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    Prepaid health care plans

    Describe what prepaid health care plans are and some of the related accounting issues. Note: Please cite the sources

    GASBS 39

    Describe the treatment of a not-for-profit, nongovernmental foundation that is related to a public university under GASBS 39 "Determining Whether Certain Organizations Are Component Units" (2002). Note: Please cite the sources

    Tax-exempt organization

    Describe the process for becoming a tax-exempt organization. Why is it important for an accountant to understand this process? Note: Please cite the sources

    SAFS number 116 and 117

    Describe the difference between fund accounting and the accounting methods required by SAFS Nos. 116 and 117. Note: Please cite the sources

    Barnes and Dean Company

    Barnes Company acquired 80 percent of the outstanding voting stock of Dean Company on January 1, 2003. During 2003, Dean Company sold inventory costing $50,000 to Barnes Company for $80,000. Barnes Company continued to hold the inventory at December 31, 2003. Also during 2003, Barnes Company sold merchandise costing $400,000

    King Incorporated

    On January 1, 2004, baker, Inc. purchased 40 percent of the outstanding stock of King, Inc. for $1.5 million. The book value of the net assets of net assets of King, Inc. on that date was $3.0 million. The market values of the accounts comprising net assets were equal to their book values, except for the following: Book Val

    Tulsa Corporation

    Tulsa Corporation purchased 15 percent of the common stock of Holden Company on January 1, 2002, for $525,900, the stock's underlying book value. During 2002 and 2003, Holden reported net income of $70,000 and $84,000, respectively, and paid dividends of $20,000 for each of the 2 years. On January 2, 2004, Tulsa purchased addi

    Flag Corporation

    Flag Corporation acquired all of the net assets of Banner Company in a merger and recognized goodwill of $92,000 in recording the transaction. At the end of the current fiscal year, Flag Corporation is testing the goodwill for impairment. The fair value of the reporting unit with which the goodwill is identified is $940,000, and

    Hoven Corporation

    Hoven Corporation issued common stock with a par value of $600.000 and a market value of $800,000 to acquire all the outstanding shares of Lead Company in a business combination. The Hoven Corporation reported assets of $2,000,000 and liabilities of $542,000 immediately before the business combination. Lead Company's assets an

    Silven Industries - Make or Buy Decision

    Silven Industries, which manufactures and sells a highly successful line of summer lotions and insect repellents, has decided to diversify in order to stabilize sales throughout the year. A natural area for the company to consider is the production of winter lotions and creams to prevent dry and chapped skin. After consider

    Rental Income for an Accrual Basis Taxpayer

    Mason, an accrual basis taxpayer, owns a six unit apartment complex for which he receives rent of 600 per month per unit. In 2005 five of the units were rented for the entire 12 month period. The sixth unit was occupied from January 1st through March 31. Upon vacating the unit, the tenant was refunded his security deposit of

    Balance in Investment Account

    What is the balance in Heinreich's investment account at December 31, 2002? Salem Co. had the following account balances as of February 1, 2002: See attached file for full problem description. On January 2, 2002, Heinreich Co. paid $500,000 for 25% of the voting common stock of Jones Corp. At the time of the investmen

    Significant Influence

    Which types of transactions, exchanges, or events would indicate that an investor has the ability to exercise significant influence over the operations of an investee?

    Accounting Problem - Pension Plan Worksheet

    P20-1 (2 year reconciliation schedule) On January 1, 2008, Diana Peter Company has the following defined benefit pension plan balances. Projected benefit obligation $4,200,000 Fair Value of plan assets 4,200,000 The interest (Settlement) rate applicable to the plan is 10% . On January 1, 2009, the c

    Retained Earnings Calculations

    Herbert, Inc., buys all of the outstanding stock of Rambis Company on January 1, 2003, for $574,000. Annual excess amortization of $12,000 results from this purchase transaction. On the date of the takeover, Herbert reported retained earnings of $400,000 while Rambis reported a $200,000 balance. Herbert reported internal income

    EBIT-EPS analysis

    Two recent graduates open a compute shop and incorporate in several states. Eight prospects for retail outlets have already been identified in these states. They are ready for business, all that is lacking is adequate financing to continue the project. A small group of private investors are interested in financing the company.

    EBIT-EPS Analyisis

    Two recent graduates open a compute shop and incorporate in several states. Eight prospects for retail outlets have already been identified in these states. They are ready for business, all that is lacking is adequate financing to continue the project. A small group of private investors are interested in financing the company.

