Accounting 505 (Week 6) Quiz

In: Other Topics

Submitted By elashle
Words 961
Pages 4
Acct 505 Week 6 Quiz
1. Question : (TCO D) A company that has a profit can increase its return on investment by
Student Answer: increasing sales revenue and operating expenses by the same dollar amount. increasing average operating assets and operating expenses by the same dollar amount. increasing sales revenue and operating expenses by the same percentage. decreasing average operating assets and sales by the same percentage.
Instructor Explanation: Chapter 12
2. Question : (TCO D) Given the following data, what would ROI be?
Sales $50,000
Net operating income $5,000
Contribution margin $20,000
Average operating assets $25,000
Stockholder's equity $15,000
Student Answer: 10%
20%
16.7%
80%
Instructor Explanation: See Chapter 12. ROI = Net operating income / Average operating assets = $5,000 / $25,000 = 20.0%
3. Question : (TCO D) Given the following data: What is the return on the investment (ROI)?
Sales $50.000
Net operating income $5,000
Contribution margin $20,000
Average operating assets $25,000
Stockholder's equity $15,000
Student Answer: 10%
20%
16.7%
80%
Instructor Explanation: ROI = Net operating income / Average operating assets = $5,000 / $25,000 = 20.0%
Grade Details - All Questions
1. Question : (TCO D) Seebach Corporation has two major business segments—Apparel and Accessories. Data concerning those segments for June appear below.
Sales revenues, Apparel $700,000
Variable expenses, Apparel $406,000
Traceable fixed expenses, Apparel $98,000
Sales revenues, Accessories $710,000
Variable expenses, Accessories $312,000
Traceable fixed expenses, Accessories $107,000
Common fixed expenses totaled $292,000 and were allocated as follows: $155,000 to the Apparel business segment and $137,000 to the Accessories business segment.
Required:
Prepare a segmented income statement in the contribution format for the company. Omit…...

Similar Documents

Acct 505 Week 6 Quiz

...Question : (TCO D) Ferro Wares is a division of a major corporation. The following data are for the latest year of operations. Sales $33,040,000 Net Operating Income $1,453,760 Average Operating Assets $8,000,000 The company's minimum required rate of return 18% Required: i. What is the division's ROI? ii. What is the division's residual income? 3. Question : (TCO D) Tjelmeland Corporation is considering dropping product S85U. Data from the company's accounting system appear below. Sales $360,000 Variable Expenses $158,000 Fixed Manufacturing Expenses $119,000 Fixed Selling and Administrative Expenses $94,000 All fixed expenses of the company are fully allocated to products in the company's accounting system. Further investigation has revealed that $55,000 of the fixed manufacturing expenses and $71,000 of the fixed selling and administrative expenses are avoidable if product S85U is discontinued. Required: i. According to the company's accounting system, what is the net operating income earned by product S85U? Show your work! ii. What would be the effect on the company's overall net operating income of dropping product S85U? Should the product be dropped? Show your work! Points Received: 15 of 15 Comments: 4. Question : (TCO D) Fouch Company makes 30,000 units per year of a part it uses in the products it manufactures. The unit product cost of this part is computed as follows. Direct......

Words: 957 - Pages: 4

Managerial Accounting 505 Quiz

...Overhead b Work In Process Wages Payable c Manufacturing Overhead Wages Payable d Wages Payable Work in Process XXX XXX Student Answer: XXX XXX XXX XXX XXX XXX Instructor Explanation: Question 5. Question : (TCO F) Stickles Corporation incurred $79,000 of actual Manufacturing Overhead costs during August. During the same period, the Manufacturing Overhead applied to Work in Process was $75,000. The journal entry to record the incurrence of the actual Manufacturing Overhead costs would include a: debit to Manufacturing Overhead of $79,000. credit to Manufacturing Overhead of $79,000. credit to Work in Process of $75,000. debit to Work in Process of $75,000. debit to Manufacturing Overhead of $79,000. Question 6. Question : (TCO F) Valles Corporation had $22,000 of raw materials on hand on February 1. During the month, the company purchased an additional $75,000 of raw materials. The journal entry to record the purchase of raw materials would include a: credit to Raw Materials of $97,000. debit to Raw Materials of $97,000. credit to Raw Materials of $75,000. debit to Raw Materials of $75,000. Page: 1 2 * Times are displayed in (GMT-07:00) Mountain Time (US & Canada) 1. Question : (TCO F) Whether a company uses process costing or job-order costing depends on its industry. A number of companies in different industries are listed below: i. Brick manufacturer ii. Contract printer that produces posters, books, and pamphlets to......

