An inexperienced internal auditor notified the senior auditor of a significant variance from the auditee’s budget. The senior told the new auditor not to worry as the senior had heard that there had been an unauthorized work stoppage that probably accounted for the difference. Which of the following statements is most appropriate?
A: The new auditor should have investigated the matter fully and not bothered the senior.
B: The senior used proper judgment in curtailing what could have been a wasteful investigation.
C: The senior should have halted the audit until the variance was fully explained.
D: The senior should have aided the new auditor in formulating a plan for accumulating appropriate evidence.

Answers

Answer 1

Answer:

The correct answer is letter "D": The senior should have aided the new auditor in formulating a plan for accumulating appropriate evidence.

Explanation:

For ethical and professional purposes, every time a piece of information is not clear several facts must be collected to complete the vague idea. In Auditing as in any other profession, the evidence must be gathered to confirm the company being audited is not committing fraud or forbidden practices.

Thus, in the example, the senior auditor should have helped the inexperienced editor in coming up with a plan to collect enough information about the budget difference. If that was not successful, they could have stopped the auditing until they received clarification of the situation.


Related Questions

A lender lends $18,600, which is to be repaid in annual payments of $3100 for 6 years. Which of the following shows the timeline of the loan from the lender’s perspective?

A) Year 1 Year 2 Year 3 Year 4 Year 5 Year 6
-$18,600 $3,100 $3,100 $3,100 $3,100 $3,100

B) Year 1 Year 2 Year 3 Year 4 Year 5 Year 6
0 $3,100 $3,100 $3,100 $3,100 $3,100

C) Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6
-$18,600 $3,100 $3,100 $3,100 $3,100 $3,100 $3,100

C) Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6
-$18,600 $3,100 $6,100 $8,100 $8,100 $9,100 $10,100

Answers

Answer:

The correct option is option C

$18,600 $3,100 $3,100 $3,100 $3,100 $3,100 $3,100

Explanation:

Year0- $18600

Year1 - $3100

Year2 - $3100

Year3. $3100

Year5. $3100

Year6. $3100

That is the timeline of the loan from the lender's perspective.

Final answer:

The correct timeline representation of the loan from the lender's perspective is Options A. In Year 1, the lender provides $18,600 then starts receiving annual payments of $3100 from Year 2 to Year 6.

Explanation:

The correct option to display the timeline of the loan from the lender's perspective is Option A. Option A correctly details how the lender provides $18,600 at the start (Year 1) as a negative amount representing a disbursement (money out). Afterward, the lender starts receiving payments of $3100 each year (money in), from Years 2 to 6. Each annual payment accruing to the lender is represented as positive value. Keeping these aspects in accordance, the timeline of the loan from the lender's perspective would look like this:

Year 1: -$18,600Year 2: $3,100Year 3: $3,100Year 4: $3,100Year 5: $3,100Year 6: $3,100

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Many different project life cycle models are used for different types of projects, such as information systems, improvement, research and development, and construction. a. True b. False

Answers

Answer:

The correct answer is letter "A": True.

Explanation:

Project life-cycle models are guidelines that companies elaborate to establish the set of actions they will take to conduct their operations from the settlement of the firm, research, production, maturity, and eventual dissolution. Different types of life-cycle models adjust to the industry of the company. Among them, we can identify the linear, incremental, iterative, adaptive, and extreme model.

When a company operates in the markets of two or more different countries, its foremost strategic issue is A. whether to use strategic alliances to help defeat its rivals.B.whether to vary the company's competitive approach to fit specific market conditions and buyer preferences in each host country or whether to employ essentially the same strategy in all countries.C. whether to maintain a national (one-country) manufacturing base and export goods to the other countries.D. choosing which foreign companies to team up with via strategic alliances or joint ventures.E. whether to test the waters with an export strategy before committing to some other competitive approach

Answers

Answer:

It is whether to vary the company's competitive approach to fit specific market conditions and buyer preferences in each host country or whether to employ essentially the same strategy in all countries (B)

Explanation:

Competing multinationally as a company comes with its own unique strategic issues which must be sorted out in order to gain competitive advantage over other foreign competitors.

One of the biggest concerns of companies competing in foreign markets is whether to tailored their offerings in each different country market to match the tastes and preferences of local buyers or whether to offer a mostly standardized product worldwide.

