Questions from Financial Accounting

Q: The following information has been extracted from the financial statements of Casings

The following information has been extracted from the financial statements of Casings Ltd. Income statement (profit and loss account) extract for the year to 31 December Year 2 Statement of changes in...

Q: Supermarket checkout operators are paid a weekly wage plus overtime at an

Supermarket checkout operators are paid a weekly wage plus overtime at an hourly rate. One operator has recently resigned from work. The supermarket manager has been asked whether the direct costs of...

Q: Tots Ltd manufactures babies’ play suits for sale to retail stores.

Tots Ltd manufactures babies’ play suits for sale to retail stores. All play suits are of the same design. There are two departments: the cutting department and the machining department. You are asked...

Q: Explain why users require all the information and not merely the primary

Explain why users require all the information and not merely the primary financial statements with notes to the accounts.

Q: Complete the following table of cost classification for a shop selling bicycles

Complete the following table of cost classification for a shop selling bicycles:

Q: In a school, the head of the history unit is responsible

In a school, the head of the history unit is responsible for cost control. The finance office has produced the following statement of costs for the history unit cost centre. State which of them are co...

Q: In a general engineering works the following routine has been followed for

In a general engineering works the following routine has been followed for several years to arrive at an estimate of the price for a contract. The process of estimating is started by referring to a j...

Q: You have been asked for advice by the owner of a small

You have been asked for advice by the owner of a small business who has previously estimated overhead costs as a percentage of direct labor cost. This method has produced quite reasonable results beca...

Q: Timberchair Company produces custom-made chairs to suit individual customer requirements

Timberchair Company produces custom-made chairs to suit individual customer requirements. The company’s main material is timber. It also uses glue and nails. The company has a small buying department...

Q: Oldham Ltd is a small manufacturing company producing a variety of pumps

Oldham Ltd is a small manufacturing company producing a variety of pumps for the oil industry. It operates from one factory that is geographically separated from its head office. The components for th...