total Assets Total Liabilities Total Stockholders’ Equity
• Decrease Increase Decrease
• Increase Decrease No change
• Decrease No change Increase
• No change Increase Decrease
Multiple Choice Question 102 Assume the following cost of goods sold data for a company: 2015 $1,300,000 2014 1,200,000 2013 1,000,000
If 2013 is the base year, what is the percentage increase in cost of goods sold from 2013 to 2015? • 30% • 70% • 130% • 20%
Multiple Choice Question 179 A company has an average inventory on hand of $75,000 and its average days in inventory is 36.5 days. What is the cost of goods sold? • $1,680,000 • $876,000 • $750,000 • $1,752,000
Multiple Choice Question 199
The following information is available for Patterson Company:
2014 2013
Accounts receivable $ 360,000 $ 340,000
Inventory 280,000 320,000
Net credit sales 3,000,000 2,600,000
Cost of goods sold 1,500,000 840,000
Net income 300,000 170,000
The accounts receivable turnover for 2014 is
• 4.3 times.
• 8.6 times.
• 7.6 times.
• 8.3 times.
Multiple Choice Question 221
All of the following situtations below might indicate a company has a low quality of earnings except
• Maintenance costs are capitalized and then depreciated (Incorrect).
• Revenue is recognized when earned.
• A lack of disclosure about guaranteed payments that were mentioned in the MD&A of the annual report.
• Adoption of a different inventory method for each of the last three years.
IFRS Multiple Choice Question 05
IFRS
• implies that receivables with different characteristics should be reported as one unsegregated amount.
• implies that receivables with different characteristics should be reported separately.
• requires that receivables with different characteristics should be reported as one unsegregated amount.
• requires that receivables with different characteristics should be reported separately.
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-final-new
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 1 Assignment Comparative Analysis Problem (2 Papers) NEW
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-1-assignment-comparative-analysis-problem-new
For more classes visit
http://www.assignmentcloud.com
Purpose of Assignment
The purpose of this assignment is to help you understand the basics of financial statement analysis using financial ratios on the assets section of the balance sheet, data interpretation, and how ratios are used to gain insight about the management of receivable.
Assignment Steps
Resources: Financial Accounting: Tools for Business Decision Making
Develop an 875-word analysis providing conclusions concerning the management of accounts receivable based on the financial statements of Columbia Sportswear Company presented in Appendix B and the financial statements of VF Corporation presented in Appendix C, including the following:
Based on the information contained in these financial statement, compute the following 2014 values for each company:
What conclusions concerning the management of accounts receivable can be drawn from this data?
Accounts receivable turnover (For VF, use “Net sales” and assume all sales were credit sales)
Average collection period for accounts receivable
Use the Week 1 Excel® spreadsheet to show your work and submit with your analysis.
Click the Assignment Files tab to submit your assignment.
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-1-assignment-comparative-analysis-problem-new
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 1 Wileyplus Assignment E8-4, E8-11, BYP8-1, and BYP8-2 (New)
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-1-wileyplus-assignment-e8-4,e8-11,byp8-1,and-byp8-2
For more classes visit
http://www.assignmentcloud.com
Exercise 8-4 Wainwright Company
Exercise 8-11 Fedex Corporation
Broadening your Perspective 8-1 Tootsie Roll
Broadening your Perspective 8-2 Tootsie Roll and Hershey
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-1-wileyplus-assignment-e8-4,e8-11,byp8-1,and-byp8-2
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 2 Assignment Financial Reporting Problem, Apple Inc NEW
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-2-assignment-financial-reporting-problem-apple-inc-new
For more classes visit
http://www.assignmentcloud.com
Purpose of Assignment
The purpose of this assignment is to help you understand the basics of financial statement analysis related to the assets section of the balance sheet, data interpretation, and how financial information is obtained to understand how a company accounts for its long-lived assets.
Assignment Steps
Resources: Financial Accounting: Tools for Business Decision Making
Note: The financial statements of Apple, Inc. are presented in Appendix A of Financial Accounting. Instructions for accessing and using the company’s complete annual report, including the notes to the financial statements, are also provided in Appendix A.
Complete a 1,050-word summary of findings and recommendations from the following questions:
• What were the total cost and book value of property, plant, and equipment at September 27, 2014?
• Using the notes to find financial statements, what method or methods of depreciation are used by Apple for financial reporting purposes?