Words: 1747 - Pages: 7

Acc 557 Week 6 Quiz

...ACC557 week 6 QUIZ Week 6 Quiz Answers http://workbank247.com/q/acc557-week-6-quiz-ch-07-and-08/3344 Click below link for week 6 Homework Answers http://workbank247.com/q/acc-557-week-6-homework-ch-09/3342 ACC557 week 6 QUIZ CH 07 and 08 Multiple Choice Question 107   A bank statement   is a credit reference letter written by the depositor's bank.   shows the activity which increased or decreased the depositor's account balance.   is a bill from the bank for services rendered.   lets a depositor know the financial position of the bank as of a certain date. Multiple Choice Question 65    In large companies, the independent internal verification procedure is often assigned to   management.   computer operators.   internal auditors.   outside CPAs. Multiple Choice Question 104   All of the following are parties to a check except the   Federal Reserve.   maker.   bank.   payee. Multiple Choice Question 43    Internal controls are concerned with   preparing income tax returns.   safeguarding assets.   the extent of government regulations.   only manual systems of accounting. Multiple Choice Question 146   If a check correctly written and paid by the bank for $591 is incorrectly recorded on the company’s books for $519, the appropriate treatment on the bank reconciliation would be to   deduct $72 from the book’s balance.   add $72 to the book’s balance.   deduct $72 from the bank’s balance.   deduct $591......

Words: 688 - Pages: 3

505 Week 1 Quiz

... | | | | | | | | | |[pic][pic][pic][pic] | [pic][pic][pic][pic] |6. | |Question : | |(TCO F) Valles Corporation had $22,000 of raw materials on hand on February 1. During the month, the company purchased an additional $75,000| |of raw materials. The journal entry to record the purchase of raw materials would include a: | | | | ...

Words: 1475 - Pages: 6

Week 6 Quiz

...1. | Question : | (TCOs 6 & 7) Today, women of color in the workforce | |   | Student Answer: | |  experience dual privileges because of their race and gender. |   | | |  are not as hampered by the glass ceiling as white women. |   | | |  are less apt to be promoted or to sit on corporate boards as white women. |   | | |  benefit greatly from formal mentoring programs. |   | Instructor Explanation: | Chapter 22, p. 137 | | |   | Points Received: | 0 of 5 |   | Comments: | | | | Question 2. | Question : | (TCOs 6 & 7) A change that can be implemented to enable a qualified person with a disability to perform key job functions without unduly burdening the employer is called  | |   | Student Answer: | |  reasonable accommodation. |   | | |  substantial limitation. |   | | |  undue hardship. |   | | |  unreasonable accommodation. |   | | |  marginal function. |   | Instructor Explanation: | Chapter 28, p. 182 | | |   | Points Received: | 5 of 5 |   | Comments: | | | | Question 3. | Question : | (TCOs 6 & 7) The term white privilege means that | |   | Student Answer: | |  White people have more money than people of color. |   | | |  Most white people have a deeper understanding of racial issues than people of color. |   | | |  Whites have unearned advantages that they often are not aware of having. |   | | |  Racism no longer exists and blacks or other racial groups......

Words: 789 - Pages: 4

Week 6 Quiz Solutions

...BUSN 5200 Quiz for week 6 Note: In the questions below, the correct answer is identified with an asterisk 1. When we say why we say money has time value, we mean: a. It takes time to make money b. Time is money c. Money to be received or paid at one time is not of the same value as money to be received or paid at another time * d. A dollar to be paid today is worth less than a dollar to be paid next week 2. It is important for managers to be familiar with time value of money concepts because a. You need them to measure the value of future cash flows * b. It is illegal to manage a firm without them c. Time value of money concepts affect how much managers are paid d. They must be considered when making managerial decisions 3. In a rare moment of generosity, you give your nephew $100 on his first birthday. Your nephew’s mother, however, knew about the time value of money, so she invested the gift in a 20-year 7% CD. (At maturity the CD pays back the principal plus accumulated interest at 7% a year.) If your nephew cashes in the CD at maturity, how much will he receive? a. $107 FV = PV(1+i)n b. $358 FV = $100(1+.07)20 FV = $100(3.8697) c. $387 * FV = $386.97 d. $2,140 4. You deposit $2,000 in a savings account that pays 10 percent interest, compounded annually. How much will your account be worth in 15 years? a. $2,030.21 b. $5,000.00 FV = PV(1+i)n ...

