The president of the retailer Prime Products has just approached the company’s bank with a request for a $67,000, 90-day loan. The purpose of the loan is to assist the company in acquiring inventories. Because the company has had some difficulty in paying off its loans in the past, the loan officer has asked for a cash budget to help determine whether the loan should be made. The following data are available for the months April through June, during which the loan will be used:

1. On April 1, the start of the loan period, the cash balance will be $18,000. Accounts receivable on April 1 will total $173,600, of which $148,800 will be collected during April and $19,840 will be collected during May. The remainder will be uncollectible.

2. Past experience shows that 30% of a month’s sales are collected in the month of sale, 60% in the month following sale, and 8% in the second month following sale. The other 2% is bad debts that are never collected. Budgeted sales and expenses for the three-month period follow:

3. Merchandise purchases are paid in full during the month following purchase. Accounts payable for merchandise purchases during March, which will be paid in April, total $170,500.

4. In preparing the cash budget, assume that the $67,000 loan will be made in April and repaid in June. Interest on the loan will total $1,020.

Required:

1. Calculate the expected cash collections for April, May, and June, and for the three months in total.

2. Prepare a cash budget, by month and in total, for the three-month period.

The purpose of the task is for you to demonstrate high-level critical reflection and analytical reasoning skills in the context of the application of Australian taxation law and taxation law policy. You must undertake academic research which demonstrates the following:
1. An in-depth your understanding of how the specific tax law applies,
2. The policy context of the law and if relevant how other jurisdictions deal with similar issues,
3. Critical reflection as to whether the law achieves its stated purpose aligns with principles of good tax policy or could be improved/amended. These critical reflections should be supported by the research you have undertaken as well as your own independent thought.

Topic:

International Tax Avoidance – The avoidance and/or minimization of tax by large multi-national corporations are of great concern to Governments and tax administrators. Identify and discuss at least one common method multi-national corporations might use to avoid tax in Australia. Then identify and critically evaluate at least one current strategy implemented by the Government and/or the ATO that is used to prevent this.

Determine the price of a $300,000 bond issue under each of the following three independent assumptions:

Explain each answer.

hello Could I get the answers for Question 5 here's the question: QUESTION5 You are the Chief Technology Officer of Vegas Girl's Pizza involved as part of the IT overnance team to provide your opinion and solutions for the following questions Consider the following additional paragraph s and answer the question that follows: Back at his desk, Peter Greyton is thinking of the day's developments. He reflects uporn his meeting with Jim Saxton and Elaine Black. He considers where the company has been and where it is heading, and ponders the current issues regarding Vegas Girl's Pizza accounting information systems. Overall, Peter feels that he needs help aligning Vegas Girl's Pizza business strategy with its IT systems. In addition, he is concerned about the limitations of the current accounting information system. Are internal controls strong enough? Would a new, integrated IT system yield improvements? As he contemplates the integration of the POS systems at the restaurant locations with the GL software at the home office, he wonders about the requirements for developing and implementing such a system, and how to best utilize the system to support Vegas Girl's Pizza business strategy. Peter realizes that his ability to address these issues will be critical not only to the success of the company, but also to his career. He asks himself, "What should I do now?" Required: Assume that you are Jim Saxton preparing a report for Peter Greyton, the CIO. Address the following: Do you think Vegas Girl's Pizza business strategy is driving the development of its information systems, or vice versa? Use points from the case to support your answer 2. Describe the steps Vegas Girl's Pizza should take (according to the systems development life cycle stages) to ensure that its IT systems are aligned with its business strategy Consider the following issues that relate to Vegas Girl's Pizza purchases of ingredients and supplies, and then answer the questions pertaining to its expenditure processes. As mentioned in the opening part of the Vegas Girl's Pizza case, there are now 49 locations throughout the greater Pittsburgh area. Each one of those restaurant locations needs an ongoing supply of the many ingredients of pizzas and the other foods served. The raw materials each restaurant needs to make and sell pizzas and other menu items are things such as flour, salt, sugar, tomatoes, potatoes, lettuce, tomato paste, spices, meat, cheeses, and buns, as well as supplies such as napkins, take-out packages and doggy-bag containers Each restaurant must maintain an inventory of all of these items in order to properly serve customers. However, it is a difficult balance to maintain the right amount of each of these items. As you know from your experience in eating at restaurants, t can leave a negativ impression in your mind if the restaurant has run out of the food you intended to order Thus, there must always be enough ingredients and supplies to meet customers' desires Two factors make it difficult to maintain enough inventory of food can supplies: predicting demand, and time or space limitations. First, t can be difficult to predict customer demand for any particular day or week. The less predictable the stream of customers eating at the restaurant, the harder it can be to know how much inventory of food and supplies to keep. Secondly, time and space limit the amount of inventory a restaurant can keep. Food inventory is perishable, and much of it has a very short shelf life. For example, lettuce and tomatoes may remain fresh for only a couple of days. Other food items, such as flour and salt, may remain usable for months. But even for items with a long shelf life, it is hard to keep a large inventory at a restaurant because of limited storage space. Most of the space in a restaurant is for customer dining and the kitchen. Vegas Girl's Pizza uses a central commissary to prepare some of the ingredients before they are shipped to the restaurant. For example, the individual restaurant locations do not make dough on the premises. The flour, salt, yeast, and other ingredients are maintained, mixed, and prepared at the commissary, and this premade dough is then shipped by truck to restaurants daily. The pizza sauce and many ingredients for sandwiches and salads are also premade at the commissary. All of these factors taken together mean that Vegas Girl's Pizza must continually be purchasing the ingredients for pizzas and other foods, and supplies. These inventory items must be delivered to the commissary and then to each of the 49 Vegas Girl's Pizza locations to ensure that they never run out of the items needed to serve customers. Since there is a short shelf life for much of the inventory, the purchasing takes place on a daily basis to keep the commissary and each restaurant location properly stocked. Required: 3. Describe how you believe an efficient and effective purchasing system should be organized at Vegas Girl's Pizza. Consider details such as the following: a) How many purchasing agents should be employed? b) Where will these purchasing agents be located? c) How will the necessary information for purchasing flow between restaurants and these purchasing agents? How will IT systems be used in purchasing? How and when will purchased items be delivered to the restaurants? (Remember that all 49 locations are within the Pittsburgh area and none would d) e) be more than a one-hour drive from the corporate Headquarters.) 4. Draw a process map of your proposed purchasing system. 5. Describe any IT controls that would be necessary or desirable in your purchasing system 6. Briefly describe Vegas Girl's Pizza conversion processes; that is, what gets converted, how is it done, and where are the underlying processes performed [at which Vegas Girl's Pizza location(s)]? 7. What procedures and internal controls would you recommend to Vegas Girl's Pizza to minimize the risk of lost sales due to stock-outs (i.e., running out of ingredients) and the resulting idle time that may be incurred while employees are awaiting delivery from the commissa|
IT IS A FOLLOWUP QUESTION
THANKS

