how are capital gains on form 1120s taxes?

The following income statement and information about changes in noncash current assets and current liabilities are reported.

Changes in current asset and current liability accounts for the year that relate to operations follow.

Required:

Prepare only the cash flows from operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.)

6.Harry’s Carryout Stores has eight locations. The firm wishes to expand by two more stores and needs a bank loan to do this. Mr. Wilson, the banker, will finance construction if the firm can present an acceptable three-month financial plan for January through March. The following are actual and forecasted sales figures:

Of the firm’s sales, 50 percent are for cash and the remaining 50 percent are on credit. Of credit sales, 50 percent are paid in the month after sale and 50 percent are paid in the second month after the sale. Materials cost 35 percent of sales and are purchased and received each month in an amount sufficient to cover the following month’s expected sales. Materials are paid for in the month after they are received. Labor expense is 45 percent of sales and is paid for in the month of sales. Selling and administrative expense is 10 percent of sales and is also paid in the month of sales. Overhead expense is $22,000 in cash per month.
  
Depreciation expense is $10,800 per month. Taxes of $8,800 will be paid in January, and dividends of $6,000 will be paid in March. Cash at the beginning of January is $96,000, and the minimum desired cash balance is $91,000.

b. Prepare a schedule of monthly cash payments for January, February, and March.

c. Prepare a monthly cash budget with borrowings and repayments for January, February, and March. (Negative amounts should be indicated by a minus sign. Assume the January beginning loan balance is $0.)

On the income statement, income from discontinued operations is shown: Multiple Choice without any income tax effect. as an accounting principle change. as a separate section of income from continuing operations. net of taxes after income from continuing operations.

On January 1, 2021, the general ledger of 3D Family Fireworks includes the following account balances:

During January 2021, the following transactions occur:

The following information is available on January 31, 2021.

1. The company estimates future uncollectible accounts. The company determines $4,600 of accounts receivable on January 31 are past due, and 20% of these accounts are estimated to be uncollectible. The remaining accounts receivable on January 31 are not past due, and 5% of these accounts are estimated to be uncollectible. (Hint: Use the January 31 accounts receivable balance calculated in the general ledger.)
2. Supplies at the end of January total $800.
3. Accrued interest revenue on notes receivable for January. Interest is expected to be received each December 31.
4. Unpaid salaries at the end of January are $35,200.

REQUIREMENT:

1. Record each of the transactions listed above in the 'General Journal' tab (these are shown as items 1-7). Review the 'General Ledger' and the 'Trial Balance' tabs to see the effect of the transactions on the account balances.
2. Record the adjusting entries in the 'General Journal' tab (these are shown as items 8-11).
3. Review the adjusted 'Trial Balance' as of January 31, 2021, in the 'Trial Balance' tab.
4. Prepare an income statement for the period ended January 31, 2021, in the 'Income Statement' tab.
5. Prepare a classified balance sheet as of January 31, 2021 in the 'Balance Sheet' tab.
6. Record the closing entries in the 'General Journal' tab (these are shown as items 12 and 13).
7. Using the information from the requirements above, complete the 'Analysis' tab.

Problem 6-19 Break-Even Analysis; Pricing [LO6-1, LO6-4, LO6-5] Minden Company introduced a new product last year for which it is trying to find an optimal selling price. Marketing studies suggest that the company can increase sales by 5,000 units for each $2 reduction in the selling price. The company’s present selling price is $96 per unit, and variable expenses are $66 per unit. Fixed expenses are $832,200 per year. The present annual sales volume (at the $96 selling price) is 25,300 units. Required: 1. What is the present yearly net operating income or loss? 2. What is the present break-even point in unit sales and in dollar sales? 3. Assuming that the marketing studies are correct, what is the maximum annual profit that the company can earn? At how many units and at what selling price per unit would the company generate this profit? 4. What would be the break-even point in unit sales and in dollar sales using the selling price you determined in (3) above (e.g., the selling price at the level of maximum profits)?

Identify two (2) pieces of information not included in the principle financial statements (balance sheet, income statements, financial ratios) and legal actions being taken against the company, that you think would be important to someone considering whether to invest in your company. Explain your reasons for believing that this information would be important in making an investment decision.