Hence, regardless of a company’s motivation for expanding outside its domestic markets, the strategies it uses to compete in foreign markets must be situation driven and a good attention must be paid to what is obtainable in the foreign market.

Suppose that one euro costs $0.80 on January 1. Suppose that on March 1, one euro costs $0.75. What has happened to the value of the dollar (in terms of euros) over this period?

Answers

Answer:

The value of the dollar increased over the period

Explanation:

In March, the euro could buy a less amount of dollar compared to January. We can say the dollar became more expensive compared to the euro or the value of the dollar increased.

I hope my answer helps you

Management at Work Xin and Yoshi are going over plans for an organizational restructuring. They enjoy working together, but they disagree about whether to outsource staff functions such as human resources. Eventually Xin says, "Okay, let’s lay out all of our arguments for and against outsourcing. Then we can look at them to see if some carry more weight than others." Xin and Yoshi are engaged in a conflict, based on . Which of the following outcomes are likely in this situation?

a. Xin and Yoshi will be motivated to solve the problem.
b. The coworkers will challenge current thinking about the problem.
c. The coworkers will experience less job satisfaction.
d. Xin and Yoshi will distrust one another.

Answers

The following outcomes are likely in this situation:

a. Xin and Yoshi will be motivated to solve the problem.

b. The coworkers will challenge current thinking about the problem.

Explanation:

The Outsourcing Agreement includes the hiring and transfer of staff and assets from a company to another company for the scheduled or existing activities which are or may be performed internally.

Outsourcing can offer major benefits to your company, but maintaining and managing outsourcing partnerships entails major risks and challenges.

According to the research of the Everest Group, an IT and market procurement consulting and research firm, ISPs began to expand investments in IT distribution centers in the United States in recent years, accounting for over one-third of the new delivery locations (29 out of 76) developed by service providers in 2016.

What is transformational leadership? Give examples of organizational situations that would call for transformation, transactional, and charismatic leadership.

Answers

Answer:

In Transformational leadership the leaders works to motivate and engage the followers by directing their behavior toward a shared vision.

Explanation:

An example of Transformational leadership would be when a new Company is formed and employees are motivated to work towards a common long term objective or when an established Company enters into a new Line of Business or launches a new Product.

In Transactional leadership the leader’s focus is on the role of supervision, organization, and collective performance of a group. They are concerned about the status quo and day-to-day progress toward goals. The transactional model is likely to be successful in a crisis situation or in projects that require linear and specific processes. This model is also useful for managing big Portfolios in Banks or Asset management Companies.

In Charismatic leadership the leader works on encouraging particular behaviors in others by way of eloquent communication, persuasion and force of personality. Such leaders motivate their followers to get things done or improve the way certain things are done. An example of Transformational leadership would be when a new Company is planning to expand and Takeover a new Company in the same Line of Business or when and Organization tries to achieve the best in the Industry award. This is the situation when power of speech and communication is required to persuade and motivate the people working in the Organization.

Final answer:

Transformational leadership is a style that inspires and motivates followers to achieve their full potential. Organizational situations that would call for transformation, transactional, and charismatic leadership are when a company is going through major changes, needs to meet specific short-term targets, or is facing a crisis.

Explanation:

Transformational leadership is a leadership style that inspires and motivates followers to achieve their full potential and exceed their own expectations. Leaders who adopt this style focus on building relationships, empowering employees, and encouraging innovation.

An organizational situation that would call for transformational leadership is when a company is going through a major change, such as a merger or restructuring. In these situations, transformational leaders can help employees to embrace the change and see it as an opportunity for growth.

On the other hand, transactional leadership is a style that emphasizes a transactional relationship between the leader and followers. It involves setting clear goals, providing rewards for meeting those goals, and applying disciplinary measures for failing to meet them. An example of an organizational situation that would call for transactional leadership is when a company needs to meet specific short-term targets or when strict compliance with rules and regulations is required.

Lastly, charismatic leadership is a style where the leader has a compelling personality and the ability to inspire and motivate others through their charm and charisma. An organizational situation that would call for charismatic leadership is when a company is facing a crisis or needs to rally employees around a challenging goal.

