During 2020, Michael owns 80% of Chili Burger's, Inc., a calendar year S corporation. His son, Sonny owns the remaining 20% of the stock. At December 31, 2019, Michael's stock basis is $32,000, and...
Surplus Galore uses the gross method of accounting for sales discounts. Selected data from its records for the year ended December 31 was as follows: Debit Credit Sales $800,000 Accounts Receivable...
Rest argues that moral judgment, while important, is not the only, nor the most significant, influence on ethical decision making. Why do you think the other 3 stages Rest added to make up his...
On January 1, 2006, Solitaire Company leased equipment for 7 years. The lease required annual payment of $25,000 each for the first 4 years and an annual payment of $15,000 each for the remaining...
Travel Trailers is a business owned by Charles Fowler. The business earns its income from the servicing of recreational vehicles. Accounting policies and procedures of the business are as followings:...
The management accountant at Miller Merchandising & More, Odail Russell is in the process of preparing the cash budget for the business for the fourth quarter of 2021. It is customary for the...
Claudine McKay owns 60% of the common shares of McKay Ltd. Jenns common shares had an adjusted cost base (ACB) of $1,050,000. The McKay Ltd. common shares have a total PUC of $2,300,000 and a total...
Vincent is a 50% partner in the TAV Partnership. He became a partner three years ago when he contributed land with a value of $60,000 and a basis of $30,000 (current value is $100,000). Tyler and...
Jessica Ltd sold inventory during the current period to its wholly-owned subsidiary, Amelie Ltd, for $15,000. These items previously cost Jessica Ltd $12,000. Amelie Ltd subsequently sold half the...
V & T Faces, Inc., would like to open a retail store in Miami. The initial investment to purchase the building is $420,000, and an additional $50,000 in working capital is required. Since this store...
Tutti Frutti Ltd. is a fruit juice company which is part of the divisionalised ARP International Group (ARPIG). Tutti Frutti is a market leader and it sells a wide range of juices to the catering...
Dallas Pierces most recent credit card statement follows. His finance charge is 15% APR. Calculate Dallass average daily balance, finance charge, and new balance. (Round your final answers to the...
Instant Computing is a contract manufacturer of laptop computers sold under brand named companies. Presented are Instants budgeted and actual contribution income statements for October. The company...
Listed below are three procedures followed by Garys Sporting Goods, owned by Gary Stanten. Listed below are three procedures followed by Gary's Sporting Goods, owned by Gary Stanten. Indicate whether...
Chase Company, an auto repair shop, established a $200 change fund on March 1. On March 2, the cash on hand at the end of the day was $856.75. Chase Company, an auto repair shop, established a $200...
You have just been hired as a new management trainee by Earrings Unlimited, a distributor of earrings to various retail outlets located in shopping malls across the country. In the past, the company...
7). Refer to the data below: Great Gun's, Inc. Adjusted Trial Balance December 31 Debit Credit Cash S 16 Accounts Receivable Equipment Accounts Payable Capital Stock Retained Eamings 34 170 S 25 112...
Let's say that professor Sanford dies (this is not going to happen for another 20 years), and the estate of decedent- Sanford comes into existence. Also, assume that you are the adopted child of...
Mildred is a single person who is a 25 percent owner of a local business that operates using the name Four Rivers. The business reports $500,000 of taxable business income for the year 2020. Assume...
Redtop Co. uses a standard cost system and flexible budgets. The following flexible budget was prepared at the 80% operating level for the year: Standard direct labor hours (DLHs) 28,800 Budgeted...
Complete a schedule that reflects a ratio analysis of each company. The current year financial statements for Blue Water Company and Prime Fish Company are presented below. Blue Water Prime Fish...
As he sat in his office and watched customers walk in on a busy Friday night in April 2016, Prashant Goel, the owner and founder of Yalla Momos restaurant, contemplated its future expansion. He had...
Indicate the proper accounting treatment for each element of R&D costs by selecting the appropriate circle. Element CapitalizeExpense 1. The costs of facilities acquired or constructed for R&D...
"Assume that a company receives $600 cash from a customer as the initial sign-up fee for a service. In addition to the sign-up fee, the customer also is required to pay $25 per month for the service....
Ridge Development Group is formed on June 1st by John Parks and Sue Jones to operate as a calendar-year, accrual- basis company that develops and markets land to customers. John will contribute land...
