Based on the process costing system, at the end of the period, the total equivalent units for conversion costs are 1340.
The total equivalent units for conversion costs for the Adams Company can be calculated using the following formula:
Total equivalent units for conversion costs = (units completed and transferred out x 100%) + (ending units x % complete for conversion costs)
In this case, the units completed and transferred out are 1200, The starting units are 1600 units. Hence, the ending units are 400 (1600 units started - 1200 units completed and transferred out). Ending units were 70% complete for materials and 35% complete for conversion costs
Plugging these values into the formula gives us:
Total equivalent units for conversion costs = (1200 x 100%) + (400 x 35%)
Total equivalent units for conversion costs = 1200 + 140
Total equivalent units for conversion costs = 1340
Therefore, the total equivalent units for conversion costs for the Adams Company at the end of the period are 1340.
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1. Jane is a cashier at Lulu Ltd a fast-food outlet in Kang. She receives a lot of cash from customers for cash sales. Serving a lot of customers each time makes it difficult for her to record cash promptly. Her cousin does the banking of cash on her behalf every Saturday. Sunday is her resting day. She sometimes asks her brother, who is doing a certificate in accounting at a local college, to help her with bank reconciliation. As she is not familiar with accounting, she normally files the bank reconciliation without questions.a. Identify, from the above scenario, the risks and control objectives relating to cash. 5 marksb. State the controls needed to deal with the identified risks. 5 marks
Jane is at risk of theft because cash is not recorded daily due to a lack of time. She may incur recording errors or omissions by not keeping track of cash received daily. She increases the risk of embezzlement because someone else records the cash for her. You also run the risk of unreliable reconciliation information since Jane does not know accounting and her brother does the reconciliation.
The controls that are recommended to be implemented are:
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BID ASK Time Trader Size Price Price Size Trader Time 09:55 HSU 300 3.30 3.60 200 CUH 09:15 10:09 CTU 200 3.10 3.90 500 HKU 09:30 09:45 PLU 600 2.85 4.10 300 MPU 10:00 10:05 UST 500 2.65 4.25 100 BUH 09:58 No.# Time Trades or Orders 1 10:15 2 10:20 3 10:27 4 10:30 5 10:35 A market order to buy 300 shares A market order to sell 200 shares A limit order to buy 500 shares at $3.00 A limit order to sell 300 shares at $3.90 The limit order to buy at $3.10 was all cancelled A market order to sell 300 shares. This triggered a stop loss sell order of 300 shares at $3.00 A limit order to buy 500 shares at $3.20 6 10:38 7 10:38 8 10:39
(A) If you execute a market buy order of 400 shares of ABC, how much in total will you pay (ignore all other costs)? What is the average price per share you buy? What are the best market price and quantity immediately following your action?
(B) Suppose you have purchased 300 shares of ABC previously at a cost of $3.00 per share. If the maximum amount you are willing to lose for this investment is 20%, suggest a kind of order you will use for this purpose, with reference to the current market condition as depicted in the table above. (Give the type of order: market/limit/stop loss; buy/sell; and price)
(C) Suppose you have short sold 200 shares of ABC previously at a cost price of $4.60 per share. If you intend to have a minimum return of 20% for this investment, suggest a kind of order you will use for this purpose, with reference to the current market condition as depicted in the table above. (Give the type of order: market/limit/stop loss; buy/sell; and price)
(D) Suppose right now, one of your clients requests to buy 800 shares of ABC "by the end of the trading day". There are two possible strategies you may take to handle this order: use a market order or use a limit order. Explain a. How would you use market order in this case? What will be the result? What are the pros and cons of using market order in this case. b. How would you use limit order in this case? What will be the result? What are the pros and cons of using limit order in this case.
A) The average price per share your buy is $3.20
B) You can use a stop loss sell order at $2.40.
C) You can use a limit buy order at $3.68.
D) You can use either a market order or a also can limit any order.
(A) If you execute a market buy order of 400 shares of ABC, you will pay a total of $1,280 (200 shares at $3.60 and 200 shares at $3.90). The average price per share you buy is $3.20 ($1,280/400 shares).
The best market price immediately following your action is $3.90 for 300 shares (from the limit order by MPU at 10:00) and the best quantity is 300 shares.
(B) If you have purchased 300 shares of ABC previously at a cost of $3.00 per share and the maximum amount you are willing to lose for this investment is 20%, you can use a stop loss sell order at $2.40 (20% below $3.00) to protect your investment.
This will ensure that if the price of ABC drops to $2.40 or below, your shares will be automatically sold at the best available price, minimizing your loss.
(C) If you have short sold 200 shares of ABC previously at a cost price of $4.60 per share and you intend to have a minimum return of 20% for this investment, you can use a limit buy order at $3.68 (20% below $4.60) to cover your short position.
This will ensure that if the price of ABC drops to $3.68 or below, you will buy back the shares at the best available price, locking in your profit.