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Lockard Company purchased machinery on January 1, 2010 for 80,000. The machinery is estimated to have a salvage value of $8,000 after a useful life of 8 years.
A) Compute 2010 depreciation expense using the straight-line method.
B) Compute 2010 depreciation using method assuming the machinery was purchased on September 1,2010

Answers

Answer:

a. $9,000

b. $3,000

Explanation:

The computation of the depreciation expense is shown below:

a.

= (Purchase value of machinery - estimated salvage value) ÷ (useful life)

= ($80,000 - $8,000) ÷ (8 years)

= ($72,000) ÷ (8 years)  

= $9,000

b. The asset is purchased on September 1,2010 , so the depreciation expense should be charged for four months i.e From September to December.

We assume the books are closed on December 31, 2010

So, the depreciation would be

= $9,000 × 4 months ÷ 12 months

= $3,000

Which of the following is NOT a part of checking a diversified company's business units for cross-business competitive advantage potential?

Answers

Answer:

Ascertaining the extent to which sister business units are making maximum use of the parent company's competitive advantages

Explanation:

There are certain ways of knowing a diversified company’s business unit for cross-business competitive advantage potential.  

These can be done well, by looking at the sister business units to know how the performance from the value chain activities could present opportunities for the company to reduce costs and remain very competitive.

They sister company could as well have match-ups that can be looked at to know if there are opportunities to transfer technological skills and acumen from one of the business units (where the skills are dominantly found from at any time) to the other business unit( where such skills and acumen are rightly needed at that time).  

A review of the accounting records of Baird Manufacturing indicated that the company incurred the following payroll costs during the month of March. Assume the company's financial statements are prepared in accordance with GAAP.

Salary of the company president—$75,000.

Salary of the vice president of manufacturing—$50,000.

Salary of the chief financial officer—$42,000.

Salary of the vice president of marketing—$40,000.

Salaries of middle managers (department heads, production supervisors) in manufacturing plant—$147,000.

Wages of production workers—$703,500.

Salaries of administrative secretaries—$60,000.

Salaries of engineers and other personnel responsible for maintaining production equipment—$133,500.

Commissions paid to sales staff—$146,000.

Required

What amount of payroll cost would be classified as SG&A expense?

Assuming that Baird made 5,000 units of product and sold 4,000 of them during the month of March, determine the amount of payroll cost that would be included in cost of goods sold.

Answers

Answer:

$363,000 and $827,200

Explanation:

The computation of the payroll cost classified as a SG&A expense is shown below:

= Salary of the company president + Salary of the chief financial officer + Salaries of administrative secretaries + Commissions paid to sales staff + Salary of the vice president of marketing

= $75,000 + $42,000 + $60,000 + $146,000 + $40,000

= $363,000

The amount of payroll cost that would be included in cost of goods sold would be

= Wages of production workers + Salaries of middle managers + Salary of the vice president of manufacturing + Salaries of engineers and other personnel responsible for maintaining production equipment

= $703,500 + $147,000 + $50,000 + $133,500

= $1,034,000

For 4000 units it would be

=  $1,034,000 × 4,000 units ÷ 5,000 units

= $827,200

Zippy company manufactured 10,000 units in December with a total product cost of $27,357 They had zero finished goods inventory at the start of December. In December Zippy sold 7,811 units at a unit price of $6.16. Period expenses were $3,521. What is the amount of Zippy's gross profit (otherwise know as gross margin).? Round any intermediate calculations to four decimal places.

Answers

Answer:

Gross profit is  $26,734.73

Explanation:

Cost per unit of production =$27,357/10,000

                                             =$2.73

Cost of goods sold= Opening stocks +production - closing stock

Cost of goods sold = 0 +$27,357- ( $2.73 *(10,000-7,811) )

                                = $ 21,381.03

Gross Profit = (  $6.16*7,811 ) -$ 21,381.03

                   = $26,734.73

Gross margin = $26,734.73/$48,115.76 *100%= 55.56%

This represents profit portion before removing operational expenses .

TCO 1) A problem-solving technique that decomposes a system into its component parts while focusing on the business problem independent of technology is

Answers

Answer:

System design

Explanation:

System design - it is referred to as the process in which developing and designing the system are the two main aspects. it is done to meet the requirement of business in a particular period of time. it is done for the systematic working of the system.

it defines the required modules, the procedure to meet project demands.

