A group of investors decides to invest $500,000 in the stocks of three companies.

• Company D sells for $60 a share and has an expected growth of 16% per year
• Company E sells for $80 a share and has an expected growth of 12% per year
• Company F sells for $30 a share and has an expected growth of 9% per year.

The group plans to buy twice as many shares of company F as of company E. If the group’s goal is 14.52% growth per year. How many shares of each stock should the investors buy?

Mermaid LTD's long term debt agreements make certain demands on the business. For example, Mermaid may not purchase treasury shares in excess of the balance of retained earnings. Also, long term debt may not exceed shareholder's equity, and the current ratio may not fall below 1.50. If Mermaid fails to meet any of these requirements, the Company's lenders have the Authority to take over management of the company.

Changes in consumer demand have made it hard for Mermaid LTD to attract customers. Current liabilities have mounted faster than current asset, causing the current ratio to decline to 1.47. Before releasing financial statements , Mermaid's management is scrambling to improve current ratio. The controller points out that the Company owns an investment that is currently classified as long term. The investment can be classified as either long-term or short - term, depending on management's intention. By deciding to convert the investment as short-term --- a current asset. On the controller's recommendation, Mermaid's Board of Directors votes to reclassify Long-term investments as short-term.

Required:

1. What is accounting issue in this case? What ethical decision needs to be made?

2. Who are the stakeholders?

3. Analyse the potential impact on the stakeholders from the following standpoints:

3.1 Economic

3.2 Legal

3.3 Ethical

4. Shortly after the financial statements are released, sales improve; so, too, does the current ratio. As a result, Mermaid's management decides not to sell the investments it had reclassified as short-term. Accordingly, the company reclassifies the investments as long-term. Has management acted unethically? Give reasons underlying your answer.

On January 1, 2021, the general ledger of Big Blast Fireworks includes the following account balances:

The $35,000 beginning balance of inventory consists of 350 units, each costing $100. During January 2021, Big Blast Fireworks had the following inventory transactions:

The following information is available on January 31, 2021.

1. At the end of January, the company estimates that the remaining units of inventory are expected to sell in February for only $100 each.
2. The company estimates future uncollectible accounts. The company determines $4,500 of accounts receivable on January 31 are past due, and 40% of these accounts are estimated to be uncollectible. The remaining accounts receivable on January 31 are not past due, and 4% of these accounts are estimated to be uncollectible. (Hint: Use the January 31 accounts receivable balance calculated in the general ledger.)
3. Accrued interest expense on notes payable for January. Interest is expected to be paid each December 31.
4. Accrued income taxes at the end of January are $12,800.

I ONLY NEED HELP WITH A-D (all of the January 31st journal entries plus recording the closing entry for revenue and expenses.

On January 1, 2017, McIlroy, Inc., acquired a 60 percent interest in the common stock of Stinson, Inc., for $372,000. Stinson's book value on that date consisted of common stock of $100,000 and retained earnings of $219,900. Also, the acquisition-date fair value of the 40 percent noncontrolling interest was $248,000. The subsidiary held patents (with a 10-year remaining life) that were undervalued within the company's accounting records by $79,300 and an unrecorded customer list (15-year remaining life) assessed at a $54,900 fair value. Any remaining excess acquisition-date fair value was assigned to goodwill. Since acquisition, McIlroy has applied the equity method to its Investment in Stinson account and no goodwill impairment has occurred. At year end, there are no intra-entity payables or receivables.

Intra-entity inventory sales between the two companies have been made as follows:

The individual financial statements for these two companies as of December 31, 2018, and the year then ended follow:

1. Show how McIlroy determined the $415,112 Investment in Stinson account balance. Assume that McIlroy defers 100 percent of downstream intra-entity profits against its share of Stinson’s income.

2. Prepare a consolidated worksheet to determine appropriate balances for external financial reporting as of December 31, 2018.

Explain the leverage effect on the Capital market line (CML). Give your own numerical example and graph.

Natick Industries leased high-tech instruments from Framingham Leasing on January 1, 2018. Natick has the option to renew the lease at the end of two years for an additional three years. Natick is subject to a $45,000 penalty after two years if it fails to renew the lease. Framingham Leasing purchased the equipment from Waltham Machines at a cost of $321,800. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)

Required:
Prepare appropriate entries for Natick Industries from the beginning of the lease through March 31, 2018. Appropriate adjusting entries are made quarterly. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to the nearest whole dollar amount.)

