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answer sheet
Problem 1: 10 points INCREMENTAL ANALYSIS
Part A)
MAKE
SUB-ASSEMBLY
PART
BUY
SUB-ASSEMBLY
PART
Part B) Should the company make or buy the component part? Why?
Problem 2: 10 points COST OF GOODS MANUFACTURED SCHEDULE
Problem 3: 15 points STATEMENT OF CASH FLOWS
Cash flows from operating activitiesAdjustments to reconcile net income to net cash provided by operating activities
Problem 4: 10 points CASH BUDGETProblem 5: 10 points JOURNAL ENTRIES
DATE
ACCOUNT
DEBIT
CREDIT
Problem 6: 10 points BREAK EVEN ANALYSIS & TARGET NET INCOME
Part A)
Break even in units =
Part B)
Break even in dollars =
Part C)
Required sales to meet target net income of $1200000 =
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