Devry Acct 505 Entire Course (Devry)

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DEVRY ACCT 505 Entire Course (DEVRY)

http://www.storehomework.com/products/acct-505?pagesize=12

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ACCT 505 Week 1-7 All Discussion Questions

* Cost Terms, Classifications, and Behavior
* Research and Application
* Job Order and Process Costing Systems
* Research and Application
* Variable Costing and CVP Concepts
* Research and Application
* Budgeting Case Study
* Exam Review
* Standards, Variances, Flexible Budgets
* Research and Application
* Segment Reporting and Relevant Costs
* Research and Application
* Capital Budgeting
* Exam Review

ACCT 505 Week 1 Case Study

ACCT 505 Week 2 Quiz Job Order and Process Costing Systems

ACCT 505 Week 3 Case Study II

ACCT 505 Week 4 Midterm Exam

ACCT 505 Week 5 Measuring Performance - Course Project A

ACCT 505 Week 6 Quiz Segment Reporting and Relevant Costs for Decisions

ACCT 505 Week 7 Capital Budgeting Course Project

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ACCT 505 Final Exam Guide (DEVRY)

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ACCT 505 Final Exam Guide (DEVRY)

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ACCT 505 Week 1 Case Study (DEVRY)

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Top Switch Inc. designs and manufactures switches used in telecommunications. Serious flooding throughout the state of Tennessee affected Top Switch’s facilities. Inventory was completely ruined, and the company’s computer system, including all accounting records, was destroyed.

Before the unfortunate incident, recovery specialists cleaned the buildings. The company controller is very nervous and anxious to recover whatever records he can to support the insurance claim for the destroyed inventory. After consulting with the cost accountant, they decide to retrieve the previous year’s annual report for the beginning inventory numbers. In addition, they also agreed that they need first quarter cost data.

The cost accountant was working on the first quarter results before the storm hit, and to his surprise, the report was still in his desk drawer. After reviewing the data , the information shows the following information: Material purchases were $ 325,000; Direct Labor was $ 220,000. Further discussions between the controller and the cost accountant revealed that sales were $ 1,350,000 and the gross margin was 30% of sales. The cost accountant also discovered, while sifting through the information, that cost of goods available for sale was $ 1,020,000 at cost. While assessing the damage, the controller determined that the prime costs were $ 545,000 up to the time of the damage and that manufacturing overhead is 65% of conversion cost. The cost accountant is not sure about all of this, but he decides to see what he can do with the information.

The beginning inventory numbers are as follows:

Raw Materials, $ 41,000
Work in Process, $ 56,000
Finished Goods, $ 35,000

Required:

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ACCT 505 Week 1-7 All Discussion Questions (DEVRY)

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Week 1 DQ 1 Cost Terms, Classifications, and Behavior

Week 1 DQ 2 Research and Application

Week 2 DQ 1 Job Order and Process Costing Systems

Week 2 DQ 2 Research and Application

Week 3 DQ 1 Variable Costing and CVP Concepts

Week 3 DQ 2 Research and Application

Week 4 DQ 1 Budgeting Case Study

Week 4 DQ 2 Exam Review

Week 5 DQ 1 Standards, Variances, Flexible Budgets

Week 5 DQ 2 Research and Application

Week 6 DQ 1 Segment Reporting and Relevant Costs

Week 6 DQ 2 Research and Application

Week 7 DQ 1 Capital Budgeting

Week 7 DQ 2 Exam Review

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ACCT 505 Week 2 Quiz Job Order and Process Costing Systems (DEVRY)

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1.

Question :

(TCO F) For which situation(s) below would an organization be more likely to use a job-order costing system of accumulating product costs rather than a process costing system?

2.

Question :

(TCO F) Process costing would be appropriate for each of the following except:

3.

Question :

(TCO F) Lucas Company uses the weighted-average method in its process costing system. The company adds materials at the beginning of the process in the Forming Department, which is the first of two stages in its production process. Information concerning operations in the Forming Department in October follows:

Units

Material Cost

Work in process on October 1

6,000

$3,000

Units started in October

50,000

$25,560

Units completed and transferred to next Department during October

44,000

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ACCT 505 Week 3 Case Study II (DEVRY)

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Springfield Express is a luxury passenger carrier in Texas. All seats are first class, and the following data are available:

Number of seats per passenger train car

90

Average load factor (percentage of seats filled)