(D) If one of your clients requests to buy 800 shares of ABC "by the end of the trading day", you can use either a market order or a limit order.
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What steps should U.S.-based franchisors take when establishingoutlets in foreign countries?
U.S.-based franchisors should take the following steps when establishing outlets in foreign countries: Research the market, Choose a location, Train franchisees, Monitor the outlet etc.
U.S.-based franchisors should take the following steps when establishing outlets in foreign countries:
1. Research the market: Franchisors should research the local market to determine the demand for their product or service and identify potential competitors.
2. Choose a location: Franchisors should choose a location that is easily accessible to potential customers and has a strong local economy.
3. Obtain necessary licenses and permits: Franchisors should ensure they have the necessary licenses and permits to operate in the foreign country.
4. Adapt to local culture: Franchisors should adapt their business practices to fit the local culture and customs. This may include modifying their product or service offerings, marketing strategies, and pricing.
5. Hire local staff: Franchisors should hire local staff to help run the outlet and provide insight into the local market.
6. Train franchisees: Franchisors should provide comprehensive training to franchisees to ensure they understand the company's policies and procedures
7. Monitor the outlet: Franchisors should regularly monitor the outlet to ensure it is operating efficiently and meeting the company's standards.
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Building a balance scorecard is like a journey. Justify thestatementSWATprovid at least 5 valid points to justify the statement
The statement "building a balance scorecard is like a journey" is justified because it requires a clear destination, commitment,collaboration,involves multiple steps,continuous process.
1. It requires a clear destination: Just like a journey, a balance scorecard needs a clear destination or goal to be effective. This means that the organization needs to have a clear understanding of its vision and mission in order to build a successful balance scorecard.
2. It involves multiple steps: Just like a journey, building a balance scorecard involves multiple steps that need to be taken in order to reach the destination. These steps include identifying key performance indicators, setting targets, and tracking progress.
3. It requires collaboration: Just like a journey, building a balance scorecard requires collaboration from different departments and teams within the organization. Each team needs to contribute their expertise and work together to achieve the overall goal.
4. It is a continuous process: Just like a journey, building a balance scorecard is a continuous process that requires ongoing monitoring and adjustments. This means that the organization needs to regularly review the balance scorecard and make changes as needed to stay on track.
5. It requires commitment: Just like a journey, building a balance scorecard requires commitment from the organization and its employees. Without commitment, the balance scorecard will not be effective in helping the organization achieve its goals.
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The idea that media and, by extension, society, is best studied from the bottom-up by focusing on what people do with media rather than what media do to people is best illustrated by researching which of the following concepts:Select one:a.Media Institutionsb.Media Technologiesc.Social Institutionsd.Everyday life
Option - D: The idea that media and, by extension, society, is best studied from the bottom-up by focusing on what people do with media rather than what media do to people is best illustrated by researching the concept of Everyday life.
This approach focuses on how people use media in their daily lives and how it impacts their interactions, beliefs, and behaviors. It emphasizes the agency of the individual in their media consumption and the importance of understanding the social context in which media is used. This perspective is often associated with cultural studies and is sometimes referred to as the "active audience" approach.Thus the correct answer is Option D: Everyday life.
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Compute the book value of a 30-year, fixed-rate, $200,000 simple interest mortgage loan that has been outstanding for 20-years (10-years of payments remain). Payments are made monthly. The loan's original interest rate was 6% but loans of similar risk and 10-years remaining until maturity have an interest rate of 4%. (Answers are to the nearest dollar).
The book value of of a 30-year, fixed-rate, $200,000 simple interest mortgage loan that has been outstanding for 20-years is $111,804.
The book value of a loan is the amount that is still owed on the loan at a specific point in time. In this case, we need to compute the book value of a 30-year, fixed-rate, $200,000 simple interest mortgage loan that has been outstanding for 20 years.
1. First, we need to determine the monthly payment on the loan. We can use the formula:
P = L[c(1 + c)^n]/[(1 + c)^n - 1]
Where:
P = monthly payment
L = loan amount
c = monthly interest rate
n = number of monthly payments
Plugging in the given values, we get:
P = $200,000[(0.06/12)(1 + 0.06/12)^360]/[(1 + 0.06/12)^360 - 1]
P = $1,199.10
2. Next, we need to determine the remaining balance on the loan after 20 years of payments. We can use the formula:
B = L[(1 + c)^n - (1 + c)^p]/[(1 + c)^n - 1]
Where:
B = remaining balance
L = loan amount
c = monthly interest rate
n = number of monthly payments
p = number of payments made
Plugging in the given values, we get:
B = $200,000[(1 + 0.06/12)^360 - (1 + 0.06/12)^240]/[(1 + 0.06/12)^360 - 1]
B = $126,039
3. Finally, we need to adjust the book value for the difference in interest rates between the original loan and loans of similar risk with 10 years remaining until maturity. We can use the formula:
BV = B - (B - P)[(r - r')/r']
Where:
BV = book value
B = remaining balance
P = monthly payment
r = original interest rate
r' = current interest rate
Plugging in the given values, we get:
BV = $126,039 - ($126,039 - $1,199.10)[(0.06 - 0.04)/0.04]
BV = $111,804
Therefore, the book value of the loan is $111,804.
