The Dawg corporation owns 13% of Company A and 23% of Company B. Dividends received from Company A were $104,000 and from Company B were $243,000. If Dawg's "adjusted" taxable income is $2,000,000, calculate Dawg's taxable income after including the dividend information.

Problem 20-6

Indigo Inc. has sponsored a noncontributory, defined benefit pension plan for its employees since 1994. Prior to 2017, cumulative net pension expense recognized equaled cumulative contributions to the plan. Other relevant information about the pension plan on January 1, 2017, is as follows.

1. The company has 200 employees. All these employees are expected to receive benefits under the plan. The average remaining service life per employee is 12 years.

2. The projected benefit obligation amounted to $4,952,000 and the fair value of pension plan assets was $3,032,000. The market-related asset value was also $3,032,000. Unrecognized prior service cost was $1,920,000.

On December 31, 2017, the projected benefit obligation and the accumulated benefit obligation were $4,907,000 and $4,064,000, respectively. The fair value of the pension plan assets amounted to $4,133,000 at the end of the year. A 10% settlement rate and a 10% expected asset return rate were used in the actuarial present value computations in the pension plan. The present value of benefits attributed by the pension benefit formula to employee service in 2017 amounted to $201,000. The employer’s contribution to the plan assets amounted to $762,000 in 2017. This problem assumes no payment of pension benefits.

Prepare a schedule, based on the average remaining life per employee, showing the prior service cost that would be amortized as a component of pension expense for 2017, 2018, and 2019. Compute pension expense for the year 2017. Compute pension expense for the year 2017.

Prepare the journal entries required to report the accounting for the company’s pension plan for 2017.

Required information

Schedules of Expected Cash Collections and Disbursements; Income Statement; Balance Sheet [LO8-2, LO8-4, LO8-9, LO8-10]

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

Beech Corporation is a merchandising company that is preparing a master budget for the third quarter of the calendar year. The company’s balance sheet as of June 30th is shown below:

Exercise 8-12

Beech’s managers have made the following additional assumptions and estimates:

1. Estimated sales for July, August, September, and October will be $250,000, $270,000, $260,000, and $280,000, respectively.

2. All sales are on credit and all credit sales are collected. Each month’s credit sales are collected 35% in the month of sale and 65% in the month following the sale. All of the accounts receivable at June 30 will be collected in July.

3. Each month’s ending inventory must equal 30% of the cost of next month’s sales. The cost of goods sold is 75% of sales. The company pays for 40% of its merchandise purchases in the month of the purchase and the remaining 60% in the month following the purchase. All of the accounts payable at June 30 will be paid in July.

4. Monthly selling and administrative expenses are always $46,000. Each month $5,000 of this total amount is depreciation expense and the remaining $41,000 relates to expenses that are paid in the month they are incurred.

5. The company does not plan to borrow money or pay or declare dividends during the quarter ended September 30. The company does not plan to issue any common stock or repurchase its own stock during the quarter ended September 30.

Required:

1. Prepare a schedule of expected cash collections for July, August, and September.

2-a. Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30.

2-b. Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September.

3. Prepare an income statement for the quarter ended September 30.

4. Prepare a balance sheet as of September 30.

With alternative choice decisions, managers seek to choose the alternative most likely to accomplish the objectives of the organization. In addition to ROI, discuss other business objectives that may be important in the choice of the best alternative.

When the computerised information system is significant,the auditor should obtain an understanding of the environment and whether it may influence the various risks involved. Required:

(a) Explain five(5)internal control characteristic in a computerised environment

(b) Discuss any five(5) problems encountered by an auditor in computerised environment

(c) Identify an two(2) audit objectives in a computerised system

Drs. Glenn Feltham and David Ambrose began operations of their physical therapy clinic, called Northland Physical Therapy, on January 1, 2017. The annual reporting period ends December 31. The trial balance on January 1, 2018, was as follows (the amounts are rounded to thousands of dollars to simplify):

Transactions during 2018 (summarized in thousands of dollars) follow:

1. Borrowed $27 cash on July 1, 2018, signing a six-month note payable.
2. Purchased equipment for $30 cash on July 2, 2018.
3. Issued additional shares of common stock for $4 on July 3.
4. Purchased software on July 4, $4 cash.
5. Purchased supplies on July 5 on account for future use, $6.
6. Recorded revenues on December 6 of $62, including $10 on credit and $52 received in cash.
7. Recognized salaries and wages expense on December 7 of $35; paid in cash.
8. Collected accounts receivable on December 8, $7.
9. Paid accounts payable on December 9, $8.
10. Received a $4 cash deposit on December 10 from a hospital for a contract to start January 5, 2019.

Data for adjusting journal entries on December 31:

11. Amortization for 2018, $1.
12. Supplies of $4 were counted on December 31, 2018.
13. Depreciation for 2018, $2.
14. Accrued interest of $1 on notes payable.
15. Salaries and wages incurred but not yet paid or recorded, $2.
16. Income tax expense for 2018 was $5 and will be paid in 2019.

1. 9-a. How much net income did the physical therapy clinic generate during 2018? What was its net profit margin?

2. 9-b. Is the business financed primarily by liabilities or stockholders’ equity?

3. 9-c. What is its current ratio?

REQUIRED:
9A. How much net income did the physical therapy clinic generate during 2018? What was its net profit margin?

