im_ch06
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im_ch06

Course Number: ACC 210, Spring 2008

College/University: South Central College

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CHAPTER 6 Incremental Analysis ASSIGNMENT CLASSIFICATION TABLE Brief Exercises 1 A Problems B Problems Study Objectives 1. Identify the steps in management's decisionmaking process. Describe the concept of incremental analysis. Identify the relevant costs in accepting an order at a special price. Identify the relevant costs in a make-or-buy decision. Identify the relevant costs in determining whether to sell or...

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6 Incremental CHAPTER Analysis ASSIGNMENT CLASSIFICATION TABLE Brief Exercises 1 A Problems B Problems Study Objectives 1. Identify the steps in management's decisionmaking process. Describe the concept of incremental analysis. Identify the relevant costs in accepting an order at a special price. Identify the relevant costs in a make-or-buy decision. Identify the relevant costs in determining whether to sell or process materials further. Identify the relevant costs to be considered in retaining or replacing equipment. Identify the relevant costs in deciding whether to eliminate an unprofitable segment. Determine sales mix when a company has limited resources. Questions 1, 2 Exercises 2. 3. 3, 4 5 2 3 1, 2, 13 1A 1B 4. 6, 7 4 3, 4, 13 2A 2B 5. 8, 9, 10 5, 6 5, 6, 7, 13 3A 3B 6. 11 7 8, 9, 13 4A 4B 7. 12 8 10, 13 5A 5B 8. 13, 14 9 11, 12 ASSIGNMENT CHARACTERISTICS TABLE Problem Number Description 1A 2A factors. 3A Determine if product should be sold or processed further. Moderate Moderate Moderate Simple Moderate 30-40 30-40 30-40 20-30 Make incremental analysis for special order and identify nonfinancial factors in the decision. Make incremental analysis related to make or buy, consider opportunity cost, and identify nonfinancial Difficulty Level Simple Moderate Time Allotted (min.) 20-30 30-40 4A Compute gain or loss, and determine if equipment should be replaced. 5A 1B 2B factors. 3B Determine if product should be sold or processed further. Compute contribution margin and prepare incremental analysis concerning elimination of divisions. Make incremental analysis for special order and identify nonfinancial factors in the decision. Make incremental analysis related to make or buy, consider opportunity cost, and identify nonfinancial 30-40 Moderate Moderate Moderate 30-40 30-40 20-30 4B Compute gain or loss, and determine if equipment should be replaced. 5B Compute contribution margin and prepare incremental analysis concerning elimination of divisions. BLOOM'S TAXONOMY TABLE Correlation Chart between Bloom's Taxonomy, Study Objectives and End-of-Chapter Exercises and Problems Study Objective 1. Identify the steps in manage-ment's decision-making process. 2. Describe the concept of incremental analysis. Knowledge BE6-1 Q6-1Q6-2 BE6-2 Q6-3Q6-4 Comprehension Application Analysis Synthesis Eval 3. Identify the relevant costs inaccepting an order at a specialprice. 4. Identify the relevant costs in amake-or-buy decision. Q6-5 BE6-3 E6-1E6-2E P6-1AP6Q6-6Q6-7 BE6-4 E6-3E6-4E P6-2AP6BE6-5BE6-6 Q6-8Q6-9Q6-10 Q6-11 BE6-7 5. Identify the relevant costs indetermining whether to sell orprocess materials further. 6. Identify the relevant costs to beconsidered in retaining or replacing equipment. 7. Identify the relevant costs indeciding whether to eliminate anunprofitable segment. 8. Determine sales mix when acompany has limited resources. Broadening Your Perspective E6-5E6-6E E6-13P6-3 E6-8E6-9E P6-4AP6Q6-12 BE6-8 E6-10E6-1 P6-5AP6- BE6-9 Q6-13Q6-14 Research Assign. Real-World FocusExploring the WebGroup DecisionCase Group DecisionCase E6-11E6-1 Manageri AnalysisG Decision CaseCom STUDY OBJECTIVES 1. 1. IDENTIFY THE STEPS IN MANAGEMENT'S DECISIONMAKING PROCESS. 2. 2. DESCRIBE THE CONCEPT OF INCREMENTAL ANALYSIS. 3. 3. IDENTIFY THE RELEVANT COSTS IN ACCEPTING AN ORDER AT A SPECIAL PRICE. 4. 4. IDENTIFY THE RELEVANT COSTS IN A MAKE OR BUY DECISION. 5. 5. IDENTIFY THE RELEVANT COSTS IN DETERMINING WHETHER TO SELL OR PROCESS MATERIALS FURTHER. 6. 6. IDENTIFY THE RELEVANT COSTS TO BE CONSIDERED IN RETAINING OR REPLACING EQUIPMENT. 7. 7. IDENTIFY THE RELEVANT COSTS IN DECIDING WHE THER TO ELIMINATE AN UNPROFITABLE SEGMENT. 8. 8. DETERMINE SALES MIX WHEN A COMPANY HAS LIMITED RESOURCES. CHAPTER REVIEW Incremental Analysis 1. (S.O. 1) Management's decision-making process frequently involves the following steps: .a. Identify the problem and assign responsibility. .b. Determine and evaluate possible courses of action. .c. Make a decision. .d. Review the results of the decision. Accounting's contribution to the decision-making process occurs primarily in steps (b) and (d). (S.O. 2) Business decisions involve a choice among alternative courses of action. In making such decisions, management ordinarily considers both financial and nonfinancial information. The process used to identify the financial data that change under alternative courses of action is called incremental analysis. .a. Incremental analysis involves not only identifying relevant revenues and costs, but also determining the probable effects of the decision on future earnings. .b. Data for incremental analysis involves estimates and uncertainty. .c. Gathering data may involve market analysts, engineers, and accountants. 3. In incremental analysis, both costs and revenues may change. However, in some cases (1) variable costs may not change under the alternative courses of action, and (2) fixed costs may change. 2. Accept an Order at a Special Price 4. (S.O. 3) An order at a special price should be accepted when the incremental revenue from the order exceeds the incremental costs. .a. It is assumed that sales in other markets will not be affected by the special order. .b. If the units can be produced within existing plant capacity, generally only variable costs will be affected. Make or Buy 5. (S.O. 4) In a make or buy decision, management must determine the costs which are dif-ferent under the two alternatives. If there is an opportunity to use the productive capacity for another purpose, opportunity cost should be considered. Opportunity cost is the potential benefit that may be obtained by following an alternative course of action. This cost is an additional cost of making the component. Sell or Process Further (S.O. 5) The basic decision rule in a sell or process further decision is: Process further as long as the incremental revenue from such processing exceeds the incremental processing costs. Incremental revenue is the increase in sales which results from processing the product further. Retain or Replace Equipment (S.O. 6) In a decision to retain or replace equipment, management compares the costs which are affected by the two alternatives. Generally, these are variable manufacturing costs and the cost of the new equipment. .a. The book value of the old machine is a sunk cost which does not affect the decision. A sunk cost is a cost that cannot be changed by any present or future decision. .b. However, any trade-in allowance or cash disposal value of the existing asset must be considered. Eliminate an Unprofitable Segment 8. (S.O. 7) In deciding whether to eliminate an unprofitable segment, management should choose the alternative which results in the highest net income. Often fixed costs allocated to the unprofitable segment must be absorbed by the other segments. It is possible, therefore, for net income to decrease when an unprofitable segment is eliminated. 7. 6. Limited Resources (S.O. 9) When a company has limited resources (floor space, raw materials, or machine hours), management must decide which products to make and sell in order to maximize net income. In an allocation of limited resources decision, a company does this by finding the contribution margin per unit of limited resource. .a. This is obtained by dividing the contribution margin per unit of each product by the number of units of the limited resource required for each product. For example, if the unit contribution margin for a product is $6 and three machine hours are required, the contribution margin per unit of limited resource is $2 ($6 3). .b. Production should be geared to the product with the highest contribution margin per unit of limited resource. 12. Many of the decisions involving incremental analysis also have important qualitative features. 11. LECTURE OUTLINE A. Management's Decision-Making Process. 