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Wilson and Steve live side by side in townhomes joined together by a shared wall. They both have separate driveways leading to separate garages on the opposite sides of the townhomes, and both driveways need to be sealed.
Hank calls a paving company on Monday, and the company agrees to come out and seal the driveway that Friday. Hank will be at work, but tells the company that Friday will be fine. Hank also tells his neighbor Peggy about the sealing company coming over in passing conversation.
Early Friday morning, the paving company shows up and begins working on Peggy's driveway instead of Hank's. Peggy comes out and offers them fresh-squeezed lemonade and ham sandwiches, and they heartily accept.
Upon completion of the work the paving contractor knocks on Peggy's door and asks if "the man of the home" is present so he can get paid. Peggy breaks the news to them that they sealed the wrong driveway, and they have 10 minutes to get off her property before the police will come.
Is Peggy obligated to pay the paving company for its work? Do they have a contract? If so, why? If not, are there any other theories of recovery available to the paving company?
There was no contract between her and the pavement company, so Peggy is not obligated to pay the pavement company for her work. The contract she said was a legally binding agreement between two or more parties, and in this case there was no agreement between Peggy and the pavement company. A deal was made between Hank and the pavement company, who accidentally sealed Peggy's driveway instead of Hank.
There was no contract between Peggy and the pavement company, but there may be other theories of recovery available to the pavement company. Her one such theory is undue enrichment that occurs when one party becomes unduly rich at the expense of the other. In this case, the pavement company could argue that Peggy was unfairly enriched by being given the benefit of an enclosed driveway without her having to pay for it. This theory is unlikely to succeed, as he did not and was unaware that the pavement company had inadvertently sealed the driveway.
Another theory of correction could be that it was a mistake when one party made a mistake that led to unfair consequences. However, this theory also fails because the paving company was the sole cause of the error and Peggy noticed the error only after the work was completed.
There is a possibility. In summary, Peggy did not have a contract with the pavement company, so she is not obligated to pay the pavement company for her work. Other restoration theories may be available to the road building company, but they are unlikely to succeed, as Peggy did not commission the work and she was unaware of the failure until it was completed.
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You plan to buy the sailing boat of your dreams in 5 years. It is expected to cost a total of $20 000 at that time. You have deposited $8 000 in a Certificate of Deposit paying 4% interest annually, maturing 5 years from now. Your parents have agreed to pay for all remaining expenses. If you are going to put your parents’ gift in an investment earning 7% over the next 5 years, how much must they deposit today, so you buy your boat 5 years from today?
The Present Value formula is PV = FV / (1 + r) ^ n, where PV is the present value, FV is the future value, r is the interest rate, and n is the number of years.
In this case, we know the future value of the boat is $20 000, and we need to find the present value of the remaining amount after subtracting the $8 000 from the Certificate of Deposit. So, the remaining amount is $20 000 - $8 000 = $12 000.
Using the Present Value formula, we can plug in the values and solve for PV:
PV = $12 000 / (1 + 0.07) ^ 5
PV = $12 000 / 1.40255
PV = $8 558.62
Therefore, your parents must deposit $8 558.62 today in an investment earning 7% over the next 5 years in order for you to buy your boat 5 years from today.
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Find the annual fire insurance premium for the following. Ritkin Drug & Gift Shop has an insurable loss of $270,000, while having insurance coverage beyond coinsurance requirements. The insurance is divided between Company A with $300,000 coverage, Company B with $200,000 coverage, and Company C with $500,000 coverage. Find the amount of loss paid by Company A
To find the amount of loss paid by Company A, we need to first determine the percentage of the total coverage that Company A provides.
The total coverage provided by all three companies is $300,000 + $200,000 + $500,000 = $1,000,000.
Therefore, Company A's percentage of the total coverage is:
$300,000 / $1,000,000 = 0.3 or 30%
Next, we need to determine the amount of the loss that Company A is responsible for. Since the total insurable loss is $270,000, Company A is responsible for 30% of that amount, which is:
0.30 x $270,000 = $81,000
Therefore, Company A will pay $81,000 towards the insurable loss, while Companies B and C will pay the remaining amounts based on their coverage percentages.
To find the annual fire insurance premium, we need to know the rate at which the insurance companies charge for their coverage. This information is typically provided in terms of a percentage of the insurable value of the property being insured. For example, if the insurance rate is 0.5%, then the annual premium would be 0.5% x $270,000 = $1,350.
However, since we do not have information about the insurance rate, we cannot calculate the annual premium. This information would need to be obtained from the insurance companies providing the coverage.
