You own a convertible bond that has a 6% yield, 4.5% coupon rate, pays semiannually, and has 3 years to maturity. The conversion rate is 8. The current stock price is 127.3. Calculate your gain or loss if you decide to convert. Answer is 59.03 Please show steps. - no excel

The following transactions relate to bond investments of Livermore Laboratories. The company’s fiscal year ends on December 31. Livermore uses the straight-line method to determine interest.

2018

2019

2020  

Required:

1. Prepare the appropriate journal entries for these long-term bond investments.
2. By how much will Livermore Labs’ earnings increase in each of the three years as a result of these investments? (Ignore income taxes.)

How much of temporarily restricted funds did the college expend during the year? Is this the money released from Temporarily restricted assets to unrestricted?

Identify the internal control procedures classified per (SAS78/COSO) that could prevent or detect this fraud.

DP M9

Excel workbook: Give an example of when you may be asked to put a workbook together that would involve multiple peoples input. Think about what edits you may only want certain groups/people to make. Further explain why you may be selective to let modifications be made.

A transport company is studying the total cost of operations. It is assumed that the costs are driven mainly by the kilometres covered. Data for the past four months is shown here:

a) What is the relevant range for the company operations?

b) Using the high-low method, estimate the company's variable cost per kilometre

Hillyard Company, an office supplies specialty store, prepares its master budget on a quarterly basis. The following data have been assembled to assist in preparing the master budget for the first quarter:

1. As of December 31 (the end of the prior quarter), the company’s general ledger showed the following account balances:

2. Actual sales for December and budgeted sales for the next four months are as follows:

3. Sales are 20% for cash and 80% on credit. All payments on credit sales are collected in the month following sale. The accounts receivable at December 31 are a result of December credit sales.

4. The company’s gross margin is 40% of sales. (In other words, cost of goods sold is 60% of sales.)

5. Monthly expenses are budgeted as follows: salaries and wages, $37,000 per month: advertising, $59,000 per month; shipping, 5% of sales; other expenses, 3% of sales. Depreciation, including depreciation on new assets acquired during the quarter, will be $45,620 for the quarter.

6. Each month’s ending inventory should equal 25% of the following month’s cost of goods sold.

7. One-half of a month’s inventory purchases is paid for in the month of purchase; the other half is paid in the following month.

8. During February, the company will purchase a new copy machine for $3,200 cash. During March, other equipment will be purchased for cash at a cost of $81,000.

9. During January, the company will declare and pay $45,000 in cash dividends.

10. Management wants to maintain a minimum cash balance of $30,000. The company has an agreement with a local bank that allows the company to borrow in increments of $1,000 at the beginning of each month. The interest rate on these loans is 1% per month and for simplicity we will assume that interest is not compounded. The company would, as far as it is able, repay the loan plus accumulated interest at the end of the quarter.

Complete the cash budget. (Cash deficiency, repayments and interest should be indicated by a minus sign.)

Cost Accounting II

Assignment III

(LO 7)

McLynn, Inc. is considering the purchase of a new machine that will cost $ Plug in the last 6 digits of your ID. The machine has an estimated useful life of 3 years. Assume that the company uses the straight-line method. The new machine will have a $10,000 salvage value at the end of its estimated useful life. The machine is expected to save the company $85,000 per year in operating expenses excluding depreciation expense. Cash flow from terminal disposal of motor $8,000.   McLynn uses a 40% estimated income tax rate and a 16% required rate of return to evaluate capital projects.

Discount rates for a 16% rate are as follows:

                                         Present Value of an

Present Value of $1          Ordinary Annuity of $1

Year 1 .862                                       .862

Year 2 .743                                      1.605

Year 3 .641                                      2.246

Instructions: Using excel

Calculate (a) net present value, (b) payback period, (c) discounted payback period

ID# 170022

This year Jack intends to file a married-joint return. Jack received $172500 of salary and paid $5000 of interest on loans used to pay qualified tuition costs for his dependent daughter, Deb. This year Jack has also paid qualified moving expenses of $4300 and $28300 of alimony. (Do not round intermediate calculations.)

A.what is jack adjusted gross income

B.Suppose that jack also reported income of $8800 from a half share of profits from a partnership. Disregard any potential self employment taxes on this income. What AGI would jack report under these circumstances?

Crane Company produces a molded briefcase that is distributed to luggage stores. The following operating data for the current year has been accumulated for planning purposes.

Sales price$34

Variable cost of goods sold10

Variable selling expenses9.0

Variable administrative expenses3

Annual fixed expenses  

Overhead$6,396,000   

Selling expenses1,353,000  

Administrative expenses2,583,000

Crane can produce 1,230,000 million cases a year. The projected net income for the coming year is expected to be $1,476,000 million. Crane is subject to a 40% income tax rate.

During the planning sessions, Crane’s managers have been reviewing costs and expenses. They estimate that the company’s variable cost of goods sold will increase 15% in the coming year and that fixed administrative expenses will increase by $123,000. All other costs and expenses are expected to remain the same.

What amount of sales revenue will Crane need to achieve in the coming year to earn the projected net income of $1,476,000 million?

What price would Crane need to charge for the briefcase in the coming year to maintain the current year’s contribution margin ratio?

Little Ricky's Village People Shop Inc.'s income statement for the year ending 12/31/18 showed that the company had a net loss of ($35,000). Is it still possible for Little Ricky's to have had a net cash inflow from operating activities for the year when using the indirect method for its cash flow statement? Explain your answer and give two examples (with numbers you make up) to support your argument. Use complete sentences.

Thermal Rising, Inc., makes paragliders for sale through specialty sporting goods stores. The company has a standard paraglider model, but also makes custom-designed paragliders. Management has designed an activity-based costing system with the following activity cost pools and activity rates:

Activity Cost Pool Activity Rate

Supporting direct labor ....................... $26 per direct labor-hour

Order processing ................................ $284 per order

Custom design processing ................. $186 per custom design

Customer service ............................... $379 per customer

Management would like an analysis of the profitability of a particular customer, Big Sky Outfitters, which has ordered the following products over the last 12 months:

The company’s direct labor rate is $19.50 per hour.

Required:

Using the company’s activity-based costing system, compute the total customer margin.

South Airlines purchased a 747 aircraft on January 1, 2019, at a cost of $35,000,000. The estimated useful life of the aircraft is 20 years, with an estimated salvage value of $5,000,000. Instructions

(a) Compute the depreciation for 2019 and 2020 using the straight-line method and the double-declining-balance method.

(b) under each method, what is the book value after two years on December 31, 2020?

Thermal Rising, Inc., makes paragliders for sale through specialty sporting goods stores. The company has a standard paraglider model, but also makes custom-designed paragliders. Management has designed an activity-based costing system with the following activity cost pools and activity rates:

Activity Cost Pool Activity Rate

Supporting direct labor ....................... $26 per direct labor-hour

Order processing ................................ $284 per order

Custom design processing ................. $186 per custom design

Customer service ............................... $379 per customer

Management would like an analysis of the profitability of a particular customer, Big Sky Outfitters, which has ordered the following products over the last 12 months:

The company’s direct labor rate is $19.50 per hour.

Required:

Using the company’s activity-based costing system, compute the total direct material.

Measures of liquidity, Solvency, and Profitability

The comparative financial statements of Marshall Inc. are as follows. The market price of Marshall common stock was $ 62 on December 31, 20Y2.

Required:

Determine the following measures for 20Y2, rounding to one decimal place, except for dollar amounts, which should be rounded to the nearest cent. Use the rounded answer of the requirement for subsequent requirement, if required. Assume 365 days a year.