1. The steps are: .a. Identify the problem and assign responsibility. .b. Determine and evaluate possible courses of action. .c. Make a decision. .d. Review the results of the decision. 2. Accounting's contribution to the decision-making process occurs primarily in steps (b) and (d)--evaluating possible courses of action, reviewing and results. B. Incremental Analysis. 1. The process used to identify the financial data that change under alternative courses of action is called incremental analysis. 1. 2. These data are relevant to the decision because they will vary in the future among the possible alternatives. .3. Incremental analysis sometimes involves changes that might seem contrary to your intuition. For example, sometimes: .a. Variable costs do not change under the alternative courses of action. .b. Fixed costs do change. 4. Accept an order at a special price. .a. The relevant information is the difference between the variable manufacturing costs to produce the special order and expected revenues. .b. If other sales are affected, then the company would have to consider the lost sales in making the decision. .c. If the company is operating at full capacity, it is likely that the special order would be rejected. .5. Make or buy. .a. In a make or buy decision, the relevant costs are: .(1) The variable manufacturing costs that will be saved. .(2) The fixed manufacturing costs that can be eliminated. .(3) The purchase price. .(4) Opportunity costs: The potential benefit that may be obtained by following an alternative course of action. .6. Sell or process further. .a. Many manufacturers have the option of selling products at a given point in the production cycle or continuing to process with the expectation of selling them later at a higher price. .b. The basic decision rule is: Process further as long as the incremental revenue from such processing exceeds the incremental processing costs. .c. In many industries, a number of end-products are produced from a single raw material and a common process. These multiple end-products are referred to as joint products. .d. All costs incurred prior to the point at which the two products are separately identifiable (the split-off point) are called joint costs. .e. Joint product costs must be allocated to individual products, frequently done based on the relative sales value of the joint products. .f. The allocation of joint product costs is important for the determination of product cost but is irrelevant for any sell-or-process-further decisions since these joint costs are sunk costs. They have already been incurred and cannot be avoided by any subsequent decision. 7. Retain or replace equipment. .a. Management often has to decide whether to continue using an asset or replace it. .b. The relevant items to be considered are: .(1) The effects on variable costs. .(2) The cost of the new equipment. .c. Any disposal value of the existing asset must also be considered. .d. The book value of the old asset does not affect the decision. Book value is a sunk cost, which is a cost that cannot be changed by any present or future decision. 8. Eliminate an unprofitable segment. .a. In deciding whether to eliminate an unprofitable segment, the relevant information is the contribution margin produced by the segment and the disposition of the segment's fixed expenses. .b. In deciding on the future status of an unprofitable segment, management should consider the effect of elimination on related segments. c. Management should also consider the effect of eliminating the segment on employees who may have to be discharged or retrained. 9. Limited resources. .a. When a company has limited resources, it is necessary to find the contribution margin per unit of limited resource. .b. This amount is then multiplied by the units of limited resource to determine which product maximizes net income. 