Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Accounting Basics Expert

Q1) Number of transactions follow that affect specific division within multiple-division company. For each transaction described, indicate whether transaction would increase (IN), decrease (D), have no effect (N) or have an indeterminate (I) effect on following measures: asset turnover, profit margin, ROI, and RI for the present fiscal year. Each transaction is independent:

 

a. Division prepares down inventory of obsolete finished goods. Journal entry is:
Cost of Goods Sold 80,000
Finished Goods Inventory 80,000

 

b. Special overseas order is accepted. Sales price for this order is well below sales price on normal business but is sufficient to cover all costs traceable to this order.

 

c. Piece of equipment is sold for $150,000. Equipment's original cost was $900,000. At the time of sale, book value of equipment is $180,000. Sale of equipment has no effect on product sales.

 

d. Division fires its R 7 D manager. Manager will not be replaced during current fiscal year.

 

e. Company raises it target rate of return for this division from 10 to 12 percent.

 

f. At midyear, divisional manager decides to increase scheduled annual productions by 1,000 units. This decision has no effect on scheduled sales.

 

g. In the year, division manager spends additional $250,000 on advertising. Sales immediately increase thereafter.

 

h. Divisional manager replaced labor-intensive operation with machine technology. This action has no effect on sales, but total annual expenses of operation are expected to decline by 10 percent.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M922642

Have any Question? 


Related Questions in Accounting Basics

Accountinguse the internet to research an annual report of

Accounting Use the Internet to research an annual report of a retail company. • Then, imagine you are an investor or creditor; suggest the ratios that you believe would provide an investor or creditor with the most impor ...

To understand the accounting equation and its

To understand the accounting equation and its elements QUESTION Mr. "A" starts a new business. Before to start the business operation, he has purchased vehicle Rs. 1,500,000, office premises Rs. 3,000,000, stock of goods ...

Maher inc reported income from continuing operations before

Maher Inc. reported income from continuing operations before taxes during2014 of $790,000. $790,000 Additional transactions occurring in 2014 but not considered in the $790,000 are as follows. 1. The corporation experien ...

Assignmentduring your examination of the accounts

Assignment During your examination of the accounts receivable of Hope Ranch, a new client, you notice that one account is much larger than the rest, and you therefore decide to examine the evidence supporting this custom ...

Managerial accounting and financial accountingcompare and

Managerial Accounting and Financial Accounting Compare and Contrast Managerial Accounting and Financial Accounting. Be sure to discuss how managerial accounting is useful for providing information for at least one of the ...

Question 1important multiple-choice questions are to be

Question 1 Important: Multiple-choice questions are to be completed within the Online Learning Environment in your TX2 Assignment Submission section. This portion of the assignment will be automatically graded. Do not in ...

Question 1the production manager of rordan corporation has

Question 1: The production manager of Rordan Corporation has submitted the following forecast of units to be produced by quarter for the upcoming fiscal year:                                             1st Quarter      ...

Abc company enters into a lease agreement with xyz

ABC company enters into a lease agreement with XYZ corporation for laser tech machines. The lease agreement qualifies as an operating lease. However, there is one thing that stands out. There is a bargain-purchase option ...

Problem 1bart exchanges some real estate basis of 80000 and

Problem 1 Bart exchanges some real estate (basis of $800,00 and fair market value of $1 million) for other real estate owned by Roland (basis of $1.2 million and fair market value of $900,00) and $100,000 in cash. The re ...

If a nurse deposits 12000 today in a real estate investment

If a nurse deposits $12,000 today in a real estate investment trust (REIT) and the interest is compounded annually at 7% percent, what will be the value of this investment: a.) Five years from now? b.) Ten years from now ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen