Exercise 6-4 (Algo) Basic Segmented Income Statement [LO6-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Selling price per unit Weedban $ 12.00 $ 2.90 Greengrow $31.00 $ 13.00 Variable expenses per unit Traceable fixed expenses per year $ 131,000 $ 38,000 Last year the company produced and sold 42,500 units of Weedban and 21,000 units of Greengrow. Its annual common fixed expenses are $105,000. Required:
Q: A company had the following cash flows for the year: (a) Purchased inventory, $60,000 (b) Sold…
A: Introduction: Investing activities are those which result in cash inflows or outflows due to the…
Q: On December 31, 2021, Maroon Co. leased an equipment with a cost of P2,000,000 to Green Co. for…
A: Residual value is of two types-one is guaranteed residual value and the other is unguaranteed…
Q: A firm expects to sell 24,700 units of its product at $10.70 per unit and to incur Variable costs…
A: Net income is the amount earned by a business after deducting all the expenses from the revenues.
Q: QUESTION S Matthew (48 at year-end) develops cutting-edge technology for SV, Inc. located in Silicon…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: . Prepare a merchandise purchases budget in bottles of vitamins for as many months as you can. Tiger…
A: A purchase budget is a budget prepared at the beginning of the period that involves the purchase…
Q: der of the chain, has established a banking relationship that provides a $200,000 line of credit to…
A: A cash budget is a forecast of a company's cash flows over a set period of time. This might be a…
Q: On December 31, 2021, Maroon Co. leased an equipment with a cost of P2,000,000 to Green Co. for…
A: In the case of lease accounting, the asset under the lease contract is a long-term asset to the…
Q: Gem Company classifies a portion of its retained earnings as appropriated for loss contingencies.…
A: Retained earning is the earning accumulated over a period of time. It is used for various purposes…
Q: Gold Estate is in the business of leasing new sophisticated equipment. As lessor, the entity expects…
A: Gross Investment in lease can be derived by using following formula: Gross Investment = (Lease…
Q: Production Budget Palmgren Company produces consumer products. The sales budget for four months of…
A:
Q: During March, a firm expects its total sales to be $162,000, its total variable costs to be $95,200,…
A: Ans. Contribution margin is calculated by deducting variable cost from total sales.
Q: a) How much (in dollars) is available to help balance future budgets? $ b) Calculate the budgetary…
A: a) balance future budgets : Total Fund Balance - Certain Transfers…
Q: First quarter Second quarter Third quarter Fourth quarter Deluxe Standard 11,000 90,000 14,200…
A: The sales budget is prepared at the beginning of the period that shows the sales units that take…
Q: An accounting policy requiring a corporation to capitalize any asset over $5,000 in value would be…
A: Accounting principles are the rules and guidelines that companies must follow when reporting…
Q: drive at Php 320 is equal to 7/5th of the profit obtained by selling the same flash drive at Php…
A: The cost price can be calculated by comparing the profits under the two alternatives.
Q: The Georgia Company sells inventory but also allows returns. Georgia sells items for $100 per item.…
A: Answer is option c) Debit to Refund Liability at Price
Q: Is there a financial impact on the total cost of the project, and if so, how much of an impact? The…
A: NOTES: Duration= 12months, Regular employees =7, Rate = 51 per hour, overhead rate = 150%, Working…
Q: On January 1, 2021, Maroon Company entered into a five-year nonrenewable operating lease, commencing…
A: The operating lease is a lease agreement where the lessee takes the assets on rent from the lessor…
Q: Using the following information, prepare a bank reconciliation_ • Bank balance: $7,651 • Book…
A: Introduction: Bank reconciliation statement: To Reconcile the balances between Bank book and Cash…
Q: 0. Aira invested ₱ 7,000.00, part at 4% and the remainder at 8% simple interest. How much is…
A: Interest means the extra amount which we received because of investment made and will be paid in…
Q: During the year ended December 31, 2021, Angel Company revealed the following events: a) A counting…
A: Prior period adjustments mean the correction of the accounting errors and omissions that are…
Q: Branson paid $537,100 cash for all of the outstanding common stock of Wolfpack, Inc., on January 1,…
A: In technical analysis, consolidation is described as an asset fluctuating between a well-known…
Q: On December 31, 2021, Maroon Co. leased an equipment with a cot of P2,000,000 to Green Co. for 5…
A:
Q: Debits always increase which accounts?
A: Introduction: Accounts: Accounts are classified in to 2 types: 1 ) Debit account 2 ) Credit account.…
Q: Grabie, is a transport network company operating in Metro Manila with a valid Certificate of Public…
A: Here discuss about the tax liability for certified public convenience (CPC) which incurred 3% taxes…
Q: Develop a personal cash budget for the next six months. Explain what you would do if there are…
A: A cash budget plan is an estimate of a company's earnings over a specific time period. This budget…
Q: What is the consequence of the purchases of a OPT-taxpayer from a VAT taxpayer?
A: VAT Taxpayer: In the European Community, the Value Added Tax, or VAT, is a wide ranging taxation…
Q: n which of the following situations should the consolidated financial statements be presented?…
A: Basic concept of Consolidation of accounts
Q: Ponderosa, Inc., produces wiring harness assemblies used in the production of semi-trailer trucks.…
A: The selling and administrative budget is prepared to estimate the costs to incurred to sell the…
Q: Following are transactions of Danica Company. December 13 Accepted a $9,500, 45-day, 8% note in…
A: Maturity amount of the Note = Face value of the Note + Total interest on the notes Where, Total…
Q: Summa Company revealed the following account balances on December 31, 2020: Accounts payable…
A: An income statement is a declaration of the organization's revenue and costs that results in a net…
Q: 1. In 2018, Delta Corporation bought a condominium unit on installment for the use of its executive.…
A: Fringe benefits tax (FBT) was a type of tax levied by businesses in lieu of benefits provided to…
Q: Production Budget FlashKick Company manufactures and sells soccer balls for teams of children in…
A: The production budget is prepared to estimate the number of units to be produced during the period.
Q: On June 1, 2021 Maroon Company entered into a 5-year nonrenewable lease, commencing on that date,…
A: As an operating lease, rent expense will be recognized uniformly over the 5-year term of the lease…
Q: Delicious Chocolates, Inc. has projected sales of 96,000 candles for 20Y4. The estimated January 1,…
A: Budgeted production (in units) = Projected sales + desired ending inventory - Beginning inventory
Q: Terminology Matching Continued
A: Details are written against terminology. I hope that would clear your doubt.
Q: On December 31, Pitts Manufacturing Company reports the following assets: Cash 50000 Work in…
A: GIVEN On December 31, Pitts Manufacturing Company reports the following assets: Cash 50000 Work…
Q: Accounting
A: Product pricing is a very crucial decision to be taken by the management. Different techniques such…
Q: Do you believe that the events immediately following GM's bankruptcy alleviated the concerns that…
A: Answer:- In the annual report of the GM. The corporation is recurring losses from the operations,…
Q: Pocono Cement Forms expects $1,120,000 in overhead during the next year. It does not know whether it…
A: Predetermined overhead rate = Expected overhead / Anticipated direct labor hours Or Predetermined…
Q: Interest rate implicit in the lease: 10% Unguaranteed residual value: P150,000 • Initial direct…
A: Under lease, residual value can be guaranteed or unguaranteed and any lease portion which is not…
Q: Emilio Corporation has the following information about the purchase of a new piece of equipment:…
A: GIVEN Emilio Corporation has the following information about the purchase of a new piece of…
Q: The following selected information is taken from the financial statements of Arnn Company for its…
A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Q: If a business had sales of $3,894,000 and a margin of safety of 20%, the break-even point in sales…
A: Introduction: Break even point: The point where there is no profit nor loss to the company for the…
Q: On January 1, 2014, KAR Co. . a lessee, signed a 10-year non cancelable lease for a machine…
A: Interest expense for first year of lease commencement = initial measurement of lease liability ×…
Q: Company E is a large manufacturer that treats its divisions as profit centers. Division X produces…
A: When the supplying division is operating at full capacity, the Minimum Transfer Price would be: =…
Q: . In 2018, Delta Corporation bought a condominium unit on installment for the use of its executive.…
A: GIVEN In 2018, Delta Corporation bought a condominium unit on installment for the use of its…
