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Travel and Entertainment expenses for Monique: For AGI or from AGI

Monique is a self-employed manufacturer's representative who solicits business for clients and receives a commission based on sales. She incurs the following expenditures during the current year: Airfare and lodging while away from home overnight $ 4,000 Business meals while traveling at which business is discussed 1,000 Lo

Stock Price, After Tax Cost of Debt and Leverage

Please see the attached file(s). 1) A stock that currently trades for $40 per share is expected to pay a year-end dividend of $2 per share. The dividend is expected to grow at a constant rate over time. The stock has a beta of 1.2, the risk-free rate is 5%, and the market risk premium is 5%. What is the stock's expected price

Financial information

Please see attached. Petson Company's financial information is presented below. Sales $ ???? Purchase Returns and Allowances $ 15,000 Sales Returns and Allowances 30,000 Ending Merchandise Inventory 35,000 Net Sales 250,000 Cost of Goods Sold 180,000 Beginning Merchandise Inventory ???? Gross Profit ????

Accounting questions

Please provide an answer to the following questions below that contains 250 to 300 words for each. 1. What is the purpose of the statement of cash flows? We already discussed the Balance Sheet, Income Statement and Statement of Retained Earnings. If you wanted to invest in a company, what information would you look for in th

Adams Independent School District: evaluate three offers for sale of land.

The Adams Independent School District desires to sell a parcel of unimproved land that it does not need. Its three best offers are as follows: from State Department of Public Safety (DPS), $2.3 million; from Second Baptist Church, $2.2 million; and from Baker Chevrolet Company, $2.1 million. DPS would use the property for a new

Product Costing and Cost Accumulation in a Batch Production Environment

Product Costing and Cost Accumulation Exercise 3-27 Bordin Company manufactures finger splints for kids who get tendonitis from playing video games. The firm had the following inventories at the beginning and end of the month of January. January 1 January 31 Finished goods $125,000 $117,000 Work in process

Self Help Income

In which of the following situations would the taxpayer realize taxable income? a. A mechanic performs work on his own automobile. The mechanic would have charged a customer $400 for doing the same work. b. A mechanic repairs his neighbor's personal automobile. In exchange, the neighbor, an accountant, agrees to prepare me

Sell or Process Decision at Zeppe Inc.

Zeppe Inc. purchased potatoes from farmers. The potatoes are then peeled, producing two intermediate products- peeled and depeeled spuds. The peels can then be processed further to make a cocktail of organic nurtrients. And the depeeled spuds can be processed further to make frozen french fries. A batch of potatoes cost $63 to b

Accounting problems

38) Account Record of Loan Oak Products: Raw materials purchases $175,000 Direct labor 254,000 Indirect labor 109,000 Selling and administrative salaries 133,000 Building depreciation* 80,000 Selling & admin expense 195,000 Other factory cost 344,000 Sales revenue ($130 per unit) 1,495,000

Accounting concepts

Please provide an answer to the following questions below that contains 250 to 300 words for each. 1. Compare the three forms of business entities: corporation, partnership and sole proprietor. What are the advantages and disadvantages or each form of entity? Share with the class your experience with the different forms of en

Depreciation on Vehicles to maximize tax benefit

Grace, drops by the office on the Monday after Thanksgiving. She says that over the holiday she was reviewing her books and projecting the remainder of the tax year. She projects that her Schedule C will show a net profit of $300,000 this year. This is substantially higher than in the prior year. She is concerned that she wi

Question about Comprehensive Bond Problem

Danny Ferry Co. sells $250,000 of 10% bonds on March 1, 2007. the bonds pay interest on September 1 and March 1. The due date of the bonds is September 1, 2010. The bonds yield 12%. Give entriels through December 21, 2008. Instructions: Prepare all the relevant journal entries from the time of sale until the date indica

CPA advises counsel of a problem

The CPA is advising counsel of a problem, and telling him/her that additional steps will be taken by the CPA. Those steps would include meeting with the board of directors of the firm, and advising them of the fraud. Can the CPA stay clean by doing that?

Calculating Present Values

For each of the following, compute the present value: Present Value Years Interest Rates Future Value 6 5% $15,451 9 11 51,557 18 16 886,073

Career Opportunities

Resources: U.S. Department of Labor, Bureau of Labor Statistics Web site and Careers in Accounting Web site Post a 200- to 300-word response to the following: There are many career opportunities in the field of accounting. Visit the U.S. Department of Labor, Bureau of Labor Statistics at for

High of Profit/Low Operating Income

Provide an example from the Internet that demonstrates a situation in which a company's net profits looked good in the statements, but the gross or operating profits presented a different picture. Discuss how this might have occurred. "Why is the bottom-line figure, net income, not necessarily a good indicator of a firm's

Bobby Jenks Co & Keach Co: Calculate gain on sale of machinery

Bobby Jenks Company purchased machinery for $160,000 on January 1, 2004. Straight-line depreciation has been recorded based on a $10,000 salvage value and a 5-year useful life. The machinery was sold on May 1, 2008 at a gain of $3,000. How much cash did Bobby Jenks receive from the sale of the machinery? Keach Company trade

Computation of gain or loss on disposition of machinery

Jeter Company purchased a new machine on May 1, 1998 for $176,000. At the time of acquisition, the machine was estimated to have a useful life of ten years and an estimated salvage value of $8,000. The company has recorded monthly depreciation using the straight-line method. On March 1, 2007, the machine was sold for $24,000. Wh

The WorldCom Scandal: Describe mechanisms used; Board of Directors manipulation

WorldCom: The Final Catalyst on pp. 114-118 1. Describe the mechanisms that WorldCom's management used to transfer profit from other time periods to inflate the current period. 3. How should WorldCom's board of directors have prevented the manipulations that management used? 4. Bernie Ebbers was not an accountant, so he

Challenges of Communicating a New SAS

You are a junior accountant at a small accounting firm. A partner of the firm has asked you to communicate the new SAS 112 (Statement of Accounting Standards [Rules auditors have to follow]) regulation to certain groups and how this change would affect them. He has asked you to create and submit a package of materials that inclu

Tax Issues: Hobby loss rules for the ranch. Martha is a successful orthodontist

After many years as a successful orthodontist, Martha has decided to buy a ranch in the country. Martha has always liked horses and anticipates acquiring several for the ranch. On the weekends, Martha can relax at the ranch and ride her horses. The cost of operating the ranch and owning horses will be substantial so she plans to

Watson Cosmetics: Compute the Perfume Division's ROI and residual income

The manager of Watson Cosmetics's Perfume Division is evaluated on her division's return on investment and residual income. The company requires that all divisions generate a minimum return on invest assets of 8 percent. Consistent failure to achieve this minimum target is grounds for the dismissal of a division manager. The