20 MINUTE QUIZ Circle the correct answer. True/False .1. Determining and evaluating possible courses of action is a step in management's decision-making process. .True False .2. In incremental analysis fixed costs may not change under alternative courses of action, while variable costs may change. .True False .3. The relevant information to consider in accepting an order at a special price are the additional manufacturing costs incurred and expected revenues. .True False .4. The basic decision rule to sell or process further is: process further as long as the incremental revenue from such processing exceeds the incremental processing costs. .True False .5. Book value is a sunk cost and is therefore relevant in incremental analysis of retain or replace equipment. .True False 2. 6. Fixed manufacturing costs will never be relevant in a make or buy decision. True False .7. Opportunity costs are costs that have already been incurred and will not be avoided by any future decision. .True False .8. In deciding on the future status of an unprofitable segment, management should consider the effect of elimination on related product lines. .True False 3. 9. Joint product costs are relevant for any sell-or-process further decisions. True False 10. Contribution margin per unit of limited resource is obtained by dividing the contribution margin per unit of each product by the number of units of the limited resource required for each product. True False Multiple Choice 1. Which of the following is not a step in management's decision-making process? .a. Identify the problem and assign responsibility. .b. Determine and evaluate possible courses of action. .c. Make a decision. .d. Prepare financial statements. 2. If revenues are $315,000 under alternative A and $324,000 under alternative B, and costs are $285,000 for A and $306,000 for B, then using the basic approach in incremental analysis, incremental revenues, costs, and net income, in comparing B to A are respectively $9,000, $(21,000), $(12,000). $(9,000), $21,000, $12,000. $9,000, $21,000, $12,000. $(9,000), $(21,000), $(12,000). The cost to manufacture an unfinished unit is $120 ($90 variable, $30 fixed). The selling price per unit is $150. The company has unused productive capacity and has determined that units could be finished and sold for $195 with an increase in variable costs of 40%. What is the additional net income per unit to be gained by finishing the unit? $9. $30. $45. $36. The potential benefit that may be obtained from following an alternative course of action is called opportunity benefit. opportunity cost. relevant cost. sunk cost. In order to maximize net income, a company should produce and sell the product with the highest contribution margin ratio. contribution margin per unit. contribution margin per unit of limited resource. weighted average unit contribution margin. .a. .b. .c. .d. 3. .a. .b. .c. .d. 4. .a. .b. .c. .d. 5. .a. .b. .c. .d. ANSWERS TO QUIZ True/False 1. 2. 3. 4. 5. 1. True 6. False 2. True 7. False 3. True 8. True 4. True 9. False 5. False 10. True Multiple Choice 1. 2. 3. 4. 5. 1. d. 2. a. 3. a. 4. b. 5. c. ILLUSTRATION 6-1 MANAGEMENT'S DECISION-MAKING PROCESS ILLUSTRATION 6-2 TYPES OF INCREMENTAL ANALYSIS ILLUSTRATION 6-3 INCREMENTAL ANALYSIS--SPECIAL ORDER PROPOSAL . Will you accept a special order from a foreign company for an additional 2,000 units at a price of $22/unit? Yes . No . Those of you who said "yes," would you accept the order at $19/unit? Yes . No . Those of you who said "yes," would you accept the order at $15/unit? Yes No With Special Order Without Special Order Sales $250,000 Variable costs (160,000) Fixed costs (40,000) Net income $ 50,000 Change in revenue Change in costs Change in net income $22 $294,000 (192,000) (40,000) $ 62,000 $44,000 32,000 $12,000 $19 $288,000 (192,000) (40,000) $ 56,000 $38,000 32,000 $ 6,000 $15 $280,000 (192,000) (40,000) $ 48,000 $30,000 32,000 $ (2,000 ) ILLUSTRATION 6-4 (Continued) INCREMENTAL ANALYSIS--MAKE OR BUY Direct materials Direct labor Variable manufacturing Make $ 60,000 85,000 40,000 Buy $ 0 0 0 Net Income Increase (Decrease) $ 60,000 85,000 40,000 overhead Fixed manufacturing overhead Buy units (5,000 at $50/unit) Total annual costs a. "Make" and save $30,000. Increase (Decrease) $ (30,000 ) 36,000 $ 6,000 90,000 0 $275,000 55,000 250,000 $305,000 35,000 (250,000) $ (30,000 ) Total annual costs Opportunity cost Make $275,000 36,000 $311,000 Buy $305,000 0 $305,000 Opportunity costs are additional costs added to "make" or reduction of costs subtracted from "buy." b. "Buy" and save $6,000.

