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Vinil7 [7]
2 years ago
9

1. A company hires one of its board members, a CPA, to issue accounting reports for thecompany. Assuming any required disclosure

s are made, which of the following reports may theCPA issue without violating independence rules.B. ReviewsC. AuditsD. Agreed»upon procedures
Business
1 answer:
Stella [2.4K]2 years ago
4 0

Answer:

Compilations.

Explanation:

A compilation is part of the write-up service of accounting firms that involves conversion of data into financial statements without providing assurances or auditing services.

A compilation report usually accompanied the financial statements to show that data is well represented, and also to show that there has been no audit so the accountant is not giving an opinion.

So the CPA will not be violating independent rules by working on compilations.

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Production equipment costing $500,000 has been purchased by a contract manufacturing company to meet the specific needs of a cus
irina1246 [14]

Answer:

Short-cut IRR = 18.75%

The company has not reached their rate of return goal on this contract and investment.

Explanation:

a) Data and Calculations:

Cost of production equipment = $500,000

Qualified investment tax credit (ITC) = 10% = $50,000 ($500,000 * 10%)

Contract period = 4 years with 4 years extension on renewal

Income tax rate for the company = 40%

Expected after-tax rate of return = 12%

Expected before-tax rate of return = 30% (12%/40%)

Annual income generated by the equipment = $150,000 for 4 years

Salvage value at the end of 4 years = $200,000

Short-cut IRR = 100%, divided by the number of years * about 75-80%

= 100%/4 * 75%

= 18.75%

8 0
2 years ago
Adams Co. reports the following balance sheet accounts as of December 31. Salaries payable $ 6,800 Retained earnings $ 58,000 Bu
krek1111 [17]

Answer:

                                     Adams Co.

                        Balance Sheet as of December 31.

Assets

<u>Current Assets</u>

Cash                               $32,000  

Accounts Receivable $12,000  

Merchandise Inventory $15,600  

Office Supplies              $3,600  

Prepaid Rent                  $7,800

Prepaid Insurance          $4,600  

Total Current Assets                                         $ 75,600

<u>Property, Plant and Equipment</u>

Land                                                                    $38,000

Building                                 $67,800

Accumulated Depreciation $(6,600)                <u>$61,200</u>

(Buildings)  

Total Assets                                                        <u>$ 174,800</u>

<u></u>

Liabilities

<u>Current Liabilities</u>

Accounts Payables                $18,000

Salaries Payable                    <u>$6,800 </u>

Total Current Liabilities                               $24,800

<u>Long term Liabilities </u>

Notes Payable                                                      $46,000

Mortgage Payable                                               $28,000

Total Long term Liabilities                                  $74,000

Total Liabilities                                                     $98,800

<u>Stockholder's Equity</u>  

Common Stock                       $18,000

Retained Earnings                  $58,000

Total Stockholder's Equity                                 <u>$76,000</u>

Total Liabilities & Stockholder's Equity           <u>$174,800</u>

4 0
2 years ago
Assigning manufacturing overhead costs and other indirect costs is called a:
Softa [21]

Answer:

Cost allocation

Explanation:

Cost allocation means the process where the identification, aggregation, and the allocating of the cost is made to the various cost objects. It plays an important role as the cost i.e. incurred for generating a particular product or rendering a service would be determined

So if the manufacturing overhead cost assigned and the other indirect cost so this we called cost allocation

6 0
2 years ago
Recent WTO estimates show that all countries combined exported ________ valued at $19.4 trillion and ________ valued at $5.2 tri
Musya8 [376]

Answer:

hello hello hello hello hello

7 0
2 years ago
uestions 1. How has an understanding of consumer behavior helped Coppertone grow in the United States and around the globe? 2. D
aniked [119]

Explanation:

1. This knowledge has enabled them to quickly adapt to the needs of its consumers in the United States and around the world.

2. The five stages of the purchase decision process are problem identification, search for information, comparing alternatives, the decision to buy, and the post-purchase feedback.

1. Problem identification involves recognition by customers that they have a problem.

2. Search for information is a stage in which these customers look for the solution to the identified problem.

3. Comparing alternatives requires customers to compare and contrast solutions offered by companies in terms of their cost advantages and disadvantages.

4. The decision to buy stage is when the customer decides to buy the product from Coppertone based on perceived advantages from their comparison of solutions.

5. Post-purchase feedback by consumers is a measure of the performance of the product they bought.

<u>3. i) Situational influences: </u>this could be thoughts about spending time outdoors at the beach or going on a road trip.

<u>ii) Psychological influences: </u>this may be in the form of self-awareness about the need to protect their skin and to improve their general well-being.

<u>iii) Sociocultural influences: </u>they probably came from a  background where beauty treatments are esteemed and part of their culture.

4. Interestingly, Coppertone is one of the major sponsors of the U.S. women's and U.S. men's soccer teams. It also does TV, social media, other digital marketing campaigns.

5. i) They face the threat of unstable demand since they deal with a seasonal product.

ii) Constant product innovation is very much needed in order to meet customer needs.

<u>Recommendations are:</u>

i) Publicity campaigns should be carried out to encourage all-round usage, to avoid the habit of customers waiting for the season before purchasing the product.

ii) Creating new Innovative products should be a priority for the organisation in order to appeal to their needs.

5 0
3 years ago
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