Homework answers / question archive / University Of Arizona ATMO 005 Quiz 14 1)The Jaywin Company started operations this month and had the following transactions:   1              Owners invested $10,000 to start company 6              Purchased $500 of equipment on account 12           Purchased $300 of supplies 20           Completed work for a customer worth $900; sent bill 25           Completed work for another customer and was paid $2,200   Based on the transactions above, what are the company’s total assets?     2

University Of Arizona ATMO 005 Quiz 14 1)The Jaywin Company started operations this month and had the following transactions:   1              Owners invested $10,000 to start company 6              Purchased $500 of equipment on account 12           Purchased $300 of supplies 20           Completed work for a customer worth $900; sent bill 25           Completed work for another customer and was paid $2,200   Based on the transactions above, what are the company’s total assets?     2

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University Of Arizona

ATMO 005

Quiz 14

1)The Jaywin Company started operations this month and had the following transactions:

 

1              Owners invested $10,000 to start company

6              Purchased $500 of equipment on account

12           Purchased $300 of supplies

20           Completed work for a customer worth $900; sent bill

25           Completed work for another customer and was paid $2,200

 

Based on the transactions above, what are the company’s total assets?

 

 

2. Depreciation is necessary because supplies get consumed over time.

equipment lasts for a long time.

supplies last for a long time.

equipment gets consumed over time.

 cash becomes less valuable over time.

 

 

3. Which of the following types of costs is least likely to have a budget variance in a performance report?

Variable

Fixed

Mixed

 

 

4. The Karf Corporation purchased a new oven for its commercial kitchen on August 1st for $14,000 and expects to use it for 8 years at which time it can be sold for an estimated $2,000. What net book value should appear for the equipment in the company’s year-end financial statements?

 

 

5. The Vicente Company began operations on January 1st when its owners invested $5,200. The following information was available at the end of January: Accounts payable $2,200, Accounts

 

receivable $1,800, Cash $4,300, Equipment $28,600, Cost of Goods Sold $16,000, Notes payable

$18,800, Revenue $38,000, Advertising expense $1,200, Utilities expense $900 and Wage expense

$11,400. What is the company’s net income for the month?

 

 

 

 

 

6. If a company sells a gift card, the transaction used to record it would include Cost of goods sold

Unearned revenues

Inventory expense

Notes payable Revenues

 

 

7. Being over budget is always bad.

is sometimes bad.

 is never bad.

 

 

8. To assess whether your company could afford to purchase some new equipment, which financial statement should you review?

Balance Sheet

Income Statement

Statement of Retained Earnings

Statement of Performance Statement of Assets

 

 

9. A standard cost includes

Direct materials

Direct labor

Overhead

All of the above

None of the above

 

10. For your virtual business in Marketplace (for the class team), what was your company’s Q3 budget variance (in units) for your Mercedes brand? Use a positive number to indicate a favorable variance or a negative number to indicate an unfavorable variance.