9B. Is the business financed primarily by liabilities or stockholders’ equity? Yes or no

9C. What is its current ratio?

George loves pork and carrot. Therefore, he has decided to go on a steady diet of only these two foods (plus some liquids and vitamin and supplements) for all his meals. George realizes that this isn’t the healthiest diet, so he wants to make sure that he eats the right quantities of the two foods to satisfy some key nutritional requirements. He has obtained the following nutritional requirement. He has obtained the following nutritional and cost information.

George wishes to determine the number of daily servings (may be fractional) of pork and carrot that will meet this requirement at a minimum cost.

(a) Identify decision variables, objective function, and constraints and explain them in words, using at least 100 words

(b) Formulate a mathematical linear programming model using equations. Make sure you provide the exact descriptions of each variable and mathematical notations shown in the assignment guideline ppt.

(c) Solve a linear programming model for this problem on a spreadsheet, and interpret the results (meaning what is the optimal amount of daily serving for pork and carrot, and what is the minimum cost at the optimal servings of pork and carrot?), using at least 100 words

Why do we keep a petty cash fund. What do we debit and credit when we replenish it?

How does a bank reconciliation help us control cash?

Portions of the financial statements for Peach Computer are provided below.

Required:

Prepare the operating activities section of the statement of cash flows for Peach Computer using the DIRECTmethod. (List cash outflows as negative amounts.)

A.) If you make quarterly payments of$331.00 into an ordinary annuity earning an annual interest rate of 5.47%, how much will be in the account after 4 years?

B.) If you make monthly payments of $464.00 into an ordinary annuity earning an annual interest rate of 7.4% compounded monthly, how much will you have in the account after 5 years? After 9 years?

C.) In 3 years Harry and Sally would like to have $26,000.00 for a down payment on a house. How much should they deposit each month into an account paying 8% compounded monthly?

Betty DeRose, Inc. operates two departments, the handling department and
the packaging department. During April, the handling department reported
the following information:

                                           % complete      % complete
                                units         DM           conversion 
work in process, April 1        18,000        38%             71%
units started during April      80,000
work in process, April 30       44,000        82%             47%

The cost of beginning work in process and the costs added during April
were as follows:

                                 DM         Conversion       Total cost
work in process, April 1      $ 51,764       $152,477         $204,241
costs added during April       191,452        232,125          423,577
total costs                    243,216        384,602          627,818

Calculate the total cost of the handling department's work in process
inventory at April 30 using the FIFO process costing method.

Diego Company manufactures one product that is sold for $76 per unit in two geographic regions—the East and West regions. The following information pertains to the company’s first year of operations in which it produced 47,000 units and sold 42,000 units.

The company sold 32,000 units in the East region and 10,000 units in the West region. It determined that $210,000 of its fixed selling and administrative expense is traceable to the West region, $160,000 is traceable to the East region, and the remaining $105,000 is a common fixed expense. The company will continue to incur the total amount of its fixed manufacturing overhead costs as long as it continues to produce any amount of its only product.

1. What is the company’s total gross margin under absorption costing? What is the amount of the difference between the variable costing and absorption costing net operating incomes (losses)?

2. If the sales volumes in the East and West regions had been reversed, what would be the company’s overall break-even point in unit sales? What would have been the company’s variable costing net operating income (loss) if it had produced and sold 42,000 units? You do not need to perform any calculations to answer this question.

3.  Prepare a contribution format segmented income statement that includes a Total column and columns for the East and West regions.

4. Assume the West region invests $37,000 in a new advertising campaign in Year 2 that increases its unit sales by 20%. If all else remains constant, what would be the profit impact of pursuing the advertising campaign?

If the analyst does not have the security permissions to access the data directly, then a data request form is required. There are a number of fields that the analyst is required to complete. What fields are necessary in a data request form? Who needs to be included in the routing of this form? Explain the form and the approval process you would recommend.

Adapted from Richardson, V. J., Teeter, R., & Terrell, K. (n.d.). Data analytics for accounting. Problems [TA1] [VP2]

Explain how Morrison Pump Company could implement an activity-based costing (ABC) system. When you are deciding on a company to use, consider the costs and benefits in implementing an ABC system. In your post, provide some background information about your company. Explain what it produces and identify the activities that would drive costs. Discuss the cost pools that it would use. Recommend the process it would need to go through to implement ABC in the company. http://www.morrisonpump.com/

As the controller of Lynbrook Securities, Inc., you were asked to evaluate a potential bond issuance to raise funds to expand the company’s operations. Lynbrook is considering issuing a $2 million, 5-year, 6 percent bonds payable on January 1, 2021. Interest would be payable semiannually on June 30 and December 31. Bond discounts and premiums would be amortized using the straight-line method. Requirement:

a. Prepare an amortization table for each of the 10 semiannual periods, under the following assumptions:

1. The bonds were issued at 99. (round to the nearest dollar)

2. The bonds were issued at 103. (round to the nearest dollar)

b. Prepare the journal entry to record the issuance of the bonds on January 1, 2021 if Lynbrook issued the bonds at 103.

c. Prepare the following journal entries necessary if the bonds were issued at 99:

i. Issuance of the bonds on January 1, 2021.

ii. Record the semiannual bond payment on June 30, 2021.

iii. Record the semiannual bond payment on December 31, 2021.