    Governmental and Nonprofit Accounting Questions

    1. Define the term revenue and distinguish between that term and other financing sources. 2. Distinguish between the Encumbrances account and the Reserve for Encumbrances account. 3. Define the term expenditure and distinguish between that term and each of the following terms: 1) Expense 2) Disbursement 3) Encu

    Governmental and Nonprofit Accounting.

    True/False 7. Budgetary accounts used in the General Fund include Estimated Revenues, Revenues, Appropriations, Encumbrances, and Expenditures. 8. An encumbrance represents the estimated liability for goods placed on order. 9. Government-wide financial statements do not include funds. 10. Revenues and expenditu

    Governmental and Nonprofit Accounting.

    True/False 1. Program revenues and general revenues are not distinguished on the government-wide statement of activities under GASBS 34. 2. Fund equity of the General Fund at the end of the fiscal year is defined as the difference between its assets and its liabilities. 3. Interfund transfers and debt issue proceeds

    Advanced Accounting Computing Income Tax Expense

    Computing Income Tax Expense Swan Products Inc. owns 25 percent of Computech Computer Company's common stock, purchased December 28, 20X3, at book value. During the three years, subsequent to the acquisition of its stock by Swan Products, Computech reported the following net income and dividends:

    Computing Income Tax Expense

    Equity Entries with Differential On January 1, 20X0, Hunter Corporation issued 6,000 of its $10 par value shares to acquire 45 percent of the shares of Arrow Manufacturing Arrow Manufacturing's balance sheet immediately before the acquisition contained the following items (Arrow Manufacturing Balance sheet attached) Analys

    Advanced Accounting - Equity Entries with Differential

    Please view the attached file. Equity Entries with Differential: On January 1, 20X0, Hunter Corporation issued 6,000 of its $10 par value shares to acquire 45 percent of the shares of Arrow Manufacturing Arrow Manufacturing's balance sheet immediately before the acquisition contained the following items (Arrow Manufactur

    Advanced Accounting - Investment in Joint Venture

    Analysis Investment in Joint Venture Tye Corporation invested in an unincorporated joint venture and elected to use pro rata consolidation in preparing its financial statements. For the year ended December 31, 20X3, Tye reported income of $52,000 from its separate operations and net income of $60,000. The joint venture repor

    Advanced Accounting - Computation of Account Balances

    Easy Chair Company purchased 40 percent ownership of Stuffy Sofa Corporation on January 1, 20X1, for $150,000. Stuffy Sofa's balance sheet at the time of acquisition was as follows: (see balanced sheet attached) Analysis Computation of Account Balances During 20X1 Stuffy Sofa Corporation reported net income of $30,000 and

    Advanced Accounting Equity Method Accounting

    Equity Method Accounting Shoehorn Corp. owns 40 percent of the stock of Amalgamated leather Tanneries and is debating the proper procedures to use in reporting its ownership. Shoehorn Corporation produces high-quality leather products and purchases approximately 85 percent of Amalgamated Leather's annual production. Because

    Advanced Accounting Business Combination

    Analysis: Comprehensive Business Combination Problem Integrated Industries Inc. entered into a business combination agreement with Hydrolized Chemical Corporation (HCC) to ensure an uninterrupted supply of key raw materials and to realize certain economies from combining the operating process and the marketing efforts of the t

    Advanced Accounting & Business Combination

    See attached for Balance Sheets Analysis: In preparation for a possible business combination, a team of experts from Boogie Musical made a thorough examination and audit of Toot-Toot Tuba. They found that Toot-Toot's assets and liabilities were correctly stated except that they estimated uncollectible accounts at $1,400.

    Tax Minimization Advice and 401(k)s

    I need to advise someone about contributing to an employer's 401(k) plan to save money for retirement. She wonders how much she would save on her income taxes by contributing to the plan. She can invest up to 7% of her income into the plan. Her current income is US$45,000 per year, and she is in the 15% tax bracket. I want to

    Compensating Balances.

    Suppose that Dynamic Sofa (a subsidiary of Dynamic Mattress) has a line of credit with a stated interest rate of 10 percent and a compensating balance of 25 percent. The compensating balance earns no interest. a. If the firm needs $10,000, how much will it need to borrow? b. Suppose that Dynamic's bank offers to forget ab

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