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Term 1 Unit 5 Discussions (3)


*Unit 5 Discussion (ACC301 Cost Accounting)

Complete and submit question 8-26 on page 332.

8-26. Compute Equivalent Units: Ethical Issues

Aaron Company has a process costing system. All materials are introduced when conversion costs reach 50 percent. The following information is available for physical units during March.

Work in process, March 1 (60% complete as to conversion costs)  150,000

Units started in March  600,000

Units transferred to Finishing Department in March  630,000

Work in process, March 31 (40% complete as to conversion costs)  120,000


a. Compute the equivalent units for materials costs and for conversion costs using the weighted-average method.

b. Compute the equivalent units for materials costs and for conversion costs using the FIFO method.

c. The company president has been under considerable pressure to increase income. He tells the controller to change the estimated completion for ending work in process to 60 percent (from 40 percent).

1. What effect will this change have on the unit costs of units transferred to finished goods in March?

2. Would this be ethical?

3. Is this likely to be a successful strategy for affecting income over a long period of time?

*Unit 5 Discussion (ACC303 Intermediate Accounting)

Please complete Judgement Case 6-7 on page 332.

ALSO explain in 3 to 5 sentences ANY concept that you learned in Chapter 6.  The explanation should be in your own words and not in quotes from the chapter.

Judgment Case 6–7 Principal or agent sells used products collected from different suppliers. Assume a customer purchases a used bicycle through for $300. agrees to pay the supplier $200 for the bicycle. The bicycle will be shipped to the customer by the original bicycle owner.


1. Assume takes control of this used bicycle before the sale and pays $200 to the supplier. Under this assumption, how much revenue would recognize at the time of the sale to the customer?

2. Assume never takes control of this used bicycle before the sale. Instead, the bicycle is shipped directly to the customer by the original bicycle owner, and then pays $200 to the supplier. Under this assumption, how much revenue would recognize at the time of the sale to the customer?

3. Assume promises to pay $200 to the supplier regardless of whether the bicycle is sold, but the bicycle will continue to be shipped directly from the supplier to the customer. Under this assumption, how much revenue would recognize at the time of the sale to the customer?

*Unit 5 DB: GDP (ECO201 Macroeconomics)

The concept of Gross Domestic Product (GDP) was developed by Simon Kuznets in 1937 and has been used almost universally since that time. The World Economic Forum (WEF) is an independent international organization committed to improving the state of the world by engaging business, political, academic, and other leaders of society to shape global, regional, and industry agendas. Current reasoning holds that the traditional measure of economic success, Gross Domestic Product or GDP, is too narrow and does not capture true economic well-being, especially in a Post Covid world.  Accordingly, the Forum has developed a Dashboard/Scorecard in four dimensions found in their brochure, World Economic Forum, as follows.

Prosperity: Updated GDP, Income and Wealth, Financial Resilience

The Planet: Energy Mix and Emissions, Distribution Issues, Natural Resilience

People: Human Capital – education and skills, Public Health, Social Resilience

Institutions: Institutional Context

Please outline for this discussion board three ways the new measures the Forum has developed are superior to the historic model of GDP. Compare the two. Begin with a brief introduction that explains to your readers what you aim to explain. Follow through with well-written paragraphs that logically support what the Forum is attempting to do. Be sure to include footnotes to your research.

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