Q: The financial statement that is also known as the statement of financial position is called the:…
A: All four options given in the question are parts financial statements. An entity's financial…
Q: To record a receipt of payment in January for services not performed: $250 for February and $450 for…
A: The question is based on the concept of Financial Accounting. When any payment is received for…
Q: Question 5 To determine the scope of a bookkeeping clean-up engagement, you are reviewing the Client…
A: The Shareholder Equity of a corporation is shown on the balance sheet below the Liabilities section.…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
- Exercise 6-4 (Algo) Basic Segmented Income Statement [LO6-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow. Selling price per unit Variable expenses per unit Traceable fixed expenses per year Weedban $9.00 $ 2.60 $ 129,000 Product Greengrow $38.00 $12.00 $50,000 Last year the company produced and sold 40,000 units of Weedban and 23,500 units of Greengrow. Its annual common fixed expenses are $112,000. Required: Prepare a contribution format income statement segmented by product lines. Total Company Product Line Weedban GreengrowExercise 7-4 (Algo) Basic Segmented Income Statement [LO7-4] Royal Lawncare Company produces and sells two packaged products—Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Weedban Greengrow Selling price per unit $ 11.00 $ 35.00 Variable expenses per unit $ 3.10 $ 11.00 Traceable fixed expenses per year $ 135,000 $ 48,000 Last year the company produced and sold 38,500 units of Weedban and 25,000 units of Greengrow. Its annual common fixed expenses are $103,000. Required: Prepare a contribution format income statement segmented by product lines.Exercise 7-4 (Algo) Basic Segmented Income Statement [LO7-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost infor relating to the products follow: Selling price per unit Variable expenses per unit Traceable fixed expenses per year Product Weedban $11.00 $ 3.00 $ 130,000 Greengrow $39.00 $ 13.00 $ 40,000 Last year the company produced and sold 41,000 units of Weedban and 22,000 units of Greengrow. Its annual common fix expenses are $114,000. Required: Prepare a contribution format income statement segmented by product lines. $ Total Company 0 Product Line Weedban 0 $ 0 Greengrow 0 $ 0 0
- Exercise 7-4 (Algo) Basic Segmented Income Statement [LO7-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Selling price per unit Variable expenses per unit Traceable fixed expenses per year Product Greengrow Weedban $ 10.00 $ 37.00 $ 2.70 $ 137,000 $ 13.00 $ 38,000 Last year the company produced and sold 43,500 units of Weedban and 22,500 units of Greengrow. Its annual common fixed expenses are $96,000. Required: Prepare a contribution format income statement segmented by product lines. Sales Variable expenses Contribution margin Traceable fixed expenses Product line segment margin Common fixed expenses not traceable to products Net operating income Product Line Total Company Weedban Greengrow 0 0 0 0 $ 0 $ 0 $ 0Problem 5A-7 (Algo) Cost Behavior; High-Low Method; Contribution Format Income Statement [LO5-10] Morrisey & Brown, Limited, is the sole distributor of a product with growing sales. Its income statements for the three most recent months follow: Morrisey & Brown, Limited Income Statements For the Three Months Ended September 30 July Sales in units Sales Cost of goods sold Gross margin Selling and administrative expenses: Advertising expense Shipping expense Salaries and commissions Insurance expense Depreciation expense Total selling and administrative expenses Net operating income 4,750 $ 546,250 327,750 218,500 31,800 35,500 81,000 6,550 18,000 172,850 $ 45,650 August 5,250 $603,750 362,250 241,500 31,800 38,100 87,300 6,550 18,000 181,750 $ 59,750 September 5,750 $ 661,250 396,750 264,500 31,800 40,700 93,600 6,550 18,000 190,650 $ 73,850 Required: 1. By analyzing data from the company's income statements, classify each of its expenses (including cost of goods sold) as either…Exercise 6-4 (Algo) Basic Segmented Income Statement [LO6-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Last year the company produced and sold 35,500 units of Weedban and 24,000 units of Greengrow. Its annual common fixed expenses are $109,000. Required: Prepare a contribution format income statement segmented by product lines.
- ouTube Maps er 1 i 05 K ces Mc Graw MU Problem 1-21 (Algo) Traditional and Contribution Format Income Statements [LO1-6] Marwick's Planos, Incorporated, purchases planos from a large manufacturer for an average cost of $1,492 per unit and then sells them to retall customers for an average price of $2,600 each. The company's selling and administrative costs for a typical month are presented below. Costs Selling: Advertising Sales salaries and commissions. Delivery of pianos to customers Utilities Depreciation of sales facilities Administrative: 9°F ain showers Executive salaries Insurance Clerical Depreciation of office equipment During August, Marwick's Planos, Incorporated, sold and delivered 62 planos. Required 1 Required 2 Cost Formula Required: 1. Prepare a traditional format Income statement for August. 2. Prepare a contribution format Income statement for August. Show costs and revenues on both a total and a per unit basis down through contribution margin. $933 per month $4,790…Exercise 7-4 (Algo) Basic Segmented Income Statement [LO7-4] Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Selling price per unit Variable expenses per unit Traceable fixed expenses per year Product Sales Variable expenses Weedban $ 12.00 $ 2.20 $ 137,000 Last year the company produced and sold 41,000 units of Weedban and 17,500 units of Greengrow. Its annual common fixed expenses are $104,000. Contribution margin Traceable fixed expenses Product line segment margin Common fixed expenses not traceable to products Net operating income Required: Prepare a contribution format income statement segmented by product lines. Greengrow $ 34.00 $ 12.00 $ 35,000 $ Total Company Prev 0 Product Line 0 Weedban 0 $ 1 of 2 m 0 Greengrow 0 $ Next > 0 0Segment Reporting The XYZ Company produces and sells two products: The Riffs and The Raffs. Below is revenue and cost information to facilitate the development of a basic segmented income statement. Product Riffs Raffs Sales Price per unit $8.00 6.00 Variable Cost per unit $3.20 3.00 Traceable Fixed Costs $62,000 $44,000 It is expected that the company will incur $21,000 of common fixed expenses and unit sales are expected to be 12,000 of Riffs and 18,000 of Raffs. Required: Construct a Contribution Format Income Statement segmented by product line and company total.
- Required information Exercise 5-8 (Static) Prepare a Cost-Volume-Profit (CVP) Graph [LO5-8] [The following information applies to the questions displayed below.] Karlik Enterprises distributes a single product whose selling price is $24 per unit and whose variable expense is $18 per unit. The company's monthly fixed expense is $24,000. Exercise 5-8 (Static) Part 1 Required: 1. Prepare a cost-volume-profit graph for the company using sales volumes of zero units and 8,000 units. Note: Use the line tool to draw three lines (Total Sales Revenue, Fixed Expense, Total Expense). Each line should only contain the two endpoints. For your graph to grade correctly, you must enter the exact coordinates. Once all points have been plotted, click on the line (not individual points) and a tool icon will pop up. You can use this to enter exact co-ordinates for your points as needed. To remove a line from the graph, click on the line and select delete option. $200,000 Dollars $150,000 $100,000 $50,000…d Income Statement Saved Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and cost information relating to the products follow: Product Weedban Selling price per unit Variable expenses per unit Traceable fixed expenses per year 2$ 2$ $ 137,000 Greengrow 2$ $ 13.00 $ 32,000 9.00 37.00 3.00 Last year the company produced and sold 36,000 units of Weedban and 21,500 units of Greengrow. Its annual common fixed expenses are $112,000. Required: Prepare a contribution format income statement segmented by product lines. Product Line Total Weedban Greengrow Company 0. 2$ 2$ $4Unit sales (a) Selling price per unit Variable cost per unit Traceable fixed expense TB MC Qu. 12A-46 Woodridge Corporation manufactures numerous... Woodridge Corporation manufactures numerous products, one of which is called Alpha-32. The company has provided the following data about this product Multiple Choice $1,375,220 77,000 76.00 61.00 $1,323,000 $52.220 Help $ $ Management is considering increasing the price of Alpha-32 by 5%, from $76.00 to $79.80. The company's marketing managers estimate that this price hike would decrease unit sales by 5%, from 77,000 units to 73,150 units Assuming that the total traceable fixed expense does not change, what net operating income will product Alpha-32 earn at a price of $79.80 if this sales forecast is correct? Save & Exit