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21) For maximum effectiveness sustainable strategies are often implemented at which stage of an organization's value chain? A) Design B) Production C) Distribution D) Research 22) A common definition of ________ is the ability to meet the needs of the present without compromising the ability of future generations to meet their own needs. A) environmental management.
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1) Sustainability is an expense item only. An organization choosing sustainability will see reduced profits. 2) Environmental sustainability should only be the concern of large multinational manufacturing corporations. 3) Sustainability considers not only the needs of the present generation, but also the needs of future generations. 4) Government grants and tax credits increase.
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39) Serenity Now Industries manufactures custom fiberglass hulls for luxury yachts and pleasure boats. The current cost accounting system uses machine hours to allocate manufacturing overhead to each job. Serenity estimates that in the coming year it will incur $600,000 in manufacturing overhead costs and use 8,000 machine hours. Depending on.
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97) Operating activities resulting from the sales of goods and services relate to A) retained earnings reported on the balance sheet. B) assets and liabilities reported on the balance sheet. C) the income statement. D) net income on the retained earnings statement. 98) All of the following would be done when calculating the change in.
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170) he following information relates to Harris Corporation. Account Current year Prior year Net sales (all credit) $520,125 $499,500 Cost of goods sold $375,960 $353,600 Gross profit $144,165 $145,900 Income from operations $ 95,500 $ 79,900 Interest expense $ 23,500 $ 19,500 Net income $ 57,600 $ 51,600 Cash $ 30,600 $ 15,900 Accounts receivable, net $ 33,800 $ 23,200 Inventory $ 42,000 $ 30,300 Prepaid expenses $ 2,000 $ 1,500 Total current assets $ 108,400 $ 70,900 Total long-term assets $ 62,000 $ 38,000 Total.
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117) A company uses the indirect method to prepare the statement of cash flows. It presents the following amounts on its financial statements. End of this year End of prior year Accounts receivable $115,000 $100,000 Cost of goods sold 560,000 Sales revenue 830,000 Accounts payable* 77,000 67,000 Inventory 90,000 105,000 Salary payable 12,000 10,000 Salary expense 49,000 45,000 *Relates solely to the acquisition of inventory What will appear in the operating.
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174) Use the direct method of cash flows to answer the question. Beginning A/R: $68,000Beginning Inventory: $42,500 Ending A/R: $79,000Ending Inventory: $47,000 Credit Sales: $745,000Beginning A/P: $29,000 Cost of Goods Sold: $412,000Ending A/P: $36,300 Compute the change in accounts receivable for the year. 175) Use the direct method of cash flows to answer the question. Beginning A/R:.
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11) Using a base year as 100% and expressing other years as a percentage of the base year is an example of A) trend analysis. B) vertical analysis. C) horizontal analysis. D) benchmarking. 12) Which type of analysis includes the computation of the percentage change in total assets between two balance sheet dates? A) Profitability B).
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74) For each of the following transactions indicate the effect on the cash balance. Use + for increase, - for decrease, and 0 for no effect. ________a.Payment of cash dividends ________b.Payment of interest ________c.Sale of treasury stock ________d.Conversion of debt to common stock ________e.Payment of accounts payable ________f.Payment of salaries.
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11) Which of the following is a reason an organization would pursue sustainability? A) To improve its competitive position B) To save money C) To appease shareholders D) All of the above 12) Environmental sustainability is the primary concern of which of the following types of organizations? A) Large domestic corporations B) Global service firms C) Manufacturing firms D).
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61) The ________ section from the statement of cash flows would include the issuance of a stock dividend. A) operating B) financing C) investing D) None of the above 62) Which of the following would be considered an operating activity on the statement of cash flows? A) Dividends paid to stockholders B) Gain on sale.
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127) The balance sheet for Bostick Corporation follows: Ending balance Beginning balance Assets: Current assets: Cash and cash equivalents $ 58,400 $ 44,600 Accounts receivable $ 19,000 $ 22,300 Inventory $ 48,900 $ 53,000 Total current assets $ 126,300 $ 119,900 Property, plant, and equipment $ 287,800 $ 275,300 Less accumulated depreciation $ 108,600 $ 101,550 Net property, plant, and equipment $ 179,200 $ 173,750 Total assets $ 305,500 $ 293,650 Liabilities and stockholders' equity: Current liabilities: Accounts payable $ 26,030 $ 29,580 Wages.
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61) Which of the following items represents monetary information in an environmental management accounting system? A) Kilowatt hours of electricity used B) Cost of upgrading factory equipment to reduce emissions C) Ratio of recycled trash to total trash D) Cost of janitorial services in office 62) What are the three elements of the "triple.
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172) The following information relates to Tappan Corporation. Account Current year Prior year Net sales (all credit) $ 52,000 $ 46,000 Cost of goods sold $ 25,000 $ 25,600 Gross profit $ 27,000 $ 20,400 Income from operations $ 9,000 $ 6,000 Interest expense $ 1,000 $ 7,000 Net income $ 6,000 $ 4,500 Cash $ 4,000 $ 3,500 Accounts receivable, net $ 8,000 $ 9,000 Inventory $ 13,000 $ 11,000 Prepaid expenses $ 500 $ 400 Total current assets $ 25,500 $ 23,900 Total long-term assets $.
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154) The following information relates to Truman Unlimited for the past two years. Account Current year Prior year Net sales (all credit) $219,000 $180,000 Cost of goods sold $125,000 $110,000 Gross profit $  94,000 $  70,000 Income from operations $  32,000 $  30,000 Interest expense $    2,000 $    7,000 Net income $  25,000 $  18,000 Cash $  25,000 $  17,000 Accounts receivable, net $  26,000 $  35,000 Inventory $  65,000 $  60,000 Prepaid expenses $    2,000 $    1,000 Total current assets $118,000 $113,000 Total long-term assets $162,750 $187,751 Total current.
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81) An EMA system only requires aggregated data to function effectively. 82) Traditional accounting systems focus on historical information, while EMA systems must also utilize future-oriented information. 83) Due to the relative infancy of environmental management accounting, the tools utilized are continuously being developed and improved. 84) For an EMA system to be.
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58) In performing a vertical analysis of a balance sheet, which of the following is generally used as the base amount? A) Total liabilities B) Net assets C) Total assets D) Total stockholder's equity 59) Vertical analysis would rarely be performed on which of the following? A) Income statement B) Schedule of depreciation C) Balance sheet D) All.
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51) A ________ is a measure of the total emissions of carbon dioxide and other greenhouse gases. A) carbon footprint B) waste footprint C) carbon mark D) water footprint 52) All of the following represent monetary information in an environmental management accounting system except A) cost of lumber used in tables. B) wages of workers needed to.
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76) For each of the following independent transactions, indicate the type of activity (operating, investing or financing) and the effect on cash (amount and increase or decrease). Transaction Type of Activity Effect on Cash a. Declared cash dividends of $21,000 during the current period. Dividends payable on January 1 were $1,700 and on December.
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169) The following information relates to Bennett Corporation. Account Current year Prior year Net sales (all credit) $529,250 $499,500 Cost of goods sold $379,575 $353,600 Gross profit $149,675 $145,900 Income from operations $ 95,500 $ 79,900 Interest expense $ 23,500 $ 19,500 Net income $ 57,385 $ 51,600 Cash $ 26,000 $ 15,900 Accounts receivable, net $ 33,800 $ 23,340 Inventory $ 42,000 $ 30,300 Prepaid expenses $ 2,000 $ 1,500 Total current assets $103,800 $ 72,040 Total long-term assets $ 62,000 $ 38,000 Total current.
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74) The data provided by the horizontal or vertical analysis of the financial statements can be used in benchmarking. 75) A common size statement reports only percentages. 76) The common size statement percentages are different from those that appear in horizontal analysis. 77) Common size statements allow the comparison of two or more.
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144) The following information relates to Woolf Unlimited for the past two years. Account Current year Prior year Net sales (all credit) $237,250 $180,000 Cost of goods sold $115,000 $110,000 Gross profit $122,250 $ 70,000 Income from operations $ 32,000 $ 30,000 Interest expense $ 2,000 $ 7,000 Net income $ 24,000 $ 18,000 Cash $ 22,000 $ 14,000 Accounts receivable, net $ 25,000 $ 31,000 Inventory $ 56,000 $ 44,000 Prepaid expenses $ 2,000 $ 1,000 Total current assets $105,000 $ 90,000 Total long-term assets $150,000 $175,000 Total current.
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71) Sustainability is concerned not only with the impact on the environment, but also with the impact on people and profit. The "triple bottom line" measures an entity's impact on profit, people, and planet. A local accounting firm that participates in Habitat for Humanity is impacting which element of the.
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41) The role of accounting in sustainability is limited to mandatory external reporting. 42) Materials costs of product outputs category is similar to indirect materials since it becomes part of the final product. 43) Physical information has not been a traditional component of managerial accounting systems. 44) Environmental management accounting (EMA) utilizes three.
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137) Use the indirect method of preparing a statement of cash flows to answer the question. Ending balances for Sunday Hut are listed below: Item End of this year End of prior year Building $365,000 $0 Equipment 111,000 0 Notes Payable 39,000 33,000 Common Stock 256,000 192,000 Paid-in Capital in Excess of Par/Common 56,400 38,000 Retained Earnings 231,000 174,000 Net income for this year was $97,000 and dividends of $24,000 were declared.
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171) The following information relates to The Roberta Corporation. Account Current year Prior year Net sales (all credit) $445,400 $362,000 Cost of goods sold $220,000 $185,000 Gross profit $225,400 $177,000 Income from operations $ 72,000 $ 80,000 Interest expense $ 8,000 $ 14,000 Net income $ 40,000 $ 35,000 Cash $ 34,000 $ 28,000 Accounts receivable, net $ 42,000 $ 62,000 Inventory $120,000 $100,000 Prepaid expenses $ 4,000 $ 2,000 Total current assets $200,000 $192,000 Total long-term assets $200,000 $230,000 Total current liabilities $100,000 $165,000 Total long-term liabilities $ 44,000 $ 95,000 Common stock, no par, 8,000.
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94) Working capital is current assets minus current liabilities. 95) The current ratio is the most widely used ratio to measure a company's ability to pay current liabilities. 96) The acid test ratio is a tighter measure of a company's ability to pay current liabilities than the current ratio. 97) The inventory turnover.
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114) Which of the following is the formula to compute day's sales in receivable? A) Cost of goods sold/average inventory B) Net credit sales/average inventory C) Net credit sales/average net accounts receivable D) Average net accounts receivable/one day's sales 115) The formula to compute the debt ratio is A) interest expense/income from operations. B) total liabilities/total.
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1) Generally, using more than one year of data to analyze company performance is desirable. 2) Investors and creditors generally evaluate a company by using a single year's data. 3) Most financial statement analysis covers trends of more than one year. 4) Horizontal analysis is the study of percentage changes in comparative financial.
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73) Use the following information about The Conley Company to do a vertical analysis of the income statement for the current year. Fill in the missing components in the table. Account Current Prior Percent Net sales revenue $350,000 $ 312,000 Cost of goods sold $192,500 $ 215,000 Gross profit $157,500 $   97,000 Selling/general expenses $ 84,000 $   36,500 Net income before tax $ 73,500 $   60,500 Income.
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133) The following information is available for three companies. The information relates to the companies' plant assets. For each of the companies, determine the unknown amounts. Fox Co. Wolf Co. Coyote Co. Beginning plant assets, net of depreciation $860,000 $715,000 $489,700 Ending plant assets, net of depreciation 950,000 702,400 288,300 Depreciation expense 55,300 49,500 (c) Gain (loss) on sale of plant assets 5,600 (b) (15,200) Cost of plant assets.
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31) The McCumber Corporation data for the current year: Account Current year Prior year Current assets $76,200 $60,000 A/R $59,400 $44,000 Mdse. Inventory $51,200 $40,000 Current liabilities $82,500 $55,000 Long-term liabilities $38,000 $30,000 Common stock (5,000 shares) $47,880 $42,000 Retained earnings $18,420 $17,000 Net sales revenue $618,000 $515,000 COGS $478,140 $385,000 Gross Profit $139,860 $130,000 Selling/General expenses $47,860 $50,000 Net income before taxes $92,000 $80,000 Income tax expense $23,000 $20,000 Net Income $69,000 $60,000 With respect to common stock, what would a horizontal analysis report? A) Stockholder's equity as 7.75% of total capital B) Sales return of.
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77) Comparative balance sheets analyze balance sheets by comparing the ending balances of two fiscal periods; usually highlighting the changes in each account. 78) The indirect method of presenting the investing activities section of the statement of cash flow reconciles net income to net cash provided by investing activities. 79) When.
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51) An outflow of cash from an investing activity would be A) making loans to third parties. B) issuing notes payable. C) paying cash dividends to stockholders. D) purchasing treasury stock. 52) Money borrowed for a mortgage would be a(n) ________ activity. A) operating B) financing C) investing D) non-cash 53) All of the following are cash outflows from.
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135) The income statement and a partial balance sheet for Regovich Company is presented below. Prepare the operating activities section of the statement of cash flows using the indirect method. Regovich Company Income Statement For the Current Year Sales $550,00 Cost of goods sold   390,000 Gross profit $160,000 Operating expenses:    Salaries $70,000    Depreciation expense 28,000    Miscellaneous 10,000 108,000 Net income $52,000 Regovich Company Partial.
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84) Presented are the income statements of Bostick and Stemple Publications companies for the current year: Bostick   Stemple   Net sales revenue $487,000    100.00% $500,000 100.00% COGS 400,000 82.14% 395,000 79.00% Gross Profit 87,000 17.86% 105,000 21.00% Selling/Gen Expenses 30,000 6.16% 50,000 10.00% Income from operations 57,000 11.70% 55,000 11.00% Income tax expense 17,100 3.51% 16,500 3.30% Net Income $  39,900 8.19% $ 38,500 7.70% Which company has the better relationship between gross profit and net sales revenue? A) Impossible to determine B) Both have the same relationship C).
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134) The Bedford Corporation reported the following income statement and balance sheet amounts and additional information for the end of the current year. End of current year End of prior year Net sales revenue (all credit) $ 1,220,000 Cost of goods sold $ 725,000 Gross profit $ 495,000 Selling/general expenses $ 280,000 Interest expense $ 42,000 Net Income $ 173,000 Current assets $.
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46) Use the following information to do a horizontal analysis of Carlin Corporation's balance sheet for the end of the current and prior years. Fill in the table. Account Current Prior Dollar Change % Change Current assets $126,000 $ 90,000 Accounts receivable $ 99,000 $110,000 Merchandise inventory $ 69,285 $ 74,500 Current liabilities $ 42,000 $ 37,500 Long-term liabilities $ 63,000 $ 60,000 Common stock $ 44,440 $ 44,000 Retained earnings $144,845 $133,000 47) Use.
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124) The formula for computing book value per share of common stock is A) market price per share of common stock/earning per share. B) annual dividend per share of common stock/market price per share of common stock. C) (net income - preferred dividends)/number of shares of common stock outstanding. D) (yotal stockholders' equity -.
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21) The Nichols Corporation data for the current year: Account Current year Prior year Current assets $75,600 $60,000 A/R $59,400 $44,000 Mdse. Inventory $51,200 $40,000 Current liabilities $71,500 $55,000 Long-term liabilities $36,000 $30,000 Common stock (5,000 shares) $47,460 $42,000 Retained earnings $31,240 $17,000 Net sales revenue $607,700 $515,000 COGS $469,700 $385,000 Gross Profit $138,000 $130,000 Selling/General expenses $49,080 $52,000 Net income before taxes $88,920 $78,000 Income tax expense $20,520 $18,000 Net Income $68,400 $60,000 What would a horizontal analysis report with respect to long-term liabilities? A) Long-term liabilities increased by $6,000. B) Long-term liabilities decreased by 5.92%. C).
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