Words: 854 - Pages: 4

Accounting Quiz Week 7

...Acct Quiz week 7 1. Which of the following might cause a materials variance? Failing to take purchase discounts. Using a better grade of raw material. Changes in the market supply for the raw materials. All of the above. 2. What is the term that describes the rate companies frequently use to apply fixed overhead costs to units produced? Predetermined overhead rate. 3. Activity-based costing is commonly used with standard costing. Using more activity drivers increases the potential for managers to get much more information from activity-based costing than from the traditional approach. 4. What is the result of substituting computerized equipment for direct labor? Less direct labor and more manufacturing overhead. 5. Java Gourmet Coffee reports the following data for April 2010 where 200,000 pounds of roasted gourmet coffee beans were actually produced (note: standard costs do not allow for any wastage), Actual: Direct Materials: Quantity of coffee beans: 210,000 pounds Cost per pound: $0.55 per pound Direct Labor: Direct labor rate: $19.00 per hour Labor hours used: 11,000 hours Variable Overhead: Actual costs: $21,000 
Standard: Direct Materials: Quantity of coffee beans: 200,000 pounds Cost per pound: $0.50 per pound Direct Labor: Direct labor rate: $20.00 per hour Labor hours to be used: 0.05 hours per pound Variable overhead: $.10 per pound ...

Words: 976 - Pages: 4

Acct 301 Week 3 and Week 6 Quiz

...ACCT 301 Week 3 and Week 6 Quiz Purchase here http://devrycourse.com/acct-301-week-3-and-week-6-quiz Product Description ACCT 301 Week 3 Quiz1. Question : (TCO 1) Which of the following would not be considered an external user of accounting data for XYZ Company? 2. Question : (TCO 1) The cost of assets consumed or services used is also known as _________. 3. Question : (TCO 1) The financial statement that summarizes the changes in retained earnings for a specific period of time is the _____. 4. Question : (TCO 1) Pinson Company began the year with retained earnings of $210,000. During the year, the company recorded revenues of $300,000, expenses of $228,000, and paid dividends of $24,000. What was Pinson’s retained earnings at the end of the year? 5. Question : (TCO 4) Which of the following statements is not true? 6. Question : (TCO 4) Using the following balance sheet and income statement data, what is the current ratio? Current assets $7,000 Net income $12,000 Current liabilities 4,000 Stockholders’ equity 21,000 Total assets 30,000 Total liabilities 9,000 Average common shares outstanding was 10,000 7. Question : (TCO 4) Using the following balance sheet and income statement data, what is the total amount of working capital? Current assets $7,000 Net income $12,000 Current liabilities 4,000 Stockholders’ equity 21,000 Total assets 30,000 Total liabilities 9,000 Average common shares outstanding was 10,000 8. Question : (TCO 4) Using the following......

Words: 858 - Pages: 4

Acct 346 Week 6 Quiz

...ACCT 346 WEEK 6 QUIZ A+ Graded Tutorial Available At: http://hwsoloutions.com/?product=week-6-quiz Visit Our website: http://hwsoloutions.com/ Product Description ACCT 346 Week 6 Quiz, Incremental analysis [If Serving Pieces dropped]: Table 1 Snail Extraction Serving Total Tools Pieces Sales [$1,200,000 * 1.13] $1,356,000 $1,356,000 Less: Cost of goods sold [500,000/1,200,000 * 1,356,000] $565,000 $565,000 Contribution margin $791,000 $791,000 Less: Avoidable direct fixed costs: Salaries $175,000 $175,000 Other $60,000 $60,000 Less: Unavoidable allocated fixed costs: Rent $24,000 $24,000 Insurance $6,000 $6,000 Cleaning $7,000 $7,000 Executive salary $130,000 $130,000 Other $12,000 $12,000 Total costs $414,000 $414,000 Net Income $377,000 $377,000 Assumptions made: Cost of goods sold are totally direct and variable. So, if serving pieces is droped, there would be no fixed cost of goods sold to be absorbed by Snail. Incremental analysis : Table 2 Serving Serving Pieces Incremental Pieces Dropped Effect Retained Sales $2,000,000 $1,356,000 $(644,000) Less: Cost of goods sold 1,200,000 $565,000 $635,000 Contribution margin $800,000 $791,000 $(9,000) Less: Avoidable direct fixed costs: Salaries 350,000 $175,000 $175,000 Other 120,000 $60,000 $60,000 Less: Unavoidable allocated fixed costs: Rent 24,000 $24,000 Insurance 6,000 $6,000 Cleaning 7,000 $7,000 Executive salary 130,000 $130,000 Other 12,000 $12,000 Total costs 649,000......

