On January 1, 2018 Casey Corporation exchanged $3,282,000 cash for 100 percent of the outstanding voting stock of Kennedy Corporation. Casey plans to maintain Kennedy as a wholly owned subsidiary with separate legal status and accounting information systems.

At the acquisition date, Casey prepared the following fair-value allocation schedule:

Immediately after closing the transaction, Casey and Kennedy prepared the following postacquisition balance sheets from their separate financial records.

Prepare an acquisition-date consolidated balance sheet for Casey Corporation and its subsidiary Kennedy Corporation. (Negative amounts should be indicated by a minus sign.)

PR 8-1b Evaluating internal control of cash            ObJ. 2, 3 The following procedures were recently installed by The China Shop: a. All sales are rung up on the cash register, and a receipt is given to the customer. All sales are recorded on a record locked inside the cash register. b.             Each cashier is assigned a separate cash register drawer to which no other cashier has access. c. At the end of a shift, each cashier counts the cash in his or her cash register, unlocks the cash register record, and compares the amount of cash with the amount on the record to determine cash shortages and overages. d. Checks received through the mail are given daily to the accounts receivable clerk for recording collections on account and for depositing in the bank. e. Vouchers and all supporting documents are perforated with a PAID designation after being paid by the treasurer. f.          Disbursements are made from the petty cash fund only after a petty cash receipt has been completed and signed by the payee. g. The bank reconciliation is prepared by the cashier. Instructions Indicate whether each of the procedures of internal control over cash represents (1) a strength or (2) a weakness. For each weakness, indicate why it exists.

Larry's Farm Equipment Store has been in business for several years. The firm's owners have described the store as a "high-price, high-service" operation that provides lots of assistance to its customers. Margin has averaged a relatively high 25% per year for several years, but turnover has been a relatively low 0.6 based on average total assets of $1,200,000. A discount Farm Equipment Store is about to open in the area served by Larry's, and management is considering lowering prices to compete effectively. 11.value: 0.83 pointsRequired information Required: a. Calculate current sales and ROI for Larry's Farm Equipment Store. (Round your "ROI" to 1 decimal place. (e.g., 32.1)) b. Assuming that the new strategy would reduce margin to 20%, and assuming that average total assets would stay the same, calculate the sales that would be required to have the same ROI as Larry's currently earns. (Do not round your intermediate calculations.) c. Suppose you presented the results of your analysis in parts a and b of this problem to Larry, and he replied, "What are you telling me? If I reduce my prices as planned, then I have to practically double my sales volume to earn the same return?" Given the results of your analysis, what is the actual amount of increase in sales required? (Do not round your intermediate calculations.) d. Now suppose Larry says, "You know, I'm not convinced that lowering prices is my only option in staying competitive. What if I were to increase my marketing effort? I'm thinking about kicking off a new advertising campaign after conducting more extensive market research to better identify who my target customer groups are." In general, explain to Larry what the likely impact of a successful strategy of this nature would be on margin, turnover, and ROI. 011

Increase in selling price

Labor saving strategies

Reduction in inventory carrying costs

The accounting records of Wall’s China Shop reflected the following balances as of January 1, Year 3:

The following five transactions occurred in Year 3:

1. First purchase (cash): 115 units @ $90
2. Second purchase (cash): 205 units @ $98
3. Sales (all cash): 365 units @ $198
4. Paid $13,500 cash for salaries expense
5. Paid cash for income tax at the rate of 25 percent of income before taxes
   

Required
a. Compute the cost of goods sold and ending inventory, assuming (1) FIFO cost flow, (2) LIFO cost flow, and (3) weighted-average cost flow. Compute the income tax expense for each method.
b. Use a vertical model to show the Year 3 income statement, balance sheet, and statement of cash flows under FIFO, LIFO, and weighted average. (Hint: Record the events under an accounting equation before preparing the statements.)

Required A

Compute the cost of goods sold and ending inventory, assuming (1) FIFO cost flow, (2) LIFO cost flow, and (3) weighted-average cost flow. Compute the income tax expense for each method. (Do not round intermediate calculations. Round your answers to nearest whole dollar amount.)