A new accountant at Shamrock, Inc. is trying to identify which of the amounts shown below should be reported as the current asset “Cash and cash equivalents” in the year-end balance sheet, as of April 30, 2019.

(a) What balance should Shamrock report as its “Cash and cash equivalents” balance at April 30, 2019?

Grichuk Power leased high-tech electronic equipment from Kolten Leasing on January 1, 2018. Kolten purchased the equipment from Wong Machines at a cost of $253,500, its fair value. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)

Required:
Prepare a lease amortization schedule and appropriate entries for Grichuk Power from the commencement of the lease through December 31, 2018. December 31 is the fiscal year end for each company. Appropriate adjusting entries are recorded at the end of each quarter.

1. Consider a plant that pollutes lead into the drinking water of a small town. The town is con- sidering a couple of interventions (i.e. taxation versus regulation) to address this problem. However, they are uncertain about the firm’s cost of reduction. Provide a solution to this problem. How does the policy instrument affect efficiency when cost are unknown.

2. If Eliza is currently willing to trade 4 loaves of bread for 1 gallon of milk, then she must like loaves of bread better than gallons of milk? Why or why not?

Tempo Company's fixed budget (based on sales of 14,000 units) for the first quarter reveals the following. Fixed Budget Sales (14,000 units × $207 per unit) $ 2,898,000 Cost of goods sold Direct materials $ 322,000 Direct labor 602,000 Production supplies 364,000 Plant manager salary 122,000 1,410,000 Gross profit 1,488,000 Selling expenses Sales commissions 98,000 Packaging 196,000 Advertising 100,000 394,000 Administrative expenses Administrative salaries 172,000 Depreciation—office equip. 142,000 Insurance 112,000 Office rent 122,000 548,000 Income from operations $ 546,000

(1) Compute the total variable cost per unit.

(2) Compute the total fixed costs.

(3) Compute the income from operations for sales volume of 12,000 units.

(4) Compute the income from operations for sales volume of 16,000 units.

Becky Gonzalez (a factory worker) earns $ .50 for every unit she makes up to 200 units. She makes an additional $.10 on every unit she makes over 200.The union contract guarantees her a minimum of $12 per hour.During one week, her hours and productivity were as follows:

DAYS HOURS WORKED UNITS COMPLETED

Monday 8 210

Tuesday 8 175

Wednesday 8 240

Thursday 8 160

Friday 8 195

WHAT'S THE ANSWER FOR :

WIP$

MOH$

Salaries expense $

THANKS!

Tiger Furnishings produces two models of cabinets for home theater components, the Basic and the Dominator. Data on operations and costs for March follow:

Tiger Furnishings’s CFO believes that a two-stage cost allocation system would give managers better cost information. She asks the company’s cost accountant to analyze the accounts and assign overhead costs to two pools: overhead related to direct labor cost and overhead related to machine-hours.

The analysis of overhead accounts by the cost accountant follows:

Required:

b. Compute the product costs per unit assuming that Tiger Furnishings uses direct labor costs and machine-hours to allocate overhead to the products. (Do not round intermediate calculations.)

   BASIC DOMINATOR    TOTAL

PRODUCT COSTING
DIRECT MATERIAL    ?    ? ?
DIRECT LABOR    ?    ? ?
OVERHEAD
MACHINE-RELATED    ? ? ?
LABOR-RELATED    ?    ? ?
TOTAL-OVERHEAD    ?    ? ?
TOTAL COST ?    ? ?
UNITS PRODUCED    ? ?
UNIT COST    ?    ?

ALL THE ONES WITH QUESTIONS MARKS REQUIRED ANSWERS THANK YOU

  

Company ABC acquired a machine at the beginning of the year. The machine had a 6-year useful life. He expensed the entire acquisition cost in the current year. His error has what effect on current period net income (NI) and retained earnings at the end of the 4th year (RE4)?

a. NI is understated; RE4 is understated

b. NI is understated; RE4 is correct

c. NI is overstated; RE4 is correct

d. NI is overstated; RE4 is understated

e. None of the above

Please help to explain for my better understanding.

4. ABC Company issued 1000 ordinary shares of P1 each. Payment for the shares was to be made as follows: on application 30 thebe, on allotment 40 thebe and on call 30 thebe. The company received 1000 applications. All the instalments were paid except Jay a holder of 100 shares who failed to pay the call money. Jay’s shares were forfeited. The Directors decided to reissue those shares to Sechaba at 75 thebe per share. Prepare the following accounts: a) Applications and allotment account b) Bank account c) Share capital account d) Call account e) Forfeited account f) Sechaba account