Financial statements for Maraby Corporation appear below:Maraby CorporationBalance SheetDecember 31, Year 2 and Year 1(dollars in thousands) Year 2Year 1Current assets: Cash and marketable securities$220 $190 Accounts receivable, net 190 160 Inventory 140 150 Prepaid expenses 70 80 Total current assets 620 580 Noncurrent assets: Plant & equipment, net 1,180 1,150 Total assets$ 1,800 $ 1,730 Current liabilities: Accounts payable$100 $120 Accrued liabilities 100 70 Notes payable, short term 160 160 Total current liabilities 360 350 Noncurrent liabilities: Bonds payable 450 500 Total liabilities 810 850 Stockholders' equity:
Common stock, $5 par 160 160 Additional paid-in capital 200 200 Retained earnings 630 520 Total stockholders' equity 990 880 Total liabilities & stockholders' equity$ 1,800 $ 1,730 Maraby CorporationIncome StatementFor the Year Ended December 31, Year 2(dollars in thousands)Sales (all on account)$1,960 Cost of goods sold 1,370 Gross margin 590 Selling and administrative expense 230 Net operating income 360 Interest expense 50 Net income before taxes 310 Income taxes (30%) 93 Net income$ 217 Maraby Corporation's inventory turnover for Year 2 was closest to:
A. 9.4
B. 11.2
C. 13.5
D. 7.8
Answer: A
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Marathon Sports Equipment Company projected sales of 81,000 units at a unit sales price of $14 for the year. Actual sales for the year were 75,000 units at $13.00 per unit. Variable costs were budgeted at $2 per unit, and the actual amount was $4 per unit. Budgeted fixed costs totaled $375,000, while actual fixed costs amounted to $425,000. What is the sales volume variance for total revenue?
A) $159,000 favorable B) $159,000 unfavorable C) $84,000 unfavorable D) $84,000 favorable
Underfoot Products uses standard costing. The following information about overhead was generated during May: Standard variable overhead rate $2 per machine hour Standard fixed overhead rate $1 per machine hour Actual variable overhead costs $390,000 Actual fixed overhead costs $175,000 Budgeted fixed overhead costs $190,000 Standard machine hours per unit produced 10 Good units produced 18,000
Actual machine hours 200,000 Using the above information provided for Underfoot Products, compute the fixed overhead volume variance. A) $5,000 (U) B) $10,000 (U) C) $10,000 (F) D) $15,000 (F)
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A) monopoly B) oligopoly C) monopolistic competition D) pure competition E) natural competition
Coca-Cola and the World Wildlife Fund created a fund-raising partnership to support efforts to save polar bears. This partnership is an example of ______.
A. niche B. cause C. social D. commercial