The following information is from the 2015 records of Armand Camera Shop: Accounts Receivable, December 31, 2015 $40,000 (debit) Allowance for Doubtful Accounts, December 31, 2015 prior to adjustment 1,500 (debit) Net credit sales for 2015 175,000 Accounts written off as uncollectible during 2015 15,000 Cash sales during 2015 27,000 Bad debts expense is estimated by the percent-of-sales method. The management estimates that 3% of net credit sales will be uncollectible. Calculate the amount of bad debts expense for 2015 and prepare the Journal Entry.

Answers

Answer:

$5,250

Explanation:

The computation of the bad debt expense for year 2015 is shown below:

= Net Credit sales × uncollectible percentage given

= $175,0000 × 3%

= $5,250

Under the percent-of-sales method, simply we multiplied the net credit sales by the uncollectible percentage given so that the bad debt expense could have come. All other information given is of no significance. So, ignored it

Answer:

Boxed

Explanation:

Managers in international businesses will need to evaluate the attractiveness of a country as a market or location
True/False

Answers

Answer:

The statement is: True.

Explanation:

Every time a company decides to open up businesses abroad, the must make a study in which the possibilities of success in the new region are highlighted.  Consumer behavior and buying patterns are two of the main factors they have to consider as well as the performance of the overall economy of the country in the past years.

Answer:

The correct answer is "True"

Explanation:

Managers in international businesses are responsible for investigating all political, economic, social and geographical factors of the country where they plan to invest and assess the risk of doing so. Managers in international businesses are also responsible of calculating the size and profitability of the market for the company.  

Inventory Costing Methods-Periodic Method Chen Sales Corporation uses the periodic inventory system. On January 1, 2012, Chen had: 1,000 units of product A with a unit cost of $30 per unit. A summary of purchases and sales during 2012 follows:

Unit Units Units
Cost Purchased Sold
Feb.2 400
Apr.6 $32 1,800
July 10 1,600
Aug.9 36 800
Oct.23 800
Dec.30 39 1,200

Required

Assume that Chen uses the first-in, first-out method. Compute the cost of goods sold for 2012 and the ending inventory balance at December 31, 2012, for product A.

Assume that Chen uses the last-in, first-out method. Compute the cost of goods sold for 2012 and the ending inventory balance at December 31, 2012, for product A.

Assume that Chen uses the weighted-average cost method. Compute the cost of goods sold for 2012 and the ending inventory balance at December 31, 2012, for product A.

Answers

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

Inventory:

January 1: 1,000 units at $30 per unit.

Feb.2: sold 400 units

Apr.6: purchase 1,800 units at $32

July 10: sold 1,600 units

Aug.9: purchase 800 units at $36

Oct.23: sold 800

Dec.30: purchase 1,200 units at $39

Total units= 4,800 units

Ending inventory= 2,000 units

A) FIFO method

Cost of goods sold= 1,000*30 + 1,800*32= 87,600

Inventory= 800*36 + 1,200*39= 75,600

B) LIFO

COGS= 1,200*39 + 800*36 + 800*32= 101,200

Inventory= 1,000*32 + 1,000*30= 62,000

C) Weighted average

Weighted price= (30 + 32 + 36 + 39)/4= $34.25

COGS= 2,800*34.25= 95,900

Inventory= 2,000*34.25= 68,500

Final answer:

Inventory costing methods include First-in, first-out (FIFO), Last-in, first-out (LIFO), and weighted-average cost methods, each affecting the calculation of COGS and ending inventory balance differently.

Explanation:

The inventory costing methods can be calculated as follows:

First-in, first-out (FIFO): It assumes that the first goods purchased are the first ones to be sold. The cost of goods sold (COGS) for 2012 would be calculated based on the cost of the earliest purchased items, while the ending inventory balance would be calculated based on the cost of the products purchased last. Last-in, first-out (LIFO): It assumes that the last goods purchased are the first ones to be sold. This means that the COGS for 2012 would be calculated based on the cost of the latest purchased items, and the ending inventory balance would be calculated using the cost of the earliest purchased items.Weighted-average cost method: This averages out the cost of all items purchased during the year to calculate the COGS and ending inventory balance at December 31, 2012.

