JBC Corporation is owned 20 percent by John, 30 percent by Brian, 30 percent by Charlie, and 20 percent by Z Corporation

JBC Corporation is owned 20 percent by John, 30 percent by Brian, 30 percent by Charlie, and 20 percent by Z Corporation. Z Corporation is owned 80 percent by John and 20 percent by an unrelated party. Brian and Charlie are brothers. Answer each of the following questions about JBC under the constructive ownership rules of Section 267:
a. What is John's percentage ownership?
b. What is Brian's percentage ownership?


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Charlie's Pets succeeded so well that Charlie decided to manufacture his own brand of chewing bone—Fido Treats

P16-25A Charlie's Pets succeeded so well that Charlie decided to manufacture his own brand of chewing bone—Fido Treats. At the end of December 2012, his accounting records showed the following:

Inventories: Beginning Ending
Materials $ 13,400 $ 9,500
Work in process 0 2,000
Finished goods 0 5,300

Other information:
Direct material purchases $ 33,000 Utilities for plant $ 1,600
Plant janitorial services 800 Rent of plant 13,000
Sales salaries expense 5,000 Customer service hotline expense 1,400
Delivery expense 1,700 Direct labor 22,000
Sales revenue 109,000

Requirements
1.Prepare a schedule of cost of goods manufactured for Fido Treats for the year ended December 31, 2012.
2.Prepare an income statement for Fido Treats for the year ended December 31, 2012.
3.How does the format of the income statement for Fido Treats differ from the income statement of a merchandiser?
4.Fido Treats manufactured 18,075 units of its product in 2012. Compute the company's unit product cost for the year.


Click here for the solution: Charlie's Pets succeeded so well that Charlie decided to manufacture his own brand of chewing bone—Fido Treats