Words: 449 - Pages: 2

Acct 301 Week 3 and Week 6 Quiz

...ACCT 301 WEEK 3 AND WEEK 6 QUIZ To purchase this visit following link: http://www.activitymode.com/product/acct-301-week-3-and-week-6-quiz/ Contact us at: SUPPORT@ACTIVITYMODE.COM ACCT 301 WEEK 3 AND WEEK 6 QUIZ ACCT 301 Week 3 and Week 6 Quiz ACCT 301 Week 3 Quiz1. Question : (TCO 1) Which of the following would not be considered an external user of accounting data for XYZ Company? 2. Question : (TCO 1) The cost of assets consumed or services used is also known as _________. 3. Question : (TCO 1) The financial statement that summarizes the changes in retained earnings for a specific period of time is the _____. 4. Question : (TCO 1) Pinson Company began the year with retained earnings of $210,000. During the year, the company recorded revenues of $300,000, expenses of $228,000, and paid dividends of $24,000. What was Pinson’s retained earnings at the end of the year? 5. Question : (TCO 4) Which of the following statements is not true? 6. Question : (TCO 4) Using the following balance sheet and income statement data, what is the current ratio? Current assets $7,000 Net income $12,000 Current liabilities 4,000 Stockholders’ equity 21,000 Total assets 30,000 Total liabilities 9,000 Average common shares outstanding was 10,000 7. Question : (TCO 4) Using the following balance sheet and income statement data, what is the total amount of working capital? Current assets $7,000 Net income $12,000 Current liabilities 4,000 Stockholders’ equity 21,000 Total assets......

Words: 1300 - Pages: 6

Acct 505 Full Week 6

...ACCT 505 FULL WEEK 6 To purchase this visit following link: http://www.activitymode.com/product/acct-505-full-week-6/ Contact us at: SUPPORT@ACTIVITYMODE.COM ACCT 505 FULL WEEK 6 ACCT 505 Full Week 6 ACCT 505 Week 6 Quiz ACCT 505 Week 6DQ 1 Segment Reporting & Relevant Costs ACCT 505 Week 6 DQ 2 Research and Application Activity mode aims to provide quality study notes and tutorials to the students of ACCT 505 Full Week 6 in order to ace their studies. ACCT 505 FULL WEEK 6 To purchase this visit following link: http://www.activitymode.com/product/acct-505-full-week-6/ Contact us at: SUPPORT@ACTIVITYMODE.COM ACCT 505 FULL WEEK 6 ACCT 505 Full Week 6 ACCT 505 Week 6 Quiz ACCT 505 Week 6DQ 1 Segment Reporting & Relevant Costs ACCT 505 Week 6 DQ 2 Research and Application Activity mode aims to provide quality study notes and tutorials to the students of ACCT 505 Full Week 6 in order to ace their studies. ACCT 505 FULL WEEK 6 To purchase this visit following link: http://www.activitymode.com/product/acct-505-full-week-6/ Contact us at: SUPPORT@ACTIVITYMODE.COM ACCT 505 FULL WEEK 6 ACCT 505 Full Week 6 ACCT 505 Week 6 Quiz ACCT 505 Week 6DQ 1 Segment Reporting & Relevant Costs ACCT 505 Week 6 DQ 2 Research and Application Activity mode aims to provide quality study notes and tutorials to the students of ACCT 505 Full Week 6 in order to ace their studies. ACCT 505 FULL WEEK 6 To purchase this visit following......

Words: 511 - Pages: 3

Acct 505 Week 6 Quiz Segment Reporting and Relevant Costs for Decisions

...ACCT 505 Week 6 Quiz Segment Reporting and Relevant Costs for Decisions To Buy This material Click below link http://www.uoptutors.com/acct-505-devry/acct-505-week-6-quiz-segment-reporting-and-relevant-costs-for-decisions Question : (TCO D) Return on investment (ROI) is equal to the margin multiplied by 2. Question : (TCO D) For which of the following decisions are opportunity costs relevant? The decision to make or buy a needed part The desision to keep or drop a product line (A) Yes Yes (B) Yes No (C) No Yes (D) No No 3. Question : (TCO D) Last year, the House of Orange had sales of $826,650, net operating income of $81,000, and operating assets of $84,000 at the beginning of the year and $90,000 at the end of the year. What was the company’s turnover, rounded to the nearest tenth? 1. Question : (TCO D) Data for December concerning Dinnocenzo Corporation’s two major business segments-Fibers and Feedstocks-appear below: Sales revenues, Fibers $870,000 Sales revenues, Feedstocks $820,000 Variable expenses, Fibers $426,000 Variable expenses, Feedstocks $344,000 Traceable fixed expenses, Fibers $148,000 Traceable fixed expenses, Feedstocks S156,000 Common fixed expenses totaled $314,000 and were allocated as follows: $129,000 to the Fibers business segment and $185,000 to the Feedstocks business segment. Required: Prepare a segmented income statement in the contribution format for the company. Omit percentages; show only dollar......