70%

Average full passenger fare

$160

Average variable cost per passenger

$70

Fixed operating cost per month

$3,150,000

What is the break-even point in passengers and revenues per month? What is the break-even point in number of passenger train cars per month? If Springfield Express raises its average passenger fare to $ 190, it is estimated that the average load factor will decrease to 60 percent. What will be the monthly break-even point in number of passenger cars? (Refer to original data.) Fuel cost is a significant variable cost to any railway. If crude oil increases by $ 20 per barrel, it is estimated that variable cost per passenger will rise to $ 90. What will be the new break-even point in passengers and in number of passenger train cars? Springfield Express has experienced an increase in variable cost per passenger to $ 85 and an increase in total fixed cost to $ 3,600,000. The company has decided to raise the average fare to $ 205. If the tax rate is 30 percent, how many passengers per month are needed to generate an after-tax profit of $ 750,000? (Use original data). Springfield Express is considering offering a discounted fare of $ 120, which the company believes would increase the load factor to 80 percent. Only the additional seats would be sold at the discounted fare. Additional monthly advertising cost would be $ 180,000. How much pre-tax income would the discounted fare provide Springfield Express if the company has 50 passenger train cars per day, 30 days per month? Springfield Express has an opportunity to obtain a new route that would be traveled 20 times per month. The company believes it can sell seats at $ 175 on the route, but the load factor would be only 60 percent. Fixed cost would increase by $ 250,000 per month for additional personnel, additional

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ACCT 505 Week 4 Midterm Exam (DEVRY)

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1.

Question :

(TCO A) Wages paid to an assembly line worker in a factory are a

2.

Question :

(TCO A) A cost incurred in the past that is not relevant to any current decision is classified as a(n)

3.

Question :

(TCO A) Depreciation of office buildings and office equipment is also known as

4.

Question :

(TCO A) When the activity level is expected to increase within the relevant range, what effects would be anticipated with respect to each of the following?

5.

Question :

(TCO F) Which of the following statements is true?

I. Overhead application may be made slowly as a job is worked on.

II. Overhead application may be made in a single application at the time of completion of the job.

III. Overhead application should be made to any job not completed at year end in order to properly value the work in process inventory.

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ACCT 505 Week 5 Measuring Performance - Course Project A (DEVRY)

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Prepare a master budget for the three-month period ending June 30. Include the following detailed budgets:

· 1.

oa. A sales budget, by month and in total.

ob. A schedule of expected cash collections from sales, by month and in total.

oc. A merchandise purchases budget in units and in dollars. Show the budget by month and in total.

od. A schedule of expected cash disbursements for merchandise purchases, by month and in total.

· 2. A cash budget. Show the budget by month and in total. Determine any borrowing that would be needed to maintain the minimum cash balance of $50,000.

· 3. A budgeted income statement for the three-month period ending June 30. Use the contribution approach.

· 4. A budgeted balance sheet as of June 30.

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ACCT 505 Week 6 Quiz Segment Reporting and Relevant Costs for Decisions (DEVRY)

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Question :

(TCO D) Return on investment (ROI) is equal to the margin multiplied by

2.

Question :

(TCO D) For which of the following decisions are opportunity costs relevant?

The decision to make or buy a needed part

The desision to keep or drop a product line

(A)

Yes

Yes

(B)

Yes

No

(C)

No

Yes

(D)

No

No

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ACCT 505 Week 7 Capital Budgeting Course Project (DEVRY)

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Clark Paints: The production department has been investigating possible ways to trim total production costs. One possibility currently being examined is to make the paint cans instead of purchasing them. The equipment needed would cost $200,000 with a disposal value of $40,000 and would be able to produce 5,500,000 cans over the life of the machinery. The production department estimates that approximately 1,100,000 cans would be needed for each of the next five years.

The company would hire three new employees. These three individuals would be full-time employees working 2,000 hours per year and earning $12.00 per hour. They would also receive the same benefits as other production employees, 18% of wages in addition to $2,500 of health benefits.

It is estimated that the raw materials will cost 25¢ per can and that other variable costs would be 5¢ per can. Since there is currently unused space in the factory, no additional fixed costs would be incurred if this proposal is accepted.

It is expected that cans would cost 45¢ per can if purchased from the current supplier. The company's minimum rate of return (hurdle rate) has been determined to be 12% for all new projects, and the current tax rate of 35% is anticipated to remain unchanged. The pricing for a gallon of paint as well as number of units sold will not be affected by this decision. The unit-of-production depreciation method would be used if the new equipment is purchased.

Required:

1. Based on the above information and using Excel, calculate the following items for this proposed equipment purchase:

Annual cash flows over the expected life of the equipment Payback period Annual rate of return Net present value Internal rate of return

2. Would you recommend the acceptance of this proposal? Why or why not. Prepare a short double spaced Word paper elaborating and supporting your answer.