Perch Co. acquired 80% of the common stock of Float Corp. for $1,600,000. The fair value of Float's net assets was $1,850,000, and the book value was $1,500,000. The non-controlling interest shares of Float Corp. are not actively traded. What amount of goodwill should be attributed to Perch at the date of acquisition? What a
BrainMass Solutions Available for Instant Download
On January 1st, Cub Company issued 8% stated rate bonds with a face amount of $100 million. The term of the bonds is 20 years and semiannual interest payments are due on June 30th and December 31st. The market rate of interest for similar bond issues was 9%. Calculate the issue price for the bonds.
Sandy just graduated from college. She accumulated $15,000 in student loans. She will pay the loans off over 10 years and the first monthly payment is due in 1 month (assume an 6% interest rate). Calculate the amount of her payment.
You just received notice that you have won the $2 million Indiana Lottery. You will receive $100,000 per year for 20 years with your first payment received today. What is the present value of these payments if the appropriate discount rate is 8%?
Job 102 Job 103 Job 104 Direct Materials 30,000 66,000 54,000 Direct Labor 16,000 28,400 42,000 Overhead 8,000 14,200 21,000 Job 102 was started in production in May and the f
The press report carried the following news item: General Motors, Ford, and Chrysler are expected to post losses on fourth-quarter operations despite sales gains. Automakers' revenues are based on factory output rather than retail sales by dealers, and last quarter's sales increases were from the bulging inventories at the end o
I need help in deriving three financial questions that a manager might ask, regarding the link below (annual report from 2011 for Capital Blue Cross). Link: https://www.capbluecross.com/Visitors/AnnualReport/
A company makes three types of shirts: Athletic, Varsity, and Surfer. The shirts are made from different combinations of cotton and rayon. The cost per yard of cotton is $5 and of rayon is $7. The company can receive up to 4000 yards of cotton and 3000 yards of rayon per week. The table below shows relevant manufacturing informa
When may a liquidating corporation recognize a loss on a liquidating distribution?
Diamond Beauty supply Shop projects the following sales: April - $75,000 May - $95,000 June - $100,000 Seventy percent of Diamond Beauty Supply shop sales are on credit with 60 percent of receivables collected in the month after the sale and the rest of receivables collected in the second month after the sale. February s
I have answered the following questions; however, I wanted to see what your responses would be. What are earnings and profits? How and why are they computed? What difference do earnings and profits make to a corporation? To the stockholders of a corporation?
You are preparing an accounting report for your peers. How formal should this report be? Might this be different if the report was for your manager? Might this report be different if the owner of a business was your client?
What are some examples of long formal reports? When might an accounting department or accounting firm use these reports?
Frenchy's Company needs to determine the variable utilities rate per machine hour in order to estimate cost for August. Relevant information is as follows: April - 4500 machine hours and $9,560 Utilities expense May - 4200 machine hours and $9,440 Utilities expense June - 6500 machine hours and $11,725 Utilities expense
The following selected information was extracted from the 20x3 accounting records of Baker Products: Raw Materials Used $284,000 Direct Labor 178,000 Indirect Labor
During the first year of operation, Sitwell Corporation had the following transaction pertaining to its common stock. Jan 10 Issued 80,000 shares for cash at $8 per share Mar 1 Issued 5,000 shares to attorneys in payment of a bill for $35,000 for services rendered in helping the company to incorporate. July 1 Issued 30
Starkey Company's sales, current assets, and current liabilities (all in thousands of dollars) have been reported as follows over the last five years (Year 5 is the most recent year): (See attachment.)
Please help me understand these questions: What is the difference between a "Revenue Center" and a "Profit Center"? Discuss the Differences Between Responsibility Centers and Decentralization. What other reasons are there to indicate decentralization is a better way of doing business? Discuss types of control systems
Is "creative accounting" confined to for-profit hospitals?
1) What are some ways that auditors can be sure that the sample sizes will be fair enough to provide a look at internal controls, yet comprehensive enough to detect any irregularities? Is there a way? 2) Let's say that we have 1500 invoices that need to be reviewed. We will say that 25% of the invoices belong to one client
Please help me with the following attached problem.
Ray-D-O's! is considering modifying the design of its popular radio so that the component boards can be soldered without flux, a substance that requires the use of toxic solvent in the cleanup process. The company is currently spending $4 to manufacture each additional unit. The new design would save $0.75 per unit, as the flux
I need help with the layout and calculating the 5 steps of process costing using the weighted average method. The details are as follows: Production occurs in three departments- spinning, molding and testing. Materials and conversion costs are added throughout all three processes. The table represents units and cost flows:
Bay Area community College collected Data and compared the starting salaries of the graduating students with last names beginning with the letters A thru M with those whose last names begin with N thru Z. A thru M provided 47 random responses and N thru Z had 52 random responses. I have to figure out the null and research h
Instructions: Harold Dinklesdorf is the director of fund-raising for the Bobcat Symphony. The symphony relies on donations to fund operations and special programs. Harold created an Excel table to track information about donors and their pledges. You will analyze the data in the list. Complete the following: 1. Open the P
I am completely lost with the following problem. My text does a very poor job explaining this. Please thoroughly explain. Falzone Compay has two shareholders, Rita and Sal Corporation. Rita acquired her 300 shares in 2002 for $30,000 and Sal Corporation acquired its 200 shares in 1998 for $15,000. On August 2, 2012, Falzone C
Please help with the following problem. I did the computation, but I am unsure if I did it correctly. My answer is $86,750. Given the following information for 2012, compute Shardee Corporation's current E & P for 2013. Taxable Income: $100,000 Federal Income taxes: $22,250 Other information (items from 2013): Tax-exemp
The PVC Company manufactures a high-quality plastic pipe that goes through three processing stages prior to completion. Information on work in the first department, Cooking, is given below for May: Production data: Pounds in process, May 1: materials 100% complete; conversion 90% complete
In January 1971, a Gallup Poll asked, "A proposal has been made in Congress to require the US government to bring home all US troops before the end of the year. Would you like to have your congressman vote for or against this proposal?" Guess the results, for respondents in each education category, and fill out the table. Tab
** Please see the attached Excel file for the complete solution ** Working Capital Activity Ratios: 1. Days Inventory Held 73.0 108.2 93.9 2. Days Accounts Receivable Outstanding 0.0 90.2 0.0 3. Days Accounts payable outstanding 43.8 116.5 49.6 Operating Cycle (1 + 2) 73.0 198.4 93.9 Cash Conver