• What was the amount of depreciation and amortization expense for each of the three years 2012-2014? (Hint: Use the statement of cash flows).
• Using the statement of cash flows, what are the amounts of property, plant, and equipment purchased in 2014 and 2013?
• Using the notes to the financial statements, explain in the summary how Apple accounted for its intangible assets in 2014.
Use the Week 2 Excel® spreadsheet to show your work and submit with your summary.
Click the Assignment Files tab to submit your assignment.
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-2-assignment-financial-reporting-problem-apple-inc-new
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 2 Textbook Exercise BE 8-8, E8-4, E8-14, E9-4 NEW
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-2-textbook-exercise-new
For more classes visit
http://www.assignmentcloud.com
Chapter 8: BE8-8
Determine maturity dates and compute interest and rates on notes.
E8-4 The ledger of Macarty Company at the end of the current year shows Accounts Receivable $78,000, Credit Sales $810,000, and Sales Returns and Allowances $40,000.
Instructions
(a) If Macarty uses the direct write‐off method to account for uncollectible accounts, journalize the adjusting entry at December 31, assuming Macarty determines that Matisse’s $900 balance is uncollectible.
(b) If Allowance for Doubtful Accounts has a credit balance of $1,100 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be 10% of accounts receivable.
(c) If Allowance for Doubtful Accounts has a debit balance of $500 in the trial balance, journalize the adjusting entry at December 31, assuming bad debts are expected to be 8% of accounts receivable.
Determine bad debt expense, and prepare the adjusting entry.
Chapter 8: E8-14
Compute ratios to evaluate a company’s receivables balance.
(LO 4), AN
E8-14 Suppose the following information was taken from the 2017 financial statements of FedEx Corporation, a major global transportation/delivery company.
(in millions) 017 2016
Accounts receivable (gross) $ 3,587 $ 4,517
Accounts receivable (net) 3,391 4,359
Allowance for doubtful accounts 196 158
Sales revenue 35,497 37,953
Total current assets 7,116 7,244
Instructions
Answer each of the following questions.
(a) Calculate the accounts receivable turnover and the average collection period for 2017 for FedEx.
(b) Is accounts receivable a material component of the company’s total current assets?
(c) Evaluate the balance in FedEx’s allowance for doubtful accounts.
Chapter 9: E9-4
Understand depreciation concepts.
(LO 2), C
E9-4 Alysha Monet has prepared the following list of statements about depreciation.
Depreciation is a process of asset valuation, not cost allocation.
Depreciation provides for the proper matching of expenses with revenues.
The book value of a plant asset should approximate its fair value.
Depreciation applies to three classes of plant assets: land, buildings, and equipment.
Depreciation does not apply to a building because its usefulness and revenue‐producing ability generally remain intact over time.
The revenue‐producing ability of a depreciable asset will decline due to wear and tear and to obsolescence.
Recognizing depreciation on an asset results in an accumulation of cash for replacement of the asset.
The balance in accumulated depreciation represents the total cost that has been charged to expense since placing the asset in service.
Depreciation expense and accumulated depreciation are reported on the income statement.
Three factors affect the computation of depreciation: cost, useful life, and salvage value.
Instructions
Identify each statement as true or false. If false, indicate how to correct the statement.