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In the short-run, a decrease in wage rates in an economy would
increase aggregate supply.
decrease aggregate supply.
cause a movement up the AS curve.
cause a movement down the AS curve.
not impact aggregate supply.
option A is the correct solution: a decrease in wage rates in an economy would increase aggregate supply.
Why it is?
In the short-run, a decrease in wage rates in an economy would increase aggregate supply. When wage rates decrease, the cost of production for firms decreases, making it more profitable for firms to produce goods and services.
This leads to an increase in the quantity of output supplied by firms, which in turn increases aggregate supply. The relationship between wage rates and aggregate supply is depicted by the upward sloping aggregate supply curve, which shows that a decrease in costs of production, including wages, leads to an increase in aggregate supply.
Therefore, option A is the correct answer: a decrease in wage rates in an economy would increase aggregate supply.
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Question THREE
a) Why is finance described as the most important activity in any organization? Use relevant examples to support your answer (5 marks)
b) Discuss the merit and demerits of debt finance (5 marks)
Finance is described as the most important activity in any organization because it is the process of acquiring and allocating resources to achieve organizational goals.
Without proper financing, an organization cannot function efficiently and effectively. For example, an organization needs finance to pay employees, purchase raw materials, and invest in marketing and advertising to promote its products or services. Without sufficient funds, an organization cannot hire qualified employees, produce quality products, or reach potential customers.
The Answer to Question BDebt finance is a method of raising funds by borrowing money from a lender, such as a bank or investor. The borrower must pay back the loan with interest over a specified period of time.
The merits of debt finance include:
The ability to raise large sums of money quicklyThe ability to maintain ownership and control of the organizationThe ability to deduct interest payments on the loan from taxable incomeThe demerits of debt finance include:
The obligation to make regular interest payments, which can strain an organization's cash flowThe risk of default if the organization cannot repay the loanThe potential for higher borrowing costs if the organization has a poor credit rating.Learn more about financial management https://brainly.com/question/989344
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I need three top questions about "What is needed to take the
decision GO/NO GO in process development?" If we assume that the
money and time are not the main issues.
The decision to GO or NO GO in process development is an important one and should be based on a careful consideration of a variety of factors. Here are three top questions to consider when making this decision:
1. What are the potential benefits of moving forward with this process development? Consider the potential impact on productivity, quality, and customer satisfaction.
2. What are the potential risks associated with moving forward with this process development? Consider the potential impact on safety, compliance, and reputation.
3. What resources are needed to successfully implement this process development? Consider the necessary personnel, technology, and support systems.
By carefully considering these questions, you can make an informed decision about whether to GO or NO GO in process development.
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Research costs:
Should be charged to expense when incurred.
Include periodic alternatives to existing products.
Are intangible assets.
Are usually small in dollar amount.
Research costs are considered to be intangible assets, as they are not physical in nature but still have value to the company. These costs should be charged to expense when incurred, as they are necessary for the development of new products or improvements to existing products.
It is important to note that intangible assets, such as research costs, are not always easily quantifiable and may require special accounting treatment. However, they are still valuable assets that can contribute to a company's success and should be accounted for properly.
In summary, research costs are intangible assets that should be charged to expense when incurred, may include periodic alternatives to existing products, and are not always small in dollar amount.
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Self-regulation can lead to financial crises and corporate
scandals’ – Use theories and examples discussed in class to what
assess to what extent is this statement true
Yes, self-regulation can lead to financial crises and corporate scandals.
For example, according to the efficient market hypothesis (EMH), self-regulation in financial markets can create instability as investors' confidence and irrational optimism can lead to asset bubbles, overvaluation and ultimately financial crises.
Similarly, the principal-agent problem, which occurs when an individual or organization is acting on behalf of another, can lead to conflicts of interests, creating misaligned incentives between agents and principals that can lead to corporate scandals.
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What is the difference between a strength, a competitive advantage, and a sustainable competitive advantage? What makes an ability (or set of abilities) a core competency? Why is it necessary to perform an external and internal analysis before the firm can a Delphi it's true core competencies?
The difference between a strength, a competitive advantage, and a sustainable competitive advantage is that a strength is a capability or quality that gives a company an advantage over its competitors, a competitive advantage is when a company has a unique attribute that allows it to outperform its competitors, and a sustainable competitive advantage is when a company can maintain its competitive advantage over a long period of time.
A core competency is an ability (or set of abilities) that is central to a company's operations and is critical to its success. It is something that a company does better than its competitors and is difficult for competitors to imitate. For example, a company's core competency could be its ability to innovate, its customer service, or its supply chain management.
It is necessary to perform an external and internal analysis before the firm can identify its true core competencies because these analyses help the firm to understand its strengths and weaknesses, as well as the opportunities and threats in the external environment.
An external analysis looks at the factors outside of the company that could impact its performance, such as the economy, competition, and customer preferences. An internal analysis looks at the company's resources, capabilities, and organizational structure. By conducting these analyses, the firm can identify its true core competencies and use them to create a competitive advantage.
