The allowance procedure that emphasizes matching bad debts expense with revenue on the income statement is the:
a. percentage of accounts written off approach.
b. direct write–off approach.
c. percentage–of–receivables approach.
d. percentage–of–sales approach.
d
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Chojnowski Incorporated makes a single product-a cooling coil used in commercial refrigerators. The company has a standard cost system in which it applies overhead to this product based on the standard labor-hours allowed for the actual output of the period. Data concerning the most recent year appear below: Budgeted (Planned) Overhead: Budgeted variable manufacturing overhead$82,450 Budgeted fixed manufacturing overhead 325,975 Total budgeted manufacturing overhead$ 408,425 Budgeted production (a) 25,000unitsStandard hours per unit (b) 1.70labor-hoursBudgeted hours (a) × (b) 42,500labor-hours Applying Overhead: Actual production (a) 20,000unitsStandard hours per unit (b) 1.70labor-hoursStandard hours allowed for the actual production (a) ×
(b) 34,000labor-hours Actual Overhead and Hours: Actual variable manufacturing overhead$74,812 Actual fixed manufacturing overhead 312,975 Total actual manufacturing overhead$ 387,787 Actual hours 31,700labor-hoursThe variable component of the predetermined overhead rate is closest to: A. $2.20 per labor-hour B. $1.76 per labor-hour C. $1.94 per labor-hour D. $2.36 per labor-hour
Basic EPS is calculated as net income minus _____________________________________________ divided by the weighted average number of shares outstanding
Fill in the blank(s) with correct word
A brand difference is said to be preemptive if ________
A) competitors cannot easily copy the difference B) buyers can afford to pay for the difference C) the difference can be introduced profitably D) the difference is communicable E) the difference is beneficial to customers
The formula to calculate the present value index for an annuity of $1 is ________
a. Total present value of net cash flow / Amount to be invested b. Estimated average annual income / Average investment c. Equal annual net cash flows / Amount to be invested d. Average investment / Estimated average annual income