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South Central College - ACC - 210
CHAPTER 11Standard Costs and Balanced ScorecardASSIGNMENT CLASSIFICATION TABLEStudy Objectives 1. Distinguish between a standard and a budget. Identify the advantages of standard costs. Describe how standards are set. State the formulas for determ
South Central College - ACC - 210
CHAPTER 12Planning for Capital InvestmentsASSIGNMENT CLASSIFICATION TABLEStudy Objectives 1. Discuss the capital budgeting evaluation process, and explain what inputs are used in capital budgeting. Describe the cash payback technique. Explain the
South Central College - ACC - 210
CHAPTER 8PricingASSIGNMENT CLASSIFICATION TABLEStudy Objectives *1. Compute a target cost when a product price is determined by the market. Compute a target selling price using cost-plus pricing. Use time and material pricing to determine the cost
South Central College - ACC - 210
CHAPTER 5Cost-Volume-ProfitASSIGNMENT CLASSIFICATION TABLEStudy Objectives * 1. Distinguish between variable and fixed costs. * 2. Explain the significance of the relevant range. * 3. Explain the concept of mixed costs. * 4. List the five componen
South Central College - ACC - 210
CHAPTER 2Job Order Cost AccountingASSIGNMENT CLASSIFICATION TABLEStudy Objectives 1. Questions Brief Exercises Exercises A Problems B ProblemsExplain the characteristics 1, 2, 3, 4 and purposes of cost accounting. Describe the flow of costs in a
South Central College - ACC - 210
CHAPTER 1Managerial AccountingASSIGNMENT CLASSIFICATION TABLEStudy Objectives *1. Explain the distinguishing features of managerial accounting. Identify the three broad functions of management. Define the three classes of manufacturing costs. Dist
South Central College - ACC - 220
TEST BANKto accompanyFINANCIAL ACCOUNTINGJERRY J. WEYGANDTPh.D., C.P.A. Arthur Andersen Alumni Professor of Accounting University of Wisconsin-Madison Madison, WisconsinDONALD E. KIESOPh.D., C.P.A. KPMG Peat Marwick Emeritus Professor of Acc
South Central College - ACC - 220
Final Exam: Chapters 1-15 Financial Accounting, Fifth EditionName _ Instructor _ Section # _ Date _Part Points ScoreI 90II 25III 14IV 15V 12VI 15VII 14VIII 15Total 200PART I - MULTIPLE CHOICE (90 points) Instructions Designate
South Central College - ACC - 210
APPENDIX A STUDY OBJECTIVES1. DISTINGUISH BETWEEN SIMPLE AND COMPOUND INTEREST. 2. SOLVE FOR FUTURE VALUE OF A SINGLE AMOUNT. 3. SOLVE FOR FUTURE VALUE OF AN ANNUITY. 4. IDENTIFY THE VARIABLES FUNDAMENTAL TO SOLVING PRESENT VALUE PROBLEMS. 5. SOLVE
South Central College - ACC - 220
COMPREHENSIVE EXAMINATION D(Chapters 13 - 15)ProblemD-I D - II D - III D - IV D-VTopicMultiple Choice . Comparative Analysis . Statement of Cash Flows .. Irregular Items . Calculation of Ratios . Checking Work .Points20 20 27 7 26 100Appr
South Central College - ACC - 220
Comprehensive Examination CC-1COMPREHENSIVE EXAMINATION C(Chapters 10 - 12)ProblemC-I C - II C - III C - IV C-V C - VITopicMultiple Choice . Ratios .. Corporation Entries . Bonds Payable . Plant Asset Depreciation and Disposal Entries Depr
South Central College - ACC - 220
APPENDIX FOTHER SIGNIFICANT LIABILITIESSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 11. 12. 13. 14. 31. 32. 37. SO 1 1 1 1 1 1 1 1,3 1 BT K K C K K K AP AP K Item 3. 4. 15. 16. 17. 18. 33. 34. 38. SO 1 1 1 1 1 1 1 1,3 2 BT Ite
