What are some tricky accounting Questions?
1. What do mean by Process costing method?Answer: It is a method of cost determination and is used manufacturing concern where raw material passes through many processes up to finished goods.2. Explain the objective of Process Costing method?Answer: It is useful to determine the cost of the process, to ascertain wastage in each process, to ascertain the price of by-product and join product and to segregation total expenses.3. Define Joint Product?Answer: Joint products are produced by the same type of raw material in the same process having nearly equal importance and value as of main product and require further processing.Top 13 Process Costing Question & Answer (Cost Accounting)
Tricky accounting question!?
Gayheart Corporation is considering a capital budgeting project that would require investing $80,000 in equipment with an expected life of four years and zero salvage value. The annual incremental sales would be $260,000 and the annual incremental cash operating expenses would be $190,000. The company's income tax rate is 30 percent. The company uses straight-line depreciation on all equipment. How much is the total cash flow net of income taxes in year 2?
Accounting Trick Question!!! Can You Answer?
(1) When a company buys equipment for $166,000 and pays for three fourths in cash and the other one fourth is financed by a note payable, which of the following are the effects on the accounting equation? (a) Total assets increase by $41,500. (b) Total liabilities increase by $166,000. (c) Total liabilities decrease by $124,500. (d) Total assets decrease by $124,500.
Managerial Accounting - Quick Question?
Hi I need help with this one question... don't even know how to start and use the formula.. A produces electronic timepieces. the company uses mini LCD displays for its products. Each timepiece uses one display. The company produced 540 timepieces during Feb, due to LCD defects, the company actually used 570 displays during Feb. Each display has a standard cost of $8.60. 570 LCD displays were purchased for Feb production at a cost of $4,560. Determine the price variance, quantity variance, and total direct materials cost variance for Feb. II'm trying to use the formula, but don't know which number to plug in where and which formula to use... Thanks in advance!
I came across this question & answer on accounting that doesn't make sense. I feel the answer should be 'there were bad debts', but the answer says 'there was a gross loss on sales'. Who is right, me or the original answer?
First, sales or revenues are not control accounts. Control accounts or accounts with sub ledgers are Accounts Receivable, Accounts Payable and Inventory.To answer the question why the Sales or Revenue account would have a debit balance, there are three possible reasons:1. A return was posted to the sales account. A customer refused the shipment and returned the goods creating a reversal of the original sales order (original was a Dr. AR Cr. Sales, return is the opposite).2. The revenue from the sale was booked to sales and then subsequently deferred due to revenue recognition. Original entry was a Dr. AR Cr. Sales, the deferral generated an adjusting entry Dr. Sales Cr. Deferred Revenue.3. Someone made a mistaken error.This is not a bad debt, it is inappropriate to charge a bad debt as a write off to revenue. Rather the entry would be (direct write off method):Dr. Bad Debt Expense Cr. AR.
Accounting tricky question by evil teacher?
Work through the journals... Dr, PP & E - 150k Cr, Cash - 50k Cr, Notes Payable - 100k A is correct. B wrong because equipment increases by 150k C wrong because liabilities increase by 100k D wrong because assets increase by net of 150 minus 50 = 100k E wrong recall above - obvious
Should I expect trick questions at a job interview?
Hi I wouldn't expect the interview to go out their way to trick you. However, you need to prepare for every eventuality. Learn the background of the company, learn your CV/Resume inside out, relate your past professional experiences to the role and emphasis the similarities. Do all of this and you wont get caught out!If your’re still struggling with interviews you can download—-> The Job Interview Guide.These videos answers most trick questions:
What is the trick to finding an accounting mistake?
I can't remember - if the error is divisible by 9, then it is a transposition error?? There were a couple others too. If anyone could help, I'd appreciate it.