Questions from General Accounting


Q: The Smelting Department of Mathews Company has the following production and cost

The Smelting Department of Mathews Company has the following production and cost data for November. Production: Beginning work in process 2,000 units that are 100% complete as to materials and 20% com...

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Q: (a) “Standard costs are the expected total cost of

(a) “Standard costs are the expected total cost of completing a job.” Is this correct? Explain. (b) “A standard imposed by a governmental agency is known as a regulation.” Do you agree? Explain.

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Q: Each day, Adama Corporation processes 1 ton of a secret raw

Each day, Adama Corporation processes 1 ton of a secret raw material into two resulting products, AB1 and XY1. When it processes 1 ton of the raw material, the company incurs joint processing costs of...

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Q: Danner Company expects to have a cash balance of $45,

Danner Company expects to have a cash balance of $45,000 on January 1, 2014. Relevant monthly budget data for the first 2 months of 2014 are as follows. Collections from customers: January $85,000, Fe...

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Q: The controller of Trenshaw Company wants to improve the company’s control system

The controller of Trenshaw Company wants to improve the company’s control system by preparing a month-by-month cash budget. The following information is for the month ending July 31, 2014. June 30, 2...

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Q: LRF Company’s budgeted sales and direct materials purchases are as follows.

LRF Company’s budgeted sales and direct materials purchases are as follows. LRF’s sales are 30% cash and 70% credit. Credit sales are collected 10% in the month o...

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Q: Green Landscaping Inc. is preparing its budget for the first quarter

Green Landscaping Inc. is preparing its budget for the first quarter of 2014. The next step in the budgeting process is to prepare a cash receipts schedule and a cash payments schedule. To that end th...

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Q: Garza and Neely, CPAs, are preparing their service revenue (

Garza and Neely, CPAs, are preparing their service revenue (sales) budget for the coming year (2014). The practice is divided into three departments: auditing, tax, and consulting. Billable hours for...

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Q: Chandler Ltd. estimates sales for the second quarter of 2014 will

Chandler Ltd. estimates sales for the second quarter of 2014 will be as follows. Month Units April ………………………………………………………. 2,550 May …………………………………………………………2,475 June ………………………………………...

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Q: Donnegal Company makes and sells artistic frames for pictures. The controller

Donnegal Company makes and sells artistic frames for pictures. The controller is responsible for preparing the master budget and has accumulated the following information for 2014. Donnegal has a la...

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