The Following Financial Statement Information Is Available for Barrett Corporation

question 179

Multiple Choice

The following financial statement information is available for Barrett Corporation: $\begin{array}{lrr}&2014&2013\\\text { Net income } & \$ 115,000 & \$ 80,000 \\\text { Tax expense } & 50,000 & 29,000 \\\text { Interest expense } & 15,000 & 14,000\\\text { Dividends paid to preference }\\\text { shareholders }& 22,000 & 20,000 \\\text { Dividends paid to ordinary } & & \\\text { shareholders } & 15,000 & 10,000\end{array}$ The times interest earned for 2014 is

• A) 8.8 times.
• B) 7.7 times.
• C) 12.0 times.
• D) 11.0 times.

Understand the process of calculating standard costs for products.

Calculate material price variances and material quantity variances.

Calculate labor rate variances and labor efficiency variances.

Understand and apply variable overhead efficiency and rate variances.

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Definitions:

Basement Membrane

The basement membrane is a thin, fibrous layer that lies between the epithelium and the underlying connective tissue, providing support and anchorage.

Tunic Media

The middle layer of the wall of blood vessels, composed mostly of smooth muscle and elastic tissue, which regulates the diameter of the vessels.

Arteries

Blood vessels that carry oxygenated blood away from the heart to the body's tissues, except for the pulmonary arteries, which carry deoxygenated blood to the lungs.

Veins

Blood vessels that carry blood towards the heart, typically carrying deoxygenated blood, except for the pulmonary and umbilical veins.