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The situation of corporate governance in UAE (local
& Federal level). (500 words)
Corporate governance in the UAE is regulated by both local and federal laws.
At the local level, each Emirate has its own laws and regulations that govern the operation of companies within its jurisdiction. These laws are designed to ensure that companies are managed in a way that is consistent with the interests of their shareholders and other stakeholders.
At the federal level, the UAE has a number of laws and regulations that apply to all companies operating within the country. These include the UAE Companies Law, which sets out the requirements for the formation and management of companies, and the UAE Securities and Commodities Authority (SCA) Law, which regulates the operation of the UAE's securities markets.
One of the key principles of corporate governance in the UAE is the requirement for companies to have a board of directors. The board is responsible for overseeing the company's management and ensuring that it operates in the best interests of its shareholders. The UAE Companies Law sets out the requirements for the composition and operation of the board, including the requirement for a minimum of three directors and the need for regular board meetings.
Another important aspect of corporate governance in the UAE is the requirement for companies to have an external auditor. The auditor is responsible for reviewing the company's financial statements and providing an independent opinion on their accuracy. The UAE Companies Law requires all companies to have an auditor, and the SCA Law sets out the requirements for the appointment and operation of auditors.
Overall, the UAE has a strong regulatory framework for corporate governance, with laws and regulations at both the local and federal level designed to ensure that companies are managed in a way that is consistent with the interests of their shareholders and other stakeholders. However, there is always room for improvement, and the UAE authorities are constantly working to strengthen the country's corporate governance framework and ensure that it remains in line with international best practices.
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Outline: Introduction Mission Vision, Goals, and Objectives Practice Activities A Closer Look Voluntrip 1. Select the mission and vision statements 2. Write your own mission and vision statements. 3. Differentiate between goals and objectives. 4. Write your own goals and objectives
Mission and vision statements are statements that describe the purpose and direction of an organization. Mission statements explain why the organization exists and what it is trying to achieve. Vision statements describe the organization’s desired future state.
Goals and objectives, on the other hand, are more specific and actionable plans for achieving the mission and vision statements. Goals are broad statements of what an organization hopes to achieve in the long-term, while objectives are more specific, measurable, and time-based plans for achieving the goals.
For example, a mission statement for a volunteer organization might be “to empower communities by providing meaningful volunteer opportunities.” The corresponding vision statement might be “to create a world where everyone has access to meaningful volunteer opportunities, regardless of their socio-economic status.”
Goals for this organization might include increasing volunteer engagement, expanding the number of volunteer opportunities, and engaging more diverse communities. Objectives might include increasing the number of volunteer hours logged by 20% by the end of the year, offering at least five new volunteer opportunities by the end of the year, and recruiting volunteers from at least five new underserved communities by the end of the year.
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If 10-year T-bonds have a yield of 6.28, 10-year, corporate bonds yield
8.58, the maturity risk premium on all 10-year bonds is 1.38, and
corporate bonds have a 0.48 liquidity premium versus a zero liquidity
premium for T-bonds, what is the default risk premium on the corporate
bond?
1. 908
2.098
2.308
2.539
2.788
The default risk premium is 1.820
What is Risk Premium?A risk premium is the amount of additional return needed by an individual to make up for being exposed to a higher risk level. The general definition of it, which is the predicted hazardous return less the risk-free return, is that it is frequently used in finance and economics.
How to solve:
Default risk premium = Yield on 10 year corporate bond - Yield on 10 year T-bond - liquidity premium
= 8.58% - 6.28% - 0.48%
= 1.820
Default risk premium = 1.820
Note: As per the given information, the answer is 1.820
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A Corporation reported net income of $20,000 for 2015. The income statement revealed
Sales of $200,000;
Gross profit of $104,000;
Selling and administrative costs of $68,000;
Interest expense of $4,000;
Income taxes of $12,000
The selling and administrative expenses included $5,000 for depreciation.
No equipment was sold during the year. Equipment purchases were made with cash. Prepaid insurance included in the balance sheet related to administrative costs.
All accounts payable included in the balance sheet relate to inventory purchases.
The change in retained earnings is attributable to net income and dividends.
The increase in common stock and additional paid-in capital is due to issuing additional shares for cash.
Comparative Balance Sheets for a Company follow.