Words: 851 - Pages: 4

Acct 251 Week 6 Quiz

...ACCT 251 Week 6 Quiz To Buy This material Click below link http://www.uoptutors.com/acct-251/acct-251-week-6-quiz (TCO 1) The balance sheet lists: : assets, liabilities, and capital of a business. revenues and expenses of a business. the percentage of revenue at the end of the year. the percentage of debt at the end of the year. cash disbursements. Question 2. Question : (TCO 1) The Income Statement’s net income or (net loss) is also shown on the: : income statement’s revenue section. balance sheet’s capital section. departmental gross profit totals. cash balance at the end of the period. general ledger trial balance. Question 3. Question : (TCO 1) To use Peachtree’s masking feature, do the following to an account number. : Add a prefix. Add a suffix. Add an account number. Change the account in the general journal. Change the account type. Question 4. Question : (TCO 2) The sample company chart of accounts that you use as the model for Chapter 9’s business is: : accounting practice. general contractor. gift shop. service company. retail company. Question 5. Question : (TCO 2) The chart of accounts is: : the accounts shown on the income statement. the accounts shown on the balance sheet. a list of accounts in the general ledger. a list of accounts in the general journal. a list showing account beginning balances. Question 6. Question : (TCO 2) The account type for Account No. 3920 (Vernon Firestone) [or your name] capital is: :......

Words: 723 - Pages: 3

Managerial Accounting 505 Week 2 Quiz

...Week 2 Quiz - In job-order costing, all of the following statements are correct with respect to labor time and cost except: C. A machine operator performing routine annual maintenance work on a piece of equipment would charge the maintenance time to a specific job. Those hours should be charged to overhead For which situation(s) below would an organization be more likely to use a job-order costing system of accumulating product costs rather than a process costing system? B. A costume maker that makes specialty costumes for figure skaters Each one is unique, therefore a job order system is correct Which of the following companies would be most likely to use a job-order costing system rather than a process costing system? C. shipbuilding Same reason as the one above The Work in Process inventory account of a manufacturing company shows a balance of $2,400 at the end of an accounting period. The job cost sheets of the two uncompleted jobs show charges of $400 and $200 for direct materials, and charges of $300 and $500 for direct labor. From this information, it appears that the company is using a predetermined overhead rate, as a percentage of direct labor costs, of: C. 125% $2,400 - ($400 + $200) - ($300 + $500) = $1,000 $1,000 / ($300 + $500) = 125% If a company applies overhead to jobs on the basis of a predetermined overhead rate, a credit balance in the Manufacturing Overhead account at the end of any period means that: B. more......

Words: 273 - Pages: 2

Managerial Accounting 505 Week 2 Quiz

...Managerial Accounting 505 Week 2 Quiz Week 2 Quiz - In job-order costing, all of the following statements are correct with respect to labor time and cost except: C. A machine operator performing routine annual maintenance work on a piece of equipment would charge the maintenance time to a specific job. Those hours should be charged to overhead For which situation(s) below would an organization be more likely to use a job-order costing system of accumulating product costs rather than a process costing system? B. A costume maker that makes specialty costumes for figure skaters Each one is unique, therefore a job order system is correct Which of the following companies would be most likely to use a job-order costing system rather than a process costing system? C. shipbuilding Same reason as the one above The Work in Process inventory account of a manufacturing company shows a balance of $2,400 at the end of an accounting period. The job cost sheets of the two uncompleted jobs show charges of $400 and $200 for direct materials, and charges of $300 and $500 for direct labor. From this information, it appears that the company is using a predetermined overhead rate, as a percentage of direct labor costs, of: C. 125% $2,400 - ($400 + $200) - ($300 + $500) = $1,000 $1,000 / ($300 + $500) = 125% If a company applies overhead to jobs on the basis of a predetermined overhead rate, a credit balance in the Manufacturing Overhead account at the......

Words: 273 - Pages: 2

Sheila On 7 - Film Favorit | #57. Savaş İlânı | Nuevas Series