Questions from Financial Accounting

Q: Classify each of the following accounting practices as conservative or aggressive.

Classify each of the following accounting practices as conservative or aggressive. 1. Increase the allowance for uncollectible accounts. 2. When costs are rising, change from LIFO to FIFO. 3. Change f...

Q: Financial information for Buckle is presented in Appendix B at the end

Financial information for Buckle is presented in Appendix B at the end of the book. Required: 1. Determine whether the trend in net sales has been increasing or decreasing for the past three years. 2....

Q: Classify each of the following accepted accounting practices as conservative or aggressive

Classify each of the following accepted accounting practices as conservative or aggressive. 1. Use lower-of-cost-or-market to value inventory. 2. Expense all research and development costs rather than...

Q: Using the information presented in BE12–1, perform a horizontal

Using the information presented in BE12–1, perform a horizontal analysis providing both the amount and percentage change.

Q: Athletic World reports the following vertical analysis percentages. /

Athletic World reports the following vertical analysis percentages. Did Athletic World’s income before tax as a percentage of sales increase, decrease, or stay the same? If net incom...

Q: Sales are $2.6 million in 2020, $2

Sales are $2.6 million in 2020, $2.7 million in 2021, and $2.5 million in 2022. What is the percentage change from 2020 to 2021? What is the percentage change from 2021 to 2022? Be sure to indicate wh...

Q: If sales are $1,150,000 in 2022 and

If sales are $1,150,000 in 2022 and this represents a 15% increase over sales in 2021, what were sales in 2021?

Q: Universal Sports Supply began the year with an accounts receivable balance of

Universal Sports Supply began the year with an accounts receivable balance of $200,000 and a year-end balance of $220,000. Credit sales of $750,000 generate a gross profit of $250,000. Calculate the r...

Q: Universal Sports Supply began the year with an inventory balance of $

Universal Sports Supply began the year with an inventory balance of $65,000 and a year-end balance of $75,000. Sales of $750,000 generate a gross profit of $250,000. Calculate the inventory turnover r...

Q: The Intramural Sports Club reports sales revenue of $1,140

The Intramural Sports Club reports sales revenue of $1,140,000. Inventory at both the beginning and end of the year totals $200,000. The inventory turnover ratio for the year is 4.9. What amount of gr...