Assume you are an auditor of ABC Corporation. In the process of talking to the employees of ABC you have found out that there is concern that the Director of Purchasing is steering Purchase Orders to...
Assume the following data for Quality Care Dry Cleaning for the year ended December 31. Gross earnings $355,600.00 All employees' salaries are greater than $7,000 in the first quarter of employment...
Denise is planning to open a take-away business in Hobart, which will sell healthy hamburgers prepared with fresh, local ingredients. These will come in two sizes: regular and large, and each order...
Caterham PLC distributes sports equipment for sale to a number of High Street chains, importing branded goods from China and India. The company has several distribution and delivery hubs throughout...
Falcor Supplies is a distributor of high tech teaching equipment. Its primary target customers are schools in the region who purchase the teaching equipment for classrooms and online use. The...
A composite rod with a total length of 200 mm consists of a steel rod that is 140 mm long and 20 mm in diameter, which is rigidly attached to the end of a brass rod that is 100 mm long and 30 mm in...
The Webster Corporation is a manufacturer of an electronic circuit board called the "EC". which it sells in the intermediate market. The following information is available about the EC (revenue and...
Process costing is an effective method to identify resource and logistics costs. Discuss the specific steps you would take to design a process costing system that effectively identifies resource and...
Molina Company had a $700 credit balance in Allowance for Doubtful Accounts at December 31, 2016, before the current year's provision for uncollectible accounts. An aging of the accounts receivable...
A construction site requires a minimum of 10,000 m3 of sand and gravel mixture. The mixture must contain no less than 5,000 m3 of sand and no more than 6,000 m3 of gravel. Materials may be obtained...
Becker Co. is required to file its annual audited financial statements with the Government Accountability Office and Gearty & Green, CPA's have been hired to perform the engagement. When...
Entity A leases construction machinery to local building sub-contractors for many years. On 1 January 2014, Entity A purchased 20 units of construction road roller. The economic life of the road...
Ursula works as a Senior Account Manager for Decorous Stone and Tile (Deco), a Canadian public company. Her responsibilities include selling tiling products to various retailers across North America,...
Barrys Bar-B-Que is a popular lunch-time spot. Barry is conscientious about the quality of his meals, and he has a regular crowd of 600 patrons for his $5 lunch. His variable cost for each meal is...
A planar coil of wire has a single turn. The normal to this coil is parallel to a uniform and constant (in time) magnetic field of 1.4 T. An emf that has a magnitude of 2.7 V is induced in this coil...
Suppose there are two types of folks in the world - Slackers and Overachievers. Overachievers are, by nature, more productive than Slackers. However, employers cannot distinguish between these types...
2. As shown in the figure above a person whose eye level is 5 feet above the ground stands on the top of a hill overlooking a valley. The shape of the valley is modeled by the graph of f(x) = 50...
In 2019, Scotiabanks interest rate on GICs was 1% for a 1-yr term and 2.5% for a 10-yr term. (Scotiabanks mortgage rate for 1 yr was 3.6% and 6% for 10 yrs.) The average annual return on the stock...
Mark from Marks Mowers wants to make some changes to his business. He has asked each of his department managers (Production, Marketing and Sales) to submit a plan for growth to you the General...
The following information from St. Paul Supply, Inc. is provided for 2017 and 2016: 12/31/17 12/31/16 12% Cumulative preferred stock, $20 par $200,000 $200,000 Common stock, $5 par 40,000 28,000...
The shareholders equity section of Jason Company as of December 31, 2017 follows: Common stock $180,000 Additional paid-in capital (Common stock) 110,000 Retained earnings 160,000 Total shareholders...
Michael and Jeanette Boyds Tax Return Michael D. and Jeanette S. Boyd live with their family at the Rock Glen House Bed & Breakfast, which Michael operates. The Bed & Breakfast (B&B) is...
Mirna the owner of Mirna Trading extracted the following balances as at 31 December 2020. Particulars Debit (RM) Credit (RM) Beginning Inventory 2,368 Carriage outwards 200 Carriage inwards 310...
Beachside Realty rents condominiums and furnishings. Below is the adjusted trial balance at December 31. Debit Credit Cash 1,500 Accounts Receivable 2,000 Interest Receivable 100 Prepaid Insurance...
On January 1, 2020, Apple Corp. granted 100,000 nonqualified stock options with an estimated $20 fair value per option. Each option entitled the recipient to purchase one share of Apple stock for...
