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Accounting

Money

Currently, your only funding for your business has come from your rich relative. What is the risk involved in this financing situation? What is the risk involved in other financing situations (e.g., selling bonds, issuing stock, venture capital, and debt and equity financing)? Using the Library and other Internet resources, i

Preparing a Flexible Budget

Preparing a Flexible Budget (LOI) An incomplete flexible budget for overhead is given below for AutoPutz, Gmbh, a German company that owns and operates a large automatic carwash facility near Koln. The German currency is the euro, which is denoted by E. See attached file for full problem description. AUTOPUTZ, GMB

Income tax accounting

Chad Scott contributed $15,000 in company A along with 4 other limited partners. The limited partnership also took out a loan of which Chad portion $50,000. The loan was through Compass Bank, which is actively and regularly engaged in the business of lending money. The property company A purchased with the loan proceeds was purc

Taxable portion of the social security benefits

In addition to social security benefits of 8000, Mr and Mrs Wells have adjusted gross income of 32,000 and tax exempt interest of 1000 and will file a joint return. The taxable portion of the social security benefits will be?

Annuity and Expected Return

Anne, age 58, purchases an annuity for 33,600. Anne will receive 400 per month for the rest of her life. The expected return multiple is 20.0. At age 65, the amount that Anne may exclude from income is?

Adjusted gross income

Carolyn, who earns 400,000 is required to pay John, her ex husband 200,000 as part of the property settlement as a result of their divorce. In turn, John transfers stock worth 50,000 to Carolyn. What is the amount of Carolyn's adjusted gross income for the year?

How much should Sara include in income this year?

Sara, who gives music lessons, is a calendar year taxpayer using the accrual method of accounting. On Oct. 1 of this year she received 25,000 for a one year contract beginning on the date to provide 10 lessons. She gave 6 lessons this year. How much should Sara include in income this year?

Journalizing Accounting Transactions/Trial Balance for Springfield Company

1. Journalize and post the following transactions 2. Prepare a trial balance sheet. The following were selected from among the transactions completed by Springfield Company during January of the current year. Jan. 3. Purchased merchandise on account from Pynn Co., list price $16,000, trade discount 35%,

Push-down accounting, equity method, partial equity method

8. Push-down accounting is concerned with the A) impact of the purchase on the subsidiary's financial statements. B) recognition of goodwill by the parent. C) correct consolidation of the financial statements. D) impact of the purchase on the separate financial statements of the parent. E) recognition of dividends rece

Net Income

In the consolidated income statement of Croton Corp and its 84%-owned subsidiary, the minority interest income was reported at $33,680. What amount of net income did the subsidiary have for the year?

Goods Sold & Net Income

14. Webb Co. purchased 100% of Rand Inc. on January 5, 2003. During 2003, Webb sold Rand for $2,400,000 goods that cost $1,900,000. Rand still owned 40% of the goods at the end of the year. Cost of goods sold was $10,800,000 for Webb and $6,400,000 for Rand. What was consolidated cost of goods sold? A) $17,200,000 B) $15,

Depreciation Calculations

I have completed this practice problem minus the depreciation that I am having issues calculating. I need all the depreciation calculations for the assets associated with this problem before I can move on to the next one. If you could include the depreciation schedules from the tax return that would be helpful! please explain ho

Theory of Constraints in a Non-Profit Organization

Theory of Constraints in a Non-Profit Organization. See attached file for full problem description. A university bookstore is a nonprofit retail outlet for textbooks, computers, and general merchandise (including trade books, supplies, and university-licensed apparel and gifts). It is located near the main campus of State Uni

Business and non profit organizations argument

It has been said that private business people do not do enough for the societies they live in. After graduation, some students choose to go into the public, non-profit sector instead of the private business sector because they want to help others. However, business people claim that they actually do more to help others than non-

Advantages and disadvantages of 'by-product processing'

I'm not sure if you can help with this, but I've searched the net to get some kind of starting point for this question and still haven't found an answer for 'by-product processing'. As a result of the apple drink manufacturing process, TOO produces a large amount of apple waste. The operations manager proposes a use for the a

Journal Entries for Governmental Accounting

Assume that the City of Pasco maintains its books and records in a manner that facilities preparation of the fund financial statements. The Cit engaged in the following transactions related to its general fund during the current fiscal year. The City formally integrates the budget into the accounting records. The City does not m

Summary of Treasury Department's Circular 230

I need a summary of Circular 230. There doesn't need to be any specific layout-just a plain summary of the most important parts & the general meaning. I have to make a presentation to my business class. I attached the full circular 230 I found on the IRS website.

Audit Questions: observation, fixed assets, unrecorded transactions

Please help with these four questions _____ 12. The use of a "blind" purchase order is designed to prevent errors by the: A. Purchase department B. Receiving department C. Stores department D. Accounting department _____13. Which of the following best describes the auditors' typical

Decision Analysis

1. A firm is considering two business projects. Project A will return a loss of $5 if conditions are poor, a profit of $35 if conditions are good, and a profit of $95 if conditions are excellent. Project B will return a loss of $15 if conditions are poor, a profit of $45 if conditions are good, and a profit of $135 if conditions

Parent Company

PARENT COMPANY CONCEPT David Company Book Value Current Assets: $620,000 Equipment: $260,000 Buildings: $410,000 Liabilities:($390,000) Revenues: ($900,000) Expenses: $500,000 Investment income: not given Mark Company Book Value Current assets: $300,000 Equipment: $200,000 Buildings: $150,000 Liabilities: ($120

Cost Based Pricing and profit calculations

A Grocery store makes pricing decisions based on cost of the products. All other costs are fixed at $800,000 per year. The average cost of inventory at the store is $1,000,000. The inventory turns over eight times a year. a. If prices are set at 12% above costs, what is the profit of the grocery store for the year? b. What

Accounting Regression Analysis

During the last 10 months, Arcade Corporation has had the following indirect costs. It is tryng to determine a good cost driver for the indirect costs. That usage of two potential cost drivers, direct labor hours and machine hours has been recorded over the last 10 months. Month Indirect Costs Direct Labor Hours Machine Hour

Accounting example problems

I need assistance with these three problems regarding a break-even problem solving. 6-12 Magic Realm, Inc., has developed a new fantasy board game. The company sold 15,000 games last year at selling price of $20 per game. Fixed costs associated with the game total $182,000 per year, and variable costs are $6 per game. Pro

Management Accounting

Accounting and ABM. See attached file for full problem description. Katherine Mitchell Salem Enterprises How are accountants likely to response? How does ABM helps uncover what causes cost. What are types and level of details required for ABC Pitfalls or barriers for successful implementation of ABC

Uncollectible Account Receivable-Allowance method

Explain Direct write off method and Allowance method of estimating bad debts expense. Give general journal entries for the following transactions separately for (Direct write off (2) Allowance method (Percentage of sales and (3) Allowance method (Percentage of accounts receivable. 1 during year 1 a corporation made credi

Calculate: Absorption and Variable Costing

Far North Telecom, Ltd., of Ontario has organized a new division to manufacture and sell specialty cellular telephones. The division's monthly costs are shown below. Manufacturing Costs: Variable Cost per Unit: Direct materials: $48 Variable manufacturing overhead: $2 Fixed manufacturing overhead costs (total): $360,000