Question & Answer

The terms drying and curing have different meanings; indicate the distinction.

When is the cost of education deductible as an employee business expense?

Financial and non-financial measures Managers increasingly use a mixture of financial and non-financial measures for organisational performance.         Required In the following list of performance measures, identify those that are financial (F) and those that are non-financial (N).   (a)     Customer satisfaction ratings (b)     Market share (c)     Operating margin (d)     Return on sales (e)     Annual average purchase amount per customer (f)      Defect rate (g)     Normal spoilage (h)     Labour efficiency variance (i)      Number of new products developed annually (j)      Revenues from new products introduced this year

1.       As a manager, how might you deal with an employee who constantly displays negative emotions that affect the rest of the team? How might you use an understanding of attributions and emotional contagion to help you decide what to do?

The following facts relate to Duncan Corporation. 1. Deferred tax liability, January 1, 2014, $60,000. 2. Deferred tax asset, January 1, 2014, $20,000. 3. Taxable income for 2014, $105,000. 4. Cumulative temporary difference at December 31, 2014, giving rise to future taxable amounts, $230,000. 5. Cumulative temporary difference at December 31, 2014, giving rise to future deductible amounts, $95,000. 6. Tax rate for all years, 40%. No permanent differences exist. 7. The company is expected to operate profitably in the future. Instructions (a) Compute the amount of pretax financial income for 2014. (b) Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2014. (c) Prepare the income tax expense section of the income statement for 2014, beginning with the line “Income before income taxes.” (d) Compute the effective tax rate for 2014.

Chantal Stores sells merchandise on open account as well as on installment terms. 2014 2015 2016 Sales on account $385,000 $426,000 $525,000 Installment sales 320,000 275,000 380,000 Collections on installment sales Made in 2014 100,000 90,000 40,000 Made in 2015 110,000 140,000 Made in 2016 125,000 Cost of sales Sold on account 270,000 277,000 341,000 Sold on installment 214,400 176,000 228,000 Selling expenses 77,000 87,000 92,000 Administrative expenses 50,000 51,000 52,000 Instructions From the data above, which cover the 3 years since Chantal Stores commenced operations, determine the net income for each year, applying the installment-sales method of accounting. (Ignore interest charges.)

What does the degree of polymerization indicate?

A dowel pin made of steel (elastic modulus = 209,000 MPa) is to be press fitted into a steel collar. The pin has a nominal diameter of 16.0 mm, and the collar has an outside diameter of 27.0 mm. (a) Compute the radial pressure and the maximum effective stress if the interference between the shaft OD and the collar ID is 0.03 mm. (b) Determine the effect of increasing the outside diameter of the collar to 39.0 mm on the radial pressure and the maximum effective stress.

What are the various forms of extruded shapes and corresponding dies?

Hanson Company (see BE10-2) borrowed $1,000,000 on March 1 on a 5-year, 12% note to help finance construction of the building. In addition, the company had outstanding all year a 10%, 5-year, $2,000,000 note payable and an 11%, 4-year, $3,500,000 note payable. Compute the weighted-average interest rate used for interest capitalization purposes.

Ray Albertson is 72 years old and lives by himself in an apartment in Salt Lake City. Ray’s gross income for the year is $3,000. Ray’s support is provided as follows: himself (9 percent), his daughters Diane (20 percent) and Karen (15 percent), his sons Mike (20 percent) and Kenneth (10 percent), his friend Milt (14 percent), and his cousin Henry (12 percent).

Stanislaw Timber Company owns 9,000 acres of timberland purchased in 2003 at a cost of $1,400 per acre. At the time of purchase, the land without the timber was valued at $400 per acre. In 2004, Stanislaw built fire lanes and roads, with a life of 30 years, at a cost of $84,000. Every year, Stanislaw sprays to prevent disease at a cost of $3,000 per year and spends $7,000 to maintain the fire lanes and roads. During 2005, Stanislaw selectively logged and sold 700,000 board feet of timber, of the estimated 3,500,000 board feet. In 2006, Stanislaw planted new seedlings to replace the trees cut at a cost of $100,000. Instructions (a) Determine the depreciation expense and the cost of timber sold related to depletion for 2005. (b) Stanislaw has not logged since 2005. If Stanislaw logged and sold 900,000 board feet of timber in 2016, when the timber cruise (appraiser) estimated 5,000,000 board feet, determine the cost of timber sold related to depletion for 2016.

There are 11 correct answers in the following multiple choice questions (some questions have multiple answers that are correct). To attain a perfect score on the quiz, all correct answers must be given. Each correct answer is worth 1 point. Each omitted answer or wrong answer reduces the score by 1 point, andeach additional answer beyond the correct number of answers reduces the score by 1 point. Percentage on the quiz is based on the total number of correct answers. 33.1 Machining is never used for rapid prototyping because it takes too long: (a) true or (b) false? 33.2 Which of the following rapid prototyping processes starts with a photosensitive liquid polymer to fabricate a component (two correct answers): (a) ballistic particle manufacturing, (b) fuseddeposition modeling, (c) selective laser sintering, (d) solid ground curing, and (e) stereolithography? 33.3 Of all of the current material addition rapid prototyping technologies, which one is the most widely used: (a) ballistic particle manufacturing, (b) fused deposition modeling, (c) selective laser sintering, (d) solid ground curing, and (e) stereolithography? 33.4 Which one of the following RP technologies uses solid sheet stock as the starting material: (a) ballistic particle manufacturing, (b) fused-deposition modeling, (c) laminated-object manufacturing, (d) solid ground curing, or (e) stereolithography? 33.5 Which of the following RP technologies uses powders as the starting material (two correct answers): (a) ballistic particle manufacturing, (b) fused-deposition modeling, (c) selective laser sintering, (d) solid ground curing, and (e) three-dimensional printing? 33.6 Rapid prototyping technologies are never used to make production parts: (a) true or (b) false? 33.7 Which of the following are problems with the current material addition rapid prototyping technologies (three best answers): (a) inability of the designer to design the part, (b) inability to convert a solid part into layers, (c) limited material variety, (d) part accuracy, (e) part shrinkage, and (f) poor machinability of the starting material?