Quinzel Inc. has projected net cash flows from operations at Php45 Million on the first year. In order to realize the 10% growth for the next 4 years, Jabel purchased CAPEX amounting to Php250...
Recognition accuracy that measures the percentage of orders that are taken correctly is 86.8%. Suppose that you place order with the bot and two friends of yours independently place orders with the...
Royal Paints has a merchandising range that includes a variety of cosmetic and promotional yoga products. A 2-year contract between Henry and Megan Marvel (HMM) Pty Ltd and Royal Paints was signed in...
Mr. John Manville owed Mr. Paul Glennon $10,000. John transferred his car worth $10,000. to satisfy the debt. Two months later John filed bankruptcy as an individual under Chapter 7. His total...
Its impossible! There is no justification for ignoring these entries. These are the words spoken by Jackie Bauman at a meeting with the CFO of the company, Glen Donner. Cumberland Lumber is a...
Assume that you are the auditor of ABC Inc, for the fiscal year 2006. No audit procedures have been performed other than general information gathering. Please read all the information given below...
On January 1, 2020, AutoCare Corp. (a Canadian company) purchased 80% of Vintage Cars Inc, an American company, for $50,000 U.S. Vintage Carss book values approximated its fair values on that date...
P 8-6. Dorex, Inc., presented the following comparative income statements for 2007, 2006, and 2005: For the Years Ended 2007 2006 2005 Net sales Other income $1,600,000 22,100 1,622,100 $1,300,000...
Job 007 requires $10,000 of direct materials, $4,000 of direct labor, 400 tons of material, 200 machine hours, two setups, ten inspection hours, and one design change. The manufacturing overhead cost...
Accounting Assume that on February 20th (The last day of Tescos half year reporting period ending on 21st February) Tesco received 200 million in prepayments from Unilever under the expectation that...
On January 1, 2017, Belgium Industries SA had the following equity accounts. Share Capital-Ordinary (4 par value, 250,000 shares issued and outstanding) Share Premium-Ordinary Retained Earnings...
Identify the role you are playing; assess the financial reporting landscape, considering the user needs, constraints, and business environment; identify the issues; analyze the issues (qualitatively...
Capital expenditures are part of the analytical hierarchy process where the decision to buy is assessed at the cash flow level even if these are uneven. The capital risk and sensitivity of our...
Wanda is an Australian resident for the full year and received a $9 000 cash dividend which was franked to 100%. Wanda does not receive any other income during the year. What are the tax consequences...
Peter and Heidi Mathews are married and are both 50-year-old Australian residents. During the 2020-21 tax year, Heidi earned $35,000 of assessable income from carrying on her florist shop business....
On 30 April, 2021, Andrea's cash book showed a debit balance of 7,200. On the same date her bank statement balance showed a credit balance of 4,022. On examination of the records, the following were...
In this module, we're building a basic foundation in corporate equity transactions. This discussion will allow you to develop expertise in analyzing and recording equity transactions and creating...
If Juanita can get a different deal from another dealership with the same cash price and down payment but with a 60 month term and a $180 monthly payment, what will be the APR for this installment...
Excel template below: Jody wishes to use the forecast just developed to help make an Aggregate Production Plan that will then become a Master Production Schedule and drive a Materials Requirements...
Melanies mother is changing jobs and offered to sell an office building and used office furniture to Melanie, who is a psychologist. Melanie bought the two items of her mothers on March 25, 2019 for...
Brooks Clinic is considering investing in a new heart monitoring equipment . It has two Options A which is a lower initial investment but would be a significant expenditure for rebuilding after 4...
On July 1, 2015, Velor Inc. acquired the following bonds, which Velor Inc. intended to hold to maturity: BOND Price Face Amount Purchased Face Amount Purchased Zcom Inc. 12% bonds, maturity date...
1: Since the small island has been hurt by a downshift in tourism, we could help the economy by providing a one-time tax for the pollution. This would present an immediate Carbon Offset of...
Ann has $10k Australian dollars to invest in a complete portfolio. You have provided her a risky portfolio with return of 10.5% and standard-deviation of 15%, and a risk-free asset with return equals...
On January 1, 2020, Xiamen Company made amendments to its defined benefit pension plan that resulted in 62,800 yuan of past service cost. The plan has 5,130 active employees with an average expected...
