During 2016, Dana Company decided to begin investing its idle cash in marketable securities. The information contained below relates to Dana’s 2016 marketable security transactions:

Required:

Proof that the PV of nominal CFs at a nominal rate of interest is equal to PV of the parallel real CFs at a equivalent real rate of interest.

Question 3: Woo Ltd. recently conducted an extensive review of its accounting and reporting policies. The following accounting changes are an outgrowth of that review: 1. Woo acquired a machine at a cost of $400,000 in 2016. The machine has been depreciated on a straight-line basis with no residual value since it was acquired. During 2019, it was decided that the benefits from the machine would be consumed over a total of 13 years rather than the 20-year useful life now being used to depreciate its cost. 2. At the beginning of 2019, Woo changed its method of valuing inventory from the FIFO cost method to the weighted-average cost method. At December 31, 2018 and 2017, Woo’s inventories were as follow: 2018 2017 On a FIFO cost basis $560,000 $540,000 On a weighted-average cost basis $500,000 $490,000 3. Woo‘s income tax rate is 20%. 4. Woo reports net income for 2019 and 2018 for the following amounts: 2019 2018 Net income $840,000 $900,000 5. The retained earnings of Woo as at December 31, 2018 and 2017 before adjusting the effect from the changes in inventory valuation method are as follow: 2018 2017 Retain earnings $3,200,000 $2,800,000 6. Dividends declared during 2019 and 2018 were $100,000 and $500,000, respectively. Required: a. Prepare the journal entries needed in 2019 related to each change. [10 marks] b. Prepare the statements of changes in equity (in part) for the year ended at 31 December 2019 after the adjustments (including comparative figure for 2018) in accordance with HKAS 8. [10 marks]

Financial ratios are relationships between two financial statement numbers and are often used in analyzing and describing a company's performance. Liquidity is a measure of a company’s ability to pay their short-term obligations as they come due. Select and define two ratios and explain how they could be used to describe a company's liquidity.

"Time Value of Money "

The time value of money is a critical concept to understand in accounting, especially when dealing with loans, investment analysis, and capital budgeting decisions. The time value of money concept can be used to decide which projects to start and what investments to make. You can also utilize the time value of money concept in your personal life.

• Provide two (2) decisions you may need to make that could involve the time value of money. Explain the how the importance of the time value of money will factor into your decision-making process.

Question # 1

Barhom’s Cellular (BC) is a distributor and sells phones for $1250. BC gets the phones for $900 each. BC pays the sales staff a commission of 10% for each phone sold. BC’s fixed selling, administrative & other fixed costs total $36,900 per year.

Required:

1. How many phones BC needs to sell to achieve a target profit of $51,000 a year?

2. BC is considering selling another type of phone. The new phone has a cost of $1,400 and will be sold for $2,000 each. The sales commission policy will apply for the new phone too. Barhom expects that out of every four phones he sells one will be from the new one and three from the old one. How many phones of each he needs to sell to breakeven.

Question #6.2: For each of the following independent cases:

a) Record the transaction using the accounting equation. Be specific about account names & $ amounts.

b) Indicate the effect of each transaction on the Statement of Cash Flow (SCF). Specify which section(s) of the SCF the transaction affects and in what direction. If there is no effect on the SCF, write “no effect”.

discuss the concept of cloud cost management, its application and other related issues

Please write a minimum of 150 words each

6. When is revenue earned and therefore should be recognized?

7. When a company pays $10,000 for insurance that will cover it for two years, the transaction is not immediately recognized as an expense. Explain why.

8. Distinguish between cash flows resulting from operating activities, financing activities, and investing activities.

Question # 3   Answer each of the following independent questions.

1. On Jan. 10, 2015 AIE Co. bought a plant asset with a cost of $216,000, estimated life of 6 years, and residual value of $36,000, is depreciated by the straight-line method. On Oct. 19, 2019 The asset was sold for $116,000. Required: Determine the amount of gain or loss to be recognized on this sale. Explain how the sale would be reported in the financial statements of AIE Co.

2. At the beginning of 2017 TW Co. reported Supplies on hand balance of $400. During 2017 TW Co. purchased additional supplies for $1,100. Physical count at the end of 2017 revealed a balance of $250 worth of supplies. Show how TW Co. would report the supplies related accounts in the income statement and balance sheet at the end of 2017?

3. During 2016, Dubai Theatre bought projection equipment on installment basis. The contract price was $23,610, payable $5,610 down, and $2,250 a month for the next eight months. The cash price for this equipment was $22,530. Additional $850 were paid for wiring & ventilation work. The costs of running the projection equipment during 2016 was $450. Determine the cost at which the Projection equipment will be recorded in the books of Dubai Theatre.

Required information

Use the following information for the Exercises below.

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Ramirez Company installs a computerized manufacturing machine in its factory at the beginning of the year at a cost of $44,200. The machine's useful life is estimated at 10 years, or 392,000 units of product, with a $5,000 salvage value. During its second year, the machine produces 33,200 units of product.

Exercise 8-5 Units-of-production depreciation LO P1

Determine the machine’s second-year depreciation using the units-of-production method.

Under which method are revenues and expenses recognized in the same accounting period that cash receipts and payments occur?

The fixed assets of a business are:

1. Webber Technologies is an emerging manufacturer of 3.5 inch diagonal touch screens for mobile communication devices/media players. 2011 industry sales were reported at 17.21 million units. This number represents an 19.2 % increase over 2010 industry sales. Webber Technologies had a 2010 market share of 5.8 %, compared with a 2011 market share of 4.2%. What was the change in unit sales for Webber Technologies, from 2010 to 2011, attributable to the change in industry sales? Report your answer in individual units

2. Webber Technologies is an emerging manufacturer of 3.5 inch diagonal touch screens for mobile communication devices/media players. 2011 industry sales were reported at 17.63 million units. This number represents an 18.5% increase over 2010 industry sales. Webber Technologies had a 2010 market share of 5.8 %, compared with a 2011 market share of 4.1 %. What was change in unit sales for Webber Technologies, from 2010 to 2011, attributable to its change in market share? Report your answer in individual units.