ACCOUNTINGYou have recently accepted a position with Vitex, Inc., the manufacturer of a popular consumer product. During your first week on the job, the vice president has been favorably impressed with your work. She has been so impressed, in fact, that yesterday she called you into her office and asked you to attend the executive committee meeting this morning for the purpose of leading a discussion on the variances reported for last period. Anxious to favorably impress the executive committee, you took the variances and supporting data home last night to study. On your way to work this morning, the papers were laying on the seat of your new, red convertible. As you were crossing a bridge on the highway, a sudden gust of wind caught the papers and blew them over the edge of the bridge and into the stream below. You manged to retrieve only one page, which contains the following information:
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\begin{matrix}
\text{Standard Cost Car}\\
\text{Direct materials, 6 pounds at \$ 3 per pound} & \text{\$ 18.00}\\
\text{Direct labor, 0.8 direct labor--hours at \$ 15 per direct labor-hour} & \text{\$ 12.00}\\
\text{Variable manufacturing overhead, 0.8 direct labor-hours at \$ per direct labor-hour} & \text{\$ 2.40}\\
\end{matrix}
$$
$$
\begin{matrix}
\text{ } & \text{Total Standard Cost} & \text{Price or Rate} & \text{Quantity or Efficiency}\\
\text{Direct materials} & \text{\$ 405.000} & \text{\$ 6.900 F} & \text{\$ 9.000 U}\\
\text{Direct labor} & \text{\$ 270.000} & \text{\$ 14.550 U} & \text{\$ 21.000 U}\\
\text{Variable manufacturing overhead.} & \text{\$ 54.000} & \text{\$ 1.300 F} & \text{\$ ? U}\\
\end{matrix}
$$
You recall that manufacturing overhead cost is applied to production on the basis of direct labor-hours and that all of the materials purchased during the period were used in production. Work in process inventories are insignificant and can be ignored. It is not 8:30 A.M. The executive committee meeting starts in just one hour: you realize that to avoid looking like a bungling fool you must somehow generate the necessary "backup" data for the variances before the meeting begins. Without backup data it will be impossible to lead the discussion or answer any questions. 1. How many units were produced last period? 2. How many pounds of direct material were purchased and used in production? 3. What was the actual cost per pound of material? 4. How many actual direct labor-hours were worked during the period? 5. What was the actual rate paid per direct labor-hour? 6. How much actual variable manufacturing overhead cost was incurred during the period? ACCOUNTINGCycle Tech Bicycles decided to establish a petty cash fund. On February 1 the accountant issued Check 3724 for $120 to establish the fund. The following disbursements were made. 1. In your working papers, record the entry to establish the petty cash fund in a general journal, page 5. 2. Enter the information about the establishment of the petty cash fund on line 1 of a petty cash register, page 1. 3. Record the petty cash disbursements in the petty cash register. 4. Foot, total, and prove the petty cash register on February 28. 5. Record the petty cash fund replenishment information in the explanation column below the totals. On February 28 there was$4.35 in the petty cash box. 6. Prepare a petty cash requisition form. Use the form provided in your working papers and sign your name as petty cashier. 7. Record the issuance of Check 3875 to replenish the petty cash fund in the general journal, page 8.
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\begin{array}{ll}
\text{Date} & \text{Transactions}\\
\text{Feb. 2} & \text{Prepared Voucher 1 for a \$9.25 newspaper advertisement (Advertising Expense).}\\
\text{5} & \text{Prepared Voucher 2 for pens and pencils, \$5 (Supplies).}\\
\text{9} & \text{Paid \$12.50 for flowers for an employee’s birthday, Voucher 3 (Miscellaneous Expense).}\\
\text{12} & \text{Bought cash register tape for \$3.95, Voucher 4 (Supplies).}\\
\text{19} & \text{Prepared Voucher 5 for \$15 to pay National Express for parts}\\
\text{ } & \text{delivered (Delivery Expense).}\\
\text{20} & \text{Paid \$3.90 for postage stamps, Voucher 6 (Miscellaneous Expense).}\\
\text{22} & \text{Paid \$16 to have the show window cleaned, Voucher 7}\\
\text{ } & \text{(Miscellaneous Expense).}\\
\text{24} & \text{Bought an \$11 advertisement in the local newspaper,}\\
\text{ } & \text{Voucher 8 (Advertising Expense).}\\
\text{25} & \text{Bought stationery for \$10, Voucher 9 (Supplies).}\\
\text{26} & \text{Prepared Voucher 10 to National Express for packages }\\
\text{ } & \text{delivered, \$8.25 (Delivery Expense).}\\
\text{27} & \text{Prepared Voucher 11 incorrectly and voided it.}\\
\text{27} & \text{Purchased memo pads for the office for \$3, Voucher 12 (Supplies).}\\
\text{28} & \text{Paid the news carrier a \$4 tip for the daily newspaper}\\
\text{ } & \text{delivery, Voucher 13 (Miscellaneous Expense). }\\
\text{28} & \text{Paid \$6.80 for postage stamps, Voucher 14 (Miscellaneous Expense).}\\
\text{28} & \text{Prepared Voucher 15 for a \$10 newspaper advertisement
}\\
\text{ } & \text{(Advertising Expense).}\\
\end{array}
$$
Identify the number of payments that were made from the petty cash fund during the month of February.