Accounting On january 2017 TMK consulting company started its work. With the following data as on December 31,2017: Cash at bank 80,000 Loans 150,000 Receivables 150,000 Capital 100,000 Fixed assets...
On January 1, 2010, P Company purchased an 80% interest in S Company for $900,000. At that time, S Company had capital stock of $600,000 and retained earnings of $100,000. Differences between the...
Product X is a consumer product with a retail price of $12.95. Retailers margins on the product are 40% and wholesalers margins are 8% (based on the selling price). Total retail size of the market in...
Given the following yield information on municipal bonds issued by the state of Nebraska: 1-year note yield = 2.35% 2-year note yield = 2.75% 3-year note yield = 3.29% 4-year note yield = 3.95%...
Write a note on Relationship between auditing and risk assessment and cover both aspects of internal and external audit.
An assembly line produces 800 products per hour, with a standard deviation of demand during lead time of 100. For every product they make they use a Kanban system. The lead time from the inventory...
Vertical Analysis of Income Statement The following comparative income statement (in thousands of dollars) for two recent years was adapted from the annual report of Speedway Motorsports, Inc. (TRK),...
Twenty metrics of liquidity, Solvency , and Profitability The comparative financial statements of Automotive Solutions Inc. are as follows. The market price of Automotive Solutions Inc. common stock...
Terry and Breanna Joyce had a recent conversation with their friend Jake about life cycle changes and the importance of seeking financial advice. They have recently found out that Breanna has fallen...
X Corporation is a cash method, calendar year taxpayer. During the current year, X has the following income and expenses: $20,000 Gross profits from sales. Salaries paid to employees $10,250 $ 3,000...
Late in December, the next generation of multiuse (MU II) watches is released. In addition to all of the features of the MU watch, the MU II watches are equipped with a global positioning system...
Denver Company prepares its statement of cash flows using the direct method and engaged in the following transactions during 2010:1.Denver retired bonds payable by issuing common stock.2.Denver...
Kendyl decides to use a Paired Samples T-Test and her results indicate a pretest mean of 31.3667 (SD = 6.31082) and a posttest mean of 34.9667 (SD = 6.65652), p = .000. 1. Did Kendyl use the correct...
Finally, Reza mentions that he was hired into the CFO role on an interim basis with the possibility of being made permanent based on performance. Although he wants to succeed in this role, he does...
In 2005 IBM had an ROE of 26.7%, but Hewlett-Packards ROE was only 6.4%. Use the DuPont framework to identify possible reasons for this difference based on the data below: IBM HP NOPAT/Sales 9.0%...
Entity A hires out motor trucks to its part-time drivers to generate revenue. The draft accounts at the end of the reporting period of 31 December 2017 included the motor trucks which were bought on...
The Audiology Department at Randall Clinic offers many services to the clinic's patients.The three most common, along with cost and utilization data, are as follows: a. What is the fee schedule for...
Use Targets 2017 annual report filed with the SEC in 2018 for the following calculations. For the most recent year presented, what was Targets total asset turnover? Do NOT round intermediate...
Both Mr. Byrd and Mrs. Byrd are employed. During 2019, Mr. Byrd had opened a restaurant and had business income of $12000. Mr. Byrd also had net employment income of $52000, after deducting $10100 of...
Metlock Inc. sells appliances to Seasons Department Store. A recent order requires Metlock to manufacture and deliver 500 toasters at a price of $88 per unit. Metlocks manufacturing costs are...
Alexander Stephens is currently 32 years old and married to wife, Theresa, who is 30. They have twin two-year old sons, and do not plan to have more children. They live in Corona Del Mar, CA in a...
Consider Company A that holds mostly floating-rate short-term TL-denominated assets partly financed with a 50m 4-year bonds with fixed 10% annual coupons. As a result Company C is faced with both an...
HOW DO WE REPORT THIS? Southwestern Corporation operates throughout Texas buying and selling widgets. To expand into more profitable markets, the company recently decided to open a small subsidiary...
Problem #4 - You are the human resources representative for a new winery, Vino421, located in Northern Michigan. As part of its operation, Vino421 offers wine tastings in its tasting room and wine...
The dehydration butanol of alumina is carried out over a silica-alumina catalyst at 680K. CH3CH2CH2CH20H------->cat CH3CH=CHCH3 + H2O The rate law is -r Bu = KPBU/(1+KBuPBul with k= 0.054...