Assume that on september 1, office depot had an inventory that included a variety of calculators. the company uses a perpetual inventory system. during september, these transactions occurred. sept. 6 purchased calculators from dragoo co. at a total cost of $1,610, terms n/30. 9 paid freight of $40 on calculators purchased from dragoo co. 10 returned calculators to dragoo co. for $52 credit because they did not meet specifications. 12 sold calculators costing $580 for $760 to fryer book store, terms n/30. 14 granted credit of $45 to fryer book store for the return of one calculator that was not ordered. the calculator cost $32. 20 sold calculators costing $650 for $800 to heasley card shop, terms n/30. journalize the september transactions.

You decided to charge $100 for your new computer game, but people are not buying it. what could you do to encourage people to buy your game?

Zachary company produces commercial gardening equipment. since production is highly automated, the company allocates its overhead costs to product lines using activity-based costing. the costs and cost drivers associated with the four overhead activity cost pools follow: activities unit level batch level product level facility level cost $ 64,800 $ 27,730 $ 15,000 $ 154,000 cost driver 2,400 labor hrs. 47 setups percentage of use 11,000 units production of 780 sets of cutting shears, one of the company’s 20 products, took 240 labor hours and 7 setups and consumed 15 percent of the product-sustaining activities. required: (a) had the company used labor hours as a company wide allocation base, how much overhead would it have allocated to the cutting shears? (b) how much overhead is allocated to the cutting shears using activity-based costing? (c) compute the overhead cost per unit for cutting shears first using activity-based costing and then using direct labor hours for allocation if 780 units are produced. if direct product costs are $150 and the product is priced at 30 percent above cost for what price would the product sell under each allocation system? (d) assuming that activity-based costing provides a more accurate estimate of cost, indicate whether the cutting shears would be over- or underpriced if direct labor hours are used as an allocation base. explain how over-or undercosting can affect vaulker's profitability. (e) comment on the validity of using the allocated facility-level cost in the pricing decision. should other costs be considered in a cost- plus pricing decision? if so, which ones? what costs would you include if you were trying to decide whether to accept a special order?

On april 1, santa fe, inc. paid griffith publishing company $2,448 for 36-month subscriptions to several different magazines. santa fe debited the prepayment to a prepaid subscriptions account, and the subscriptions started immediately. what amount should appear in the prepaid subscription account for santa fe, inc. after adjustments on december 31 of the first year assuming the company is using a calendar-year reporting period and no previous adjustment has been made?