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-2-textbook-exercise-new
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 2 Wileyplus Assignment BE9-11, DI9-5, E9-7, E9-8, BYP9-1, BYP9-2,P9-2A,P8-3A (New) - 100% Correct
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-2-wileyplus-assignment-be9-11,di9-5,e9-7,e9-8,byp9-1,byp9-2,p9-2a,p8-3a
For more classes visit http://www.assignmentcloud.com Brief Exercise 9-11: Nike, Inc. Do It! 9-5 Exercise 9-7: Wang, Co. Exercise 9-8: Cleand Corporation Broadening Your Perspective 9-1: Tootsie Roll Broadening Your Perspective 9-2: Tootsie& Hershey Problem 9-2A: Navaro Corporation Problem 8-3A: Bosworth Company
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-2-wileyplus-assignment-be9-11,di9-5,e9-7,e9-8,byp9-1,byp9-2,p9-2a,p8-3a
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 3 Wileyplus Assignment E10-5,E10-8,E10-13,E10-22,E10-24,BYP10-1,BYP10-2,P9-7A,P10-9A,P10-13A,IFRS10-4 (NEW) - 100% Correct
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-3-wileyplus-assignment-e10-5,e10-8,e10-13,e10-22,e10-24,byp10-1,byp10-2,p9-7a,p10-9a,p10-13a,ifrs10-4
For more classes visit
http://www.assignmentcloud.com
Exercise 10-5: Olinger Company Exercise 10-8: Ortega Company Exercise 10-13: Romine Company Exercise 10-22: Cole Corporation Exercise 10-24: Nance, Co. Broadening Your Perspective 10-1: Tootsie Roll Broadening Your Perspective 10-2: Tootsie& Hershey Problem 9-7A: Farr Company Problem 10-9A: Wempe, Co. Problem 10-13A: Grace Herron IFRS10-4: Ratzlaff
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-3-wileyplus-assignment-e10-5,e10-8,e10-13,e10-22,e10-24,byp10-1,byp10-2,p9-7a,p10-9a,p10-13a,ifrs10-4
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 3 Wileyplus Assignment E10-5,E10-8,E10-13,E10-22,E10-24,BYP10-1,BYP10-2,P9-7A,P10-9A,P10-13A,IFRS10-4 (NEW) - 100% Correct
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-3-wileyplus-assignment-e10-5,e10-8,e10-13,e10-22,e10-24,byp10-1,byp10-2,p9-7a,p10-9a,p10-13a,ifrs10-4
For more classes visit
http://www.assignmentcloud.com
Exercise 10-5: Olinger Company Exercise 10-8: Ortega Company Exercise 10-13: Romine Company Exercise 10-22: Cole Corporation Exercise 10-24: Nance, Co. Broadening Your Perspective 10-1: Tootsie Roll Broadening Your Perspective 10-2: Tootsie& Hershey Problem 9-7A: Farr Company Problem 10-9A: Wempe, Co. Problem 10-13A: Grace Herron IFRS10-4: Ratzlaff
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-3-wileyplus-assignment-e10-5,e10-8,e10-13,e10-22,e10-24,byp10-1,byp10-2,p9-7a,p10-9a,p10-13a,ifrs10-4
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 4 Exercise E11-2, E11-5, E11-7, E11-13 NEW
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-4-exercise-new
For more classes visit
http://www.assignmentcloud.com
Journalize issuance of common stock and preferred stock and purchase of treasury stock.
E11-2 Sagan Co. had these transactions during the current period.
June 12 Issued 80,000 shares of $1 par value common stock for cash of $300,000.
July 11 Issued 3,000 shares of $100 par value preferred stock for cash at $106 per share.
Nov. 28 Purchased 2,000 shares of treasury stock for $9,000.
Prepare correct entries for capital stock transactions.
E11-5 Mesa Corporation recently hired a new accountant with extensive experience in accounting for partnerships. Because of the pressure of the new job, the accountant was unable to review what he had learned earlier about corporation accounting. During the first month, he made the following entries for the corporation’s capital stock.
Compare effects of a stock dividend and a stock split.
E11-7 On October 31, the stockholders’ equity section of Manolo Company’s balance sheet consists of common stock $648,000 and retained earnings $400,000. Manolo is considering the following two courses of action: (1) declaring a 5% stock dividend on the 81,000 $8 par value shares outstanding or (2) effecting a 2‐for‐1 stock split that will reduce par value to $4 per share. The current market price is $17 per share.
Instructions
Prepare a tabular summary of the effects of the alternative actions on the company’s stockholders’ equity and outstanding shares. Use these column headings: Before Action, After Stock Dividend, and After Stock Split.
Calculate ratios to evaluate profitability and solvency.
E11-13 Kojak Corporation decided to issue common stock and used the $300,000 proceeds to redeem all of its outstanding bonds on January 1, 2017. The following information is available for the company for 2017 and 2016.
(a) Compute the return on common stockholders’ equity for both years.
(b) Explain how it is possible that net income increased but the return on common stockholders’ equity decreased.
(c) Compute the debt to assets ratio for both years, and comment on the implications of this change in the company’s solvency.
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-4-exercise-new
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 WEEK 4 Stockholders’ Equity Section of the Balance Sheet (Lachlin Corporation Balance Sheet) NEW
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-4-stockholders-equity-section-of-the-balance-sheet-new
For more classes visit http://www.assignmentcloud.com Purpose of Assignment The purpose of this assignment is to help you become familiar with examining the stockholders' equity section of the balance sheet. Assignment Steps
Resources: Financial Accounting: Tools for Business Decision Making
Answer the following questions in 1,050 words using the Lachlin Corporation Balance Sheet (partial) below:
• How many shares of common stock are outstanding?
