Get college assignment help at uniessay writers 25. Suzy owns a 25% capital and profits interest in the calendar-year SJDV Partnership. Her adjusted basis for her partnership interest on July 1 of the current year is $200,000. On that date, she receives a proportionate nonliquidating current distribution of the following assets: Partnership’s Basis in Asset Asset’s Fair Market Value Cash $ 80,000 $ 80,000 Inventory 130,000 150,000 Land 90,000 105,000 a. Calculate Suzy’s recognized gain or loss on the distribution, if any. b. Calculate Suzy’s basis in the inventory received. c. Calculate Suzy’s basis in land received. The land is a capital asset. d. Calculate Suzy’s basis for her partnership interest after the distribution.
The accountant for Emily’s Emporium prepared the following trial balance at January 31, 2010, after one month of operations: Debit Credit Cash £ 5,600 Debtor 4,400 Unexpired Insurance 2,000 Office Equipment 18,000 Unearned Consulting Fees £ 3,200 Capital 15,500 Drawings 3,200 Consulting Fees Earned 26,200 Salaries Expense 7,600 Utilities Expense 1,600 Rent Expense 2,000 Supplies Expense 500 ______ £44,900 £44,900 Additional information items: a Consulting services rendered to a client in January, not yet billed or recorded, £2,300. b Portion of insurance expiring in January, £200. c Advertising expense for January of £2,400, which has not been billed. D The office equipment has a life of 5 years. Making adjusting entries AND prepare financial statements from the trial balance. Based on the background part, (a) Prepare adjusting entries for a through d. (It’s acceptable to omit the explanation). (b) Prepare the balance sheet and trading, profit and loss account for Emily’s Emporium based on the above data.
January 2, 2010 Employees are paid bi-monthly on the first day of the month for work performed during the last half of the previous month (because of the New Year’s holiday, this month they are paid on the 2nd), and on the 16th for work done during the first half of the current month. Total wages paid on this date were $20,400. (Ignore payroll taxes for this assignment.) Cottonwood signed and paid for an annual advertising agreement with the PRCA for banner ads on the PRCA website. Cottonwood’s advertisements will be posted to the website starting in March 2007 and run until February 28, 2008. The contract cost is $7,200 plus any art and setup charges, which will be billed as they occur. January 3, 2010 Cottonwood’s office manager picked up office supplies from Office Max on her way into work. She checked the orders against Cottonwood’s purchase order and stocked the supplies in the supply cabinet. The Office Max invoice totaled $362 and payment terms are net the 15th of the month. Cottonwood received a check for $12,620 from one of their customers as payment for a previous order. Cottonwood received a shipment of event merchandise from the Rodeo Outfitters Company. This merchandise was ordered on December 20th and was delivered by Viking Freight. Rodeo Outfitters paid Viking for the shipping charge of $882. Cottonwood is to pay Rodeo Outfitters $92,000 based on terms of 2/10 net 30. Cottonwood received their new product catalogs ordered from a local print shop. The print shop billed Cottonwood $6,000 for 5,000 catalogs with payment terms of net 10. Cottonwood considers catalogs as advertising and expenses the catalogs at the end of the month based on how many catalogs are sent out during the month. January 4, 2010 Cottonwood received an order from the FFA rodeo in LaJunta Colorado, (LJ FFA), for $19,820 in event merchandise. The Cottonwood customer service representative confirmed that the LJ FFA Rodeo’s account was paid current and they had sufficient credit available to cover the new sale. The order was then sent to the warehouse where it was picked and prepared for shipping. The merchandise was shipped via UPS at a cost of $170, which was paid by Cottonwood. Cost of the merchandise shipped was $12,584. Terms of the sale are net 30. January 5, 2010 Cottonwood placed a purchase order with the Lazy J Ranchers Emporium for $76,000 in resale merchandise. Payment terms to Lazy J Ranchers are net 30 upon receipt of goods. Cottonwood paid an outstanding vendor invoice of $16,050. Cottonwood paid the December telephone bill to AT
Swanson Corporation issued $8,400,000 of 20-year, 8 percent bonds on April 1, 2009, at 102. Interest is due on March 31 and September 30 of each year, and all of the bonds in the issue mature on March 31, 2029. Swanson’s fiscal year ends on December 31. Prepare the following journal entries: a.April 1, 2009, to record the issuance of the bonds. b.September 30, 2009, to pay interest and to amortize the bond premium. c.March 31, 2029, to pay interest, amortize the bond premium, and retire the bonds at maturity (make two separate entries). (Round to the nearest dollar. Numbers in parentheses should be entered without a negative symbol. Omit the “$” sign in your response.) 2009 Apr. 1 (Click to select)Premium on Bonds PayableInterest expenseBond PayableCashBond Interest Expense (Click to select)Bond Interest PayableBonds PayableCashPremium on Bonds PayableBond Interest Expense (Click to select)Bond Interest ExpenseBonds PayableBond Interest PayablePremium on Bonds PayableCash To record issuance of bonds at 102. 