TASKS
1. Using the indirect method, prepare a Statement of Cash Flows
2. Prepare Net Cash Flows only from Operating Activities under the Direct method
1. Using the indirect method, prepare a Statement of Cash Flows:
Cash flows from operating activities:
Net income $20,000
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation 5,000
Decrease in accounts payable (related to inventory purchases) -
Increase in prepaid insurance -
Increase in retained earnings (due to net income and dividends) -
Increase in common stock and additional paid-in capital (due to issuing additional shares for cash) -
Net cash provided by operating activities 15,000
2. Prepare Net Cash Flows only from Operating Activities under the Direct method:
Net cash provided by operating activities 15,000
Cash receipts from customers 200,000
Cash paid to suppliers (for inventory purchases) -
Cash paid to employees (for salaries, wages, etc.) -
Cash paid for interest expense - 4,000
Cash paid for income taxes - 12,000
Net cash provided by operating activities 15,000
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A company's stock currently sells for $120 per share. The company announced a 12% stock dividend, which will result in 1,400,000 shares outstanding after the stock dividend. Assuming there are no market imperfections or tax effects, what is the current number of shares outstanding ( before the stock dividend)?
The amount of shares currently in circulation prior to the stock dividend is 1,250,000.
To find the current number of shares outstanding before the stock dividend, we need to use the formula:
Current number of shares outstanding = (Number of shares outstanding after the stock dividend) / (1 + Stock dividend percentage)
Plugging in the given values:
Current number of shares outstanding = (1,400,000) / (1 + 0.12)
Current number of shares outstanding = (1,400,000) / (1.12)
Current number of shares outstanding = 1,250,000
Therefore, the current number of shares outstanding before the stock dividend is 1,250,000.
Note that the company's stock price and any market imperfections are irrelevant to this calculation, as we are only concerned with the number of shares outstanding.
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A firm has current assets of $100,000, long term assets of $150,000, long term liabilities of $75,000, and $100,000 in shareholders' equity. What is its net working capital:
$0
$100,000
$50,000
$25,000
The net working capital of a firm is calculated by subtracting its current liabilities from its current assets. In this case, the firm has current assets of $100,000 and long term assets of $150,000, but we are only concerned with the current assets for this calculation.
To find the current liabilities, we need to subtract the long term liabilities and shareholders' equity from the total assets. The total assets are $100,000 (current assets) + $150,000 (long term assets) = $250,000. The current liabilities are therefore $250,000 - $75,000 (long term liabilities) - $100,000 (shareholders' equity) = $75,000.
Now we can calculate the net working capital: $100,000 (current assets) - $75,000 (current liabilities) = $25,000.
Therefore, the correct answer is $25,000.
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What will be the remedial action for the following issues in a company, based on Lewin's three stages of change (unfreeze, movement, freeze)?
Remedial action for the following issues in a company can be addressed by using Lewin's three stages of change (unfreeze, movement, freeze):
1. Unfreeze: This stage involves creating a sense of urgency for change and breaking down the current state of affairs. In a company, this could involve communicating the need for change to employees, identifying potential obstacles, and gathering support from key stakeholders.
2. Movement: This stage involves implementing the change and moving the company towards the desired state. This could involve introducing new policies or procedures, reorganizing teams or departments, and providing training and support to employees.
3. Freeze: This stage involves solidifying the new state and ensuring that the change is sustainable. This could involve monitoring the success of the change, providing ongoing support and training, and reinforcing the new behaviors and practices.
By following these three stages, a company can effectively address any issues and implement meaningful and lasting change.
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Explain two influences on whether demand for a product is price elastic or price inelastic
Answer:
Many factors determine the demand elasticity for a product, including price levels, the type of product or service, income levels, and the availability of any potential substitutes. High-priced products often are highly elastic because, if prices fall, consumers are likely to buy at a lower price.
Mr. and Mrs. Good purchased a ski chalet for $310487. They paid $16001 down and agreed to make equal payments at the end of every three months for 14 years. Interest is 4.79% compounded quarterly.
Compute the equal quarterly payment.
Round your answer to 2 decimal places. Do not enter the dollar sign. Sample input: 124.34
The equal quarterly payment is $6587.46. Rounded to 2 decimal places, the answer is 6587.46.
To compute the equal quarterly payment, we can use the formula for the present value of an annuity:
PV = PMT × [(1 - (1 + i)^-n) / i]
Where PV is the present value, PMT is the quarterly payment, i is the quarterly interest rate, and n is the number of quarters.
Rearranging the formula to solve for PMT, we get:
PMT = PV × [i / (1 - (1 + i)^-n)]
Plugging in the given values:
PMT = ($310487 - $16001) × [(0.0479 / 4) / (1 - (1 + 0.0479 / 4)^-(14 × 4))]
PMT = $294486 × [(0.011975 / (1 - (1.011975)^-56))]
PMT = $294486 × 0.022369
PMT = $6587.46
Therefore, the equal quarterly payment is $6587.46. Rounded to 2 decimal places, the answer is 6587.46.
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Discuss the Usefulness of the Statement of Financial Position (Balance Sheet) and The Statement of Cash Flows to Investors and Third Parties. (Please make mention of the Elements of the Statements and the relevant Standards).
The Statement of Financial Position (Balance Sheet) and the Statement of Cash Flows are two of the main financial statements used by investors and third parties to evaluate the financial health and performance of a company.
These statements provide important information about a company's assets, liabilities, and cash flows, which can be used to make informed investment and business decisions.