Required B1

Use a vertical model to prepare the Year 3 income statement under FIFO, LIFO, and weighted average. (Do not round intermediate calculations. Round your answers to nearest whole dollar amount.)

Required B2

Use a vertical model to prepare the Year 3 balance sheet under FIFO, LIFO, and weighted average. (Do not round intermediate calculations. Round your answers to nearest whole dollar amount.)

Required B3

Use a vertical model to prepare the Year 3 statement of cash flows under FIFO, LIFO, and weighted average. (Do not round intermediate calculations. Round your answers to nearest whole dollar amount. Amounts to be deducted should be indicated with a minus sign.)

During a Skype session with Jordan and Taylor, you mention that your current cost model in accounting is break-even analysis. They are not following your explanation, but they say they will swing by with some brownies for a discussion. More brownies! This is paying off, except for those extra pounds.

Selling price to Yumminess at $10 per tin. The cost is $8 per tin, which includes $6 of direct material and $1.50 of direct labor. Annual manufacturing overhead is estimated at $100,000 for the expected sales of 200,000 tins. Operating expenses are projected to be $80,000 annually.

After looking over the costs for manufacturing overhead and operating expenses, you approximate that 85% of manufacturing overhead and 20% of operating expenses are variable costs.

1. What is the TOTAL fixed cost?

2. What is the TOTAL variable cost?

3. What is the contribution margin per UNIT? ( Do not round)

4. How many units are necessary to reach break - even?

5. Jordan is concerned that they will not be able to sell 200,000 tins of brownies. Given 200,000 tins as their expected sales level, what is the decrease of total sales dollars that they endure before they incur a net loss?

Tomey Corporation has two production departments, Forming and Finishing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department’s predetermined overhead rate is based on machine-hours and the Finishing Department’s predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Forming Finishing Machine-hours 18,000 14,000 Direct labor-hours 2,000 8,000 Total fixed manufacturing overhead cost $ 99,000 $ 70,400 Variable manufacturing overhead per machine-hour $ 2.10 Variable manufacturing overhead per direct labor-hour $ 3.70 During the current month the company started and finished Job T617. The following data were recorded for this job: Job T617: Forming Finishing Machine-hours 90 20 Direct labor-hours 30 60 Direct materials $ 940 $ 350 Direct labor cost $ 960 $ 1,920 The total job cost for Job T617 is closest to: (Round your intermediate calculations to 2 decimal places.) Multiple Choice $5,604 $2,584 $684 $3,020

Johansen Corporation uses a predetermined overhead rate based on direct labor-hours to apply manufacturing overhead to jobs. The Corporation has provided the following estimated costs for the next year: Direct materials $ 6,000 Direct labor $ 20,000 Rent on factory building $ 15,000 Sales salaries $ 25,000 Depreciation on factory equipment $ 8,000 Indirect labor $ 12,000 Production supervisor's salary $ 15,000 Jameson estimates that 20,000 direct labor-hours will be worked during the year. The predetermined overhead rate per hour will be: Multiple Choice $2.50 per direct labor-hour $2.79 per direct labor-hour $3.00 per direct labor-hour $4.00 per direct labor-hour

E19.22 (LO1,4) (Two Differences, One Rate, First Year) The differences between the book basis and tax basis of the assets and liabilities of Morgan Corporation at the end of 2019 are presented below.

It is estimated that the litigation liability will be settled in 2020. The difference in accounts receivable will result in taxable amounts of $30,000 in 2020 and $20,000 in 2021. The company has taxable income of $300,000 in 2019 and is expected to have taxable income in each of the following 2 years. Its enacted tax rate is 34% for all years. This is the company's first year of operations.

Instructions

a. Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2019.

b. Indicate how deferred income taxes will be reported on the statement of financial position at the end of 2019.