• Assuming there is a stated value, what is the stated value of the common stock?
• What is the par value of the preferred stock?
• If the annual dividend on preferred stock is $36,000, what is the dividend rate on preferred stock?
• If dividends of $72,000 were in arrears on preferred stock, what would be the balance reported for retained earnings?
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-4-stockholders-equity-section-of-the-balance-sheet-new
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 4 Wileyplus Assignment
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-4-wileyplus-assignment-do-it-11-1,e11-5,e11-7,byp11-1,byp11-2,-p11-5a,p11-8a
For more classes visit http://www.assignmentcloud.com Do It! 11-1 Exercise 11-5 Garcia Corporation Exercise 11-7 Pele Company Broadening Your Perspective 11-1 Tootsie Roll Broadening Your Perspective 11-2 Tootsie Roll & Hershey Problem 11-5A Pringle Corporation Problem 11-8A Everett Corporation
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-4-wileyplus-assignment-do-it-11-1,e11-5,e11-7,byp11-1,byp11-2,-p11-5a,p11-8a
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 5 Assignment Financial Reporting Problem II NEW
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-5-assignment-financial-reporting-problem-new
For more classes visit
http://www.assignmentcloud.com
Purpose of Assignment
The purpose of this assignment is to expose you to the basic process involved in the analysis of the cash flow statement.
Assignment Steps
Resources: Appendix A of Financial Accounting: Tools for Business Decision Making
Note: This is a two part assignment.
Part 1
Answer questions A-F in problem CT12-1 in Financial Accounting (p. 640).
Provide an 875-word analysis of your findings.
Include conclusions concerning the management of the company’s cash.
Part 2
Complete a 1,050-word summary of findings and recommendations from the following questions:
• What is the par or stated value per share of Apple’s common stock?
• What percentage of Apple’s authorized common stock was issued at September 27, 2014?
• How many shares of common stock were outstanding at September 28, 2013, and at September 27, 2014?
• Calculate the payout ratio, earnings per share, and return on common stockholders’ equity for 2014.
Use the Week 5 Excel® spreadsheet and submit with your analysis and summary.
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-5-assignment-financial-reporting-problem-new
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 5 Exercise E12-3, E12-10 NEW
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-5-exercise-new
For more classes visit
http://www.assignmentcloud.com
Prepare the operating activities section—indirect method.
E12-3 Sosa Company reported net income of $190,000 for 2017. Sosa also reported depreciation expense of $35,000 and a loss of $5,000 on the disposal of plant assets. The comparative balance sheets show an increase in accounts receivable of $15,000 for the year, a $17,000 increase in accounts payable, and a $4,000 increase in prepaid expenses.
Instructions
Prepare the operating activities section of the statement of cash flows for 2017. Use the indirect method.
Compare free cash flow of two companies.
E12-10 Information for two companies in the same industry, Merrill Corporation and Wingate Corporation, is presented here.
Merrill Corporation Wingate Corporation
Net cash provided by operating activities $ 80,000 $100,000
Average current liabilities 50,000 100,000
Net income 200,000 200,000
Capital expenditures 40,000 70,000
Dividends paid 5,000 10,000
Instructions
Compute free cash flow for both companies and compare.
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-5-exercise-new
For more classes visit
http://www.assignmentcloud.com
UOP ACC 291 Week 5 Wileyplus Assignment E12-1, IFRS13-1, P12-9A, P12-10A, P13-2A, E7-3 And BYP 13-2 (NEW)
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-5-wileyplus-assignment-e12-1,ifrs13-1,p12-9a,p12-10a,p13-2a,e7-3-and-byp-13-2
For more classes visit http://www.assignmentcloud.com Exercise 12-1 International Financial Reporting Standards 13-1 Problem 12-9A Problem 12-10A Problem 13-2A Exercise 7-3 BYP 13-2
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-291-uop/acc-291-week-5-wileyplus-assignment-e12-1,ifrs13-1,p12-9a,p12-10a,p13-2a,e7-3-and-byp-13-2
For more classes visit
http://www.assignmentcloud.com
