Questions from General Accounting


Q: The Dinkle and Frizell Dental Clinic provides both preventive and orthodontic dental

The Dinkle and Frizell Dental Clinic provides both preventive and orthodontic dental services. The two owners, Reese Dinkle and Anita Frizell, operate the clinic as two separate investment centers: Pr...

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Q: The Pletcher Transportation Company uses a responsibility reporting system to measure the

The Pletcher Transportation Company uses a responsibility reporting system to measure the performance of its three investment centers: Planes, Taxis, and Limos. Segment performance is measured using a...

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Q: Crede Company budgeted selling expenses of $30,000 in January

Crede Company budgeted selling expenses of $30,000 in January, $35,000 in February, and $40,000 in March. Actual selling expenses were $31,200 in January, $34,525 in February, and $46,000 in March. I...

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Q: Presented below is selected information for three regional divisions of Medina Company

Presented below is selected information for three regional divisions of Medina Company. Instructions: (a) Compute the return on investment for each division. (b) Compute the residual income for each...

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Q: Lisah, Inc., manufactures golf clubs in three models. For

Lisah, Inc., manufactures golf clubs in three models. For the year, the Big Bart line has a net loss of $10,000 from sales $200,000, variable costs $180,000, and fixed costs $30,000. If the Big Bart l...

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Q: Presented below is selected financial information for two divisions of Yono Brewing

Presented below is selected financial information for two divisions of Yono Brewing. Instructions: Supply the missing information for the lettered items.

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Q: The actual selling expenses incurred in March 2014 by DeWitt Company are

The actual selling expenses incurred in March 2014 by DeWitt Company are as follows. Instructions: (a) Prepare a flexible budget performance report for March using the budget data in E22-5, assuming...

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Q: Kitchen Help Inc. (KHI) is a manufacturer of toaster

Kitchen Help Inc. (KHI) is a manufacturer of toaster ovens. To improve control over operations, the president of KHI wants to begin using a flexible budgeting system, rather than use only the current...

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Q: Rensing Groomers is in the dog-grooming business. Its operating

Rensing Groomers is in the dog-grooming business. Its operating costs are described by the following formulas: Grooming supplies (variable)………………………… y = $0 1 $5x Direct labor (variable) ………………………………...

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Q: Lowell Company’s manufacturing overhead budget for the first quarter of 2014 contained

Lowell Company’s manufacturing overhead budget for the first quarter of 2014 contained the following data. Actual variable costs were indirect materials $13,900, indirect labor $9,...

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