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Esquire Comic Book Company had income before tax of $1,700,000 in 2016 before considering the following material items: 1. Esquire sold one of its operating divisions, which qualified as a separate component according to generally accepted accounting principles. The before-tax loss on disposal was $420,000. The division generated before-tax income from operations from the beginning of the year through disposal of $640,000. Neither the loss on disposal nor the operating income is included in the $1,700,000 before-tax income the company generated from its other divisions. 2. The company incurred restructuring costs of $75,000 during the year. Required: Prepare a 2016 income statement for Esquire beginning with income from continuing operations. Assume an income tax rate of 40%. Ig

Answers

Answer:

Explanation:

Partial income statement

For the Year Ended December 31, 2016

Income from continuing operations $975,000

Discontinued operations gain (loss):  

Income from operations of discontinued component $220,000

Income tax expense ($88,000)

Income on discontinued operations $132,000

Net income $1,107,000

Income from operations of discontinued component (including loss on disposal of $420,000) = $220,000

Income from continuing operations:

Income before considering additional items $1,700,000

Decrease in income due to restructuring costs ($75,000)

Before-tax income from continuing operations $1,625,000

Income tax expense (40%) ($650,000)

Income from continuing operations $975,000

The most prevalent forms of organization-wide incentives are piece-rate systems, sales commissions, and individual bonuses.ANS:FPTS:1DIF:EasyOBJ:LO: 12-01NAT:BUSPROG: AnalyticTOP:Variable Pay: Incentive for PerformanceKEY:Bloom's: Knowledge

Answers

Answer:

False

Explanation:

The most prevalent forms of organization-wide incentives are profit sharing and employee stock.

Variable Pay: It is basically a financial reward or incentive given to the employee based on his performance.

There are 3 types of variable pay:

1. Individual Incentive

Reward given to an individual for his outstanding performance. The most common forms include piece-rate systems, sales commissions, and individual bonuses.

2. Group/Team Incentive

Reward given to a group or team working together. The most common forms include gain-sharing and project bonuses

3. Organization Incentive

Reward given to all based on the performance of the organization. The most common forms include profit sharing and employee stock

Organizational incentives given to the employees are usually calculated as a percentage of their basic pay.

Suppose a farmer is a price taker for soybean sales with cost functions given by TC = .1q2 + 2q + 30 MC = 2q + 2 If P= 6, the profit-maximizing level of output is a. 10 b. 20 c. 40 d. 80

Answers

Final answer:

When finding the profit-maximizing output for a price-taking farmer in a perfectly competitive market, the Marginal Cost (MC) must be set equal to the market Price (P). However, according to the MC function provided, the calculated output level for profit maximization is 2, not any of the provided options. A clarification or correction in the question or the provided functions might be necessary.

Explanation:

The question involves determining the profit-maximizing level of output for a farmer who is a price taker in a perfectly competitive market for soybean sales. Given the cost functions TC = .1q2 + 2q + 30 and MC = 2q + 2, and a market price (P) of $6, we apply the economic principle that a firm maximizes profit by producing at the level where Price (P) equals Marginal Cost (MC). To find the profit-maximizing output level, we set MC equal to P and solve for q:

6 = 2q + 2
q = (6 - 2) / 2
q = 2

So, the correct answer is not listed in the options given, as the calculation above shows profit-maximization occurs at q = 2. A correction might be necessary because according to the provided reference information, MR and MC intersect at a quantity of 40, which would suggest that the profit-maximizing output level could be 40, assuming MR = P in a perfectly competitive market. However, with the provided equation, this is not the case. Therefore, clarification is recommended.

On December 29, 2020, Patel Products, Inc., sells a delivery van that cost $20,000. The equipment had accumulated depreciation of $16,000 at December 31, 2019. Annual depreciation on this equipment is $2,000 computed using straight-line depreciation. Complete the necessary journal entry to bring the accumulated depreciation up-to-date.

Answers

Answer:

Depreciation refers to the state where the assets of the firm undergo a reduction in the price. The reduction takes place yearly or on the defined time period.