The Phone Company has the following costs of producing and selling a cell phone when it produces and sells 100,000 cell phones per month: Per unit manufacturing cost Direct materials $60.00 Direct labor 10.00 Variable manufacturing overhead cost 35.00 Fixed manufacturing overhead cost 20.00 Per unit selling cost Variable 25.00 Fixed 10.00 Note that ‘100,000’ is the denominator used to calculate fixed costs per unit. Total fixed costs do not change regardless of production/sales level. The selling price of a cell phone is $250, unless otherwise stated in the questions below. Each situation below is independent of the other situations. That is, when you answer one question, assume that the situations described in other questions have not occurred. When you are considering opportunities for increased sales, assume that Phone Company has enough manufacturing capacity to make these sales without incurring additional fixed costs (i.e., it has excess capacity). S

The Phone Company has received an offer by a contract supplier to make and ship the Phone Company’s cell phone (100,000 units) directly to the Phone Company’s customers. The Phone Company will continue to do some product design and marketing but will no longer manufacture the phones itself. If the Phone Company accepts this offer, its variable manufacturing costs would be $0 and its fixed manufacturing cost would be reduced by 75% of its current level. In addition, its variable selling cost would decrease by one-third and its fixed selling cost would not change. How much per cell phone could the Phone Company pay the contract supplier if it wants to maintain its present level of operating income?

Non-Value-Added Activities: Non-Value-Added Cost

Thayne Company has 28 clerks that work in its Accounts Payable Department. A study revealed the following activities and the relative time demanded by each activity:

Required:

Classify the four activities as value-added or non-value-added, and calculate the clerical cost of each activity.

When a bond sells at a premium, is the periodic interest expense less than, equal to, or greater than the periodic interest payment? Why? Be specific. State any accounting principles that must be invoked, and how that (those) principle(s) apply. What is the role of the premium account in your answer? Fully explain why as we practiced in class. Be concise, yet thorough in your explanation.

Alton Inc. is working at full production capacity producing 40,000 units of a unique product. Manufacturing costs per unit for the product are as follows: Direct materials $ 11 Direct labor 10 Manufacturing overhead 12 Total manufacturing cost per unit $ 33 The per-unit manufacturing overhead cost is based on a $6 variable cost per unit and $240,000 fixed costs. The nonmanufacturing costs, all variable, are $8 per unit, and the sales price is $68 per unit. Sports Headquarters Company (SHC) has asked Alton to produce 6,600 units of a modification of the new product. This modification would require the same manufacturing processes. However, because of the nature of the proposed sale, the estimated nonmanufacturing costs per unit are only $4 (not $8). Alton would sell the modified product to SHC for $53 per unit. Required 1-a. Calculate the contribution margin for 6,600 units for both the current and special order. 1-b. Should Alton produce the special order for SHC? 2. Suppose that Alton Inc. had been working at less than full capacity to produce 34,000 units of the product when SHC made the offer. What is the minimum price per unit that Alton should accept for the modified product under these conditions?

MicroMem is a​ fast-growing manufacturer of computer chips. Direct materials are added at the start of the production process. Conversion costs are added evenly during the process. Some units of this product are spoiled as a result of defects not detectable before inspection of finished goods. Spoiled units are disposed of at zero net disposal value. MicroMem uses the​ weighted-average method of process costing. Summary data for September 2017 are as​ follows:

Imagine that you are a new college professor developing your first lecture on the Capital Asset Pricing Model. How would you explain the concept to your incoming freshman class?

In your discussion, include the relationship between the expected rate of return on a particular investment and the expected rate of return for a portfolio with multiple investments. What is the relationship between systematic and unsystematic risk? Analyze how the risk relationship related to the beta of an investment.

On August 31, 2019, the balance in the checkbook and the Cash account of the Dry Creek Bed and Breakfast was $12,370. The balance shown on the bank statement on the same date was $13,247.

Notes

1. The firm’s records indicate that a $1,550 deposit dated August 30 and a $711 deposit dated August 31 do not appear on the bank statement.
2. A service charge of $7 and a debit memorandum of $370 covering an NSF check have not yet been entered in the firm’s records. (The check was issued by Art Corts, a credit customer.)
3. The following checks were issued but have not yet been paid by the bank:
   

4. A credit memorandum shows that the bank collected a $2,134 note receivable and interest of $73 for the firm. These amounts have not yet been entered in the firm’s records.
   

Required:

1. Prepare a bank reconciliation statement for the firm as of August 31.
2. Record general journal entries for items on the bank reconciliation statement that must be journalized.

Analyze:
What effect did the journal entries recorded as a result of the bank reconciliation have on the fundamental accounting equation?