Reference no: EM131206444
Suppose that you are a sales representative for a major office supply business and that you get paid a commission plus a yearly bonus if your sales exceed a certain amount. In addition to working full time, you are a student at XXX College majoring in Accounting. Even though you love being a student and you’re so happy with your choice of major, paying the tuition bill every quarter has been a financial challenge for you. On December 30th, you realize that if you can sell another $2000 of merchandise, you qualify for that much needed bonus. You also know that your company has a policy of accepting returned merchandise. Since you are such a good salesperson, you have very good relationships with all of the businesses that buy supplies from you. You really need that bonus, so you call one of your clients and ask them to buy $2000 of goods. The client tells you that he really doesn’t have a need for any merchandise for the next 6 months. You ask the client for a favor and tell him that if he buys the supplies he can return them in 2 weeks. The client agrees and tells you to ship the goods. On January 16, the client sends the goods back. Should the shipment made on December 30 count as a sale? Please make sure that you include information about the Revenue Recognition Principle in your post. Discuss the ethics of your action as a salesperson.
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Transactions for the just completed month
: Jurvin Enterprises recorded the following transactions for the just completed month. The company had no beginning inventories. $76,500 in raw materials were purchased for cash. $72,200 in raw materials were requisitioned for use in production.
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Consolidated balance for broadcast licenses
: On January 1, Prine, Inc., acquired 100 percent of Lydia Company’s common stock for a fair value of $121,526,000 in cash and stock. Lydia’s assets and liabilities equaled their fair values except for its equipment, which was undervalued by $580,000 a..
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The vacation benefits payable account
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Overtime premium pay-gross pay and the adjusting entry
: Pay rate is 19.70 per hour with an overtime rate of 1.5 times for hours over 40 in a workweek. He worked 44 hours. Calculate using the premium approach. Since the company holds back a week, what adjusting entry would they have to make in order to rec..
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Sales representative for major office supply business
: Suppose that you are a sales representative for a major office supply business and that you get paid a commission plus a yearly bonus if your sales exceed a certain amount. In addition to working full time, you are a student at XXX College majoring i..
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What is clydesdale companys profit margin
: The Clydesdale Company has sales of $4,500,000. It also has invested assets of $2,000,000 and operating expenses of $3,600,000. The company has established a minimum rate of return of 7%. What is Clydesdale Company's profit margin?
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The west regions costs were over or under budget
: Budgetary Performance for Cost Center Caroline Company's costs were over budget by $319,000. The company is divided into West and East regions. The East Region's costs were under budget by $47,500. Determine the amount that the West Region's costs we..
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What should its target unit variable cost? be
: Base? Line, Inc. makes tennis balls. The company can produce up to? 500,000 cans of balls per year. Current annual production is? 450,000 cans. Annual fixed costs total? $150,000. The variable cost of making and selling each can of balls is? $0.75. I..
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Partnership sold the securities
: On January 2, 2015, Henry, Cabot, and Lodge formed a three-person equal partnership with Henry and Cabot each contributing $100,000 and Lodge contributing securities with a basis to him of $60,000 and a fair market value of $100,000. On February 28, ..
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