Explanation:

Given information:

Cost of delivery van = $20,000

Accumulated depreciation of equipment = $16,000

Annual depreciation on this equipment = $2,000

Therefore, the journal entry is as follows:

On December 29, 2020

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Final answer:

The accumulated depreciation of the van on December 29, 2020, would be $18,000. This is calculated by adding the annual depreciation of $2,000 to the accumulated depreciation of $16,000 from December 2019. A journal entry reflecting this additional depreciation is made debiting Depreciation Expense and crediting Accumulated Depreciation by $2,000

Explanation:

The problem revolves around the concept of depreciation, which is the decrease in the value of an asset over time. In this case, Patel Products, Inc. sold a van that had already depreciated in value. In accounting, we record this depreciation to keep our records up-to-date and accurate.

As of December 31, 2019, the accumulated depreciation for the van was $16,000. However, the van continues to depreciate at a rate of $2,000 per year. So, for the year 2020, we need to add this annual depreciation to the accumulated depreciation. Thus, the equation is as follows: Accumulated Depreciation (December 2019) + Annual Depreciation

$16,000 + $2,000 = $18,000

This means that by the time the van is sold on December 29, 2020, the accumulated depreciation has reached $18,000.

To make a journal entry encoding this, it would look something like this:

Date: December 29, 2020

Debit: Depreciation Expense $2,000

Credit: Accumulated Depreciation $2,000

This journal entry reflects how the asset (the van) has further depreciated in value over the course of 2020.

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It is appropriate to use the supply-and-demand model in which of the following​ markets?

A) beer market
B) car market
C) wheat market
D) market for breakfast cereal

Answers

Answer:

The correct answers are letters "A", "B", "C", and "D": beer market; car market; wheat market; market for breakfast cereal.

Explanation:

The supply-and-demand analysis is one of the most basic principles in economics.  In simple terms, it states that when an item is scarce, but many people want it, the price of that item will rise. The theory can be applied to markets of goods and services, labor, capital, and all the factors of production. It could be useful to study the fluctuations of a firm or the overall economy.

Many stores are open 24 hours a day. When store managers make the decision to stay open 24 hours, it must be the case that a. the calculation of marginal benefits or marginal costs of remaining open all day plays no role. b. the marginal cost of staying open all day must always be greater than the marginal benefit to remaining open all day.c. the marginal benefit of staying open all day must always be greater than the marginal cost to remaining open all day. d. the marginal benefit of remaining open all day is zero e. the marginal benefit of staying open all day and the marginal cost to remaining open all day are at least equal

Answers

Answer:

The correct answer is letter "E": the marginal benefit of staying open all day and the marginal cost to remaining open all day are at least equal.

Explanation:

When the marginal benefit and the marginal cost of the production of a good or rendering a service are equal, from the economic point of view we could say that it is worth it to keep the business operating. If the marginal cost is higher than the marginal benefit, the company is likely to shut down.

Transfer Pricing Aulman Inc. has a number of divisions, including a Furniture Division and a Motel Division. The Motel Division owns and operates a line of budget motels located along major highways. Each year, the Motel Division purchases furniture for the motel rooms. Currently, it purchases a basic dresser from an outside supplier for $40. The manager of the Furniture Division has approached the manager of the Motel Division about selling dressers to the Motel Division. The full product cost of a dresser is $29. The Furniture Division can sell all of the dressers it makes to outside companies for $40. The Motel Division needs 10,000 dressers per year; the Furniture Division can make up to 50,000 dressers per year. Also, assume that the company policy is that all transfer prices are negotiated by the divisions involved.

Required:
1. What is the maximum transfer price? $ 40 Which division sets it?
2. What is the minimum transfer price? $ 14 Which division sets it?
3. Conceptual Connection: If the transfer takes place, what will be the transfer price? $ 40 Does it matter whether or not the transfer takes place?

Answers

Answer:

Explanation:

Standard fixed overhead rate=budgeted fixed overhead costs/practical capacity=$400000/32000=$12.50

Fixed overhead spending variance=Actual fixed overhead-Budgeted fixed Overhead=$403400-$400000=$3400

Fixed overhead volume variance=Budgeted fixed overhead-(Standard hours*Standard fixed overhead rate)=400000-(0.80*32000)=$397440

Sandra and Debbie have a shared policy. Information on the Form 1095-A must be allocated between their two tax returns. Both of their returns are out of scope.

