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Savings account and Mortgage loans

Answer is provided for these questions. Please use Excel to help me understand how this answer came and show all calculations. 1.Mike deposited $1,000 in a savings account. The annual interest rate is 10 percent, compounded semiannually. How many years will it take for his money to grow to $2,653.30? Answer: Solve for

Setting a price for the business

Charlie and Maribelle Brown have owned and operated a retail furniture store for more than 20 years. They have employed an independent CPA during this time to prepare various sales tax, payroll tax, and income tax returns, as well as financial statements for themselves and the bank from which they borrowed money from time to tim

Investment Income to Report on Bonds

On October 1, 2007, Lyman Co. purchased to hold to maturity, $1,000, 9% bonds for $208,000. An additional $6,000 was paid for accrued interest. Interest is paid semi-annually on December 1 and June 1 and the bonds mature on December 1, 2011. Lyman uses straight-line amortization. Ignoring income taxes, the amount to be repor

Variable versus Absorption Costing

Prepare income statements under variable and absorption costing for the year ended December 31, 2007. - see attachment Jennifer Bruner Cost Accounting December 21, 2008 Variable versus Absorption Costing Introduction: The Zwatch Company manufactures trendy, high-quality, moderately priced watches. As Zwatch's senior

Cost Classification and target profits

Bart's Wood Work Company Assume that the company keeps no inventories. Below is information that pertains to Bart's Wood Work Company for the past year. Based on this information prepare a financial accounting income statement (that is in the required GAAP for US external reporting). From this information make appro

Accounting functions are embedded and determined

Suppose you have a lemonade stand, and when you charge $2 per cup of lemonade you sell 120 cups. But when you raise your price to $3 you only sell 60 cups. Write an equation for the number of cups you sell as a function of the price you charge. Denote "C" for number of cups, and "P" for the price you charge. Assume the func

Form 1040 elements are ranked

Using the various components of Form 1040 listed below, enter the components in the correct order in which they are found on Form 1040: 1) Payments 2) Tax and credits 3) Income 4) Signature 5) Label 6) Other Taxes 7) Adjusted Gross Income 8) Refund 9)

Variable, Fixed, Mixed Costs

Fowler Company manufactures a single product. Annual production costs incurred in the manufacturing process are shown below for two levels of production. Exercises Costs Incurred Production in Units 5,000 10,000 Total Cost/ Total Cost/ Production Costs Cost Unit Cost Unit Direct materials $8,250 $1.65 $16,500 $1.65 D

what is the accounting equation?

Define: -assets, current assets, liability, current liability, contributed capital, retained earnings. -what is the accounting equation?

Forecast equipment account balance for Willkom Corporation

Willkom Corporation bought 100 percent of Szabo, Inc., on January 1, 2009, at a price in excess of the subsidiary's fair value. On that date, Willkom's equipment (10 -year life) has a book value of $300,000 but a fair value of $400,000. Szabo has equipment (10-year life) with a book value of $200,000 but a fair value of $300,0

Equity Method entry for Panner's 30% ownership of Watkins

Panner, Inc. owns 30 % of Watkins and applies the equity method. During the current year, Panner buys inventory costing $54,000 and then sells it to Watkins for $90,000. At the end of the year, Watkins still holds only $20,000 of mechandise. What ammount of unrealized gross profit must Panner defer in reporting this investm

Ace and Baskett Co: Equity methods

Ace purchases 40% of Baskett Co. on Jan 1 for $500,000. Although Ace did not use it, the acquistion gave Ace the ability to apply significant influence to Baskett's operating and financing policies. Baskett reports assets on that date of $1,400,000 with liabilties of $500,000. One building with a seven-year life is undervalu

Short paragraph summary

A student from a former class posted this and it is relevant to the material we have gone over. Check out the article and let me know your thoughts! "Our readings have discussed the importance of recognizing revenues and expenses in the appropriate time period, but here is an article by Browning (2008) about the importance

Landry: Calculation of 9 Ratios; discuss financial performance of the company

Using the statements in the attached file, please answer the questions: Compute the following ratios for 2002 and 2003: a. Earnings per share b. Return on assets c. Current ratio d. Times interest earned e. Asset turnover f. Debt to total assets g. Current cash debt coverage h. Cash debt coverage i. Free cash flow

FUTA, SUTA and unemployment contributions

Mary Graham and Paula Moore are partners engaged in operating the M&P Doll Shop, which has employed the following persons since the beginning of the year: V. Hoffman (general office worker).........$1,700 per month A. Drugan (saleswoman).....................$15,000 per year G. Beiter (stock clerk)....................$180 pe

Public Administration: Property Tax Incentives in Nebraska

In the cost analysis of public projects, there is a large factor to consider that is neither financial or political...and that is the measurement and calculation of social benefit or impact costs, one or the other, or both. One aspect to teach about public administration is how to account for the social expectations and outcomes

Calculating Fixed/Variable Maintenance Costs

Peoria Implements Company produces farm implements. Peoria is in the process of measuring its manufacturing costs and is particularly interested in the costs of the manufacturing maintenance activity, since maintenance is a significant mixed cost. Activity analysis indicates that maintenance activity consists primarily of mainte

Fundamentals of Financial accounting practice problems

Please complete the attached practice problems. Use the attached excel template for practice problem number 7. 1) 3. Define accrual accounting and contrast it with cash basis accounting. 2) 4. What four conditions must normally be met for revenue to be recognized under accrual basis accounting? 3) 2. Identify and


Baker Company has three employees. Its payroll information is given below Employee Earning prior October To October earnings John $78,200 $11,230 Alice 6,430

Jesse Lynne Co: Manufacturing Overhead Cost, budgeted

The Jessie Lynne Company manufactures playground equipment. For 2004, budgeted manufacturing overhead is $240,000. Budgeted direct labor is $30,000 hours at a cost of $384,000. Budgeted machine hours are 12,500. a. When production begins on Jan 1 2004, would it be a good idea for the managers to determine the cost of the manu

Winston Corp: Calculating Net Income

Winston Corporation purchased 40% of the stock of Fullbright Company on January 21, 20x2, at underlying book value. The companies reported the following operating results and dividend payments during the first three years of intercorporate ownership. See the required data in the attached document. Compute the net income r

Difference between NOPAT and net income. What is free cash flow (FCF)?

I am looking for a detailed responses in essay form to better understand the subject matter. A) In your own words, please explain the difference between NOPAT and net income? Which is a better measure of the performance of a firm's operations? B) In your words, What is free cash flow (FCF)? I personally know that ba

Shimano Company: computer overhead application rate and the amount allocated

The Shimano Company allocates manufacturing overhead to production based on direct labor hours. The following information is available for Shimano: Estimated manufacturing overhead $403,200 Actual manufacturing overhead $378,000 Estimated direct labor hours 21,000 Actual direct labor hours 20,000 a. Compu

Write Down of Impaired Assets & IAS 36

For several years, a number of Food Lions,Inc.,grocery stores were unprofitable. The company closed, and continues to close some of these locations. It is apparent that the company will not be able to recover the cost of the assets associated with the closed stores. Thus, the current value of these impaired assets must be writ