Samples for Simple Math Problems Flashcards
The beginning balance in the supplies account is $600. During the month an additional $800 worth of supplies were purchased. At the end of the month, an inventory of the supplies found that only $300 remained on hand. What would be the amount of the adjusting entry for the supplies account?
- $1700
- $1400
- $300
- $1100
$1100
Reason: The supplies purchased are considered assets until they are used. $600+$800 = $1300; subtract $300 and you have $1100. The supplies account needs to be adjusted by $1100 to reflect that it has $300 on the debit side versus the credit side.
A plant asset was purchased by the funeral home costing $8000. it has a useful life of 3 years and a salvage value of $2,000. Using the straight-line method of depreciation, what would be the yearly amount of depreciation?
- $2667
- $2000
- $166.67
- $1000
$2000
In straight line depreciation, the amount of depreciation is the same for each year it declines. To find this answer, subtract $8000 by $2000, then divide by 3.
At the end of the month, a funeral home’s assets totaled $50,000; the liabilities totaled $20,000; revenue for the month totaled $6,000; and the total of the expenses amounted to $4,000. Which of the following statements is true? (More than one answer)
- Owner’s equity= $70,000
- Owner’s equity= $30,000
- Net income= $2,000
- Net loss = <$2,000>
2 and 3
Owners equity= $30,000 and Total income = $2,000
(Subtract the liabilities from assets to find owner’s equity; subtract the expenses from the revenue for total income)
A funeral car is purcahsed by a funeral home for $30,000. The vehicle will be used for five years and then replaced. If the estimated salvage value will be $5,000, what will be the amount of yearly depreciation using the straightline method of depreciation for computation?
- $2,000
- $3,500
- $5000
- $6500
$5,000
David O’Bell is an employee of Mid-Cities Embalming Service and is paid a salary of $1,850 per month. He is also paid time and a half for all hours worked in excess of fourty hours per week. If Mr. O’Dell worked 62 hours last week, his gross earnings for the period would be:
- $569.41
- $629.14
- $779.14
- $869.41
$779.14
I dont think the correct answer is in these options
Pay per week = 462.5
Pay per hour = 11.56
- 56X 22 = 254.4
- 78 X 22 = 127.16
Total with weekly and overtime = $844.06
John Smith is employed at a local funeral home and is paid on an hourly rate of $5.00 per hour. He is also paid time and a half for any hours worked in excess of 40 hours per week. For the current pay period, he worked a total of 60 hours. If his FICA tax is 6%, and his withholding tax is 10%, what is his take-home pay for the week?
- $329.00
- $315.85
- $350.00
- $294.00
$294.00
Multiply 5 by 60, then 2.5 by 20. Add those numbers together, then multiply the sum by 16%. Subtract that number to get 294.
If total overhead for a funeral home is $65,000 for a fiscal period, and the firm did 100 services, what would the average overhead per service be?
- $100
- $500
- $600
- $650
$650
Divide the total overhead by 100
If a casket cost $100 wholesale, and the funeral home’s fixed multiple was 5, what would the selling price of that casket be?
- $50
- $500
- $650
- $750
$500
Multiply 100 by 5
If a funeral home had an average overhead of $650, and the wholesale cost of a casket was $100, and the funeral director marked his casket up 100%, what would the unit price be?
- $850
- $1000
- $550
- $200
$850
A 100% markup for 100 dollars would be $200, add this to the overhead ($650) to get the answer.
If a casket cost $200 wholesale and was sold for $1,000, and the average overhead per funeral was $500, what would the net profit be?
- $300
- $500
- $800
- $650
$800
College Mortuary grossed $200,000 from the sale of adult formula services for the preceding year. $40,000 was spent for wholesale casket cost, and total overhead amounted to $130,000. $30,000 resulted in net profit. College Mortuary conducted 200 services the preceding year.
What would the selling price be for a casket which cost $195 wholesale? Use the unit price method based on the three factors: 1. Wholesale cost, 2. average overhead per adult formula service, 3. 100% markup on wholesale casket cost.
- $390
- $650
- $800
- $1040
$1040
Wholesale cost = $195
Price of average overhead= $130,000/200= $650
100% markup= 195 X 2= $390
$650 + $390 = $1040
College Mortuary grossed $200,000 from the sale of adult formula services for the preceding year. $40,000 was spent for wholesale casket cost, and total overhead amounted to $130,000. $30,000 resulted in net profit. College Mortuary conducted 200 services the preceding year.
What would the selling price be of a casket which cost $205 wholesale? Use the unit method based on a fixed multiple. The fixed multiple should be based on a ratio of casket cost (yearly) to yearly gross income.
- $410
- $800
- $1000
- $1025
$1,025
Gross income= $200,000
Casket cost= $40,000
200,000/40,000 = 5
$205 X 5 = $1,025
College Mortuary grossed $100,000 from the sale of adult formula services. $65,000 went to total overhead, $20,000 was for a wholesale casket cost, and $15,000 was net income. The funeral home conducted 100 adult formula services for the previous year.
Figure the selling price of a casket which costs $210 wholesale. Use the Bi-unit method of pricing based on three factors: 1. average overhead per adult formula service, 2. 100% markup on wholesale casket cost, 3. whole casket cost.
- Service fee- $650, casket cost- $420
- Service fee- $420, casket cost- $650
- Service fee- $500, cakset cost- $210
- Service fee- $600, casket cost- $400
Service fee- $650, casket cost- $420
Average overhead = $65,000/100 = $650
100% markup = $210 X 2 = $420
College Mortuary grossed $100,000 from the sale of adult formula services. $65,000 went to total overhead, $20,000 was for a wholesale casket cost, and $15,000 was net income. The funeral home conducted 100 adult formula services for the previous year.
Figure the selling price of a casket which cost $200 wholesale. Use the Bi-unit method of pricing based on a fixed multiple. The fixed multiple is based on a ratio of yearly casket cost to the difference between yearly gross income, and yearly overhead.
- Service fee- $650, casket cost- $500
- Service fee- $500, casket cost- $650
- Service fee- $500, casket cost- $500
- None of these
None of These
Yearly gross income- yearly overhead = $100,000-$65,000 = $35,000
$35,000/ $20,000 =1.75
$200 X 1.75= $350 (casket cost)
Service fee= $650
2/10, N/30 means:
- A 2% discount if invoice is paid within 60 days, net due in 70 days.
- A 2% discount if invoice is paid within 10 days, net due in 30 days.
- A 10% discount if invoice is paid within 2 days, net due in 30 days.
- A 30% discount if invoice is paid within 10 days, net due in 30 days.
A 2% discount if invoice is paid within 10 days, net due in 30 days.