Answers

Answer:

Yes, Sandra can claim Debbie as a qualifying relative on her yearly return as Sandra and Debbie have a shared policy. Information on the Form 1095-A must be allocated between their two tax returns.

Explanation:

When determining the premium tax credit on a tax return, a Shared Policy Allocation should then be reported by each taxpayer on their respective tax returns so that the amounts reported on the Health Insurance Marketplace Statement (Form 1095-A) can be allocated between the individuals on the policy.

A Shared Policy occurs when a qualified health plan has been purchased from the Marketplace or from a state health care exchange and it covers at least one individual on the tax return and at least one individual not on the tax return under several scenarios as the one with Sandra claiming Debbie or viceversa , in their Shared Policy, they, as taxpayers, will need to allocate the three amounts reported on Form 1095-A (enrollment premiums, SLCSP premiums, and/or APTC) between the taxpayer's tax return and the tax return of the other individual(s) who is not on this tax return and is filing their own return. This is known as a Shared Policy Allocation.

Sandra and Debbie have a shared policy. Sandra got the 1095-A Form for she and Debbie´s covereage individuals for the year, therefore, Sandra can claim Debbie as a qualifying relative on her yearly tax return because Debbie lived with Sandra as a member of her household, unless Debbie has had gross income of more than $4,200 during the tax year.

Both Sandra and Debbie can claim the entire amount of the premium tax credit since both of their names are shown on Form 1095-A as covered individuals, but Sandra should reconcile the entire premium tax credit information from her Form 1095-A on her tax return, or Debbie should reconcile the entire premium tax credit information from Sandra's Form 1095-A on her tax return. Sandra and Debbie have a shared policy. Information on the Form 1095-A must be allocated between their two tax returns.

Common methods of alternative dispute resolution include all of the following EXCEPT________.

A. mediation-arbitration.
B. private judging.
C. litigation
D. arbitration.
F. negotiation.

Answers

Answer:

Common methods of alternative dispute resolution include all of the following EXCEPT

negotiation

Explanation:

Negotiation is used in market or anything that has to do with buying and selling or in trading as well but it can never be used in dispute resolution

A non-common method to resolve a dispute is C. Litigation

Understand how Litigation works below.

What is Litigation

Litigation is the process of filing a suit against a person for his/her conduct which can be challenged at court of law. In this type of dispute resolution both the parties appear in the court of law and they hire their lawyers who defend their case.

Common ways to solve a dispute

While Mediation-Arbitration, Private judging, Arbitration and Negotiations are the common methods used to resolve any dispute.

Most cases are settled through Negotiation. In these cases neutral Mediators help to resolve dispute between parties.

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Financial information that may impact investors' and creditors' decisions is referred to as________.

Answers

Answer:

Materiality

Explanation:

Materiality is a term or convention relating to the importance / significance of an amount transaction or discrepancy within auditing and accounting

You were planning to spend Friday working at your part-time job, but a friend asks you to go kayaking.

Which of the following are included in the true cost of going kayaking?

a. The cost of your endurance splash pants you purchased last year
b. The fee for accessing the river in a national park
c. The wages you forgo by going kayaking
d. The rental of any kayak equipment you need

Answers

Answer:

b. The fee for accessing the river in a national park

c. The wages you forgo by going kayaking

d. The rental of any kayak equipment you need

Explanation:

True cost includes all the cost incurred in kayaking and opportunity cost. All the costs incurred in kayaking includes :

The fee for accessing the river in a national park

The rental of any kayak equipment you need.

The opportunity cost of kayaking is: The wages you forgo by going kayaking.

I hope my answer helps you

Decisions regarding which of the following are not part of the production process structure?a) management policiesb) robotsc) facilitiesd) flexible manufacturing system (FMS) machinese) flow of goods and services through the facility

Answers

Final answer:

Although important in guiding company operations, management policies are not considered a direct part of the production process structure like facilities, goods flow, robots, and FMS machines.

Explanation:

Decisions regarding the production process structure usually encompass a variety of factors, such as facilities, the flow of goods and services through the facility, robots, and flexible manufacturing system (FMS) machines. These are integral parts of the manufacturing and operation process of a business. Management policies, however, don't directly contribute to the physical production process structure, though they guide the overall operations, objectives, and decision-making within a company.