South Central College - ACC - 220
APPENDIX DPAYROLL ACCOUNTINGSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 11. 12. 13. 14. 28. 29. 36. SO 1 1 1 1 1 1 1 2 2 BT C C K K K K AP AP K Item 3. 4. 15. 16. 17. 18. 30. 31. 37. SO 1 1 1 2 2 2 2,3 2,3 3 BT Item SO BT Ite
South Central College - ACC - 220
. COMPREHENSIVE EXAMINATION A(CHAPTERS 1 - 5)ProblemA-I A - II A - III A - IV A-V A - VI A - VIITopicMultiple Choice . Matching . Adjusting Entries .. Closing Entries . Journal Entries . Multiple-Step Income Statement . Correcting Entries .. C
South Central College - ACC - 220
APPENDIX CTIME VALUE OF MONEYSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 11. 12. 13. 14. 15. 16. 17. 46. 47. 48. 59. SO 1 1 1 2 2 2 2 3 3 2 2 2,3 3 BT K K K C AP K K C AP AP AP E K Item 3. 4. 18. 19. 20. 21. 22. 23. 24. 49. 5
South Central College - ACC - 220
COMPREHENSIVE EXAMINATION B(CHAPTERS 6 - 9)ProblemB-I B - II B - III B - IV B-V B - VI B - VII B - VIIITopicMultiple Choice . Computation of Net Purchases/Cost of Goods Sold .. Internal Control over Cash Receipts and Disbursements . Bank Recon
South Central College - ACC - 220
APPENDIX ESUBSIDIARY LEDGERS AND SPECIAL JOURNALSSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 21. 22. 23. 24. 25. 26. 27. 28. 29. 66. 67. 68. 79. 80. SO 1 1 1 1 1 1 1 1 1 2 2 2 2 1 1 2 1 2 BT K K K C K K K C K K K C K AN
South Central College - ACC - 220
South Central College - ACC - 220
South Central College - ACC - 220
CHAPTER 1ACCOUNTING MATTERS!SUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 58. 59. 60. 61. 146. 147. 148. 149. 150. 151. 171. 172. SO 1 1 1 2
South Central College - ACC - 220
CHAPTER 2THE RECORDING PROCESSSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 132. 133. 134. 135. 136. 154. 155. SO 1 1 1 1 2 2 2 2 1 1
South Central College - ACC - 220
CHAPTER 3ADJUSTING THE ACCOUNTSSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 135. 136. 137. 138. 139. 140. SO 1 1 1 1 1 2 2 2 1 1
South Central College - ACC - 220
CHAPTER 4COMPLETION OF THE ACCOUNTING CYCLESUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 130. 131. 132. 133. 134. 153. 154. 155.aS
South Central College - ACC - 220
CHAPTER 5ACCOUNTING FOR MERCHANDISING OPERATIONSSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 9. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 58. 59. 60. 61. 135. 136. 137. 138. 155. 156. SO 1 1
South Central College - ACC - 220
CHAPTER 6INVENTORIESSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 34. 35. 36. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 119. 120. 121. 122. 123. 140. 141. 155. 156.aSO 1 1 1 1 1 2 2 1 1 1 1 1 1 1
South Central College - ACC - 220
CHAPTER 7ACCOUNTING PRINCIPLESSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 124. 125. 126. 127. 143. 144. 145. SO 1 1 1 1 1 2 2 2 1 1 1 1
South Central College - ACC - 220
CHAPTER 8INTERNAL CONTROL AND CASHSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 130. 131. 0. 132. 133. 134. 151. 152. 153. 154. SO 1
South Central College - ACC - 220
CHAPTER 9ACCOUNTING FOR RECEIVABLESSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 57. 134. 135. 136. 137. 138. 156. 157. 158. SO 1 1 1
South Central College - ACC - 220
CHAPTER 10PLANT ASSETS, NATURAL RESOURCES, AND INTANGIBLE ASSETSSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 57. 58. 59. 60. 61. 62. 63. 64. 65. 66. 67. 68. 69. 70. 71. 72. 73. 74. 75. 76. 77.
