allocate the original cost of productive assets to expense over its useful life. X 8. Which one of the following accounts is not closed at the end of an accounting period? a. Retained Earnings account X b. Dividends account c. Service Revenue account d. Insurance Expense account 10. Gross profit is calculated by subtracting a. total expenses from total revenues. b. cost of goods sold from net sales. X c. cost of goods sold from
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Cost Sheet For the period ended…………….. Raw Material Inventory, Beginning Add: Purchase of Raw Material Less: Purchase return & allowances Less: Purchase discount Net Purchase Add: Trade in or Freight in Cost of Goods purchased Cost of raw material available for use Less: Raw material inventory, Ending Cost of raw material used/consumed Add: Direct Labor Prime Cost Add: Factory Overhead: Indirect Material Indirect Labor Other indirect expenses
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Case Write-up #1 Clarkson Lumber Company Background Clarkson Lumber Company (CLC) is a successful finished wood products company with a promising future, yet needs to apply sound managerial financing policies to continue to be competitive in this market. The sole owner, Keith Clarkson, is dedicated to his profession and has a good reputation among his suppliers and customers. CLC's sales have been consistently growing over the past several years, rising 19% from 1993 to 1994, 30% from 1994
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percent of sales and inventory turnover to remain consistent with prior years, to increase, or to decrease? Explain your reasoning. (2 marks) The gross margin is expected to stay in consistence with prior years despite the declining demanddue to incresed gasoline price and decreased cost of air travel. The managements decission to introduce 1000 dollar cash rebate may have caused an increase in sales. The company seems to operate better that average in the industry. The inventory turnover is below
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and Decision-making Marketing, Merchandising, and Advertising Information Technology Problem Analysis Firm-based-value chain model Model Application Implementation Opportunity Analysis Evaluation of IS Implementation Tangible Costs Analysis Tangible Benefits Intangible Costs Analysis Intangible Benefits Conclusion for Evaluation of IT Implementation Conclusion and Recommendations References 3 4 5 5 6 6 7 7 7 9 12 12 13 14 15 16 16 19 Zara Case Paper Analysis Abstract This case paper presents
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Literature review Budgeting Establishing a planned level of expenditures, usually at a fairly detailed level. A company may plan and maintain a budget on either an accrual or a cash basis. Business budgeting is one of the most powerful financial tools available to any small-business owner. Put simply, maintaining a good short- and long-range financial plan enables you to control your cash flow instead of having it control you. The most effective financial budget includes both a short-range
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dividend, a corporation's cost basis per share in the stock of the invested will: | increase | decrease | remain the same | impossible to determine without knowing the market value of the stock | 6 | Creditors use financial statement analysis to: | evaluate the company's dividend payment record | evaluate the company's stock | predict the amount of expected returns and assess the risks associated with those returns | none of the above | 7 | An example of an inventoriable cost is: | advertising expense
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(SCM) is the management of a network of interconnected businesses involved in the ultimate provision of product and service packages required by end customers. Supply Chain Management spans all movement and storage of raw materials, work-in-process inventory, and finished goods from point of origin to point of consumption. It defines SCM as the "design, planning, execution, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure
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volume production with minimal inventory as parts arrive at a work station exactly when they are needed (Jacobs and Chase, 2011). JIT systems work to reduce inventory by allowing management to control the flow of materials. Materials are received, used to finish goods, and sent out of the door as demanded. In an ideal situation, a JIT system would provide goods to meet demand and no more since the ultimate goal is zero inventory. Companies typically hold inventory in three phases; raw materials
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barrel costs and warehouse labor should charge to inventory? 2. In your opinion, what costs should be included in Dobbin’s inventory and why? In my opinion,the cost of barrels and warehousing should be included in Dobbin’s inventory. Because the maturing or aging process also belong to the part of manufacturing process. The whiskey was not ready for sale until it was aged and therefore the aging barrel needed to be included in product cost. As inventory costs include all the direct costs involved
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