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Final answer:

Management policies are not part of the production process structure.

Explanation:

The decisions regarding management policies are not part of the production process structure. While management policies may influence the overall production strategy and decision-making, they are not a direct component of the production process itself.

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Brooks Landscaping Company performs lawn mowing services for its customers in May. Payments forâ May's services are expected to be received in June. How does the transaction for performing services in May affect the accounting equation of Brooksâ Landscaping?

Answers

Answer:

There should not be any affect on accounting equation of Brooksa Landscaping.

Explanation:

To understand this concept we need to look at what actually is accounting equation is. Accounting equation is:

Assets = Liabilities + owners equity

So, if Brooks landscaping performs a service in May, it can recognize its revenue in month of May but instead of balancing it with cash it will be balance against trade debtors ( trade receivables). Therefore, the amount of assets will remain same even when payments are received in the month of June as it will be balanced out by crediting trade debtors and debiting cash. Hence, it can be seen that accounting equation remains unaffected due to this delay in actual payment.

True or false: The fundamental activities of a business are selling activities and marketing activities.

Answers

Answer:

i think its false

Explanation:

The fundamental activities are financing, investing, and operating activities. Thus, the given statement "The fundamental activities of a business are selling activities and marketing activities" can be marked as false.

What are the fundamental activities?

The fundamental activities are those activities, that are very essential and important for all business organization. These are those activities upon which, business organization is depend completely.

The fundamental activities are financing, investing, and operating activities. Financing fundamental activities are those activities which includes the transactions related to debt, equity, and dividends.

Investing activities include the purchase of assets, investment in different securities and funds. Operating activities are the activities done by business to bring its products and services to market on an ongoing basis.  Basically, the fundamental activities are financing, investing, and operating activities.

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Blue Furniture Company started construction of a combination office and warehouse building for its own use at an estimated cost of $11,000,000 on January 1, 2020. Blue expected to complete the building by December 31, 2020. Blue has the following debt obligations outstanding during the construction period. Construction loan-12% interest, payable semiannually, issued December 31, 2019 $4,400,000 Short-term loan-10% interest, payable monthly, and principal payable at maturity on May 30, 2021 3,080,000 Long-term loan-11% interest, payable on January 1 of each year. Principal payable on January 1, 2024 2,200,000

Answers

Final answer:

The question involves calculating the capitalization of interest costs during construction of an office and warehouse building for Blue Furniture Company's own use, considering the construction loan, short-term loan, and long-term loan interest rates.

Explanation:

The question relates to the capitalization of interest costs during the construction period of an asset for a company's own use. According to accounting standards, companies are required to capitalize interest as part of the cost of a qualifying asset that is constructed for the company's own use. The interest to be capitalized is the lesser of the actual interest cost incurred during the construction period or the avoidable interest, which is the interest cost that could have been avoided if the expenditure for the asset had not been made.

For the Blue Furniture Company's construction project, the calculation would include the interest from the construction loan at 12%, the short-term loan at 10%, and the long-term loan at 11%. The total capitalizable interest will affect the overall cost of the office and warehouse building being constructed.

The net income as shown on the common-size income statement of Omega industries for the past three years increased from 3% to 6%. This indicates that the firm is increasing its _____ProfitabilityThe enterprise value multiplier allows for comparing the value of firms with different ______ structures.CapitalIn a financial plan using the percentage of sales approach, why is it assumed that some assets increase with sales?Additional working capital and fixed assets are needed to support growthWhich of the following statements is most likely correct for afirm with days’ sales in receivables for 30 days

Answers

Answer:

See explanation section

Explanation:

Req. A & B

If there is an increase in the net income over the year, the company is in profitability condition. As Omega industries are getting increased net income, it suggests their profitability.

EVM or enterprise value multiplier allows a company to compare the capital structure that the company uses. It is commonly used for valuing a business.

Req. C, D & E

In a financial plan, if the sales increase, it should be because of increasing working capital and fixed assets. We know, additional assets can generate more revenues.

A firm can collect approximately 8% of its annual sales at any given time. It can be found through the following way-

since the days' sales in receivables for 30 days in a year, the percentage of annual sales = (30 ÷ 365) × 100 = 8.22% or 8%

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