Questions from General Accounting


Q: The following calendar year-end information is taken from the December

The following calendar year-end information is taken from the December 31, 2015, adjusted trial balance and other records of Best Bikes. Required 1. Identify and classify each of the costs above as...

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Q: Using the information from Problem 18-2B and the inventory information

Using the information from Problem 18-2B and the inventory information for Best Bikes below, complete the requirements below. Assume income tax expense is $136,700 for the year. Required 1. Prepare...

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Q: Racer’s Edge makes specialty skates for the ice skating circuit. On

Racer’s Edge makes specialty skates for the ice skating circuit. On December 31, 2014, the company had (a) 1,500 skates in finished goods inventory and (b) 2,500 blades at a cost of $20 each in raw m...

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Q: Shown here are annual financial data at December 31, 2015,

Shown here are annual financial data at December 31, 2015, taken from two different companies. Required 1. Compute the cost of goods sold section of the income statement at December 31, 2015, for ea...

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Q: Perez Mfg.’s August 31 inventory of raw materials is $

Perez Mfg.’s August 31 inventory of raw materials is $150,000. Raw materials purchase in September are $400,000, and factory payroll cost in September is $232,000. Overhead costs inc...

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Q: Cavallo Mfg.’s computer system generated the following trial balance on

Cavallo Mfg.’s computer system generated the following trial balance on December 31, 2015. The company’s manager knows that the trial balance is wrong because it do...

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Q: The following transactions and events occurred during the year. Assuming that

The following transactions and events occurred during the year. Assuming that this company uses the direct method to report cash provided by operating activities, indicate where each item would appear...

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Q: Starr Mfg.’s predetermined overhead rate is 200% of direct

Starr Mfg.’s predetermined overhead rate is 200% of direct labor. Information on the company’s production activities during September 2015 follows. a. Purchased raw...

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Q: In December 2014, Pavelka Company’s manager estimated next year’s total direct

In December 2014, Pavelka Company’s manager estimated next year’s total direct labor cost assuming 50 persons working an average of 2,000 hours each at an average w...

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Q: King Company produces variations of its product, a megatron, in

King Company produces variations of its product, a megatron, in response to custom orders from its customers. On June 1, the company had no inventories of work in process or finished goods but held th...

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