Referring back to Figure 10.8 on page 293, and assuming that the MRPL curve represents the marginal social benefit from the employment of a factor, and that the price of the factor represents its marginal social cost (i.e. assuming no externalities), show that a monopsony will employ less than the Pareto optimal amount of factors.

Outline the accounting procedures involved in applying the operating lease method by a lessee.

The two axes of an x-y positioning table are each driven by a stepping motor connected to a leadscrew with a 4:1 gear reduction. The number of step angles on each stepping motor is 200. Each leadscrew has a pitch = 5.0 mm and provides an axis range = 400.0 mm. There are 16 bits in each binary register used by the controller to store position data for the two axes. (a) What is the controlresolution of each axis? (b) What are the required rotational speeds and corresponding pulse train frequencies of each stepping motor in order to drive the table at 600 mm/min in a straight line from point (25,25) to point (300,150)? Ignore acceleration.

Brooke owns a sole proprietorship in which she works as a management consultant. She maintains an office in her home where she meets with clients, prepares bills, and performs other work-related tasks. The home office is 300 square feet, and the entire house is 4,500 square feet. Brooke incurred the following home-related expenses during the year. Brooke itemizes her deductions, and her itemized deduction for non-home business taxes is less than $10,000 by more than the real property taxes allocated to business use of the home. Unless indicated otherwise, assume Brooke uses the actual expense method to compute home office expenses.

The two axes of an x-y positioning table are each driven by a stepping motor connected to a leadscrew with a 10:1 gear reduction. The step angle on each stepping motor is 7.5°. Each leadscrew has a pitch = 5.0 mm and provides an axis range = 300.0 mm. There are 16 bits in each binary register used by the controller to store position data for the two axes. (a) What is the control resolution of each axis? (b) What are the required rotational speeds and corresponding pulse train frequencies of each stepping motor in order to drive the table at 600 mm/min in a straight line from point (25, 25) to point (100, 150)? Ignore acceleration.

According to the video on sheet-metal bending, what are the principal terms used to describe bending on a press brake?

On January 1, 2014, Pennington Corporation purchased 30% of the common shares of Edwards Company for $180,000. During the year, Edwards earned net income of $80,000 and paid dividends of $20,000. Instructions Prepare the entries for Pennington to record the purchase and any additional entries related to this investment in Edwards Company in 2014.

Condensed financial data of Pat Metheny Company for 2014 and 2013 are presented below. PAT METHENY COMPANY COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2014 AND 2013 2014 2013 Cash $1,800 $1,150 Receivables 1,750 1,300 Inventory 1,600 1,900 Plant assets 1,900 1,700 Accumulated depreciation (1,200) (1,170) Long-term investments (held-to-maturity) 1,300 1,420 $7,150 $6,300 Accounts payable $1,200 $ 900 Accrued liabilities 200 250 Bonds payable 1,400 1,550 Capital stock 1,900 1,700 Retained earnings 2,450 1,900 $7,150 $6,300 PAT METHENY COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2014 Sales revenue $6,900 Cost of goods sold 4,700 Gross margin 2,200 Selling and administrative expense 930 Income from operations 1,270 Other revenues and gains Gain on sale of investments 80 Income before tax 1,350 Income tax expense 540 Net income 810 Cash dividends 260 Income retained in business $ 550 Additional information: During the year, $70 of common stock was issued in exchange for plant assets. No plant assets were sold in 2014. Instructions Prepare a statement of cash flows using the indirect method.

What are the advantages of using restricted stock to compensate employees?

Springsteen Inc. reported in a recent annual report “Restricted cash for debt redemption.” What section of the balance sheet would report this item?

Moran owns a building he bought during year 0 for $150,000. He sold the building in year 6. During the time he held the building, he depreciated it by $32,000. What are the amount and character of the gain or loss Moran will recognize on the sale in each of the following alternative situations?    a. Moran received $145,000.  b. Moran received $170,000. c. Moran received $110,000.

Luke sold a building and the land on which the building sits to his wholly owned corporation, Studemont Corp., at fair market value. The fair market value of the building was determined to be $325,000; Luke built the building several years ago at a cost of $200,000. Luke had claimed $45,000 of depreciation on the building. The fair market value of the land was determined to be $210,000 at the time of the sale; Luke purchased the land many years ago for $130,000.      a. What are the amount and character of Luke’s recognized gain or loss on the building?  b. What are the amount and character of Luke’s recognized gain or loss on the land?