South Central College - ACC - 220
CHAPTER 11LIABILITIESSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 51. 52. 53. 54. 55. 56. 57. 58. 59. 60. 61. 62. 63. 64. 65. 66. 67. 68. 69. 143. 144. 145. 146. 147. SO 1 1 1 1 2 2 2 2 2 2 1 1 1 1 1 1
South Central College - ACC - 220
CHAPTER 12CORPORATIONS: ORGANIZATION, STOCK TRANSACTIONS, DIVIDENDS AND RETAINED EARNINGSSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 12
South Central College - ACC - 220
CHAPTER 13REPORTING AND ANALYZING INVESTMENTSSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 32. 33. 34. 35. 36. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 106. 107. 108. 121. 122. 123. 138. 139. SO 1 1 2 2 2 2 2 1 1
South Central College - ACC - 220
CHAPTER 14THE STATEMENT OF CASH FLOWSSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 123. 124. 125. 126. 127. 144. 145. 146.aSO 1 1 1 1
South Central College - ACC - 220
CHAPTER 15FINANCIAL STATEMENT ANALYSISSUMMARY OF QUESTIONS BY OBJECTIVES AND BLOOM'S TAXONOMYItem 1. 2. 3. 4. 5. 6. 7. 8. 37. 38. 39. 40. 41. 42. 43. 44. 45. 46. 47. 48. 49. 50. 51. 52. 53. 54. 55. 56. 137. 138. 139. 140. 141. 142. 163. 164. 165.
South Central College - ACC - 220
Achievement Test 1: Chapters 1 and 2 Financial Accounting, 5eName _ Instructor _ Section # _ Date _Part Points ScoreI 54II 26III 10IV 10Total 100PART I - MULTIPLE CHOICE (54 points) Instructions: Designate the best answer for each of
South Central College - ACC - 220
Achievement Test 2: Chapters 3 and 4 Financial Accounting, 5eName _ Instructor _ Section # _ Date _Part Points ScoreI 39II 12III 24IV 8V 17Total 100PART I - MULTIPLE CHOICE (39 points) Instructions: Designate the best answer for eac
South Central College - ACC - 220
Achievement Test 3: Chapters 5 and 6 Financial Accounting, 5eName _ Instructor _ Section # _ Date _Part Points ScoreI 36II 26III 18IV 10V 10Total 100PART I - MULTIPLE CHOICE (36 points) Instructions: Designate the best answer for ea
South Central College - ACC - 220
Achievement Test 4: Chapters 7 and 8 Financial Accounting, 5eName _ Instructor _ Section # _ Date _Part Points ScoreI 30II 10III 20IV 10V 10VI 10VII 10Total 100PART I - MULTIPLE CHOICE (30 points) Instructions: Designate the bes
South Central College - ACC - 220
Achievement Test 5: Chapters 9 and 10 Financial Accounting, 5eName _ Instructor _ Section # _ Date _Part Points ScoreI 24II 18III 5IV 10V 13VI 15VII 15Total 100PART I - MULTIPLE CHOICE (24 points) Instructions: Designate the bes
South Central College - ACC - 220
Achievement Test 6: Chapters 11-13 Financial Accounting, 5eName _ Instructor _ Section # _ Date _Part Points ScoreI 40II 14III 6IV 12V 6VI 6VII 16Total 100PART I - MULTIPLE CHOICE (40 points) Instructions: Designate the best ans
South Central College - ACC - 220
Achievement Test 7 Chapters 14-15 Financial Accounting, Fifth EditionName _ Instructor _ Section # _ Date _Part Points ScoreI 32II 12III 20IV 24V 12Total 100PART I -- MULTIPLE CHOICE (32 points) Instructions Designate the best answe
South Central College - ACC - 220
South Central College - ACC - 220
South Central College - ACC - 220
South Central College - ACC - 220
Berkeley - PEIS - 100
9.26.06 Lecture Writers all had some aspect of morality in their writings.even if it was different from ours Mercantile system: grew up requiring that government maintained favorable balance of trade.import few goods and protect their own wealth, and
Berkeley - PEIS - 100
m10.19.06 Lecture Mill, Tocqueville, Veblen All deal with industrialization Mill p. 16 "No society in which these liberties are not on the whole respected is free." Freedom is pursuing our own good in our own way, not impeding others to do the same.
