Reference no: EM131814061
Question - Prepare Budgeted Financial Statements
The following information is available for year 1for Dancer Components:
Revenues (300,000units) $5,700,000
Manufacturing costs
Material $ 336,000
Variable cash costs 284,800
Fixed cash costs 655,200
Depreciation (fixed) 1,998,000
Marketing and administrative costs
Marketing (variable, cash) 844,800
Marketing depreciation 299,200
Administrative (fixed, cash) 1,018,400
Administrative depreciation 149,600
All depreciation charges are fixed and are expected to remain the same for year 2. Sales volume is expected to increase by 18 percent, but prices are expected to fall by 5 percent. Material costs per unit are expected to decrease by 8 percent. Other unit variable manufacturing costs are expected to decrease by 2 percent per unit. Fixed manufacturing costs are expected to increase by 5 percent.
Variable marketing costs will change with volume. Administrative cash costs are expected to increase by 10 percent. Inventories are kept at zero. Dancer operates on a cash basis.
Required - Prepare a budgeted income statement for year 2.
Calculate macaulay duration and modified duration
: Corporate US Bonds 2% payable annually on a nominal value of $1,000 and maturing in 4 years. Calculate Macaulay duration-Modified duration.
|
Record all of mccabe transactions including depletion
: McCabe Oil Company has an account titled Oil and Gas Properties. McCabe paid $6, 200,000 for oil reserves holding an estimated 500,000 barrels of oil.
|
Discuss good earth products produces orange juice
: Good Earth Products produces orange juice and candied orange peels
|
Discuss implication of quality-adjusted life year allocation
: Discuss the implications of Quality-adjusted life years (QALY) allocation and Disability-adjusted life years (DALY) allocation.
|
Prepare a budgeted income statement
: All depreciation charges are fixed and are expected to remain the same for year 2. Prepare a budgeted income statement for year 2
|
Prepare performance budget
: Prepare performance budget that shows total cost for providing meals, shelter and medical care, as well as cost per meal, per night of shelter-per examination.
|
Appropriate accounting treatment for each activity
: With reference to the relevant accounting standards, recommend the appropriate accounting treatment for each of the above activities. Justify your answer.
|
How is the cost of an intangible asset determined
: How is the cost of an intangible asset determined, How is the useful life of an intangible asset determined
|
How to create evaluate and analyze the balance sheet
: How to Create, evaluate, and analyze the balance sheet. How to Perform vertical and horizontal analysis of the balance sheet.
|