Chapter 3 Homework
1. What is the contribution margin income statement? How does it differ from the traditional income
The contribution margin income statement is the income statement that distinguishes the cost, variable
and fixed, and expense
Chapter 1 Homework
Please answer the following questions with some thought and write well. Use excel or word and save
your file with your bronco id number along with 307Ch_. Do not include your name on the file, as I will
1. How does manage
Chapter 2 Homework
1. What is a cost object?
Anything for which a cost measurement is desired.
For example the cost object is the product and it is the new BMW M5 coupe model.
2. What is a direct cost? indirect cost?
Particular cost objects that can be tr
Chapter 4 Homework
1. What is a cost pool?
Group of individual indirect cost items.
2. What is a cost-allocation base?
Systematic way to link an indirect cost or group of indirect cost to cost objects.
3. What is a job costing system?
Unique specialty uni
1.The SEC is concerned that auditors don't pay enough attention to qualitative factors
affecting materiality because:
Qualitative factors may cause quantitatively small misstatements to become
Quantitative factors are not always useful
1. The risk-based approach is used to assess:
Risk of audit failure
Whether a CPA's relationship with a client would pose an
unacceptable risk to Independence
Whether a CPA's scope of services poses an unacceptable
risk to Independence
Risk of fraud
Acc 305: Advanced AIS
Dr. Bob Hurt, C.F.E.
Systems, Applications, and Products in Data Processing
Name of the Company
Name of the Software
SAP ECC 6.04
SAP 2009 / Page 2
Founded in Walldorf
TITLE TRANSFER - meets 1st criterion for capital lease classification
lease price $479,079, lessor manufactured the lease at a cost of $300,000
6 years lease, 6 years useful life = also meets 3rd criterion for capital lease classification
use 6 years usef
Share-Based Compensation and
Earnings Per Share
Share-based awards are forms of payment whose value
tied to the market price of the companys stock
Share-based compensation plans include stock award
plans, stock option
The Nature of Pension Plans
Pension plans: Designed to provide income to
individuals during their retirement years
Accomplished by setting
aside funds during an
employees working years
The accumulated funds
and Error Corrections
Types of Accounting Changes
Correction of Errors
Reporting Accounting Changes and Error
Two approaches to report accounting changes and error corrections:
DISTRIBUTION OF DIVIDENDS TO PREFERRED SHAREHOLDERS
Paid-in Capital - Excess of Par, Common
Preferred Stock, 8% cumulative, nonparticipating
Paid-in Capital - Excess of Par, Preferred
DTL from REVENUE
- Installment income (books)
+ Installment income (tax)
recognized when earned in the I/S (books)
taxed on TR when cash is collected/ received
$ 140 $
Chapter 3: Applying Excel
Enter a formula into each of the cells marked with a ? below
Review Problem: Activity-Based Costing
Annual sales in units
Direct materials per unit
Direct labor-hours per unit
Chapter 8: Applying Excel
Exhibit 8-8: Standard Cost Card
Variable manufacturing overhead
Actual variable manufacturing overhead cost
Acoo rding Isothe activity- based costing, the manufacturing overhead should be apportioned in the
The Direct Material cost per u nit and the direct la hour cost per unit forthe I.Ialwes, pu mp5 and the
Sippican is facing the situation of products mature, declining profits and unable to decide the market
price in market.
Does Sippican need a new cost system?
Consider Sippican is a manufacturer company with multiple products, using simple cost accounti
1. What is the competition situation faced by Sippican?
It seems that Sippican is trying to match the price of their pumps product price in order to
compete the rest of the competitors and maintain their largest market share. However, because of
To calculate the revised the product cost based on the Activity-Based Cost (ABC) system,
we need to calculate some activities based on the relationship with indirect labor. From the case
described, 50% of the indirect labor costs are caused by Production
« show all steps
3 Problem: 6Q
:| Problem: 3Q
Step 1 of ‘l
Mail—order and telephone—order retail businesses are similar to online retailing. This is because these
businesses have the following similarities:
1) The customer
Chapter: CH 1 6 :| Problem: 1A 3 “ V " Show 51” Steps
CH1 5 Reading review questions.
a. List and discuss at least five characteristics of a professional ancii’or professional behavior. Where
possible, include a specific example of each charac
v‘ show all steps
:| Problem: 2A
Reading review probiem. The growth of information technology has been a positive force in busmess; but,
as with all innovations, it has a downside risk as well. Consider the follo
Chapter: CH9 3 Problem: 1A :| A V ‘2 show all steps
CH3 Reading review questions.
a. What is XEiRL'? How is it related to XML?
b. Deﬁne the following terms related to XB RL. speciﬁcation, taxonomy, instance document.
c. How can XBRL beneﬁt org
E-commerce: the use of the Internet, the Web, and apps to transact business. More formally,
digitally enabled commercial transactions between and among organizations and individuals.
E-business: the digital enabling of transactions and processes
Budget: detailed plan for the future that is usually expressed in formal quantitative terms.
Business process: series of steps that are followed in order to carry out some task in a business.
Chain of command: specifies superior and subordinate r