Our Explanation of Improving Profits will assist you in focusing on the costs and revenues that are relevant (and ignoring those which are not relevant) for improving profits and eliminating losses. Examples of the...
Our Explanation of Improving Profits will assist you in focusing on the costs and revenues that are relevant (and ignoring those which are not relevant) for improving profits and eliminating losses. Examples of the...
Our Explanation of Standard Costing uses an easy-to-relate to example for illustrating a manufacturer's standard costs and variances. Also provided is a chart which indicates each variance, what it tells you, and where...
Our Explanation of Break-even Point illustrates how to determine the number of units or sales dollars that will result in zero net income. The techniques rely on a product's contribution margin or contribution margin...
year amount is that the equipment was put into service on July 1. (July 1 through December 31 is the second half of the company's accounting year.) 3. On October 1 of the current year, ProServCo purchased equipment...
That part of a manufacturer’s inventory that is in the production process and has not yet been completed and transferred to the finished goods inventory. This account contains the cost of the direct material,...
Bookkeeping (Test for Prospective Employees #2) Download PDF After you have answered all 40 questions, click "Grade This Quick Test" at the bottom of the page to view your grade and receive feedback on your answers....
See Explanation of Inventory and Cost of Goods Sold.
The depreciation method based on the number of units produced by the asset rather than on the passage of time. This method is also referred to as the units of activity method because depreciation is based on some...
A predetermined dollar amount that one unit of a finished product should cost during an accounting period.
Bookkeeping (Test for Prospective Employees #1) Download PDF After you have answered all 40 questions, click "Grade This Quick Test" at the bottom of the page to view your grade and receive feedback on your answers....
Bookkeeping (Test for Prospective Employees #3) Download PDF After you have answered all 40 questions, click "Grade This Quick Test" at the bottom of the page to view your grade and receive feedback on your answers....
A management tool that identifies the critical path—the path of sequential activities requiring the longest time to complete.
will be the following: the 2021 base layer (10 units at the 2021 cost of $20 each) + the 2022 LIFO layer (3 units at the 2022 cost of $21 each) + the 2024 LIFO layer (4 units at the 2024 cost of $22 each). Join PRO to...
of the following year Purchase of inventory in November with payment to the supplier in December, but sold in January through March of the following year Join PRO to Track Progress Mark the Question as Read Must-Watch...
) + (2 hours X $20) + (4 hours X $15) = $100 + $40 + $60 = $200. Using departmental overhead rates will better reflect the costs of manufacturing Product A and Product B compared to using a single, plant-wide overhead...
shares trading at $20 per share (which also results in a total market value of $1.6 million). Prior to the reverse stock split, small investors were able to purchase 100 shares for just $200. After the stock split, an...
is required because of the matching principle. Join PRO to Track Progress Mark the Question as Read Must-Watch Video Learn How to Advance Your Accounting and Bookkeeping Career Perform better at your current job Refresh...
(2022), multiply 5/15 times the depreciable cost of $90,000 = $30,000 of depreciation. In 2023, multiply 4/15 times $90,000 = $24,000. In 2024, multiply 3/15 times $90,000, and so on. Join PRO to Track...
right from the beginning of the year. Join PRO to Track Progress Mark the Question as Read Must-Watch Video Learn How to Advance Your Accounting and Bookkeeping Career Perform better at your current job Refresh your...
will be followed by the actual transactions (checks written, billing invoices issued, etc.), a helpful accounting procedure is to record reversing entries on the first day of the next accounting period. Join PRO to...
be made to the balance.) Join PRO to Track Progress Mark the Question as Read Must-Watch Video Learn How to Advance Your Accounting and Bookkeeping Career Perform better at your current job Refresh your skills to...
would include $10,000 of variable cost (100,000 MHs times $0.10) with the remainder of $6,000 being the fixed cost for the month. Join PRO to Track Progress Mark the Question as Read Must-Watch Video Learn How to...
of 2023 and 2024 to report incorrect gross profits and incorrect net incomes. (In our example, only the balance sheet for December 31, 2023 reported the incorrect amounts of inventory and owner’s equity.) Join PRO to...
illustration of a bank reconciliation and to learn the related terminology, be sure to see our topic Bank Reconciliation. Join PRO to Track Progress Mark the Question as Read Must-Watch Video Learn How to Advance Your...
account. This adjusted balance in the Cash account as of September 30 should be the same as the adjusted balance per bank as of September 30. If there is a difference, you must identify it and make any...
for each equipment hour. Software is available to calculate the best fitting line, the resulting fixed cost and variable rate, and additional statistical insights such as the level of confidence for various amounts....
expense. Join PRO to Track Progress Mark the Question as Read Must-Watch Video Learn How to Advance Your Accounting and Bookkeeping Career Perform better at your current job Refresh your skills to re-enter the workforce...
on the matching principle, and also 2) maintain depreciation records for the tax return depreciation that is based on the IRS rules. Join PRO to Track Progress Mark the Question as Read Must-Watch Video Learn How to...
amounts as favorable or unfavorable__________. 8. Management by __________ has its focus on the deviations from the expected amounts. 9. A budgeted financial statement is sometimes referred to as a pro-__________...
minus the land’s cost of $1,500,000 and interest of $50,000). The $350,000 loss on Sue’s cash of $550,000 results in a 63.6% loss on Sue’s money instead of a loss of 20% without the use of leverage Join PRO to...
that these are general comments. You should always determine the specific facts for your situation and should consult with a professional accountant and tax adviser. Join PRO to Track Progress Mark the Question as Read...
for Various Activities The activities that could cause flexible budgets to flex might be the amount of sales, units of output, machine hours, miles traveled, etc. Join PRO to Track Progress Mark the Question as Read...
. The positive $200 of fixed costs is calculated at either 1) the low activity: total costs of $1,200 minus the variable costs of $1,000 (100 units at $10); or at 2) the high activity: total costs of $4,000 minus...
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