The Statement of Financial Position (Balance Sheet) presents a company's financial position at a specific point in time. It includes the company's assets, liabilities, and equity, which are organized into three main sections. The assets section lists the company's current and non-current assets, such as cash, accounts receivable, and property, plant, and equipment. The liabilities section lists the company's current and non-current liabilities, such as accounts payable and long-term debt. The equity section lists the company's shareholders' equity, which is the difference between the company's assets and liabilities.
The Statement of Cash Flows presents a company's cash inflows and outflows during a specific period of time. It is organized into three main sections: operating activities, investing activities, and financing activities. The operating activities section includes cash flows from the company's normal business operations, such as cash received from customers and cash paid to suppliers.
The investing activities section includes cash flows from the company's investments, such as cash spent on property, plant, and equipment. The financing activities section includes cash flows from the company's financing activities, such as cash received from issuing debt or equity.
Both the Statement of Financial Position (Balance Sheet) and the Statement of Cash Flows are governed by relevant accounting standards, such as the International Financial Reporting Standards (IFRS) and the Generally Accepted Accounting Principles (GAAP). These standards ensure that the statements are prepared in a consistent and accurate manner, which allows investors and third parties to compare the financial performance of different companies.
In conclusion, the Statement of Financial Position (Balance Sheet) and the Statement of Cash Flows are useful to investors and third parties because they provide important information about a company's financial position and cash flows. These statements are governed by relevant accounting standards, which ensure their accuracy and consistency.
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Ethics Project
Decision 3 Taylor decided to turn in the proposal based on the higher projected IRR due to the cost reclassification. Consequences of Behavioral Action: The project was funded and, when completed, the IRR came in much higher than expected. Taylor was able to reverse the reclassification by reinstating the omitted expenditure back to the project rather than normal operations and still achieve an IRR of 8% on the project. One year later Taylor was promoted to vice president.
Decision 4 Taylor decided to turn in the proposal with a 7.5% IRR and it was not accepted. Taylor was not promoted.
It is clear from the scenario presented that there were different consequences for each of the decisions made by Taylor. In Decision 3, Taylor made the unethical choice to reclassify costs in order to increase the projected IRR and get the project funded.
However, when the project was completed, the IRR came in much higher than expected, allowing Taylor to reverse the reclassification and still achieve a satisfactory IRR. As a result of this decision, Taylor was promoted to vice president.
In contrast, in Decision 4, Taylor made the ethical choice to turn in the proposal with a lower IRR, which resulted in the proposal not being accepted. As a result of this decision, Taylor was not promoted.
It is important to note that while Taylor was rewarded for his unethical behavior in Decision 3, this does not necessarily mean that unethical behavior is always rewarded. In fact, there are often negative consequences for unethical behavior, including damage to one's reputation, loss of trust from colleagues and superiors, and even legal consequences. Therefore, it is important to always make ethical decisions, even if there may be short-term benefits to unethical behavior.
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Q1: Discuss three of the accounting principles.
Provide an example for each principle
Please i wants different answers the will
Accounting principles are the fundamental rules used to measure, classify, and report financial information. The three accounting principles are: The Going Concern Principle, The Accrual Principle, and The Cost Principle.
1) The Going Concern Principle - this states that a business is expected to continue operating for the foreseeable future. For example, businesses are expected to record assets and liabilities with the assumption that they will be collected or paid off over time rather than immediately.
2) The Accrual Principle - this states that income and expenses should be reported in the period in which they occur rather than when cash is received or paid. For example, a company would recognize the revenue from a sale in the period in which it was sold, not when the customer pays for the product.
3) The Cost Principle - this states that assets should be reported at the amount that was paid for them. For example, if a company purchased equipment for $1,000, it would be reported at that amount, not its estimated fair market value.