Assume a selling price of $95,000, a down payment of $20,000, and a mortgage at 10% for 30 years. If the loan was for 25 years, what would be the difference in the total interest cost of the loan?

what is like to be authority in business and personal level?

Required information

Problem 9-31 Production and Direct-Labor Budgets; Activity-Based Overhead Budget (LO 9-3, 9-4, 9-5, 9-6)

[The following information applies to the questions displayed below.]

Spiffy Shades Corporation manufactures artistic frames for sunglasses. Talia Demarest, controller, is responsible for preparing the company’s master budget. In compiling the budget data for 20x1, Demarest has learned that new automated production equipment will be installed on March 1. This will reduce the direct labor per frame from 1.0 hour to 0.75 hour.

Labor-related costs include pension contributions of $1.30 per hour, workers’ compensation insurance of $1.00 per hour, employee medical insurance of $4 per hour, and employer contributions to Social Security equal to 7.00 percent of direct-labor wages. The cost of employee benefits paid by the company on its employees is treated as a direct-labor cost. Spiffy Shades Corporation has a labor contract that calls for a wage increase to $15.00 per hour on April 1, 20x1. Management expects to have 16,200 frames on hand at December 31, 20x0, and has a policy of carrying an end-of-month inventory of 100 percent of the following month’s sales plus 40 percent of the second following month’s sales.

These and other data compiled by Demarest are summarized in the following table.

1. Prepare a production budget and a direct-labor budget for Spiffy Shades Corporation by month and for the first quarter of 20x1. (Round "Direct-labor hours per unit" to 2 decimal places.)

2. For each item used in the firm’s production budget and direct-labor budget, select the other components of the master budget (except for financial statement budgets) that also, directly or indirectly, would use these data. (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer.)

1. Sales data:

• Selling and administrative expense budgetunanswered
• Production-overhead budgetunanswered
• Direct-material budgetunanswered
• Cash budgetunanswered
• Cost-of-goods-sold budgetunanswered
• Sales budgetunanswered
• Cash disbursements budgetunanswered

2. Production data:

• Selling and administrative expense budgetunanswered
• Direct-material budgetunanswered
• Cost-of-goods-sold budgetunanswered
• Production-overhead budgetunanswered
• Cash budgetunanswered
• Cash disbursements budgetunanswered
• Sales budgetunanswered

3. Direct-labor-hour data:

• Selling and administrative expense budgetunanswered
• Production-overhead budgetunanswered
• Direct-material budgetunanswered
• Cash budgetunanswered
• Cost-of-goods-sold budgetunanswered
• Sales budgetunanswered
• Cash disbursements budgetunanswered

4. Direct-labor cost data:

• Selling and administrative expense budgetunanswered
• Production-overhead budgetunanswered
• Direct-material budgetunanswered
• Cash budgetunanswered
• Sales budgetunanswered
• Cost-of-goods-sold budgetunanswered
• Cash disbursements budget

3. Prepare a production overhead budget for each month and for the first quarter.

Milano Pizza is a small neighborhood pizzeria that has a small area for in-store dining as well as offering take-out and free home delivery services. The pizzeria’s owner has determined that the shop has two major cost drivers—the number of pizzas sold and the number of deliveries made.

