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Assume all units produced are sold. What will be the margin of safety in dollars if the company produces and sells 50, units the sales price computed in part a? Using the margin of safety, compute operating income 50, units. Sales price per unit — variable cost per unit. Refer to the original data. Assume that the company sold 28, units last year. Prepare two contribution format income statements, one showing the results of last year's operations and one showing what the results of operations would be if these changes were made.

Would you recommend that the company do as the sales manager suggests? Assume again that the company sold 28, units last year. The president feels that it would be unwise to change the selling price. He thinks that this move, combined with some increase in advertising, would cause annual sales to double.

By how much could advertising be increased with profits remaining unchanged? Do not prepare an income statement; use the incremental analysis approach. Tasha Orin is unable to reconcile the bank balance at January Tasha's reconciliation is shown here. E Tasha Orin is unable to reconcile the bank balance at January Bank service charge Deposits in transit Prepare bank reconciliation and adjusting entries. What is the proper adjusted cash balance per bank? What is the proper adjusted cash balance per books?

Chavez Company most recently reconciled its bank statement and book balances of cash on August 31 and it reported two checks outstanding. Chavez Company most recently reconciled its bank statement and book balances of cash on August 31 and it reported two checks outstanding, No. The following information is available for its September 30, , reconciliation. The NSF check shown in the statement was originally received from a customer, S.

Nilson, in payment of her account. Its return has not yet been recorded by the company. The collection and fee are not yet recorded. Prepare the September 30, , bank reconciliation for this company.

To record interest earned. Condensed balance sheet and income statement data for Sadecki Corporation are presented here and following. Compute these values and ratios for and Round Earnings per share to 2 decimal places, e. If answer is negative enter it with a negative sign preceding the number e. Research and Application graded. Go to page and read Case , Ethics and the Manager: Understanding the Impact of Percentage Completion on Profit.

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24 The accumulation of accounting data on the basis of the individual manager who has the authority to make day-to-day decisions about activities in an area is called static reporting. master budgeting.

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