Questions from General Accounting

Q: Lavender Plantations Pty Limited produces and sells two types of lavender-

Lavender Plantations Pty Limited produces and sells two types of lavender-based products: soaps and candles. The 2022 sales budget for the two products is as follows. The beginning inventory on 1 Jan...

Q: Chalkboard was commenced by Louis Turner. Chalkboard is an innovative technology

Chalkboard was commenced by Louis Turner. Chalkboard is an innovative technology company that provides a platform for the posting of best-practice teaching videos and commentary. Its strategy is focus...

Q: Amy Turner is the newly appointed chief accountant at Satellite Data Components

Amy Turner is the newly appointed chief accountant at Satellite Data Components (SDC), which designs and manufactures data components for the satellite and car industries. One of Amy’s early tasks is...

Q: Using examples, distinguish between fixed and variable costs.

Using examples, distinguish between fixed and variable costs.

Q: Michael Wallis is the marketing manager for a chain of stores specialising

Michael Wallis is the marketing manager for a chain of stores specialising in electric tools for home renovators. Michael’s department is preparing a sales budget for the coming year and he has issued...

Q: Johnny Castles is the operational manager for Tru Blue Tours. Johnny’s

Johnny Castles is the operational manager for Tru Blue Tours. Johnny’s bonus is dependent upon the reduction of his department’s operating expense budget by 10 per cent in the coming year. One initiat...

Q: Dairy Australia Ltd’s annual operating plan for 2017–2018 outlines its

Dairy Australia Ltd’s annual operating plan for 2017–2018 outlines its three-year plan following revision of its strategic direction. Access the plan (available at www.dairyaustralia.com.au) and outli...

Q: Mona Little, the accountant for Trailers 4 Hire, is currently

Mona Little, the accountant for Trailers 4 Hire, is currently preparing the budget for the coming year. One of the agenda items for next week’s finance meeting is consideration of whether an outstandi...

Q: Database Service’s management expressed surprise that the budgeted profit was achieved despite

Database Service’s management expressed surprise that the budgeted profit was achieved despite actual sales being under by $75 000. Give reasons why the actual profit may have been able to match the b...

Q: Holiday Manor has twenty rooms available for rent. During the month

Holiday Manor has twenty rooms available for rent. During the month of December, its average room rate is expected to be $180 and its room occupancy 80 per cent. Due to the holiday season, the room ra...