When inventories are written down due to the application of the lower of cost or market (LCM) rule, the account that is usually increased is
a. Accumulated Depreciation—Inventory
b. Inventories
c. Loss on Decline in Inventory Value
d. Cost of Goods Sold
c
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The following information pertains to the Braun Company for March: Standard direct labor hours per unit .5 hours Budgeted production level 20,00 . units Actual units produced 22,00 . units Standard variable rate per direct labor hour $2.00 Standard fixed rate per direct labor hour $3.00 Actual direct labor hours worked 10,500 hours Actual direct labor costs $150,000 Actual fixed factory overhead
31,800 Actual variable factory overhead 22,200 Using the four-variance method of factory overhead variance analysis, what is the variable overhead spending variance? a. $1,200 unfavorable b. $200 unfavorable c. $1,00 . favorable d. $200 favorable
Distinguish between a note and a certificate of deposit. How are they alike? How are they different? Explain your answer
On January 1, Year 1, Burton Corporation recorded the following journal entry:Cash196,000 Discount on Bonds Payable4,000 Bonds Payable 200,000Which of the following correctly describes the related transaction?
A. Burton issued bonds at 98. B. Burton signed a note payable for $196,000. C. Burton issued bonds at 102. D. Burton issued bonds at a $4,000 premium.
A partnership is a(n):I. accounting entity. II. taxable entity.
A. Both I and II B. I only C. II only D. Neither I nor II