Statement of Comprehensive Income Paper 2

1

Given the following data for Scurry Company, what is the cost of goods sold?
Beginning inventory of finished goods.. $100,000
Cost of goods manufactured..................700,000
Ending inventory of finished goods........ 200,000
Beginning work-in-process inventory .....300,000
Ending work-in-process inventory .........50,000






2

The following information was taken from last year’s accounting records of a manufacturing company. Inventory.......................January 1.......December 31
Raw materials.................$38,000......$ 45,000
Work-in-process................21,000.........10,000
Finished goods..................78,000.........107,000
Other information
Direct labor........................................$236,000
Shipping costs on outgoing orders..........6,500
Factory rent........................................59,000
Factory depreciation.............................18,700
Advertising expense.............................24,900
Net purchases of raw materials..............115,000
Corporate administrative salaries...........178,000
Material handling costs.........................35,800
On the basis of this information, the company’s cost of goods manufactured and cost of goods sold are






3

Comprehensive income is best defined as






4

The financial statement that provides a summary of the firm’s operations for a period of time is the






5

The following information pertains to Maynard Corporation’s income statement for the 12 months just ended. The company has an effective income tax rate of 40%.
Discontinued operations ......................$(70,000)
Extraordinary loss due to earthquake.......(90,000)
Income from continuing operations (net of tax).....................................................72,000
Cumulative effect of change in accounting principle................................................60,000
Maynard’s net income for the year is






6

Which of the following items is not classified as other comprehensive income (OCI)?






7

Which of the following are acceptable formats for reporting comprehensive income?
I. In one continuous financial statement
II. In a statement of changes in equity
III. In a separate statement of net income
IV. In two separate but consecutive financial statements






8

A company reports the following information as of December 31:
Sales revenue .......................................$800,000
Cost of goods sold................................... 600,000
Operating expenses................................. 90,000
Unrealized holding gain on available-for-
sale securities, net of tax .........................30,000
What amount should the company report as comprehensive income as of December 31?






9

Crawford Company is researching a future change to IFRS. Which one of the following items reported on Crawford’s income statement under U.S. GAAP is required to be changed as a result of adopting IFRS?






10

All of the following are defined as elements of an income statement except






Result

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