Berkeley - PEIS - 100
10.31.06 Karl Marx Dont really think of him in the same category as other liberal political economists. Makes a critique of liberalism, even though his own idea of political economy has elements of it. Proposes the solution (communist manifesto) befo
Berkeley - PEIS - 100
"Challenges to and critiques of Euro-centric conceptions of capitalism" historical context and the problem of generalization the problem of the unit of analysis: from national to global perspective Historical context and the problem of generalization
Berkeley - PEIS - 100
Marxist Debates about "imperialism" in the run-up to the Bolshevik Revolution (1917-18) 1. The emergence of social reformism and Marxist defense of "imperialism" a. R. Hilferding, E. Bernstein, K. Kautsky) - ultraimperialsm 2. The radicals and the op
Berkeley - PEIS - 100
Malthus: Took a very practical perspective on political atmosphere Very violent time in Europe from 1780s-1815. Govnt was spending a lot of money to finance the war, therefore increasing inflation. France embargoed british isles, which made it diffic
Berkeley - PEIS - 100
12-7-06 Final: three short answers.answer 2 from last midterm to present and two essay questions.whole course. CURRENT EVENTS. Schumpeter-pg. 90.a purely capitalist world can offer no fertile soil to imperialist impulses. That does not mean it cannot
Berkeley - PEIS - 100
9/7/06 Lecture Regicide led to commonwealth Interregnum an effort to rewrite the English constitution by the parliament to deal with competing interests between monarchy and army. A protectorate is created till 1659. Hobbes-is this a return to the st
Berkeley - PEIS - 100
Marx's thinking on value: Original idea of the value of an object or a commodity consists of: the natural contribution, as well as the labor expended to make the raw material into the object. Now that there is capitalism, is the way that value is det
Berkeley - PEIS - 100
Dec. 14 5-8 PM 100 GPB-final Keynes-probably the most influential economist in the 1900s, after Milton Friendman Bridge between classical economists and contemporary theories. "The general theory of employment, theory, and money" Three questions: 1.
Santa Clara - FNCE - 125
Solutions to Chapter 7 Net Present Value and Other Investment Criteria NPV = $6,750 + $4,500 + $18,000 = $15,750 NPV= $6,750 NPV= $6,75015.a.r = 0% r = 50% r = 100%$4,500 1.50 $4,500 2.00$18,000 1.502 $18,000 2.002$4,250 $0b.IRR = 100
Santa Clara - FNCE - 125
Solutions to Chapter 6 Valuing Stocks 1. No, this does not invalidate the dividend discount model. The dividend discount model allows for the fact that firms may not currently pay dividends. As the market matures, and Amazon's growth opportunities mo
Santa Clara - FNCE - 125
Solutions to Chapter 5 Valuing Bonds1.a.Coupon rate = 6%, which remains unchanged. The coupon payments are fixed at $60 per year. When the market yield increases, the bond price will fall. The cash flows are discounted at a higher rate. At a lo
Santa Clara - FNCE - 125
Solutions to Chapter 1 The Corporation and the Financial Manager1.Investment decisions: Should a new computer be purchased? Should the firm develop a new drug? Should the firm shut down an unprofitable factory? Financing decisions: Should the fir
Santa Clara - MGMT - 80
CHAPTER 4 SUMMARY 1. The term ethics refers to accepted principles of right or wrong that govern the conduct of a person, the members of a profession, or the actions of an organization. Business ethics are the accepted principles of right or wrong go
Santa Clara - MGMT - 80
CHAPTER 2 SUMMARY 1. Political systems can be assessed according to 2 dimensions: a. The degree to which they emphasize collectivism as opposed to individualism b. The degree to which they are democratic or totalitarian 2. Collectivism is an ideology