Income statements and balance sheets data for Virtual Gaming Systems are provided below.

Required:

1. Calculate the following risk ratios for 2018 and 2019: (Round your answers to 1 decimal place.)

Receivables turnover ratio,Inventory turnover ration, Current ration and Debt to equity ratio.

2. Calculate the following profitability ratios for 2018 and 2019: (Round your answers to 1 decimal place.)

Gross profit ratio, Return on assets, Profit margin and Asset turnover

The Directors of Lolipop Ltd are currently considering two mutually exclusive investment projects. Both projects are concerned with the purchase of new plant. The following data are available for each project

Project A Project B

$'m

Cost( immediate outlay ) 100 60

Expected annual net profit (loss)

Year 1 29 18

Year 2 (1) (2)

Year 3 2 4

Estimated residual value of the plant 7 6

The minimum expected return by the shareholders is 10%. the Industrial average cost of capital is 12%. The company uses the straight line method of depreciation for all non-current (fixed )assets when calculating profit. Neither project would increase the working capital of the business. The business has sufficient funds to meet all capital expenditure requirements . The company expects to pay a total constant dividend of $ million per year for the next three ( 3) years.

Required

a) Calculate for each project

1. Accounting Rate of Return

2. The PayBack period

3. The NPV

4. The approximate IRR

Advise the directors which project should be undertaken

b) State which method of investment appraisal in (a) above you consider to b e most appropriate for calculating investment projects and why

c) Explain three (3) factors that may affect the dividend policy of Lolipop Ltd

Suppose that you are the manager of a local deli. Give an example of each of the following decisions that you might have to make and identify three factors that would be relevant to each decision:

1. Special order.
2. Make or buy.
3. Keep or drop.

1.  XYZ Company, a manufacturer of computer peripheries, assembles a particular product line at a wholly owned facility in Singapore. The product is designed at XYZ’s headquarters in the United States, but the different components used in the assembly process are manufactured throughout Asia and shipped to Singapore for final assembly. Some of the components are manufactured in multiple locations, so the customer can actually designate where XYZ should source the components. The final product is assembled in Singapore and then shipped via Emery Freight to customers throughout Asia. XYZ Singapore does not buy any components from the United States, but it invoices all of the components purchased from Asian suppliers in U.S. dollars. In addition, it sells the product to Asian customers in U.S. dollars. However, all of its expenses in Singapore are paid in Singapore dollars. Most of the key marketing decisions are made by the U.S. marketing staff, although the Singapore staff acts as a liaison with Emery Freight personnel and deals with the local workers, most of whom come from Sri Lanka on short-term work visas.

     XYZ prefers to translate the results of their Singapore subsidiary into dollars using the current rate method. What is the advantage to XYZ of using the current rate method? As their auditor, what do you think of their decision? If their decision is wrong and they should be using the temporal method, is it possible for them to change?

You are a nonprofit manager and you are preparing for the upcoming fiscal year. You are in charge of leading the budget process for the organization. Briefly describe how you would start to prepare the organization’s budget. What considerations would you need to take into account? Who would you involve in the process? What are the timeline and key activities of the budget process? Once your budget is developed, what steps would you take to ensure the organization is on track to meet its budget?

Preparing a Budget

o Describe the key steps you would take to prepare your nonprofit organization’s budget. Cite at least one academic source to support your response.

o Discuss the considerations that you would need to take into account when preparing the nonprofit organization’s budget. Cite at least one academic source to support your response.

o Describe individuals involved in the budgeting process. o Outline the budgeting process timeline and key activities.

 Ongoing

o Describe the steps you would take to ensure the organization is on track to meet its budget.

Process Co has two divisions, A and B. Division A produces three types of chemicals: products L, M and S, using a common process. Each of the products can either be sold by Division A to the external market at split-off point (after the common process is complete) or can be transferred to Division B for individual further processing into products LX, MX and SX.

In November 20X1, which is a typical month, Division A’s output was as follows:

Product             Kg

     L               1,200

     M              1,400

     S               1,800

The market selling prices per kg for the products, both at split-off point and after further processing, are as follows:

                         $                            $

     L               5.60        LX            6.70

     M              6.50        MX           7.90

     S               6.10        SX           6.80

The specific costs for each of the individual further processes are:

Variable cost of $0.50 per kg of LX

Variable cost of $0.70 per kg of MX

Variable cost of $0.80 per kg of SX

Further processing leads to a normal loss of 5% at the beginning of the process for each of the products being processed.