2009 Sept. 30 (Click to select)Interest ExpenseBond Interest ExpenseBonds PayablePremium on Bonds PayableCash (Click to select)Interest ExpenseBond Interest ExpensePremium on Bonds PayableBonds PayableCash (Click to select)Interest expenseBond Interest ExpenseBonds PayablePremium on Bonds PayableCash To pay interest and amortize bond premium: Semiannual interest payment: $ Less premium amortized: () ——————————————————————————– Interest expense $ ——————————————————————————– ——————————————————————————– 2029 Mar. 31 (Click to select)Bond Interest ExpenseCashBond Interest PayablePremium on Bonds PayableInterest Expense (Click to select)Premium on Bonds PayableInterest ExpenseCashBond Interest PayableBond Interest Expense (Click to select)Bond Interest ExpenseCashBond Interest PayablePremium on Bonds PayableInterest Expense (Click to select)Bond Interest ExpensePremium on Bonds PayableBonds PayableInterest expenseCash To record final interest payment and amortize bond premium. Mar. 31 (Click to select)Interest expenseBond Interest ExpensePremium on Bonds PayableCashBonds Payable (Click to select)Bond Interest ExpenseInterest expenseCashBonds PayablePremium on Bonds Payable To retire bonds at maturity. Check My WorkeBook Links (2)References Worksheet Learning Objective: 10-5 Difficulty: Easy Learning Objective: 10-6
Please complete each of the following exercises and problems. If you complete the assignment once-that is the score you will receive. If you complete the assignment two or three times-you will receive the average of your scores on this assignment.
1. Which one of the following is a characteristic of a business combination that should be accounted for as a purchase? a. The combination must involve the exchange of equity securities only. b. The transaction clearly establishes an acquisition price of the company being acquired. c. The two companies may be about the same size and it is difficult to determine the acquired company and the acquiring company. d. The transaction may be considered to be the uniting of the ownership interests of the companies involved. e. The acquired subsidiary must be smaller in size than the acquiring parent. 2. Which one of the following is a characteristic of a business combination that should be accounted for as an acquisition? a. The combination must involve the exchange of equity securities only. b. The transaction establishes an acquisition fair value basis for the company being acquired. c. The two companies may be about the same size and it is difficult to determine the acquired company and the acquiring company. d. The transaction may be considered to be the uniting of the ownership interests of the companies involved. e. The acquired subsidiary must be smaller in size than the acquiring parent. 3. What is the primary accounting difference between accounting for when the subsidiary is dissolved and when the subsidiary retains its incorporation? a. If the subsidiary is dissolved, it will not be operated as a separate division. b. If the subsidiary is dissolved, assets and liabilities are consolidated at their book values. c. If the subsidiary retains its incorporation, there will be no goodwill associated with the acquisition. d. If the subsidiary retains its incorporation, assets and liabilities are consolidated at their book values. e. If the subsidiary retains its incorporation, the consolidation is not formally recorded in the accounting records of the acquiring company. 4. In a transaction accounted for using the purchase method where cost is less than fair value, which statement is true? a. Negative goodwill is recorded. b. A deferred credit is recorded. c. Long-term assets of the acquired company are reduced in proportion to their fair values. Any excess is recorded as a deferred credit. d. Long-term assets of the acquired company are reduced in proportion to their fair values. Any excess is recorded as an extraordinary gain.
Ch.13: Case: Mt Hood Furniture- PPs sampling problem
I need help with the attatched file. Problems 15-2A and 15-3A.
PROBLEM A. The round table company estimates factory overhead at £450,000 for the next fiscal year. It is estimated that 90,000 units will be produced at a material cost of £600,000. Conversion will require an estimated 100,000 direct labor hours at a cost of £3.00 per hour, with 45,000 machine hours Required: compute the predetermined factory rate based on; a. Material cost b. Units of production c. Machine hours d. Direct labor cost e. Direct labor hours
Prepare the December 31, 2010 Balance Sheet for Green Corporation in good form. Ignore income taxes. Debits Credits Cash $ 98,500 Sales $4,050,000 Trading Securities (at cost, $145,000) 76,500 Cost of Goods Sold 2,400,000 Long-term Investments in Bonds 149,500 Long-term Investments in Stocks 138,500 Short-term Notes Payable 45,000 Accounts Payable 227,500 Selling Expenses 1,000,000 Investment Revenue 31,500 Land 130,000 Buildings 520,000 Dividends Payable 68,000 Accrued Liabilities 48,000 Accounts Receivable 217,500 Accumulated Depreciation—Buildings 76,000 Allowance for Doubtful Accounts 12,500 Administrative Expenses 450,000 Interest Expense 105,500 Inventories 298,500 Extraordinary Gain 40,000 Prior Period Adjustment—Depr. Error 70,000 Long-term Notes Payable 450,000 Equipment 300,000 Bonds Payable 500,000 Accumulated Depreciation—Equipment 30,000 Franchise (net of $80,000 amortization) 80,000 Common Stock ($5 par) 500,000 Treasury Stock 95,500 Patent (net of $30,000 amortization) 97,500 Retained Earnings 109,000 Additional Paid-in Capital 40,000 Totals $6,227,500 $6,227,500
As part of the budgeting process, Acme Company developed the following master budget for September. Acme is in the process of preparing the flexible budget and understanding the results.
