During Year 1, Chung Corporation earned $5,100 of cash revenue and accrued $3,400 of salaries expense. Required:
Based on this information alone:
A. Prepare the December 31, Year 1, balance sheet.
B. Determine the amount of net income that Chung would report on the Year 1 income statement.
C. Determine the amount of net cash flow from operating activities that Chung would report on the Year 1 statement of cash flows.

Oerstman, inc. uses a standard costing system and develops its overhead rates from the current annual budget.the budget is based on an expected annual output of 120,000 units requiring 480,000 direct labor hours.(practical capacity is 500,000 hours)annual budgeted overhead costs total $772,800, of which $556,800 is fixed overhead.a total of 119,300 units, using 478,000 direct labor hours, were produced during the year.actual variable overhead costs for the year were $260,400 and actual fixed overhead costs were $555,450.required: 1. compute the fixed overhead spending variance and indicate if favorable or unfavorable.2. compute the fixed overhead volume variance and indicate if favorable or unfavorable.