[The following information applies to the questions displayed below.] Ricky’s Piano Rebuilding Company has been operating for one year. On January 1, at the start of its second year, its income statement accounts had zero balances and its balance sheet account balances were as follows: Cash $ 7,850 Accounts Payable $ 10,300 Accounts Receivable 15,000 Deferred Revenue (deposits) 4,400 Supplies 2,100 Notes Payable (long-term) 41,500 Equipment 9,500 Common Stock 10,000 Land 8,400 Retained Earnings 5,050 Building 28,400 Following are the January transactions: Received a $690 deposit from a customer who wanted her piano rebuilt in February. Rented a part of the building to a bicycle repair shop; $350 rent received for January. Delivered five rebuilt pianos to customers who paid $15,050 in cash. Delivered two rebuilt pianos to customers for $7,700 charged on account. Received $6,350 from customers as payment on their accounts. Received an electric and gas utility bill for $765 for January services to be paid in February. Ordered $900 in supplies. Paid $2,450 on account in January. Paid $10,900 in wages to employees in January for work done this month. Received and paid cash for the supplies in (g). 5-a. Prepare an income statement for the month ended and at January 31. 5-b. Prepare a statement of retained earnings for the month ended and at January 31. 5-c. Prepare a classified balance sheet for the month ended and at January 31

Explain in your words, that the intention is to make a budget and how it can be the help service for the administration of health entities

Diana, a partner in the cash basis HDA Partnership, has a one-third interest in partnership profits and losses. The partnership's balance sheet at the end of the current year is as follows: Basis FMV Basis FMV Cash $120,000 $120,000 Hannah, capital $90,000 $250,000 Receivables 0 240,000 Diana, capital 90,000 250,000 Land 150,000 390,000 Alexis, capital 90,000 250,000 Total $270,000 $750,000 Total $270,000 $750,000 Diana sells her interest in the HDA Partnership to Kenneth at the end of the current year for cash of $250,000. a. How muc income must Diana report on her tax return for the current year from the sale? What is its nature? b. If the partnership did make an optional adjustment-to-basis election, what are the type and amount of income that Kenneth must report in the next year when the receivables are collected? c. If the partnership did make an optional adjustment-to-basic election, what are the type and amount of income that Kenneth must report in the next year when the receivables are collected? When the land(which is used in the HDA Partnership business) is sold for $420,000? Assume that no other transactions occurred that year.

Any activity or item for which a separate cost measurement is desired by management is called a(n):

A. common cost

B. indirect cost

C. cost object

d. Direct cost

II.     On November 1, 20x1, Bush Company issued 10% bonds with a face amount of $20 million. The bonds mature in 10 years. For bonds of similar risk and maturity, the market yield is 12%. Interest is paid semiannually on April 30 and October 31. Bush is a calendar-year corporation.

Required:

(1.)Determine the price of the bonds at November 1, 20x1.

(2.)Prepare the journal entry to record the bond issuance by Bush on November 1, 20x1.

(3.)Prepare the journal entries (using the effective interest method):

a.    December 31, 20x1

b.    April 30, 20x2

c.    October 31, 20x2

           *Assume no reversing entry is recorded on January 1, 20x2.

(4.) What would be the journal entry if all bonds are retired at 103 on May 1, 20x3 right after the third payment.

Please all 4 questions, I think I have the price right but would like to make sure my answers are correct before turning it in, thank you

As the new manager of a local fitness club, Gifted & Lifted, you have been studying

the club’s financial data. You would like to determine how the club’s costs behave in

order to make accurate predictions for next year. Here is the information from the

last six months:

1-By looking at the “Total Operating Costs” and the “Operating Costs per Member,” can you tell whether the club’s operating costs are variable, fixed, or mixed? Explain your answer

2- List 10 costs the club might have and be sure to label them “fixed” or “variable”

3-Use high-low method to determine the club’s monthly operating cost equation.

4-Using the answer from number 3, predict the total monthly operating costs if the club has 800 members. What if instead you have 390 members? 1,000 members?

5-Can you predict total monthly operating costs if the club has 3,000 members? Explain your answer