Get college assignment help at uniessay writers Under the partial equity method, the entry to eliminate subsidiary income and dividends includes a debit to (a) Dividend Income (b) Dividends Declared – S Company (c) Equity in Subsidiary Income (d) Retained Earnings – S Company
I need help with thie Cost Accounting class Assignment. It is due tonight by 11:59(13 hours from now). The file is attached.
Drew-Richards iMusic is a regional music media reseller. As a promotion, it offered $5 cash rebates on specific CDs. Customers must mail in proof of purchase seal from the package plus the cash register receipt to receive the rebate. Experience suggests that 70% of the rebates will be claimed. Twenty thousand of the CDs were sold in 2011. Total rebates to customers in 2011 were $22,000 and were recorded as promotional expense when paid. The fiscal year end on December 31. 1. What is the promotional expence that Drew-Richards should report on its 2011 income statement? 2. What is the premium liability that Drew-Richards should report in its 2011 balance sheet? 3. Prepare the appropriate journal entry to record the contingency.
Arnold and Barbara Cane were divorced in June 2009. pursuant to the divorce decree, Arnold is obliged to perform as follows. A. Transfer title of their personal home to Barbara. They purchased the house in 1992 and their basis today is $400,000. the fair market value of the house is $500,000. The house is subject to a 25-year, $250,000 mortgage. B. Arnold is to continue making payments on the house until it is fully paid off. In 2009, Arnold made payments totaling $18,000. C. Arnold is to make $3,000 per month payments to Barbara. Of this amount one-half is for child support. The divorce decree further states that alimony is to cease upon the death of the wife. In 2009, he made six payments. How do the transactions in the divorce agreement affect Arnold’s and Barbara’s taxable income?(show all work)
Yummy Juices is a juice shop located in downtown Miami. The owner is considering the purchase of a new juicer to preserve her customer base in the market. The shop is experiencing increased difficulty in competing with juice chains such as Jumba Juice that offer customers a wider variety of specialty juices and mixes. The shop is open weekdays only. The cost of the new machine is $50,000. The selling price of the new juice mixes will be $2.00 per cup, and the variable cost per cup is $.50. Required: 1. What is the number of juices per day that must be sold to achieve break even? 2. Upon further investigation, the owner learns that the new machine requires substantial maintenance, which will increase the variable cost by $.50 per juice. How would this information affect your answer? 3. What other factors should the owner consider before making the final decision to purchase the machine?
Robert Reed, a bachelor, maintains his parents in a nursing home. They have no income of their own and are completely dependent on their son. His parents are 75 and 72 years of age. Robert has the following sources of income: Salary…………………………………..……………….……………………….45,000 interest on municipal bonds………………………..……………….750 interest on bank accounts……………………………..……………..800 dividends on common stock of U.S. corporation………….500 Robert has itemized deductions of $12,000. Robert owns several apartment buidings. His net rental income was $3,000 for the year. Then on December 31 one of his best tenants brought in a check for $500. This money covers the months of December and January. Robert is confused on how to account for this rental income. It is not included in the $3,000 listed above. Compute Robert’s taxable income. (show all work)
Are any of the following losses deductible on an individual’s income tax return? If so, is the loss deductible “for” or “from” AGI? Explain each loss. Loss Loss on sale of stock by individual’s business…….$4,000 Hobby loss in excess of hobby gross income………..3,000 gambling losses in excess of gambling winnings……………………………………………………………8,000 Loss on sale of stock on individual’s investment portfolio………………………………………….………9,000 Decline in value of stock held in individual investment portfolio………………………………7,000 loss on sale of personal automobile…………………………………2,000 Total……………………………………………………………………………………………………………..33,000
Suppose that C1 and P1 are the prices of a European average price Asian call and a European average price put with strike K and maturity T; C2 and P2 are the prices of a European average strike Asian call and a European average strike Asian put with maturity T; and C3 and P3 are the prices of a regular European call and a regular European put with strike K and maturity T. Show that at any time t < T: C1 C2-C3 = P1 P2-P3
Compute the depreciation expense for 2010 and 2011. Session 6 Problem 1 The Primark Company purchased a machine on January 2, 2010 and uses the 150%-declining-balance depreciation method. The machine has an expected life of 10 years and an expected residual value of $5,000. The following costs relate to the acquisition and use of the machine during the first year of its operations:
If a firm issues debt but writes protective and restrictive covenants into the loan contract, then the firm’s debt may be issued at a _____ interest rate compared with otherwise similar debt
CALCULATE THE NPV AND ROI ON A SYSTEM THE ACQUISITION COST IS $35000.00 REDUCE WAITING PERIOD $10.00 PER HOUR OR 2020HOURS PER YEAR 18% BENEFITS ,MONEY COST 7%
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