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Lily Jones is a 45-year-old plumber working for herself as a sole proprietor under the trade name of BlueLilyPlumbing and lives at 19 Pigeon Cove, Okotoks, Alberta, with her two huskies and husband. Lily is an avid hiker and skier. You can find her in the mountains with her two dogs when not working. Sasha Yacencek is a freelance website designer and works out of her home at 24 Knights Drive, Calgary. In February of this year, she had problems with her basement washroom and called BlueLilyPlumbing for service.On February 6, 2022, Lily arrived at Sasha's home. When Sasha opened the door to the basement, she noticed that she had left some boxes on the stairs that were partially blocking the way down. Sasha states that she asked Lily if she wanted her to remove the boxes, but the plumber said it would be alright to leave them there, but Lily does not remember this and denies Sasha ever saying anything about the boxes. Sasha went back to work in her office after opening the door to the basement for Lily. A few minutes later, Sasha heard Lily cursing loudly (she assumed that something was not going right with the task) and then heard a loud noise coming from the basement. She suspected that something was going on and went to the top of the stairs. When Lily was descending the stairs, she tripped on one of the boxes and fell into the basement. Lily got up and told Sasha that she was "ok," repaired the leaky toilet, and left. Lily was limping slightly but appeared not seriously injured when she left.After leaving Sasha's house, Lily did not feel very well and made her way to a drop-in clinic. Dr. Who examined Lily and noted that she suffered a strain in the left arm, abrasions, and bruising to her left arm and leg and overall seemed to be very distraught. The doctor also noted that Lily's shirt and trousers were ruined. Dr. Who told Lily that she needed at least two weeks to recover from the fall, prescribed a variety of costly painkillers and a sedative. Dr. Who noted Lily's anxiety and determined that a sedative would help her heal faster. Lily did not work for two weeks. She required medical treatment, including subsequent visits to the hospital, x-rays, doctor's visits, medication, massage therapy, and physiotherapy. Lily estimates that in the two weeks off work, she lost about $5,000.00 in income and spent so far at least $2,000.00 on medication, massage therapy, and physiotherapy, and gasoline to travel to and from home to see the doctors. Doctors have told her that she may feel the effects of the injury for years to come. She cannot spend as much time playing and walking with her two dogs or her husband, dramatically affecting her life. She has also started seeing a therapist to help cope with depression.Lily talked to a lawyer who advised her to sue Sasha for compensation following her recovery. Lily does not want to spend the money to hire a lawyer to prepare the Civil Claim and decides to do it independently.During her visit, the lawyer estimated Lily's non-pecuniary general damages for pain and suffering and loss of amenities and enjoyment of life to be somewhere between $30,000 and $50,000.00. Lily would like to sue for the maximum amount possible.Question:1. Where (level of court & city) would Lily file the Civil Claim, and why? (50-75 words - 5 points)2. What is the maximum quantum of damages that Lily can seek in the Provincial Court? (1 point)3. What is the document's name that Sasha will file with the court in response to Lily's Civil Claim? (1 point)4. What legislation applies to the fact pattern? (1 point) What sections of the legislation? (2 points) If there are a breach of the legislation, why yes or no? (5 points) 100-150 words)
1. Lily would file the Civil Claim in the Provincial Court of Alberta in the city of Calgary.
2. The maximum quantum of damages that Lily can seek in the Provincial Court is $50,000.00.
3. The document that Sasha will file with the court in response to Lily's Civil Claim is called a Statement of Defence.
4. The legislation that applies to the fact pattern is the Occupiers' Liability Act.
1. This is because the incident occurred in Calgary and the Provincial Court has jurisdiction over civil claims involving amounts up to $50,000.00.
2. This is the maximum amount that the Provincial Court has jurisdiction over for civil claims.
4. The relevant sections of the legislation are sections 3 and 5. Section 3 states that an occupier of premises owes a duty to take reasonable care to ensure that people on the premises are reasonably safe.
Section 5 states that an occupier is not liable for risks willingly assumed by the person who enters the premises. There may be a breach of the legislation if it is determined that Sasha did not take reasonable care to ensure that Lily was reasonably safe on the premises, specifically by not removing the boxes from the stairs.
However, if it is determined that Lily willingly assumed the risk by stating that it was alright to leave the boxes there, then there may not be a breach of the legislation.
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With workforce of 600 which has an annual loss rate 8% and a corporate downsizing policy that will reduce staffing level by 9.5%. Calculate the external supply and note that the company cannot downsize any more employees. What could be the different strategies to adjust with external supply?
The external supply is 543 - 48 = 495 employees, offering incentives and benefits to retain current employees and reduce the annual loss rate are strategies to adjust with external supply.
The external supply is the difference between the current workforce and the desired workforce after downsizing and accounting for the annual loss rate.
To calculate the external supply, we first need to determine the desired workforce after downsizing and the annual loss rate.
The desired workforce after downsizing is 600 * (1 - 0.095) = 543 employees.
The annual loss rate is 600 * 0.08 = 48 employees.
Therefore, the external supply is 543 - 48 = 495 employees.
Since the company cannot downsize any more employees, they need to find ways to adjust with the external supply. Some strategies could include:
- Offering training and development programs to increase the productivity and efficiency of current employees
- Implementing automation and technology to reduce the need for additional employees
- Outsourcing certain tasks to external companies or contractors
- Recruiting new employees to fill the gap between the current workforce and desired workforce
- Offering incentives and benefits to retain current employees and reduce the annual loss rate.
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Why is the account classification so important when recording
the accounts?
What should we do when the accounting equation does not
balance?
What are those answer?
Account classification is important when recording accounts because it helps to keep the financial records and When the accounting equation does not balance, it is important to double-check
It also makes it easier to create financial statements and analyze the financial health of a business.
When the accounting equation does not balance, it is important to double-check all of the entries to make sure that they are accurate and that no mistakes were made.
It may also be necessary to make adjusting entries to correct any errors. If the equation still does not balance, it may be necessary to consult an accountant or financial professional for assistance.
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