Required

1. Calculate and conclude whether any of the products should be further processed in Division B in order to optimise the profit for the company as a whole.

It has been suggested that Division A should transfer products L and M to Division B for further processing, in order to optimise the profit of the company as a whole. Divisions A and B are both investment centres and all transfers from Division A to Division B would be made using the actual marginal cost. As a result, if Division A were to make the transfers as suggested, their divisional profits would be much lower than if it were to sell both products externally at split-off point. Division B’s profits, however, would be much higher.

Required

       (b) Discuss the issues arising from this suggested approach to transfer pricing.

3. A student comes up with a new ratio to measure performance: she calls it profit
ratio: ROCE/WACC
o What does it measure? Interpret it.
o Do you consider it a good performance measure? Explain.
o Can you think of a better name for it? Why?

On March 31, 2018, the Herzog Company purchased a factory complete with machinery and equipment. The allocation of the total purchase price of $960,000 to the various types of assets along with estimated useful lives and residual values are as follows:

On June 29, 2019, machinery included in the March 31, 2018, purchase that cost $96,000 was sold for $76,000. Herzog uses the straight-line depreciation method for buildings and machinery and the sum-of-the-years'-digits method for equipment. Partial-year depreciation is calculated based on the number of months an asset is in service.

Required:

1. Compute depreciation expense on the building, machinery, and equipment for 2018.
2. Prepare the journal entries to record the depreciation on the machinery sold on June 29, 2019, and the sale of machinery.
3. Compute depreciation expense on the building, remaining machinery, and equipment for 2019.

Audit - audit procedures

After getting the lists and totals of inventory with market value or value-at-cost of greater than $10,000, what audit procedure would you complete next? What risk and management assertion are you addressing with your proposed audit procedure?

Transactions; Financial Statements

On July 1, 2019, Pat Glenn established Half Moon Realty. Pat completed the following transactions during the month of July:

1. Opened a business bank account with a deposit of $25,000 from personal funds.
2. Purchased office supplies on account, $2,530.
3. Paid creditor on account, $1,600.
4. Earned sales commissions, receiving cash, $25,850.
5. Paid rent on office and equipment for the month, $5,070.
6. Withdrew cash for personal use, $8,000.
7. Paid automobile expenses (including rental charge) for the month, $2,430, and miscellaneous expenses, $1,160.
8. Paid office salaries, $3,050.
9. Determined that the cost of supplies on hand was $850; therefore, the cost of supplies used was $1,680.

Required:

1. Indicate the effect of each transaction and the balances after each transaction. For those boxes in which no entry is required, leave the box blank. If required, enter negative values as negative numbers.

repare an income statement for July.

Feedback

2. An income statement reports the revenues and expenses. When revenues are larger than the expenses, the difference is net income.

Prepare a statement of owner's equity for July. If an amount is zero, enter "0".

Feedback

3. Follow Example Exercise 1-5. Recall that the statement of owner's equity considers beginning owner capital, additional investments of the owner and net income for the year and withdrawals to calculate the ending capital. The net income from the income statement is needed to complete the statement of owner's equity.

Prepare a balance sheet as of July 31.

prepare statement of cash flow: Sales revenue $454,707 Sales discount $56,240 Sales return and allowance $5,687 Beginning inventory $251,890 Purchases $511,692 Ending inventory $628,122 Operating expenses, including depreciation of $46,500 $58,910 Income tax expense $27,280 Interest expense $4,730 Loss on disposal of plant assets $7,500

On January 2, 2013, Illinois Corporation issued 200,000 new shares of its $5 par value common stock valued at $19 a share for all of North Dakota Company's outstanding common shares. The fair value and book value of North Dakota's identifiable assets and liabilities were the same. Summarized balance sheet information for both companies just before the acquisition on January 2, 2013 is as follows: Illionois North Dakota

Cash $150,000 $240,000

Inventories 320,000 800,000

Other current assets 500,000 1,000,000

Land 350,000 500,000

Property, plant & equipment 4,000,000 3,000,000

Total Assets $5,320,000 $5,540,000

Accounts payable $1,000,000 $600,000

Notes payable 1,300,000 1,320,000

Common stock, $5 par 2,000,000 1,000,000

Additional paid-in capital 1,000,000 200,000

Retained earnings 20,000 2,420,000

Total Liabilities & Equities $5,320,000 $5,540,000

Prepare a consolidated balance sheet for Illinois Corporation immediately after the business combination.

I need to do a solvency ratio analysis. The company I have chosen for this is Lyft. Can someone help me with this? How do I upload the financial statement?