Data concerning the pizzeria’s costs appear below:

In November, the pizzeria budgeted for 1,680 pizzas at an average selling price of $19 per pizza and for 180 deliveries.

Data concerning the pizzeria’s operations in November appear below:

Required:

1. Complete the flexible budget performance report that shows both revenue and spending variances and activity variances for the pizzeria for November. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.

Pratt Company acquired all of Spider, Inc.’s outstanding shares on December 31, 2018, for $478,050 cash. Pratt will operate Spider as a wholly owned subsidiary with a separate legal and accounting identity. Although many of Spider’s book values approximate fair values, several of its accounts have fair values that differ from book values. In addition, Spider has internally developed assets that remain unrecorded on its books. In deriving the acquisition price, Pratt assessed Spider’s fair and book value differences as follows: Book Values Fair Values Computer software $ 49,500 $ 88,500 Equipment 55,500 36,400 Client contracts 0 105,000 In-process research and development 0 29,750 Notes payable (104,000 ) (112,850 ) At December 31, 2018, the following financial information is available for consolidation: Pratt Spider Cash $ 15,500 $ 19,200 Receivables 117,000 57,900 Inventory 165,000 103,900 Investment in Spider 478,050 0 Computer software 250,000 49,500 Buildings (net) 600,500 172,500 Equipment (net) 319,000 55,500 Client contracts 0 0 Goodwill 0 0 Total assets $ 1,945,050 $ 458,500 Accounts payable $ (96,300 ) $ (65,500 ) Notes payable (530,750 ) (104,000 ) Common stock (380,000 ) (100,000 ) Additional paid-in capital (170,000 ) (25,000 ) Retained earnings (768,000 ) (164,000 ) Total liabilities and equities $ (1,945,050 ) $ (458,500 ) Prepare a consolidated balance sheet for Pratt and Spider as of December 31, 2018.

Dividing Partnership Net Income

Required:

Steve Jack and Chelsy Stevens formed a partnership, dividing income as follows:

1. Annual salary allowance to Jack of $87,360.
2. Interest of 6% on each partner's capital balance on January 1.
3. Any remaining net income divided to Jack and Stevens, 1:2.

Jack and Stevens had $63,000 and $87,000, respectively, in their January 1 capital balances. Net income for the year was $156,000. How much is distributed to Jack and Stevens?

Note: Compute partnership share.
Jack: $
Stevens: $

Revaluing and Contributing Assets to a Partnership

Demarco Lee invested $28,000 in the Camden & Sayler partnership for ownership equity of $28,000. Prior to the investment, equipment was revalued to a market value of $294,000 from a book value of $249,000. Kevin Camden and Chloe Sayler share net income in a 1:3 ratio.

Required:

a. Provide the journal entry for the revaluation of equipment.

For a compound transaction, if an amount box does not require an entry, leave it blank.

b. Provide the journal entry to admit Lee.

Kipmar 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.

Kipmar can produce 1,500,000 cases a year. The projected net income for the coming year is expected to be $1,800,000. Kipmar is subject to a 40% income tax rate.

During the planning sessions, Kipmar’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 $150,000. All other costs and expenses are expected to remain the same.

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

The following transactions relate to Sunlight Mountain Inc. Prepare journal entries for each transaction. Prepare the equity section of the balance sheet at each year-end, December 31. Assume 2015 was Sunlight’s first year of operations.

1. Sunlight issued 1,000 shares of $1 par value common stock for $70 per share on January 1, 2015.

2. Sunlight issued 500 shares of no par value, $5, non-cumulative preferred stock for $50 per share on January 1, 2015.

3. Sunlight reported net income of $2,000 during 2015 and paid no dividends. Prepare the company’s equity section of the December 31, 2015, balance sheet.

Stockholders’ Equity:

Interim Quality Performance Reports

Good quality cost management requires that quality costs be reported and controlled (control having a cost reduction emphasis). Control enables managers to compare actual outcomes with standard outcomes to gauge performance and take any necessary corrective actions. The total quality management standard is the robust zero-defects standard. This standard requires that goods and services be produced that meet the targeted value of specified quality characteristics. Achieving zero defects typically requires years and so a variety of quality performance reports are used to measure the progress of a company’s quality improvement program. One such report is the interim standard report. This report measures progress by comparing this year’s quality costs to the budgeted quality costs for the year. The budgeted quality costs are a reduction in the prior year’s quality costs resulting from planned quality improvements.

Apply the Concepts

The actual quality costs are provided for Wilson Company for the years ended June 30, Year 1 and June 30, Year 2:

At the end of Year 1, management decided to increase its investment in control costs by 25 percent for each category’s items with the expectation that failure costs would decrease by 20 percent for each item of the failure categories. Sales were $12,800,000 for both Year 1 and Year 2.

1. Prepare the budgeted costs for Year 2, and prepare an interim quality performance report by completing the following table (round all budgeted amounts to the nearest dollar and percentages to two decimal places):

Simon Company's year-end balance sheets follow.

1. Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage answers to 1 decimal place.)
2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable?
3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable?