Answer:
1. Once a month, the sales department sends sales invoices to the accounting department to be recorded.
⇒ documentation procedures
Unless all of the company's sales take place only once a month, sales should be recorded as soon as possible. Accounting records must be as precise and accurate as possible, and they must be processed on time. Stacking invoices makes no sense, since sales might be on cash or the collection period might be very short. Who holds the money until the sales records are made?
2. Leah Hutcherson orders merchandise for Rice Lake Company; she also receives merchandise and authorizes payment for merchandise.
⇒ segregation of duties
One single person cannot be responsible for the whole process, since this creates a huge opportunity for fraud. Imagine if the person in charge of the inventory is also in charge of making new purchases, paying for them and reporting ending inventory. No company would be able survive one year, while the person in charge would get rich.
3. Several clerks at Great Foods use the same cash register drawer
⇒ establishment of responsibility
If everyone is allowed to collect money, no one can be responsible for any loss.
Financial, operational, perimeter, and strategic risks.
Like costs, labor, and weather.
Answer:
The handwritten clause generally supersedes the preprinted clause.
Explanation:
Answer:
The answer is 235 days
Explanation:
Average collection period can also be called Days' outstanding period. And it is the number of days it takes a business to collect its money or receivables from the goods or services sold on credit.
Days' reveivables period or Average collection period = 365 days / reveivables turnover.
Receivables turnover = Sales/ average receivable
$9,800/$6,333
= 1.55
Average collection period=
365 days/1.55
=235 days
Answer:
1. Actual Hour = 145 hour
2. Actual rate per hour = 28.17 per hour
Explanation:
According to the scenario, computation of the given data are as follow:-
1). Labor Efficiency Variance= Labor Rate Variance + Labor Spending Variance
= 170 + 120
= 290
Labor Efficiency Variance = Standard Rate × (Standard Hour - Actual Hour)
-290 = 29 × (54 × 2.5-X)
-290 = 29 × (135 - X)
-290 = 3,915 - 29x
29x = 4,205
X = 4205 ÷ 29 = 145
Actual Hour = 145 hour
2). Labor Rate Variance = Actual Hour × (Standard Rate-Actual Rate)
120 = 145(29-x)
120 = 4,205-145x
145x = 4,085
X= 4,085 ÷ 145
Actual rate per hour = 28.17 per hour
