Reference no: EM132254939

Questions -

Q1. For the FY 2018, Frederick Company had net sales of $800,000 and net income of $65,000, paid income taxes of $30,000, and had before tax interest expense of $20,000. Use this information to determine the Times Interest Earned Ratio.

Q2. The following financial information is for Annapolis Corporation are for the fiscal years ending 2019 & 2018 (all balances are normal):

Item/Account 2019 2018

Accounts Receivable $44,000 $34,000

Inventory 42,000 38,000

Net Sales (all credit) 410,000 350,000

Cost of Goods Sold 154,000 152,000

Net Income 27,200 24,800

Use this information to determine the accounts receivable average collection period for FY 2019.

Q3. Towson Manufacturing had a Work in Process balance of $114,000 on January 1, 2018. The yearend balance of Work in Process was $80,000 and the Cost of Goods Manufactured was $840,000. Use this information to determine the total manufacturing costs incurred during the fiscal year 2018.

Q4. During FY 2018, Towson Manufacturing had a beginning finished goods inventory of $17,000 & ending finished goods inventory of $17,500. Beginning work-in-process was $16,000 and ending work-in-process was 14,500. Factory overhead was $22,500. The total manufacturing costs amounted to $244,000. Use this information to determine the FY 2018 Cost of Goods Sold.

Q5. During FY 2019, Dorchester Company plans to sell Widgets for $10 a unit. Current variable costs are $7 a unit and fixed costs are expected to total of $187,000. Use this information to determine the number of units of Widgets for Dorchester to breakeven.